How soon must a licensee pay over a deposit they receive in a transaction to the designated broker or company?

A licensee is required to pay over a deposit they receive in a transaction to the designated broker or company within one business day of receiving a fully executed contract. This practice ensures that funds are handled properly and in accordance with legal and ethical standards in real estate transactions.

Timely submission of deposits is crucial for several reasons. First, it helps maintain clear records of all transactions, which is important for accountability and transparency. Second, the broker needs the funds to manage any necessary escrow procedures and ensure that the transaction can proceed smoothly. This timing protects the interests of all parties involved, including the buyer and the seller.

The other options do not align with the regulations governing real estate practices. For instance, waiting until the end of the transaction or after escrow closes would delay the handling of funds unnecessarily and could lead to issues of trust and compliance. Therefore, the requirement for immediate action upon receiving a fully executed contract plays a vital role in effective property management and real estate transactions.