Real Estate Exam by State

Florida · broker exam · area VI, closing transactions

Closing statements, Florida taxes included

Closing transactions carry 12% of the exam, and they are where Florida taxes meet the federal Closing Disclosure. Three state taxes make up the Florida part: documentary stamp tax on the deed, documentary stamp tax on the note, and the one-time intangible tax on a new mortgage.

Updated Oct 24, 2026 · Not affiliated with any state commission or test provider.

  • 12%of the exam
  • 15questions on this page
  • amount, side and pagewhat a closing answer asks for

The three Florida closing taxes

  • Documentary stamp tax on the deed: $0.70 per $100 of the price (§ 201.02). Miami-Dade County may add a surtax on deeds for property other than a single-family home (§ 201.031).
  • Documentary stamp tax on the note: $0.35 per $100 or fraction of the debt (§ 201.08).
  • Intangible tax: a one-time 2 mills (0.2%) on a debt secured by a mortgage on Florida real property (§ 199.133).

On the note, "or fraction" means a partial $100 counts as a full one. The note stamps have a $2,450 cap only for unsecured notes; a note secured by a mortgage has no cap.

Worked example: the buyer side of a new loan

A home sells for $425,000; the buyer signs a new $340,000 note and mortgage. The two taxes on the loan, then the deed tax for comparison:

Calculation steps

  1. 1Note stamps340,000 ÷ 100 × $0.35$1,190.00
  2. 2Intangible tax340,000 × 0.002$680.00
  3. 3Deed stamps, for comparison425,000 ÷ 100 × $0.70$2,975.00
  4. =Taxes on the loan (note stamps + intangible)$1,870.00

Source: § 201.02, § 201.08, § 199.133, checked Oct 24, 2026

15 closing questions

0 of 15 answered · 0 correct
Question 1 of 15 · Closing transactions and Florida closing taxes · 12%

A Florida home outside Miami-Dade County sells for $347,250. What is the documentary stamp tax on the deed?

Answer and explanations

Incorrect: $2,083.80 uses $0.60 per $100, which is not the Florida deed rate.

Incorrect: $2,430.75 multiplies the exact price by 0.007 and skips the round-up of the last fractional $100.

Correct: Deed stamps are $0.70 per $100 or fraction: $347,250 is 3,472.5 units, rounded up to 3,473, and 3,473 × $0.70 = $2,431.10.

Incorrect: $1,215.55 uses the $0.35 note rate instead of the $0.70 deed rate.

Calculation steps

  1. 1Taxable units of $100347,250 ÷ 1003,472.5
  2. 2Round up the fraction3,473
  3. 3Deed stamps at $0.703,473 × 0.70$2,431.10
Question 2 of 15 · Closing transactions and Florida closing taxes · 12%

A rented home closes on June 18. The tenant paid June's rent of $2,100 to the seller on June 1. The day of closing belongs to the buyer; use a 30-day month. How is the rent proration shown on the Closing Disclosure?

Answer and explanations

Correct: The buyer owns June 18–30, 13 days: $2,100 ÷ 30 = $70 a day, × 13 = $910, which the seller owes the buyer.

Incorrect: The amount is right, but rent the seller collected in advance is a credit to the buyer, not a debit.

Incorrect: $1,190 is the seller's 17 days; the buyer is credited for the days the buyer owns.

Incorrect: $840 is 12 days, which gives the day of closing to the seller instead of the buyer.

Calculation steps

  1. 1Daily rent2,100 ÷ 30$70
  2. 2Buyer's days, June 18–3013
  3. 3Buyer's share70 × 13$910 credit buyer, debit seller
Question 3 of 15 · Closing transactions and Florida closing taxes · 12%

A buyer finances a Florida home purchase with a new $280,000 mortgage. What is the nonrecurring intangible tax on the mortgage?

Answer and explanations

Incorrect: $980 is the documentary stamp tax on the note at $0.35 per $100, a different tax.

Correct: Florida intangible tax on a mortgage is 2 mills, 0.2% of the secured debt: $280,000 × 0.002 = $560.

Incorrect: $1,960 applies the $0.70 deed stamp rate to the loan.

Incorrect: $1,540 is $0.55 per $100, which is not a Florida mortgage tax rate.

Calculation steps

  1. 1New mortgage$280,000
  2. 2Intangible tax rate2 mills0.002
  3. 3Intangible tax280,000 × 0.002$560
Question 4 of 15 · Closing transactions and Florida closing taxes · 12%

At closing, the seller pays off an existing mortgage of $182,000 from the sale proceeds. How does the payoff appear on the Closing Disclosure?

Answer and explanations

Incorrect: A payoff reduces the seller's proceeds, so it is a debit, not a credit.

Correct: The payoff is money the seller owes at closing, shown in the seller's Summaries of Transactions on page 3.

Incorrect: The buyer does not assume or receive the old loan, so the buyer's side shows nothing for it.

Incorrect: Page 2 lists loan costs and other closing costs, not the seller's loan payoff.

