In Florida, who typically selects the closing agent?
Correct Answer
C) It varies by county custom
In Florida, who pays for title insurance and selects the closing agent varies by county custom (North vs. South).
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Related Topics & Key Terms
Related Topics:
Key Terms:
Related Concepts
Commission splits refer to the division of the total real estate commission among the listing and selling brokerages, and then between each broker and their respective agents. Commission rates and splits are always negotiable.
Determining ownership days involves calculating the number of days each party (buyer and seller) owned the property during the relevant period (usually a year). This calculation is crucial for accurate proration.
The gross rent multiplier (GRM) is a quick method for estimating the value of income-producing property by multiplying the property's gross rent by a factor derived from comparable sales. GRM = Sale Price / Gross Rent.
More Closing Procedures Calculations Questions
A property closes on March 15th. The annual property taxes of $2,400 have been paid by the seller for the entire year. Using a 365-day year and the day of closing belongs to the buyer, what is the proration amount the buyer owes the seller?
Training example Harbor Packet asks the question this way. A Florida closing statement uses an annual tax estimate of $3,960 based on the parties' agreed current-year estimate. Using a 360-day year and assigning the day of closing to the buyer at a July 1 closing, what seller debit for taxes is shown?
A first-time homebuyer in Jacksonville is concerned about closing costs on their $195,000 home purchase. Their lender has provided a Loan Estimate showing various fees. Under Florida law and federal regulations, which statement about the lender's fee disclosure is most accurate?
A buyer purchases a home for $325,000 with a 10% down payment. The buyer also pays 2 points on the loan amount. If each point equals 1% of the loan amount, what is the total cash needed at closing for down payment and points combined?
A Florida closing occurs on August 1. Use a 360-day year, 30-day months, assume property taxes are paid in arrears, and assign the day of closing to the buyer. If annual taxes are estimated at $3,240, what buyer credit corresponds to the seller's accrued tax debit?
- → A real estate licensee in Fort Lauderdale is representing a buyer who received their Closing Disclosure three days before the scheduled closing. The buyer notices that the lender's title insurance premium increased by $300 from the Loan Estimate, and the appraisal fee increased by $75 due to the property's unique features requiring additional analysis. What should the licensee advise the buyer?
- → A Florida property closes on June 18th. The seller has a homeowner's insurance policy with an annual premium of $2,400 paid through December 31st. Using the 365-day method and treating the day of closing as belonging to the buyer, what credit should the seller receive for the unused portion of the insurance?
- → The buyer gets a $280,000 mortgage in Florida. The intangible tax is:
- → A Florida condominium unit is being sold and the closing is scheduled for Friday. On Thursday, the buyer's attorney discovers that the seller has not paid the monthly condo association fees for the past three months, totaling $1,200. The association has filed a lien. How should this be handled at closing?
- → A Florida real estate transaction is scheduled to close on March 15th. The buyer's attorney discovers a cloud on the title that requires additional documentation from the seller. The seller's agent assures everyone the documents will be available by March 20th. What is the most appropriate action for the closing agent?
- → In Florida, who typically pays for owner's title insurance?
- → Property taxes of $2,400 for the year have been paid by the seller. The closing is on September 15th (day 258 of 365). How much does the buyer owe the seller for the unused portion of prepaid taxes?
- → A real estate agent in Orlando is preparing a buyer for closing costs on a $275,000 condominium purchase. The buyer is obtaining an 80% LTV loan and the lender requires a loan origination fee of 1.25%, an appraisal fee of $475, credit report fee of $35, and flood certification of $25. The buyer will also need owner's title insurance estimated at $1,200. What category represents the largest portion of the buyer's closing costs?
- → In Florida real estate transactions, all of the following are typically paid by the buyer at closing EXCEPT:
- → Which statement best describes Florida's rule on state-imposed closing charges versus negotiable costs?
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