Comprehensive 3
A $7,000 loan with a straight note earns interest of $210 in 90 days. The annual percentage return is: Select one: a. 14% b. 12% c. 11% d. 9%
12%
The shortest distance between Section 5 and Section 32 of the same township would be: Select one: a. 4 miles b. 5 miles c. 6 miles d. 7 miles
4 miles
A landlord who wishes to show a party a leased apartment may do so with notice of: Select one: a. 48 hours b. 96 hours c. 24 hours d. 72 hours
48 hours
The S1/2 of NW1/4 of SE1/4 of NW1/4 of a section contains: Select one: a. 5 acres b. 1 ¼ acres c. 2 ½ acres d. 10 acres
5 acres
Which of the following is NOT required for a real estate salesperson's license in Arizona? Select one: a. Minimum age. b. Pass an examination. c. 90 hours of education d. 90 days residence in Arizona
90 days residence in Arizona
A mortgage with more than one property as security is: Select one: a. An open end mortgage b. A blanket mortgage c. A second mortgage d. A straight mortgage
A blanket mortgage
When real property is conveyed by will, it is known as: Select one: a. A legacy b. A bequest c. A gift d. A devise
A devise
A deed wherein the grantor will defend against any claims made against the title is: Select one: a. A bargain and sale deed b. A gift deed c. A special warranty deed d. A general warranty deed
A general warranty deed
In Arizona, the deed most commonly given to buyers by a seller is: Select one: a. A general warranty deed b. A special warranty deed c. A quit claim deed d. A bargain and sale deed
A general warranty deed
Which of the following persons would be unable to obtain money by petition from the Recovery Fund? Select one: a. A seller of a house b. A buyer in a subdivision c. A licensee d. A mortgagor
A licensee
An easement created through continued use of a property is called: Select one: a. Incorporeal easement b. A prescriptive easement c. Adverse possession d. Squatter's rights
A prescriptive easement
The forfeiture period on a land contract is: Select one: a. A specific statutory period of time b. 90 days after constructive notice c. A reinstatement period as agreed by the parties d. Six months after written notice
A specific statutory period of time
A person who buys undeveloped acreage, divides into ten 5-acre lots, and sells the lots is: Select one: a. A speculator b. A subdivider c. A land developer d. A city planner
A subdivider
Which one of the following persons is universally exempt from the real estate licensing law: Select one: a. A salesperson employed by a builder b. A trustee in bankruptcy c. A person employed to sell subdivision lots d. A person handling leases only
A trustee in bankruptcy
When community property is to be divided because of a divorce, the husband or wife may file an action in court for a: Select one: a. A writ of partition b. Survivors advantage claim c. A right of deserving spouse claim d. A writ of no excuse
A writ of partition
A listing salesperson should do all of the following EXCEPT: Select one: a. Verify factual information about the property provided by the seller b. Advise the seller that known property defects must be reveled to prospective buyers c. Advise prospective buyers of the lowest price the seller will accept d. Review local zoning laws that affect the property
Advise prospective buyers of the lowest price the seller will accept
What is the priority of property tax liens? Select one: a. Earliest date recorded b. After IRS liens c. After the homestead exemption d. Always in first position
Always in first position
The key tenant in a shopping center, essential to attracting satellite stores is called: Select one: a. An anchor tenant b. A tenant at will c. A turnkey tenant d. A holdover tenant
An anchor tenant
One's ownership interest in a condominium is distinguishable from other types of real estate by: Select one: a. A divided interest in limited common areas b. An undivided interest in common area c. A divided interest in common area d. An undivided interest in the master deed areas
An undivided interest in common area
Which of the following is NOT true regarding a property management trust account? Select one: a. An unlicensed employee of a property management firm may not sign checks on the property management trust account. b. A salesperson can be a signer on the trust account c. A licensed salesperson signer may sign checks paying maintenance fees d. Multiple properties can be in one trust account
An unlicensed employee of a property management firm may not sign checks on the property management trust account.
