Posted by Eric on December 07, 2008 at 11:48:14:
I also have this same question and unfortunately don’t have a solid answer to your post. The only way I can see it working is borrowing the earnest money and paying interest on it.
If you have found out a way around this, please comment.
question about earnest money deposits - Posted by chris
Posted by chris on October 30, 2008 at 02:35:56:
Hello everyone, i was just wondering if anyone has come up with any creative ways of either delaying or not putting down an earnest money deposit when putting a huge commercial property under contract.
the reason for my question is that when putting commercial properties under contract the earnest money deposit can be pretty substantial (normally 1% of purchase price or a little less if you negotiate, but chances are it’ll still be a lot)
i heard about a clause Scott Scheel uses that stated something along the lines of “earnest money will be due at closing” or something, but i say to all of you will something like that fly when chances are the contract will be getting reviewed by their attorney.
i plan on having pretty rock solid contingencies in all of my contracts to protect me from having my money go hard before i actually have the funding to close on the property.