Escrow & Title
An owner's title insurance policy protects:
AThe lender against default by the borrower
BThe property buyer against title defects that existed prior to the purchase✓ Correct
CThe seller against post-closing disputes
DThe broker against commission disputes
Explanation
An owner's title insurance policy protects the buyer against title defects, liens, or encumbrances that existed prior to or at the time of purchase but were not discovered during the title search. It is a one-time premium paid at closing.
Related Rhode Island Escrow & Title Questions
- An escrow account held by a Rhode Island broker must be:
- At a Rhode Island closing, 'proration' of real estate taxes means:
- In Rhode Island, which document would a buyer's lender use to verify that there are no unsatisfied liens on the property being purchased?
- Under RESPA, a lender may establish an escrow account for property taxes and insurance. This account is also called a:
- RESPA (Real Estate Settlement Procedures Act) prohibits which of the following practices in Rhode Island real estate closings?
- In Rhode Island, the grantee's name in a deed should be:
- The Closing Disclosure (CD) must be provided to the buyer at least:
- In Rhode Island, a quitclaim deed transfers:
Practice More Rhode Island Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Rhode Island Quiz →