TX 30 Hour Promulgated Contract Forms Exam Questions

Which of the following states that the person who committed the fraud, as well as anyone who knew about the fraud, failed to disclose it, and benefited from it, can be held liable for actual damages?

Fraud in Real Estate and Stock Transactions

Items of personal property included in a Texas sale are considered ______ and can be negotiated in an addendum of the same name.

Non-realty items

Jill and Jackie want to rent an apartment with their three children. Under the occupancy standards established in the Texas Landlord and Tenant Act, which of the following is the smallest unit they can rent?

One bedroom

In what section of the TREC One To Four Family Residential Contract (Resale) does the seller agree to permit the buyer and buyer's agent access to the property at reasonable times?

Property Condition

Which licensee is exempt from liability under the 2011 amendment to the DTPA?

Samuel, who accidently advised his client to do something that was incorrect.

In Texas buyer representation agreements, from whom will the broker first seek to obtain payment of the commission?

Seller, landlord, or their agents

If the sellers don't reserve all of their interest in the mineral estate, the sellers have ______ days after the effective date of the contract to provide the buyer with the contact information of any existing mineral lessee known to the seller.

Seven

A situation in which the parties involved in a contract dispute present their argument to an unbiased third party, who then makes a final decision, is called ______________________.

Arbitration

Where is the version number located on a TREC-promulgated form?

Bottom right corner of every page

Under the terms of the TREC One to Four Family Residential Contract (Resale), what recourse do buyers have if a seller is unable to deliver the title commitment and exception documents to the buyer within the allotted time, due to factors beyond the seller's control?

Buyers can terminate the contract and have their earnest money refunded.

If the seller fails to provide the required Seller's Disclosure Notice, the buyer may terminate the contract and have the earnest money refunded up to________.

Closing

Your client is selling a condominium. Which of the following forms is your client required to provide to the buyer?

Condominium Resale Certificate

In the Texas Loan Assumption Addendum, when does the buyer agree to pay the initial payment toward the loan?

The first payment due after closing

Wynona contracted with a gutter company that advertises a "Lifetime Guarantee of Trouble-Free Gutters." The agreement is that the company will replace her gutters with premium quality seamless aluminum. After she pays him, she learns that the new gutters are poor quality material and leak at the corners. The company refuses to remedy the situation. What can Wynona do to recoup the money she's lost?

Sue for damages

In order to recover damages for a construction defect, buyers must provide notice to the contractor by certified mail, return receipt requested, no later than ________days before the date they file suit to recover damages.

60

When Dashiell received the purchase offer for his bungalow, he was surprised to see a page added to the contract requesting that an attorney review the contract. What is Dashiell looking at?

Addendum

When does buyer possession usually occur?

After closing and funding

If an appliance is built in or permanently attached to the property, it's considered a/an ______ in the Property section of the TREC sales contract.

Improvement

Which of the following elements does the Statute of Frauds require as part of a valid real estate contract in Texas?

Legal description

Roberto is closing on a condo on May 1. The seller is staying in the home until May 8. The seller will then have the unit cleaned, and turn the keys over to Roberto on May 10. Roberto will move in on May 11. What is the date of buyer possession, as it should be listed on the sales contract?

May 10, when Roberto gets the keys

The notice that advises the buyer to have the abstract or title policy examined by an attorney is required by which of the following pieces of legislation?

Texas Real Estate License Act (TRELA)

Jasmine and Roberto just bought their first new home, which was finished just a week before they moved in. Which of the following is a true statement?

The Seller's Disclosure Notice is not required.

In Texas, before a contract for the sale of real estate is considered binding and executory, three things must occur. First, the buyer must make a written offer on the property. Second, the seller must accept the offer in writing. What is the third action that must occur?

The buyer must be notified of the seller's written acceptance of the offer.

What about the owner's policy of title insurance can be negotiated in the TREC One To Four Family Residential Contract (Resale)?

The selection of the title company and who will pay for the title policy

Which of the following documents insures the buyer against loss because of title issues and must be furnished by the seller to the buyer?

The title insurance owner's policy

The Texas Workforce Commission consists of how many members?

Three

What type of lawsuit could a seller client bring against you for failing to present an offer in a timely manner?

Tortious interference

What type of form has been prepared by the Broker-Lawyer Committee, approved by TREC, and made available on a voluntary basis?

Trial use

The Butlers have countered an offer from Conner, but then they receive an even better offer from Audrey. What should the Butlers do before accepting Audrey's offer?

Withdraw their counter-offer to Conner.

A ______ is a financial guaranty from the government to repay a portion of the home mortgage in the event of default.

VA entitlement

When is the Addendum for "Back-Up" Contract used?

When the seller wants to negotiate with a second buyer in the event the first buyer's transaction fails