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Refinance > Binder or "Offer to Purchase"

The following information is about Binder or "Offer to Purchase".

Binder or "Offer to Purchase" Defined

A preliminary agreement, secured by the payment of earnest money, between a buyer and seller as an offer to purchase real estate. A binder secures the right to purchase real estate upon agreed terms for a limited period of time. If the buyer changes his mind or is unable to purchase, the earnest money is forfeited unless the binder expressly provides that it is to be refunded.

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