Contracts
In New Mexico, which of the following occurs when a buyer and seller agree to 'close in escrow'?
AThe buyer takes possession before closing
BAll documents and funds are deposited with a neutral escrow agent who disburses them when all conditions are met✓ Correct
CThe buyer waives their right to inspection
DThe seller keeps the earnest money in escrow
Explanation
Closing in escrow means a neutral third party (escrow/title company) receives the deed, funds, and documents and releases them to the appropriate parties only when all contract conditions are satisfied.
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