A licensee may not charge for document preparation as a result of which of the following? Select one: a. Arizona Constitution-Article XXVI b. Arizona Statutes-Title 32 c. Uniform Agency Code (UAC) d. Commissioner's Rules and Regulations
Arizona Constitution-Article XXVI
A false statement or misrepresentation by a seller or advertiser of real estate could result in a consumer fraud action pursuant to: Select one: a. RESPA b. CERCLA c. Regulation Z d. Arizona Consumer Fraud Protection Statutes
Arizona Consumer Fraud Protection Statutes
All listings must be in writing according to: Select one: a. Arizona Constitution b. Federal Fair Housing Statutes c. Common Law d. Arizona Revised Statutes
Arizona Revised Statutes
A Public Report will NOT be issued if a subdivider in an AMA cannot show the ability to provide: Select one: a. Perfect title b. Assured water supply c. Paved roads d. Mineral rights
Assured water supply
The Affidavit of Disclosure shall be recorded by the seller: Select one: a. When it is delivered to the buyer b. At the same time that the deed is recorded. c. Within seven days after delivery d. Within five days after delivery
At the same time that the deed is recorded.
Which is NOT terminate a homestead exemption? Select one: a. Buying an additional property b. Selling the property c. Moving out of the property d. Filing an abandonment of homestead
Buying an additional property
A defeasance clause in a deed of trust allows for: Select one: a. The trustee to foreclose b. Protection of the lender against forgery c. Non-assumability of the loan d. Cancellation of lender's claim upon full repayment of the note
Cancellation of lender's claim upon full repayment of the note
The purchaser at a tax sale receives a: Select one: a. Treasurer's Deed b. Certificate of sale c. Certificate of Title d. Certificate of Purchase
Certificate of Purchase
When taxes are prorated on a closing statement, which of the following statements is true? Select one: a. Charged to the seller, credited to the buyer b. Charged to the buyer only c. Charged ½ to the buyer and ½ to the seller d. Charges to the buyer, credited to the seller
Charged to the seller, credited to the buyer
A metes and bounds description MUST: Select one: a. Cover an area larger than 10 acres b. Always use north as the basis for directions c. Commence and finish at the same identifiable point d. Be in an area not included in the rectangular survey system
Commence and finish at the same identifiable point
Angie Hobson, a married woman, and Todd Green, a single man, may NOT own real estate as: Select one: a. Community property b. Tenants in common c. Joint tenants d. As remainder devisees
Community property
Most offers to purchase are received from husband and wife. That being the case, title will pass at one time, by one deed with 50-50 interests and possession is deemed to be an undivided interest in the entire property. In the absence of any particular designation as to type of title taken, Arizona will consider the title to pass as: Select one: a. Joint tenants b. Tenants by the entireties c. Community property d. Tenants in common
Community property
Time-sharing is associated with which of the following? Select one: a. Profits b. Joint ventures c. Condominiums d. Cooperatives
Condominiums
Anything of value given to induce a party into entering a contract is: Select one: a. Earnest money b. Bribery c. Consideration d. Sweat equity
Consideration
The Commissioner has the power to do all of the following EXCEPT: Select one: a. Prescribe rules and regulations b. Examine broker's office records c. Create real estate statutes d. Investigate signed written complaints
Create real estate statutes
Title to real property is transferred when a valid deed is: Select one: a. Signed b. Escrowed c. Recorded d. Delivered
Delivered
In Arizona, environmental laws are regulated by the: Select one: a. Department of Water Resources b. Department of Environmental Quality c. Department of Real Estate d. Secretary of State
Department of Environmental Quality
The money that the salesperson receives from the buyer as an escrow deposit should be: Select one: a. Held by the salesperson until escrow closes b. Deposited in the broker's trust account c. Deposited in the escrow agency trust account d. Given to the seller
Deposited in the escrow agency trust account
Forcing a tenant to pay rent by seizing the leased premises and the personal property inside is called: Select one: a. Seizure b. Acceleration c. Distraint d. Subrogation
Distraint
A tract of land benefited by an easement is called a/an: Select one: a. Appurtenant estate b. Servient estate c. Dominant estate d. Estate in gross
