When the deposit is due Thursday and the money isn't there.
Earnest money funding covers the deposit that locks up a contract — so a good deal doesn't die over timing.
No state sets a minimum — the deal does
There's a common assumption that earnest money amounts are set by law. They generally aren't. States like Colorado, Florida, and Texas set no minimum, and in Texas earnest money isn't even required to form a binding contract. The amount comes from the contract and from market practice — commonly 1–3% of the purchase price, higher where sellers have competing offers.
What actually forces a real deposit is who you're buying from:
- On-market, agent-listed deals — a token deposit reads as a non-serious buyer and gets the offer passed over
- REO, HUD, and auction purchases — these set their own required deposits and expect certified funds
- Institutional sellers — banks and funds want a real deposit, often non-refundable
- Competitive markets — multiple offers push deposits up as a signal of seriousness
The real pressure is the clock
What states do regulate is how fast deposits reach escrow. Texas requires trust money to be delivered by the close of business on the second working day after the broker receives it. Florida requires deposit into the broker's trust account by the end of the third business day after acceptance. North Carolina requires deposit within three banking days.
Deadlines vary by state and by contract — confirm the rule that applies to your transaction.
So the problem usually isn't whether you can afford the deposit eventually. It's that you have two business days, several deals already tied up, and the cash is committed elsewhere.
How EMD funding works
- We fund the earnest money deposit so the contract gets locked up on time
- Short-term by design — the deposit is returned or credited at closing, and we're repaid then
- You keep your own capital available for the deals already in motion
How the money is handled
- Refundable deposits. We fund while you still have a live contingency — an option or inspection period. A deposit that's already hard is a different conversation.
- Funds go to the licensed title company or closing attorney, never to an individual. Always verify wire instructions by phone with the escrow holder before sending anything to anyone — wire fraud in this business is real and it moves fast.
- Straightforward paperwork, signed before funding. We'll walk you through it up front so nothing is a surprise at the closing table.
- We charge a fee for the funding. Everyone works for a fee — ours depends on the deal, and you'll know it before anything moves.
Worth knowing before you use any EMD funding. If the deposit goes hard and the deal dies, that money is at risk — funding it doesn't change that. And if a deal falls apart, getting a deposit back out of escrow isn't always quick. We'd rather talk through a deal that shouldn't be funded than fund one that shouldn't close.
What we need from you
The property and contract, the deposit amount and deadline, whether the deposit is still refundable and when it goes hard, your exit — assignment, double close, or holding it — and the title company or closing attorney holding the funds.
Need the funds to close?
Tell us the deal — type of funding, amount, and closing date. We answer quickly, and we tell you straight if it isn't a fit.
Request Funding →