Simulated Real Estate Exam
A 10-unit apartment building has an annual net income of $ 5,000 per unit. If the purchasers wish a 10% return on their investment, how much should they be willing to pay for the property? $5,000,000 $500,000 $5,000 $50,000
$500,000
To be eligible for a broker's license, an applicant must have completed or obtained all of the following except? a high school diploma or GED. 90 hours of approved pre-license and 30 hours of post license education. the State licensing exam. the age of 18.
90 hours of approved pre-license and 30 hours of post license education
Which of the following would require an IN real estate license? A friend helps an ailing friend sell her condo in exchange for a week's use of another condo. An attorney selling a home in an estate sale. A trustee compensated for selling a property pursuant to the terms of a trust. The executor of an estate selling a decedent's property for a fee.
A friend helps an ailing friend sell her condo in exchange for a week's use of another condo.
How would you best describe Mortgage Pools? One mortgage held in a trust as collateral A pool built with a home mortgage used for collateral A group of mortgages held in a trust as collateral for the issuance of a mortgage backed security Mortgage pools are the most complicated forms of mortgage backed securities
A group of mortgages held in a trust as collateral for the issuance of a mortgage backed security
Investment Banking is: A specific division of banking relating to the creation of Capital for other companies, governments, or other entities A bank specializing in single investments for retirement funds One bank very open to lending money to investors A group of underwriters working for one specific bank
A specific division of banking relating to the creation of Capital for other companies, governments, or other entities
A salesperson was informed that the heat exchanger in the furnace was cracked. The agent did not inform the seller. The agent showed the house to a customer and said nothing about the furnace. A couple of weeks after the buyer moved in, 3 out of the 4 family members died of carbon monoxide poisoning. What could happen to the salesperson? Criminal prosecution Civil litigation All of the answers Disciplinary action from the state board
All of the answers Under an agent's duty of disclosure, latent defects must be disclosed to any interested buyer. The surviving family member can sue for negligence. The agent could also be criminally prosecuted for negligent homicide, and the state can revoke the agent's license.
What is an appraisal? An opinion of value good for six months An opinion of value for the day the appraisal only An estimate of what the property should get on the market A guarantee of property value given to the bank
An opinion of value for the day the appraisal only
Which of the following is not a protected class under the Federal Fair Housing Act? Sex Race Religion Ancestry
Ancestry
Which lien attaches to a property to prevent the transfer of title when there is a pending lawsuit that may affect the title? Mechanic's lien Lis pendens Commercial broker lien law Attachment
Attachment
In the sale of another's real property for consideration, which of the following is exempt from licensure? Licensed securities dealer. Attorney selling a decedent's property now in probate. Officer of a corporation. Licensed appraiser.
Attorney selling a decedent's property now in probate
A contract in which each party to the agreement has an obligation under that agreement is a: Tendering performance Breach of contract Unilateral contract Bilateral contract
Bilateral contract When only one party has an obligation (i.e. a reward for a lost pet), the contract is unilateral. A contract for the purchase of goods or property involves an obligation of both parties to perform.
Managing brokers are required to develop and enforce the use of a written office policy on agency for which of the following? Buyers who stop by an open house. Clients, and customers who may disclose confidential information. Only for client's who pay a fee. Just for those who actually close on a sale.
Clients, and customers who may disclose confidential information
In the state where Bob lives, someone who receives a loan from a lender must transfer his/her property to the bank's holding company while the loan is outstanding. The document used to accomplish this is a/an: Title insurance Encroachment Mortgage Deed of trust
Deed of trust
Real estate salespeople, who are employed by a real estate broker, will be categorized by the IRS in two ways. They are: Employees or independent contractors Employees or agents Salesperson or broker Staff or agents
Employees or independent contractors
What refers to the interest in real property created by the execution of a valid sales contract? Equitable title Future title Title Inequitable title
Equitable title A buyer's interest (at the time the offer is accepted) is only a future interest until the transaction comes to fruition.
