tx real estate CE

What is the purpose of the Addendum for Property Subject to Mandatory Membership in a Property Owners Association?

To give buyers the opportunity to request subdivision information

The seller of residential real property subject to a PID assessment must provide a disclosure about this to prospective buyers before a sales contract is effective. What is this disclosure called?

Notice of Obligations Related to Public Improvement District

What is the purpose of the Addendum for Property Located Seaward of the Gulf Intracoastal Waterway?

To disclose the legal and economic risks associated with purchasing coastal real property near a beach

Because Texas is a community property state, marital status should be included when naming the parties. What is the correct way to name these parties on the contract?

Kathy Simone and John Simone, a married couple

Which clause allows the Texas seller to keep their property on the market after accepting an offer contingent on the sale of the purchaser's current home?

Kick-out

If your clients purchased a home built in 1968, what disclosure or disclosures would be needed for this home, but would not be needed for a home built in 1988?

Lead-based paint and Lead-Based Paint Hazards Addendum

Rick is representing a business in a sales transaction. Rick owns 3% of the business. Is Rick required to provide a written license holder disclosure notice to the other party in the transaction?

No, because Rick does not own more than 10% of the business.

TREC receives an anonymous complaint that Holly, the unlicensed assistant at Texas Home and Family brokerage, has been practicing real estate. What will happen next?

Nothing will happen.

Which of the following types of tenancy comes with an automatic renewal clause?

Periodic estate

Which of the following is true regarding probate?

Probate is used whether the person died with or without a will.

Which types of forms are the Property Located Seaward of the Gulf Intracoastal Waterway and the Coastal Area Property?

Promulgated Addenda

Which of the following duties is Marie, Texas broker Dylan's unlicensed assistant, prohibited from performing?

Providing advice to Dylan's client, Shirley, about how much she should pay for the house she's buying

George is a member of the Texas Education Standards Advisory Committee (ESAC) and is currently reviewing a real estate program that administers courses of study to post-licensing students. The committee has received several complaints that these courses are of poor quality. What authority does the review committee have in these cases?

Recommend that TREC suspend the program and those that administer the courses of study

Your client's net proceeds at closing will be inadequate to pay the balance of the seller's mortgage loan. Which form will you help your client complete as part of the sales transaction?

Short Sale Addendum

Fair housing complaints submitted to the Texas Workforce Commission Civil Rights Division must ______.

Specify the protected class that was discriminated against

Reginald Barker and Stacey Lee are married and purchasing a property together. Which of the following is the best way to identify them as parties on a sales contract?

Stacey Lee and husband Reginald Barker

Which of the following statements about liens is true?

Both mechanic's and materialman's liens are junior liens.

Duke Cartwright wants to sell his property. Mavis, his wife, has a small ownership interest in the property. The Cartwrights are entering into a listing agreement with Samuel Feines, a broker. Whose names must appear as parties to the listing agreement?

Duke, Mavis, and Samuel

Nina signed a six-month lease with her landlord. When her six months were up, she moved out without being required to give notice, and the landlord rented to a new tenant. What type of tenancy did Nina have?

Estate for years

Unlike the One to Four Family Residential (Resale) contract, the New Home Contract (Completed Construction) contains no improvements, accessories, or ______.

Exclusions

Any service of process served upon TREC for a non-resident broker must be made with duplicate copies. One copy must be filed in the TREC office, and the other must be ______.

Forwarded by registered mail to the non-resident broker against whom the process is directed

In instances where the buyer isn't requesting subdivision information, but the title company is, who pays to obtain the information per the Addendum for Property Subject to Mandatory Membership in a Property Owners Association?

It depends

Which of the following is true regarding the 2011 amendment to the DTPA? (The Texas Deceptive Trade Practices Act)

It helps prevent frivolous lawsuits against real estate licensees.

What happens to any excess earnest money when the property closes?

It's refunded to the buyer.

Mason was leasing lakeside property when his one-person sailboat capsized, and he drowned. Under Texas law, which of the following occurs if a tenant dies during the term of lease?

The lease doesn't terminate and becomes the responsibility of the tenant's heirs.

A nonresident license applicant who resides in a municipality in which the boundary is contiguous with the boundary of a Texas municipality may be licensed under Texas law in the same manner as a Texas resident, provided that ______.

The nonresident has been a resident of that municipality for at least the 60 days immediately preceding the date the application is filed.

Who or what entity prepares the resale certificate that's provided to a prospective buyer of a subdivision property or condominium?

The owners association

You're a broker in Houston. Although your former client, Meghan, is on the Texas Do Not Call list, it's okay for you to call her to solicit business if you have an established business relationship with that person, and were involved in a business transaction with that consumer within ______.

The past 18 months

Your seller client, William, had multiple offers to consider. He decided to move forward with Ryan's offer, and reject the offer from Kevin. What should your client do with the offer from Kevin?

Write "rejected" on Kevin's offer

First Baptist Church in Houston owns two apartments next door to the church, which used to be housing for its ministerial staff. It does not rent to non-Baptists. Is this legal in Texas?

Yes, as long as it does not discriminate based on race, color, or national origin.

