Practice Test 2
Justin isn't clear on what multiple representation relationships are. What could licensee Fred tell him to explain this type of agency? "Multiple representation and designated agency are basically the same thing." "Multiple representation relationships occur when two different firms represent the buyer and seller in a transaction." "Multiple representation without designated agency would occur if I represented both you and the buyer in the same transaction." "When two different agents from the same firm represent both parties in the same transaction, that's a multiple representation relationship without designated agency."
"Multiple representation without designated agency would occur if I represented both you and the buyer in the same transaction."
Wisconsin licensee Shay is helping her client, Kent, complete the WB-14 form. Kent asks her about the legal implications of buying a condo versus a single-family home. How should Shay respond? "Because I'm not a lawyer, I'm not allowed to answer this question. But just between us, here are my thoughts, as long as you know I'm not giving you legal advice—" "Condos may seem like a good deal at first, but they're really hard to resell, and the condo owners' associations are usually so strict you can't even paint the condo without going through a bunch of hassle." "That's a good question for a real estate lawyer. Because I'm not a lawyer, the law says I'm not allowed to discuss the legalities of a contract. You might consider meeting with a lawyer before signing." "There's really no difference, except with a condo, you have someone to do all the grunt work—mowing lawns, shoveling snow, and other exterior work—for you for a little more money."
"That's a good question for a real estate lawyer. Because I'm not a lawyer, the law says I'm not allowed to discuss the legalities of a contract. You might consider meeting with a lawyer before signing."
A buyer with a 15-year, $250,000 loan at a 5.5% interest rate has a monthly principal and interest payment totaling $2,042.71. What's the total amount the borrower will pay back over the life of the loan? $250,000.00 $30,640.65 $367,687.80 $735,375.60
$367,687.80
Sandra is purchasing a home for $200,000 and provides a $3,000 earnest money check to the seller. Her closing costs and down payment total $7,000. Assuming that Sandra is financing the purchase, how much should she bring to the closing? $2,000 $3,000 $4,000 $5,000
$4,000
The assessed value for your buyer clients' new purchase is $209,000. They feel they got a great deal since they're purchasing the property for $175,000. They've asked you to estimate their monthly property taxes. You know the rate for their jurisdiction is .52%. What is the monthly tax amount your clients owe? $101.12 $121.98 $75.83 $90.57
$90.57
An 800-square-foot rectangular building sells for $75,000. What's the cost per square foot? $187.50 $46.88 $60.50 $93.75
$93.75
Related to real estate financing, how much is a point? $1 $10 1% of loan value 1% of sale price
1% of loan value
In the WB-14, the Condominium Disclosure Materials provision states that the seller agrees to provide current and accurate copies of the condo disclosure materials within ______ days of acceptance of the offer. 10 15 20 Five
10
After executing a commercial listing, how long does an entity seller have to provide the brokerage firm with confirmation of its authority to negotiate the sale of the subject property? 10 days 15 days 30 days Five days
15 days
Lead paint was commonly used in properties prior to which year? 1953 1978 1981 1990
1978
Glenn is purchasing a home for $400,000. The property appraised at $415,000 and Glenn is financing $300,000. What's the loan-to-value ratio? 72% 75% 82% 96%
75%
Jane is purchasing a property for $310,000 and plans to finance $250,000. What is the loan-to-value ratio? (Round to the nearest percentage.) 79% 81% 83% 85%
81%
Margie needs to know the square footage for the first floor of the condo her client is interested in buying. The kitchen is 10 feet by 15 feet, the living/dining combo is 20 feet by 25 feet, and the office and bedroom are each 10 feet by 10 feet. What's the total square footage? 2,200 square feet 3,000 square feet 750 square feet 850 square feet
850 square feet
Which of the following statements about multiple representation relationships without designated agency in Wisconsin is true? A client may still go through with a real estate transaction if the client rejects designated agency in this situation. An agent may choose to accept or not accept designated agency when this situation arises. This situation allows real estate agents to negotiate for their clients and advocate for their best interests. This situation only arises when both parties to a real estate transaction want to be represented by the same real estate agent.
A client may still go through with a real estate transaction if the client rejects designated agency in this situation.
