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dvtus
Guest
The builder is requiring us to put down 10% of the pucrhase price as earnest money, but directly to him an not in an escrow account.
Or asking for 10% (allowing escrow) plus 5% promissory note
Is this common?
The builder owns the land, and it is in Chicago area. They are builidng 15 customized houses (although we have limited/no choices at our price point). These are high end houses in a prime location close to the lake.
Although they have had limited success in being able to sell these houses.
We really like the house and location.
Also there is no non performing penalty for the builder, so they can not deliver the house and just return the deposit. I.e. if the market egts better next year at the time of delivery and someone offers them more money, they can get out of the contract and just return my deposit.
The builder is reputed, and build lot of communities.
Or asking for 10% (allowing escrow) plus 5% promissory note
Is this common?
The builder owns the land, and it is in Chicago area. They are builidng 15 customized houses (although we have limited/no choices at our price point). These are high end houses in a prime location close to the lake.
Although they have had limited success in being able to sell these houses.
We really like the house and location.
Also there is no non performing penalty for the builder, so they can not deliver the house and just return the deposit. I.e. if the market egts better next year at the time of delivery and someone offers them more money, they can get out of the contract and just return my deposit.
The builder is reputed, and build lot of communities.