salesperson examination 1
a broker listed a residential property under a valid written listing agreement. After the sale was completed, the owner refused to pay the broker's fee. Which of the following can the broker do A) she can take the seller to court and sue for the commission B) she is entitled to a lien on the seller's property for the amount of the commission C) she can go to court and stop the transaction until she is paid D) she can collect a commission from the buyer
A
a home is valued at $92,000. property in this city is assessed at 70% of its value, and the local tax rate is $3.40 per $100. What is the amount of the owners monthly taxes A) $182.47 B) $260.67 C) $2,189.60 D) none of these
A
a restaurant opened in a neighborhood and was enjoying substantial profits. Within a year, another restaurant was built across the street and resulted in the first restaurant losing, in the next year, 30% of its profits. This is an example of the principle of A) competition B) Conformity C) highest and best use D) progression
A
all the following agencies are included in the secondary mortgage Market accept A) FHA B) FNMA C) GNMA D) FHLMC
A
all the following statements correctly describe a legal life estate except A) during his or her life estate, the life tenant is generally answerable to the holder all the future interest B) the life tenant may not commit any acts that would permanently injure the property C) there may be a reversionary interest D) there may be a remainder interest
A
in the appraisal of a public building, and appraiser what use the A) cost approach. B) Income capitalization approach B) sales comparison approach D) gross rent multiplier
A
personal property is generally conveyed by a A) bill of sale B) certificate of title C) quit claim deed D) trust deed
A
two unrelated people own a three-unit apartment building as tenants in common. One wants to sell but the others does not. Which of the following statements describes the legal right of the party who wants to sell A) the party May request a court to partition the building B) the party may require the co-owner to sell C) the party May record a Liz pending on the property D) the party May refinance the mortgage in his or her name, thus eliminating the co-owners interest in the property
A
which of the following statements concerning encumbrances are not true A) all encumbrances are liens B) all liens are encumbrances C) restrictions beneficial to the grantee or encumbrances D) an easement is a physical encumbrance
A
you are working as a buyer's broker for a client. All the following would describe your role as a buyer broker except A) you should show the buyer properties only in which your commission is protected B) you should counsel the buyer about developing accurate objectives C) you should search for the best properties for your buyer to inspect, widening the marketplace to include homes for sale by owners D) you should help the buyer prepare the strongest offer
A
you have a mortgage in which you make the same payment each month for principal and interest, with the principal payment increasing and the interest payment decreasing from month to month. This is called an A) amortizing mortgage B) term mortgage C) reverse annuity mortgage D) partially amortized mortgage
A
A salesperson presented an offer that was accepted and received an earnest money payment for $2, 000. The sales person should A) hold the payment until the buyer has received a financing commitment B) give the earnest money to his broker C) open up a trust account and deposit the payment in it D) deposit the payment in the sellers checking account
B
a broker sold a home for $146,000. The broker charge the owner 6% commission and will pay 25% of that amount to the listing salesperson and 30% to the selling salesperson. What amount of commission will the listing salesperson receive from the sale A) $2,058 B) $2,190 C) $2,628 D) none of these
B
a claim based on adverse possession of property must not be A) notorious B) open C) hostile D) secretive
B
a four-bedroom house with one bathroom would be an example of A) physical deterioration B) functional obsolescence C) economic obsolescence D) environmental obsolescence
B
a person who receives real property by Will is called a A) trustee B) deveisee C) testator D) hypothecator
B
a state wants to build a publicly-owned Convention Center to attract private development and its largest city. Can the state use eminent domain to acquire the land A) no, because private investment would not be allowed B) yes, if just conversation is paid to the owners of the land C) no, because eminent domain can only be used for Highway expansion D) yes, if the owner hold fee simple interest in the land
B
all the following would be considered real property except A) mineral rights B) a leasehold estate C) fixtures D) air
B
an option, prior to being exercised, is an example of A) an assignable contract B) a unilateral contract C) a bilateral contract D) an executed contract
B
commissions and fees paid by the seller to a listing agency are determined by A) standards promulgated by the local Board of Realtors B) negotiations between the seller and the listing licensee C) applying the prevailing customary fees charged in that area D) an Industry index computed monthly from multiple listing service data
