Transfer of Property, 8% of the examination
Documentary transfer tax
A county tax of $0.55 per $500 of consideration, equal to $1.10 per $1,000.
A partial $500 counts as a whole unit, so the unit count always rounds up. Charter cities may impose an additional tax, and several large California cities do so at substantially higher rates. An assumed lien remaining on the property is deducted from taxable consideration before the tax is computed.
See it in a question
One question from Transfer of Property, so the term lands in the context the exam uses it in.
Transfer of Property ยท 8%Escrow
What is the essential function of an escrow in a California transaction?
Written to DRE's published topic list. Not a real examination question, since reproducing those is a misdemeanour under B&P Code section 123.