Texas licensee Daniel is showing a home to his buyer client, Kathy. As they enter the kitchen, she notices some yellow spots on the ceiling. She asks if Daniel thinks that means the house needs a new roof. What should Daniel do?

Suggest contacting a roofing expert to make this determination.

In Texas, whose responsibility is it to supervise associated licensees and review transactional paperwork and advertising?

The broker's

Which of the following statements is true about constructive eviction in Texas?

The court may award damages to the tenants and order the landlord to make repairs.

Hilda is a buyer who has gathered her financial statements, proof of employment, and credit report to show the seller that she can be relied upon to pay back a loan from the seller. Where in the Seller Financing Addendum is this information required?

Credit Documentation

Which of the following describes the purpose of equitable interest according to Texas rules?

Curb unlicensed real estate sales

Which of the following describes a mechanic's lien?

It's a specific involuntary lien.

Brad, a Texas license holder, is acting on behalf of his brother, Ben, who's selling his home. Is Brad required to provide a written license holder disclosure notice to the other party in the transaction that he's acting on his brother's behalf?

No, because license holder disclosure is not required when acting on behalf of siblings.

Jacob wants to give a written termination notice to his month-to-month tenant. How much notice must he give the tenant?

One month

Joaquin, a broker in Houston, needs to act as an intermediary in one of his transactions. He has received written consent from the parties of the transaction. Now he just needs to fulfill the other requirement, which is providing ______.

The source of the broker's expected compensation

What information is required to complete the Promissory Note paragraph in the Seller Financing Addendum to the sales contract?

The terms for repayment of the loan

Your Texas seller clients, the Clarks, want to change the closing date on their executed sales contract. How can they do this?

They must use the TREC-promulgated Amendment form.

What is the purpose of the license holder disclosure requirement of the TREC residential resale contract?

To protect the public by requiring license holders to disclose to the other party that they have a real estate license when they, close relatives, or certain entities are parties to a transaction

The Texas Broker-Lawyer Committee contains different types of members appointed by different parties. How many lawyers does the governor appoint to this committee?

Zero

The Recovery Trust Account should maintain a balance of at least what amount?

$1.7 million

How many members does TREC appoint to the Broker-Lawyer Committee?

6

The maximum term that a Texas buyer may lease from a seller under the buyer's temporary residential lease is ______.

90 days

Before the title company will issue an insurance policy to a Texas buyer, which of the following must the seller furnish to the buyer?

A commitment

Which of the following sellers is required by Texas Property Code to provide a seller's disclosure form to prospective buyers?

A married couple selling community property

Which of the following can hold a broker's license in Texas?

A person or an entity

Texas licensee Chip needs a form. TREC hasn't promulgated a form for this specific use, but does have an approved form available. Chip should ______.

Ask his broker which form to use.

When crops are excluded from the sale of a farm or ranch, by when must they be removed from the property?

Before closing

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

Legal description

The ESAC (The Education Standards Advisory Committee) does which of the following?

Makes recommendations for improvements to real estate education.

Which of the following is an example of an involuntary, specific, statutory lien in Texas?

Materialman's lien

Nick, a Texas license holder, is helping his son, Peter, locate a home he can afford to buy and is acting as Peter's agent. Peter has found a property that he wants to make an offer on. Which of the following statements regarding this situation is true?

Nick is required to disclose his relationship to the seller in writing prior to the parties entering into the contract.

Through which promulgated form are consumers notified that they can submit a complaint to TREC against a license holder?

Consumer Protection Notice

Who or what entity executes a Texas deed?

The grantor

To effect a transfer of title by deed in Texas, what must occur?

The grantor must deliver the deed to the grantee and the grantee must accept it.

Which of the following statements about agency by ratification in Texas is true?

Agency by ratification is permitted in Texas.

The addenda that are part of the TREC residential resale contract are listed in the ______ paragraph.

Agreement of Parties

What TREC-promulgated form must be used to make a material change to an existing sales contract?

Amendment to Contract

In paragraph 3 of the TREC One to Four Family Residential Sales Contract (Resale), the______ plus the sum of all financing will equal the sales price offered.

Cash down payment

Which of the following acts protects Texas consumers against real estate licensees who use false, misleading, or deceptive actions or practices in the advertising, offering for sale, selling, or leasing of personal property or real property?

DTPA (The Texas Deceptive Trade Practices Act)

Which one of these activities may an unlicensed assistant in Texas not perform?

Discuss the amenities of a property, with a prospective purchaser or lessee, for compensation

A broker acting as an intermediary violates TRELA when that broker treats either party to the transaction in what manner?

Dishonestly

If a Texas licensee is found guilty of a fair housing violation, the _____________could also award monetary damages to the complainant.

TWCCRD (The Texas Workforce Commission Civil Rights Division)

Which of the following describes the Tide Waters notice of the Title Notices provided in the TREC One to Four Family Residential Contract (Resale)?

Required by the Texas Natural Resources Code if the property abuts tidally influenced waters of the state

Sarah hasn't been able to get a loan to finance the unimproved property she wants to buy. However, the seller has agreed to loan her the money to purchase the property. Which addendum should be attached to the contract?

