Escrow & Title

Proration of property taxes at a Rhode Island closing means:

AThe buyer pays all property taxes for the year of closing
BThe seller pays all property taxes for the year of closing
CTaxes are divided between buyer and seller based on the number of days each owned the property during the tax year✓ Correct
DThe lender pays property taxes directly from the escrow account

Explanation

At closing, property taxes are prorated so that the seller pays taxes for the portion of the year they owned the property and the buyer is responsible for the remainder.

Related Rhode Island Escrow & Title Questions

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 →