ASA and PSIA Instructor
Join Date: Apr 2000
Thanked 27 Times in 27 Posts
Rep Power: 16
But there are some folks feel the real purpose of earnest money is so that the broker can get his/her commission up front without worrying whether the seller will gyp them after the sale is completed.
A erroneous idea. As the broker usually manages the closing of the sale, he/she collects the fee as a check deducted right out of the proceeds of the sale, the buyer never gets the fee money and the broker doesn't need to worry about being paid later.
Certified...in several regards...