Glossary & Terms

An earnest money deposit (EMD), sometimes referred to as a “good faith deposit”, is the initial funds that a buyer is asked to put down once a seller accepts the buyer’s offer. It shows not only that the buyer is serious about buying, but that they are also willing to put their money where their mouth is.

This is the investment a homeowner has in their home. To calculate equity, take the market value of the home and subtract any mortgages or liens against the property. The amount leftover is the amount of equity you have in the home.

Energy Recovery Ventilators (ERVs) replace stale interior air with fresh air from the outside. The exterior air passes through a heat exchanger so the energy from heating or cooling the interior air is not lost. It also helps to remove moisture from exterior air during warmer humid months. The air is filtered to remove particulates like mold spores and pollen.

The escrow holder is the agent and depositary (impartial third-party) who collects the money, written instruments, documents, personal property, or other things of value to be held until the happening of specified events or the performance of described conditions, usually set forth in mutual, written instructions from the parties.