Pennsylvania - Land, Real Estate, and Real Property, RELRA

10

Losses to appurtenances are limited to _____% of the coverage amount with MSI.

Associate broker

A broker employed by another broker

20

A home should be insured under MSI up to its replacement value plus _____% to cover losses to appurtenances and incidental costs.

Improvements

A land's value can be affected by the changes that are made to it

Dual agent

A licensee who acts as an agent for the buyer and seller, or lessee and landlord, in the same transaction.

Location or area preference

A property's value is impacted by where it's situated and how interested people are in buying or living in the area

Agency relationship

A relationship whereby the broker or licensees in the employ of the broker act as fiduciaries for a consumer of real estate services by the express authority of the consumer of real estate services.

Promotional real estate

An interest in a property which is a part of a common promotional plan undertaken by a single developer or group of developers acting together to offer interests in real estate for sale or lease through advertising

Chattel

Another word for personal property

Buyer agent

Any licensee who has entered into an agency relationship with a consumer buyer of real estate

Builder-owner salesperson

Any person who is a full-time employee of a builder-owner of single and multifamily dwellings located within the Commonwealth and as such employee shall be authorized and empowered to list for sale

D

At least one member on the State Real Estate Commission must have experience selling what special type of real estate in Pennsylvania? A. Waterfront properties B. Landlocked properties C. Undeveloped Land D. Cemetery lots

Law of agency

Covers how an agency relationship is created

General property law

Covers the form of ownership and tenancy in real property, and its distinction from personal property within the common law legal system.

State specific license law

Covers the requirements of a licensee when performing real estate activities within the state, to include license law, continuing education requirements, supervisory requirements and prohibited conduct

Contract Law

Covers what happens in the case of a breach of a contract and how a contract may be terminated.

Emblements

Cultivated crops

Coal Mining Notice

Discloses that any structure on the land may not be protected against damage by coal mining subsidence

Yes

Do individuals have to complete continuing education in order to reactivate a license on inactive status?

No

Does MSI cover the contents of my house?

D

Economic characteristics of land include its scarcity, improvements, permanence of investment, and ______. A. Immobility B. Indestructibility C. Nonhomogeneity D. Situs (location)

Physical

Economic or Physical Characteristic: Immobility

Economic

Economic or Physical Characteristic: Improvements

Physical

Economic or Physical Characteristic: Indestructibility

Economic

Economic or Physical Characteristic: Location or area of preference

Economic

Economic or Physical Characteristic: Permanence of investment

Economic

Economic or Physical Characteristic: Scarcity

Physical

Economic or Physical Characteristic: Uniqueness

Ethical

Ethical or Unethical: A licensee began preparing a competitive market analysis before having a signed listing agreement.

Personal property

Everything that's not real property

Three years

For how long must you preserve records relating to a real estate transaction?

Contract law

Governs the use of contracts and the required elements to make a contract valid.

Corporeal

Having tangible form and structure, such as a building

Within 30 days of the verdict or plea

How long does a licensee have to report being convicted of, or pleading guilty or nolo contendere to a felony or misdemeanor?

Since 1961

How long has the Mine Subsidence Insurance Fund been in operation?

5 years

How long is the term of office for members of the Real Estate Commission?

C

How many Pennsylvania State Real Estate Commission members represent the public at large? A. One B. Five C. Three D. 11

5 days prior to midnight

How many days does a purchaser have to cancel the purchase of a timeshare or campground membership after the date of the transaction?

14

How many hours of mandatory continuing education must a licensee obtain during each two-year license period?

B

How many members on Pennsylvania's State Real Estate Commission must be licensed real estate brokers with at least 10 years of experience? A. One B. Five C. Three D. 10

Four

How many times a year may the Real Estate Commission inspect the main or branch office of a broker, cemetery broker or rental listing referral agent?

5

How many years may a license be placed on inactive status?

3

How many years must a broker have engaged as a licensed real estate person

21

How old must a person be to qualify to be a broker

18

How old must a person be to qualify to be a salesperson

Pittsburg, Harrisburg and Pennsylvania.

I which three cities will there be at least on public meeting of the Real Estate Commission each year?

B

If your business is registered as Kelly Realty what name can you conduct business as? A. Kelly Homes B. Kelly Realty C. Pennsylvania Realty D. Kelly's Pennsylvania Realty

Incorporeal

Intangible property rights, such as an easement

Permanence of investment

Involves improvements, such as sewer, roads, and utilities, that are long-term, stable investments with relatively stable returns over time

No

Is a detached garage covered under a MSI policy for the house?

