Contracts
In Ohio, a 'release of liability' in a real estate transaction typically occurs when:
AThe buyer waives their right to a home inspection
BA party is formally released from their obligations under the contract by the other party✓ Correct
CThe seller provides an as-is addendum
DThe agent signs a hold harmless agreement
Explanation
A release of liability is a legal document by which one party formally releases another from claims or obligations. In real estate, it can release a seller from warranty claims or a borrower from mortgage liability after a deed in lieu.
People Also Study
Related Ohio Questions
- A 'deed in lieu of foreclosure' in Ohio is when a borrower:Escrow & Title
- In Ohio, a 'limited warranty deed' (also called a special warranty deed) warrants title only against claims arising:Escrow & Title
- In Ohio, which document serves as evidence of the borrower's personal obligation to repay the mortgage debt?Finance
- Under Ohio's mortgage law, which party has the right to foreclose when the borrower defaults?Finance
- Ohio is a 'lien theory' state. This means that when a borrower gives a mortgage:Finance
- In Ohio, which type of mortgage allows the borrower to pay only interest for a specified period, after which payments increase to include principal?Finance
- In Ohio, a general warranty deed contains the covenant of 'seisin,' which means the grantor warrants that:Escrow & Title
- In Ohio, which document creates legal title in a grantee and is used to convey ownership at a real estate closing?Property Ownership
Key Terms to Know
Deed
A written legal instrument used to transfer ownership of real property from one party (grantor) to another (grantee).
Adjustable-Rate Mortgage (ARM)A mortgage with an interest rate that changes periodically based on a financial index, usually after an initial fixed-rate period.
Purchase AgreementA legally binding contract between a buyer and seller that outlines the terms and conditions of a real estate sale.
Option ContractA contract giving the buyer the right, but not the obligation, to purchase a property at a specified price within a specified time period.
Study This Topic
Practice More Ohio Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Ohio Quiz →