National Exam #2
Breanna signed a purchase offer stating she'd buy Kathy's home for $150,000. Kathy rejected that offer but said she'd sell it to Breanna for $200,000. Breanna agreed to these terms, and they added their signatures. Which of the following statements is correct? Breanna accepted the offer Kathy made. Kathy accepted the offer Breanna made. The contract is invalid. The contract is valid but unenforceable.
Breanna accepted the offer Kathy made.
Matt is a developer who's obtained a permit that he must post on the job site. Which entity inspects the various phases of his work and signs off on the permit? Appraisers Building department inspectors Other builders The plumber's union
Building department inspectors
If your clients are in a competitive bidding situation and want to include multiple contingencies in their offer, what should you say to them? "Contingencies kill deals." "Great idea. This will help our offer stand out." "Let's evaluate which contingencies matter most to you and consider omitting the rest." "To be competitive, you should remove all contingencies."
"Let's evaluate which contingencies matter most to you and consider omitting the rest."
Which one of Gerry's statements to a client crosses the line into unauthorized practice of law? -"I'd encourage you to have an expert look at the exceptions on your title insurance commitment." -"Most couples take ownership of property as joint tenants, so that's what I'd advise." -"The contingency clauses in your contract give you options to terminate the contract if, for example, your financing falls through." -"We can add the brokerage firm's standard language into the 'additional provisions' section to cover what you're suggesting."
"Most couples take ownership of property as joint tenants, so that's what I'd advise."
Nico is buying a home for $625,000. His earnest money deposit is 8%. He wants to avoid private mortgage insurance (PMI) on his conventional loan, and he owes 5% of the purchase price in closing costs. How much money should he bring to closing? $106,250 $156,250 $31,250 $81,250
$106,250 Conventional loans often require 20% down to avoid PMI ($125,000), and Nico has paid a $50,000 deposit ($625,000 x .08). Closing costs are $31,250 ($625,000 x .05). He needs $106,250 to close ([$125,000 - $50,000] + $31,250).
Gabi owns one parcel measuring one square mile and another parcel measuring one mile by a half mile. She combined the parcels and sold them for $2.5 million. What price per acre did she receive for the land? $1,953.13 $2,604.17 $3,125.00 $3,906.25
$2,604.17 Since we know that one square mile is 640 acres, we can convert each parcel to acres. The first parcel is 640 acres (one square mile). The second parcel is half that size (1 mile x 1/2 mile), or 320 acres. Thus, the total acreage is 960. Divide the sales price by the total acreage (2,500,000 ÷ 960), or $2,604.17.
Lorena and Julio purchased a home for $205,950. Their loan amount was $164,760, and the assessed value is now $200,500. Their tax rate is 1.5%. How much will their monthly taxes be? $111.04 $191.37 $250.62 $86.49
$250.62
Your buyer client Heather just signed a purchase agreement for a $520,000 home. The LTVR is 60%. How much is Heather putting down on the purchase? $208,000 $220,000 $300,000 $312,000
$312,000 A 60% LTVR means that Heather is financing 60% of her purchase and putting down 40%. Forty percent of $520,000 is $208,000 ($520,000 x 0.40).
Almanzo is buying a horse farm for $695,000 and put down 15% in earnest money. His closing costs and down payment total $139,000. How much will he need to bring to closing? $20,850 $29,750 $34,750 $39,000
$34,750
Kelly is purchasing a property that has an assessed value of $160,000. If the tax rate is 2.5%, what will Kelly likely pay annually in property taxes? $160 $400 $4,000 $40,000
$4,000
A local buyer is purchasing a property for $120,000. What will the seller pay in transfer tax if the rate is $.37 per $100? $370 $3,700 $4,400 $444
$444
Whitney and Justin are about to close on their refinance, and their loan amount is $362,000. They are paying a 1.5% origination fee. How much will their origination fee be? $1,500 $5,100 $5,430 $6,200
$5,430
Alistair bought a townhouse for $285,900. He got a 90% loan and the lender charged him 3-1/2 discount points. How much did Alistair pay in discount points? $1,000.65 $10,006.50 $9,005.85 $9,585.00
$9,005.85. The sales price is $285,900, and 90% of that (aka our loan amount) is $257,310. The discount amount is 3-1/2 points, (.035) multiplied by $257,310 = $9,005.85.
