RE 103 Final Review
A buyer can legally waive his/her right to receive a Seller's Real Property Disclosure form. True False
False
To be effective a rescission or cancellation of a purchase agreement based on the contents of the resale package must be in writing and the buyer(s) signature(s) must be notarized. True False
False NRS 116.4109
If a seller knows that a homicide, suicide, or death occurred on the property the seller must disclose it a buyer. True False
False NRS 40.770
If a seller knows that a registered sex offender resides or is about to reside in the community the seller must disclose it to a buyer. True False
False NRS 40.770
After receiving an SRPD how many days does a buyer have to rescind the purchase contract without penalty? a) Four working days b) Four calendar days c) Five working days d) Ten days
a) Four working days It is very important for a licensee to keep his/her client informed of important deadlines, so you must know the deadlines.
James, a 16 year old high school sophomore, entered a written agreement to buy 30 acres of land from Farmer Frank. Which of the following statement is TRUE about this contract? a) It is a voidable contract as to James. b) Farmer Frank does not have to sell because James is underage. c) The contract is void. d) This is a unilateral contract that Farmer Frank must honor but James, because he is underage, is not obligated to buy.
a) It is a voidable contract as to James. James, because he is underage, is legally incompetent to enter a contract to buy land. When James reaches the age of majority, in Nevada 18, he has the choice to affirm or avoid the contract. It is not a unilateral contract, both parties have made a promise, one to sell and the other to buy, but James does not legally have to honor his promise, Frank does.
The term "information statement" is applicable in which context? a) Residential sales of property located in a common-interest community. b) All residential sales. c) All real estate sales. d) When a licensee will be acting for more than one party to the transaction.
a) Residential sales of property located in a common-interest community.
Sam-I-Am has agreed to help Rhianna market and sell her house. Although Rhianna has a real estate license Sam-I-Am does not have a real estate license. They agree that Rhianna will not pay Sam, but after close of escrow she will take Sam-I-Am out to dinner. Escrow closed successfully but Rhianna refused to take Sam to dinner. Which of the following statements is TRUE? a) Sam needs a real estate license to do this legally. b) Sam was not compensated so he does not need a real estate license. c) Rhianna is legally obligated to take Sam to dinner. d) Sam does not need a license because Rhianna has one.
a) Sam needs a real estate license to do this legally. Sam helped someone else with a real estate transaction with the expectation of compensation and therefore needs a license. NRS 645.030.
The process to discipline a real estate licensee often begins with someone filing a: a) Statement of Fact b) Complaint c) Request for Investigation d) Notice of Disciplinary Action
a) Statement of Fact
A statute which requires certain contracts to be in writing to be enforceable is called a: a) Statute of Frauds. b) Statute of Writings. c) Statute of Memorandum. d) Statute of limitations.
a) Statute of Frauds Certain contracts, including almost all real estate related contracts, to be enforceable, must be in writing. A law that requires a contract to be in writing is called a Statute of Frauds.
Who creates Nevada's Real Estate Statutes? a) The Legislature b) The Real Estate Commission c) he Real Estate Division d) Rocky Balboa
a) The Legislature
Darlene accepted an offer to purchase her house. Approximately 30 minutes after the acceptance the buyer called Darlene and revoked his offer and said he would not perform any of the provisions in the contract.. What is the legal status of negotiations? a) The buyer and seller have a binding contract for the purchase and sale Darlene's house. b) There is no contract because the buyer has declared that he will not perform. c) There is a contract because because the purported revocation was not done in writing. d) There is no contract, because there has not been a meeting of the minds.
a) The buyer and seller have a binding contract for the purchase and sale Darlene's house. An offer cannot be revoked after it is accepted.
A broker is the salesperson's boss. a) True b) False
a) True
A broker salesperson can legally manage a branch office. a) True b) False
a) True
A real estate salesperson acts on behalf of his or her broker. a) True b) False
a) True
At a Real Estate Commission disciplinary hearing for a salesperson, the salesperson's broker is also required to appear. a) True b) False
a) True
A real estate licensee must disclose all sources of his or her compensation to each party to the transaction. a) True b) False
a) True NRS 645.252
Dr. Cuddy sued her homebuilder alleging several construction defects. At trial the court found that none of the conditions were defects and she lost her case. Dr. Cuddy is now selling her house to Dr. Wilson. Is Dr. Cuddy required to disclose the construction defect litigation? a) Yes. b) No, since there are no defects, there is nothing to disclose. c) Only if Dr. Wilson asked for a disclosure of construction defect litigation. d) No, Dr. Wilson should get all of his information from Dr. House.
a) Yes. The litigation and the outcome must be disclosed.
