Contracts

A real estate contract signed by a minor in Iowa is:

AVoid and has no legal effect

BVoidable at the option of the minor✓ Correct

CFully enforceable against both parties

DValid only if the minor's parents co-sign

Explanation

A contract signed by a minor (under 18 in Iowa) is voidable at the minor's option. The minor may disaffirm the contract upon reaching majority.

A contract giving the buyer the right, but not the obligation, to purchase a property at a specified price within a specified time period.

A deposit made by the buyer when submitting a purchase offer, demonstrating serious intent and serving as consideration for the contract.

A condition in a purchase contract that must be satisfied before the sale can proceed to closing.

A legally binding contract between a buyer and seller that outlines the terms and conditions of a real estate sale.

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