ESCROW CHAPTER 1 QUESTIONS WITH RIGHT
ANSWERS.
Escrow ANS - (legal process) by which complex sale, exchange, or loan transaction involving real
property is brought to completion.
Escrows Required by law ANS - Probated Property- in court dispute
Impound Accounts-
Liquor Licenses-
Negotiable Securities-
Escrows Recommended ANS - Sales of Real Property
Loans
Exchanges
Real Property ANS - land and those things affixed to it (Attached by roots, imbedded, permanently
resting on it, attached by mortar, nails, bolts, or escrew.
Personal Property ANS - anything which can be owned or possessed that is not real property.
Valid Contracts ANS - -Capable Parties: any capable (No minors, convicts)
-Mutual Consent & Writing:
-Lawful nature
-Sufficient Consideration
-Stated Condition
-Forgery Prevention (counterfeit or fraudulent)
Purchase Agreement ANS - document that is signed before entering into escrow
, Agent ANS - one who represents a principal (person/party) in contracts with third person.
Escrow Officer ANS - stakeholder (agent) - to both principals (Buyers and sellers) - individual persons do
not hold licences as escrow agents in California (Only corporations).
Fiduciary Relationship ANS - agent has a duty to act in the highest faith, and to protect the trust and
confidence of his principals.
Escrow Holders ANS - -Escrow Agent Corporations
-Attorneys at Law
-Institutional Escrow Departments
-Real Estate Brokers
California Escrow Association (CEA) ANS - Founded in 1956 - dedicated to the professionalism of escrow
personnel through education and legislation.
California Land title Association (CLTA) ANS - title companies, independent or subsidiaries: sets
standards and procedures for the state's title companies.
Bilateral Instructions ANS - single escrow instruction signed by both buyers and sellers in the southern
part of California
Deed ANS - written instrument which gives over the title to real property from one owner to another.
Deed of Trust ANS - device which secures the property as collateral for the note - when recorded, it
becomes a lien.
Escrow Instructions ANS - operative document - preprinted forms that permit the listing of all the funds
and documents which will move through escrow - condition of escrow also stated
Grant Deed ANS - document that transfer title (evidence of property ownership) - with key word "grant"
ANSWERS.
Escrow ANS - (legal process) by which complex sale, exchange, or loan transaction involving real
property is brought to completion.
Escrows Required by law ANS - Probated Property- in court dispute
Impound Accounts-
Liquor Licenses-
Negotiable Securities-
Escrows Recommended ANS - Sales of Real Property
Loans
Exchanges
Real Property ANS - land and those things affixed to it (Attached by roots, imbedded, permanently
resting on it, attached by mortar, nails, bolts, or escrew.
Personal Property ANS - anything which can be owned or possessed that is not real property.
Valid Contracts ANS - -Capable Parties: any capable (No minors, convicts)
-Mutual Consent & Writing:
-Lawful nature
-Sufficient Consideration
-Stated Condition
-Forgery Prevention (counterfeit or fraudulent)
Purchase Agreement ANS - document that is signed before entering into escrow
, Agent ANS - one who represents a principal (person/party) in contracts with third person.
Escrow Officer ANS - stakeholder (agent) - to both principals (Buyers and sellers) - individual persons do
not hold licences as escrow agents in California (Only corporations).
Fiduciary Relationship ANS - agent has a duty to act in the highest faith, and to protect the trust and
confidence of his principals.
Escrow Holders ANS - -Escrow Agent Corporations
-Attorneys at Law
-Institutional Escrow Departments
-Real Estate Brokers
California Escrow Association (CEA) ANS - Founded in 1956 - dedicated to the professionalism of escrow
personnel through education and legislation.
California Land title Association (CLTA) ANS - title companies, independent or subsidiaries: sets
standards and procedures for the state's title companies.
Bilateral Instructions ANS - single escrow instruction signed by both buyers and sellers in the southern
part of California
Deed ANS - written instrument which gives over the title to real property from one owner to another.
Deed of Trust ANS - device which secures the property as collateral for the note - when recorded, it
becomes a lien.
Escrow Instructions ANS - operative document - preprinted forms that permit the listing of all the funds
and documents which will move through escrow - condition of escrow also stated
Grant Deed ANS - document that transfer title (evidence of property ownership) - with key word "grant"
