Earnest money shows you’re serious about buying in Chareston, South Carolina
Typically when an offer to purchase a house is made, you, as the buyer, will also pay an “earnest money” deposit.  This deposit shows the seller that you’re serious about the offer to purchase the property. 

The amount of earnest money deposit varies based on the type of property being purchased and local market conditions.  As your real estate professional, I’ll help you determine the appropriate amount to pay as an earnest money deposit.

The sales contract will dictate who holds the earnest money in Charleston Area Real Estate.  Usually the seller’s real estate agent will deposit the earnest money in a trust or escrow account until closing.   At closing, the earnest money is applied to the purchase price. In modestly priced areas such as Mount Pleasant, James Island or Johns Island $3,000 is usually a good number as far as escrow monies are concerned. In more reasonable priced areas such as Goose Creek or Summervile $1,500 to $2,000 will usually work though every transaction seems to be a little different. As of June 2009 around 60 percent of homes are being financed through FHA so areas with home prices over about $350,000 tend to be a little slower at the moment.

In the event the sale doesn’t close, the sales agreement generally spells out the conditions under which you would forfeit the earnest money.  Generally if the seller meets all the terms of the contract, the seller will keep the earnest money.  If the seller does not meet the terms of the contract, you, as the buyer, may receive a total or partial refund of the earnest money.