Ch11 Quiz: Real Estate 84 Sec ON1 (20349) Fall 2023
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School
Chabot College *
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Course
84
Subject
Chemistry
Date
Jan 9, 2024
Type
Pages
10
Uploaded by ChancellorMusic11709
Ch11 Quiz
Due
Nov 19 at 11:59pm
Points
20
Questions
20
Time Limit
None
Allowed Attempts
2
Attempt History
Attempt
Time
Score
LATEST
Attempt 1
7 minutes
19 out of 20
Score for this attempt:
19
out of 20
Submitted Nov 20 at 7:33pm
This attempt took 7 minutes.
Take the Quiz Again
1 / 1 pts
Question 1
Which of the following persons or institutions is not exempt from escrow
agent licensing requirements?
Attorney
Title company
Broker performing escrow services for his or her own transaction
Broker performing escrow services for someone else's transaction
Correct!
Correct!
1 / 1 pts
Question 2
Which of the following is an advantage of the escrow process?
Parties do not have to be present at same time for closing
Parties are less able to back out of the transaction
Parties are protected against title defects of record
Both A and B
Correct!
Correct!
1 / 1 pts
Question 3
Which of the following items is not a part of the escrow process?
Ordering a preliminary title report
Making a counteroffer
Correct!
Correct!
Paying off the remainder of the seller's loan
Recording mortgage documents
1 / 1 pts
Question 4
The escrow agent will rely on what document when deciding how to
disburse the funds?
Escrow instructions
Correct!
Correct!
Promissory note
Listing agreement
Contingency addendum
1 / 1 pts
Question 5
Which of the following types of inspections would look for indications of
mold, asbestos, radon, and similar problems?
Soil inspection
Structural inspection
Environmental inspection
Correct!
Correct!
Pest inspection
1 / 1 pts
Question 6
Which of the following is not an important component of an inspection
report?
Compare the house's condition against similar properties
Project a future budget for repair or remodeling work
Provide an estimated valuation for the property
Correct!
Correct!
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Summarize areas that need or will need repairs
1 / 1 pts
Question 7
What service that a real estate agent might provide is similar in
principle, but not as detailed, as an appraisal?
Marketing plan
Competitive market analysis
Correct!
Correct!
Listing agreement
Property management plan
1 / 1 pts
Question 8
Which of the following is not covered by a standard homeowners'
hazard insurance policy?
Earthquake
Correct!
Correct!
Fire
Vandalism
Freezing of plumbing
1 / 1 pts
Question 9
Which of the following insurance policies will protect against defects
that only an inspection would reveal, such as encroachments or
adverse possession?
Hazard insurance
Extended policy of title insurance
Correct!
Correct!
Standard policy of title insurance
Seller's policy of title insurance
1 / 1 pts
Question 10
An annual expense is $1,850. Using a 365-day year, what is the per
diem rate?
$5.07
Correct!
Correct!
$5.14
$6.75
$59.68
1 / 1 pts
Question 11
The annual hazard insurance bill for a property is $700. The seller has
already paid for insurance through December 31. The closing date of
the sale of the property is August 15. Assuming there are 365 days in
the year and the buyer is responsible for the day of closing, how much
will the seller be refunded for his overpayment of the insurance bill?
$264.96
$266.88
Correct!
Correct!
$270.28
$433.92
0 / 1 pts
Question 12
Which of the following is not a cost to the buyer?
Origination fee
Purchase price
Appraisal
ou Answered
ou Answered
Documentary transfer tax
orrect Answer
orrect Answer
1 / 1 pts
Question 13
The buyer's costs are a $360,000 purchase price, a $3,180 origination
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fee, $400 for a lender's policy of title insurance, $300 for an appraisal,
$430 for property taxes in advance, and $555 for hazard insurance.
She has put down a $12,000 earnest money deposit and is receiving a
$318,000 loan. What is the cash balance required from the buyer at
closing?
$4,865
$30,000
$34,865
Correct!
Correct!
$46,865
1 / 1 pts
Question 14
Which of the following typically would not be a cost to the seller?
Commission
Prepayment penalty
Unpaid interest
Seller's title insurance policy
Correct!
Correct!
1 / 1 pts
Question 15
A seller's costs are a $23,400 commission, $396 in documentary
transfer tax, $650 for a buyer's policy of title insurance, $250 in escrow
fees, and a $246,000 loan payoff. The seller will receive a $360,000
purchase price and a $350 refund on property taxes paid in advance.
How much are the seller's proceeds?
$88,954
$89,654
Correct!
Correct!
$90,600
$114.000
1 / 1 pts
Question 16
Which of these closing expenses is customarily split evenly by the two
parties?
Escrow fee
Correct!
Correct!
Recording fees
Attorney's fees
Appraisal fee
1 / 1 pts
Question 17
Which of the following forms does an escrow agent use to report to the
Internal Revenue service the gross proceeds of a sale of real property?
1099-S
Correct!
Correct!
Good faith estimate
Uniform settlement statement
Truth in Lending disclosure
1 / 1 pts
Question 18
Which law has the intent of providing borrowers with accurate
information about their closing costs?
Truth in Lending Act
Real Estate Settlement Procedures Act
Correct!
Correct!
Real Estate Brokerage Relationships Act
Interstate Land Sales Full Disclosure Act
1 / 1 pts
Question 19
What law requires 10% of the net proceeds to be withheld when
property is sold by a nonresident alien?
RESPA
FCRA
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FIRPTA
Correct!
Correct!
ERISA
1 / 1 pts
Question 20
Which of the following is not a requirement of RESPA?
All settlement charges must be itemized on a Closing Disclosure
The lender must give applicants a booklet about settlement procedures
within three days of receiving an application
A buyer may not be required by the seller to use a particular title
company
Loan advertisements must include the annual percentage rate
Correct!
Correct!
Quiz Score:
19
out of 20
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