Escrow & Title
At a North Dakota closing, the purchase price appears on the closing statement as a:
ADebit to both buyer and seller
BDebit to the buyer and credit to the seller✓ Correct
CCredit to the buyer and debit to the seller
DNeither; the purchase price is not shown
Explanation
On the closing statement, the purchase price is a debit to the buyer (money they owe) and a credit to the seller (money they are owed). This is the primary entry on each party's side of the statement.
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Key Terms to Know
Title Insurance
Insurance protecting against financial loss from defects in a property's title that existed before closing but were unknown at the time of purchase.
Closing CostsFees and expenses paid by the buyer and/or seller at the closing of a real estate transaction, in addition to the property's purchase price.
Earnest MoneyA deposit made by the buyer when submitting a purchase offer, demonstrating serious intent and serving as consideration for the contract.
ContingencyA condition in a purchase contract that must be satisfied before the sale can proceed to closing.
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