In the Silver Spring, MD area a customary earnest money deposit is about 1%+ of the sales price. A low earnest money deposit can considerably weaken an offer since it doesn't show the seller that the buyer will have any skin in the game.
Just think about it, how serious will the seller think you are if you are making a $100 deposit on a $400,000 house? Yes, I almost had this happen once ..
It's important to note that the amount of the deposit is written into the Maryland Residential Contract of Sale and only a copy of the check is submitted with the offer.
After contract ratification the check must be deposited into escrow within 7 business days. Silver Spring, MD home buyers will see their earnest deposit as a credit on the settlement sheet.
How much of an earnest money deposit you should make also depends on market conditions however. In a competitive market where buyers far outnumber sellers, a higher earnest money deposit can considerably strengthen your offer and give you a leg up over the competition.
In the Silver Spring, MD seller's market we are currently experiencing buyers got to put their best foot forward when making an offer - a higher than customary earnest money deposit can help you do just that.
Silver Spring, MD Home Buying FAQ: How much should my earnest money deposit be?