California: Real Estate Principles Practice Exam 2-A

9 of 50 - Appraiser Jones appraises one-to-four unit residential properties, and non-residential properties with a transaction value up to $250,000. What is this appraiser's level? How many hours of appraiser education were completed? A. Residential License, 150 hours B. Certified Residential Real Estate Appraiser, 200 hours C. Certified Residential Real Estate Appraiser, 180 hours D. Certified General Real Estate Appraiser, 300 hours

B. Certified Residential Real Estate Appraiser, 200 hours

10 of 50 - When can a violation that hasn't happened yet be a violation? A. If the Commissioner believes that a person has or is about to commit a violation of law, order, license, permit, etc., the Commissioner has the authority to bring action against the person. B. It can never be a violation. A person has to commit, past or present tense, a violation to have actions filed. You cannot punish someone for something they have yet to do. C. The Commissioner can command in the name of the people of the State of California in the Superior court of the State of California, that the individual not continue with the violation or not move to commit the violation. D. Both A and C

D. Both A and C

19 of 50 - Which of the following conditions does not apply in converting a mobile home into real property? A. The homeowner must obtain a building permit. B. The home must be placed on a permanent foundation. C. The homeowner must obtain a Certificate of Occupancy. D. The homeowner is required to have a tag guaranteeing the mobile home's proper construction.

D. The homeowner is required to have a tag guaranteeing the mobile home's proper construction.

5 of 50 - What is the form of California State Real Estate licensing examinations? A. True or False Tests B. Essay Tests C. Multiple-Choice Tests D. All of the Above

C. Multiple-Choice Tests

14 of 50 - Due to the subdividing of lots on the lake, Jim's property is surrounded on three sides by Louise's property. The only other boundary is the lake. Jim can only get to his home by driving up Andrea's driveway and behind her lake home to get to his own. How was the easement in this situation created? A. Implication B. Reservation C. Necessity D. Expressed

C. Necessity

16 of 50 - Which of the following is not an exemption to the federal fair housing laws concerning age and family status? A. In a government-designated retirement housing. B. In a retirement community if 70% of the dwellings have one person who is 55 years of age or older, provided there are amenities for elderly residents. C. In residential dwellings of two to four units if one of the units is occupied by the owner. D. None of the Above.

B. In a retirement community if 70% of the dwellings have one person who is 55 years of age or older, provided there are amenities for elderly residents.

7 of 50 - Agent Green is faced with an ethical dilemma. He was present when two brokers were having an unethical discussion that could be considered collusion. He doesn't know if he should act as if it never happened, or report the incident to his broker. What steps should he employ when making this decision? A. Concentrate on the pertinent facts of the case. B. Think about who stands to gain and lose by his decision. C. Explore different solutions to the problem. D. All of the Above

D. All of the Above

20 of 50 - Agent Peters has qualified buyers to purchase a new home. Now he needs to qualify the property they wish to buy. He understands the human qualification process. Can you help Agent Peters with steps to qualify the property? A. Type of property and area zoning B. Location and Diversity of Neighborhood C. Value range and condition D. Both A and C

D. Both A and C

21 of 50 - In studying for her real estate license, Elise is reading about police power. She is confused and doesn't understand why law enforcement would have any role in real estate sales, transactions, and regulations. What does the term "police power" refer to in real estate? A. The constitutional right of the government to regulate private activity to promote the general safety, health, and welfare of society. B. Police power allows the government to seize land at their discretion or in reaction to zoning ordinance changes. C. Police power controls and directs land use regarding subdivisions. D. Both A and C

D. Both A and C

11 of 50 - Which of the following liens is both general, involuntary, and statutory? Which lien is specific, voluntary, and equitable? A. Judgment Lien; Property Tax Lien B. Income Tax Lien; Property Tax Lien C. Judgment Lien; Mechanic's Lien D. Income Tax Lien; Mortgage Lien

D. Income Tax Lien; Mortgage Lien

12 of 50 - Judy is the listing agent for the Brandts' home. In the inspection of their home, she discovers a few issues of concern. The basement is very damp and smells of mildew. Judy noticed what appeared to be mold on the interior walls of the lower level. She also saw what she believed to be their main line overflowing in the utility area of the basement. State the case that is responsible for broker's conducting a diligent inspection of properties they are listing or selling. A. Sherman v. Clayton B. Easton v. Strassburger C. Mello v. Roos D. Jones v. Mayer

B. Easton v. Strassburger

18 of 50 - Georgina sat for the examination about two weeks ago. She believes she passed with flying colors and checks her mail immediately upon arrival home for her results. Today, they arrived and, as she opened the envelope, she saw her test score. Did Georgina pass or fail? A. Georgina passed the examination. Failing scores are not revealed; only the information the examinee failed. B. Georgina failed the exam. The exam is qualifying by nature and if you pass, you pass; your score is irrelevant and is not revealed. C. There is no way to tell if Georgina passed or failed without knowing her actual score. D. None of the Above.

B. Georgina failed the exam. The exam is qualifying by nature and if you pass, you pass; your score is irrelevant and is not revealed

13 of 50 - Ken has just passed his licensing examination. However, he has been notified the CalBRE will not issue a full-term license. Ken is behind on child support payments and therefore has not complied with a court order to provide these payments. Will Ken ever be able to obtain his license? A. Ken will not be eligible for a license until he has been current on all child support payments for a minimum of 150 days. B. Ken may be issued a 150-day temporary license while he is on the list of child support obligors. Only one 150-day temporary license may be issued. His full-term license may be issued if a release is obtained from the district attorney's office during the 150-day temporary period. C. Ken must clear his name and pay his support on time for a minimum of six months to be eligible to receive a full-term license. D. None of the Above.

