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An earnest money deposit receipt is given to a buyer of real estate after entering into a purchase agreement with a seller. The deposit slip is given to the buyer after funds have been received which binds the parties into the agreement.
For example, let's assume John wants to buy a home that is listed for $500,000. To show that he is serious and ready to close the deal quickly, he provides $10,000 in earnest money.
Release of Earnest Money The most common form used is the TAR form below. The buyer, seller, and their agents must all sign the release before the title company will cut a check. Once the title company who is holding the earnest money has received the release, they can write a check available for pickup or mailing.
What the TAR form does. The Texas REALTORS® Release of Earnest Money form allows the parties to agree to release the earnest money and to release each other, any broker, title company, or escrow agent from liability under the contract.
If you decide to provide earnest money, the VA requires that it comes from you and is not a gift or loan. The VA will verify the source of your earnest money deposit, just like a down payment.

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After closing on a house in Texas, the earnest money is generally credited toward the purchase of the home. That means it will go toward closing costs and/or your down payment. If the deal falls through for any reason, who gets the earnest money will depend on the provisions of the contract.
The earnest money may be held by the seller's real estate broker, but the money may also be held in escrow by a third-party title company, lawyer, or bank. The purchase and sale contract specifies where the deposit is held.
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 you're looking to buy. You deliver the amount when signing the purchase agreement or the sales contract.
Earnest money protects the seller if the buyer backs out. It's typically around 1 \u2013 3% of the sale price and is held in an escrow account until the deal is complete.

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