Contracts

The doctrine of 'equitable conversion' in Florida real estate means:

AThe buyer may convert the property to a different use after contract signing
BOnce a sales contract is signed, the buyer is treated as the equitable owner of the property✓ Correct
CThe seller can convert personal property to real property for tax purposes
DThe lender has equitable rights to the property during the mortgage period

Explanation

Equitable conversion holds that once a valid purchase contract is signed, the buyer is treated as the equitable owner of the property, and the seller retains legal title only as security for payment of the purchase price.

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