B. Ken may be issued a 150-day temporary license while he is on the list of child support obligors. Only one 150-day temporary license may be issued. His full-term license may be issued if a release is obtained from the district attorney's office during the 150-day temporary period.

4 of 50 - The continuing education requirement in California is ____________hours every __________ years. A. 45, six B. 40, five C. 45, four D. 6, four

C. 45, four

24 of 50 - Deanna is buying one of Kay's fur coats and several handbags. They are old friends and sometimes purchase each other's items instead of selling to a consignment shop. Deanna agrees to pay Kay $650.00 for the items, writes a check, and collects her purchased items. Is this transaction legitimate? A. Yes, it is a private transaction between two adults where both are in agreement of the terms. B. No, in the State of California, an agreement for the sale of real property must be in writing if the amount or value of the property exceeds $500.00. C. No, in the State of California, an agreement for the sale of personal property must be in writing if the amount or value of the property exceeds $500.00. D. No, in the State of California, an agreement for the sale of personal property must be in writing if the amount or value of the property exceeds $600.00.

C. No, in the State of California, an agreement for the sale of personal property must be in writing if the amount or value of the property exceeds $500.00.

25 of 50 - Which of the following is not a prohibited escrow-related activity? A. An escrow agent cannot disburse a real estate broker's commission prior to closing of the escrow. B. Escrow licensees may not solicit or accept escrow instructions containing any blank to be filled in after signing or initialing. C. They may not permit, under any condition, any person to make any addition, deletion, or alteration of an escrow instruction. D. None of the Above.

C. They may not permit, under any condition, any person to make any addition, deletion, or alteration of an escrow instruction.

1 of 50 - Ensuring consumers are fully informed of all finance changes and aware of the true annual interest rate are requirements of which regulation? A. Article 7 B. RESPA C. Truth in Lending D. Uniform Settlement Statement

C. Truth in Lending

22 of 50 - Agent Simpson tells residents of a neighborhood that minorities are moving into the neighborhood, and property values are sure to plummet. Simpson goes on to say, "resale values will suffer, the neighborhood will deteriorate, and if they don't sell their homes now, they will lose money." What form of illegal discrimination is Agent Simpson practicing? A. Blockbusting B. Redlining C. Steering D. Discriminatory Misrepresentation

A. Blockbusting

8 of 50 - XYZ Corporation is interested in a piece of land for development. They are selling off a bit of company stock to buy the property without any debt. Is XYZ's sale of stock considered a form of financing? A. It is actually considered a mortgage financing alternative. B. NO, it is not considered a form of financing. C. No, it is simply paying for land with cash proceeds. D. None of the Above.

A. It is actually considered a mortgage financing alternative.

3 of 50 - Elliot has misrepresented himself by acting in the capacity of a real estate salesperson without being licensed by the State of California. Elliot had his license revoked three years ago for unethical actions. Elliot is guilty of what level of violation? A. Misdemeanor B. Felony C. Held accountable in a possible civil suit. D. Both B and C

A. Misdemeanor

17 of 50 - Carol is studying for the California real estate license examination. She knows she has to know all areas covered in the examination extremely well to pass. Which portion of the examination, approximately, makes up the largest portion of the test? A. Practice of Real Estate and Mandated Disclosures B. Contracts C. Transfer of Property D. Financing

A. Practice of Real Estate and Mandated Disclosures

15 of 50 - What are the types of legal life estates? A. Dower, a husband's interest in his wife's property; Curtesy, a wife's interest in the husband's property; and Homestead, protection against unsecured debts for the party that did not sign the loan. B. Dower, a wife's interest in the husband's property; Curtesy, a husband's interest in a wife's property; and Homestead, protection against all debts for the party who did not sign for the loan. C. Dower, a wife's interest in the husband's property; Curtesy, a husband's interest in a wife's property; and Homestead, protection against unsecured debts for the party who did not sign for the loan. D. Marital rights, both a husband's and a wife's interest in the spouse's property; and Homestead, protection against unsecured debts for the party who did not sign for the loan.

C. Dower, a wife's interest in the husband's property; Curtesy, a husband's interest in a wife's property; and Homestead, protection against unsecured debts for the party who did not sign for the loan.

2 of 50 - Patrice and Cornell are completing a sales contract with Mary, their agent. The sales contract used at Mary's brokerage is preprinted. Mary, as a senior agent, has the authority to waive one of the brokerage's fees. The fee is explained and preprinted on the contract. Mary simply crosses it out, writes "waived," and both parties initial. Which overrules the other? The preprinted or handwritten portions of the contract? A. The preprinted portions of a contract always take precedence over handwritten. B. It depends on the portion of the contract and the language involved. C. Handwritten portions of real estate contracts always supersede preprinted forms. D. None of the Above.

C. Handwritten portions of real estate contracts always supersede preprinted forms.

23 of 50 - Kim, Chris, and Beth are all partners in a cosmetics firm. Kim is leaving the partnership and wants to sell her shares of the business, including the property owned by the partnership, to Chris and Beth. The three partners own the property with the right of survivorship should one or more of them die. The remaining partners are not interested in buying Kim's interests. Kim has been unable to find a buyer for her share of the partnership. She has now resorted to asking the court to either sell her shares or sell the entire property. What form of concurrent ownership applies? A. Partition B. Tenants in Common C. Joint Tenancy D. Separate Ownership

C. Joint Tenancy

6 of 50 - Which of the following listing agreements is illegal in most states? A. Open Listing B. Exclusive Agency Listing C. Net Listing D. Agency Coupled with Interest

C. Net Listing