Question 5 of 15 · Closing transactions and Florida closing taxes · 12%

Which of the following items is normally NOT prorated between buyer and seller on the Closing Disclosure?

Answer and explanations

Incorrect: Prepaid dues cover a period that straddles closing and are prorated to credit the seller.

Incorrect: Florida property taxes are paid in arrears and prorated between the parties at closing.

Incorrect: Advance rent covers days after closing and is prorated to credit the buyer.

Correct: Deed stamps are a one-time transfer tax charged to one party, so they are not split by days.

Question 6 of 15 · Closing transactions and Florida closing taxes · 12%

A seller sells for $350,000 and pays a 6% commission, a $210,000 mortgage payoff, $2,450 in deed doc stamps, $1,800 in other closing costs, and a $1,200 property-tax proration debit. What are the seller's net proceeds?

Answer and explanations

Incorrect: $116,000 leaves out the deed stamps.

Incorrect: $134,550 leaves out the $21,000 commission.

Correct: $350,000 − $21,000 commission − $210,000 payoff − $2,450 − $1,800 − $1,200 = $113,550.

Incorrect: $114,750 leaves out the $1,200 tax proration debit.

Calculation steps

  1. 1Sale price$350,000
  2. 2Less commission− 21,000$329,000
  3. 3Less mortgage payoff− 210,000$119,000
  4. 4Less deed stamps, other costs, tax proration− 2,450 − 1,800 − 1,200$113,550
Question 7 of 15 · Closing transactions and Florida closing taxes · 12%

A sale of a Florida home closes on May 1, 2026, and the day of closing belongs to the buyer. The 2026 property taxes, estimated at $4,380, have not been paid. Using a 365-day year, how are the taxes entered on the Closing Disclosure?

Answer and explanations

Correct: The seller owns January 1–April 30, 120 days: $4,380 ÷ 365 = $12 a day × 120 = $1,440, owed to the buyer who will pay the bill.

Incorrect: $1,452 counts 121 days, giving May 1 to the seller although it belongs to the buyer.

Incorrect: The amount is right, but unpaid taxes are charged to the seller, not credited to the seller.

Incorrect: $2,940 is the buyer's 245 days, charged to the wrong party.

Calculation steps

  1. 1Daily tax4,380 ÷ 365$12
  2. 2Seller's days, Jan 1–Apr 3031 + 28 + 31 + 30120
  3. 3Seller's share12 × 120$1,440 debit seller, credit buyer
Question 8 of 15 · Closing transactions and Florida closing taxes · 12%

A seller pays $2,100 in documentary stamp tax on the deed. Where on the Closing Disclosure is this charge itemized?

Answer and explanations

Incorrect: Page 3 carries the seller's closing costs as one total from page 2; the itemized line is in Section E.

Incorrect: Page 1 shows only the buyer's totals, with no itemized seller taxes.

Incorrect: Section H holds items such as commissions and HOA fees; government taxes have their own section.

Correct: Transfer taxes such as deed stamps are itemized in Section E on page 2, in the seller-paid column.

Question 9 of 15 · Closing transactions and Florida closing taxes · 12%

A Florida seller is preparing to convey her home. Which of the following is required for the deed to be properly executed under Florida law?

Answer and explanations

Correct: Section 689.01 requires a Florida deed to be signed by the grantor in the presence of two subscribing witnesses.

Incorrect: The grantor signs the deed; the grantee accepts it by delivery, without signing.

Incorrect: Recording protects the buyer against later claims, but it is not part of executing the deed and has no 30-day deadline.

Incorrect: Florida does not require a seal on a deed.

Question 10 of 15 · Closing transactions and Florida closing taxes · 12%

A Florida buyer finances a home purchase with a new mortgage. Absent a contract term to the contrary, how are the documentary stamp taxes and the intangible tax customarily paid?

Answer and explanations

Incorrect: This reverses the custom: the note and mortgage taxes follow the borrower, who is the buyer.

Incorrect: The intangible tax is on the buyer's new mortgage, so the buyer pays it with the note stamps.

Incorrect: The deed tax customarily falls on the seller, not the buyer.

Correct: Florida custom, followed by the standard contract forms, puts deed stamps on the seller and the new-loan taxes on the borrowing buyer.

Question 11 of 15 · Closing transactions and Florida closing taxes · 12%

A buyer closes on October 20 with a $150,000 loan at 4.5% interest. The lender collects prepaid interest from the day of closing through October 31, inclusive, on a 365-day year. How much prepaid interest does the buyer pay, to the nearest cent?

Answer and explanations

Incorrect: $203.42 counts 11 days and leaves out the day of closing.

Correct: October 20 through 31 inclusive is 12 days: $150,000 × 4.5% ÷ 365 = $18.493 a day × 12 = $221.92.

Incorrect: $225.00 uses a 360-day year, but the lender here uses 365 days.

Incorrect: $562.50 is a full month of interest, not the 12 days from closing to month end.

