New Hampshire License Law

In NH, 'earnest money' deposited with a listing broker is considered:

AThe broker's earned commission
BClient funds held in trust until closing or contract termination✓ Correct
CThe seller's property immediately upon deposit
DLegally uncommitted funds the broker may invest

Explanation

Earnest money deposited with a broker is client funds held in trust (escrow) on behalf of the parties. The broker does not own these funds and must keep them in a separate trust account. The funds are released at closing or according to the contract's terms if the transaction fails.

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