Condominium disclosure materials include all of the following, EXCEPT _______. A list of all other condo owners in the association An executive summary Any leases that will affect the condo owner(s) or condo association A project annual budget for the condominium
A list of all other condo owners in the association
Sondrine's beach cottage has a right of way that allows nearby residents to get to the beach. What is the primary difference between a right of way and an easement? A right of way always has a defined expiration date. A right of way is always for an indefinite time period. A right of way offers the right to use the property for some function, as compared to just as a pass-through. A right of way provides a pass-through, but not a right to use the property.
A right of way provides a pass-through, but not a right to use the property.
Elaina and Allen just purchased a home using a deed of trust. Which of the following is most likely true about their home loan? A trustee will hold title until the loan is paid. Their transaction is secured with a mortgage as well. The lender will hold the mortgage, while a trustee will hold the deed of trust until their loan is paid off. The lender will hold the title until the loan is paid off.
A trustee will hold title until the loan is paid.
In Wisconsin's WB-11, Residential Offer to Purchase, ______ occurs when all buyers and sellers have either signed one copy of the offer or separate (identical) copies of the offer. Acceptance Binding acceptance Closing Settlement
Acceptance
Wisconsin law requires that the ending trust account bank balance be compared to the ending balance in the cash journal on a monthly basis, which is known as ______. Account reconciliation Posting the cash journal Preparing the trial balance Validation
Account reconciliation
In addition to being properly executed (signed), what are other requirements for recording a document in Wisconsin? Acknowledged before a notary public At least two witnesses present at the time of filing Meet the broker's standards Sealed and mailed in a registered envelope to the county clerk's office
Acknowledged before a notary public
Jansen and his listing agent just left the closing on Jansen's house. What kind of notice does Jansen, his agent, the buyer, and the buyer's agent have regarding the sale of Jansen's house? Actual notice Constructive notice Legal notice Personal notice
Actual notice
In WB-11, the term ______ is used to signify that a party has the document or written notice physically in that party's possession. Actual delivery Actual receipt Physical receipt Settlement
Actual receipt
Li Meng purchased a property that had been owned by the same man for more than 40 years. The title search was clean. In the spring, she started seeing traffic on the path to her dock and discovered that the previous owner had always allowed the locals to use his path to get to the lake. What covenant may have been breached? Against encumbrances Quiet enjoyment Right to convey Seisin
Against encumbrances
Which one of the following provides the best example of single agency? A broker acts as a dual agent to one party only. An agent from one firm acts as the agent for the buyer. Two agents from different firms each act as a sub-agent for the other. Two agents from one firm act, separately, as the agent for the buyer the agent for the seller.
An agent from one firm acts as the agent for the buyer.
With _______ only one brokerage firm lists the property, but if the seller finds his own buyer, the agent does not earn a commission. An exclusive agency agreement An exclusive right-to-sell agreement An open listing agreement A one-party listing agreement
An exclusive agency agreement
All board-approved listing contracts are, by default, in the form of _______ contract in Wisconsin. An exclusive agency An exclusive right-to-sell An open listing A one-party listing
An exclusive right-to-sell
Marissa was recently confirmed by Wisconsin's state senate to serve a term on REEB. Which of these statements is correct? As a REEB member, Marissa may also be asked to chair a standing council. Marissa is in her first four-year term on REEB. Marissa may not serve on any other real estate-related board or council while on REEB. Marissa will be serving with six other new board members.
As a REEB member, Marissa may also be asked to chair a standing council.
Wisconsin law requires that an agency disclosure be provided to customers _______. At the closing of a real estate transaction Before you negotiate on the client's behalf Immediately Within seven days of meeting the customer
Before you negotiate on the client's behalf
Which of the following actions is permitted by the REEB when using approved forms? Adding additional blank lines to the contract Attaching an addendum with fill-in provisions Changing the font size of the contract Removing lines from the contract
Changing the font size of the contract
Wisconsin broker Clayton has broken several rules regarding how the approved forms may be used under the Wisconsin Administrative Code. Which of the following is true of this situation? Clayton has demonstrated incompetency to act as a real estate licensee in a manner that safeguards the public interest. Clayton has failed to account for any moneys coming into his possession that belong to another person. Clayton has pursued a continued and flagrant course of misrepresentation. Clayton has violated the Sherman Antitrust Act.
Clayton has demonstrated incompetency to act as a real estate licensee in a manner that safeguards the public interest.
