ESCROW FINAL REVIEW QUESTIONS
AND ANSWERS 100% PASS
50 When a buyer assumes an existing loan, he or she signs: ✔✔B. an assumption agreement with
the lender.
51 If the buyer fails to perform in meeting the obligations
...
ESCROW FINAL REVIEW QUESTIONS
AND ANSWERS 100% PASS
50 When a buyer assumes an existing loan, he or she signs: ✔✔B. an assumption agreement with
the lender.
51 If the buyer fails to perform in meeting the obligations under the loan the lender will probably
file a: ✔✔Notice of Default
52 A resident can be protected from judgment that become liens by the acknowledgment
recording ✔✔Declaration of homestead
53 Which of the following is a reference point in CA ✔✔All of the above.
54 The right of a landowner to use the water on, under, and adjacent to his or her land is known
as a ✔✔Riparian rights
55 The rights to use water is considered of such primary importance that ✔✔D. Both A & B
56 The determining factor in preparing a second deed of trust is the ✔✔B. Time of Recording.
57 On any note ✔✔D. All of The Above
58 The effective date for the insurance must be ✔✔D. Both B & C are correct.
59 On the settlement sheet, the cash deposited in escrow is ✔✔A. Credited to the buyer.
60 Most commonly, the motivating reason for real property exchange is ✔✔C. Tax consideration
61 Which of the following types of property are typically exchange ✔✔D. All of the above
62 An even exchange can be effected ✔✔B. Both A & B are correct
63 The money or other (not like-kind) property that is given to make up any difference in value
or equity between exchanged properties is called ✔✔B. Boot.
64 The broker will formalize the exchange with a type of deposit receipt ✔✔A. Exchange
agreement
65 When an adjustment is listed to take effect called a (N) ✔✔B. Close of escrow:
66 If no defect are found in the tax sale proceeding, most title insurance companies will insure a
property from a tax sale after ✔✔C. One year
67 The main purpose of probate is to ✔✔D. All of the above
68 In the event of an absolutely even exchange which party's instructions should come first
✔✔C. It makes no different which party's instructions come first.
69 It is entirely proper for a broker to be paid by both parties whether it be an exchange or even a
simple sale, provided ✔✔C. Both A & B
70 A review system that reminds you to check each periodically is called ✔✔A. A tickler file
71 If no defects are found in the tax sale proceedings, must title insurance companies will insure
a property from a tax sale after ✔✔C. One year
72 The main purpose of probate is to ✔✔D. All of the above (Gather the assets of a decedent Pay
any debts which may be due on an estate Appropriately distribute whatever is left after paying
debts.)
73 In the event of an absolutely even exchange which principal's instructions should come first:
✔✔It makes no difference which party's instructions come first.
74 It is entirely proper for a broker to be paid by both principals whether it be an exchange or
even simple sale provided: ✔✔C. Both principals sign written instructions
75 A review system that reminds you to check each file periodically is called: ✔✔A. A tickler
file
76 Upon the death of a joint tenant, the tenancy can be terminated by a (N): ✔✔Both A & B
(Decree of Death issued by the court & Affidavit death of joint tenants
77 The federal estate tax becomes a lien on real property: ✔✔A. Immediately upon death
78 The federal estate tax lien continues for how many years after the death of the property
owner? ✔✔B. Five years
79 Which of the following allows people to pass on property after death? ✔✔B. A will
80 During probate, public notice is published in a newspaper of general circulation: ✔✔A. To
notify creditors that the decedent's estate is being distributed.
81 A representative named in a will is the: ✔✔B. Executor
82 An administrator is appointed by the court if the property owner? ✔✔C. Dies without a will
83 Marketable title is established for the distributees once the decree of distribution is: ✔✔A.
Recorded
84 A property owner that dies without a will is said to be: ✔✔B. Intestate
85 The market value of a second deed of trust is usually: ✔✔A. Less than its face value
86 The time limit for the close of escrow is decided:, C ✔✔By agreement of both principals
87 A policy of title insurance issued in favor of the assignee is the only option when the trust
deed: ✔✔B. Has not been insured.
88 Which form is designed for use with standard coverage policies when the beneficial (lenders)
interest in the insured deed of trust has been assigned? ✔✔A. CLTA form 104.1
89 A note that is specially endorsed in a buyer favor is called a(N): ✔✔A. Special Endorsement
90 What type of note transfer guarantees that a seller will make payments on the note should the
payer fail to do so? ✔✔A. A with recourse transfer
91 The information required to complete the assigned of deed of trust form is taken from the:
✔✔C. Trust deed
92 A counter claim against the beneficiary based on a dispute about the amount or terms of the
obligation is called a(N): ✔✔B. Owner's offset statement
93 By recording the request for notice as an accommodation the title company will: ✔✔B. Have
no ability for its validity or sufficiency
94 As a general rule its best to make your instructions: ✔✔Brief and to the point.
95 When endorsing an assignment form, the signatures should be: ✔✔A. Exactly as their names
appear on the trust deed.
96 Completing the final settlement statement is usually the: ✔✔A. First step in the closing
process
97 Promissory notes secured by deeds of trust are customarily in the form of: ✔✔B. Negotiable
Instrument
98 A written promise or order to pay money is called a: ✔✔A. Negotiable Instrument
99 The means by which a note made payable to bearable is transferred is called: ✔✔B. Delivery
100 Which of the following creates security for the performance of an obligation? ✔✔C.
Collateral Assignment
[Show More]
.png)
.png)