Seller Financing Addendum

Archie is behind in his mortgage payments. He wants to sell his house and get out from under the loan. You agree to help Archie list his property. Which TREC addendum will you and Archie need to complete and attach to the sales contract?

Short Sale Addendum

The ESAC makes recommendations to which agency?

Texas Real Estate Commission

Wynona is a Texas tenant with a written estate-for-years tenancy. How much notice must she give her landlord if she wants to terminate her lease upon expiration of the lease term?

none

The Education Standards Advisory Committee is comprised of ______ members.

12

How old must a testator in Texas be?

18 or older

How many people per bedroom is/are allowed under The Texas Property Code?

3

Jessica lives in Austin and attends the University of Texas. She's made a lot of friends her first year of college, and is ecstatic to be moving out of the dorms. Nine girls are looking to live in one apartment together to save their parents money. They refuse to live in a house, as they love the amenities of an apartment and "will make it work." What's the minimum number of bedrooms the apartment needs to have in order for these nine women to live together under the occupancy laws in Texas?

3

Jameson is interested in becoming a member of the ESAC. How many years of real estate experience must he have in order to qualify as one of the seven real estate professional members?

5

Which required clause in a Texas deed contains the phrase "to have and to hold" and defines or limits the ownership of interest of the grantee?

Granting

Which required clause in a Texas deed, also known as "words of conveyance," contains words that state the grantor's intention to convey the property at this time?

Granting

A Texas license holder, who is acting on his own behalf assigning an interest in a contract to purchase real property must disclose to any potential buyer that the license holder is assigning an interest in a contract and that ______.

He doesn't have legal title to the real property

Allison is helping her buyer complete a Seller Financing Addendum to a sales contract. Where should she put that the buyer needs a $40,000 loan at a 6% fixed rate from the seller to be paid back in 120 monthly payments?

In the Promissory Note paragraph

In Texas, which of the following documents must you present to a potential buyer client prior to entering into a buyer agency agreement with them?

Information About Brokerage Services

Which of the following forms is automatically provided as part of the listing agreement, regardless of the age, location, or type of property?

Information About Brokerage Services

The Federal Trade Commission requires that information about the ______ in new homes be included in or attached to the New Home Contract (Incomplete Construction).

Insulation installed

Tamsyn, a real estate agent located outside of Texas, is hosting an open house for a listing in which she represents the seller. During the open house, a buyer customer asks Tamsyn for her opinion on a real estate-related topic. She gives the buyer a few pieces of advice. What best describes this situation?

Tamron may have unintentionally created a dual agency situation by giving a customer advice while representing the other party.

In Texas, what type of leasehold is characterized by possession of a property, such as a situation in which a tenant continues to occupy an apartment after the lease has terminated?

Tenancy at sufferance

In Texas, when HUD receives a discrimination complaint, it forwards this complaint to what organization?

Texas Workforce Commission Civil Rights Division

Which section of the TREC One to Four Family Residential Contract (Resale) states that if one party breaches the agreement and the non-breaching party hires an attorney to enforce their rights, the breaching party can be forced to pay all of the legal expenses of the non-breaching party?

The Attorney's Fees section

Which one of the following statements about the Texas Information About Brokerage Services form is true?

The Information About Brokerage Services form is not a contract.

All real estate licensees in Texas must abide by the Canons of Professional Ethics and Conduct enforced by ______.

The Texas Real Estate Commission

Real estate licensees in Texas need to pay attention to updates from what agency, which is responsible for enforcing Texas Fair Housing Law?

The Texas Workforce Commission Civil Rights Division

Before Texas established its own occupancy standards law, the federal policy would have likely been considered. How does the Texas law differ from the federal law?

The Texas law allows for more adults per bedroom than the federal occupancy standard.

You are the Texas agent for the buyers, the Jansens. The Yothers are the sellers, and their mortgage holder is Richard Steele. To which of these parties must you disclose your agency status?

The Yothers only

What is the purpose of TAR's (Texas Association of Realtors) Release of Earnest Money form?

To disburse earnest money and release all parties from their contract liabilities

What's the purpose of the Residential Real Property Affidavit T-47?

To help the lender and title company decide whether to accept the seller's existing survey or to request a new survey

Monica is meeting with a prospective seller client, Max. Monica has presented Max with the Information About Brokerage Services form and explained Max's options for agency relationships. Monica is now ready to present Max with the listing agreement. What is the purpose of the contract?

To identify the terms of the listing agent/seller agency relationship

When a real estate licensee receives compensation for referring a client to a real estate licensee in a proposed real estate transaction, this is known as ______.

Valuable consideration

Vanessa just received two offers for a Texas listing. One is $15,000 below the asking price, and one is for the asking price. Vanessa's client, Nevaeh, has asked her in writing to not present offers that are more than $10,000 below the asking price. What should Vanessa do?

Vanessa should submit only the offer that meets Nevaeh's request.

Which information is required in the Deed of Trust paragraph in the Seller Financing Addendum?

Whether or not consent to property transfer is required