Earnest Money and Escrow Basics for Weston Buyers

Buying in Weston and hearing a lot about earnest money and escrow? You are not alone. These terms can feel confusing when you are focused on finding the right home and writing a strong offer. The good news is you can understand the essentials quickly and use them to protect your budget and your peace of mind.

In this guide, you will learn what earnest money is, who holds it in Broward County, common deposit amounts in Weston, typical timelines and contingencies, and smart ways to structure your offer in competitive situations. You will also get a simple checklist you can use before you submit an offer. Let’s dive in.

Earnest money basics in Weston

Earnest money is your good‑faith deposit that shows a Weston seller you are serious. It is sometimes called a deposit or binder. At closing, the deposit applies to your down payment and closing costs. If the deal does not close, the contract decides who gets the money.

In Broward County, the deposit is usually held by a title company or the listing broker’s escrow account. Many Weston buyers place the funds with the title company that will also handle the closing. Always get a written receipt and confirm the exact name of the escrow holder.

Most local sales use the Florida Realtors and The Florida Bar residential contract forms. Those forms set the deposit deadline, identify the escrow holder, define contingency periods, and include dispute procedures. Your signed contract and addenda control the exact timelines and rules, so read them closely.

Typical deposit amounts

Deposit amounts vary by price and competition. A common rule of thumb in many U.S. markets is 1 to 3 percent of the purchase price or a flat amount such as a few thousand dollars for lower‑priced homes. Weston’s higher price points often lead to higher‑than‑average deposits compared with national norms.

Several factors influence size:

• Competition level. Multiple offers usually push deposits higher.
• Price tier. Higher‑priced homes tend to require larger deposits.
• Financing type. Cash offers sometimes use smaller but very clean deposit terms. Buyers using loans often align with customary amounts.
• Seller preferences. Strong preapproval, flexibility on closing, and realistic inspection terms can let you keep a deposit reasonable while still being competitive.

How and when to pay

You can usually deliver earnest money by personal check, certified or bank check, or wire transfer to the escrow holder. If you plan to wire funds, verify the wiring instructions by calling the escrow holder at a trusted phone number. Do not rely on email alone. Wire‑fraud scams are a real risk, and verbal verification protects you.

Your contract sets the deadline for delivery. In Weston, buyers commonly have 1 to 5 business days after the effective date to deliver the deposit. The escrow holder then deposits the funds promptly and provides a receipt. Missing the deadline can be a breach under many contracts, so plan funding early.

Escrow and timeline overview

Every deal is unique, but Weston buyers often see these timeframes in their contracts:

• Earnest‑money deadline: often within 1 to 5 business days after the effective date.
• Inspection period: commonly 7 to 15 calendar days. Larger or complex homes may need more time.
• Financing and loan commitment: frequently 21 to 30 days. Competitive offers sometimes aim for 14 to 21 days if the lender is ready.
• Appraisal: usually ordered by the lender and completed within the financing period.
• HOA or condo document review: often 5 to 10 days to review association documents. Timeframes vary by form and by what you negotiate.
• Title commitment and cure period: delivered by the title company, with a set window to object and cure.
• Closing window: many Weston closings occur in 30 to 45 days. Some close in 21 days when all parties are ready. New construction or lender delays can extend timelines.

Here is a simple example for a 30‑day closing:

• Day 0: Contract effective and deposit due per contract.
• Days 1–5: Deposit confirmed; inspections scheduled.
• Days 7–10: Inspections completed; repair requests or decisions made.
• Days 14–21: Appraisal completed; lender underwriting progresses.
• Days 21–28: Title commitment reviewed; any issues resolved.
• Day 30: Closing, subject to lender funding and final approvals.

Adjust your actual dates to match your signed contract.

Contingencies that protect you

Contingencies help you cancel and recover your deposit if certain conditions are not met. Common protections include:

• Inspection contingency. You can inspect, request repairs or credits, or cancel within the inspection period.
• Financing contingency. If you cannot obtain your loan by the financing deadline and you give proper notice, you may cancel and recover your deposit.
• Appraisal contingency. If the appraisal is below the purchase price, you can renegotiate, pay the difference, or cancel.
• Title contingency. If title defects are not cured within the allowed period, you can cancel.
• Condo or HOA document contingency. You can review association documents for a set period and cancel if they are unacceptable under the contract terms.

