study set 4
What is the maximum amount that can be awarded from the Real Estate Transaction Recovery Fund for all judgments against the licensee? a. $1,000 b. $10,000 c. $100,000 d. $20,000
$100,000
In Virginia, who or what entity must keep records of all funds deposited into the custodial or trust account that indicate the date and from whom the broker received the funds, the date deposited, the date any withdrawals are made, and other necessary information? a. The bank of deposit b. The broker c. The buyer d. The seller
The broker
Shanda doesn't have her house on the market yet, but she has a friend of a friend coming over tomorrow to see it-and she sounds like a very eager buyer. Shanda asks her agent, Kim, "If I have anything to disclose, when should I do it?" What should Kim answer? a. "Any time before the contract is ratified." b. "As soon as this potential buyer has seen your house." c. "You can wait until closing." d. "You have to wait until the house is officially on the market."
a. "Any time before the contract is ratified."
Lora, a new licensee, has a landlord client named Gus who doesn't rent to smokers. "I'm not sure he can do that," she says. "Aren't smokers a protected class under fair housing laws?" How should you respond? a. "Gus can choose not to rent to smokers, as long as he makes sure they're not protected under any local ordinance." b. "Gus can't do that, because smokers are a protected class under federal law." c. "Gus can't do that, because smokers are a protected class under Virginia law." d. "Gus is well within his rights to decide not to rent to smokers."
a. "Gus can choose not to rent to smokers, as long as he makes sure they're not protected under any local ordinance."
A timeshare owner has decided to sell her share, and has found a buyer. What does she need to provide to the buyer? a. A Certificate of Resale b. A Disclosure of Timeshare Resale c. A Resale Offering Statement d. Nothing
a. A Certificate of Resale
Which of these is NOT one of the steps of the fair housing complaint process in Virginia? a. A complaint is submitted via email. b. An investigator gathers facts about the complaint. c. A trained professional manages a conciliation session. d. The final investigative report is presented to the Fair Housing Board or the Real Estate Board.
a. A complaint is submitted via email.
Which of these policies is an example of discrimination based on familial status? a. A landlord charges an extra $100 security deposit for each child living in a property. b. All residents must show a U.S. birth certificate as part of the application process. c. No barbecue grills are allowed on balconies. d. No skateboards, bicycles, wheelchairs, or anything else that could scuff the historic hardwood floors are allowed in the building.
a. A landlord charges an extra $100 security deposit for each child living in a property.
Which of these statements about fair housing for people with disabilities is true? a. A person with a disability should not be prevented from making reasonable accommodations, and may also request accessibility accommodations. b. People with disabilities have priority over other renters when an accessible unit is available to lease. c. Property owners/landlords are not required to make reasonable accommodations. d. Property that is sold or rented to a person with a disability must be renovated to meet ADA standards.
a. A person with a disability should not be prevented from making reasonable accommodations, and may also request accessibility accommodations.
Kelsey works as a broker in Maryland. Her client just told her, "I found the perfect house, but it's in another state. It's just over the border in Virginia!" What does Kelsey need in order to facilitate the sale? a. A reciprocal license b. The status of principal broker c. Three years' experience working in Virginia d. Written permission from the VREB
a. A reciprocal license
Which of the following is a statutory duty of an agent acting as a property manager? a. Account for all money or property received by the licensee in which the owner has an interest b. Disregard fair housing regulations c. Negotiate a sale meeting the buyer's objectives d. Seek a property to purchase
a. Account for all money or property received by the licensee in which the owner has an interest
When you walk into the reception area of Happy Homes Realty, you see the licenses of ________ displayed on the wall. a. All brokers, associate brokers, and salespersons affiliated with the brokerage b. Only the associate brokers affiliated with the brokerage c. Only the principal or sponsoring broker d. Only the salespersons affiliated with the brokerage
a. All brokers, associate brokers, and salespersons affiliated with the brokerage
Henry, a principal broker, has been found guilty of performing real estate transactions while his license is suspended. Which of the following statements about this situation is true? a. All of the licensees Henry supervises could lose their licenses. b. Henry can close his brokerage to avoid penalties for this wrongdoing. c. Henry's actions only affect him; there are no consequences for the rest of the brokerage. d. The licensees Henry supervises will be called on to testify against him.
a. All of the licensees Henry supervises could lose their licenses.
