Description
Formerly
REAL 92A. This competency-based course prepares students with skills for entry-level positions in an escrow office or to improve their knowledge in real estate. Focus is on understanding the escrow process and accurately completing necessary documents. This course may be used an elective course for persons applying for the California Real Estate Salesperson or Real Estate Broker license.
Transferability
Identifiers & Codes
Department: Business Administration & Economics
School: Business, Education, and Health Sciences
Academic Level: Undergraduate
TOP Code: 051110 - Escrow
SAM Code: C - Clearly Occupational
CIP Code: 52.1501A - 52.1501A
Credit or Noncredit: Credit
Class Size Max, Units, Hours
Total Student Learning Hours: 162
Requisites & Limitations on Enrollment
Catalog Information
Are there Materials Fees for the course? No
Is the course repeatable? No
Student Learning Outcomes & Course Objectives
Student Learning Outcomes: - 1. Compare escrow procedures used in various types of real estate sale and finance transactions.
- 2. Analyze documents used in escrows for real estate sale and finance transactions.
- 3. Perform calculations and prepare closing statements used in escrows for real estate sale and finance transactions.
Course Objectives: 1. Define the legal requirements for a valid escrow.
2. Explain escrow licensing requirements and describe when an entity may act as an escrow agent without an escrow license.
3. Compare and contrast escrow procedures commonly used in Southern California with those commonly used in Northern California.
4. Compare the typical duties and responsibilities of an escrow officer with those of the buyer, seller, lenders, and real estate agents.
5. Describe the steps in the escrow process from selection of an escrow holder to post-closing.
6. Explain the purpose and role of title insurance.
7. Distinguish between a preliminary report and title policy.
8. Analyze a preliminary report and identify items of concern for an escrow holder.
9. Compare the risks covered by and excluded from coverage under different types of title insurance policies.
10. Perform calculations required to prorate property taxes, insurance premiums, rents, and other items commonly prorated between a buyer and seller.
11. Prepare a closing statement using information from case studies.
12. Distinguish the escrow processes involved with new loans with those involved in loan assumptions.
13. Describe and compare various types of disclosures required for a typical residential escrow transaction.
14. Compare and contrast residential and non-residential escrows.
Course Content
Course Content: 1. The nature of an escrow
A. Fundamentals of buying and selling real estate
B. The parties to an escrow
C. Escrow terminology
10 hours
2. The regulation of escrow companies
A. Varied types of escrows
B. Escrow licensing requirements and exceptions
C. Escrow instructions as a contract
D. Role and functions of the escrow holder
12 hours
3. Opening and processing the escrow
A. Taking and preparing the escrow instructions
B. Life of an escrow
C. Escrow core concepts and processes
D. Title: Preliminary reports and title insurance
17 hours
4. Closing the escrow
A. Preparing the documents
B. Handling of the title policy and demands
C. Closing the escrow
D. Preparing escrow settlement statements
15 hours
Methods of Instruction & Active Learning
Instructional Method(s): - Lecture
- Discussion
- Technology
Examples: Lecture is used to review material covered in the textbook, expand on material in the textbook, present escrow and title insurance concepts, and provide guided practice in the completion of escrow documents.
Discussions are designed to involve students in the learning of the escrow process by stimulating feedback to specific course content. These discussions are encouraged throughout the course.
Students will be instructed in the use of calculators to prorate taxes, insurance, homeowners association dues, and rents. Other escrow technology may be introduced by the instructor.
Assignment for In and Out of Class
Assignment Types: - Substantial college level writing assignment, such as: essay(s), written homework, term/research paper, and/or other (Required).
- Substantial college level reading assignment, such as: textbook, journal article(s), literature, and/or other (specify)
- Portfolio
Examples: Students will prepare written homework demonstrating an understanding of the course materials. Students are expected to prepare escrow instructions from case studies supplied by the instructor.
Weekly reading assignments are required from the course textbook. The instructor may assign supplemental college level reading assignments from trade journals and the Internet.
Students will prepare a written portfolio including documents commonly prepared for an escrow file from beginning to end of a sample escrow transaction.
Methods of Evaluation
Computational or Non-Computational Problem Solving Demonstrations:
Further Methods of Evaluation: - Objective examinations, such as: multiple choice, true/false, matching items, completion
- Portfolio
Examples: Assignments will be evaluated on the completion of the assignment in a timely manner, thorough and complete completion of the assignment based on the instructions given, and proper use of the English language. Escrow instructions will be evaluated based upon accurate and thorough completion of the written instructions based upon the case study information and proper use of the English language.
Final examination is evaluated on the student's ability to demonstrate knowledge of key escrow and title concepts and definitions, to describe and distinguish escrow and title practices and procedures, and to perform accurate computations related to an escrow transaction.
Quizzes are evaluated on the student's ability to demonstrate knowledge of key escrow and title concepts and definitions, to describe and distinguish escrow and title practices and procedures, and to perform accurate computations related to an escrow transaction.
Escrow documents and closing statements will be evaluated based upon accuracy in computing closing costs, prorations, and other calculations necessary for the complete and accurate completion of the documents.
Examinations and quizzes may include objective questions such as multiple choice, true/false, matching items, or completion to evaluate the student's knowledge of key escrow and title practices, procedures, and terminology.
Escrow documents and closing statements will be evaluated based upon thorough, accurate, and correct completion of the required documents in a timely manner.
Diversity, Equity, Inclusion, Accessibilty
The Business Administration Economics Department aligns with Long Beach City College’s commitment to diversity, equity, inclusion, and accessibility by providing learning materials and instructional approaches intended to support students from a wide range of backgrounds and lived experiences. The learning materials and instructional approaches used in the Business Administration Economics Department reflect diverse cultural, social, and economic perspectives to enhance relevance and inclusivity. Students are encouraged to draw on their own experiences when engaging with course concepts, principles, and theories.
Representative Textbooks and Materials
Representative Textbook: California Real Estate Escrow. Grogan. Dearborn Real Estate Education. 2005. (This is the most recent edition).
Modality