Earnest Money

- Money that is submitted with an offer to purchase which indicates a buyer's seriousness and good faith. In virtually
all cases, earnest money will need to be submitted at the time of the offer and remains in escrow until the time of
closing, at which time it becomes part of the down-payment


- “Escrow” refers to Funds held in reserve both prior to closing (for example the earnest money and deposit) by a third party and after
closing by the mortgage company to pay future taxes and homeowners insurance. In some areas, "escrow" also
refers to the closing process.

Escrow Agent

-“A neutral third party who ensures that all conditions of a real estate transaction are met