An applicant may be denied a license for all of the following reasons EXCEPT: a) applicant has been convicted of murder b) applicant is behind on court ordered child support. c) applicant has been convicted of embezzlement. d) applicant has been convicted of forgery.
a) applicant has been convicted of murder Conviction of a felony that is related to honesty can disqualify an applicant. Murder is considered a crime of violence not a crime of dishonesty.
When a client signs a brokerage agreement the salesperson should a) give the client a copy of the agreement at that time b) take measures to ensure that the client does not get a copy because it is against the regulations for a non-licensee to have a brokerage agreement. c) place the agreement in a safety deposit box d) get his/her broker to sign the agreement and then give a copy to the client.
a) give the client a copy of the agreement at that time See NRS 645.300
An initial real estate license in NV is valid for: a) one year b) two years c) three years d) four years
a) one year
All of the following are correct about contingencies EXCEPT: a) they create a contract that is unenforceable. b) they must specify what is required to satisfy the contingency. c) they must identify who will pay for any costs involved. d) common contingencies include mortgage and inspection contingencies
a) they create a contract that is unenforceable. Contingencies create a voidable contract; if the contingencies are rejected or not satisfied, the contract can be declared void by the party benefiting from the contingency.
Mary entered an oral contract to buy an apartment building from Carrie. In most states this contract is: a) unenforceable b) implied contract c) voidable d) unilateral
a) unenforceable To be enforceable the statute of frauds requires a contract for the purchase of real property to be in writing. In most states, an oral contract to buy real property is valid, but not enforceable.
Which of the following duties owed by a real estate licensee can be waived by a client? a) The duty to disclose material facts concerning the transaction. b) The duty to present all offers made by or to the client. c) The duty to refer a client to an expert where needed. d) The duty of confidentiality.
b) The duty to present all offers made by or to the client Only the duty to present all offers can be waived and the broker is required to agree to the waiver. NRS 645.255
The amount of earnest money deposit is determined by: a) real estate licensing statutes. b) agreement between the parties. c) the listing broker's office policy on such matters. d) meeting the acceptable minimum of 5 percent of the purchase price.
b) agreement between the parties. The amount of earnest money deposit is determined by agreement of the parties.
The seller's real property disclosure form is required in: a) all real estate transactions b) all residential real estate transactions except new construction c) only residential real estate transactions where the property was built before 1978 d) only residential real estate transactions where the buyer will not have an inspection done
b) all residential real estate transactions except new construction NRS 113.130
A seller knew of a defect but did not disclose it on the SRPD. It cost the buyer $5,000 to repair the defect. How much can the buyer collect in damages from the seller? a) $5,000 b) $10,000 c) $15,000 d) $20,000
c) $15,000 Treble damages, the law's stupid word for triple.
After receiving a written request for the contents of a resale package, how many days does a homeowners' association have to deliver it to the seller or seller's agent? a) 20 days b) 15 days c) 10 days d) 5 days
c) 10 days
The Real Estate Commission has _________ members who are appointed by the ____________. a) 5/Administrator b) 11/the Governor c) 5/the Governor d) 11/the Governor
c) 5/the Governor
Which of the following is a type of unilateral contract sometimes used in large real estate transactions? a) Purchase contract b) A reward contract c) An option to purchase contract d) Any contract between a single buyer and a single seller.
c) An option to purchase contract A purchase contract is bilateral because there are promises on each side of the contract. The buyer promises to pay money and the seller promises to deliver title. A reward contract is a typical example of a unilateral contract but a reward contract is not used in real estate transactions. An option to purchase contract is unilateral because the seller promises to sell, but the buyer does not promise to buy. They are sometimes used in large commercial and industrial transactions while the buyer exercises due diligence. A contract between a buyer and seller, as noted above is a bilateral contract.