Why does a designated agency relationship require a disclosure signed by both parties? a. Because although each party is represented by a different licensee, all brokerage agreements are in the broker's name. Consumers must be made aware of this. b. Because the buyer's interests must take priority over the seller's interests. c. Because the seller's interests must take priority over the buyer's interests. d. It doesn't
a. Because although each party is represented by a different licensee, all brokerage agreements are in the broker's name. Consumers must be made aware of this.
Which option is a legal license association? a. Broker working at two brokerages at the same time with permission from both lead brokers b. Broker working with two brokerages without permission from either c. Salesperson working for two brokerages at the same time d. Salesperson working on their own without a supervising brokerage
a. Broker working at two brokerages at the same time with permission from both lead brokers
Chris doesn't need to make a disclosure about his septic system. Which of the following statements about his situation is true? a. Buyers need to perform due diligence to discover the septic system themselves. b. Chris's agent is required to keep information about Chris's septic system confidential, even if buyers ask about it. c. Chris's septic system must not be older than five years. d. In order for a disclosure not to be required, Chris's septic system must be in good working order.
a. Buyers need to perform due diligence to discover the septic system themselves.
In Virginia, in what form can a buyer pay earnest money? a. Cash, check, bank letter of credit, or promissory note b. Cash or check only c. Check, cashier's check, or wired funds d. IOU or cash only
a. Cash, check, bank letter of credit, or promissory note
Which regulation defines the duties and responsibilities of real estate professionals? a. Code of Virginia Title 54.1 Chapter 21 b. Duties of Real Estate Professionals Act c. Real Estate Settlement Agents Act d. Virginia Residential Landlord and Tenant Act
a. Code of Virginia Title 54.1 Chapter 21
The Common Interest Community Board operates under the ________ . a. DPOR b. FHA c. POA d. VREB
a. DPOR
The Virginia Fair Housing Office's list of protected classes includes these groups in addition to the federally protected classes. a. Elderliness, sexual orientation, and veteran status b. Gender identity, elderliness, and smokers c. Income status, veteran status, and gender identity d. Source of funds, students, and sexual orientation
a. Elderliness, sexual orientation, and veteran status
Gregory is a salesperson at Gardner Homes. Linda is his sponsoring broker. Which of the following best describes what happens with Gregory's pocket card? a. Gregory must carry his pocket card at all times. b. Linda must carry Gregory's pocket card at all times. c. Linda stores Gregory's pocket card. d. Salespersons do not receive pocket cards.
a. Gregory must carry his pocket card at all times.
Buyer Tony is interested Seller Rilla's property. Tony's agent provides him with the Residential Property Disclosure Statement and Tony makes an offer which Rilla accepts. 2 weeks later, Tony discovers that there are plans to build a school next door to the house. He wants to terminate the contract because this wasn't disclosed. Which of the following is INCORRECT? a. If Rilla know about the school and failed to disclose it, Tony may terminate. b. If this was a concern to Tony, it was up to him to research it prior to entering into the contract. c. The law doesn't require Rilla to make any disclosure regarding the planned school. d. Tony may not terminate on this basis because Virginia is a "caveat emptor state."
a. If Rilla know about the school and failed to disclose it, Tony may terminate.
Under which of the following circumstances can a listing agreement be terminated in Virginia? a. If the seller and agent both agree in writing to end the agreement. b. If the seller consents to designated representation but not to dual representation. c. If the seller finds out that their agent's broker is representing other clients. d. If the seller tells the agent over the phone that they think the property is priced too low.
a. If the seller and agent both agree in writing to end the agreement.
Which of the following is true about the Virginia Condominium Act? a. It establishes the rights and responsibilities of condo owners b. It gives unlimited power to unit owners associations c. It regulates how many condo developments can be built in Virginia cities d. It suggests that it's a good idea for all condo developers to file a declaration
a. It establishes the rights and responsibilities of condo owners
Virginia licensee Leslie represents Mr. and Mrs. Connelly. The three of them just met with Mick, and Mick signed an agency disclosure form. Which of the following is true about this situation? a. Leslie can now legally facilitate a real estate transaction between these two parties. b. Leslie is now a dual agent for the Connellys and Mick on any upcoming sales transaction. c. Leslie may now legally be paid commission. d. Mick is now Leslie's client.
a. Leslie can now legally facilitate a real estate transaction between these two parties.
