A California listing agent receives an earnest money deposit from a buyer. Under California law, the agent must deposit the funds into the broker's trust account within:
Correct Answer
D) 3 business days of receipt, or into escrow as directed
Under California Business and Professions Code §10145 and Commissioner's Regulation 2832, a real estate broker must deposit trust funds received on behalf of a principal into the broker's trust account or into a neutral escrow depository within three business days of receipt. This rule is strictly enforced by the DRE.
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Previous Question
A California buyer's agent is told by the listing agent that a competing offer exists on the property, but the amount is not disclosed. The buyer asks their agent to estimate the competing offer amount so they can decide how much to bid. What is the buyer's agent's correct course of action?
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A California listing agent has actual knowledge that a property they are listing was previously used as a methamphetamine manufacturing site. The property has not been tested or remediated. Under California law, what is the agent's disclosure obligation?