Promulgated forms 2

Norman buys Connie's Texas home, and in the sales contract, he specifies that the outdoor grill must stay with the home. Connie ends up taking the grill when she moves out. If Norman wants to sue Connie for taking the grill, he must do so within ______.

Four years Under Texas's statute of limitations law, the party filing suit must do so within four years of the contract breach.

Joy is a licensee preparing the contract for her buyer client, who's purchasing a condominium. Which of the following is a true statement?

Joy should not use the New Home Contract (Completed Construction). The New Home Contract (Completed Construction) can't be used for condominium transactions or for incomplete construction.

Tony has just signed an offer to purchase. The contingency period on his contract begins ______ day(s) after the day it is executed.

One

Which party to the contract will provide the sales price and financing to be used in the transaction?

Buyer

What is a title commitment?

An agreement by a title insurer to issue the final title insurance policy on the property

A seller has signed an Addendum for "Back-Up" Contract and likes the second offer better than the first. May the seller terminate the original offer?

No, the seller may not unilaterally terminate

Janice is helping her buyer, Sue, make an offer to purchase Tom's property using the TREC One to Four Family Residential Contract (Resale). In what paragraph of the sales contract can Janice reserve the right for Sue to access the property for inspections?

Property Condition The Property Condition paragraph addresses the buyer's access to the property, and the fact that the seller is obligated to leave the utilities on while the contract is in effect (at the seller's expense).

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

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 makes payment, 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

When completing promulgated forms, licensees must ensure that the executed date is entered. What happens if it's left blank?

The terms of the contract are difficult to enforce If there's no executed date, there's no effective date for the contract. Without an effective date, the terms of the contract are difficult to enforce.

Connie is helping the Morrisons fill out the Sales Price paragraph of the TREC One to Four Family Residential Contract (Resale). What amount will they put in these spaces?

Cash Price, Sum of all financing and Sales price They will enter the Morrisons' Cash Portion, Sum of all financing and Sales Price.

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

What does a condominium resale certificate provide?

Financial and legal information about the condominium association

If a buyer will move in before closing or a seller will remain after closing, what form must be prepared in Texas?

Temporary lease Two TREC-promulgated forms are temporary leases. One of these is the Seller's Temporary Residential Lease (for seller hold-over) and one is the Buyer's Temporary Residential Lease (for early possession by the buyer).

Jonathan is acting as an intermediary in Texas. He has received written consent from the parties involved in the transaction. What additional requirement does Jonathan need to meet?

Information detailing the broker's compensation and the source of that compensation

Under the statute of ______, if legal remedy is sought against a person, the pursuer must bring a court action within a specified period of time.

Limitations

Properties granted agricultural exemptions are taxed at a much lower rate. If the use of the property changes to a non-agricultural use, what happens?

Rollback taxes are assessed. When agricultural property changes use, the agricultural exemption is essentially "rolled back" for the last five years. The party responsible for changing the property's use is responsible for paying the rollback assessment, according to the Unimproved Land Contract.

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 seller or seller's agent refuses or fails to pay the broker's commission, then the client will pay the broker's fees. Sometimes the seller/seller's agent will pay part of the commission, leaving the buyer client to pay the remainder.

Vanessa has had her Texas real estate broker's license for 12 years. What law or organization stipulates the requirements Vanessa must follow to keep her license?

The Texas Real Estate License Act The Texas Real Estate License Act (TRELA) is the law that regulates all real estate licensees in Texas.