In addition to being properly executed (signed) what other requirements are there for recording a document in Virginia? a. Must be acknowledged before a notary public. b. Must be sealed and mailed in a registered envelope to the county clerk's office. c. Must have at least 2 witnesses present at the time of filing. d. Must meet SEQRA standards.
a. Must be acknowledged before a notary public.
How many members are on the Virginia Real Estate Board? a. Nine b. Seven c. Six d. Two
a. Nine
Anna engaged Christopher as her listing agent. During the relationship, Anna shared information about her motivations for selling and the price she'd be willing to accept. The termination date listed on her agreement with Christopher has come and gone without a sale. Anna decides to re-list her property with a new agent. Christopher has a new buyer client interested in Anna's property. Can he use the information shared by Anna when he was her agent? a. No, the duty of confidentiality survives the relationship. b. Yes, Christopher must put his buyer client's interests ahead of any duties owed toAnna. c. Yes, motivation and price are not confidential information. d. Yes, the relationship has terminated so he no longer owes her any duties.
a. No, the duty of confidentiality survives the relationship.
Why is it important to call 811 before any work involving excavation is performed? a. So that underground utilities can be marked with flags b. To ensure the proper permits are in place c. To ensure work is done according to code d. To notify the local planning office that permits are required
a. So that underground utilities can be marked with flags
A property is located in Planning District 15. Which facts must be disclosed? a. That either mining activities took place on the property or that it contains abandoned mines. b. That Planning District 15 is a flood-prone area. c. That Planning District 15 properties usually have special maintenance requirements because of their historical value. d. That these properties are affected by the Chesapeake Bay Act.
a. That either mining activities took place on the property or that it contains abandoned mines.
What is the name of the regulatory board for condominiums in Virginia? a. The Common Interest Community Board b. The Condominium Act c. The Condominium Regulatory Board d. The Virginia Real Property Common Law Board
a. The Common Interest Community Board
Which section of the Residential Contract of Purchase states that the seller is responsible for maintaining the property in the same condition as it is on the contract date, the inspection date, or some other date specified by the buyer? a. The Equipment Condition and Inspection section b. The Real Property section c. The Risk of Loss section d. The Settlement; Possession section
a. The Equipment Condition and Inspection section
What is one purpose of the Equipment Condition and Inspection section in the Residential Contract of Purchase? a. To give notice to the parties that the seller must provide the buyer and the buyer's representatives reasonable access to the property. b. To identify the type of security system the property has. c. To provide the buyer with instructions on where the key to the front door is kept. d. To specify the date on which the buyer can take possession of the property.
a. To give notice to the parties that the seller must provide the buyer and the buyer's representatives reasonable access to the property.
It's the end of the day and you're running late for dinner, so you decide to go to the ATM and deposit your client's earnest money check into your own account, and then transfer it to an escrow account the next morning. Why is this wrong? a. You can't commingle escrow funds with your own funds. b. You failed to make a record of the deposit. c. You failed to notify the client and the broker that you would be placing the funds temporarily in your own account. d. You should wait till the end of the week before transferring in to the separate account.
a. You can't commingle escrow funds with your own funds.
If your license is suspended, it's only temporary. If your license is revoked, it is permanently removed and requires ______. a. Additional education b. A new license application after the penalty period c. A small fee d. A verbal reprimand
b. A new license application after the penalty period
Which of the following is true of an independent contractor? a. An independent contractor acts as the consumer's agent. b. An independent contractor does not enter into an agency agreement with a client. c. An independent contractor enters into an agency agreement with a client. d. An independent contractor is not paid for their services.
b. An independent contractor does not enter into an agency agreement with a client.
Which of these brokers is providing adequate supervision and training for their new licensees? a. Anita follows her licensee every day to ensure there are no mishaps or violations of regulations. b. Brannon reviews and discusses licensees' work to make sure it meets regulations, and provides training opportunities to all associates. c. Deshi only allows associates to perform real estate activities inside the brokerage itself. Pamela holds quarterly meetings that discuss performance objectives of the licensee based on the number of sales transactions completed.
b. Brannon reviews and discusses licensees' work to make sure it meets regulations, and provides training opportunities to all associates.