Uniqueness

Land isn't interchangeable. One piece of land isn't exactly like another.

D

Land, improvements, fixtures, and crops within the bundle of rights are defined as _____________ rights. A. Littoral B. Riparian C. Affixed D. Tangible

Real estate

Land, plus all things permanently attached to it naturally or artificially

Severance

Occurs when an item that was real property becomes personal property by detaching it from the land

Annexation

Occurs when personal property is attached to real property, which makes it a fixture.

Improvements

Permanent, man-made attachments that include such things as fencing, buildings, and walkways

B

Physical characteristics of land include its immobility, indestructibility, and ______. A. Scarcity B. Uniqueness (nonhomogeneity) C. Location D. Permanence of investment

Freehold

Property ownership

Real Estate Licensing and Registration Act

RELRA

Real property

Real estate, plus the interests, benefits, and rights automatically included with real estate ownership

Nonfreehold

Rental or lease of property

False

Subsidence troughs, which are caused by room-and-pillar mining, can occur over active mines only.

B

The RELRA allows the Pennsylvania State Real Estate Commission to ______. A. Establish easements and subdivision regulations B. Establish continuing education requirements for real estate licensees C. Establish qualified schools that offer real estate instruction D. Limit the number of brokers allowed in the state

11

The Real Estate Commission is made up of how many people?

Scarcity

The concept that there's a finite amount of land

D

The courts use three primary tests to determine whether something is personal property or real property. These are: method of attachment, agreement, and adaptation. What does adaptation test? A. The test is based on what the parties have decided (usually captured in writing) as to whether an item will stay or go. B. The test is based on how and whether the item is permanently affixed to the property. C. The test is based on whether the item is accepted as part of the property or not. D. The test is based on how the item is situated to the real estate.

Land

The earth's surface extending downward to the center of the earth and upward to infinity, including permanently-attached natural objects

Immobility

The geographic location of a piece of land is fixed; it can never be changed.

Mine subsidence

The movement of the ground surface due to the collapse or failure of an underground mining apparatus

Promotional land sales

The promotion for the sale of land, usually this involves large tracts of land to be developed (at least 50 lots).

A

The right to access rivers, streams, and other flowing bodies of water adjacent to a property is called ______. A. Riparian B. Land C. Mineral D. Littoral

Disposition

The right to determine how, when and if the property is to be sold/transferred

Control

The right to determine interest int he property for others

Possession

The right to occupy the property

Enjoyment

The right to possess the land without harassment or interference

Exclusion

The right to refuse other interests in your property

Mine water breakouts

The sudden release of water from flooded underground mines.

Method of attachment

The test is based on how and whether the item is permanently affixed to the property.

Adaptation

The test is based on how the item is situated to the real estate.

Agreement

The test is based on what the parties have decided (usually captured in writing) as to whether an item will stay or go.

B

To qualify as a real estate professional in Pennsylvania, what type of exam(s) must you pass? A. Oral exam only B. Written exam only C. Both oral and written D. Practical exam only

True

True or False: A campground membership salesperson shall sell under the active supervision of a broker

True

True or False: A licensee who fails to activate his license after five years must retake the appropriate examination.

False

True or False: A manufactured home is considered real estate the moment it is purchased by the owner.

True

True or False: A person acting as a trustee in bankruptcy, administrator, executor, trustee or guardian while acting under a court order or under the authority of a will or trust instrument is exempt from the provisions of the RELRA act.

True

True or False: Adjacent properties may also be at risk for mine subsidence or mine water breakouts

False

True or False: After you have obtained your real estate license, you may legally draft a contract.

True

True or False: All deposits or other escrows accepted by a broker must be retained by the broker pending either a closing of the transaction, or a termination prior to the transaction closing.

True

True or False: An exclusive listing agreement cannot have a listing period that exceeds 1 year.

True

True or False: Any homeowner whose property sits on top of an abandoned coal and clay mine needs Mine Subsidence Insurance.

False

True or False: As long as you are actively pursuing your real estate license, you can legally perform the same activities that licensed real estate professionals perform.

True

True or False: Before a manufactured home can be sold as real estate, it must meet several specific conditions. For example, it must be permanently attached to a foundation, and the owner must have canceled the motor vehicle registration.

False

True or False: Brokerages and licensees must use real estate documents prepared by the state.

