Comments on: Preparing Your Finances For Buying a Home http://www.1siliconvalley.com/preparing-your-money-for-buying-a-home/ your consumer guide to the sf bay area real estate market Fri, 05 Mar 2010 19:08:50 -0800 http://wordpress.org/?v=2.9.1 hourly 1 By: Alex Wang http://www.1siliconvalley.com/preparing-your-money-for-buying-a-home/comment-page-1/#comment-680 Alex Wang Sat, 03 Jan 2009 03:09:02 +0000 http://www.1siliconvalley.com/preparing-your-money-for-buying-a-home/#comment-680 Hi Mark, The deposit or earnest money is the initial money you put down when writing an offer. It is negotiable but is typically 3% of the purchase price. Your downpayment will be how much total money you will be contributing to the purchase of your home. For example, if you were buying a $500,000 home with 20% down, you would need to have a down payment of $100,000 total (3% or $15,000 of that $100K would be deposited upon acceptance of the offer). Hope that makes sense. The above is a sample scenario, but in real estate everything is negotiable. Hi Mark,

The deposit or earnest money is the initial money you put down when writing an offer. It is negotiable but is typically 3% of the purchase price.

Your downpayment will be how much total money you will be contributing to the purchase of your home. For example, if you were buying a $500,000 home with 20% down, you would need to have a down payment of $100,000 total (3% or $15,000 of that $100K would be deposited upon acceptance of the offer).

Hope that makes sense. The above is a sample scenario, but in real estate everything is negotiable.

]]> By: Mark http://www.1siliconvalley.com/preparing-your-money-for-buying-a-home/comment-page-1/#comment-679 Mark Sat, 03 Jan 2009 01:00:42 +0000 http://www.1siliconvalley.com/preparing-your-money-for-buying-a-home/#comment-679 How is the deposit different from a down payment? Can you explain that a bit more? How is the deposit different from a down payment? Can you explain that a bit more?

]]>