When must money belonging to others be deposited?

Money belonging to others must be deposited and accounted for in relation to the purpose of the transaction as part of a broker’s fiduciary duties and ethical obligations. This means that when a broker receives funds, such as earnest money from a buyer, they must ensure that the money is deposited into a designated trust account and accurately tracked in a manner consistent with the transaction's intent. This accounting is essential to maintain transparency and integrity in the handling of clients' funds and to prevent any potential disputes regarding misappropriation or mismanagement.

This approach also underscores the importance of proper record-keeping and accountability, which are foundational principles in real estate practice. It ensures that funds are used appropriately for their intended purpose, whether that be for earnest money, security deposits, or other client funds. By doing this, brokers protect both themselves and their clients and follow legal regulations regarding the handling of trust funds.