D) any of the above 1. A real estate broker 2. An attorney 3. A domestic or foreign corporation
a) The mutual agreement of the buyer and the seller
b) The broker’s order to terminate escrow
C) Impound account items
a) Owes the buyer $250
d) all below
a. interest may be unequal
b. the owner does not own a specific part of the property.
c. an individual owner can sell their interest without the consent of the other tenants.
d) has sole ownership of the property
d) all of the listed are not
is to sell real estate
b) Sara owns the property free and clear of the (encumbrance) = any claim or lien on a parcel of real estate
b) Joint tenancy
d) Standard title insurance policy
The “Standard title policy” is another name for the California Land Title Association (CLTA), which ins’t explicitly provided as an option. When confronting a difficult question, remember to eliminate all the wrong or incomplete answers
b) incompetence of any of the parties
b- Only the American Land Title Association (ALTA) policy will give additional coverage, such as for encroachments and prescriptive easements. Incompetence of any of the parties is covered by both standard and extended policies.
a, b, c, unrecorded liens, easements and liens on the property not revealed by the public records, rights of parties in possession (d) all of the above are not covered)
d- Only the American Land Title Association (ALTA) policy will give additional coverage, such as for encroachments and prescriptive easements. Incompetence of any of the parties is covered by both standard and extended policies.
b) show a deed of trust with the seller as trustor.
b- On April 5 the seller will still be the owner and the trustor on the Federal Housing Administration (FHA) loan. Thus, answer choice B is the only correct answer.
c) The location of property lines according to a formal survey
c- Anwer selection C is one of the extended benefits of an American Land Title Association (ALTA) policy.
a) Abstract of title
a- Note the words “chain of title” in the question , which is something that may also be covered in another question. The record of title is summarized in the abstract of title.
c) The grantor and grantee names alphabetically
c- The names of both parties to the transfer are named and indexed accordingly.
d) Grant deed
d- A grant deed is valid whether or not is recorded.
a) The effect of a “sale of the state” by the tax collector is to start the redemption period running.
a- The redemption period begins with the sale.
a) assesing the land and improvements separately, then multiplying the total by one tax rate.
a- The land and improvements are valued separately though the tax rate is the same.
c) Real estate tax
c- Ad valorum is the tax assesor’s valuation for real estate.
c) Notify the buyer and seller of the discrepancy and obtain written instructions as to which report to use.
c- Remember, only the principals can make decisions about transactions terms to escrow.
b) bill of sale
b- a bill of sale is sued to transfer personal property.
exection: The monthly mortgage payment
All of these can be added
a) Miscellaneous sale expenses b) The real estate brokerage commission earned on the sale
c) The cost of improvements
d) Mortgage payments are the exception. The other three answers selections have similarities and may be added to the original cost basis of real property to arrive at an adjusted basis for federal income tax purposes.
d) All of them
a) Mortgage interest payments. b) A mortgage prepayment penalty that was incurred. c) Property taxes.
d) exception ( delinquent interest)
a) property insurance b) property taxes and assessments c) impounds
d) Delinquent interest is a seller expense and not prorated for the buyer
d) 111.00 is incorrect
a) 110.00 b) 55.00 c) 220.00 are correct
d) Transfer stamps come in multiples of $0.55
d) does not have to be recorded to transfer title.
d) This question runs parallel to Question 19. A deed does not need to be recorded to be valid, but must be recorded to give constructive notice( Anwer selection A)
a) Quitclaim deed
a) The quitclaim deed is the exception here. There are no guarantees or warranties with a quitclaim deed.
d) signed by the grantor
d) a Signature completes the execution. The transfer process requires delivery and acceptance to be complete.
c) a cloud on the tittle.
c) an inconsistency in the names of the title holder and grantor on the deed will require clarification, creating a cloud on title until this has been accomplished.
d) all are correct
a) interest conveyed.
b) signatures of the principal parties
c) designation of purchase price.