B
strict liability under Superfund means that A) each of the individual owners is personally responsible for the damages in whole B) the owner is responsible to the injured party without excuse C) the liability is not limited to the person who currently owns the property but also includes people who have owned the site in the past D) the owner is not responsible to the injured party unless it can be proven that the owner was aware of the problem
B
the highest form of ownership interest a person may hold in real estate is A) life estate B) fee simple C) legal life estate D) base fee
B
the movement of land caused by an earthquake would be an example of A) accretion B) avulsion C) erosion D) hypothecation
B
the servient estate in an easement appurtenant is the property A) owned by the landlord B) on which the easement is placed C) owned by the tenant D) that benefits from the easement
B
using $9.91 as a mortgage Factor, what is the monthly payment for a $150,000 loan at 11.5% for 30 years A) $1, 429. 50 B) $1,486.50 C) $1,525.50 D) $1,581
B
which agency is involved in purchasing government-related loans A) Fannie Mae B) Ginnie Mae C) Freddie Mac D) the "Fed"
B
which of the following is a similarity between an exclusive right to sell listing and an exclusive agency listing A) under both, the seller avoids paying the brokerage a commission if the seller sells the property without the help of The Brokerage B) both give the responsibility of representing the seller to just one brokerage firm C) both are net listings D) under both, the seller authorities has one specific salesperson to show the property
B
which of the following is not a specific lien A) mortgage lien B) State inheritance tax C) real estate taxes D) mechanic's lien
B
which of the following is not a stage in the appraisal process A) State the problem B) analyze the tax consequences of the property owner C) reconcile the data for the final Value Estimate D) analyze and interpret the data
B
which of the following types of Clauses governs the right of a listing broker to collect a commission from an owner who Waits until the listing period Expires and then personally contacts to sell the property to a party the broker had shown the property to during the listing period A) Alienation B) protection C) defeasance D) habendum
B
you have entered into a lease that requires you to pay 20% of the owners expenses. Your lease would be an example of a A) variable lease B) net lease C) percentage lease D) gross lease
B
you mortgaged your property and just made the final payment. Recording which of the following documents will provide notice that the mortgage lien has been removed A) reconveyance deed B) satisfaction of mortgage C) alienation of the mortgage instrument D) reversion of the deed
B
you wrote an offer on a house for $214,000 the seller gave you a counter offer for $218,000 the seller may withdraw the counter offer any time A) within 72 hours after acceptance B) prior to the buyers acceptance C) prior to removal of all contingencies in the offer D) prior to closing
B
your aunt dies intestate and you inherit her house. The way in which you acquired the title to her house is by A) curtesy B) descent C) escheat D) laches
B
a broker acting as the agent of a seller A) can agree to a change in the listing price without the principal's approval B) may share her commission with the sales person of another broker C) must report all offers to the principal unless instructed otherwise D) must maintain as confidential all information the principal says not to disclose
C
a broker listed and owners home and later received an offer from another license e that met all of the listing terms and conditions. After considering the offer, the owner informed the broker that the owner no longer wished to sell and ask to be immediately released from the listing agreement. Which of the following statements best describes the Brokers position in this situation A) the broker must release the owner without obligations B) the broker must tell the owner that the offeroe may sue for specific performance C) the broker May succeed in collecting an earned commission from the owner D) the broker may keep the earnest money that accompanied the offer as liquidated damages
C
a comparative market analysis reflects the use of the A) cost approach B) income approach C) sales comparison approach D) gross rent multiplier method
C
a house that is the least expensive in its neighborhood has nevertheless grown significantly in value over the years because of an increasing number of larger, more expensive houses being built nearby. This growth in value is an example of the principle of A) regression B) competition C) progression D) highest and best use
C
a mother wants to know how much money her son owes on his mortgage loan. The mother knows that the interest part of the last monthly payment was $473.26. If her son is paying interest at the rate of 9%, what was the outstanding balance of the loan before the last payment was made A) $52,584.44 B) $55,921.03 C) $63,101.33 D) none of these
C
