Easily Insert Alternative Choice from the Earnest Money Promissory Note

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How to Insert Alternative Choice from the Earnest Money Promissory Note

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so I dont want my earnest money sitting somewhere that I cant get back in the event something happens out of my control I dont want to be in that situation Ive been in that situation that sucks an earnest money deposit is a sum of money paid upfront by a buyer to show their good faith in order to execute a contract with a seller but if youre not careful you could put that money at risk and lose it so on todays video Ill show four rules to always protect your earnest money youll even get to look over my shoulder and watch me on the phone so you get to see how to do it in action all that and more coming up for a limited time you can get a free copy of Jerry Nortons QuickStart kit with everything you need to flip your first house in 30 days or less download it now at my quick start kit calm if youre new here to the channel Im Jerry Norton with flippin master comm and this channel is all about ways to help you make money wholesaling and flipping real estate so you can live your

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How do you use a promissory note for earnest money?

The owner must be aware that the earnest money deposit will be made in the form of a promissory note (i.e., not in cash) before it accepts the purchase offer. This fact must also be stated clearly in the purchase agreement itself.

What is the explanation of earnest money?

Earnest money, sometimes called a good faith deposit, is a sum of money that is included with your offer to purchase a home. Earnest money has become standard, especially in todays competitive real estate markets.

Can a promissory note be used as earnest money to be paid at closing?

Although most sellers are likely to require that earnest money be in the form of cash, check, or money order, they might also agree to accept a promissory note. The drawback for the seller is the possibility of having to file a lawsuit to collect on the note.

What is an example of earnest money?

It will be held in an escrow account and applied to the rest of your down payment at closing. If your offer to purchase is $250,000, your typical earnest money amount would range from $2,500 to $5,000. In your offer, you specify the amount of earnest money that goes into escrow should the seller accept the offer.

What is a promissory note on a property?

Promissory notes, also known as mortgage notes, are written agreements in which one party promises to pay another party a certain amount of money at a later date in time. Banks and borrowers typically agree to these notes during the mortgage process.

What happens if the buyer fails to redeem the earnest money promissory note?

The Promissory Note redemption date can be extended only if agreed upon in writing by both parties with a signed addendum. If the Buyer does not redeem the Note in time, is the contract Null and Void? No. If the buyer does not redeem the Note in time, the buyer is in bdocHub of the contract, but not null and void.

What is the earnest money promissory note?

An earnest promissory note shows good faith commitment to purchase an asset and outlines the aspects of the purchase agreement between a buyer and seller.

Who keeps earnest money if deal falls through?

If the buyer cant close for any reason, the contract is bdocHubed and the seller can keep the earnest money deposit.

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Insert Alternative Choice from the Earnest Money Promissory Note