A home owner is selling her property located in a property owner's association (POA). What must be provided to buyers? a. Deed b. Disclosure packet c. Proprietary lease d. Resale certificate
b. Disclosure packet
Reggie has a buyer client who is purchasing a home built before 1978. Which two documents must Reggie ensure that his client receives as part of the Residential Lead-Based Paint Hazard Reduction Act? a. EPA lead-based paint brochure and residential property disclosure b. EPA lead-based paint brochure and state-specific lead-paint disclosure c. State-specific lead-paint disclosure and residential property disclosure d. Synopsis of the Lead-Based Paint Hazard Reduction Act and EPA lead-based paint brochure
b. EPA lead-based paint brochure and state-specific lead-paint disclosure
What is another term you might hear that is synonymous with 'condominium?' a. Attached units b. Horizontal property c. Timeshare d. Townhome
b. Horizontal property
Which statement about the role of the settlement agent is true? a. A settlement agent cannot be hired to give legal advice regarding the sales transaction. b. If a settlement agent is also a licensed Virginia attorney, the agent may give legal advice regarding the sales transaction if he has been specifically hired to do so. c. It is a common and acceptable practice for the selection of the settlement agent to be made as a condition of the sale of the property. d. The settlement agent must be a licensed Virginia attorney.
b. If a settlement agent is also a licensed Virginia attorney, the agent may give legal advice regarding the sales transaction if he has been specifically hired to do so.
You just sold your first house! You decide to cash the commission check directly and then give the remainder to your affiliate broker. What type of violation have you just committed? a. Conflict of interest b. Improper brokerage commission c. Improper delivery of instruments d. Misrepresentation
b. Improper brokerage commission
If your business is registered as Kelly Realty, what name may you use when you conduct business? a. Kelly Homes b. Kelly Realty c. Kelly's Home Realty d. Kelly's Realty Group
b. Kelly Realty
Which of these is NOT an example of improper escrow account handling? a. Kerri deposits a down payment check and the rent she received from one of her own properties in the same account. b. Lou maintains all account-related records for three years after the transactions close. c. Maxine withdraws money from an escrow account to pay for a business lunch. d. Three weeks after he receives the check, Derek opens an escrow account for a client's rental security deposit.
b. Lou maintains all account-related records for three years after the transactions close.
Which of the following situations must be reported to the VREB? a. Ben just failed the test to become a broker. b. May, a principal broker, is changing the name of her brokerage. c. Natalia signed up to take six hours of post-licensing education. d. Yusuf just received a large commission from his first sale.
b. May, a principal broker, is changing the name of her brokerage.
Which of the following examples describes a condominium? a. Ownership of all units in the complex is shared equally among investors. b. Ownership of the pool, grassy areas, and walkways is shared, while units are privately owned. c. Privately owned units that share a common wall. d. Rooms within a home are single-occupancy, and common areas such as the kitchen are shared.
b. Ownership of the pool, grassy areas, and walkways is shared, while units are privately owned.
Which of the following actions should Cora, a principal broker, take after her brokerage has been audited? a. She should check her firm's advertising to make sure it complies with all relevant laws. b. She should keep a copy of the report at her brokerage in case the VREB wants to see it. c. She should make sure that all her affiliated licensees carry a copy of the audit with them when working. d. She should send a copy of the audit to all current clients.
b. She should keep a copy of the report at her brokerage in case the VREB wants to see it.
In Virginia, the wronged party in a real estate transaction has a limited time period to initiate a court action. This is known as the ______. a. Operation of law b. Statute of limitations c. Suit for possession d. Time is of the essence
b. Statute of limitations
Tim and Tammie Sheldon are selling their home, which is a spacious, single-family dwelling built in 2010 and located in an affluent development-a mere 15-minute drive from downtown. The home is part of a very active homeowners' association. The Sheldons have never had any construction work done on the home; they believe it is perfect as is. Which of the following must Tim and Tammie provide to the buyers? a. The Sheldons must disclose if the property is subject to the Virginia Condominium Act. b. The Sheldons must disclose if the property is subject to the Virginia Property Owners' Act. c. The Sheldons must disclose if there are any mechanic's liens against the property. d. The Sheldons must provide the buyers with a lead-based paint disclosure form.
b. The Sheldons must disclose if the property is subject to the Virginia Property Owners' Act.
