Earnest money under a contract is always the down payment of the purchase price.

Name: Earnest money under a contract is always the down payment of the purchase price.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

Earnest money is a deposit made by the buyer to show their intention to go through with the purchase. It is not always the same as the down payment, although it may be applied to it in some cases. The amount of earnest money is usually negotiable and varies depending on the terms of the contract.

Earnest Money Under a Contract Is Always the Down Payment