The Hendersons were hoping to list their home for $400,000; however, four other comparable homes in the neighborhood just went up for sale, and they now must list their property at $380,000 to sell quickly. Which economic principle is at work here? Competition Conformity Progression Substitution
Competition
The WB-4 form is used when listing _____. Commercial properties Condominiums Residential properties Vacant land
Condominiums
Through contracts with the USDA, the _______ encourages farmers to stop growing crops on highly erodible or environmentally sensitive land, and instead to plant a protective cover of grass or trees. Conservation Reserve Program Managed Forest Land Program Private Onsite Wastewater Treatment System Suitability Shoreland Zoning Ordinances Requirement
Conservation Reserve Program
If Carol and Doug Shields died intestate, their estate would be conveyed to their heirs through which method of alienation? Adverse possession Deed Descent Will
Descent
The secondary mortgage market buys loans from the primary market. How does this aid the lending market? Avoid foreclosure of borrower properties Ensure funds are available to borrowers Prevent bank runs by consumers Streamline lenders' bankruptcy processes
Ensure funds are available to borrowers
What type of buyer agency/tenant representation agreement form specifically gives a brokerage firm an exclusive right to find a property for a client in Wisconsin? Exclusive Right to Buy Buyer Agency/Tenant Representation Agreement Exclusive Right to Locate Buyer Agency/Tenant Representation Agreement Exclusive Right to Negotiate Buyer Agency/Tenant Representation Agreement Exclusive Right to Sell Buyer Agency/Tenant Representation Agreement
Exclusive Right to Locate Buyer Agency/Tenant Representation Agreement
Josephine wants an agent who will be loyal and work hard to find a buyer for her property, but she's only willing to pay a commission if the agent finds a ready-and-willing buyer. If she finds a buyer, she doesn't want to pay. What type of listing agreement would Josephine be most interested in? Exclusive agency Exclusive right-to-sell One-party listing Open listing
Exclusive agency
What type of listing agreement provides the most protection for a licensee's commission? Exclusive agency Exclusive right-to-sell One-party listing Open listing
Exclusive right-to-sell
Which one of the following duties does a licensee in Wisconsin owe all parties in a transaction? Advise on real estate matters. Exercise reasonable skill and care. Negotiate on any party's behalf. Obey all lawful instructions.
Exercise reasonable skill and care.
When a seller receives an offer to purchase, the seller's agent will notify the prospective buyer of the seller's decision. Which of these is NOT a possible response to an offer? Acceptance Expiration of the offer with continuation request Expiration of the offer without acceptance Rejection
Expiration of the offer with continuation request
Alisson has enjoyed her timeshare property for years, and now that it is paid off and only yearly management fees must be paid, she is thrilled she will be able to pass it down to her daughter. What type of estate does Alisson likely own? Actual interest Fee simple absolute interest Interest for life Simple closure interest
Fee simple absolute interest
Buyers have _____ business days after receiving condominium disclosure materials to rescind an offer. 10 Five Seven Three
Five
Which of the following Wisconsin forms is considered a non-DSPS-approved form? A deed created by the State Bar of Wisconsin Forms prepared by a tribal agency to use in programs the agency administers WB-11 WB-47
Forms prepared by a tribal agency to use in programs the agency administers
Which of these situations might result in REEB initiating disciplinary action against the licensee involved? Amber asked her broker to assign her listings to another licensee due to a medical emergency. Frederick promised potential sellers that the city would look favorably on a zoning variance for the property they wished to purchase. Jerry's buyers had to terminate their purchase contract because they couldn't prove the level of income they claimed on their loan application. Roger renewed his license two weeks late.
Frederick promised potential sellers that the city would look favorably on a zoning variance for the property they wished to purchase.
Wisconsin licensee Mike is preparing an offer to purchase using WB-13 Vacant Land Offer to Purchase. Which of this form's provisions states that the seller must supply the buyer with a list of all government programs that apply to the property, along with disclosure of any applicable penalties, fees, withdrawal charges, or payback obligations that are pending or currently deferred? Government Programs Land Use Approval Managed Forest Land Use Value Assessments
Government Programs
Which one of the following is a characteristic of an abstract of title? It provides an attorney's opinion of the title. It provides information about the payoff amount. It provides information about the property location. It releases an existing lien.
It provides an attorney's opinion of the title.
Which of the following situations requires a Wisconsin licensee to get a signature on a multiple relationship with designated agency disclosure form? Alison is at a social event where she's handing out business cards to prospective clients. Jeff is representing the Trethaways in the sale of their house, and his co-worker Natalie has a buyer who's ready to make an offer. Lois is performing clerical services for a potential client. Philip meets a buyer who's represented by his buddy Karl, who works at another firm, at a one of Philip's seller client's open houses.
