Contracts

Earnest money in a Montana real estate transaction is best described as:

AThe commission owed to the listing agent
BA deposit demonstrating the buyer's good faith intent to purchase✓ Correct
CThe down payment required by the lender
DA fee paid to the title company at closing

Explanation

Earnest money is a good-faith deposit made by the buyer to show serious intent to purchase. It is typically applied toward the purchase price at closing.

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