Earnest money is the good-faith deposit you put down when your offer is accepted. In Utah:
- Typical range: 1-2% of purchase price
- Held by the title/escrow company (not the seller)
- Applied to your down payment / closing costs at closing
- Refundable if you cancel within the REPC’s stated deadlines (due-diligence, financing, appraisal)
- Forfeited if you back out outside those deadlines without cause
In a hot market, buyers sometimes offer 3-5% earnest money to strengthen the offer. Never send earnest money directly to a seller — always to a licensed title company.