Which of the following refers to money that is provided by a potential purchaser and applied toward the purchase price of property if the sale goes through,but could be forfeited if the buyer changes his or her mind?
A)Guaranteed funds
B)Good faith money
C)Earnest money
D)Proof money
E)A down payment

Question

Quizplus · Accepted Answer

A)Once the buyer finds a desired property,she makes a written offer to purchase
under specified conditions and puts up earnest money designed to establish the seriousness of her offer.If the seller accepts the offer,the earnest money will apply toward the purchase price.If the buyer later changes her mind,the earnest money could be forfeited.

Which of the Following Refers to Money That Is Provided