Earnest Money in Las Vegas: What Buyers Should Know

Putting thousands down before you even get the keys can feel risky. In Las Vegas, that good-faith deposit, called earnest money, helps your offer stand out and keeps the seller engaged while you complete inspections and financing. When you understand local norms and deadlines, you can protect your funds and negotiate with confidence. In this guide, you will learn what earnest money looks like in Clark County, when it is refundable, and the steps to keep your deposit safe. Let’s dive in.

Earnest money basics

Earnest money is the deposit you make after your offer is accepted to show the seller you are serious. In Nevada, the funds are typically held by an escrow or title company as instructed in the purchase agreement. If the transaction closes, the deposit is credited to your cash to close, such as your down payment or closing costs.

The deposit also gives the seller some protection if you default after removing contingencies. Your exact rights and remedies come from the signed contract. The escrow holder follows those instructions for any release of funds.

Typical amounts in Las Vegas

Across many U.S. markets, earnest money often falls around 1% to 3% of the purchase price. In Las Vegas and greater Clark County, a common range in normal or buyer-leaning conditions is 1% to 2% for single-family homes. In competitive situations with multiple offers, sellers may expect 3% or more, or a significant flat-dollar amount that fits the price and demand.

The property type and your financing can influence what you offer. Higher-priced or luxury homes often carry larger deposits in absolute dollars, and cash buyers may put down more to strengthen their position. If you use FHA or VA financing, you can still submit a competitive deposit. Lenders do not set the amount, but they will want documentation of the funds.

When to consider a higher deposit

• You are competing with multiple offers and want to stand out.
• You are writing a cash offer and want to signal certainty.
• The property is in a high-demand segment, such as luxury or a rare listing.

When a lower deposit might work

• The home has been on the market longer and leverage favors buyers.
• The price point is lower, and sellers are comfortable with a flat amount.
• You balance a modest deposit with strong terms, such as clear proof of funds.

How and when to deposit

Most local contracts require you to deliver earnest money to the named escrow or title company shortly after acceptance. A common timeframe in Las Vegas is 24 to 72 hours from mutual acceptance, although the exact deadline is whatever your contract states.

You can typically deposit by verified wire, cashier’s check, or sometimes a personal check depending on escrow policy. Always confirm wiring instructions by calling the escrow company at a published phone number before sending funds. Keep your receipts and ask escrow for written confirmation once the deposit is received.

Contingencies that protect your deposit

Contingencies are your contract-based exit ramps. If you cancel within a valid contingency period, your earnest money is usually refundable.

Common contingencies include:

• Inspection contingency. You inspect the home and may cancel or negotiate within the specified days if issues arise.
• Financing contingency. If you cannot secure your loan within the agreed timeline and cancel per the contract, your deposit is protected.
• Appraisal contingency. If the home appraises below the purchase price and you cancel under the contract terms, the deposit is typically refundable.
• Title and document review. Items such as title reports or HOA documents can trigger cancellation rights if problems are not resolved.

Always track your contingency deadlines. Once you remove them in writing, your deposit is at greater risk if you later back out.

When your deposit is at risk

Your earnest money can be forfeited if you default after removing or waiving contingencies. For example, if you fail to close without a valid contingency to rely on, the seller may have the right to keep the deposit under the contract’s remedy clause.

If there is a dispute about who gets the deposit, escrow generally will not release funds without joint written instructions or a legal order. Many purchase agreements outline steps such as mediation, arbitration, or litigation for dispute resolution. The signed contract controls the outcome.

A simple Las Vegas timeline

• Day 0: Offer accepted. Both parties sign. The contract sets your deposit amount and delivery deadline.
• Days 0 to 3: Deliver earnest money to the escrow or title company. Use a verified wire or cashier’s check and confirm receipt.
• Days 3 to 14 (example): Inspection period. Complete inspections, request repairs or credits, or cancel within this window if needed.
• Days 10 to 21 (example): Financing and appraisal. Work through underwriting. If you cannot obtain financing, cancel under the contingency if applicable.
• Days 21 to 30 (example): Remove contingencies in writing and move to final loan approval and signing. Deposit risk increases after removal.
• Closing: Earnest money is credited to your cash to close.

Note: These windows are examples. Your specific contract controls every deadline.

Real-world scenarios

• Scenario A: You deposit 1% on a $450,000 home. During a 10-day inspection period, a major foundation issue is discovered. You cancel within the contingency period and the deposit is returned.
• Scenario B: To strengthen your offer, you waive inspection and loan contingencies, then cannot secure funds. The seller claims the 1% deposit as liquidated damages per the contract, and you likely forfeit it.
• Scenario C: You and the seller disagree about repairs after the contingency period. Escrow will not release funds without written agreement or a legal directive, and the contract’s dispute process applies.

Buyer checklist to protect your earnest money

• Read the contract’s earnest money clause and note every deadline.
• Deliver the deposit on time by verified wire or cashier’s check.
• Call the escrow company using a known phone number to confirm wire instructions.
• Keep proof of payment and request an escrow receipt.
• Use contingency timelines wisely. Do inspections promptly and communicate in writing.
• If the market is competitive, consider a stronger deposit or adjusted timelines, but understand the risk before removing contingencies.
• Confirm who holds the funds and how disputes are handled.
• Ask your local agent and escrow officer to review any unclear steps.

Work with local expertise

Market conditions in Las Vegas, Henderson, and Lake Las Vegas can shift quickly. A local advisor helps you right-size your deposit, set realistic timelines, and protect your interests from offer to close. You handle the big decisions with confidence while your team coordinates escrow, deadlines, and documentation.

If you are planning a move or targeting a resort-style property, let us guide you with a calm, concierge approach. For tailored advice and next steps, connect with Jenn Taylor.

FAQs

How much earnest money is typical in Las Vegas?

• In many Clark County purchases, buyers often offer about 1% to 2% in normal conditions, and 3% or more in competitive multiple-offer situations.

When is earnest money refundable in Nevada purchases?

• If you cancel within valid contract contingencies, such as inspection, financing, appraisal, or title review, your deposit is typically refundable.

Who holds the earnest money in Clark County?

• The escrow or title company named in the purchase agreement usually holds the funds and releases them only per the contract and written instructions.

How fast must I deposit earnest money after acceptance?

• Many local contracts set delivery within 24 to 72 hours of mutual acceptance, but your signed agreement controls the exact deadline.

Can I use a personal check for my earnest money in Las Vegas?

• Some escrow companies allow personal checks subject to hold times, though verified wires or cashier’s checks are commonly preferred.

What happens if there is a dispute over the deposit?

• Escrow typically will not release funds without joint written instructions or a court order, and the contract’s dispute resolution steps will apply.