You must put up an earnest money deposit when you buy a home. The purpose of earnest money is to show you're serious about buying.You'll have to submit your earnest money deposit to escrow within 3 business days. Parties are free to agree on another amount. Earnest money is a deposit made to a seller, often in real estate transactions, that shows the buyer's good faith in a transaction. What Is Earnest Money? An earnest money deposit is often called an escrow deposit, good faith money, or a deposit on a home. Yes your earnest money deposit is refundable if you are removing or backing out of the contract within the time frame you set up. Most contracts include a due diligence deadline anywhere from seven days to two weeks after the agreement date.