Deposit

A MONETARY DEPOSIT GIVEN TO A LENDER, SELLER, OR LANDLORD AS PROOF INTENT. SECURITY DEPOSITS CAN BE EITHER REFUNDABLE, OR NONREFUNDABLE, DEPENDING ON THE TERMS OF THE TRANSACTION. AS THE NAME IMPLIES, THE DEPOSIT IS INTENDED AS A MEASURE OF SECURITY FOR THE RECIPIENT.

THE DEPOSIT IS GIVEN AT THE TIME OF SIGNING THE OFFER TO PURCHASE. IT IS THEN CREDITED TOWARDS YOUR DOWNPAYMENT AMOUNT. IF YOUR TOTAL DOWNPAYMENT IS $20,000 AND YOU GAVE A $5000 DEPOSIT, YOU WOULD ONLY REQUIRE THE REMAINING $15,000 TO COMPLETE YOUR FINANCING.

FOR MORE ON CLOSING COSTS, CHECK OUT THIS PAGE.