I answered to a question of how much should a client put down for the deposit when making an offer. For those of you who have the same question, here is my brief response.
It is very typical to put a deposit of $5000 or more for an initial deposit when making an offer. This will be like a “good faith amount”. The real typical TOTAL amount is usually 3% or the purchase price made out to the title company and held in escrow if accepted. This will then be part of the down payment.
Whatever the amount is, it could depend on the house and its circumstances. For instance, if the house is in great demand, the agent may suggest a higher amount to entice the seller and the sellers agent to think that the buyer is really serious. If the house is just “so-so” then the deposit could be minimal, because the buyer would care less if they get the house or not. Most often, the deposit amount of the check when shown at the time of presentation, is to let the seller know that they are willing to risk that amount if buyer defaults for “no reason” and there is less of a chance with the higher amount shown.
Hope this gives you some insight.