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Earnest Money Deposit Receipt

An earnest money deposit is given to a potential buyer after an escrow payment has been made as part of a residential purchase agreement. The earnest money is the consideration made towards the purchase price and is commonly non-refundable unless conditions are not met (e.g., unable to obtain financing, material defects are found, etc.).

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Last updated February 18th, 2026

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An earnest money deposit is given to a potential buyer after an escrow payment has been made as part of a residential purchase agreement. The earnest money is the consideration made towards the purchase price and is commonly non-refundable unless conditions are not met (e.g., unable to obtain financing, material defects are found, etc.).

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How it Works (3 steps)

1. Buyer Makes an Offer

The buyer makes an offer on the property that includes the purchase price, earnest money amount, and any conditional language needed to close on the property.

2. Seller Accepts the Offer

The seller either makes a counter-offer or accepts the terms of the purchase agreement. This usually demands that the buyer make the earnest money deposit within 3-5 days of acceptance.

3. Buyer Pays the Earnest Money

The buyer will usually make a bank wire to the seller (or their real estate agent) equal to the earnest money amount. Once the funds have been confirmed, the earnest monery deposit receipt will be signed by the receiver and given to the buyer.

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