Broker F has sold her personal residence the first day on the market. The new home being built for her and her family won't be ready for another 5 months. F contacts a friend and investor who owns several rental properties and leases one for 6 months. In this situation: F is not required to disclose she is a licensee in leases that take less than a year to fulfill. F must disclose in writing that she is a licensee. F must disclose in writing she is a licensee only if she takes a fee on the transaction. F is not required to disclose she is a licensee unless purchasing the property.
F must disclose in writing that she is a licensee. Licensees always disclose their status as a licensee in any transaction they participate in. Whether they are a principal such as the buyer, seller, landlord, tenant or the agent for any of those, they must disclose in writing they are a licensee.
The subject property has five bedrooms but only one bathroom. What could this situation be causing? A curable defect An ideal situation Functional obsolescence Economic obsolescence
Functional obsolescence
What type of agency relationship exists when a broker manages real property for the owner? Special Limited Major General
General
Broker Z is thankful when a past client W, recommends her to a friend from work. The friend wants to buy a home in the $400,000 range and Z wants to show W her gratitude. Broker Z sends W a gift basket worth over $400. This type of gratuity would be considered which of the following? A violation if the fee exceeds $500. A violation unless disclosed to the referred party. Generous, but not a violation. A referral fee.
Generous, but not a violation A thank you gift is fine if it is not expected and not cash or the equivalent. There is no dollar limit, but if it seen as excessive it could be called into question. What is considered excessive is not found in the law. The bigger issue is how it is presented, as it can't be a "quid pro quo" or a "this for that" arrangement. The referring party can't refer because of the gift or any expectation of it.
Which of the following is not true of the Federal Housing Administration? Enacted by governmental legislation Guarantees mortgage loans Administered by the Department of Housing and Urban Development Helps buyers with low down payments
Guarantees mortgage loans The only entity that guarantees mortgages is the VA; FHA insures loans.
"Net income" best describes: Income after expenses Potential gross income Income before expenses Effective gross income
Income after expenses
While determining the net operating income of an investment property, an appraiser will take into account all of the following except: Utility costs Interest expense Property management fees Income from vending machines
Interest expense Although tax deductible, the amount of interest an owner pays is not used to calculate the net operating income.
The three most important aspects of a house are: Location, location, location Cost, value, and marketability Marketability, uniqueness, and scarcity Size, style, and function
Location, location, location
Which of the following is an involuntary specific lien? Easement Mortgage Mechanic's lien IRS Taxes
Mechanic's lien The IRS lien is a general involuntary lien against all items owned by an individual (including, but not limited to, real estate). The mechanic's lien is an involuntary specific lien against property worked on by a contractor. The mortgage is a voluntary specific lien which is given freely by the landowner to the buyer. The easement is not a lien, although it is an encumbrance on the property.
Which of the following would be true regarding listing agreements in Indiana? Must be signed by the owner and managing broker to be enforceable. May include no built in renewals, and not more than one extension. Must be signed by the owner, managing broker and listing agent to be enforceable. May include only one renewal, but no automatic extension.
Must be signed by the owner and managing broker to be enforceable. The listing agreement is between the owner and the brokerage. Even though the listing agent will likely perform most of the duties, that agent is not a direct party to the listing, and thus doesn't have to sign it. Listings may not have any form of automatic renewal or extension. It is legal to renew or extend an agreement, but the original agreement may not include any automatic renewal or extension.
Seller J, who lives out of state, listed a property with broker T. But broker T has done virtually nothing since listing the property. After three months the property was not in the MLS/BLC and no "for sale" sign has been placed on the property as agreed. It is now late fall and buyers are scarce. J, feeling harmed, terminated the listing and now wants to seek action against T. Could J make a claim to the Recovery Fund? No, because J must first obtain a criminal conviction against T. Yes, because T harmed J in a real estate transaction. No, because T did not commit a criminal act. Yes, because T is a licensee.
No, because T did not commit a criminal act.
Broker M lists seller Z's property under a 6 month open listing agreement at 6% that runs from January 1st through June 30th. Broker M, excited about his first listing, promotes it widely within his firm, XYZ Realty, and other firms as well but doesn't place it in the MLS. Broker Q, who is with ABC Realty, brings a buyer to Z's property and presents an offer that Z accepts on February 10th. Seller Z owes which of the following? 6% of the sales price to XYZ Realty. Nothing to M, but 3% to ABC Realty. Nothing. Nothing unless M closes the transaction for Z.
