Safe Luxury

Is my downpayment money on the home safe?

We signed a contract to buy a home in late july. We put down 45k on signing. The estimate date of closing as it states on the contract is september 15th. However it seems that due to the delays caused by both the seller and our bank, we wont be able to close on the 15th but maybe a couple of days later. If that happens, Can the deal still go through? My main concern is 45k that I put in escrow. IS THAT MONEY SAFE if that helps? Please please help

Public Comments

1. Were you represented by a real estate agent? That is a foolishly excessive EARNEST DEPOSIT amount. The typical amount is 1 to 3%. Read your contract to find out the terms under which you are able to cancel your purchase and still get your earnest money returned. Talk to your agent. While perhaps too late for this deal, you need to educate yourself about the home buying process. Read "Home Buying for Dummies," available from your public library or independent bookseller. Good luck.
2. yes that money is safe. if for some crazy reason everything falls through you will still get your money back. whatever you paid for the inspection and deposit (around 1500-2000) is probably gone but your downpayment is yours. think happy thoughts! when we bought our house we were sooo stressed and worrying about worst case scenario. youll be fine!
3. If the money is in escrow then the escrow agent will look out for your interests and only convey the money when the title is conveyed. I have to admit though the amount is quite high. Your bank and real estate agent should be able to give you peace of mind that this is legitimate. I got scared buying a HUD house in another state and i had to wire the money before closing to an agent. I researched the agent and made sure they were not a scam. Best of luck in your new house.