Earnest Money When Buying Neighbor's House FBSO

[Kayla Strozier]

I have a rental property that is a townhouse. My next-door neighbor to my townhouse has agreed to sell her townhouse to me. We are doing this without realtors. How is earnest money handled in cases of FSBO? Should I just write a check to her that she then has the option of depositing into her personal bank account (but be sure to include very detailed, specific language in the contract regarding the earnest money in case the sale does not go through)?

Any help would be greatly appreciated. Thanks!