Final answer:
In Oregon, a broker can legally act as an escrow agent without an escrow license. The broker must be licensed, handle the transaction's closing, and not charge a separate fee for escrow services. The incorrect statement is that the broker must have an escrow license.
Step-by-step explanation:
Under Oregon Law, a broker can perform the duties of an escrow agent without having to obtain a separate escrow license. However, certain conditions must be met for a broker to offer these services legally. The broker indeed must be actively licensed, and the closing has to be for a real estate transaction that the broker is handling. In addition, the parties involved in the transaction must not be charged an additional fee specifically for escrow services. Therefore, the requirement that is NOT necessary for the broker to perform escrow duties in Oregon is D. The broker must have an escrow license.
Understanding escrow is important in the context of purchasing a home. Escrow involves a third party holding onto funds, which could be for the purchase of the property, or for ongoing expenses like home insurance and property taxes, ensuring they are paid out at the correct time as part of the regular mortgage payment. This arrangement simplifies the payment process for homeowners by consolidating these expenses.