Escrow & Title
A Kentucky title insurance company issues a commitment for title insurance before closing. The commitment:
AIs a guarantee of clear title
BShows the current condition of title and exceptions that will appear in the final policy✓ Correct
CIs required by KREC for all transactions
DReplaces the abstract of title
Explanation
A title commitment (binder) reports the current condition of title, identifies any issues that must be resolved before the policy will be issued, and lists exceptions that will appear in the final policy.
Related Kentucky Escrow & Title Questions
- A deed must be delivered and accepted to be considered legally effective because:
- Which type of title insurance policy protects the lender's interest?
- A title opinion in Kentucky is issued by:
- Under the RESPA (Real Estate Settlement Procedures Act), a Kentucky lender must provide a Loan Estimate to a borrower within:
- A RESPA violation in Kentucky occurs when a lender pays a kickback to a title company for referring business. This is prohibited because:
- Which of the following is a voluntary lien on real property?
- Which of the following items would typically appear as a credit to the buyer on the closing disclosure?
- A chain of title in Kentucky refers to:
Practice More Kentucky Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Kentucky Quiz →