Which real estate specialty requires a certificate, but does not require a real estate license? a) Property manager b) Business broker c) Community manager d) Residential sales
c) Community manager
To act on behalf of more than one party to a transaction both clients must sign the a) Agency Representation form b) Dual Agency Authorization form c) Consent to Act form d) Acting for More Than One Party form
c) Consent to Act form
The buyer agreed to purchase certain property, if he could first sell some property he already owned. This is known as a(n): a) Covenant b) Illusory promise c)Contingency d) Void contract
c) Contingency A covenant is a promise. This is a common contingency, also called a condition, found in residential purchase agreements. Often the buyer needs the proceeds from the sale of one property to be able to buy other property. Contingencies are common and do not render a contract void or unenforceable. If the condition does not occur then the party benefiting from the condition is no longer required to perform.
Which of the following BEST describes a voidable contract? a) Contract that has no legal effect and never had any b) Oral contract with no witnesses to the agreement c) Contract that may be either enforced or declared void by one of the parties c) Contract that has been accepted but the acceptance has not been communicated to the offeror
c) Contract that may be either enforced or declared void by one of the parties A voidable contract has all the legal elements of a contract but may be rescinded or disaffirmed by one or both parties based on some legal principle.
The form used by a Nevada real estate licensee, in all transactions, to disclose his or her duties is called the: a) Agency Disclosure b) Consent to Act c) Duties Owed by a Nevada Real Estate Licensee d) Residential Disclosure Guide
c) Duties Owed by a Nevada Real Estate Licensee
Which of the following gives the BEST evidence of the buyer's intention to carry out the terms of the real estate purchase contract? a) "Subject to" clause b) Agreement to seek mortgage financing c) Earnest money deposit d) Provision that "time is of the essence"
c) Earnest money deposit The earnest money deposit is customary in real estate transactions to provide evidence of a buyer's intention to carry out the terms of the contract in good faith.
If a buyer defaulted some time ago on a written contract to purchase a seller's real estate, the seller can still sue for damages if he is not prohibited from doing so by the: a) statute of frauds. b) law of agency. c) statute of limitations. d) broker-attorney accord.
c) statute of limitations. The statute of limitations in every state limits the time within which parties to a contract may bring legal suit to enforce their rights.
Brokers are required to teach the licensees associated with them... select the two correct answers. a) the fundamentals of real estate b) ethics c) the fundamentals of real estate and ethics. d) Greek philosophy
c) the fundamentals of real estate and ethics NAC 645.600
To assign a contract for the sale of real estate means to: a) record the contract with the county recorder's office. b) permit another broker to act as agent for the principal. c) transfer all of one's rights under the contract. d) allow the seller and the buyer to exchange positions.
c) transfer all of one's rights under the contract. In an assignment, rights are assigned to a third party, but the original party remains secondarily liable unless specifically released through a novation.
The limits on recovery from the Education Research and Recovery Fund (ERRF) are ______ per judgment _______ per licensee. a) $5,000/$10,000 b) $10,000/$25,000 c) $25,000/$75,000 d) $25,000/$100,000
d) $25,000/$100,000 See NRS 645.844
By law the seller's real property disclosure form must be delivered to a buyer no later than: a) the day before escrow closes b) three days before escrow closes c) five days before escrow closes d) 10 days before escrow closes
d) 10 days before escrow closes Note, however, that the parties can agree to require it sooner. Most transactions in the Reno/Sparks area require the seller to deliver it upon acceptance.
How many college credits are required to obtain a Nevada real estate broker's license? a) None b) 16 c) 32 d) 64
d) 64
The Chief Executive Officer of the Nevada Real Estate Division is called the a) Boss. b) Chief Executive Officer of the Real Estate Division. c) Director. d) Administrator.
d) Administrator The Administrator's boss is the Director of the Department of Business and Industry.
Common interest communities are regulated in part by the: a) Commission on Common-Interest Communities, and Cooperative Developments, and Condominium Hotels, and Mega Resorts. b) Gaming Commission c) Common-Interest Community Division d) Commission on Common-Interest Communities and Condominium Hotels.
d) Commission on Common-Interest Communities and Condominium Hotels.