Jeff is representing the Trethaways in the sale of their house, and his co-worker Natalie has a buyer who's ready to make an offer.
Jenna's home was built in the late 1800s and served as a place to treat patients who suffered from tuberculosis (several of whom died on the premises), was raided during the Prohibition era while it served as an illegal speakeasy, and may be haunted by a previous homeowner who committed suicide during the Great Depression. When selling the home, what disclosures must be provided? Infectious disease disclosure Lead-based paint disclosure Site of suicide disclosure Stigmatized property disclosure
Lead-based paint disclosure
Maddie lives in Madison, Wisconsin and feels she's been discriminated against based on her status as a student, which is a locally protected class. Where would be the best place for her to file a fair housing complaint? Equal Rights Division of the Wisconsin Department of Workforce Development HUD Madison Equal Opportunities Division Metropolitan Milwaukee Fair Housing Council.
Madison Equal Opportunities Division
Wisconsin broker Matt represents buyer Emily, who is purchasing a three-bedroom bungalow in Eau Claire. Which of the following is true of the form Matt must use for this? Because Matt is a broker, he has the knowledge and experience required to draft a new contract form himself, provided all parties to the contract agree in writing to this. Because Matt is acting in the capacity of an agent in this transaction, he must only use one of the DSPS-approved contract forms. Matt must use the DSPS-approved residential purchase contract form, unless one of the parties to the transaction wants to draft a contract form (or have an attorney do so) that includes all negotiated terms and conditions. Unless one of the parties to the transaction wants to draft a contract form (or have an attorney do so) that includes all negotiated terms and conditions, Matt must draft a new contract form himself.
Matt must use the DSPS-approved residential purchase contract form, unless one of the parties to the transaction wants to draft a contract form (or have an attorney do so) that includes all negotiated terms and conditions.
Liam is a contractor who discloses his right to place a lien on the properties where he works in the event of non-payment. What type of lien is this? Income tax Judgment Mechanic's Mortgage
Mechanic's
The MARIA acronym helps to identify the five tests of a fixture. Which of the following tests refers to how and whether the item is attached to the property? Adaptability of the item to the land's use Agreement of the parties Intention in placing item on land Method of annexation
Method of annexation
Which of these landlord actions would NOT be considered a reasonable accommodation? Allowing assistance animals when there's a "no pets" policy Assigning a parking space close to the building when the general policy is that there is no assigned parking Moving disabled tenants to units near an elevator Permitting transfers to a ground-floor unit
Moving disabled tenants to units near an elevator
Which one of the following statements about making additions to Wisconsin DSPS-approved forms is true? Additional blank lines must not be added to an approved form that contains textual content, but additional text may be added to DSPS-approved forms. Additional text must not be added to an approved form that contains textual content, but additional blank lines may be added to DSPS-approved forms. Both additional blank lines and additional text may be added to an approved form that contains textual content. Neither additional blank lines nor additional text may be added to an approved form that contains textual content.
Neither additional blank lines nor additional text may be added to an approved form that contains textual content.
Jared, a seller, has found his own buyer and wants to terminate his exclusive right-to-sell listing agreement with Sue, his listing broker. Can he do so without penalty? No, because listing agreements may not be terminated until they expire. No, because sellers may not sell their own listings. No, because the listing agreement is contractually binding. No, because this would be a conflict of interest.
No, because the listing agreement is contractually binding.
The duties owed to customers include all of the following, EXCEPT which one? Accounting Disclosure Honesty and fairness Obedience
Obedience
Wisconsin seller Olivia received four offers on her home in Green Bay. She sent individual copies of WB-46 to all four prospective buyers. Two days later, she decided she didn't like prospective buyer Fran's offer. Olivia hasn't given her binding acceptance to any of the multiple counter-proposals yet. Which of the following is true in this situation? Because multiple counter-proposals must be delivered within 24 hours, it's too late for Olivia to withdraw the offer to Fran since it's already been delivered. Multiple counter-proposals may not be withdrawn once they've been signed. Olivia can ask Fran to excuse herself from the multiple counter-proposal, which Fran may do (but doesn't have to do) at her sole discretion. Olivia may withdraw the multiple counter-proposal she gave to Fran.
