Search In Legal Arkansas Real Estate Forms For Free

Earnest money goes into an escrow account usually held by the real estate broker or the title company. If a deal falls apart because the house doesn't pass a home inspection, the earnest deposit is usually returned to the buyer.

The essential elements of a contract under Arkansas law include (1) competent parties, (2) subject matter, (3) legal consideration, (4) mutual agreement, and (5) mutual obligations.

Licensure Requirements for a Broker The Arkansas State Law portion of the exam consists of 30 scored questions and 10 pre-test questions. There is no distinction made between scored questions and pre-test questions on the exam. They are all mixed in together, so it is important that you answer each question carefully.

However, a buyer can only back out of the purchase contract before the official closing date. In a real estate purchase transaction, the buyer prepares an offer, signs it, and delivers it to the seller. The buyer also states the date that the offer will expire. This is known as the expiration date.

Your best bet is to negotiate with the seller and come up with an alternative solution that works for both parties. A good option could be a letter of credit or acquiring funds through an escrow account as a way to demonstrate your financial commitment to purchasing their house.

In most real estate markets, the average good faith deposit is between 1% and 3% of the property's purchase price. It can be as high as 10% for highly competitive homes with multiple interested buyers. Some sellers prefer to set fixed amounts to help filter out buyers that aren't serious.