This answer depends on a number of factors including the cost of the house and the type of mortgage that you get. In general, you need to come up with money to cover three costs:
- Earnest money, the deposit you make on the home when you submit your offer to the seller to prove that you are serious about buying the house
- The downpayment, the difference between the sales price and the mortgage amount, if that amounts differs from the earnest money and
- Closing costs, the costs associated with the processing and closing of the loan.
Posted in: Money Matters