The broker should follow the below steps:
a. Refuse to release the earnest money
b. Tell the buyer of the situation
c. Release the earnest money
Explanation:
A purchase agreement is a legal document that is signed between two parties, the seller who is interested in selling the product or property and buyer who is involved in purchasing the product or property.
The document comprises terms and conditions that are related to the sale of the product. It creates a legal contract between the buyer and seller. Earnest money is amount paid to confirm the contract.
Earnest money is the advance money paid to the seller to show that the purchaser is interested in purchasing the property.