All of the following are grounds for discipline EXCEPT: a) Guaranteeing future profits from the resale of property b) Calling himself a REALTOR when he is not a member of the National Association of REALTORS c) Failure to include a fixed date of expiration in a written brokerage agreement d) Failure to deliver a closing statement
d) Failure to deliver a closing statement to a client within 5 days after the transaction is closed If a licensee honors his guarantee of future profits, why shouldn't she be allowed to make such a guarantee? (Editorial comment.) Closing statements must be delivered within 10 business days and are almost always delivered by an escrow officer, which relieves the licensee of the duty.
Hillary, a real estate salesperson entered a buyer representation agreement with Barack. Who are the parties to this brokerage agreement? a) Hillary and Barack b) Hillary's broker and Hillary c) Hillary's broker, Hillary, and Barack d) Hillary's broker and Barack
d) Hillary's broker and Barack A salesperson can only act on behalf of his or her broker. The parties to a buyer representation agreement are the broker and the buyer.
Katie is representing a seller who refuses to disclose on the SRPD a known leak in the roof. What should Katie do? a) Turn in her license. This stuff is just too difficult. b) Nothing, it is the seller's obligation to disclose the leaky roof. c) Say or write nothing, but when buyers view the property jump up and down and point to the location of the leak. d) Katie has an independent duty to disclose the defect.
d) Katie has an independent duty to disclose the defect. For this question you have to draw upon your knowledge of duties owed by a licensee and seller disclosure duties, Katie under NRS 645.252 has an independent duty to disclose material facts she knows relating to the property.
Katie, a real estate licensee with "Are You Kidding Me Realty" has published the following advertisement on her website: Crummy little house for sale. Seller has a serious drug problem and needs cash fast! Which of the following statements is MOST TRUE and precise? a) Because it is published on the Internet, her ad is not subject to the same rules as print advertising. b) The ad would be acceptable in print advertising, but it not acceptable on her website. c) Katie would need her client's permission to run this ad. d) Katie would need her client's written permission to run this ad.
d) Katie would need her client's written permission to run this ad
Which two real estate specialties require a real estate license and a permit? a) Commercial real estate and property management. b) Commercial real estate and business brokerage. c) Property management and land sales. d) Property management and business brokerage
d) Property management and business brokerage Property management and business brokerage require a real estate license and a permit. Distinguish between a permit and a certificate. Specialties which require a certificate, E.G., community association management, do not require a license.
Becky and Susan are salespeople associated with the same broker. Becky represents a buyer who wants to make an offer on property listed by Susan. Can this be done without creating a dual agency? a) No, because their broker will be representing both parties. b) Yes, if the buyer and seller sign the Consent to Act form c) Yes, but to be fair it is important that neither client know d) Yes, their broker can create an assigned agency
d) Yes, their broker can create an assigned agency Absent an assignment made pursuant to NRS 645.253 this would be a "dual agency", referred to as multiple representation by the Real Estate Division. Signing the Consent to Act form will create, not avoid a dual agency, and keeping it a secret is a breach of duty.
When a prospective buyer makes a written purchase offer that the seller accepts, then the: a) buyer may take possession of the real estate. b) seller grants the buyer possessory rights. c) buyer receives legal title to the property. d) buyer receives equitable title to the property.
d) buyer receives equitable title to the property. Equitable title is transferred when the buyer and seller have executed a sales contract. Legal title will not pass until the buyer accepts a deed.
All of the following are essential to the formation of a contract EXCEPT: a) offer. b) acceptance. c) consideration. d) performance.
d) performance. Performance becomes an issue after a contract is formed.
If upon receipt of an offer to purchase subject to certain conditions the seller makes a counteroffer, the prospective buyer is: a) bound by his or her original offer. b) bound to accept the counteroffer. c) bound by whichever offer is lower. d) relieved of his or her original offer.
d) relieved of his or her original offer. When the original offer is rejected by the seller, it ceases to exist. The buyer may accept or reject the seller's counteroffer.