Olivia may withdraw the multiple counter-proposal she gave to Fran.
In Wisconsin, which of the following is a true statement? Owner-occupants are exempt from fair housing laws. Owner-occupants are exempt from Wisconsin fair housing laws, but not federal fair housing laws. Owner-occupants are NOT exempt from fair housing laws. Owner-occupants of housing with six or fewer units are exempt from fair housing laws.
Owner-occupants are NOT exempt from fair housing laws.
Which of the following provisions is ONLY found in WB-14, Residential Condominium Offer to Purchase? Acceptance Closing Default Parking
Parking
Ken, Dale, and James were brothers who owned more than 100 acres as tenants in common. The relationship between Ken and James disintegrated, and so James initiated a lawsuit. The end result was that the court gave each brother a designated set of acres to own. What did the court grant? Bifurcation Parcel Partition Severalty
Partition
Parcels of land are valued at $50,000 each. However, when two of the parcels are joined, they are valued at $120,000. What economic principle is at work here? Anticipation Contribution Plottage Progression
Plottage
Which document is used to give a buyer an overview of the title history and information about what is or isn't covered in an insurance policy? Abstract of title Guarantee of title Preliminary report Title insurance
Preliminary report
Wisconsin broker Kyle, who represents buyer Suzanne, has delivered WB-41 to the seller's agent, informing the seller that the radon inspection contingency in the offer to purchase has been satisfied. Two days after Kyle delivers this notice, Suzanne realizes she jumped the gun because the contingency hasn't actually been satisfied. Can Suzanne withdraw this notice? No. Once a notice is delivered, it cannot be withdrawn by the initiating party for any reason. No. The initiating party (the buyer, in this case) has the right to withdraw the notice, but only if it hasn't been delivered to the receiving party yet. Since Kyle has already delivered the notice, it cannot be withdrawn. Probably, but that depends on the timing. The initiating party (the buyer, in this case) has the right to withdraw the notice provided it hasn't yet been accepted by the receiving party. Probably not, but that depends on the receiving party (the seller, in this case). Once a notice has been delivered, it cannot be withdrawn by the initiating party without the receiving party's written consent.
Probably not, but that depends on the receiving party (the seller, in this case). Once a notice has been delivered, it cannot be withdrawn by the initiating party without the receiving party's written consent.
Naomi is the listing agent for the Smiths' home. She isn't related to the Smiths, but her uncle and aunt decide to make an offer on the property, using another broker to represent them. What's Naomi required to do? Advise her uncle and aunt to cancel their current agency agreement so she can represent them in the transaction. Naomi doesn't have any disclosure obligation in this situation, since she's not representing her aunt and uncle in the transaction. Notify her broker that there is a conflict of interest so another licensee can be designated to represent the Smiths in the transaction. Provide written disclosure to all parties in the transaction.
Provide written disclosure to all parties in the transaction.
Which of the following is an optional provision in WB-11? Homeowners Association Radon Testing Contingency Time is of the Essence Title Evidence
Radon Testing Contingency
Raymond doesn't want his listing firm to represent any potential buyers for his property. What type of agency relationship should he elect for in his residential listing contract? Dual agency Multiple representation relationship with designated agency Multiple representation relationship without designated agency Rejection of multiple representation relationships
Rejection of multiple representation relationships
______ is an example of non-trust funds, according to Wisconsin law. A car title A check given as earnest money on a purchase contract A personal note Rent received from a broker or licensee-owned property
Rent received from a broker or licensee-owned property
Karla works for a single-agency firm. Which of these actions is she NOT allowed to take? Giving her client the duty of obedience Helping another broker in her firm with some transactional work Representing both the buyer and the seller in the same transaction Representing the seller in multiple transactions
Representing both the buyer and the seller in the same transaction
It's the policy of Kathleen's brokerage to only practice single agency. Which of the following best describes this? Representing both buyers and sellers in the same transaction Representing either the buyer or the seller in a transaction, but never both at the same time Representing only buyers in all transactions Representing only sellers in all transactions
Representing either the buyer or the seller in a transaction, but never both at the same time
In WB-11, a ______ provision should be completed to indicate whether or not the party has the right to remedy a defect or other issue under the contract, and, if so, how. Contingency Not Included in Purchase Price Right to Cure Right to Remedy
Right to Cure
Which of these statements about selling a home as-is is true? Sellers must complete the property disclosures honestly and fully, or risk being liable to the buyer for misrepresentation. The buyer is not allowed to request that the seller make repairs to the property. The buyer waives the right to receive property disclosures when accepting the property in "as-is" condition. The seller isn't required to provide the usual seller disclosures unless the property is valued in excess of $1 million.
