Broker Johnson receives a $10,000 earnest money deposit from a buyer for a residential purchase. Under TREC rules, what must Johnson do with this deposit?
Correct Answer
A) Deposit the funds into the broker's trust account within the time period specified in the contract
Under TREC rules, earnest money must be deposited into the broker's trust account within the timeframe specified in the contract. Brokers cannot commingle earnest money with personal or operating funds.
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