The Real Estate Board has issued a charge of discrimination against a real estate licensee in Virginia. What should the licensee expect to happen next? a. An arrest warrant will be issued for the licensee b. The charge will be referred to the Attorney General's office c. The charge will be referred to the Virginia Association of REALTORS® d. The licensee will be suspended immediately
b. The charge will be referred to the Attorney General's office
In Virginia, landlords may amend a rental agreement if ______. a. The changes do not raise the rent b. The landlord and tenant agree to the changes c. The tenant has no knowledge of the changes d. The tenant is past due on rent
b. The landlord and tenant agree to the changes
According to the disclosure statement, what is a seller's disclosure requirement if their property is located in a historic district? a. The seller is required to disclose this information. b. The seller makes no representations. c. The seller must provide the buyer with the ordinances for the district. d. This condition is not material to the property and need not be disclosed.
b. The seller makes no representations.
According to the disclosure statement, what is a seller's disclosure requirement if they know that the parcel of land behind their property is being rezoned for commercial development? a. The seller is required to disclose this information. b. The seller makes no representations. c. The seller must provide the buyer with a zoning map. d. This condition is not material to the property and need not be disclosed.
b. The seller makes no representations.
The VREB has cause to believe that the escrow accounts at Green Valley Brokerage are being mismanaged. Which of the following is an action they can take? a. They can ask the courts to convene a disciplinary council. b. They can petition the court to appoint a receiver to oversee the escrow accounts. c. They can shut down business at the brokerage for up to 30 days. d. They can suspend the principal broker's license for up to 30 days.
b. They can petition the court to appoint a receiver to oversee the escrow accounts.
What is the purpose of federal and Virginia fair housing laws? a. To make sure all neighborhoods are ethnically diverse. b. To make sure that everyone has an equal opportunity to live where they want. c. To make sure that like-minded people can live together. d. To protect property values.
b. To make sure that everyone has an equal opportunity to live where they want.
Grant, a landlord, doesn't like to rent to those over the age of 60, and goes out of his way to discourage these applicants from his apartments. "I don't hate older people," he explains to you, his agent. "It's just that they usually forget to pay rent on time and need a lot more managing." What should you tell him? a. "As long as you make sure you're not discriminating based on race, color, or national origin, you are fine to continue this practice." b. "It's okay. The elderly aren't protected under federal law, so you can choose not to rent to them." c. "The elderly are protected under Virginia fair housing laws, so you could be found guilty of breaking those laws." d. "You're allowed to rent to whomever you choose. That means you can turn away anyone you want to."
c. "The elderly are protected under Virginia fair housing laws, so you could be found guilty of breaking those laws."
Jerry has completed 170 hours of online education and he has two years' experience as a real estate salesperson. He's wondering about the possibility of getting another license. What should you tell him? a. "You could apply for an associate broker's license once you have another year of experience as a salesperson." b. "You could apply for an associate broker's license with your current level of education." c. "You could apply to be a broker after one more year of experience and 10 more education hours." d. "You don't need more experience, but if you take 10 more education hours you could apply to be a principal broker."
c. "You could apply to be a broker after one more year of experience and 10 more education hours."
How many hours of post-licensing education are salespersons required to take in the first year as a licensee? a. 16 b. 24 c. 30 d. 60
c. 30
Which of the following statements is true regarding Virginia's licensing requirements? a. A person assisting a friend in selling a home must have a real estate license, even when no compensation is given. b. A person selling a home for sale by owner must have a real estate license. c. A person who receives a $100 gift certificate for performing real estate activities on behalf of a friend must have a real estate license. d. A property manager must have a real estate license, even if employed by only one property owner.
c. A person who receives a $100 gift certificate for performing real estate activities on behalf of a friend must have a real estate license.
Yolanda is selling her property in Virginia. Several buyers showed interest in the property at a recent open house. When does Yolanda need to provide a buyer with the disclosure statement? a. At settlement b. At the first private showing c. Before contract ratification d. It should've been provided at the open house.
