How much earnest money (deposit) should I put down in Alberta?
Quick Answer
Short answer: 1–3% of purchase price is typical; $5,000–$10,000 on entry-level homes and $20,000+ on higher-end deals.
Detailed Explanation
Alberta's Real Estate Act requires a "stakeholder" (brokerage or lawyer) to hold deposits in trust. While no legal minimum exists, a meaningful sum shows good faith and deters frivolous offers.
Deposits count toward your total down payment and are credited at closing. Insufficient funds or late deposit delivery constitutes buyer default and can void the deal.
- Deposit is due within 3 business days of acceptance unless otherwise stated
- Higher deposits may strengthen offers in competitive markets
- Interest earned on trust account deposits goes to buyer
Disclaimer: This page is for general information only and does not constitute legal, financial, or real estate advice. Always verify details with a licensed Alberta REALTOR®, mortgage professional, or lawyer before making decisions. Buy in Edmonton assumes no liability for actions taken based on this content.
Tim Grover, RE/MAX Excellence • 780-288-5144 • 5607 199 Street NW, Edmonton, AB
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