Escrow & Title
In a Missouri closing, the settlement statement (Closing Disclosure) shows charges and credits. An item that is a debit to the seller and a credit to the buyer would be:
AThe purchase price
BProperty taxes paid by the seller in advance for the current year✓ Correct
CThe buyer's down payment
DTitle insurance premium
Explanation
If the seller has paid property taxes in advance for a period after the closing, the buyer must reimburse the seller. This appears as a debit to the buyer and credit to the seller. Conversely, if taxes are unpaid, it's a debit to seller and credit to buyer.
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