ch.10Escrow, Transaction Coordinators and Title Insurance

real estate

 The Escrow Act is found in the:

a. Financial Code.
b. Mortgage Code.
c. Penal Code.
d. all of the above

a. Financial Code.

A ___ prepares a checklist of all the files and docs that an agent / broker needs to facilitate a smooth transition into escrow

Transaction Coordinator (TC)

An escrow holder can be:

a. a corporation.
b. an attorney.
c. a real estate broker acting as a real estate agent in the transaction.
d. all of the above.

d. all

A statement by a lender, under a Deed of Trust, that provides information, such as the unpaid balance, monthly payment, and interest rate is referred to as a(n):

a. Payoff Demand Statement.
b. Escrow Request Statement
c. Beneficiary's Statement.
d. Loan History Statement.

c. Beneficiary's Statement.

The closing date is the date the documents:

a. are drawn up.
b. are destroyed.
c. are recorded.
d. all of the above.

c. are recorded.

The process of proportionately dividing expenses or income to the date escrow closes is called:

a. escrowing.
b. proration.
c. accounting.
d. reconciling.

b. proration.

Property tax prorations are based on the amount:

a. the seller is paying.
b. the buyer is paying.
c. the agency is paying.
d. all of the above.

a. the seller is paying.

The "Structural Pest Control Certification Report":

a. is a written report given by a licensed pest control company.
b. identifies any wood-destroying pests.
c. identifies conditions likely to cause pest infestation.
d. all of the above.

d. all of the above.

Escrow reports real estate transactions to the:

a. CalBRE.
b. F.B.I.
c. I.R.S.
d. all of the above

c. I.R.S.

Condominium insurance is chosen by:

a. the managing agent.
b. the homeowner's association.
c. the buyer.
d. escrow.

b. the homeowner's association.

When escrow closes:

a. separate agency changes to dual agency.
b. dual agency changes to separate agency.
c. dual agency changes to triple agency.
d. none of the above.

b. dual agency changes to separate agency.

A written summary of the property's documents that evidences title is called the:

a. abstract of title.
b. absurdity of title.
c. prospectus of title.
d. prohibition of title.

a. abstract of title.

In compiling a "chain of title," a title insurance company searches the:

a. Federal Lands Office.
b. County Clerk's Office.
c. County Recorder's Office.
d. all of the above.

d. all of the above.

Ordering a "Preliminary Title Report" is the:

a. first step in the title search.
b. second step in the title search.
c. third step in the title search.
d. final step in the title search.

a. first step in the title search.

The "standard" and most common title insurance policy in California is the:

a. CLTA policy.
b. ALTA policy.
c. BLTA policy.
d. CRTA policy.

a. CLTA policy.

Which of the following title insurance policies requires a survey?

a. CLTA
b. ALTA
c. Both a and b
d. None of the above

b. ALTA

No title insurance protects against:

a. a document not properly signed.
b. unmarketability of title.
c. zoning changes.
d. defective delivery of a document.

c. zoning changes.

The "R" in the ALTA-R policy R indicates the policy is:

a. Regulatory.
b. Residential.
c. Required.
d. Refundable.

b. Residential.

The "Real Estate Settlement Procedures Act" requires that the settlement statement must be delivered:

a. as soon as possible.
b. within three business days after the close of escrow.
c. within three business days after the opening of escrow.
d. on or before the date of settlement, at no charge.

d. on or before the date of settlement, at no charge.

The "Real Estate Settlement Procedures Act" allows the buyer to request the settlement statement:

a. whenever he or she wants to.
b. one business day before closing.
c. one week before closing.
d. ten business days before closing.

b. one business day before closing.

 The "Real Estate Settlement Procedures Act":

a. covers first loans on one-to-four unit residential dwellings.
b. has disclosure requirements for federally related lenders.
c. is abbreviated as RESPA.
d. all of the above.

d. all of the above.