Earnest money deposit on a new construction

[Alex Thomsen]

Hi BP community,

I have a situation, which seems a bit odd, and I would be grateful for any insights. I am looking for single family investment/rental properties in Charlotte NC and my agent found a new construction, which is already completed. We negotiated the price down a bit from $350k to $340k and the construction company is committed to pay 2% of seller's paid costs as incentives if I use their preferred lender. So far everything seems reasonable. However, dealing with the seller is a bit of a mess - she is extremely pushy and want me to place a $50k earnest money deposit ASAP. I am having a hard time understanding why I would need to pay $50k earnest money deposit when the house is already completed and I can close fast. I know that earnest money deposit is given as an indication of being serious but I just feel that $50k is a bit outrageous. I am getting nervous over potential issues with the house or the loan options, and the prospect of either being pushed into a bad deal or losing $50k in a nano second. Therefore, I wonder if an earnest money deposit of $50k is normal for a newly built single family house?