Which statement accurately describes an abstract of title? -An abstract of title documents a property's chain of title. -A title company representative must certify the abstract of title. -The chain of title documents the information found during the title abstract process. -Title abstracts provide data for the title company's title search.
-An abstract of title documents a property's chain of title.
Even though the Federal Trade Commission is concerned with all ad claims, what sort of ads would most likely concern the commission? -Ads for products that don't offer any specific value to consumers -Ads making exaggerated claims most reasonable consumers wouldn't believe -Any ad that is demonstrably false -Any ad that makes a health or safety claim or any claim that's difficult for the consumer to evaluate
-Any ad that makes a health or safety claim or any claim that's difficult for the consumer to evaluate The FTC is concerned with all ad claims, but it's most concerned by any ad that makes a health or safety claim or any claim that is difficult for the consumer to evaluate.
Which of the following is true about the security of your clients' information? -Client data can be compromised if the brokerage's computer system is compromised. -Data security is one-size-fits-all. -Poor record retention ensures data security. -There is nothing a licensee can do to safeguard client data.
-Client data can be compromised if the brokerage's computer system is compromised.
How many acres are in a parcel described as, "The E 1/2 SE 1/4 NE 1/4 Section 3, Township 4 North, Range 2 East of the 6th PM"? 160 20 40 80
20 This legal description defines half of a quarter-quarter section. A quarter-quarter section is 40 acres; half of a quarter-quarter section is 20 acres. Alternatively, multiply the three fractions' denominators (2 × 4 × 4) and divide into 640 (640 ÷ 32 = 20).
The Simpsons are buying a five-acre lot that was part of a much larger tract of acreage. When the owners of the large acreage decided to subdivide it, they needed to have a legal description created for the five-acre lot. What was used as the starting point for creating that legal description? A benchmark A plat map A survey Metes
A survey
Stacy has gone into default on her mortgage. Her lender is demanding that the entire loan balance be paid in full. Which mortgage clause permits her lender to do this? Acceleration Alienation Defeasance Due-on-sale
Acceleration
What does the Federal Trade Commission consider to be an unfair ad? -Any ad or business practice that causes or is likely to cause injury -Any ad that is likely to mislead consumers acting reasonably under the circumstances -Any ad that makes a health claim -Any ad with a claim that's difficult to evaluate
Any ad or business practice that causes or is likely to cause injury
Which one of these is an example of the doctrine of estoppel? -Corrie shows Marvin several properties and prepares CMAs for each. She assists him in making an offer on one. He becomes difficult to work with, and she then says she's not his agent because they don't have a signed agency agreement. -Josie represents Carmine in his search for a rural property. Josie shows Carmine a property that's perfect, but she never hears from Carmine again. She then discovers that Carmine bought the property directly from the seller. -Roark tells all his buddies at coffee that he's getting $600 a month rent out of his old barn. His best friend just shakes his head, knowing that Roark is only getting half that amount. -Tonya tells Kinsey that she's a licensed agent and proceeds to represent Kinsey as a buyer's agent. Kinsey later discovers that Tonya isn't licensed.
Corrie shows Marvin several properties and prepares CMAs for each. She assists him in making an offer on one. He becomes difficult to work with, and she then says she's not his agent because they don't have a signed agency agreement. The doctrine of estoppel prevents individuals from making an assertion or claim, even by actions or behavior, and later denying it.
Don and Becky realized too late that the contract they signed for the sale of their home didn't include any language about a rent-back if the home they're building isn't ready in time. What can their listing agent do? Create a contract addendum with the required language. Create a contract amendment with the required language. Create a counter-offer to present to the buyers. Terminate the contract on Becky and Don's behalf.