Dominant estate
A right of way across an adjoining property for purposes of ingress and egress is considered a/an: Select one: a. Easement appurtenant b. Easement in gross c. Party easement d. License
Easement appurtenant
Which of the following may a broker disclose to a prospective purchaser without permission? Select one: a. What the owner originally paid for the property b. Reasons why the seller must sell now c. An amount that the owner will actually accept d. Factual reasons why the property is not desirable
Factual reasons why the property is not desirable
If a man and his wife are the owner of real estate in joint tenancy, the kind of title or estate the wife would receive in the event of the death of her husband is a: Select one: a. Fee simple estate b. Dower estate c. Life estate d. Remainder estate
Fee simple estate
Simon, a tenant in an apartment building owned by Rebecca, has not paid his rent for two months. Rebecca has served Simon with a notice that action will be taken to collect damages due to his illegal possession. How long must Rebecca wait after serving the notice before she can file legal suit to evict Simon? Select one: a. Ten days b. Five days c. Seven days d. Three days
Five days
In a mortgage foreclosure, when the holder of the certificate of sale files for abandonment, the statutory redemption period is reduced by: Select one: a. 60 days b. Five months c. Six months d. 30 days
Five months
The Arizona reinstatement period for a vendee under a land contract is: Select one: a. 90 days b. 120 days c. 270 days d. From 30 days to 270 days depending on the vendee's equity.
From 30 days to 270 days depending on the vendee's equity.
In order to accept compensation from both the buyer and the seller, a broker MUST: Select one: a. Disclose that he is licensed agent b. Have a listing agreement c. Have written permission from both parties
Have written permission from both parties
A buyer of a Unit in a condominium must be provided certain disclosures described in the Arizona Revised Statutes. In a condominium project with 50 Unites the disclosures are required by law to be provided by the: Select one: a. Homeowners Association b. Real Estate Broker for Seller c. Seller d. Real Estate Broker for Buyer
Homeowners Association
Blind ads do NOT: Select one: a. Provide the name of the owner b. Indicate that the advertiser is an agent c. Give the price of the property d. Provide the property address.
Indicate that the advertiser is an agent
A transaction closed on February 15, 2015 and the buyer does not record the deed until April 24, 2015. A judgment for $12,000 is filed against the grantor on April 19, 2015. The judgment: Select one: a. Is invailid against the property b. Constitutes judgment inchoate c. Is a judgment reversion d. Is a lien against the property
Is a lien against the property
All of the following statements about a unit in a condominium building are true EXCEPT: Select one: a. It is assessed for real estate tax purposes b. It can be individually mortgaged. c. It is part of the common elements of the condominium. d. It is eligible for title insurance as a separate piece of property
It is part of the common elements of the condominium
Tom, a salesperson, has a listing that sells and the closing is scheduled in two weeks. John, Tom's broker, receives disciplinary action from the Real Estate Commissioner for a prior act and has his license suspended. What happens now? Select one: a. John and Tom are not entitled to a commission b. John and Tom are both entitled to a full commission c. John is not entitles to a commission but Tom is entitled d. John and Tom will be entitled to commissions if John's license is reinstated
John and Tom are both entitled to a full commission
A broker, in dealing with the public, may NOT: Select one: a. Negotiate different commissions with different owners b. Accept a commission from both seller and buyer c. Take an option on a listing d. Keep silent about a material fact related to the transaction
Keep silent about a material fact related to the transaction
Which of the following provides the exclusive right of possession and control of real estate? Select one: a. Leasehold b. Encumbrance c. Easement d. License
Leasehold
When a license is issued to a corporation, the designated broker must be: Select one: a. All officers of the corporation b. The corporation president c. One officer of the corporation d. The sales manager of the corporation
One officer of the corporation