a sale is to close on June 23rd. Real estate taxes of $2,640 for the current year have not been paid. What is the amount of the real estate tax proration to be credited to the buyer using a 30 day month A) $168.67 B) $868.67 C) $1,268.66 D) none of these
C
a salesperson desires to advertise a property without including the brokerage name. This solution is allowed when A) the salesperson is the listing agent B) the salesperson includes his or her name in the ad C) the salesperson is the actual owner and advertising as a for sale by owner D) the salesperson is willing to pay for ad
C
all loans subject to the real estate settlement procedures act require lenders to A) charge the seller for all loan discount points B) document any reason for declining credit to a loan applicant C) deliver a uniform settlement statement (HUD-1) form to both buyer and seller D) allow the buyer to rescind the contract anytime prior to the first payment due date
C
all the following are examples of a leasehold estate except A) an estate for years B) periodic estate C) timeshare estate D) estate from year to year
C
an appraiser uses the cost approach in appraising a home. The appraiser should not use which of the following types of information A) physical deterioration B) cost of replacement of the house C) depreciation of land D) economic obsolescence
C
if a husband and wife own an apartment building and the husband owns an undivided 3/4 interest and the wife owns a 1/4 interest, what type of tenancy exist A) leasehold estate B) joint tenancy C) tenancy in common D) tenancy by the entirety
C
if the Federal Reserve board raises its discount rate, which of the following is likely to occur A) mortgage money will become more available B) interest rates will stay the same C) mortgage money will become less available D) interest rates will decline
C
in Most states, the listing broker has a fiduciary duty with A) the customer B) the listing salesperson C) the principal D) the buyer
C
on July 1st an owner and a salesperson entered into a six-month exclusive right to sell agreement for a residential property. On July 15th, the owner rejected a low offer and fired the listing agent. On August 1st, there was a house fire that require extensive kitchen repairs. On September 12th, the owner entered into another exclusive right to sell agreement with a salesperson from a different Agency. On July 1st, the property was unsold. on which date was the first listing agreement most likely to terminate and why A) July 15th, because the sales person was dismissed B) August 1st, because the listed properties suffered material damages C) September 12th, because the owner breach the first listing agreement by signing a second D) January 1st, because the first listing agreement ended at midnight on December 31st
C
the Civil Rights Act of 1866 prohibits discrimination based on A) handicap B) familial status C) race D) sex
C
the city in which you live has a zoning ordinance. The basis for the city to have such an ordinance is A) eminent domain B) escheat C) police power D) riparian rights
C
which of the following is not a category protected by federal fair housing laws against discrimination in housing A) race B) national origin C) sexual orientation D) familial status
C
you bought a home one year ago for $83,500. Property in your neighborhood is said to be increasing in value at a rate of 6% annually. if this is true, what is the current value of your real estate A) $86,840 B) $87,675 C) $88,510 D) none of these
C
you have entered into a installment land contract for the sale of your home. Which of the following statements is false A) the buyer is the vendee B) the buyer will take possession when the contract is signed by both parties, if the contract so provides C) the buyer will hold legal title during the term of the contract D) the buyer will hold Equitable Title during the term of the contract
C
you receive a monthly salary of $600 plus 3.5% Commission on all of your listings that sell, and 2.5% on all of your sales. None of the listings that you took sold last month, but you received $8,460 in salary and commission. What was the value of the property you sold A) $131, 000 B) $224,571 C):$314,400 D) none of these
C
your neighbor has given you recoverable permission to go hunting on his farm. You have a A) leasehold estate B) easement approvement C) license D) defeasible fee estate
C
A salesperson listed a home for sale and transfer to another brokerage firm 2 weeks later. Which of the following statements describes the status of A) the listing the listing is terminated B) the listing is transferred to the new brokerage C) the two Brokers firms will negotiate to decide who will hold the listing D) the listing will stay with the former brokerage firm of the salesperson
D
First Bank holds a lien on a home on which Second Bank already had a lien. The lenders subsequently entered into an agreement in which First Bank moved into a first-lien position. This is an example of a A) hypothecation agreement B) disintermediation agreement C) reverse annuity mortgage D) subordination agreement
D
