140 test failed questions

Buyer is assuming the sellers homeowner insurance which the seller paid an annual premium of $156 on December 30th 1996 closing date is April 15 1997 the prorated amount will be a

$110.50 debit to the buyer and $110.50 credit to the seller

At closing on April 20th the buyer assumed $88,600 loan at 8% interest his next payment is due on may 1which of the following is true

$393.78 debit to seller and credit to buyer

A seller sold his home which of the following items would not be prorated

Earnest money deposit

A promissory note

Is primary evidence of a loan

Which is true regarding the responsibility of the mrec and the administrative hearing comminsion

The ahc must find the liscenes guilty before mrec revoke the license

The mrec has heard rumors that a broker is violating the law can the mrec investigate

yes, no complaint is necessary for the MREC to investigate

If the gross annual income from a property is $211,000 and the total expenses for the year are $97,300, what cap rate was used to obtain a valuation of $758,000?

15.0%

The sellers owned their home free and clear the buyer deed of trust was for $200,000 the interest rate for the buyers loan was 5.75% closing schedule for June 1st but the buyer will not make a payment until august 1 what should the entry be on the closing statement

958.34 debit to buyer

Earnest money deposit would be a

Credit to the buyer

Prorated items that represent prepaid expenses of the seller should be shown on the settlement statement as a

Credit to the seller and a debit to the buyer

A purchase money mortgage appears as a

Debit to the seller

A motel desk clerk gives the names of persons looking to purchase a home to a broker in exchange for a small fee. Which BEST describes the situation?

He would need a license since he was accepting compensation from a broker.

Would an appraiser adjust for area when using comparables located in the same area as the subject property?

No because area differences are already reflected in the comparables.

The unauthorized instrusion of a building improvement or other attachememt onto a neighboring land is all the following except

Permissible provided it is not intentional

Mr. and Mrs. Marvin live in a community property state. Which of the following would most likely be considered their community property?

Property purchased after they were married

An agent had a listing contract with a seller for $55,000. The agent then showed the home to a buyer who could go up to 55,000 price. The agent should

Tell the seller that the buyer can go up to $55,000.

An agent prequalified a prospect to determine finically ability prior to showing them a property when should the agent disclose her status as a licensee

The agent must give oral disclosure prior to obtain financial information

Seller falk lists his home for $40,000 and the broker tells the prosepective buyer to submit a lower offer because the seller is desperate the buyer offers $38,000 and the seller accepts in this situation

The broker violated the agency relationship

A complaint has been filed against a salesperson however the salesperson was in the process of switching to another broker which of the following is true regarding this situation

The complaint would get a written record of the salesperson answer to the compaint

The purpose of the truth in lending law is all reasons except

To help individuals consumers apply for commercial business loan

The owner of an aptarment building just signed a management contract with a real estate firm in this situation has an agency been formed

Yes because an agency is formed whenever one party delegates to another the right to act on their behalf in certain business transactions

A multiple listing clause in a listing

benefits both the broker and the seller

A salesperson sold a property. In the sales contract, the buyer agreed to assume obligation to pay the commission involved. From whom should the salesperson collect the commission.

broker

X, a single person, and Y, a single person, want to take title to a property. They want undivided interest. If one dies, the interst will be passed to the other. Which way of taking title will best suit them?

joint tenants with right of survivorship

The truth and lending law provides consumers with protection by

requiring disclosure of finance charges and annual percentage rates

A salesperson was asked by a firend to sell or lease his home. He must

sign a separate listing and property management agreement

An existing mortgage loan can have its lien priority lowered through the use of a

subordination agreement

After the sale, the buyer found an encroachment on the property. What could the buyer do?

sue for damages