Calculation steps

  1. 1Annual interest150,000 × 4.5%$6,750
  2. 2Daily interest6,750 ÷ 365$18.4932
  3. 3Prepaid interest, Oct 20–3118.4932 × 12$221.92
Question 12 of 15 · Closing transactions and Florida closing taxes · 12%

The listing broker holds a buyer's $10,000 earnest money deposit until closing. How is the deposit entered on the Closing Disclosure?

Answer and explanations

Incorrect: A seller debit would be right only if the seller had received the deposit.

Incorrect: Page 2 lists closing costs, and a payment already made is a credit, not a debit.

Incorrect: The seller gets the full price through the buyer's side; the deposit is not a separate seller credit.

Correct: The deposit is money the buyer already paid toward the price, so it is a buyer credit; the seller's side is untouched because the seller never held it.

Question 13 of 15 · Closing transactions and Florida closing taxes · 12%

A seller paid the quarterly HOA dues of $900 for July 1 through September 30. The sale closes August 31, and the day of closing belongs to the buyer. Using actual days in the quarter, how is the HOA proration entered?

Answer and explanations

Incorrect: $293.48 is 30 days, which leaves the day of closing with the seller.

Correct: The quarter has 92 days and the buyer owns August 31–September 30, 31 days: $900 ÷ 92 × 31 = $303.26 back to the seller who prepaid.

Incorrect: The seller paid ahead, so the seller is credited, not debited.

Incorrect: $300.00 treats the quarter as 90 days and uses 30, not the actual days.

Calculation steps

  1. 1Days in quarter, Jul 1–Sep 3031 + 31 + 3092
  2. 2Buyer's days, Aug 31–Sep 301 + 3031
  3. 3Buyer's share900 ÷ 92 × 31$303.26 credit seller, debit buyer
Question 14 of 15 · Closing transactions and Florida closing taxes · 12%

A buyer purchases a Florida fourplex with the tenants in place. The seller holds $6,000 of the tenants' security deposits. How are the deposits handled at closing?

Answer and explanations

Correct: Under 83.49(7) the deposits held for the tenants pass to the new owner, so the seller is charged the full amount and the buyer credited; they are not prorated.

Incorrect: Security deposits are not earned over time; they belong to the tenants and move in full to the new owner.

Incorrect: This reverses the direction: the seller hands over money held for the tenants, so the seller is debited.

Incorrect: Florida law has the deposits transferred to the new owner, who must hold them for the tenants.

Question 15 of 15 · Closing transactions and Florida closing taxes · 12%

At closing, the buyer's lender sets up an escrow account. Annual property taxes are $4,320 and the hazard insurance premium is $1,800 a year. The lender's escrow analysis calls for 3 months of taxes and 2 months of insurance to be deposited at closing. How much is the initial escrow deposit?

Answer and explanations

Correct: Taxes $4,320 ÷ 12 × 3 = $1,080 plus insurance $1,800 ÷ 12 × 2 = $300 gives $1,380, shown in Section G of the Closing Disclosure.

Incorrect: $1,530 collects 3 months of insurance as well, but the analysis calls for only 2.

Incorrect: $1,170 swaps the months: 2 months of taxes and 3 of insurance.

Incorrect: $1,020 collects only 2 months of taxes, one month short of the analysis.

Calculation steps

  1. 1Monthly taxes4,320 ÷ 12$360
  2. 2Taxes, 3 months360 × 3$1,080
  3. 3Monthly insurance1,800 ÷ 12$150
  4. 4Insurance, 2 months150 × 2$300
  5. 5Initial escrow deposit1,080 + 300$1,380

Answer every question to see your score

Reading the Closing Disclosure

The candidate booklet links the CFPB sample Closing Disclosure for these questions. Answer format: amount, debit or credit side, and Closing Disclosure page, asked together. Learn the form’s layout before the numbers: which page itemizes charges and which one sums up each party’s debits and credits. Then ask of every item whether money moves between buyer and seller (a debit to one, a credit to the other) or goes to a third party (one side only).

Prorations follow the same arithmetic as anywhere else: real estate math. Read each stem for who owns the day of closing; the questions state it.

On the note, a partial $100 is a full $100

Note stamps are charged on each $100 or fraction of $100, so round the base up before you multiply: a $312,050 note is 3,121 units of $100, which is $1,092.35 of note stamps, not $1,092.18.

Other sections of the exam

Florida closing taxes, quick answers

How is intangible tax calculated in Florida?

2 mills, or 0.2%, of the debt secured by a mortgage on Florida real property, charged once (§ 199.133). On a $200,000 mortgage that is $400.

Does Florida have a mortgage tax?

Two of them: documentary stamp tax on the note at $0.35 per $100, and the nonrecurring intangible tax at 0.2% of the mortgage amount.

How much are doc stamps on a deed in Florida?

$0.70 per $100 of the sale price (§ 201.02). Miami-Dade County may add a surtax on deeds for property other than a single-family home (§ 201.031).