c. Before contract ratification
Rebecca is her own boss. Not only does she manage her own schedule and clients, she doesn't have a supervisor and completely manages her own CE and license renewal. She also doesn't have to share commission with anyone. What type of Virginia real estate license does Rebecca hold? a. Associate broker b. Associate broker with at least five years of experience c. Broker d. Salesperson
c. Broker
Where would a purchaser find information about the characteristics of a condo, unusual and material circumstances and features that affect it, and the total number of units being offered? a. Condominium bylaws b. Condominium disclosure notice c. Condominium public offering statement d. Purchase agreement
c. Condominium public offering statement
Heather received the disclosure statement from the seller after their contract was ratified. Turns out there are septic issues that Heather doesn't want to deal with. She works with her agent to write up a termination notice to be mailed to the seller. By when must this be done? a. 10 days b. 14 days c. Five days d. Seven days
c. Five days
How long after a tenant's occupancy does a landlord have to provide a written report of existing damage to the unit? a. 10 days b. 30 days c. Five days d. Two weeks
c. Five days
Molly has entered into an agreement with Gil, a real estate licensee. Gil is performing only a few duties for Molly and is representing her as an agent. In what capacity is Gil acting? a. Dual agent b. Independent contractor c. Limited service agent d. Standard agent
c. Limited service agent
Trevon's landlord Lucia is pretty good, but she isn't doing one thing that must be done. For which of these infractions can Trevon take action or seek restitution, according to the Virginia Residential Landlord and Tenant Act? a. Lucia doesn't allow for rent payments to be made between the first and 15th of the month-she says rent is due the fifth. b. Lucia doesn't maintain the cleanliness of Trevon's rental unit. c. Lucia hasn't fixed the electric panels in Trevon's building, which are definitely not up to code. d. Lucia hasn't landscaped the apartment building's common areas.
c. Lucia hasn't fixed the electric panels in Trevon's building, which are definitely not up to code.
Marney, a Virginia licensee, just wrote a contract for a client. Which of the following statements about this situation is true? a. Marney can always write contracts for her clients. This is legal under any condition, and shows that she's fulfilling her fiduciary duties. b. Marney can only do this if she receives her client's written approval for this action before she writes the contract. c. Marney can only do this if the contract is incidental and if she doesn't charge her client for it. d. Marney has committed a crime; this action is illegal under any condition.
c. Marney can only do this if the contract is incidental and if she doesn't charge her client for it.
Which of the following is a type of listing agreement that is not permitted in Virginia? a. Exclusive agency b. Exclusive right to represent c. Net listing d. Open listing
c. Net listing
How do you change supervising brokerages? a. File an affidavit from both brokerages approving the switch at the county clerk's office. b. Just start working at the new brokerage. c. Notify your current brokerage and file a transfer request with the VREB containing both your and your new broker's signatures. d. Tell your current brokerage you're leaving after your license is transferred to the new brokerage.
c. Notify your current brokerage and file a transfer request with the VREB containing both your and your new broker's signatures.
Which of the following is a statutory duty a Virginia agent owes to seller clients? a. Disregard fair housing regulations. b. Negotiate a sale that meets the buyer's objectives. c. Receive and present all offers in a timely manner. d. Share confidential information shared by the seller with the buyer's agent.
c. Receive and present all offers in a timely manner.
Your friend Tasha's salesperson's license expired 20 days ago. Yesterday, she finished her required coursework. What's her best course of action? a. She has to apply for a new license. b. She needs to take another elective CE class as penalty for late renewal. c. She should renew her license in the next 10 days to avoid a penalty. d. She should wait another 11 days so she can reactivate her license with no penalty.
c. She should renew her license in the next 10 days to avoid a penalty.
Denise is ready to apply for her salesperson's license. Which of the following facts, if any, could disqualify her? a. None of these facts disqualify her. b. She has no experience in real estate. c. She's 17 d. She's taken some of her pre-license coursework in a classroom.
c. She's 17
Under the VRLTA, if visible areas of mold exist in readily accessible areas of the unit, which of the following are true? a. If the tenant choose to remain, the landlord is not responsible for remediating the mold. b. The landlord has the option of remediating the mold or leaving it. c. The tenant has the option to terminate tenancy. d. The tenant must terminate tenancy so the mold can be remediated.
c. The tenant has the option to terminate tenancy.
Broker Tim has had a sale fall through, and he has an escrow account with his client Rita's $6,000 in closing costs. Both his client and the seller claim that they should have this money. There are no related instructions in the contract. Which of the following actions can Tim take? a. Because Rita is his client, he should return the escrow money to her. b. Since it was Rita's money in the first place, he should give the money back to her minus his 15% account management fee. c. Tim should turn the matter over to the courts and let them make the decision about who gets the money. d. Tim should wait up to a year for the two parties to reach a written agreement; if it hasn't been reached by then, he should give half to each party.
c. Tim should turn the matter over to the courts and let them make the decision about who gets the money.