True

True or False: Brokers may, if instructed to by the parties, hold a check and not deposit it pending offer acceptance.

True

True or False: Brokers must keep records of all funds deposited in the custodial or trust account, which indicate the date and from whom the broker received the funds, the date deposited, the date any withdrawals are made, and other necessary information.

True

True or False: Brokers must not commingle funds with their own funds or property or that of another person.

True

True or False: Even when part of the sale of a piece of land, a mobile home may still be considered personal property under certain circumstancs.

True

True or False: Failure to cooperate with an investigation can be a violation of the licensing act.

True

True or False: If a hearing is held, the claimant, respondent, and any witnesses may appear and testify.

True

True or False: If the fund runs out of money, or doesn't have enough to pay the claimants, the commission will satisfy the outstanding balance plus 6% interest once the fund is replenished.

True

True or False: In Pennsylvania new manufactured homes are considered motor vehicles and therefore owners must register them with the Pennsylvania Bureau of Motor Vehicles.

False

True or False: Licensees can resume practicing real estate as soon as a judgment award is paid from the fund.

True

True or False: Mine subsidence can cause cosmetic, functional or structural damage to improvements built upon the land and adjacent lands.

True

True or False: Mine subsidence can result in sinkholes and troughs.

False

True or False: Only fellow licensees can file a complaint against a real estate licensee.

False

True or False: Owners of mine subsidence-impacted land are required by law to carry special insurance that covers potential damage caused by mine subsidence.

True

True or False: Pennsylvania law requires sellers to provide a Coal Mining Notice to buyers disclosing whether or not structures on the land are protected against damage caused by mine subsidence.

True

True or False: RELRA and the Regulations outline required language for real estate documents.

True

True or False: RELRA was enacted in 1980

False

True or False: Rents collected by brokers must also be held in an escrow account.

True

True or False: Sinkhole subsidence is one of the most common types of mine subsidence.

True

True or False: The Department of State receives complaints against individuals suspected of practicing without a license.

True

True or False: The construction and safety of manufactured homes is federally regulated and enforced by HUD's Manufactured Housing Program.

False (1976)

True or False: The construction and safety standards for manufactured housing as set forth by the National Manufactured Housing Construction and Safety Standards Act of 1974 applies to all manufactured homes produced after June 15, 1974.

True

True or False: The consumer must apply within one year of the termination of the civil proceedings, including any appeals in order to qualify to be paid from the fund.

True

True or False: The consumer must demonstrate that final judgment has been awarded in order to qualify to be paid fro the fund.

True

True or False: The consumer must demonstrate that the consumer has attempted to obtain the judgment awarded through all other available other means in order to qualify to be paid from the fund.

True

True or False: The insured building must be damaged by the same event before losses to appurtenances can be paid with MSI.

False

True or False: The licensee can quit practicing real estate in order to avoid paying back the fund.

True

True or False: The purpose of licensing is to protect the public by requiring certain education, training and standards of licensees.

True

True or False: The requirements for licensing provide an important oversight component to ensure that you continue to meet the terms of your license.

True

True or False: There are different types of licenses based on experience level and training, and different requirements and responsibilities that go with each license.

True

True or False: Your role as a licensee is limited to the use of legally approved forms and standard clauses.

False

True or False:The Pennsylvania Real Estate Commission has the power to suspend or revoke a license and levy fines up to $10,000.

Not a violation

Violation or Nor a violation: Martin paid a referral fee to a licensed broker in a neighboring state for sending a new client his way.

Not a violation

Violation or Not a violation: Annabelle's advertisement says "Annabelle Jordan, REALTOR." She is a member of the National Association of REALTORS®.

Violation

Violation or Not a violation: Charles doesn't tell a buyer that the listing is his sister's property.

Violation

Violation or Not a violation: Jason's business cards say "Jason Smith, REALTOR." He's not a member of the National Association of REALTORS®.

Violation

Violation or Not a violation: Natasha is offering a prize to anyone who purchases a vacant property she has listed within 45 days.

Violation

Violation or Not a violation: Toni paid a referral fee to a mortgage broker, who directed some business her way.

D

What are improvements with regard to property? A. Natural fixtures that are part of the land and that enhance its value B. Another name for a building permit C. The right to increase the value of a property D. Artificial attachments to land that include items such as fencing, buildings, and walkways

A

What are some rules and regulations the Pennsylvania State Real Estate commission can promulgate to enforce the RELRA? A. Licensing examination rules B. Financial reporting regulations C. Appraisal types D. Joint tenancy laws

May 31

What day each year is the renewal deadline?