A broker receives an oral offer over the telephone. The broker should: Select one: a. Tell the buyer that oral offers are not legal b. Present the oral offer c. Refuse to present it until he has the earnest money deposit d. Refuse to present the offer until it is in writing
Present the oral offer
When a salesperson receives earnest money and assuming there are no specific written instructions to the contrary, he should: Select one: a. Keep his commission and give the balance to the broker b. Promptly turn all earnest money over to his broker c. Deposit it into his broker's trust account d. Place it in his trust account
Promptly turn all earnest money over to his broker
A mechanic's lien is NOT available to a person who: Select one: a. Graded the site for construction b. Performed labor under a subcontract rather than a direct contract with the owner c. Supplied the lumber but did not perform any labor d. Provided the furniture for a model house
Provided the furniture for a model house
A property manager may NOT receive which of the following: Select one: a. Monthly management fee b. Reimbursement for out of pocket expenses c. Rebates from suppliers d. Free rent on an apartment unit
Rebates from suppliers
A salesperson receives an offer on a property of another listing broker. The salesperson is unable to reach the listing broker or his/her representatives within 24 hours. What must he do to submit the offer? Select one: a. Hold the offer until he can contact the listing broker b. Request written authorization from the seller to present the offer c. Mail the offer back to the prospective buyer d. Submit the offer to the seller immediately, in any event
Request written authorization from the seller to present the offer
Regarding water usage, which of the following does NOT apply to Arizona? Select one: a. Riparian rights b. Reasonable use c. Prior appropriation d. Surface water permit
Riparian rights
The rights of the owner of property along the banks of a stream or river are called: Select one: a. Hereditament b. Avulsion c. Littoral rights d. Riparian rights
Riparian rights
"A" sells property on which a recorded easement exists. "A" makes no mention of the easement during negotiations. Therefore, the easement: Select one: a. Terminates b. Remains with the seller c. Reverts to whoever created it d. Runs with the land
Runs with the land
In a subagency, the selling salesperson is responsible to the: Select one: a. Selling broker b. Buyer c. Listing broker d. Seller
Selling broker
Which of the following acts is NOT an example of constructive eviction? Select one: a. Discontinuing required utilities b. Making constant unnecessary repairs that interfere with the tenant's quiet enjoyment of the premises c. Serving the tenant with an unlawful detainer action d. Making modifications that make the property unsuitable for the purpose it was rented.
Serving the tenant with an unlawful detainer action
The type of sale that is held under a judicial foreclosure is: Select one: a. Voluntary b. Sheriff's c. Trustee's d. Treasure's
Sheriff's
A valid deed does NOT require: Select one: a. Legal description of the property b. Grantor with legal capacity c. Statement of consideration d. Signature of the grantee
Signature of the grantee
The statutory redemption period following a mortgage foreclosure is: Select one: a. 30 days b. 90 days c. Six months d. Six weeks
Six months
Which of the following MUST be included in an Arizona real estate purchase contract? Select one: a. Statement as to the form of the earnest money deposit b. Statement regarding the proration settlement between buyer and seller c. Statement as to how title will be taken d. Notarized signatures of the buyer and seller
Statement as to the form of the earnest money deposit
The only thing a subdivider can do relative to lot sales before receiving the Public Report is: Select one: a. Take lot reservations b. Sell option contracts c. Accept earnest money deposits d. Sell estates of inheritance
Take lot reservations
If your license expires, it is: Select one: a. Automatically reinstated for 30 days b. Automatically reinstated for 6 months c. Automatically reinstated for one year d. Terminated
Terminated
Licensed real estate brokers are given authority to draw those documents necessary in the course of their work by: Select one: a. The Commissioner's Rules and Regulations b. A decision of the Arizona Supreme Court c. The Real Estate Code d. The Arizona Constitution
The Arizona Constitution
A temporary broker license can be obtained by another party for all of the following reasons, EXCEPT: Select one: a. The broker is on an extended vacation b. The broker is injured c. The broker is declared insane d. The broker dies