Create a contract amendment with the required language. Once a contract is signed, the document to use to alter the terms is a contract amendment.
What are the two types of physical depreciation? Curable and incurable Economic and material Internal and external Qualitative and quantitative
Curable and incurable
Callum is working with Darby, who received an honorable discharge from the Air Force. Callum is preparing to discuss options for down payment assistance with Darby. Which of the following would be Callum's best resource for information for this specific client? Department of Human Services Department of Veterans Affairs Real Estate Assessment Center USDA Rural Development Program
Department of Veterans Affairs
Gerard has been offered a 4% interest rate on a $300,000 mortgage. His monthly mortgage payment would run about $950 per month. He plans to pay $2,000 up front to drop his interest rate to 3.75% and his payment to $920 per month. What is this upfront charge called? Discount point Interest Notes Usury
Discount point A discount point is an up front charge to make up for the difference between the rate the borrower is receiving and the rate the lender normally requires.
Donald and Martina decided to purchase a newly built home, and their agent, Ed, recommended that they get a professional home inspection done. The couple tells Ed that they thought inspections were only for older homes. How should Ed respond to that? -Ed needs to inform his clients that home inspections are most important for newer properties. -Ed should let them know that lenders for new construction loans require inspections. -Ed should remind them that every dwelling, no matter the age or size, should have a home inspection. -Ed should tell him that he doesn't trust the builder.
Ed should remind them that every dwelling, no matter the age or size, should have a home inspection.
What are the two categories of comparison when evaluating comparables to a subject property in the market comparison approach? Broad and specific Components and measures Elements and units General and detailed
Elements and units There are two categories of comparison: elements, which look at physical and locational characteristics, and units, which look at the numbers.
A good loan officer should do all of the following except for which one? Be available to answer questions. Educate clients. Encourage clients to sign quickly. Put clients at ease.
Encourage clients to sign quickly.
Natalie is a single mother of twins and receives government assistance to help make ends meet. She's been living with her mother for the last few years but really wants to buy her own home to gain some independence. She's got a little in savings and has good credit, but when a lender turns her away because she receives public assistance she worries that she'll never be able to get a loan. What act prevents automatic discriminatory practices by lenders and protects individuals like Natalie? Community Reinvestment Act Consumer Credit Protection Act Equal Credit Opportunity Act Home Mortgage Disclosure Act
Equal Credit Opportunity Act
Jerry and Lewis have entered into a sales contract. They're about three weeks into the transaction, with several terms of the agreement yet to be met. What type of contract do Jerry and Lewis have? Executed Executory Option Unilateral
Executory
Goldie and Kurt are looking at purchasing their first home. Their credit history is a little shaky and they don't have enough money saved to put down 20%. What type of loan seems most appropriate? Conventional FHA FHA, VA, or conventional VA
FHA
Which agency prohibits unfair acts, practices, or methods of competition, and enforces federal antitrust and consumer protection laws nationally? Attorney general's office Consumer Reports Federal Trade Commission National Bar Association
Federal Trade Commission
Basement wall cracks and leaks can be indicators of ______ problems. Chimney/fireplace Foundation Roof Window
Foundation
A landlord owns a building in an area of town that's being revitalized. Local property owners believe property values will increase considerably over the next 10 years. The landlord wants to entice long-term tenants with a low initial rent but have the flexibility to increase rent as her property's value increase. What type of lease should she consider? Graduated Gross Net Percentage
Graduated
Which of the following duties are owed to customers and other parties to a real estate transaction? Fairness and loyalty Honesty and fairness Honesty and obedience Obedience and loyalty
Honesty and fairness Customers and other parties are owed the duties of honesty and fairness. Licensees must also disclose all material facts to these parties.
Identifying the purpose of the appraisal leads the appraiser to do what next? Determine highest and best use. Estimate value of land. Identify data needed. Use three approaches to estimate value.
