Earnest Money In Sunapee: How Much And When

Making an offer on a Sunapee home and wondering how much to put down as earnest money? You are not alone. Between lakefront competition and weekend timelines, it can feel confusing. In a few minutes, you will know what earnest money is, how much buyers commonly offer in Sunapee, when it is due, and which contingencies protect your deposit. Let’s dive in.

Earnest money basics

Earnest money is a good‑faith deposit you provide with an accepted offer to show you are serious. It is placed in a neutral escrow or trust account while the deal moves forward. If you close, the funds usually apply to your down payment or closing costs.

The deposit gives the seller confidence while you complete inspections, financing, and title review. It also sets out a remedy if a buyer breaches the contract, based on the language you negotiate in the Purchase and Sale agreement.

How much in Sunapee

There is no fixed rule, but a common national guideline is about 1 to 3 percent of the price. In Sunapee and other seasonal lake markets, buyers often use set dollar amounts that match local custom, scaled to price and property type.

Several local factors influence what you offer:

• Property type. Waterfront and direct Lake Sunapee access homes are more competitive, so deposits tend to be larger.
• Price point. Higher-priced homes often carry larger deposits in dollars, even if the percentage is similar.
• Market conditions. In a seller’s market or a multiple-offer situation, expect higher deposits and tighter timelines.
• Contingencies. Offers that waive protections often show larger deposits. Offers with full protections may use smaller deposits.
• Buyer profile. Cash or local buyers sometimes offer more to stand out.
• Brokerage or title practices. Some escrow holders have customary minimums, such as a $1,000 minimum deposit.

If you want to be competitive near Lake Sunapee, talk with your agent about recent local deals so your deposit aligns with current expectations.

When the deposit is due

Earnest money is typically due when your offer is accepted and the purchase contract is fully executed. Many Sunapee-area contracts allow a short window to deliver funds, often 24 to 72 hours after mutual acceptance. In some cases, sellers ask for a check or proof of deposit with the initial offer.

You can deliver funds by personal or cashier’s check, wire transfer, or an approved electronic method, depending on the escrow holder. Always confirm who will hold the funds, where to deliver them, and get a receipt from the escrow holder. If you plan to tour homes on a weekend and may write quickly, arrange funds in advance so you can meet fast timelines.

Contingencies that protect your deposit

Contingencies are your safety net. If you follow the contract’s steps and timelines, these protections can allow you to cancel and get your deposit back.

Standard protections include:

• Home inspection, plus radon or pest where applicable
• Financing contingency
• Appraisal contingency
• Title and clear, marketable title review
• Sale-of-home contingency

Lake Sunapee specifics to consider:

• Septic system inspection and approval
• Well water inspection and water-quality testing
• Shoreline and riparian rights, including deeded access and mooring or slip permissions
• Shoreland and wetlands regulations that affect building or expansion plans
• Association documents if docks or waterfront are managed jointly
• Flood zone status and flood insurance implications

Read the deadlines and notice requirements closely. Missing a date or failing to give proper written notice can put your deposit at risk.

Lake Sunapee scenarios (hypothetical)

These examples are illustrative, not rules. They show how buyers might tailor deposits based on property type and competitiveness.

• Example 1 — Modest non-waterfront cottage

  • Price: $350,000
  • Hypothetical deposit: $3,000
  • Timeline: deposit within 48 hours of acceptance; inspection period of 10 to 14 days; financing period of 21 to 30 days
  • Why it works: a reasonable deposit with full contingency protection

• Example 2 — Desirable Lake Sunapee waterfront home

  • Price: $975,000
  • Hypothetical deposit: $15,000
  • Strategy: larger deposit and shorter contingency windows to compete, or limited waivers paired with a strict, short inspection right
  • Why it works: signals strong commitment in a multiple-offer setting

• Example 3 — Cash buyer for lakeside property

  • Price: $650,000 cash
  • Hypothetical deposit: $10,000
  • Strategy: sizable deposit and quick close; contingency choices depend on risk tolerance
  • Why it works: cash plus a larger deposit can secure favorable terms

Buyer checklist before you offer

Use this quick list to prepare for a smooth Sunapee offer:

• Confirm current deposit norms with your local agent who is active around Lake Sunapee.
• Line up funds in advance. Have a cashier’s check ready or pre-arrange a wire with verified procedures.
• Identify the escrow holder in your Purchase and Sale agreement. Confirm delivery method and who issues the receipt.
• Review all contingency deadlines and how to deliver written notice.
• If you plan improvements on or near the shoreline, plan for permit and regulation review as part of due diligence.
• If an association is involved, request and review governing documents within your contingency period.

Risks to avoid

• Missing a contingency deadline or failing to give proper notice to cancel
• Canceling for reasons not covered by your contingencies
• Unclear escrow instructions or not knowing who can release funds
• Wire fraud. Always call the escrow holder at a verified phone number to confirm wiring instructions
• Increasing your deposit under bidding pressure without understanding the added risk

Make your Sunapee offer strong

A right-sized deposit, a clear timeline, and the right protections can make your offer more compelling while keeping your interests safe. If you are weighing how much to put down or how to structure contingencies for a lakefront home, local guidance makes all the difference. Reach out to Sandy Reavill for practical, place-based advice and a smooth path from offer to closing.

FAQs

How much earnest money should I offer in Sunapee?

• There is no fixed rule. A common national starting point is 1 to 3 percent of price, but local dollar norms and property type matter, especially for Lake Sunapee waterfront.

When is earnest money due for a Sunapee purchase?

• It is typically due at acceptance with a short delivery window, often 24 to 72 hours, unless a seller requests it with the initial offer.

Who holds the deposit in New Hampshire?

• The listing broker, buyer’s broker, a title company, or an attorney can hold funds in escrow. Your contract will name the escrow holder.

Can I get my deposit back after a bad inspection?

• If your inspection contingency is exercised properly within the deadline and per the contract, you can usually cancel and receive a refund of your deposit.