The broker is on an extended vacation
A general contractor records a mechanic's lien. Priority of the lien is established as of: Select one: a. The day it is recorded b. The date the contract was signed c. The day the work began d. The date the work was completed
The day the work began
An owner gives the broker and exclusive agency listing. The owner's friend, a salesperson in another area of the state, sells the property. The owner pays his friend a commission. Which of the following statements is true? Select one: a. The listing broker must share the commission with the owner's friend b. The listing broker may file an estoppel certificate to unwind the transaction c. The listing broker cannot collect a commission d. The listing broker can collect a full commission
The listing broker can collect a full commission
The Commissioner may deny a public report for all of the following reasons, EXCEPT: Select one: a. The owner can not produce marketable title b. The owners have previously declared bankruptcy c. The property has no ingress or egress d. The owner can not produce perfect title
The owner can not produce perfect title
All of the following can be used in a developer's public report advertisement EXCEPT: Select one: a. Names and past history of the owners b. Future plans for the general area c. The public report is an endorsement of the project d. Specific prices
The public report is an endorsement of the project
Who may accept a commission from an out of state broker? Select one: a. The referring salesperson b. The referring broker c. An unlicensed property manager d. Any individual who made the referral
The referring broker
How long does the buyer have the right to void the contract for the purchase of subdivided land if the buyer did not receive a Public Report prior to signing? Select one: a. Seven days b. 30 days c. Three years d. One year
Three years
The priority of mortgages in relation to each other is based on which of the following? Select one: a. Time of recording b. Time of execution c. Time of acknowledgement d. Time of delivery
Time of recording
Evidence of ownership which refers to the quality of the estate is: Select one: a. Equity b. Title c. Leasehold d. Mortgage
Title
The difference between prescription and adverse possession is: Select one: a. Hostile use of the property b. Title to the property c. Only time is given to adverse possession d. Permission is given for prescription
Title to the property
Who would sign a deed of reconveyance? Select one: a. Trustor b. Trustee c. Grantor d. Beneficiary
Trustee
The Arizona "Mini-Superfund" that establishes liability for remediation of water supply damages is Select one: a. CERCLA b. WQARF c. HUD d. RESPA
WQARF
When could a person receive legal title to the property under an Agreement for Sale? Select one: a. When the agreement is recorded b. When the last payment is made c. Upon paying 30% of the purchase price with 20 day notice to vendor d. After paying 50% of the purchase price
When the last payment is made
Rank the following liens in the order of their priority from highest to lowest. IRS lien, property tax, special assessment. Select one: a. property taxes, IRS liens, special assessments b. IRS lien, special assessments, property taxes c. IRS lien, property taxes, special assessments d. property taxes, special assessments, IRS liens
property taxes, special assessments, IRS liens
An owner occupied residential property with a limited cash value at $345,000 that is assessed for tax purposes at the prescribed rate with the tax rate at $9.50 per $100 of assessed value would have annual property taxes of: Select one: a. $6,555.00 b. $3,277.50 c. $32,775.00 d. $1,638.75
$3,277.50
A buyer is to assume a seller's existing loan with an outstanding balance of $120,000 as of the date of closing. The interest rate is 9% and payments are made in arrears with the last payment made on October 1. Closing is set for October 11. What will be the entry in the seller's closing statement? Select one: a. $300 credit b. $900 debit c. $300 debit d. $900 credit
$300 debit
On February 1, a mortgagor makes a $638 monthly payment on her mortgage, which has an interest rate of 10%. The mortgagee allocates $500 to the payment of interest. What is the principal balance due on the mortgage on February 2? Select one: a. $63,850 b. $63,662 c. $59,862 d. $60,000
$59,862
The owner of a rectangular unimproved parcel of land measuring 600 feet in width by 145.2 feet in depth was offered $150 per front foot or $40,000 per acre. What is the amount of the higher offer? Select one: a. $121,780 b. $80,000 c. $90,000 d. $81,880
$90,000
