The real estate earnest money deposit that buyers for a property are asked to ker plop down.
When signing a purchase and sale agreement to buy a listing. Money put down in good faith, earnest funds put up as a sign the real estate buyer intends to really buy. No fingers or toes crossed. This is real serious stuff.
How much is enough, what happens to the real estate deposit if the property listing closes or not?
There are two parties at least involved in a real estate sale.
Waiting, idle while things happen or not in a real estate sale. The security of a sale with a person the seller may have never met is the down payment, real estate deposit.
The real estate earnest money deposit for starters that is designed to give the property owner assurance that the buyer is really putting their money where their mouth is.
That this offer to buy the real estate for sale should be taken seriously. The larger the deposit, the less long the list of contingencies or delays in getting to the actual real estate closing the better.