Property Management

In Kansas, security deposits collected by a property manager must be:

ADeposited in the manager's personal account

BHeld in a separate trust account✓ Correct

CForwarded to the property owner immediately

DInvested in interest-bearing securities

Explanation

Security deposits must be held in a separate trust (escrow) account, segregated from the property manager's personal and operating funds.

A neutral third-party arrangement where funds, documents, and instructions are held until all conditions of a real estate transaction are satisfied.

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.

Trust Account Rules

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