Pennsylvania Human Relations Commission

What entity investigates complaints of housing discrimination?

C

What is mine subsidence? A. A subsidy given by the government to mining companies to mine a specific property B. When soil is contaminated from a nearby mining operation C. The movement of the ground surface due to the collapse or failure of an underground mining apparatus D. Process by which mining companies request permission from a property owner to begin mining operations on their land

D

What is the purpose of a Coal Mining Notice? A. To dissuade buyers from buying land that was once used for mining B. A notice from the mining company to the property owner that mining operations are about to begin C. To notify property owners of the state requirement for mine subsidence insurance D. To disclose to buyers whether or not structures on the land are protected against damage caused by mine subsidence

C

What is the purpose of licensing? A. To provide a source of income for the state B. To standardize the requirements of real estate professionals across the United States C. To protect the public by requiring certain education, training and standards of licensees D. To allow real estate professionals to make money

A

What states have reciprocal licensure agreements with Pennsylvania and allow you to practice real estate there? A. Arkansas, Georgia, Louisiana, Maryland, Massachusetts, New York, and West Virginia. B. Texas, New Hampshire, South Carolina, and Oregon. C. California, North Dakota, and Tennessee. D. You can't practice outside of Pennsylvania.

A

What's the best definition of personal property? A. Everything that's not real property B. Land C. Property that's fenced D. Artificial attachments to land that include such things as fencing, buildings, and walkways

After five years

When can a person whose license has been revoked reapply for a license?

DEP

Where are MSI claims filed?

B

Which Pennsylvania commission administers and enforces laws regarding licensed real estate activities? A. Environmental Protection Commission B. State Real Estate Commission C. Local Planning Commission D. National Commission of REALTORS

D

Which Pennsylvania entity administers and enforces campground and cemetery laws for activities that require a license? A. The Parks Department B. Planning Commission C. State Association of REALTORS D. State Real Estate Commission

C

Which area of real estate law covers how an agency relationship is created and the duties of an agent to the principal? A. General property law B. Contract law C. Law of agency D. State-specific license laws

A

Which area of real estate law covers the rights of ownership and tenancy and the government's rights and authority under eminent domain? A. General property law B. Contract law C. Law of agency D. State-specific license laws

B

Which area of real estate law governs the use of contracts and explains the elements required to make a contract valid, as well as describing what happens if a breach of contract should occur? A. General property law B. Contract law C. Law of agency D. State-specific license laws

B

Which economic characteristic of land contains the concept that a land's value can be affected by the changes made to it, such as construction of a home or shopping center? A. Scarcity B. Improvements C. Permanence of investment D. Situs (location)

D

Which economic characteristic of land contains the concept that a property's value is impacted by where it's located? A. Scarcity B. Improvements C. Permanence of investment D. Situs

B

Which of the following are rights of real property ownership? A. Property management, census, encroachment, easement, and disposal B. Enjoyment, disposition, possession, control, and exclusion C. Improvement, privacy, maintenance, investment, and growth D. Transference, entitlement, enclosure, proprietorship, and quiet

B

Which of the following statements about renewing your license and continuing education is true? A. Pennsylvania requires licensees to take continuing education courses each year but there is no specific number of hours that must be met. B. Pennsylvania requires licensees to complete a specified number of continuing education hours each license period to keep their licenses current. C. Pennsylvania does not have a continuing education requirement as part of license renewal. D. Pennsylvania requires licensees to take a specified number of continuing education hours every other year as part of license renewal.

D

Which real property ownership right allows the owner to determine others' interest in the property? A. Possession B. Enjoyment C. Exclusion D. Control

C

Which real property ownership right grants the ability to determine who may enter your property? A. Possession B. Enjoyment C. Exclusion D. Disposition

D

Which term defines any interest or estate in land? A. Real estate service B. Freehold C. Nonfreehold D. Real Estate

B

Which term would you most likely see associated with a lake? A. Riparian B. Littoral C. Percolating D. Fracking

Indestructibility

While improvements may deteriorate over time, the land itself can't be destroyed.

A

Who selects the members of the Pennsylvania State Real Estate Commission? A. The governor B. The Board of Trustees C. The Real Estate Broker's Association D. The mayor of Harrisburg

D

Your neighbor bought rights that will prevent you from ever building above two stories. What type of rights are these? A. Riparian B. Littoral C. Mineral D. Air