Escrow & Title

A Mississippi seller has $3,500 in delinquent HOA assessments that are a lien on the property. At closing, these must typically be:

ATransferred to the buyer
BPaid from the seller's proceeds to clear the title✓ Correct
CForgiven by the HOA upon sale
DDisclosed but not paid until after closing

Explanation

HOA assessment liens are encumbrances on the title that must be resolved before or at closing. They are typically paid from the seller's proceeds so that the buyer receives clear title.

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