Sellers must complete the property disclosures honestly and fully, or risk being liable to the buyer for misrepresentation.
Serete is a Wisconsin real estate licensee who loves being able to help her friends, family, and business associates with their real estate needs. In which of these situations would Serete NOT need to disclose her personal interest in the transaction? Helping her uncle and aunt buy a home Selling a home on behalf of another salesperson at the brokerage Selling her brother's home Selling the home of her best friend's cousin
Selling the home of her best friend's cousin
Sarah Ann has reviewed the condominium disclosure materials from the seller and isn't happy with some of the potential expansions that are expected to take place in the next two years. What can she do next? She can only rescind her offer if she provides a valid reason to the seller. She can rescind her offer by calling the listing agent. She can rescind her offer in writing without providing any reason why. She can't rescind her offer if the seller has already accepted it.
She can rescind her offer in writing without providing any reason why.
Beatrice is drafting an exclusive agency listing contract for a potential client in Madison. If she wants to use a board-approved form, what must she do? Nothing. There is a board-approved exclusive agency contract that she can use. She must first obtain permission from the REEB before using any of its forms. She must modify an existing approved form to create an exclusive agency agreement. The are no board-approved listing agreement forms.
She must modify an existing approved form to create an exclusive agency agreement.
What is the official title for the WB-1 form? The Commercial Listing Contract The Farm Listing Contract The Residential Condominium Listing Contract The Residential Listing Contract
The Residential Listing Contract
During the transfer of real property in Wisconsin, who is responsible for paying the property taxes for the year in which the transfer takes place? Properties are exempt from property taxes in the year in which they're transferred. The buyer and seller are each responsible for paying a prorated amount based on the transfer date. The buyer is responsible for the whole year. The seller is responsible for the whole year.
The buyer and seller are each responsible for paying a prorated amount based on the transfer date.
Seller Layla received two offers and said to her agent, Diane, "I just can't decide which one is better." Diane explained the pros and cons of each offer, and finished by giving her opinion about which one was the stronger offer. Which duty to her client is Diane fulfilling? The duty to fulfill all obligations required by the agency agreement The duty to hold confidential information in confidence The duty to negotiate on her client's behalf The duty to provide information and advice that is material to the transaction
The duty to provide information and advice that is material to the transaction
If buyer client Mack decides NOT to allow designated agency in a multiple representation relationship, which of these duties can his agent, Dahlia, still provide? The duty to keep sensitive information confidential The duty to negotiate on Mack's behalf The duty to provide information relevant to the transaction The duty to provide professional opinions and advice relevant to the transaction
The duty to provide information relevant to the transaction
Under what circumstance might a firm that's a corporation legally conduct business under a partnership license? The firm doesn't want to change all its business cards and other materials to indicate that it's now a corporation. The firm intends to disband the corporation and begin to practice as a partnership. The former partners have formed a corporation and applied for a new license but haven't yet received the new license. The income tax regulations for the partnership are more favorable than for a corporation.
The former partners have formed a corporation and applied for a new license but haven't yet received the new license.
When calculating loan-to-value ratios, which of the following will be used by the lender? The appraisal value The greater of the sales price or appraisal value The lesser of the sales price or appraisal value The sales price
The lesser of the sales price or appraisal value
According to the WB-46 Multiple Counter-Proposal form, either party may withdraw from the negotiation at any point before ______. Seven business days from the date of offer The buyer confirms acceptance on the form The following business day The seller confirms acceptance on the form
The seller confirms acceptance on the form
Which one of the following actions would result in the legal termination of an agency agreement? The client wants the seller to make improvements to the property. The client wants to attach an addendum to the sales contract. There's an unexpected death in the agent's family. The term specified in the agency agreement expired.
The term specified in the agency agreement expired.
What's providing legal advice to a client considered? A good habit Going above and beyond Great customer service The unauthorized practice of law
The unauthorized practice of law
The Shores are in the process of buying a beautiful 3,000-square-foot home from the Bishops. They've completed all the required paperwork on their loan application. Mary's analyzing the package to determine their ability to repay the loan. She examines the property's value, the property type, and the loan-to-value ratio, among other things. Her recommendation is that the Shores' loan application be approved. What is Mary's role? Member of the loan committee The seller The seller's real estate agent The underwriter
The underwriter
Which of the following statements is true about government loans? They originate in the secondary market. They're insured or guaranteed by a government agency. They're serviced by the U.S. Department of the Treasury. They're underwritten by the Federal Reserve.
