Mortgage Basics 6: The Deposit
On every purchase transaction the seller is going to make you put in a deposit into escrow. Why is it required? When you enter contract with a seller to buy their home, they have to take their home off of the market for the duration of the escrow period (usually 30-45 days). They want to make sure that you are seriously trying to buy the property and hold some money for insurance in case the loan or deal falls through. How much? In southern California the deposit amount is ty
