A Tallahassee buyer purchases a property for $275,000 with a $220,000 mortgage. The title insurance rates are $4.50 per $1,000 for the owner's policy and $3.00 per $1,000 for the lender's policy. What is the total title insurance premium?
Correct Answer
C) $1,897.50
Correct: Owner's policy: ($275,000 ÷ $1,000) × $4.50 = $1,237.50. Lender's policy: ($220,000 ÷ $1,000) × $3.00 = $660.00. Total: $1,237.50 + $660.00 = $1,897.50. Why not A: This is only the owner's policy premium. Why not B: This incorrectly calculates the premium rates. Why not D: This is only the lender's policy premium.
Why This Is the Correct Answer
Why the Other Options Are Wrong
Deep Analysis of This Titles Deeds Recording Question
Background Knowledge for Titles Deeds Recording
Real World Application in Titles Deeds Recording
Common Mistakes to Avoid on Titles Deeds Recording Questions
Related Topics & Key Terms
Key Terms:
More Titles Deeds Recording Questions
In a Tampa transaction, a buyer wants the Florida rule on chain of title. Which statement is correct?
In Florida's recording system, what does 'constructive notice' mean?
In a Tampa transaction, a buyer wants the Florida rule on general warranty. Which statement is correct?
Which answer most accurately states the Florida rule for general warranty?
Sarah is selling her Miami Beach condominium to Robert. At closing, she signs a deed that contains warranties that she owns the property and has the right to convey it, but provides no warranties against defects that existed before she acquired the property. What type of deed did Sarah most likely execute?
- → All of the following are essential elements of a valid deed in Florida EXCEPT:
- → John and Mary own property in Jacksonville as tenants by the entirety. John wants to secretly transfer his interest to his business partner without Mary's knowledge or consent. He executes a quitclaim deed to his partner. What is the effect of this deed?
- → What is the main difference between a general warranty deed and a special warranty deed in Florida?
- → Under Florida law, what does 'constructive notice' mean in the context of recorded deeds?
- → In Florida, what is the primary purpose of the documentary stamp tax on deeds?
- → Which deed is most commonly used in Florida residential transactions?
- → Which answer most accurately states the Florida rule for chain of title?
- → In Florida, all of the following situations would typically be excluded from standard title insurance coverage EXCEPT:
- → Non-single-family real property in Miami-Dade County is conveyed for $220,000. What total deed documentary stamp tax and surtax are due?
- → Adverse possession in Florida requires possession for:
People Also Study
Buyer Representation Agreement
8% of exam
Property Ownership
10% of exam
Land Use Controls and Regulations
8% of exam
Valuation and Market Analysis
10% of exam
Previous Question
A Key West buyer purchases a historic property and later discovers that a preservation easement was recorded but not disclosed in the title commitment. The easement severely restricts renovation plans. What is the buyer's best course of action regarding their title insurance?
Next Question
In a Ocala transaction, a buyer wants the Florida rule on promulgated-rate context. Which statement is correct?