Identify data needed.
Estelle is representing seller Margaret. Which of the following tasks is one that Estelle is required to perform as Margaret's agent? -Determine the property's listing price based on comparables. -Give the buyer's earnest money to Margaret to deposit into her personal checking account. -Hire someone to market the property. -Inform Margaret about required property condition disclosures.
Inform Margaret about required property condition disclosures.
Why might a licensee want a buyer to sign a buyer representation agreement? -It helps ensure buyer loyalty. -It provides the agent with bragging rights. -It's required by law. -It will ensure that he'll receive the standard commission rate. Buyer agency agreements help define and solidify the working relationship between the parties. Without an agreement in place, the buyer could purchase through another licensee.
It helps ensure buyer loyalty. Buyer agency agreements help define and solidify the working relationship between the parties. Without an agreement in place, the buyer could purchase through another licensee.
Why is proof of ownership required when transferring real property? -It places the new owner's name on the deed. -It provides evidence that the title is marketable. -It provides proof that property taxes have been paid for the property. -It verifies the property address.
It provides evidence that the title is marketable.
Which of the following statements about the fiduciary duty of disclosure is true? It only applies to the seller's agent. It requires licensees to disclose everything to all parties. It's owed to other parties, not just to the licensee's clients. It's owed to the licensee's clients only.
It's owed to the licensee's clients only. In most states, licensees are required to disclose material facts to all parties to the contract. However, the FIDUCIARY duty of disclosure is due only to the licensee's clients.
Widget Corporation just bought land on which it plans to build a new manufacturing facility. How is the land owned? It's a joint tenancy. It's held as a tenancy in common. It's owned as an estate in severalty. There isn't enough information to tell.
It's owned as an estate in severalty. Corporations are legal entities and hold property similar to the way a sole proprietor or an individual does: in severalty.
Which of these is an example of severability? -Jules and Katrina are under contract for the purchase of Katrina's house. A dispute arises over some contract terms, and they end up in court. The court rules one of the terms invalid but leaves the remainder of the contract in force. -Mark's contract with Reuben states that either party may sever the contract if any contract term is only partially performed. -Misty's lease agreement with Thomas contains a provision that permits her to sever the lease if Thomas doesn't remodel the apartment as promised. -Ricardo and Timothy are under contract in the sale of Ricardo's office building. Ricardo's tenant leases gives him the option to sever the lease agreements upon sale of the building.
Jules and Katrina are under contract for the purchase of Katrina's house. A dispute arises over some contract terms, and they end up in court. The court rules one of the terms invalid but leaves the remainder of the contract in force.
Your client, Eric, is interested in purchasing an industrial property to start a new business. You've recommended that soil, air, and water testing be done, but Eric is on a tight budget and doesn't feel these tests are necessary. What should you do? Keep records of your recommendations and a written response from Eric. Perform the tests yourself. Refuse to be a part of the transaction. Support Eric in his decision and do nothing further.
Keep records of your recommendations and a written response from Eric.
When negotiating the purchase of a property that's subject to an existing lease, it's critical for your client to clearly understand the lease terms, including the property management responsibilities, rent amount, renewal/purchase options, and the ______. Lease duration Lease start date Security deposit amount Tenants' phone number
Lease duration
Tax ______ are a means of getting the property owner to pay their delinquent tax debt. Attorneys Laws Liens Statements
Liens
Annabelle's previous transactions have all been median-priced, detached single-family residential homes in the main part of the city or its suburbs. In which of these situations would Annabelle be practicing within her area of competence? -Listing a multi-million-dollar residence in the city's exclusive lakeshore estates -Listing a property in the main part of the city that she'll market as a fixer-upper -Working with a buyer client to purchase a condo -Working with an investor who intends to purchase a rental property
Listing a property in the main part of the city that she'll market as a fixer-upper
Which of the following is a true statement about police power and public land use controls? -Government agencies may exercise police power only when it does not restrict the freedom of its citizens. -Local governments and their planning boards control budgeting, site-plan review, and building codes. -Planning, zoning, and subdivision development are primarily controlled at the state level. -Police power is citizens' rights to police themselves.
