Many Sacramento first time buyers I work with seem to be a bit confused about why they need to put money down when they write an offer for a Sacramento home, so I thought I would explain it in this video.
Basically, the Good Faith Deposit is simply the Sacramento home buyers’ way of showing the Sacramento seller that they are serious about buying the home in question.
It’s not that different from a deposit put down on an apartment, at least in some ways. And, the good news is that if the offer is not accepted, you will automatically get your deposit check back, un-cashed. If your offer is accepted, then yes, the check will be cashed in escrow. However, if during the inspection period, you elect to walk away from the deal, you STILL will get your Good Faith Deposit back.
Where you can lose your deposit funds is when you walk away from the deal, outside of the inspection period and outside of any contingencies that were already stipulated in the contract (i.e. if your loan falls through, then that’s not your fault since your offer was contingent on you being able to get the loan, hence, you get your money back).
Don’t forget to tune into my weekly Internet radio show for more fun facts and inspiration, Sacramento style! Wednesdays at 10 AM at www.InLoveWithSacto.com and catch the podcasts of past shows anytime!
Ta ta for now,
Tamara
Your Sacramento Real Estate Professional
