Posted by Tim Fierro (Tacoma, WA) on January 20, 2003 at 02:40:48:
Earnest money to be paid upon mutual acceptance of the contract to be held by XXXX and deposited by XX/XX/XX or within XX days after mutual acceptance.
IOW, don’t let it stop you from making an offer. EM is not needed to make a contract binding. If the seller really wants it, then word it so that it covers the time lag in the situation so you are not sending checks out of state waiting on answers.
Binder deposits when making offers through mail - Posted by James Guinn
Posted by James Guinn on January 19, 2003 at 15:14:52:
When making an offer through the mail, how do you handle the binder deposit?
If you send a check, and the seller does not accept the offer, what’s to stop them from cashing your check and spending your binder deposit?
If you send an offer with the binder deposit blank filled in with $0, is your offer legally binding?
If you send an offer with the binder deposit blank filled in with something other than $0 (say $10 or $100), can you send the check later, after the contract is accepted?
Just curious how the logistics of that work out.
Thanks,
Jim
Binder deposits when making offers through mail - Posted by Kristine-CA
Posted by Kristine-CA on January 21, 2003 at 10:53:59:
That’s what I use escrow for–all funds go through escrow. But to be honest, while I put earnest money in the purchase contract ($100 or $500), it isn’t what cinches the deal. In my opinion, the seller isn’t motivated enough for my purposes if they require a large deposit. Sometimes, I’ve had no choice about deposits–probate courts mandate certain amounts. But whenever possible, I make it as little as possible and use it to open escrow.
Sincerely, Kristine