What Is the Earnest Money Timeline in NH Real Estate?

🏡 What Is the Earnest Money Timeline in NH Real Estate?

When buying a home in Plymouth, Campton, Thornton, Rumney, or anywhere across Central NH, one of the first steps after a seller accepts your offer is submitting earnest money.

Understanding the timeline helps buyers stay compliant with the contract and prevents delays or disputes.

Here’s exactly how the earnest money timeline works in New Hampshire.

⭐

When Is Earnest Money Due in NH?

In most NH real estate transactions, the earnest money deposit is due:

✔ Within 3 business days of offer acceptance

or

✔ By a specific deadline written into the contract

The countdown begins the day the buyer and seller have a fully signed purchase and sales agreement.

⭐

Who Holds the Earnest Money?

Earnest money is typically held in an escrow account by:

• The listing brokerage

• The buyer’s brokerage

• A title company

• A closing attorney

The contract will specify the escrow agent.

⭐

What Happens After Earnest Money Is Deposited?

Once the deposit is made, the next steps usually include:

✔ Scheduling the home inspection

✔ Beginning the mortgage application

✔ Completing loan disclosures

✔ Initiating the appraisal

✔ Reviewing seller disclosures

✔ Title search ordered by the closing attorney

These steps all occur during the contingency period.

⭐

When Can Earnest Money Be Refunded?

Earnest money is refundable if the buyer cancels the transaction under valid contingencies, such as:

• Home inspection issues

• Financing denial

• Appraisal problems

• Title defects

• Unsatisfactory condo docs (if applicable)

As long as the buyer acts within the contract deadlines, the deposit is typically returned.

⭐

When Does Earnest Money Become Non-Refundable?

Earnest money may become non-refundable:

✔ After contingencies are released

✔ After the inspection period expires

✔ If the buyer backs out for a personal reason not covered in the contract

✔ If the buyer fails to meet contract deadlines

The exact rules depend on the written terms of the purchase agreement.

⭐

What Happens to the Earnest Money at Closing?

At closing, the earnest money is:

➡️ credited back to the buyer

and applied toward:

• Down payment

or

• Closing costs

It is not an additional fee — it’s simply money paid upfront and then reused at closing.

⭐

Why Understanding the Timeline Matters

Clear understanding helps buyers:

✔ Avoid missing deadlines

✔ Prevent disputes with the seller

✔ Stay compliant with NH real estate contracts

✔ Keep the transaction on track

Missing earnest money deadlines can put the entire deal at risk.

⭐

Keywords

nh earnest money timeline, plymouth nh buyer deposit rules, campton nh home purchase steps, rumney nh escrow deposit, thornton nh real estate deadlines, central nh home buying process, nh earnest deposit due date

Jim Johnson — Real Estate Agent

58 NH Route 25A

Wentworth, NH 03282

P: (857) 249-7392

W: www.JimJohnsonRealEstateAgent.com

Licensed New Hampshire REALTOR® with Three Hills Real Estate Services

Broker Email: info@ThreeHillsRES.com

Broker Website: www.ThreeHillsRES.com