Contracts

An earnest money deposit in Georgia is best described as:

AAdditional consideration paid by the buyer to show good faith✓ Correct
BA non-refundable fee paid to the listing broker
CMoney paid directly to the seller at contract signing
DA government fee required by GREC

Explanation

Earnest money is a deposit paid by the buyer to demonstrate good faith and serious intent to purchase. It is held in trust and applied toward the purchase price at closing or returned/forfeited per contract terms.

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