Test Your Knowledge

1. Which one of the following is not a closing cost?

A. Inspection fees
B. Title insurance
C. Down payment
D. Recording fees

2. Is the "good faith estimate" provided by the mortgage company binding?

A. Yes
B. No

3. Who will conduct my closing?

A. A title company
B. A settlement company
C. An escrow company
D. A real estate attorney
E. Any of the above

4. When will I find out how much money I need to bring to closing?

A. One week before closing.
B. Three days before closing
C. 24-hours before closing

5. Will I be able to pay for my closing with a personal check?

A. Yes
B. No

6. If I'm refinancing my home, do I need title insurance?

A. Yes
B. No

7. Which government form includes a list of my closing costs?

A. 1040
B. HUD-1
C. I-9
D. 401K

8. Is there a difference between closing, settlement, and closing escrow?

A. Yes
B. No

9. Who should I consult to learn more about title insurance?

A. The ALTA Web site
B. A local title company
C. Your real estate attorney
D. Your real estate agent
E. All of the above

10. I will automatically be issued an Owner's Policy of Title Insurance at closing.

A. True
B. False

11. How long will my Owner's Title Policy protect me?

A. 1 year
B. 5 years
C. 99 years
D. As long as I or my heirs have an interest in the property

12. How can I find the best price for title insurance?

A. Visit the ALTA Web site for a list of reputable title insurance companies and ask the companies for quotes
B. Ask your title company if you are eligible for any discount, such as a reissue discount.
C. Consult with your Realtor, Broker, or Lender for information and advice.
D. All of the above

How did you do? Check out all the correct answers and explanations.