An Agreement of Sale is a written contract where the buyer agrees to purchase and the seller agrees to sell real estate under specified terms and conditions.
Commingle refers to the act of mixing or blending, for example, combining client funds with a broker's personal funds. This practice is prohibited under most state laws, especially concerning earnest money deposits.
Damages refer to the monetary compensation recoverable by a person who has been injured due to the act or default of another. This can include physical harm, property damage, or violation of rights.
A deposit signifies money paid in good faith to assure the performance of a contract, commonly used with sales contracts and leases. If the individual who put up the deposit fails to fulfill contract terms, the deposit could be forfeited unless contract conditions allow for a refund.
Earnest money is a deposit made by a purchaser of real estate to evidence good faith.
Escrow is an arrangement in which a third party holds funds or documents on behalf of the primary parties involved in a transaction, pending the fulfillment of specified conditions.
Good faith money, also known as earnest money, is a deposit made by a buyer to demonstrate serious interest and intent in purchasing a property. This deposit helps assure the seller of the buyer's commitment while the transaction details are finalized.
A title company plays a crucial role in the real estate transaction process by examining titles, holding earnest money, and issuing title insurance. Their services ensure that the title to a property is free from any liens or disputes before the transaction is finalized.
A trust account, also known as an escrow account in some states, is a separate bank account required by state law for brokers to deposit all client monies. This ensures that client funds are kept separate from the broker's own funds.