a broker was employed by an owner, as an agent, to sell her home. All the following statements correctly describe the broker relationship to the owners except A) the broker has become the seller's agent B) the broker owes fiduciary duty to the seller C) the broker is a special agent D) the broker is a general agent
D
a broker who violate the Sherman Antitrust Act may be punished by a maximum fine of A) $10,000 B) $25,000 C) $50,000 D) 1 million dollars
D
a buyer has entered into an agency agreement with more than one buyer's agent but only owes compensation to the one who puts an actual transaction together. This Arrangement is known as a A) multiple listing agreement B) exclusive right agreement C) exclusive agency agreement D) nonexclusive agency agreement
D
a commercial lease that allows rent to be increased or decreased periodically based on changes and economic indicators is a A) graduated lease B) gross lease C) percentage lease D) index lease
D
a developer was able to buy two adjoining single-family lots for $20, 000 each. He combines a lot into one parcel with a value of $90, 000. The developer action reflects the process of A) accession B) attachment C) Exchange D) plottage
D
a listing broker is considered to have earned a commission from a principal when which of the following events occurred A) an offer to purchase has been presented to the client B) title has been transferred to the buyer C) the seller accepts and signs and offer to purchase D) a "ready, willing, and able buyer" signs a noncontingent or cash offer that meets the terms of the listing contract
D
a meat packing plant has just been built one block from your house. The strong odors are lowering property values in your neighborhood. The laws in value would be classified as A) functional obsolescence B) physical deterioration C) the principal of change D) external obsolescence
D
according to the law of agency, a real estate broker owes the principal all of the following duties except A) exercising reasonable care B) acting in good faith C) conforming with the principles legal instructions D) offering legal advice
D
all the following correctly describes how real estate licensees should handle the possibility of hazardous substances on a property being sold except A) citizens should be asked about the possibility of hazardous substances on the property B) licensees should consider the consequences of potentially liability C) licensee should be scrupulous in considering environmental issues D) licensee should not disclose the problem, because it might harm the seller
D
broker Xavier is showing broker Yang, an Asian, homes only in Asian neighborhoods. The broker may be guilty of A) arbitrage B) blockbusting C) redlining D) steering
D
in theory, which of the following types of Deeds gives a property buyer the most protection against problems that may arise with the title A) quitclaim B) bargain and sale C) special warranty D) General warranty
D
license or certificate appraisers performing federally related transactions must comply with the uniform standards of professional appraisal practice. A federally related transaction is any transaction with a value greater than A) $100,000 B) $150,000 C) $200,000 D) $250,000
D
riparian rights would exist in a A) condominium on a bay B) house on a Bay C) Hotel whose land abuts a large lake D) cooperative on a river
D
salesperson alvarez for broker Brooks has listed a home. Salesperson cooke for broker Davidson is acting as a buyer's agent and is trying to sell the same house to his buyer. Salesperson Cooke is primarily responsibl to A) his own buyer B) salesperson Alvarez C) broker Brooks D) broker Davidson
D
sources of groundwater contamination do not include A) waste disposal sites B) underground storage tanks C) use of pesticides in farming communities D) radon
D
when property transferred from one party to another, recording the deed provides what is called A) validation of the agreement between the parties B) a writ of attachment C) certificate of title D) constructive notice
D
which of the following terms are not related A) Freehold estate-fee simple B) grantor person-conveying title C) leasehold estate-personal property D) police power-deed restriction
D
you are preparing a competitive market analysis on a house that you hope to list for sale. Which of the following approaches to Value will be used in the development of the estimated value A) cost approach B) gross rent multiplier C) income approach D) sales comparison approach
D
you are selling your house and a buyer is assuming your outstanding mortgage, which has an unpaid balance of $58,700 after the last payment on August 1. If the annual interest rate is 9% and interest is paid in arrears each month, what is the amount of mortgage interest to be debited against you at closing, using a closing date of August 18t A) $161.43 B) $176.10 C) $190.78 D) $246.15
D
you listed a home that was subsequently shown by 6 cooperating outside brokers. how many seller agency relationships are involved in this transaction A) 1 B) 6 C) 7 D) none of these
D
you signed a lease for 1 year and took possession of an apartment. When the lease expired, you continue to live in the apartment without the owner's consent. Your tenancy would be considered to be a A) estate for year B) estate from year to year C) tenancy at will D) tenancy at sufferance
D
