earnest money for apartment

[Account Closed]

okay i found a site that says it offers 100% ltv on commercial properties that cashflow. Is this for real? How much earnest money is required for an apartment complex. The one I am thinking about making an offer on is asking $700,000. so how much earnest money should I give.

[Bryan Hancock]

100% financing for CRE does not exist anymore from my experience. I would be very skeptical that any source claiming to lend on that basis is really a scam company trying to part you with money up front. Be very careful.

The earnest money decision really depends on the situation, but 10% does not sound unreasonable. You need to make sure your option periods and such are set up properly in the contract. On a big purchase not knowing what you are doing can be very costly so please be careful.