What is Earnest Money?
What is earnest money? In most real estate transactions, earnest money is tendered when the buyer and seller agree to terms of a contract. The earnest money is part of the buyer's downpayment money that is given to the seller's side to hold(in an escrow account) as "consideration" for the transaction. This way, the buyer and seller are both invested in the transaction and they both have "skin in the game".
For more information, check out this quick video we made about earnest money.