Under the TREC contract, what is the role of the closing agent (title company) at the closing?
Correct Answer
B) To facilitate the closing by preparing documents, collecting funds, and distributing proceeds
The closing agent (typically a title company in Texas) is a neutral facilitator. They prepare closing documents, collect all required funds, ensure all conditions are met, and distribute proceeds to the appropriate parties.
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Related Topics & Key Terms
Key Terms:
Related Concepts
A breach of contract occurs when one party fails to perform their obligations under the contract without a legal excuse. The non-breaching party is entitled to legal remedies including damages, specific performance, or contract rescission.
Consideration is something of value exchanged between parties to a contract, making the agreement legally binding. It can be money, a promise to act, a promise to refrain from acting, or anything else of value.
Contingencies are conditions written into a real estate contract that must be met before the transaction can close. If a contingency is not satisfied, the buyer can typically cancel the contract without penalty.
More Promulgated Contract Forms Questions
In Texas, title insurance rates are:
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