Which of the following is NOT part of the resale package? a) CCRs b) the "information statement" c) the operating budget d) the unit floorplans
d) the unit floorplans
After the first renewal a real estate license in NV is valid for: a) 24 months b) 36 months c) 48 months d) 60 months
a) 24 months
An applicant who has been denied a license has ______ to appeal to ________ a) 30 days/Real Estate Commission b) 30 days/State District Court c) 60 days/Real Estate Commission d) 60 days/State District Court
a) 30 days / Real Estate Commission
Most seller disclosure requirements in Nevada apply to residential but not commercial property True False
True Disclosure laws are generally passed to protect consumers and not business people.
To be effective a rescission or cancellation of a purchase agreement based on the contents of the SRPD must be in writing and the buyer(s) signature(s) must be notarized. True False
True NRS 113
Special disclosures are required in the sale of new homes. True False
True See, for example, NRS 113.060 and 113.070.
When a home or improved lot is adjacent to open range, Nevada has a special form that must be given to the buyer. True False
True The Range Land Disclosure form
What action returns a contract's parties to their positions before the contract, including return of any deposit? a) Cancellation b) Rescission c) Substitution d) Subordination
b) Rescission A rescission occurs when one party terminates the contract as if it had never been made. Cancellation terminates the contract without a return to the original position.
The maximum fine the Real Estate Commission can impose per offense, except for practicing without a license is: a) $5,000 b) $10,000 c) $15,000 d) $20,000
b) $10,000
A broker who changes his or her business address must notify the Real Estate Division within: a) 5 days b) 10 days c) 15 days d) 30 days
b) 10 days
The form used for a real estate licensee to act for more than one party in a transaction is called the: a) Duties Owed by a Nevada Real Estate Licensee b) Consent to Act c) Dual Agency Authorization d) Waiver of Conflict
b) Consent to Act
A broker-salesperson can act independently and is not required to be associated with a broker. a) True b) False
b) False
A real estate salesperson, with the broker's approval, can legally manage a branch office. a) True b) False
b) False
In Nevada a real estate broker can legally assist the buyer and seller in the same transaction, and receive compensation, without entering a brokerage agreement with either party. a) True b) False
b) False
A real estate licensee can legally give a non licensee a gift certificate to express appreciation for a referral. a) True b) False
b) False NRS 645.280
In Nevada all brokerage agreements must be in writing if the commission exceeds five percent of the purchase price. a) True b) False
b) False See NRS 645.005
A brokerage agreement is defined as a contract between a broker and a real estate licensee. a) True b) False
b) False See NRS 645.005. A brokerage agreement is a contract between a client and a broker.
A brokerage agreement must be in writing. a) True b) False
b) False See NRS 645.005. An exclusive brokerage agreement must be in writing. NRS 645.320.
A client can waive any of the duties of a real estate licensee. a) True b) False
b) False Very important. See NRS 645.255. Only the duty to present all offers can be legally waived and there is a specif form, the "Waiver Form" that must be used.
In Nevada a contract created through the use of email, with no paper is unenforceable. a) True b) False
b) False Nevada's Electronic Transactions Act. NRS 719.
A real estate salesperson can only be paid by: a) his or her client. b) his or her broker c) the Nevada Real Estate Commission. d) It depends on whether the salesperson is working for the buyer or the seller e) the buyer or lessee f) the seller or the landlord
b) His or her broker See NRS 645.280.
The regulations found in chapter 645 of the Nevada Administrative Code (NAC 645) are adopted by the a) Nevada Real Estate Division. b) Real Estate Commission. c) Governor. d) Attorney General
b) Real Estate Commission Although the real estate commission is an advisory body to the real estate division, its authority to adopt regulations gives it substantial power. Regulations made pursuant to NRS 119 and 119A are adopted by the Real Estate Division, not the Real Estate Commission.
Nevada's real estate law is administered by the Nevada a) Attorney General b) Real Estate Division. c) Real Estate Commission. d) Legislature.
b) Real Estate Division It is important to distinguish between the real estate division and the real estate commission.
A broker receives an earnest money deposit with a written offer to purchase that includes a ten-day acceptance clause. On the fifth day, before the offer is accepted, the buyer notifies the broker that she is withdrawing the offer and demands the return of her earnest money deposit. In this situation, the: a) buyer cannot withdraw the offer because it must be held open for the full ten days. b) buyer has the right to revoke the offer at any time until it is accepted and recover the earnest money. c) seller and the broker have the right to each retain one-half of the deposit. d) broker declares the deposit forfeited and retains it for his services.
b) buyer has the right to revoke the offer at any time until it is accepted and recover the earnest money. The offeror (the buyer) may revoke the offer at any time before the offer is accepted, even if the person making the offer agreed to keep the offer open for a set period of time. At that point, the earnest money deposit should be refunded to the buyer.
