Contracts

An 'earnest money' deposit in a Missouri contract serves as:

AFull payment for the property
BEvidence of the buyer's good faith and consideration for the contract✓ Correct
CThe broker's commission deposit
DA non-refundable deposit in all circumstances

Explanation

Earnest money serves as evidence of the buyer's good faith and provides consideration to make the contract binding. Its refundability depends on the terms of the contract and applicable contingencies.

Related Missouri Contracts Questions

Practice More Missouri Real Estate Questions

1,500+ questions covering all exam topics. Start free — no signup required.

Take the Free Missouri Quiz →