Unit 2: Colorado Regulations‼️

Leases and mortgages must be in writing ___________. 1. to be enforceable. 2. if exactly one year or less. 3. if greater than six months and the property is a commercial property. 4. if longer than one year.

4. if longer than one year.

What language must be stated in Addendums (not commission approved) to contracts? 1. "Buyer and Seller acknowledge that the specific expertise of the brokers and their agents is limited to the conduct and completion of real estate transactions." 2. "This addendum has not been approved by the Colorado Real Estate Commission. " 3. The broker is practicing law and it is advised that Seller/Buyer seek legal advice. 4. Both (1) and (2) must be included.

*2. "This addendum has not been approved by the Colorado Real Estate Commission. "

The Americans with Disabilities Act affects real estate brokers in all of the following EXCEPT ________. 1. Making services available to persons with disabilities within their procedures and policies manual. 2. The absence of auxiliary aids does not create an environment that would exclude those with disabilities. 3. For companies of ten brokers or more, to have at least one van that is retrofitted for wheel chair use. 4. By stating architectural barriers will be removed.

*3. For companies of ten brokers or more, to have at least one van that is retrofitted for wheel chair use. The Americans with Disabilities Act affects real estate brokers by stating architectural barriers must be removed, by making services available to persons with disabilities within their procedures and policies manual and with the absence of auxiliary aids not creating an environment that would exclude those with disabilities.

The Colorado Common Interest Ownership Act standardized the following actions _________. 1. Gives power to the association to maintain an owner occupancy ratio that meets the needs of lenders. 2. Gives power to the association to sue on behalf of the lenders. 3. Gives power to the association to create a lien on the property if association dues are not paid. 4. Gives power to the association to enter a property in disrepair and make repairs.

*3. Gives power to the association to create a lien on the property if association dues are not paid. its not 2 because they can sue on behalf of owners not lenders

All of the following are considered unfair housing practices except _____________. 1. having an oral inquiry concerning the number of children in the family. 2. stating in an ad that the area is a "preferred area" for people who like to speak more than one language. 3. an ad that states, "college students need not apply." 4. writing an ad that states "difficult for wheel chairs."

*3. an ad that states, "college students need not apply." An ad that states, "college students need not apply" is not in violation of Fair Housing laws. Inquiring about the number of children in the family, stating difficult for wheelchairs and stating that the area is a preferred area for bilingual people is in violation.

The following is true EXCEPT ____________. 1. your license becomes inactive if you do not have errors and omissions insurance. 2. listing contracts can be assigned, with the consent of the owner, to another company if the listing company goes out of business. 3. having a company logo and address on the body of the purchase contract makes the logo and address a legal part of the contract and may be countered. 4. you must have a real estate license to sell a modular home that is attached to land.

*3. having a company logo and address on the body of the purchase contract makes the logo and address a legal part of the contract and may be countered. Listing contracts can be assigned, with the consent of the owner, to another company if the listing company goes out of business. You must have a real estate license to sell a modular home that is attached to land. Your license becomes inactive if you do not have errors and omissions insurance.

Which of the following people may not write a prepared addendum for the Commission- approved Buy and Sell contract 1. Seller's Attorney 2. Buyer's Attorney 3. Principal party to the transaction 4. Broker who is acting as an agent

*4. Broker who is acting as an agent Any broker who is acting as an agent may not write a prepared addendum for the Commission approved Contract to Buy and Sell.

A licensee working with a tenant as a tenant agent ___________. 1. is not required to complete any paperwork as there is no Commission approved tenant agent form. 2. the fee owed by tenant cannot be greater than 10% of the gross lease. 3. may help the tenant find a rental, but cannot charge a fee for assisting. 4. must use a Commission approved Exclusive Tenant Contract

*4. must use a Commission approved Exclusive Tenant Contract

Guide dogs must be allowed in all public places. 1. True. 2. False. 3. True except for recreation centers. 4. False except for outdoor public places.

1. True.

Title companies _______. 1. do prepare legal documents, such as deeds, for brokers. 2. who prepare legal documents for brokers, such as deeds, violate the law. 3. if they make mistakes on a deed, brokers are legally responsible for them 4. 1 and 3 are correct.

4. 1 and 3 are correct.

The Colorado Fair Housing Act prohibits discrimination based on some of the following EXCEPT ___________. 1. marital status 2. sex 3. race 4. age

4. age

The maximum civil penalty for a first offense concerning housing discrimination is _________. 1. $10,000.00 fine 2. $50,000.00 fine. 3. a warning and/or $1,000.00 fine. 4. $25,000.00 fine.

1. $10,000.00 fine

A broker may omit part or all of any provisions in the Commission-approved contracts so long as the provision's caption or heading is unaltered on the form followed by the words "OMITTED". 1. False 2. True

1. False a broker may omit omit applicable sections

Brokers are not allowed to use forms created by the seller's or buyer's attorney. 1. False. 2. True, if the broker is a buyer's agent and the seller's attorney prepared the document. 3. True. 4. False, except for notes, deeds of trust, and deeds.

