SALESPERSON ONLINE COMPUTRAINER
Master Exam #3
Question 142 of 150
Question: Many items are subject to proration in the real property sale escrow. Buyers and sellers using escrow normally agree to a proration of which of the following:
A: Title insurance fees;
B: The cost of corrective termite work;
C: The cost of documentary transfer tax;
D: Rent.
Correct Answer is : D
Rent from the property is normally prorated to the close of escrow; that is, the seller is entitled to rent up until the time of the close of escrow, and the buyer is entitled to rent from that date forward. Any rent collected prior to the close of escrow which applies to the use of the property after the close of escrow would be a debit to the seller and a credit to the buyer.