Nothing The only circumstance under which a fee would be due under an open listing is when the actual listing agent sells the property on his or her own. An open listing provides that a seller can sell the property on his own and pay no fee.
When can a property manager use a self-help eviction? Never Only in residential tenancies Only in non-residential tenancies Always
Only in non-residential tenancies A landlord may only use a utility shut-off or lockout against a non-residental tenancy.
The type of title insurance that is issued in the name of the property owner, where coverage runs from the time of purchase until the owner sells the property, is a/an: Leasehold policy Easement policy Mortgagee's policy Owner's fee policy
Owner's fee policy Mortgagee's policies protect the lender's interest, while leasehold policies deal with tenants. Easement policies protect the rights of an easement holder.
Broker Y is associated with managing broker W. Over the first two and a half years of Y's licensure he has worked hard, but has not made a single sale. Y completes the managing broker course, and applies for a managing broker's license with plans to open his own firm. Y's application for a managing broker's license would be: perfectly legal. a class A infraction. complete, once Y completes the required two sales. incompetent practice, as Y did not actually practice.
Perfectly legal The active status requirement for a managing broker's license is intended to be an apprenticeship of sorts, but there is little in the way of specific requirements. There are no sale or production requirements. Though maybe not ready to open his own firm, Y has meet the requirements.
A residential tenant with a month to month lease enjoys which leasehold estate? A. Estate for years B. Periodic Tenancy C. Joint tenancy C. Tenancy at will
Periodic tenancy Periodic tenancy is a lease that automatically renews itself from period to period.
Broker J lists seller Q's home for sale at $775,000 on the 1st of the month. On the 5th, J receives a list price cash offer from broker Y that Q promptly accepts. Later on the 5th, J receives a "low ball" offer from broker P for $405,000 that includes seller financing. Given the prior acceptance of a list price offer, J should do which of the following? Tell the seller of the 2nd offer, and ask broker P for their client's "best and final." Hold the offer in case the first offer doesn't close. Present the "low ball" offer immediately. Thank J for the offer, but explain why it can't be presented.
Present the low ball offer immediately
Broker M represents buyer P. P is a first time buyer and is short on funds. They identify a suitable property but it is in need of repair. T, the seller, agrees that the repairs need to be made but has little money for them. The two estimates for the work are around $3,500. M had been a contractor for many years before becoming a broker. M offers to complete the work for only $750 which P and T agree to split equally. The work is done and the transaction closes with no problem. M's actions would constitute which of the following? Proper if disclosed to all parties. A violation of professional standards. A breach of fiduciary duties. Creates limited agency by working for both parties.
Proper if disclosed to all parties.
Refusing to make loans based on racial composition of a neighborhood is called: Steering Exclusionary zoning Blockbusting Redlining
Redlining
When rented property is sold by the owner, the outstanding leases: Are automatically terminated Expire Must be renegotiated Remain binding upon the new owner
Remain binding upon the new owner
A licensee is convicted of a crime that has bearing on his ability to practice competently. The Commission could do which of the following? Automatically revoke the license. Require the licensee attend a hearing. Summarily suspend the licensee's license. After a hearing, revoke the license for up to 90 days.
Require the licensee attend a hearing. The licensee may have done wrong, but the Commission will need to hold a hearing to determine what if any sanction is appropriate. Summary Suspension is for issues involving danger to person or property. Revocation is not for a specified time frame. The license is just revoked. After revocation, a person may reapply in 7 years.
What properties are affected by the Lead Based Paint Hazard Reduction Act? Any residential property Residential properties built before 1978 Only commercial properties Public buildings
Residential properties built before 1978
A closing with all parties present is a/an: Lender closing Escrow closing Roundtable closing Broker closing
Roundtable closing
Which of the following, if performed for consideration, would require licensure? A representative of Crown Mound Cemetery selling premier cemetery lots for $50,000. A partner selling a property the partnership owns. Someone negotiating the exchange of like properties for two commercial clients. A lawyer acting as trustee selling property pursuant to the terms of a trust.