1. False.

Standard Forms covers _________. 1. The Colorado Real Estate Commission's rules governing approved forms. 2. The Colorado Real Estate Commission's rules governing separate accounts. 3. The Colorado Real Estate Commission's rules governing commission payments. 4. All of the above are true.

1. The Colorado Real Estate Commission's rules governing approved forms

Using their best judgment, Brokers are allowed to "fill in the blanks" on non- commission approved pre-printed forms like warranty deeds and leases. 1. True 2. False

1. True

A licensed appraiser _______________. 1. is a person licensed, registered or certified by the Appraisal Board and does not need a real estate license. 2. needs only to pass the real estate license exam. 3. any one can act as an appraiser in the state of Colorado without a license. 4. is a person licensed, registered or certified by the Appraisal Board in conjunction with a real estate license.

1. is a person licensed, registered or certified by the Appraisal Board and does not need a real estate license.

The Uniform Power of Attorney Act was created to ___________. 1. Allow parents to buy and sell real estate in their children's name. 2. Ensure to third parties that they can rely upon the actions of the agent (who is created by the power of attorney). 3. Give spouses the right to sign for each other. 4. Empower real estate brokers to act for their principal without the principal's consent.

2. Ensure to third parties that they can rely upon the actions of the agent (who is created by the power of attorney).

A subdivision is created if ______________. 1. a commercial property is divided into more than 20 real property interests. 2. a residential property is divided into more than 20 real property interests. 3. a residential property is divided into more than 15 real property interests. 4. a residential property is divided into more than 20 real property interests excluding time-share interests.

2. a residential property is divided into more than 20 real property interests.

You may refuse to rent to a disabled person if _____________. 1. the building is an apartment building with no access for wheel chairs. 2. the disabled person demands you make reasonable modifications at your cost. 3. the disabled person is just too disabled. 4. the disabled person demands you let her/him make reasonable modifications at her/his cost.

2. the disabled person demands you make reasonable modifications at your cost. at YOUR cost

The Colorado Common Interest Ownership Act includes all of the following EXCEPT _________. 1. cooperatives. 2. trailer parks. 3. subdivisions with common interest ownership of pools and tennis courts. 4. condominiums.

2. trailer parks.

Which of the following is true: 1. Only Firm Name, Address and Phone Number may be added to the Commission- approved forms. 2. Only Firm Name, Address, Phone Number and email address may be added to the Commission-approved forms. 3. Only Firm Name, Address, Phone Number, Email address, Trademark and other identifying information may be added to the Commission-approved forms. 4. Only Firm Name, Address, Phone Number, Email address and Trademark may be added to the Commission-approved forms.

3. Only Firm Name, Address, Phone Number, Email address, Trademark and other identifying information may be added to the Commission-approved forms.

A time share estate can be considered "Real Property" in the state of Colorado. 1. True only in the mountain areas. 2. True if they include the land below them. 3. True. 4. False.

3. True.

You are considered _______________ if you promote the sale or lease of a subdivision. 1. lucky 2. a real estate licensee 3. a developer 4. both (2) and (3)

3. a developer

Additional Provisions can be used to add ___________. 1. transaction-specific terms that result from negotiations 2. transaction-specific terms that result from the instructions of the parties to the contract 3. both of the above statements are true. 4. All of the above plus any other standard terms that the brokerage company puts in all contracts.

3. both of the above statements are true.

The Colorado Fair Housing Act does not apply to ____________. 1. housing created solely for persons 55 or older. 2. real estate agents from other states. 3. owners renting out a room in their personal home. 4. owners renting out their own personal residence.

3. owners renting out a room in their personal home.

In the Denver Bar Association versus the Title Guaranty Company _____________. 1. the court ruled that title companies may give limited legal advice. 2. the court ruled that title companies could prepare only notes and deeds of trust for others. 3. the court ruled that title companies, unlike real estate brokers, could not prepare legal documents for others. 4. the court ruled that title companies, like real estate brokers, could prepare legal documents for others.

3. the court ruled that title companies, unlike real estate brokers, could not prepare legal documents for others. 4. the court ruled that title only lawyers can are allowed to practice law

Corporations or businesses that are private clubs do not fall under the Colorado Fair Housing Act if __________. 1. their business to supply housing is less than 30%. 2. all housing falls under the Colorado Fair Housing Act. 3. the supply of housing is not part of their commercial purpose. 4. their main business activity is the housing of just members.

3. the supply of housing is not part of their commercial purpose.

If a broker has a buyer and seller sign a purchase contract that is no longer the current Commission approved form the contract is ________. 1. void. 2. voidable by seller. 3. valid. 4. voidable by buyer.

3. valid.