If a deal falls apart, most deposits are released by mutual agreement and a signed release. If parties cannot agree, the escrow holder may follow dispute procedures that can include mediation, arbitration, or court action. Your contract explains the process.

Buyers commonly forfeit deposits when they breach the contract, miss contingency deadlines without proper written notice, or back out after removing protections. Keep everything in writing and on time.

Protect your deposit

Your deposit is real money, so treat it carefully. Use this quick checklist:

• Get a dated receipt and the exact name and contact information for the escrow holder.
• Keep all notices and contingency requests in writing. Email with read receipts is a good practice.
• Meet every deadline exactly as written in your contract. Add reminders to your calendar.
• Confirm how the escrow holder handles deposit releases if a dispute occurs.
• Verify wire instructions by phone using a known, trusted number for the title company.

Red flags you should question or negotiate:

• Requests to send funds to a personal or non‑escrow account.
• Missing or unclear title timelines or late disclosure of title issues.
• Unreasonably short inspection or financing periods that do not allow practical completion.
• Large non‑refundable fees or vague language about when a deposit becomes non‑refundable.

Craft a competitive offer in Weston

You can balance a strong offer with smart protections.

• Signal strength with the deposit. A larger, promptly delivered deposit can set your offer apart. Confirm your risk tolerance before you increase it.
• Shorten key periods, not unrealistically. For example, you might shorten the inspection period to 7 days if you can schedule and receive reports quickly.
• Get pre‑underwritten. A firm lender preapproval or early underwriting can support a shorter financing period.
• Avoid unnecessary waivers. Waiving inspection or financing can win bids but raises your risk of losing the deposit if problems arise.
• Align appraisal and financing deadlines. This keeps the appraisal from arriving after the financing deadline.

Practical pre‑offer checklist for Weston buyers:

• Confirm property type and ask about HOA or condo documents and any special assessments.
• Ask what deposit amounts have been typical for recent comparable sales.
• Decide on a deposit that fits your price tier and comfort level. Confirm delivery method and escrow holder details in advance.
• Set realistic inspection, financing, and document review periods based on your lender and inspector availability.
• Secure a strong preapproval or proof of funds and have it ready to submit with your offer.
• Clarify in the contract who holds the deposit and how it must be delivered.
• Prepare to verify any wire instructions by phone before sending funds.

For condo and HOA buyers

Many Weston homes are in homeowners associations, and condos are common across Broward. Your contract may give you a short period to review association budgets, rules, and disclosures. Use that time well. If you see material issues you cannot accept and your contract allows it, you can cancel within the review period and protect your deposit. Ask about special assessments early and align your financing deadlines with the document review period.

Work with a local, trusted team

Understanding earnest money and escrow gives you confidence, but your contract is where details live. A trusted local team can help you set the right deposit, choose realistic timelines, and keep every step on schedule.

The Tello Team brings a client‑first approach, deep Broward experience, and integrated systems to guide you from offer to closing. You get responsive communication, clear next steps, and support in English, Spanish, or German. If you are planning a purchase in Weston or nearby suburbs, we are ready to help you structure a strong, protected offer.

Ready to talk through your deposit strategy and next steps? Connect with The Tello Team to get started.

The Tello Team

FAQs

What is earnest money in a Weston home purchase?

• It is a good‑faith deposit you provide with an accepted offer that applies to your down payment and closing costs, held in escrow per your contract.

Who usually holds earnest money in Broward County?

• A title company or the listing broker’s escrow account typically holds the funds, as specified in your contract.

How much earnest money do Weston sellers expect?

• Many buyers use 1 to 3 percent of the price or a flat amount, with higher deposits common in competitive or higher‑priced Weston properties.

When is my deposit due after the offer is accepted?

• Contracts often require delivery within 1 to 5 business days of the effective date, so plan your funding and delivery method early.

What contingencies protect my deposit if I need to cancel?

• Inspection, financing, appraisal, title, and HOA or condo document review contingencies are common protections when used within their deadlines.

How do I avoid escrow wire‑fraud scams?

• Call the escrow holder at a trusted phone number to confirm wiring instructions before you send funds and never rely on email changes alone.

What happens if the appraisal comes in low?

• You can renegotiate price, pay the difference, or cancel if your contract includes an appraisal contingency and you act within the deadline.