If a house is 91,000 how much do you offer for good faith?

Question

I dont have alot of money but want to make a offer , how much is good? Thank you

Answer 1

Hi, I almost did not answer here but felt like I should add my two cents. If you do not have alot of money why try to buy a house? Make sure that you have enough income to justify this and can comfortably afford it. The internet is full of payment calculators that are good. Go for a payment that is one fourth of your income. Have some extra money saved up for after you purchase the home. Nothing like moving in and having the furnace go out. It falls on your shoulders not the landlord. As for the good faith money, it is just a token to have in a contract. A contract can be made with no money if you want and still be valid. It just needs adult signatures. There is usually clauses that provide for the 'ernest' money to be given back or kept when in default. Good luck and think about this.

Answer 2

I bid on a $130k house and our real estate agent only advised us to put up $1000 up front. Though he told us we may need to put more up later in the process.

My friend was buying a $140k house and she put up $2k and then was asked to put up another $2 later in the process.

I would ask your agent what would be an appropriate amount for this house.

Usually to get a mortgage you will need to put down whatever amount of money the bank states, (usually anywhere from 3-20%, depending on the rate). This is separate from the good faith money so make sure you keep enough for that. Obviously a bigger down payment will be better for you longterm, but it depends on what you can afford.

The good faith money will be returned to you if the offer is not accepted.

EDIT: $500 should be okay, you might not even need to put down any good faith money.