Have you heard the term “earnest money” but really aren’t sure what it means? Once you have found the perfect home and are all set to make an offer, there’s one more step that you need to take. That’s to make a deposit on the home you want to buy. This is known as an “earnest money deposit.”  

The Purpose Of The Deposit

The deposit shows the seller that you’re serious about buying the home. It’s a measure that allows the seller to have some faith in you as a buyer that you’re truly moving forward with your decision; you’re ready as a buyer to make the financial commitment. This deposit allows the deal to begin on a solid basis without much question. 

Is The Deposit Required Legally To Buy A Home?

From a seller’s perspective, a deposit keeps a buyer from changing their mind. If there is a significant amount of money involved, the seller sees the deposit as a way to keep the buyer locked in. This makes it easier for sellers to accept an offer. 

How Much Is Expected For An Earnest Money Deposit?

These deposits don’t quite have a standard amount. The general rule is that they range from 1% of the home price up to 5%. The more expensive of a home that’s being purchased, the larger the earnest money deposit should be. In some cases, the seller may even ask for a certain amount of a deposit to ensure that buyers are serious. How much money you pay at once is often negotiable. You may be able to pay part of the money at one time and the other part at a later date.

New Construction Can Require Large Deposits

New construction homes can require large earnest money deposits- up to half of the purchase price of the home. This is because the construction costs need to be paid upfront and the bank wants proof that the units being constructed with loan money are being sold to buyers who can pay for the home. 

New construction homes are often customized as well. It would be detrimental to a developer to make special changes to a home only for a buyer to walk away. 

Getting The Deposit Refunded

As with everything in real estate, you’ll have a contract. If you don’t follow the terms of the contract, you risk losing your earnest money deposit. Two main reasons for buyers to walk away are a flopped home inspection or financing that falls through. Read your contracts carefully. Sellers sometimes state that deposits are nonrefundable after a certain number of days. 

You need to be sure that you are covered as a buyer in the purchase and sales agreement. If you back out of a home purchase without good reason like a contingency included in the agreement) you could be out of luck when it comes to getting your deposit back.    

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That feeling of rest and happiness you feel when you pull up at the front of your house after a long stressful day is indescribable. Now you can rest, shower, unwind or do nothing. If you live in a detached single family home, chances are you would have your driveway and would solely be responsible for its upkeep. 

When building or remodeling a house, one of the overlooked features is the driveway. Your driveway is a part of your home and should reflect that warm, welcoming feeling of your home. Because your drive is the first thing people notice when coming into your home, it’s advisable you select the right type of driveway material for your home.

Suggested driveway materials best suitable for your house are... 

Asphalt

Asphalt is a common and highly practical driveway material that’s inexpensive compared to stone and concrete, its two primary solid-surface opponents. 

Asphalt is very high-maintenance, especially in harsh climates. Professionals recommend sealing asphalt driveways within a year of fitting and resealing every three to five years. Resealing can be quite expensive: The cost to reseal on the average is about $400, the price is lesser for shorter driveways and more costly for longer ones. You may also need seasonal maintenance depending on driveway usage, quality, and stability. Asphalt driveways are stable, of excellent quality, easy to plow during the winter season and with a higher traction quotient.

Gravel

Gravel is the cheapest and most sturdy of the other common driveway materials. It cost less than $300 to install and doesn’t require much time; Gravel driveways will last for a long time if given proper care.

The gravel driveway is very affordable and can cost about $0.50 per square foot, it’s durable, and with the right maintenance, it will last a lifetime.

Pavers

Pavers are the most expensive of the other driveway materials. It’s also considered the most attractive. Pavers blend well with different exterior and design elements, such as fountain fall, driveway islands, and stone walkways. 

Pavers improve your home appeal and give your home entrance a great look. It is durable, clean, stable and affordable to maintain.

Concrete

At first glance, concrete and asphalt have similar characteristics, but concrete is relatively durable and require less maintenance cost. A concrete driveway can last 100% more than the asphalt driveway depending on the climate and use. 

The concrete driveway is stable with surfaces not prone to mud, it doesn’t require much to maintain especially during the winter season, and it has a long life span. 

Having a beautiful and adequately maintained driveway will not only provide your home with that alluring curb appeal, but it will also boost the resale value of your property in the market if you decide to sell.

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Deciding whether to set up a home showing sometimes can be a tough decision. Yet a home showing can make a world of difference for a buyer as he or she searches for the ideal residence.

Ultimately, there are many reasons to schedule a home showing, and these include:

1. You can look beyond a home listing.

A home listing generally offers details about a house's age and features, as well as photographs of different areas of a residence. But a home listing can only provide so much information. Fortunately, a home showing enables you to assess a house in person and decide whether a residence is right for you.

During a house showing, you can walk around a residence and view each room. If you want to further pursue a residence after a showing, you can submit an offer to purchase. Or, if you find a house fails to match your expectations, you can always continue your search for your dream home.

2. You can gain comprehensive insights into a house's condition.

When it comes to evaluating a house's condition, it typically is a good idea to attend a showing. That way, you can get an up-close look at a home's condition and determine whether a residence needs major or minor repairs.

A home showing enables you to analyze a residence both inside and out. After a showing is complete, you can decide whether you are satisfied with the condition of a home and map out your homebuying journey accordingly.

3. You can imagine what it would be like if you purchase a home.

A home showing makes it easy to envision what life may be like if you purchase a particular house. As such, a showing may prove to be crucial as you pursue your dream residence.

If you feel good about a house following a showing, you should not hesitate to submit a competitive homebuying proposal. Conversely, if you feel uncomfortable with a residence, you may want to pursue other options.

Of course, hiring a real estate agent may be exceedingly valuable as you search for your ideal house. A real estate agent can schedule home showings at your convenience and provide plenty of tips to help you pursue residences in any housing market. By doing so, a real estate agent will empower you with the insights you need to make an informed decision about a house.

Let's not forget about the assistance that a real estate agent will provide after you find your dream house, either. At this point, a real estate agent will help you put together a competitive offer to acquire your ideal residence. And if you have any concerns or questions as you move along the homebuying journey, a real estate agent is happy to respond to them.

Ready to find your dream residence? Schedule a home showing, and you take the next step to acquire your ideal house.

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