Local governments and their planning boards control budgeting, site-plan review, and building codes.
Lena's buyer client Mindy is making an offer on Joe's house. Which party decides how much earnest money to offer? Joe Joe's agent Lena Mindy
Mindy
Tyne entered a contract to buy Fred's home. Per the terms of the contract, Tyne agreed to pay $20,000 in earnest money by this coming Wednesday and have the property inspected within seven days. She submitted the earnest money deposit on time and had the property inspected within five days. What action does this scenario exemplify? A purposeful voiding of the contract Buyer misrepresentation Partial performance of this part of the contract Performance of this part of the contract
Performance of this part of the contract
On a closing statement, ______ goes in the seller's credit column and the buyer's debit column. Loan fees Prepaids Taxes Utility costs
Prepaids
The legal description of the project, easements that run with the land, and street and traffic patterns are all under consideration when a local planning board ______. Calculates the developer's project application fee Considers granting a special use permit to a developer Reviews a developer's project plat Reviews the zoning for a developer's project
Reviews a developer's project plat These factors are under consideration when a local planning board reviews a developer's project plat.
Kyle owns six acres of land with 400 feet of river frontage. He wants to build a beach along the river bank to make it easier to swim in the river. He can do this because as the owner of river frontage, he has ________ rights. Alluvial Erosion Littoral Riparian
Riparian
Chris is in the process of purchasing a property with 20 acres of farmland in a rural area of the state. Assuming his income meets the criteria of the program, what type of loan may Chris find the most desirable? Growing equity mortgage Rural development loan VA-guaranteed loan Wrap-around mortgage
Rural development loan
In full seller disclosure states, whose responsibility is it to fully disclose all items on a seller disclosure form and any known material defects not listed on the form? Appraiser Buyer Lender Seller
Seller
If a private individual owner doesn't own more than three single-family homes at one time, which exemption from the Fair Housing Act could apply? Housing designated for senior use "Mrs. Murphy" exemption Owner-occupied buildings with no more than six units Single-family housing sold or rented without the use of a broker
Single-family housing sold or rented without the use of a broker Single-family housing sold or rented without the use of a broker is exempt, provided the owner doesn't own more than three single-family homes at one time.
Which one of the following could be a clue that a property was formerly a waste disposal site? Birds constantly on the property Plate covering an oil fill area Scorch marks on trees surrounding the area Soft spots, mounds, and discolored soil
Soft spots, mounds, and discolored soil
This act added familial status and disability (both physical and mental) to the existing federally protected classes. The Civil Rights Act of 1866 The Equal Credit and Opportunity Act of 1974 The Fair Housing Amendment Act The Housing and Community Development Act of 1974
The Fair Housing Amendment Act
You're explaining to your client that using electronic documents and signatures simplifies the home buying process. Your client is skeptical about these signatures. You describe the Uniform Electronic Transactions Act (UETA) and tell your client ______. -The UETA gives electronic signatures the same legal weight as "wet" signatures -The UETA provides a guarantee that electronic signatures will hold up in court -The UETA requires states to permit electronic signatures on all real estate-related documents -UETA takes precedence over state laws
The UETA gives electronic signatures the same legal weight as "wet" signatures The UETA is an attempt to standardize acceptance of electronic documents and signatures, but state laws govern the use of these electronic items. In states that have adopted UETA (or similar laws), an electronic signature is considered equally valid as a wet signature.
Bart just toured his fourth patio home of the day. To help him remember what he saw in each one, he's making notes about décor, updates, and inclusions that will stay with the property. Which of the following items is NOT considered personal property and would therefore stay with a home? The area rug in the dining room The banker's lamps in the den The chandelier in the foyer The patio heater on the back patio
The chandelier in the foyer
Which one of these statements accurately represents one of the required elements in a deed? The deed includes an act of conveyance. The grantee must be legally competent. The grantee must be of legal age. The grantee must sign the deed and provide consideration.
