For Module 4, your writing assignment task is to choose one of the following listed topics and create a multiple-choice question related to the topic. Once you have created your question, select the correct answer and provide a comprehensive answer in 1-2 total paragraphs.
Please ensure to include your name, module number, and assignment number at the top of the page, followed by your selected topic.
Example:
Name: [Your Name] Module #: 4 Assignment #: [Assignment Number]
Topic: Escrow
Multiple Choice Question: What is the primary role of an escrow agent in a real estate transaction?
a) Conducting property inspections
b) Arranging financing for the buyer
c) Holding funds and documents on behalf of the parties involved
d) Negotiating the purchase price
Correct Answer: c) Holding funds and documents on behalf of the parties involved
Comprehensive Answer:
For Module 4, your writing assignment task is to choose one of the following listed topics and create a multiple-choice question related to the topic. Once you have created your question, select the correct answer and provide a comprehensive answer in 1-2 full paragraphs.
Please ensure to include your name, module number, and assignment number at the top of the page, followed by your selected topic.
Example:
Name: [Your Name] Module #: 4 Assignment #: [Assignment Number]
Topic: Escrow
Multiple Choice Question: What is the primary role of an escrow agent in a real estate transaction?
a) Conducting property inspections
b) Arranging financing for the buyer
c) Holding funds and documents on behalf of the parties involved
d) Negotiating the purchase price
Correct Answer: c) Holding funds and documents on behalf of the parties involved
Comprehensive Answer:
In addition to holding funds and documents, the escrow agent plays a crucial role in ensuring that both parties meet the terms and conditions outlined in the purchase agreement. This involves coordinating various aspects of the transaction, such as property inspections, appraisals, and title searches, to verify the property’s condition and legal status. The escrow agent also facilitates communication between the buyer, seller, real estate agents, lenders, and other involved parties to address any issues or concerns that may arise during the escrow process.
Furthermore, the escrow agent is responsible for preparing the closing documents and overseeing the signing of legal agreements, including the deed, mortgage, and other necessary paperwork. They ensure that all closing costs and fees are accurately calculated and disbursed according to the terms of the agreement. Additionally, the escrow agent coordinates the transfer of ownership from the seller to the buyer once all conditions of the sale have been met, providing the necessary documentation to the appropriate parties and recording the transaction with the relevant government agencies.
Overall, the role of the escrow agent is essential in facilitating a smooth and successful real estate transaction. Their attention to detail, impartiality, and expertise in navigating the intricacies of the escrow process help protect the interests of all parties involved and ensure the transaction is completed in a timely and efficient manner.
Choose one of the following topics to create your multiple-choice question:
FHA v Conventional Loans
Purpose and function of the Secondary Market
FHA borrower loan qualification
PMI on Conventional loans and MI on FHA loans
Escrow Closing
Types of Title Insurance Policies
Preliminary title report versus Title policy
Property tax exemptions
1031 Tax Deferred Exchange
Installment sale
MelloRoos Tax
