Escrow & Title
At a Connecticut closing, the seller's proceeds are reduced by a 'prorated property tax' debit. This means:
AThe buyer receives a credit for taxes the seller will owe after closing
BThe seller pays the property taxes for the portion of the year they owned the property✓ Correct
CThe buyer pays all property taxes for the full year
DProperty taxes are always paid in full at closing
Explanation
Property taxes are prorated at closing so each party pays for the period they owned the property. The seller is debited (or the buyer is credited) for taxes accrued during the seller's ownership period but not yet paid.
Related Connecticut Escrow & Title Questions
- A title insurance company in Connecticut that discovers a prior unrecorded easement after issuing a policy must:
- A Connecticut title insurance company discovers a mechanic's lien filed after the date of the owner's policy. The policy will:
- An 'escrow' in Connecticut is best described as:
- An abstract of title is best described as:
- Which of the following liens has the highest priority in Connecticut regardless of when it was recorded?
- In Connecticut, the 'closing disclosure' provided to the buyer at closing reflects:
- Connecticut is an 'attorney closing state,' which means:
- Connecticut is considered an 'attorney state' for real estate closings, which means:
Practice More Connecticut Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Connecticut Quiz →