The moment you decide to buy a specifice piece of Real Estate in Sierra Vista area, you will be required to pay an earnest money deposit. This deposit is essential when you are buying property. In most cases, your real estate agent is the one who handles the process on your behalf. An offer is a written contract that should be submitted to the seller through your agent. Coupled with the documents, the buyer is also expected to pay an earnest money deposit. This deposit is a certain percentage of the value of the property that is paid in the form of a check as proof that the buyer is serious.
In some states though, the buyer is only expected to submit a photocopy of the check along with the other documents. The original is later given out when your offer is approved. It is important to have your real estate agent explain to you how deposits are done in this area. Normally, the deposit check is paid to an independent third party like an escrow company, title company, real estate broker or real estate attorney. The amount of the deposit that the buyer is expected to pay varies from one region to the other. However, it mostly ranges from 1 to 2 percent of the property price.
In some competitive markets, where the demand is higher than the supply, the sellers may charge a higher deposit. When buying a house, you should always have your real estate agent explain to you the amount of the deposit required. You should insist on a minimal amount while showing your intent of buying the property at the same time. The amount paid for the deposit may be used to cover closing costs or to reduce the purchase cost. If you decide to cancel an offer that had already been approved, the terms of the contract and or the state law will dictate whether the deposit will be returned to you. Typically, earnest money is non-refundable, however.
State law varies from one state to the other. Therefore, before buying a house from a Real Estate in Sierra Vista company, you should have your agent explain to you the laws and terms. You should also buy property from reputable companies in the area like Castle & Cooke General Contracting.
