### Who typically collects the recording fee in a real estate transaction? - [ ] The Buyer - [ ] The Seller - [x] The Real Estate Agent - [ ] The Title Company > **Explanation:** The recording fee is collected by real estate agents during the transaction process. This fee is then paid to the government agency responsible for registering the title of the property sale in public records. ### What is the primary purpose of a recording fee? - [ ] To compensate the real estate agent for their time - [ ] To fund environmental protection efforts - [x] To cover administrative costs for registering the title of a property sale - [ ] To pay for homeowners association dues > **Explanation:** The recording fee is used to cover the administrative costs that the county government incurs to record the title of a property sale in public records. ### Who ultimately receives the recording fee once collected from the real estate transaction? - [ ] The Federal Government - [x] The County Government - [ ] The Real Estate Agent - [ ] The Buyer > **Explanation:** The recording fee is paid to the county government, which is responsible for recording property sales and maintaining public records. ### Why is it important for a title company to check public records before issuing title insurance? - [x] To ensure that the seller is the legal owner on record - [ ] To determine the fair market value of the property - [ ] To calculate property taxes for the buyer - [ ] To ensure compliance with zoning regulations > **Explanation:** A title company examines public records to confirm that the seller is the legal owner on record, thus protecting the buyer by ensuring clear title to the property before issuing title insurance. ### What varies from county to county in relation to recording fees? - [ ] The percentage of the property sale price as tax - [x] The amount charged for the recording fee - [ ] The qualifications necessary to register a property title - [ ] The frequency of public record updates > **Explanation:** The amount charged for the recording fee can vary depending on the county. Different counties may have unique administrative costs associated with recording property sales. ### What does the recording fee ensure in legal terms during a property sale? - [ ] That the property taxes have been paid - [x] That the title of the property sale is registered in public records - [ ] That the home inspection has been completed - [ ] That the property is free from zoning violations > **Explanation:** The recording fee covers the cost of registering the title of the property sale in public records, ensuring the transaction is documented and legally recognized. ### How does the recording fee impact the buyer in a real estate transaction? - [ ] It lowers their mortgage interest rate - [ ] It reduces their property taxes - [x] It is an additional cost payable during closing - [ ] It increases the property's market value > **Explanation:** For the buyer, the recording fee is an additional cost that must be paid at the time of closing to complete the transaction and have the property title recorded. ### When is the recording fee typically paid during a real estate transaction? - [ ] At the initial property viewing - [ ] When the property is listed for sale - [x] At the closing of the sale - [ ] After the buyer moves in > **Explanation:** The recording fee is usually paid at the closing of the sale, when all other transaction costs are settled and the title needs to be recorded in public records. ### What is one consequence of the county government not charging a recording fee? - [ ] Real estate agents would have to record the title themselves - [ ] More liens could be placed on properties - [x] The county would incur unrecovered administrative costs - [ ] Property values would solely depend on market forces > **Explanation:** If the county government did not charge a recording fee, it would incur unrecovered costs for the administrative work required to record property sales and maintain public records. ### What does the title company ensure by searching public records before issuing title insurance? - [x] That there are no undisclosed liens or claims on the property - [ ] That the property is insured for natural disasters - [ ] The property complies with local building codes - [ ] That the buyer has adequate homeowners insurance > **Explanation:** The title company searches public records to ensure there are no undisclosed liens or claims on the property, which is crucial to issuing clear title insurance and protecting the buyer's interests.