A designated broker in Arizona decides to close their brokerage. What must they do with client trust funds?
Why Return all trust funds to the clients they belong to or transfer them to a licensed escrow company Is Correct
Answer A: Return all trust funds to the clients they belong to or transfer them to a licensed escrow company
Key Arizona License Law Terms in This Question
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Key Terms to Know
A neutral third-party arrangement where funds, documents, and instructions are held until all conditions of a real estate transaction are satisfied.
LienA financial claim against a property that serves as security for a debt or obligation, giving the creditor the right to foreclose if unpaid.
Deed of TrustA security instrument used in many states instead of a mortgage, involving three parties: borrower (trustor), lender (beneficiary), and a neutral trustee.
ProrationThe division of ongoing property expenses (taxes, HOA dues, rents) between buyer and seller at closing based on their respective days of ownership.
State-Specific Concepts
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