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REAL ESTATE EXPRESS COLORADO CLOSINGS FINAL VERSION
1&2 LATEST 2025/2026 ACTUAL EXAM WITH COMPLETE QUESTIONS
AND CORRECT DETAILED ANSWERS (100% VERIFIED ANSWERS)
|ALREADY GRADED A+| ||PROFESSOR VERIFIED|| ||BRANDNEW!!!||
An investor is buying a duplex with rents paid on the first of the
month. The rent collected on the first was $2,000.00. The closing
is on June 25. How will the rents be entered on the settlement
worksheet?
A)
$400 debit seller, $400 credit buyer
B)
$1,600 debit buyer, $1,600 credit seller
C)
$1,600 debit seller, $1,600 credit buyer
D)
$400 debit buyer, $400 credit seller - ANSWER-A)
The rent to be prorated is $2,000. The owner deserves the
rent for the portion of the month he or she owns the property,
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in this case the big side. Because the buyer takes over after
closing, he or she will want rent for the portion of the month
they own the property, in this case the small side.
Remember: Rent is collected (not paid) in advance, so
prorate and always credit buyer's period; always debit seller.
All of the following could be considered a closing entity EXCEPT
the
A)
listing broker.
B)
title insurance company.
C)
attorney doing the closing.
D)
Colorado Department of Revenue. - ANSWER-D)
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A closing entity can be the title company, the broker, or an
attorney. This tax is then sent to the Colorado Department of
Revenue.
If a mortgagee's title policy for $225 is required, how will the
settlement worksheet reflect these items?
A)
$225 debit buyer only
B)
$225 debit buyer, credit lender
C)
$225 debit seller, $225 credit broker
D)
$225 debit seller only - ANSWER-A)
In a new loan, the buyer is responsible for paying for the
mortgagee's policy. The bill will be paid from the gross loan,
so the entry is a debit only for the buyer.
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The appraisal is
A)
calculated as a percentage of the purchase price and paid by the
broker.
B)
paid by the buyer like any other loan cost.
C)
paid by the seller because of lender rules.
D)
paid by the buyer or the seller, or a combination of the two. -
ANSWER-D)
The contract makes the parties decide who will pay; thus, it's
negotiated. If the question asked who usually or traditionally
pays, buyer would be the answer.
The entry for purchase price on a seller carry purchase is
REAL ESTATE EXPRESS COLORADO CLOSINGS FINAL VERSION
1&2 LATEST 2025/2026 ACTUAL EXAM WITH COMPLETE QUESTIONS
AND CORRECT DETAILED ANSWERS (100% VERIFIED ANSWERS)
|ALREADY GRADED A+| ||PROFESSOR VERIFIED|| ||BRANDNEW!!!||
An investor is buying a duplex with rents paid on the first of the
month. The rent collected on the first was $2,000.00. The closing
is on June 25. How will the rents be entered on the settlement
worksheet?
A)
$400 debit seller, $400 credit buyer
B)
$1,600 debit buyer, $1,600 credit seller
C)
$1,600 debit seller, $1,600 credit buyer
D)
$400 debit buyer, $400 credit seller - ANSWER-A)
The rent to be prorated is $2,000. The owner deserves the
rent for the portion of the month he or she owns the property,
,2|Page
in this case the big side. Because the buyer takes over after
closing, he or she will want rent for the portion of the month
they own the property, in this case the small side.
Remember: Rent is collected (not paid) in advance, so
prorate and always credit buyer's period; always debit seller.
All of the following could be considered a closing entity EXCEPT
the
A)
listing broker.
B)
title insurance company.
C)
attorney doing the closing.
D)
Colorado Department of Revenue. - ANSWER-D)
,3|Page
A closing entity can be the title company, the broker, or an
attorney. This tax is then sent to the Colorado Department of
Revenue.
If a mortgagee's title policy for $225 is required, how will the
settlement worksheet reflect these items?
A)
$225 debit buyer only
B)
$225 debit buyer, credit lender
C)
$225 debit seller, $225 credit broker
D)
$225 debit seller only - ANSWER-A)
In a new loan, the buyer is responsible for paying for the
mortgagee's policy. The bill will be paid from the gross loan,
so the entry is a debit only for the buyer.
, 4|Page
The appraisal is
A)
calculated as a percentage of the purchase price and paid by the
broker.
B)
paid by the buyer like any other loan cost.
C)
paid by the seller because of lender rules.
D)
paid by the buyer or the seller, or a combination of the two. -
ANSWER-D)
The contract makes the parties decide who will pay; thus, it's
negotiated. If the question asked who usually or traditionally
pays, buyer would be the answer.
The entry for purchase price on a seller carry purchase is