They're insured or guaranteed by a government agency.
Wisconsin broker Stallone formed an oral agency agreement with buyer Debra. Which of the following is true of this situation? As long as there is a witness, an oral agreement is valid in Wisconsin. This agreement must be put in writing and include the property sales price to be valid. This agreement must be put in writing and signed by the parties after the sale. This agreement must be put in writing and signed by the parties to be valid.
This agreement must be put in writing and signed by the parties to be valid.
How many parties does a deed of trust involve? Five: borrower, lender, trustee, trustor, and beneficiary Four: borrower, lender, trustee, and trustor Three: borrower, lender, and trustee Two: borrower and lender
Three: borrower, lender, and trustee
Which of these Wisconsin licensees is NOT required to disclose a personal interest in the transaction? Dale is representing his firm in buying a new office space. Karen is selling her mother's home. Ken is selling his second home. Tiffany is selling her best friend's house.
Tiffany is selling her best friend's house.
What type of estate involves a piece of real estate that's owned by multiple unrelated individuals who, in addition to their ownership rights, each hold the right to occupy the dwelling unit in one- to two-week intervals during the year? Apartment Leasehold Lifetime Timeshare
Timeshare
Your buyer is worried that after she closes on her property, she'll find out someone else has a claim to its ownership. What can reassure her? Abstract of title Chain of title Title insurance Title search
Title insurance
How long must Wisconsin real estate firms maintain transaction records? Five years Four years Six years Two years
Two years
Which of the following is the most commonly used residential purchase offer in Wisconsin? WB-11, Residential Offer to Purchase WB-12, Farm Offer to Purchase WB-13, Vacant Land Offer to Purchase WB-14, Residential Condominium Offer to Purchase
WB-11, Residential Offer to Purchase
The shoreland zoning ordinances apply to all unincorporated land within 1,000 feet of a navigable lake, pond, or flowage, or within 300 feet of a navigable river or stream. On which Wisconsin form does the shoreline zoning ordinances provision appear? WB-1 WB-11 WB-13 WB-16
WB-13
Which of the following forms is the Vacant Land Offer to Purchase form in Wisconsin? WB-1 WB-11 WB-13 WB-4
WB-13
A Wisconsin licensee may modify the _____ in order to create an exclusive right to locate buyer agency/tenant representation agreement. WB-1 WB-2 WB-36 WB-4
WB-36
Which of the following approved forms is used to amend a Wisconsin purchase contract? WB-1 WB-31 WB-40 WB-41
WB-40
What information must be included in the WB-4 that isn't included in the Residential Listing Contract? A description of the property How commissions are earned Sellers' and agents' responsibilities Whether the property includes common elements
Whether the property includes common elements
Which of the following statements about multiple relationships with designated agency in Wisconsin is true? Clients agree to this kind of relationship when they sign the agency agreement. In this scenario, agents are not allowed to fulfill their duty of keeping any information confidential. This scenario is available to customers, but not to clients. Wisconsin allows it, but only if all parties to the transaction sign the proper disclosure form.
Wisconsin allows it, but only if all parties to the transaction sign the proper disclosure form.
Your buyer client Molly has rejected the possibility of a multiple representation relationship with designated agency. How can you now best advocate for her as the two of you proceed with the real estate transaction? By conferencing with the agent for the seller client about how best to meet Molly's needs. You can ask your brokerage to assign someone else in the firm as her agent. You can assist the seller client in finding a new agent. You can't advocate for her in this situation.
You can't advocate for her in this situation.
You're representing a buyer who wants to offer on a property you've just toured with her. Unfortunately, the seller's agent is someone you've encountered before, and you know he's a pain to work with. What can you do in this situation? Since you have cause to believe the other agent is an obstacle, you are allowed to request direct negotiation with the seller, but the request must be submitted in writing. The seller's agent can't prevent you from negotiating directly with his client as long as the client is willing. However, the seller may still owe his agent a commission. You may contact the seller directly as long as you have an agency agreement with a prospective buyer. You must negotiate with the other party's agent.
You must negotiate with the other party's agent.