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How to Sign Earnest Money Promissory Note

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hi Im Annie Fitzsimmons Im your Washington Realtors Legal Hotline lawyer and this video is probably going to be most appropriately gauged towards our should I say more experienced members I wouldnt describe you as old but I would say that the practice in which some of you engage is a very old practice antiquated even and you need to dispense with it and that is the practice of using promissory notes for earnest money stop doing that why do you need a promissory note for earnest money let me tell you the reason most people sell me we need a promissory note because buyer doesnt want to have to deliver earnest money by the second day following mutual acceptance they need three or four or five days so they can go back to wherever they live and get money out of their account and send it in or they want to wait until the inspection contingency has been satisfied or waived or whatever other reason would justify a delayed deposit of the earnest money fine I dont care when the department

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Got questions?

Below are some common questions from our customers that may provide you with the answer you're looking for. If you can't find an answer to your question, please don't hesitate to reach out to us.

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Who keeps earnest money if financing falls through?

The financing contingency guarantees that youll get a refund for your earnest money if for some reason your mortgage doesnt go through and youre unable to purchase the house.

Who pays earnest money?

Earnest money is a payment from the potential buyer to the seller to show good faith in their intent to complete a real estate transaction. If the buyers offer is accepted, earnest money goes toward the down payment and closing costs.

Who keeps earnest money when seller backs?

Seller Cancels the Contract. Sometimes, the seller changes their mind and decides not to sell the property for some reason. If the seller terminates the contract, then the buyer will get the earnest money deposit returned.

Who signs earnest money receipt?

4 Execute This Receipt By Signature The Earnest Money Holder must sign this document after it has been completed. He or she should locate the empty line labeled Signature then print his or her name on the blank line labeled Print Name.

Who keeps earnest money if deal falls through?

Remember, if the contingencies in a sales contract are fulfilled and the buyer still doesnt close, the seller is entitled to keep the buyers earnest money.

What is earnest money See note?

Earnest money is a deposit made to a seller that represents a buyers good faith to make a purchase such as the acquisition of a new home. The money gives the buyer extra time to get financing and conduct the title search, property appraisal, and inspections before closing.

What is an an earnest money agreement?

Earnest money, or good faith deposit, is a sum of money you put down to demonstrate your seriousness about buying a home. In most cases, earnest money acts as a deposit on the property youre looking to buy. You deliver the amount when signing the purchase agreement or the sales contract.

What does earnest money mean in a contract?

What is the Meaning of Earnest Money? Earnest Money, also known as Earnest Money Deposit or EMD, is a form of deposit that buyers pay sellers in good faith as an assurance of interest in purchasing high-ticket items or while making docHubly large transactions.

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