Someone negotiating the exchange of like properties for two commercial clients.
Listing agreements typically create which type of relationship between the seller and the listing broker? General agency. Special agency. Limited agency. Universal agency.
Special agency
What type of relationship best describes how a real estate broker represents his/her principal in the sale of the principal's single-family home? Universal agency Special or specific agency Dual agency General agency
Special or specific agency A real estate agent works as a special agent, while a property manager would most likely be a general agent.
Which of the following is not a sanction available to the Commission for a licensee found guilty of a license law violation? Surrender of the fee or commission and a fine not to exceed $1,000. Surrender of the fee or commission and a fine not to exceed $5,000. License probation and community restitution. License suspension and a civil penalty.
Surrender of the fee or commission and a fine not to exceed $5,000.
A newly issued real estate license would be on which cycle? A new 2 year license cycle. The current 3 year license cycle at whatever point one becomes licensed. The current 2 year license cycle at whatever point one becomes licensed. A new 3 year license cycle.
The current 3 year license cycle at whatever point one becomes licensed.
The rule that says a buyer will not pay more for a property than a comparable substitute best describes: The rule of substitution The rule of supply and demand The rule of conformity The rule of contribution
The rule of substitution
What is assessment value? The price the property actually sold for The theoretical price a property could sell for The replacement cost of the property The value the property taxes are based on
The value the property taxes are based on
For a broker company to participate in a referral service and refer business to other brokers, certain requirements must be met. Which of the following best describes these requirements? There are written agreements with the client and with the cooperating brokerages regarding fees. Provided there are written agreements with the cooperating brokerages regarding fees. The express consent of the client has been obtained. Provided there are written agreements regarding fees.
There are written agreements with the client and with the cooperating brokerages regarding fees.
A broker, acting as a property manager, may refuse to rent to individuals because: They practice an unusual religion They represent a racial group not already present in the facility They are poor credit risks There is no male head of household
They are poor credit risks
What can be determined by a location survey? Size of property Land use Boundaries Whether or not the property's buildings encroach on neighboring land
Whether or not the property's buildings encroach on neighboring land
In a contract for Deed which is true regarding the "Power of Sale" clause ? A homeowner can file a complaint in the courts to stop a Power of Sale A lender must file a complaint in the courts to regain possession of a property secured by a mortgage loan It helps the homeowner sell their property when they desire With a "Power of Sale" clause a lender can foreclose without court oversight
With a "Power of Sale" clause a lender can foreclose without court oversight A power of sale provision is a clause in the deed of trust or mortgage in which the borrower pre-authorizes the sale of property by way of a nonjudicial foreclosure to pay off the balance of the loan in the event of a default. With a power of sale foreclosure, the lender can foreclose without court oversight.
Broker M manages properties for several investors, and keeps separate escrow, operating and emergency repair accounts for each client. M's largest client is investor K, who has 43 properties under management contract with M. Over the weekend 6 of K's properties were severely damaged by a storm and the emergency repair account doesn't have enough to cover the repairs that are needed immediately to avoid further damage. K is out of the Country until Monday. In this case M should do which of the following? Pay for the work personally and seek reimbursement from K. Have the tenants pay for the work and assure them of reimbursement from K. Temporarily borrow the funds from the K's escrow account, as it is K's money. Work with the insurance company, and use the limited funds as wisely as possible to complete the repairs.
Work with the insurance company, and use the limited funds as wisely as possible to complete the repairs.
Broker Y is associated with managing broker R. Six weeks after closing a difficult transaction, the seller sends Y a $250 bonus check for all her exemplary work. In this situation: Anything over $100 is considered a fee. Y may accept the check only if disclosed to all parties at the time of offer and acceptance. Y may accept the check as this is outside of closing and not part of any fee agreement. Y may not accept compensation from anyone other than her managing broker.
