Closing the Transaction

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before closing, the buyer will make a final inspection of the property called a what?: walk-through
name the 4 things that the buyer does a walk-through before closing to insure?: 1 the seller has vactaed the premises
2 no damage has occurred since the last inspection
3 the seller has not removed any fixtures
4 the seller has left behind any personal prop agreed upon in the contract
Name 6 purposes of closing.: 1 to insure all contract provisions have been completed
2 to receive the amt due from the buyer
3 to remit the net proceeds from the sale to the seller
4 to pay all the settlement cost and charges
5 to convey legal title to the buyer
6 to make sure commission is paid to the listing broker
is a debt a - or +: -
is a credit a - or +: +
a 4 column closing statement worksheet which itemized debits and credits for both buyer and seller: settlement statement worksheet
On the settlement worksheet the sales price is (debited or credited) to the buyer.: debited
On the settlement worksheet the sales price is (debited or credited) to the seller.: credited
On the settlement worksheet the broker's commission is (debited or credited) to the (buyer or seller)?: debited
seller
On the settlement worksheet the earnest money deposit is (debited or credited) to the (buyer or seller)?: credited
buyer
On the settlement worksheet the seller's loan balance is (debited or credited) to the (buyer or seller)?: debited
seller
On the settlement worksheet the seller's loan interest is (debited or credited) to the seller?: debited
in the case where the buyer is assuming the seller's loan, on the settlement worksheet, the seller's loan interest is (debited or credited) to the seller?: debit
in the case where the buyer is assuming the seller's loan, on the settlement worksheet, the seller's loan principal is (debited or credited) to the seller?: debited
in the case where the buyer is assuming the seller's loan, on the settlement worksheet, the seller's loan interest is (debited or credited) to the buyer?: credited
in the case where the buyer is assuming the seller's loan, on the settlement worksheet, the seller's loan principal is (debited or credited) to the buyer?: credited
Proration Rules 1,2&3: 1 Credit one party the same dollar amount that you debit the other
2 Prorate on the basis of a 360 day year and a 30 day month
3 The seller owns the property on the settlement (closing) date for prorations
On a settlement statement at closing, the real estate tax from the jan 1 until closing is (credited or debited) the seller?: debited
On a settlement statement at closing, the real estate tax from the jan 1 until closing is (credited or debited) the buyer?: credited
buyer's hazard insurance premium is (credited or debited) the buyer?: debited
When the buyer assumes the seller's hazard insurance, the portion that is already paid by the seller and not used is (credited or debited) to him?: credited
When the buyer assumes the seller's hazard insurance the portion that the seller has pre-paid is (debited or credited) to the buyer?: debited
On the settlement statement, in regards to rent what amount is prorated?: the current month's rent
On the settlement statement, the current month's rent from the 1st of the month until the day of closing is (credited or debited) to the seller?: debited
On the settlement statement, the current month's rent from the 1st of the month until the day of closing is (credited or debited) to the buyer?: credited
Who fills out the settlement statement worksheet?: the closing agent

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Deck Info

Number of cards 26