In Virginia, a trustee can only act in a manner authorized by statute or the terms of the trust. This is because Virginia is a ______ state. a. Judicial b. Lien theory c. Title theory d. Trustee
c. Title theory
What is the purpose of the Common Interest Community (CIC) Board? a. To create conditions conducive to the creation of high-quality common interest communities b. To create guidelines and advise owner associations for common interest communities c. To develop and regulate the CIC manager licensing program d. To represent the interests of common interest communities at the state congressional level
c. To develop and regulate the CIC manager licensing program
What is the purpose of the Default section of the Residential Contract of Purchase? a. To define Virginia's policy of no-fault defaults. b. To explain the process for how the seller or buyer sues for damages. c. To explain what happens in the event either party defaults. d. To provide detailed examples of default behavior and resulting consequences.
c. To explain what happens in the event either party defaults.
Wayne is selling his house, which is in a flood hazard area, to Ayisha, who doesn't have an agent. Does Wayne have any disclosure responsibilities toward Ayisha, and if so, what are they? a. Wayne has no responsibilities toward Ayisha. b. Wayne needs to disclose to Ayisha that the house is in a flood hazard area. c. Wayne needs to fill out the Disclosure Statement and give it to Ayisha. d. Wayne only needs to fill out the Disclosure Statement and give it to Ayisha if he has disclosures to make.
c. Wayne needs to fill out the Disclosure Statement and give it to Ayisha.
First Baptist Church in Norfolk owns two apartments next door to the church, which used to be housing for their ministerial staff. It does not rent to non-Baptists. Is this legal? a. No, this is housing discrimination. b. Yes, as long as it does not charge more than $250 per month. c. Yes, as long as it does not discriminate based on race, color, national origin, or familial status. d. Yes, as long as it does not own more than two units.
c. Yes, as long as it does not discriminate based on race, color, national origin, or familial status.
Broker Delia is managing an unusual sales transaction. Her client Phyllis wants to give her a small ruby for her down payment. It's been valued by a certified jeweler and will cover the down payment amount. Should Delia accept it? a. No, because this kind of payment will be impossible to disburse when the time comes. b. No; escrow accounts are only meant to hold cash. c. Yes, as long as she records its acceptance in the sales agreement document. d. Yes, but she shouldn't put it in an escrow account.
c. Yes, as long as she records its acceptance in the sales agreement document.
Doug is a real estate licensee. He is a property manager for Julie. He is approached by Jessica to manage one of her new properties. Can Doug do this? a. No, licensees can only perform property management activities for a single owner. b. No, this is a conflict of interest to Julie. c. Yes, licensees can perform property management activities for multiple owners. d. Yes, with Julie's permission.
c. Yes, licensees can perform property management activities for multiple owners.
How often should a principal broker conduct an audit (or arrange to have one done)? a. every four years b. every three years c. every two years d. every year
c. every 2 years
A new licensee at your brokerage tells you, "My client has some closing money, but he wants the settlement agent to hold onto it instead of our brokerage. Is that legal?" What should you say? a. "No. Because you're the client's agent, you need to personally open and maintain this escrow account." b. "No, brokerages must safeguard and manage all escrow accounts related to the real estate transactions they're involved in." c. "Yes, but only if our principal brokerage signs off on this arrangement." d. "Yes, that's perfectly legal. Brokerages don't have to manage all escrow accounts."
d. "Yes, that's perfectly legal. Brokerages don't have to manage all escrow accounts."
In what manner can a licensee engaged as a property manager represent the owner? a. As a buyer only b. As a landlord only c. As a seller only d. As a seller or landlord
d. As a seller or landlord
Which of these activities requires that licensee Jake have a brokerage relationship before he performs it? a. He explains the services he offers to someone at an open house. b. He hands out business cards. c. He receives a finder's fee from another broker. d. He shows a property to an interested buyer.
d. He shows a property to an interested buyer.
Parker represents buyer clients, Mr. and Mrs. Merryweather, who have just made an offer on a house. Parker presents the offer to the seller's agent and says, "Just so you know, my clients are happy to come down a bit on that price." Has Parker done anything wrong, and if so, what? a. Parker has done nothing wrong. b. Parker has failed to account in a timely manner for all money he received from the Merryweathers. c. Parker has failed to comply with fair housing statutes and regulations. d. Parker has violated the duty of confidentiality he owes his clients.
d. Parker has violated the duty of confidentiality he owes his clients.
