Real Estate Quiz

Is a mezzanine endorsement attached to:

• A lender’s title insurance policy

• An owner’s title insurance policy

• A UCC policy

• All of the above

If asked by borrower’s counsel, a completion guaranty can cut-off at foreclosure:

• True

• False

A mortgage borrower needs to be a Delaware entity?

• True

• False

Why does a borrower sign an escrow letter?

• To agree to be on the hook for interest once loan proceeds are received by title company

• To give authorization to break escrow

• To sign off on the form of title policy

• None of the above

For a New York construction loan, where would advances for hard costs go?

• Acquisition/Senior Loan Agreement

• Project Loan Agreement

• Building Loan Agreement

• All of the above

If asked by borrower’s counsel, a carry guaranty can cut-off at foreclosure:

• True

• False

A person that is a 30% control party (that is also a guarantor) must be a paired party in a non-con opinion.

• True

• False

Stub interest refers to:

• the interest payable from the maturity date to the end of the last interest period

• the interest that accrues on reserve accounts

• the interest that is payable from the closing date through the end of the first interest period

“L&O” Insurance stands for:

• Labor and occupational hazard insurance

• Law and ordinance insurance

• Liability and omissions insurance

• None of the above

The following states do not allow for tie-in endorsements with other states:

• New York

• Florida

• California

• Illinois