Contracts
An earnest money deposit in a Delaware real estate contract is best described as:
AThe down payment at closing
BA mandatory government fee
CA good-faith deposit demonstrating the buyer's intent to purchase✓ Correct
DThe first month's rent in a lease transaction
Explanation
Earnest money is a good-faith deposit made by the buyer to show serious intent to complete the purchase. It is held in escrow and typically applied toward the purchase price at closing.
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