The deed includes an act of conveyance. The grantor is the seller; the grantee is the buyer. The grantor must sign the deed, be of legal capacity, and be positively identified. The deed must include an act of conveyance.
Licensee Kennie Mae's neighbor, Buzz, wants to sell his house but doesn't want to sign an agency agreement. Kennie Mae works with Buzz to list and show the property and negotiate offers. After the property sells, Buzz discovers that Kennie Mae didn't present all offers to him, and he sues Kennie Mae. Kennie Mae claims that because she didn't have an agency agreement with Buzz, she wasn't required to perform all fiduciary duties. What legal principle applies here? -Agency after the fact, because Kennie Mae continued to perform tasks for Buzz through the closing date. -Law of agency, because Kennie Mae defined her agency relationship with Buzz through the tasks she performed. -The doctrine of estoppel keeps Kennie Mae from disavowing the agency relationship because she provided agency tasks for Buzz. -The ratification doctrine states that Kennie Mae ratified her relationship with Buzz by signing the closing paperwork.
The doctrine of estoppel keeps Kennie Mae from disavowing the agency relationship because she provided agency tasks for Buzz.
Which of these statements about frontage is true? -A lot that's 75 feet wide by 30 feet deep has a frontage of 30 feet. -Frontage is used in calculating property taxes. -The frontage for a lot that's 120 feet by 85 feet is 120 feet. -The frontage of a property on a corner is measured from the lot line on one side to the street's center on the other.
The frontage for a lot that's 120 feet by 85 feet is 120 feet When reading lot dimensions, if the frontage isn't identified, it's the first number stated.
Marcy listed her property with Jennings Homes in March. The market was slow, and Marcy's property isn't in great condition—though she's sure she can get top dollar for it because of its location. Her agent encouraged her to either reduce the price or fix the property up, but she refused. Both Marcy and her agent are frustrated. What's the best option for both of them? Bring in another agent to help price the property. Let the listing expire. One party or the other should terminate the listing. They can mutually agree to terminate the listing.
They can mutually agree to terminate the listing.
A disabled tenant has requested reasonable accommodations be made inside his unit to improve his ability to move around and enjoy the unit. Under ADA, which of these actions MUST the landlord take? -The landlord must pay for the accommodations. -The landlord must permit the tenant to make reasonable accommodations and can require the tenant to personally pay for it, but the landlord will have to pay if he wants the unit returned to its original condition upon the tenant vacating the unit. -The landlord must permit the tenant to make the reasonable accommodations and can require the tenant to pay for the changes and return the unit to its original condition when vacating. -The landlord must respond to the tenant's request within 10 days; otherwise, the tenant can have the changes made and deduct the costs from his monthly rent.
The landlord must permit the tenant to make the reasonable accommodations and can require the tenant to pay for the changes and return the unit to its original condition when vacating.
Carly's closing on an REO property was suddenly delayed due to an internal audit. What does this mean? -Carly's lender decided to further audit her loan application materials. -The banking association is auditing the lender's foreclosure files. -The federal government is auditing the lender's foreclosure process. -The lender has requested a title audit to ensure that the foreclosure was properly handled.
The lender has requested a title audit to ensure that the foreclosure was properly handled.
Trina's property is listed with Avalon Homes. The market is a little slow, and Trina's listing is a high-end home, where sales are even slower. She's had several showings, but no offers. The term of the listing agreement is nearly over. What happens when the termination date is reached? The listing expires and is automatically terminated. Trina can't extend the listing agreement, so she'll have to list with another brokerage firm. Trina owes Avalon whatever compensation was noted in the listing agreement. Trina's agent may still try to sell the property.
The listing expires and is automatically terminated.
When completing a CMA, what might be indicated if a comparable property had a quick sale? It's a buyer's market. The market for similar homes is good. The other agent was incompetent. The property was priced too high.
