A reader asks:

What is earnest money and why is it called that?

Our reply:

Earnest money is the deposit that is to be put into escrow when a buyer makes an offer to purchase a property. It is to show the seller that the buyer is in “earnest” with his offer.

- Janis Stone

See our previous article Glossary of Real Estate Terms.

A reader asks:

I am currently living in a building that has two residential units and one commercial space. Does this count as a two unit building in regards to condo conversion?

Our reply:

A building as you describe it is called a mixed use building. In this case it is considered a three unit building with regard to condo conversion.

- Janis Stone