To renew his or her first (initial) salesperson's license, the licensee must provide proof of: a) completing 30 hours of continuing education b) completing a prescribed course of postlicense education c) completing at least three transactions d) completing at least 24 hours of postlicense or continuing education
b) completing a prescribed course of postlicense education Make sure you know the difference between postlicense and continuing education, otherwise you might spend a lot of time and money for classes that won't count toward your license renewal
A Nevada real estate licensee must disclose material facts he or she knows concerning the transaction to: a) all parties to any transaction b) his or her client in any transaction c) to all parties in a residential transaction d) to his or her client in a residential transaction
b) his or her client in any transaction See NRS 645.254(5) material facts concerning the transaction must be disclosed to a client and it is not limited to residential transactions. Compare this to the duty in NRS 645.252(1)(a) to disclose material facts relating to the property to each party to the transaction.
A real estate license will be revoked if the licensee: a) has been arrested for a felony b) is behind on court ordered child support c) is not a resident of Nevada. d) does not bribe the appropriate people
b) is behind on court ordered child support A mere arrest for a felony is not sufficient to deny a license. Many people have noted the irony that being behind on court ordered child support can result in the loss of a license which is the person's means for paying child support. Also, an application for a real estate license will be denied if the applicant is behind on court ordered child support. Finally, if the parties enter an agreement regarding child support, the agreement is often entered as a court judgment.
A specified amount of money that serves to compensate a seller in the event of a buyer default is known as: a) actual damages. b) liquidated damages. c) escrow funds. d) earnest money.
b) liquidated damages When parties agree that a certain amount of money will compensate the nonbreaching party, that money is called liquidated damages. The earnest money often serves as the liquidated amount in case the buyer defaults.
A void contract is one that was a) not in writing. b) never legally enforceable. c) rescindable by agreement. d) voidable by only one of the parties.
b) never legally enforceable. A void contract lacks some or all of the essential elements of a contract and so was never a contract in the eyes of the law.
A broker took a listing and later discovered that the client had been declared legally incompetent before signing the listing. The listing is now: a) binding because the broker was acting as the owner's agent in good faith. b) of no value to the broker because it is void. c) the basis for the recovery of a commission if the broker produces a buyer. d) renegotiable.
b) of no value to the broker because it is void.
A salesperson who receives an earnest money deposit must deliver it to his or her broker, or deposit it in escrow within ______ day(s) after receiving a fully signed contract. a) one banking b) one business c) two calendar d) one lunar
b) one business
The essential elements of a contract which is not subject to a statute of frauds include all of the following EXCEPT: a) offer and acceptance. b) signatures of the parties. c) competent parties. d) consideration.
b) signatures of the parties To be legally valid, a contract which is not required to be in writing does not require signatures of the parties.
After a hearing the Nevada Real Estate Commission fined Denise $100,000 and suspended her license for two years because she did a lot of bad stuff. Denise can appeal the commission's decision to: a) the Governor b) the District Court c) the Supreme Court d) The Director of the Department of Business and Industry.
b) the District Court
Monique is renewing her salesperson's license for the second time. After it is renewed it will be valid for" a) one year b) two years c) three years d) four years
b) two years NRS 645.490.
At the time a buyer was negotiating the purchase of a lot on which to build a new home, the seller represented that the soil was firm enough to support the construction of a building when, in fact, he knew it was not. This contract is: a) void. b) voidable by the buyer because of fraud. c) voidable by the seller because of the mistake. d) voidable by neither party because no harm was done yet.
b) voidable by the buyer because of fraud. The contract is voidable because it contains all the essential elements of a contract but could be rescinded by the purchaser due to a fraud.