Y may not accept compensation from anyone other than her managing broker
The Doctrine of "Caveat Emptor" implies which of the following? The seller is liable when a residency is vacant more than 30 days Special regulations prohibit the commingling of broker funds with those of the principal A buyer is responsible to examine a property thoroughly, rather than relying on the seller to point out potential problems Dual agency is limited based on customer versus client relationships
a buyer is responsible to examine a property thoroughly rather than relying on the seller to point out potential problems
Escrow moneys must be deposited in which of the following? An insured account in a chartered bank or trust company. A registered account with a bank or licensed escrow agent. A deposit account in any federally chartered bank. A demand account in an insured Indiana bank.
a demand account in an insured Indiana bank
In real estate terms, an estate for years also may be called: A joint tenancy A fee Fee simple conditional A leasehold
a leasehold An estate for years is a lease that begins and ends on a specific date. A fee is the ownership of real property, and joint tenancy is co-ownership of the same property by two or more people at the same time.
Broker A operates her own firm. When representing a buyer, broker A may be paid fees by all of the following except: cooperating brokerages. a party with whom no written agreement exists. the seller. the buyer.
a party with whom no written agreement exists.
After completing his broker course and passing the state exam, F applied for and was granted a license. It was later determined that F had cheated on both the pre-license and state exams by hacking the school and exam provider's computers and obtaining the exam questions. F's actions would be considered: a Class D misdemeanor a violation of the professional standards. a Schedule B violation. a breach of protocol.
a violation of the professional standards
Which of the following is not a governmental restriction on property? Eminent domain Police power Adverse possession Escheat
adverse possession
A dual agent shall: Treat both clients honestly Prepare and present offers at the direction of the parties All of the answers Act in an unbiased manner
all of the answers As a dual agent, the licensee can only obey the instructions of the parties; the agent cannot give unsolicited advice to either side.
A dual agent cannot: Act in a biased manner toward either buyer or seller All of the answers Advocate for either buyer or seller Negotiate on behalf of either buyer or seller
all of the answers The broker has a duty to be honest to both clients and follow the steps necessary to complete the transaction in an unbiased manner.
Julie wants to maximize her chances of getting paid on a property she is about to list. Which type of listing agreement gives her maximum protection? A. an exclusive agency listing B. a net listing C. an open listing D. an exclusive right to sell listing
an exclusive right to sell listing In an open, or exclusive agency listing, the owner can still sell and not pay the listing company a commission. An exclusive right to sell guarantees the company gets paid if the property sells.
Agent Z meets buyer F at an open house. While discussing what F is looking for in a property, F states his current home is listed for sale with agent P and that P hasn't sold it yet. F also says he can't buy until he sells this property. Z states that he knows of the property and would love to list it and help F. Z even offers to buy F a home warranty and list the property for a lower commission if F would get out of his listing with P and list with list with him. Agent Z actions would be considered: an incompetent practice. a class A infraction because the free warranty is an inducement to breach. no violation. no violation if F wanted to end the contract with P.
an incompetent practice. This is an incompetent practice because the agent encouraged and induced a party to a contract to breach that contract.
When a licensee is found guilty of violating Indiana license law, the Indiana Real Estate Commission may impose all of the following sanctions except: assign a criminal penalty. suspend their license and require additional continuing education. revoke their license. assess a civil penalty.
assign a criminal penalty
What is the document prepared by an attorney that states the attorney's opinion of the status of the title? Certificate of title Title insurance Abstract of title Title report
certificate of title A certificate of title is also evidence of title. This type of evidence has no guarantee associated with it.
Fee simple absolute estates are all of the following except: Perpetual Conditional Inheritable Transferable
conditional
Mortgages are recorded in order to: Transfer title to the mortgagee Comply with Truth-in-Lending regulations Assure amortization payments Create a valid lien
create a valid lien
Prorated taxes would be shown on the settlement statement as a: Credit to buyer and credit to seller Debit buyer, credit to seller Credit to buyer, debit to seller Debit to buyer and debit to seller
credit to buyer, debit to seller Prorated taxes are a credit to the buyer and a debit to the seller. The seller is responsible for taxes payable through the date of closing. Since (in most states) homeowners pay taxes in arrears of one year, the seller would have to bring the taxes current and give that money to the buyer as a credit.