The market for similar homes is good.
As Brandon's listing agent, Lily must disclose all known material facts relative to Brandon's property. Which of the following is a zoning-related fact that Lily might have to disclose to prospective buyers? -Brandon's subdivision was farmland back in the 1950s. -The property is right in the middle of a historic preservation district. -The zoning board may require the developer to include parklands in the neighborhood expansion. -Two of the residents on Brandon's street have in-home occupations.
The property is right in the middle of a historic preservation district. Whether or not a subdivision used to be agricultural land isn't material to a transaction today. However, the historic preservation district designation is material in that it may affect any renovations the buyer wishes to make.
Which of the following best describes a net listing? -The seller and agent agree to split the profit from the proceeds of the sale. -The seller reserves the right to sell the property and not have to pay a commission. -The seller specifies a desired price for the property and agrees to pay the broker any amount received that's more than that price. -The seller works with many agents, and only the agent who procures the buyer is owed a commission.
The seller specifies a desired price for the property and agrees to pay the broker any amount received that's more than that price.
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
Walt and Ginger were informed by their landlord that their option to purchase the bungalow they're renting has just been terminated. Which of the following things that can occur is likely to terminate an option to purchase? Ginger put up new curtains. They sublet the bungalow for a month without permission. They went on vacation and left the house empty for 12 days. Walt lost his job.
They sublet the bungalow for a month without permission. A violation of any of the lease terms could terminate the option to purchase. Of these four actions, the only one likely to violate the lease terms is subletting without permission, since most leases have a clause requiring lessor permission to sublet.
Which one of the following protects the owner against financial loss if the real estate title has defects? Abstract of title Chain of title Deed Title insurance
Title insurance
Which of the following is one reason a lender might charge a prepayment penalty? Because the lender is a subprime lender To cover the costs of processing an early payoff To deter buyers from ever paying off their mortgage To recover the money lost in anticipated interest
To recover the money lost in anticipated interest
In a real estate transaction in which you represent the seller, your duty to other parties is to ______. -Be honest in all matters that do not affect your client's interests -Be polite and courteous -Maintain the confidentiality of all matters that other parties disclose to you -Treat them honestly and fairly
Treat them honestly and fairly
What's another name for an escrow account? Closing fund Locked account Savings account Trust account
Trust account
A lot measuring 108,900 square feet is for sale. How many acres is this? Five One Three Two-and-a-half
Two-and-a-half An acre is 43,560 square feet, so 108,900 square feet is equal to two-and-a-half acres.
Which of the following terms means the price a property is worth to its owner as currently enjoyed? Appraisal Insured value Investment value Value in use
Value in use
Which of these professional activities is NOT covered by the Fair Housing Act? -Jonah's real estate firm provides single-agency brokerage services to clients. -Marsha, a landlord, owns several multi-unit buildings and rents one or more units daily. -Michael is in charge of marketing for his real estate brokerage firm. -Vickie's staging company works with investor clients to stage vacant properties.
Vickie's staging company works with investor clients to stage vacant properties.
Ken signed a contract to purchase Debra's condo. Ken signed the contract two weeks prior to turning 18, which is the age of majority in his state. Debra found out about his age prior to the closing but honored the contract, and they closed on the condo a month after Ken's birthday. What was the status of the contract when Ken and Debra entered into it? Executed Illegal Void Voidable
Voidable
Paul and Blake are touring an open house when they notice that the glass on the sliding patio door is very foggy. Is this a concern, and if so, why? No, this is not a concern, as it only indicates poor cleaning habits. No, this is not a concern as it's common in cold climates. Yes, this could be a sign of fire damage. Yes, this is a sign of a leaky seal which reduces efficiency.
Yes, this is a sign of a leaky seal which reduces efficiency. Foggy windows indicate broken seals on dual pane windows, which allow moisture to build up between the panes. This reduces efficiency, which means energy bills may go up.