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Replies (26)
- Carol-Lynne Mittelbusher, "Carol Lynne"
- Contributions:642
Most brokers maintain a trust account, into which the funds are deposited. I usually have clients deposit to the escrow company via EFT upon acceptance, but a check to the broker (the real estate company is common as well. Good luck with your offer!
No make it out to SoCal Kaboom. Grrrrracias.
- Terri Linnell, "DebtsNMesses"
- Contributions:6728
I made ours out to the escrow company to which they would get it if the offer got accepted. They kept my check in a lockbox until escrow opened.
- Randy_H
- Contributions:4385
So I take it the house you just backed out of took your good word and never needed an escrow deposit?!? gmafb.
- Randy_H
- Contributions:4385
Just open escrow yourself? At least in CA there is nothing that specifies who opens escrow. That way you don't have to keep screwing around writing checks. Just put in a tad more than the customary deposit -- or even much more if you want to lowball the hell out of the seller and demonstrate you're serious. If the selling agent whines about not getting to use their own escrow co. feign deep suspicion about why they'd care who opened escrow, being that escrow is a *trust*. Most banks are licensed and capable of opening an escrow; you don't have to use the listing agency's Kickbacks-R-Us, Inc. escrow company.
- wch911
- Contributions:18
no, i actually I got into an argument with my boyfriend becuase we were talking about getting back the check from my agent and he says that the agent should not have me write out to their company it's illegal but I remember I read somewhere that it says that the check can be written to either agent's company or escrow. He got mad at me and didn't believe what I told him so thank you for helping me clear that out............
- broker_GRI
- Contributions:3454
Our company does not have a trust account. We log in checks and hold them in lock-up until they are put into escrow. Most often the check will be made out to "Title" or "Title Company"
There are some brokerage's that even have escrow services (not that common here in Nor Cal)
- Terri Linnell, "DebtsNMesses"
- Contributions:6728
I remember in my RE coursework that the broker can take checks and put them in a deposit acct. It's legal, I just don't personally like it. Too many people have gotten their licenses during the boom that shouldn't have. Once those people are weeded out, I'd probably feel differently.
- broker_GRI
- Contributions:3454
I'm with you there Debts
- TWB
- Contributions:1813
We wrote ours out to the escrow company.
- wch911
- Contributions:18
YOU REALLY GOT TO BE STUPID TO MAKE THE CHEK PAYABLE TO THE BROKER.... How do you KNOW that the broker has a trust account? Even if a trust account exists, the title of the trust account should be in the name of the "Trust"... even so there still are many risks. I would never write a payable to any entity other than a reputable "escrow" company. What you "can" do and should do are often very different. You can choose to be a sh** head or you can choose to be smart. But sh** heads will always be sh** heads!
- wch911
- Contributions:18
my
- wch911
- Contributions:18
my
- wch911
- Contributions:18
my
- wch911
- Contributions:18
my boyfriend wrote that...............
- Marci Reinheimer, "MarciR"
- Contributions:1947
LOL - I gotta agree with the boyfriend. There is no guarantee that the broker actually does have a trust account and I wouldn't trust anyone (and I'm a broker!). The check should be made out to the title company and brought there by you IMNSHO.
- Larry Jacobson, "Clearpoint"
- Contributions:1214
I like SoCal BubbleBrain's answer............. " No make it out to SoCal Kaboom. Grrrrracias."
- Tranett Walker, "Homebuyer Advantages"
- Contributions:2
Hi,
If EARNEST MONEY is tendered by check, it will be made payable to the Listing Firm (company listing the house for the seller). The earnest money will be deposited by the Listing Firm no later than 3 business days following the date the Real Estate Contract has been signed by Buyer and Seller.
For excellent home buying information, please visit: http://www.homebuyeradvantages.com
- broker_GRI
- Contributions:3454
Homebuyer Ad, remember that Zillow is national
Earnest money can be made out to whomever all parties agree to; once negotiated out, the provisions are set forth in the purchase & sale agreement.
With that said, earnest is not a requirement, in Georgia at least, but it's a good idea to show the buyer's sincerity.
However, to address the question, it seems pretty normal for the buyer’s broker to hold the earnest money when a buyer’s broker is involved; new homes usually differ.
- Marci Reinheimer, "MarciR"
- Contributions:1947
Not in No Cal. The checks are made out to the title company.
- Randy_H
- Contributions:4385
Or the bank if they are holding escrow.
- Marci Reinheimer, "MarciR"
- Contributions:1947
The laws surrounding trust accounts are so strict, I don't know why any broker would want to deal with it.
In Georgia, anyone can hold the earnest money, so long as all parties agree in writing -- and it isn't even required; though, it's a good business practice.
- ru2good112
- Contributions:30
Michigan: My earnest money was made out to my realitor (buyers agent) and held by him to either go towards the house or be refunded by me.
- MindyAllen
- Contributions:68
In Wisconsin, earnest money is made out to the listing agent's broker's trust company. Unless there is no trust, then often times the buyer's agent broker's trust company. This is also most often the case when buying a home directly from the owner.
earnest money deposite make out to?
I am ready to make an offer on a house but my agent want me to
make the check out to her company. Is this normal? shouldn't I make it
out to the escrow company?
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