Which of the following would terminate a listing agreement? Bankruptcy of the salesperson Change in asking price of the property Death of the principal Failure of a buyer to secure financing
death of the principal
Eric and Sue purchase a new home and lot which is accessible only through a 12-foot-wide easement across Mr. Wilson's property. In this situation, the land owned by Eric and Sue is referred to as the: Dominant tenement Appurtenancy Servient tenement Beneficiary
dominant tenement
All of the following are examples of real property except: Sump pump Bathtub Shed Drapes
drapes
What type of title insurance coverage protects the holder from damage due to a secret lien? Leasehold coverage Extended coverage Standard coverage Limited coverage
extended coverage
To obtain a broker license, a partnership must: be licensed itself, as the managing broker. have as partners only brokers and one who is a managing broker. have as partners only managing brokers. designate the general partner as the managing broker.
have as partners only brokers and one who is a managing broker.
A broker's ad for a listed property must not: include the owner's name if approved by the owner. have the managing broker's name larger than that of the broker. have the broker's name larger than that of the broker company. include only a P.O. Box, telephone number, or street address.
include only a P.O. Box, telephone number, or street address
"Gross income" best describes: Income minus debt service Income before expenses Income plus debt service Income after expenses
income before expenses
Broker X, who is also an appraiser, is selling his own commercial property. X performed his own appraisal to determine the value prior to placing it on the market. His estimate of value is $880,000 and to support this he includes the appraisal in his marketing materials. Buyer Z looks at the property and is provided all the marketing materials including the appraisal. Z writes an offer but insists on his own appraisal. X discloses he is the owner, but the appraisal makes no reference to him as the appraiser. X's actions would constitute which of the following? A schedule B infraction. No violation because the buyer is getting his own appraisal. Incompetent practice. No violation as X must only disclose he is the owner.
incompetent practice
An executive with a local company E was transferred out of state and received a buyout package of her home to facilitate the move. ABC Relocations Inc. from New York, NY bought the property and immediately lists the home with broker W who places it MLS/BLC. Now the sale of this property: exempts ABC from the use of the seller's disclosure form, but not W. is exempt from the use of the seller's disclosure form as it is a corporate relocation. is subject to the use of the seller's disclosure form. is not subject to the use of the seller's disclosure form as the owner has never occupied it.
is subject to the use of the seller's disclosure form. This is just the sale of a residential property and is not exempt from the use of the seller's disclosure form. A non-occupant owner may have limited exposure to the property, but any known defects, including those disclosed to them in the purchase from the executive must be disclosed, if they were not repaired. Licensees must ensure the proper use of the form and always disclose known defects regardless of whether the form is mandated or not.
All of the following are examples of specific liens except: Judgment Mechanic's Special assessments Property taxes
judgement
An unlicensed assistant may answer questions from a consumer regarding which of the following? Address, bedrooms and list price. List price, address and square footage. List price, address and directions. List price, bedrooms and baths.
list price, address and dirctions
A title free from defects that an owner has the right to convey is a/an: Marketable title Inequitable title Legal title Equitable title
marketable title A buyer expects to receive marketable title, and the seller is expected to convey a title free of defects.
The type of legal description that references monuments and landmarks best describes: Rectangular survey system Lot and block Leaps and bounds Metes and bounds
metes and bounds The metes and bounds system describes property by starting at an easily identifiable point of beginning, and ends up back at the same point.
An unlicensed property manager can do all of the following except: Furnishing published information Negotiating lease terms Maintenance Showing units
negotiating lease terms
Commercial Broker C refers a seller to residential broker R. R sells the property and a referral fee of 20% was paid to C when the sale closed. R misrepresented the condition of the property to the buyer who had to spend $12,500 on repairs for the undisclosed defects. Regarding liability for this, broker C would: be liable as a compensated licensee. not be liable. be liable if C had seen the defects. be liable if C didn't ensure the proper use of the seller's disclosure form.
not be liable
Listing broker P lists seller F's property for sale at $235,000. P receives an offer on Saturday afternoon at 6:00pm. The offer is for $200,000 and will expire on Sunday at 6:00pm. Broker P meets with seller F at 8:00pm on Saturday and F counters the offer at 9:00pm, and the counteroffer will expire on Monday at 10:00am. Regarding the counteroffer, P should: present the counteroffer no later than 12 hour prior to its' expiration. present the counteroffer to the other agent immediately. present the counteroffer the next morning during normal business hours. present the counteroffer at the first practical moment which would be Sunday morning. Q: 64 of 130
present the counteroffer to the other agent immediately.
