Definitions:

1. A deposit made by a buyer to a seller as a show of good faith when entering a contract, particularly in real estate transactions. NOUN
   • The contract stipulated that the earnest money would be refunded if the buyer was unable to secure financing.
2. Money given by a buyer to a seller to bind a contract. NOUN
   • If the buyer walks away without a valid reason, the seller can keep the earnest money as compensation.
3. Money paid as a deposit to show intent to buy or reserve an item to be purchased. NOUN
   • The earnest money deposit served as a placeholder for the buyer's financial commitment.

Synonyms:

• Good faith deposit Security deposit Binder deposit