EARNEST MONEY CONTRACT is another term for "Binder". However to be precise this type of form is merely an Offer and Acceptance Contract. The contract is secured by the payment or deposit of a sum of money by the Buyer to the Seller. The earnest money essentially represents the buyer's sincerity in attempting to purchase real property.
The EARNEST MONEY CONTRACT is a preliminary agreement setting down the terms of the Buyer for the purchase of the property and the Seller's subsequent acceptance of the terms. Usually this offer is accompanied by a sum of money described as "Earnest Money." When the Buyer presents the EARNEST MONEY CONTRACT, including the earnest money to the Seller and the Seller subsequently accepts the offer, the Buyer has secured the right to purchase the real estate upon agreed terms for a limited period.
If the offer to purchase real property is not accepted by the seller, the earnest money is totally refundable. As a general rule, this also applies if some condition of the contract is not satisfied. If, however, all terms of the contract are satisfied, the earnest money is then applied in full towards the purchase price of the property.
Our EARNEST MONEY CONTRACT Form is simple and straightforward. The form provides for most contingencies related to disbursement of the earnest money and terms and conditions of the purchase. There is NO provision for a Real Estate Agent involvement, Disclosure Statements or Counter Offers. The primary purpose of this Form is to get the Seller to accept the basic concept of the Offer.
A formal Purchase Agreement" may be used to follow up, but is usually not required.
Can you read an existing EARNEST MONEY CONTRACT or other legal form and tell the difference between what is legal and what is not ?
If you don't understand all that legal language, you're not the only one.
Don't be mislead by all the free and cheap real estate forms available on the Internet. Most are not worth your time or effort and will ultimately get you in trouble. Our Official EARNEST MONEY CONTRACT contains all the legal language and protection you need.
That old saying about "how you get what you pay for" has never been more valid.
The entire process to obtain a valid earnest-money contract is quick, easy, very affordable and most of all USER FRIENDLY. Keep reading and we will explain how everything works. Your earnest money real estate form is only a click away.