What is a binder?

Written By Holly Ecimovic

What is a “binder”, or an “offer to purchase?”

A binder is a preliminary agreement, secured by the payment of earnest money, between a buyer and seller as an offer to purchase real estate.

A binder secures the right to purchase real estate upon agreed terms for a limited period of time.

If the buyer changes his mind or is unable to purchase, the earnest money is forfeited unless the binder expressly provides that it is to be refunded.

Are you looking to finance a home? Reach out today! holly.ecimovic@edgehomefinance.com.

Holly Ecimovic, NMLS #2396592

Holly Ecimovic
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