Newsflash: [TX] What is the difference between Earnest Money and Option Money?

I am in TX, preparing to submit an offer on a house.We will be offering $350,000, cash. Our Realtor wants to know how much earnest money we want to put down, and how much option money.I don’t yet understand the different between the two. Are they two different piles of money? Are they refundable? How would I get my money back? How do I determine the amount of each deposit? Are the deposits count towards my $350,000 at closing? Is a larger amount better? What else do I need to know?Yes, I will be asking my Realtor in the morning about this but I’d like to get a heads up on the info tonight!Thanks much.



Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )


Connecting to %s