When does a dual agency disclosure need to be provided? a. Never b. Only when representing a buyer and interacting with an unrepresented seller c. Only when representing the seller and interacting with an unrepresented buyer d. Prior to a dual agency situation occurring
d. Prior to a dual agency situation occurring
What is the VREB authorized to do? a. License appraisers and home inspectors b. Regulate advertising of small home businesses c. Require minimum daily work hours for all licensees d. Set requirements and standards of conduct for real estate licensees as well as enforce Virginia's real estate laws
d. Set requirements and standards of conduct for real estate licensees as well as enforce Virginia's real estate laws
Elizabeth is selling her home. She wants an agent who will be with her every step of the process and can advise her, as needed. Which of the following relationships may be best for Emily? a. Buyer's agent b. Dual agent c. Limited service agent d. Standard agent
d. Standard agent
Ted is the owner of an apartment complex near a trendy resort town. He decides he wants to convert one of the complex's buildings into a timeshare. What's the first step in the process of conversion? a. Ted must advertise the conversion proposal and receive local input. He can then file a petition with the Common Interest Community Board. b. Ted must complete a community impact statement and file it with the Common Interest Community Board. c. Ted must give current tenants at least 90 days' notice to vacate the building that he is planning to convert. d. Ted must prepare a timeshare instrument and file it with the Common Interest Community Board.
d. Ted must prepare a timeshare instrument and file it with the Common Interest Community Board.
Which of the following pieces of information does Linda, a Virginia real estate salesperson who works for Big Valley Realty, NOT have to include on her business cards? a. "Associated with Big Valley Realty" b. Big Valley Realty's phone number c. Her work phone number d. The name and number of her sponsoring broker
d. The name and number of her sponsoring broker
In Virginia, what information does the Megan's Law disclosure provide to buyers? a. A description of the case that led to Megan's law b. Notice that the seller is responsible for disclosing registered sex offenders in the area c. The names and addresses of registered sex offenders in the area d. There is no Megan's Law disclosure in Virginia
d. There is no Megan's Law disclosure in Virginia
Which of the following is NOT a protected class under federal or Virginia fair housing laws? a. Gender identity b. Muslims c. the elderly d. Those with assistance animals
d. Those with assistance animals
How long must licensees be affiliated with a broker before they can qualify for a broker's license? a. 10 years b. 720 hours c. One year of full time work d. Three years
d. Three years
What's the purpose of testing for discrimination? a. To create revenue through fines b. To educate the public c. To punish blatant discrimination d. To uncover hidden discrimination
d. To uncover hidden discrimination
How many citizen members must be on the Virginia Real Estate Board? a. Four b. Nine c. Seven d. Two
d. Two
How long does a timeshare developer remain in control of a timeshare project? a. For as long as the project remains in existence as a timeshare. b. Until 100% of the timeshare units are sold. c. Until 75% of timeshare owners agree to participate in an owner's association and can assume management of the property. d. Until 90% of the timeshare estate has been sold or whenever all of the project's amenities and facilities have been completed, whichever is later.
d. Until 90% of the timeshare estate has been sold or whenever all of the project's amenities and facilities have been completed, whichever is later.
Daniel is a full-time member of the armed services. He is renting a property, but just received orders to relocate to a new base in another state for no less than two years. What actions could he take related to his existing lease? a. Abandon the leased property b. Ask to be evicted from the property c. He must fulfill the provisions of the lease d. Use the orders to receive a military release from his lease obligation
d. Use the orders to receive a military release from his lease obligation
Which regulation sets forth the Virginia Real Estate Board's licensing regulations? a. Code of Virginia Title 53, Chapter 20 b. Real Estate Settlement Agents Act c. Sherman Act d. Virginia Administrative Code Title 18, Agency 135, Chapter 20
d. Virginia Administrative Code Title 18, Agency 135, Chapter 20
Which agency is responsible for approving real estate schools and education? a. Department of Education b. Department of Environmental Quality c. Department of Licensing and Regulations d. Virginia Real Estate Board
d. Virginia Real Estate Board
Virginia licensee Collette deposits an earnest money check for $10,000 in an escrow account. That Saturday, she's doing some online shopping and is ready to check out when she remembers that her credit card has a temporary stop payment on it. She uses the escrow account, knowing that she'll be able to replace the funds on Monday. Has Collette done anything wrong? a. No, because this interaction won't show up on any report. b. No, since she'll replace the funds in fewer than five days. c. Yes, because she failed to get written permission from the client. d. Yes, because this is called conversion and it's illegal.
d. Yes, because this is called conversion and it's illegal.