What document is evidence of the relationship between property owner and property manager? Listing agreement Lease Property management agreement Buyer broker contract
property management agreement
What regulation under the Truth-in-Lending Act requires a lender to disclose credit costs? Regulation A Regulation D Regulation Z Regulation C
regulation z
Broker D had his license suspended for 1 year and was required to complete 20 hours of CE in the problem areas and complete 10 hours of community service. In the last 6 months D has completed 60 hours of CE and completed over 120 hours of community service and was just appointed to the board of trustees for the community organization and was awarded the volunteer of the year award. The Commission is very impressed with D's efforts. The Commission may: reinstate the license, but only to probationary status until the 1 year minimum suspension has passed. reinstate the license, but only after the one year term. not reinstate the license. reinstate the license if satisfied that D would practice competently.
reinstate the license if satisfied that D would practice competently.
Two weeks before closing, the buyer of a residential property receives the seller's disclosure form that discloses three material defects. At this point the buyer may do all of the following except? Renegotiate the transaction. Require the seller repair or replace the defects. Request the seller repair or replace the defects. Nullify the agreement within two banking days.
require the seller repair or replace the defects. Buyers can't force a seller to make repairs they didn't agree to, nor can the buyer be forced to buy a property materially different than the one the buyer bargained for. A buyer may renegotiate or nullify the transaction when a late disclosure is made.
When a landlord raises the rent after a tenant complains about code violations, what has occurred? Retaliation Constructive eviction Self-help eviction Unlawful detainer
retaliation
Your bundle of rights includes all of the following except: Right of use Right of encroachment Right of disposal Right of enjoyment
right of encroachment
The leasehold estate that can be terminated by either party and can not be assigned is: Tenancy at sufferance Periodic tenancy Joint tenancy Tenancy at will
tenancy at will
Tom, Rick, and Harry own a house. When Rick dies, his heirs receive his 1/3 interest. What type of co-ownership did they have? Tenancy by the entireties Joint tenancy Statutory survivorship Tenancy in common
tenancy in common
The morgtgagee is the
the lender
A real estate owner who leases the property is called: The lessor The lessee Mortgagee Vendor
the lessor
A contract is considered executed in the eyes of the law when: Both parties agree to terminate the agreement One of the parties can disaffirm the agreement without liability The parties have only performed some of the obligations The parties have completed all obligations
the parties have completed all obligations
"The subject property" best describes: The property for which the value is sought The property surrounding the base The property currently on the market The property compared to the base
the property for which the value is sought
A seller accepts an offer to purchase; one week later the listing agent learns the seller has filed bankruptcy. The listing agent should disclose this information to which of the following? The selling agent and the buyer immediately The selling agent and buyer once the bankruptcy is published in the newspaper. The seller's lender to avoid foreclosure prior to sale. No one, this is confidential information and disclosure could harm the client's interests.
the selling agent and the buyer immediately
Ed makes an offer to buy William's house for $45,000. William counters that he wishes to receive $47,000 for the house. Ed rejects William's counteroffer. William later says he will accept Ed's original offer of $45,000. Which of the following statements is true? It is a binding contract between Ed and William There is a unilateral contract between Ed and William There is a bilaterally enforceable contract between Ed and William There is no contract between Ed and William
there is no contract between Ed and William
To emphasize the timely performance as an essential part of the contract, a contract would use the words: The contract is at will Time is of no concern Material breach Time is of the essence
time is of the essence
Broker B receives her real estate license in August of the 3rd year of a 3 year license cycle. Broker B completes the 30 hours of post license education that fall. In addition to the post license education hours, how many hours of CE will B need to be eligible for her first renewal? 36 Zero 12 24
zero
