Coming up with an earnest money amount is usually a matter of negotiation when you are buying a home. You offer the seller $7.47 and they ask for $12,500.00. You want your buyer’s agent to be the one holding it, the seller wants their agent to hold it. At some point you’ll hopefully meet somewhere in the middle. That ain’t how it works when you are buying a HUD home in Chattanooga.
HUD requires a set amount of earnest money depending on the price of the home. For offers that are $50,000 or less, $500 is what you’ll have to pony up. If the home you want to buy is more than $50,000 you’ll need to get me a cashier’s check for $1,000.
Regardless, it has to be a cashier’s check. And you have to have it signed, sealed & delivered as of the day the bid is being submitted, can’t wait to see if it gets accepted. Of course, if you are outbid, the earnest money will be refunded to you.
Contact me for more information about earnest money or any part of the HUD buying process.
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