STATE PRACTICE EXAM (83)

You've helped your buyer prepare a temporary residential lease and have just learned that the lease must be extended beyond 90 days. What should you do?

Consult your broker. $ Licensees may not assist with drafting temporary leases for longer than 90 days. You would ask your client to have an attorney prepare the lease. If a temporary lease must be extended beyond the maximum of 90 days, consult your broker.

Question 25 Brad, a Texas license holder, is acting on behalf of his brother, Ben, who's selling his home. Is Brad required to provide a written license holder disclosure notice to the other party in the transaction?

No, because license holder disclosure is not required when acting on behalf of siblings. $ Texas licensees are REQUIRED only to disclose that they're acting on behalf of themselves or their parents or children. While it's recommended a licensee disclose that he's acting on a sibling's behalf, this disclosure isn't required by Texas law.

Calista is in the process of evicting one of her tenants. As part of the actual eviction process, she must file a suit for possession in the local justice of peace court. What is another name for this type of suit?

Forcible detainer suit $

What's the maximum urban homestead size in Texas?

10 acres $

Question 5 The commission can impose up to a maximum of how much per violation of TRELA?

$5,000 $

Question 27 Which of the following statements about agency by ratification in Texas is true?

Agency by ratification is permitted in Texas. $

Under the rules relating to contract forms of TRELA, what must a listing agent do?

Inform the parties of a real estate transaction that commissions are negotiable. $

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 $

Question 28 Melanie is helping her clients, Steve and Monica, who are purchasing a brand new home. Steve and Monica love their home and its half-acre of property, but wish they'd had a chance to pick out the flooring. Who uses orange shag carpeting anymore? What form should Melanie use to write up Steve and Monica's offer?

New Home Contract (Completed Construction) $ Once construction is complete, the correct form is the New Home Contract (Completed Construction). A half-acre property is neither a farm nor a ranch.

Who must disclose the fact that a Texas transaction will be part of a 1031 exchange?

Party doing the exchange $ The party who will be doing the exchange must disclose this to the other party. The disclosure may be included in the Special Provisions section of the sales contract, or through other contractual documents.

Any business that has violated the Texas Anti-Spam law can expect to ______.

Pay both civil penalties and liabilities $

Question 26 To whom are licensees in Texas required to give the Information About Brokerage Services (IABS) form?

Prospective clients $ Texas law requires licensees to present prospective clients (buyers, tenants, sellers, and landlords) and customers with the IABS form.

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

Specify the protected class that was discriminated against $ Complaints must specify the protected class that was discriminated against and identify the harm caused by the action.

Question 16 Calvin is talking with his study group about their upcoming licensing exam. They are discussing how far in advance they need to make a reservation. Which member of the group is correct in their understanding?

Sylvia, who says they need to make their reservation 24 hours in advance. $

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

The Yothers only $ You are required to make an agency disclosure to the parties involved in the transaction whom you do not represent. In this scenario, that's the Yothers. Mr. Steele is not part of the transaction.

Veteran Shirley Beckles is seeking VA-guaranteed financing to purchase a three-bedroom, two-bath home in Dallas. Which addendum will she need to include in the TREC residential One to Four Family (resale) contract?

Third Party Financing Addendum $

Which of the following is an allowable referral gift a license holder may give to an unlicensed person?

A $25 bouquet of flowers $ Under TREC Rule �535.20, an unlicensed person (including a 501(c)(3) entity) cannot be paid cash in exchange for a referral. Only a gift of merchandise having a value of $50 or less may be given.

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

Five $ The seven members of the committee who are real estate professionals must have been actively engaged in the practice of real estate for at least five years before appointment.