Need to make a deposit to seller agent office?

[Edward Shen]

Hi everyone,

So i am planning to offer on my first house and is working with a realtor. I wanted to make a offer on a 100k house with 60k (cause the inside is absolutely terrible and the seller is trying to sell based on the region being developed). My realtor asked me that i need an deposit amount to give to the other office agent. He suggested 5k to be enticing, though i feel that it is kind of high since we we will closing in cash anyway. I am confused on what this deposit is. Is this a down payment essentially? Also what if the seller did accept it and somehow we back out of it, Is this deposit gone? I never heard of a deposit to the agent office, maybe is because i am new.

If i can get clarify that be great. Thanks.