Tonya made an offer buy Emily's house for $200,000. Emily said no, but offered to sell the house for $210,000. Tonya said no thank you. Emily then told Tonya she would accept her original offer for $200,000. All communications took place in writing and neither of them has had an appraisal conducted. Do Tonya and Emily have a contract? a) Yes, Emily accepted Tonya's offer for $200,000. b) Yes, both parties have clearly expressed a willingness to buy and sell for $200,000. c) No, there is no accepted offer. d) No, without an appraisal it cannot be determined if the price is fair.
c) No, there is no accepted offer. It is important to carefully trace the sequence of events and the consequences of each action. Tonya made an offer. Emily made a counteroffer, thereby rejecting the offer. Tonya rejected Emily's counteroffer. At this point there is nothing on the table to accept or reject. Emily then said she would accept Tonya's original offer, but that offer is no longer available because it was rejected by Emily's counteroffer. Emily's statement could be construed as another offer, but there is no contract because there is no evidence that Tonya accepted.
When applicable, by law, when must a seller deliver a resale package to a buyer? a) No later that 10 days before the close of escrow. b) No later than 5 days after it is requested by the buyer. c) The statute does not specify. It depends on the agreement of the parties. d) On the first day of the next full moon.
c) The statute does not specify. It depends on the agreement of the parties. The law, NRS 116, does not specify when the resale package must be delivered to the buyer. It is important to know this, because if no date is specified there can be a stalemate.
After receiving a resale package, how long does a buyer have to rescind the transaction? a) Five working days. b) It is determined by the agreement of the parties. c) Until midnight of the fifth calendar day. d) Four working days.
c) Until midnight of the fifth calendar day. See NRS 116.4109
When applicable a seller must disclose on the SRPD property defects. A "defect" is defined as: a) something that is broken or does not work properly b) something that is broken, and would cost more to repair than to replace c) a condition that materially affects the value or use of residential property in an adverse manner d) verb, going to the other side as in "he defected"
c) a condition that materially affects the value or use of residential property in an adverse manner
Advertising created by a Nevada real estate salesperson must: a) be approved by the Real Estate Division b) be approved by the Real Estate Commission c) be done under the direct supervision of the brokerage d) include the salesperson's license number
c) be done under the direct supervision of the brokerage NRS 645.315
An option: a) requires the optionee to complete the purchase. b) gives the optionee an easement on the property. c) binds the optionor for a specified time. d) makes the seller liable for a commission.
c) binds the optionor for a specified time. An option obligates an owner to sell at a fixed price within a certain period of time but does not obligate the optionee to exercise the option.
Construction defect litigation disclosure is applicable: a) in all real estate transactions. b) whenever property has a construction defect. c) only in residential transactions. d) only in lease transactions.
c) only in residential transactions.
The purpose of Nevada's real estate licensing laws is to: a) ensure that the interests of Nevada real estate licensees is protected. b) ensure that your instructor has a topic for his books. c) protect the public in its dealings with real estate professionals. d) ensure that legislators have something to do. The
c) protect the public in its dealings with real estate professionals. The purpose of some license laws is strictly to raise money, for example, business license laws. The purpose of other license laws is to protect the public. Do you feel safer now?
In the first sale of residential property located in a common interest community, the developer must deliver to the buyer a a) resale package b) SRPD c) public offering statement d) price list
c) public offering statement
In a disciplinary action the Real Estate Commission is authorized to order all of the following EXCEPT: a) suspend a license b) require certain education be taken by a licensee c) relief for a party E.G. order a refund d) fine a licensee
c) relief for a party E.G. order a refund The Real Estate Commission cannot order any relief for a party to a transaction. Courts can provide relief for a party.
The collective name for the documents that a seller of residential property located in a common interest community must give to a buyer is: a) CIC documents b) NRS 116 documents c) resale package d) governing documents
c) resale package NRS 116.4109
The SRPD, when applicable, must be completed by the: a) buyer b) buyer and the seller c) seller d) seller and listing agent
c) seller A Nevada real estate licensee, under NRS 645.252, has an independent duty to disclose material facts relating to the property. However, the Seller's Real Property Disclosure form (SRPD) is completed by the seller only. Note, this is different depending on the state. For example, in California the listing agent must conduct a reasonable visual inspection and report the results on the Transfer Disclosure Statement (California's counter part to our SRPD); You do not need to know the different laws in different states, but you do need to be aware that some of the laws are different.