Chapter 1

All of the following are common ways for a buyer to get assurance that a title is good:

Abstract of Title Deed Title Insurance

Name three issues that lenders deal with that can affect the cost of mortgage money.

Cost of getting people to deposit, costs of floating bonds and costs associated with advertising.

What are the three common ways to get title assurance?

Deed Abstract and opinion Title insurance

Which type of leasehold estate has a definite beginning and ending date?

Estate for years

The Texas agency that ensures that the banks, savings institutions, consumer credit grantors, and other regulated entities chartered or licensed under state law operate as sound and responsible institutions is called:

Finance Commission of Texas

Title insurance policies protect policy holders from what kinds of losses?

Forged documents, such as deeds or mortgages Undisclosed heirs Mistaken legal interpretation of a will Misfiled documents Confusion arising from similarity of names Incorrectly stated marital status Mental incompetence

What are the two major differences between freehold estates and leasehold estates?

Freehold estates last for an indefinite period of time, while leasehold estates expire on a definite date. A freehold estate denotes property ownership by the estate holder, while a leasehold estate involves the right to possess and use property that is owned by someone else.

What determines how healthy the real estate market is at any given point in time?

How healthy the real estate market is at any given point in time relates directly to the cost of money or interest rates.

Why are the savings of individuals important to the economy?

Savings become the eventual source of funds for borrowing.

What is the program that licenses, regulates, and examines the trust- and insurance-funded prepaid funeral contract sellers to ensure compliance with the Finance and Administrative Codes?

The Prepaid Funeral Contract Program

The Finance Commission of Texas oversees and coordinates the activities of what other Texas agencies?

The Texas Department of Banking (TXDOB), the Department of Savings and Mortgage Lending (SML), and the Office of Consumer Credit Commissioner (OCCC)

What role does the United States Treasury play in our economy?

The United States Treasury plays a critical role by managing the debt of the entire federal government. Some of the Treasury's functions include: Managing federal finances. Managing government accounts and the public debt. Supervising national banks and thrift institutions. Enforcing federal finance and tax laws.

When does supply and demand usually improve for a buyer?

When the economy is in a recession.