A Restaurant owner installed booths in a small shop. Later he decided to move to
a bigger
location. Can he take the booths and save some money?
a. No, the booths are attached to the building
b. Maybe, depends how he attached the booths
c. Yes, the booths are trade fixtures and can be removed prior to the end of the
lease.
d. Yes, the booths are trade fixtures and can be removed any time
e. No, the booths are fixtures since they are attached. - ANSWER c. Yes, the
booths are trade fixtures and can be removed prior to the end of the lease.
When can a Salesperson sign a sales contract for their client?
a. When the salesperson has a listing agreement
b. When the salesperson is the client's attorney in fact
c. Never, the client must always sign
d. When the salesperson has written permission from their client. - ANSWER b.
When the salesperson is the client's attorney in fact
The owner of a property you want to list has died. He/ She has four kids, and two
of them want to list the property. What should the agent do before listing the
property?
a. Have the deceased owner sign the listing agreement
b. List the property for the two kids
c. Require the other children to sign a quitclaim deed
d. Check the records to see who the current legal owner is
e. Only list the property with the signature of all four kids. - ANSWER d. Check the
records to see who the current legal owner is
Which of the following is true regarding a qualifying broker and a licensee?
a. The licensee must earn a minimum commission set by license law
b. The broker must establish work schedules for all licensee
c. The broker must withhold taxes from the licensee commission
d. The licensee and the broker must enter into a written agreement. - ANSWER d.
The licensee and the broker must enter into a written agreement.
When should a buyer or seller receive a copy of anything they sign?
a. Within 24 hours
,b. Within 48 hours
c. As soon as practically possibly
d. Immediately - ANSWER d. Immediately
A person having to walk through a bathroom to enter the master bedroom is an
example of what?
a. A big Master bedroom
b. Physical obsolescence
c. Building code violation
d. A historical design
e. Functional obsolescence - ANSWER e. Functional obsolescence
What is the value of a property that has a $1,200 monthly NOI, and 8% rate of
return?
a. $15,000
b. $115,200
c. $180,000
d. $18,000 - ANSWER c. $180,000
An uneducated person signs a sales contract with an "X", and he understands
the terms of the contract. Is the contract binding?
a. No, the uneducated person would need a guardian to sign
b. Yes, anyone over the age of 18 is a legal adult
c. Yes, because he understands the terms of the contract
d. No, the buyer is uneducated and therefor considered legally incompetent -
ANSWER c. Yes, because he understands the terms of the contract
When a buyer submits an offer that is accepted, what kind of intertest do they
now have in the property.
a. None, the property hasn't closed yet
b. An equitable interest in the property
c. A right of redemption interest
d. None, that buyer is Cray Cray and hasn't given the seller any money yet. -
ANSWER b. An equitable interest in the property
RESPA applies to which of the following transactions?
a. A purchase of a new farm
b. A gift deed contract of a home
c. A first Mortgage on a home
d. Land Sales contract of a home
e. All the above - ANSWER c. A first Mortgage on a home
,Your client purchases a home zoned as residential only, but they want to open a
home business. What must they do?
a. Get a nonconforming use permit
b. Put in a buffer zone
c. Get a conditional use permit
d. Open the business, and don't tell anyone. - ANSWER c. Get a conditional use
permit
A home sold at foreclosure would have which of the following liens paid off first?
a. A mortgage lien
b. A special assessment lien
c. A mechanical lien
d. An income tax lien - ANSWER b. A special assessment lien
The owner of a rental home you manage does not want the house advertised in
the local newspaper because his ex-husband works there. You know advertising
it in the paper will produce a qualified renter quickly. What should you do?
a. Advertise the property, your landlord agreement states you can use any means
necessary to acquire a tenant.
b. Advertise the property, but do not tell the owner you did so.
c. Do not advertise the property because you owe your client confidentially
d. Do not advertise the property because you owe your client obedience within
the law. - ANSWER d. Do not advertise the property because you owe your client
obedience within the law.
You client wants to purchase a home that is listed for $500,000 and ask you to put
in an offer of $490,000. They also ask you to put that the stove and new smart
refrigerator stay in the property. The seller agrees to the price and the stove but
refuses to leave the refrigerator. They like the fact that it can order groceries from
Amazon for them. You cross that part out and the seller initials it. What kind of
contract do you have?
a. A binding agreement
b. A terminated offer
c. An accepted offer
d. A counteroffer
e. Both B and D
f. Both A and C
g. A voided contract
h. None of the above - ANSWER e. Both B and D (B. terminated offer & D.
counteroffer )
, A salesperson shows a client a house with his own firm is creating what kind of
agency when he or she submits an offer for their buyer?
a. A general Agency
b. An implied agency
c. A Special Agency
d. A Dual Agency - ANSWER d. A Dual Agency
lender tells an agent to try and reduce the contract prices by $1,000 or their buyer
will not qualify. What should you as the agent do?
a. Amend the contract to reduce the price by $1,000 so your buyer will qualify.
b. Notify the seller and listing agent your client can't qualify for financing.
c. Explain you need authorization in writing by both parties.
d. Contact a new mortgage lender for your buyer, that can approve your buyer
and have
them be the new lender. - ANSWER c. Explain you need authorization in writing
by both parties.
Who pays for any repairs found in an inspection report?
a. The buyer
b. The seller
c. The listing Broker
d. The selling Broker
e. Split between all parties
f. Whatever is stated in the contract. - ANSWER f. Whatever is stated in the
contract.
A buyer and seller agree to do seller financing with a 30 year fully amortized loan.
The buyer became the owner on record and original owner has placed a lien on
the property to protect their interest in the event of non-payment. What type of
transaction is this?
a. A Land Contract
b. A Purchase money mortgage
c. A loan assumption
d. A reverse mortgage - ANSWER b. A Purchase money mortgage
Your client signed a sales contract, but later wanted to void the contract since he
was legally ruled incompetent prior to signing the contract. Can your client have
the contract voided?
a. NO, he signed the contract and must complete the transaction.
b. Yes, he was ruled legally incompetent prior to singing.
a bigger
location. Can he take the booths and save some money?
a. No, the booths are attached to the building
b. Maybe, depends how he attached the booths
c. Yes, the booths are trade fixtures and can be removed prior to the end of the
lease.
d. Yes, the booths are trade fixtures and can be removed any time
e. No, the booths are fixtures since they are attached. - ANSWER c. Yes, the
booths are trade fixtures and can be removed prior to the end of the lease.
When can a Salesperson sign a sales contract for their client?
a. When the salesperson has a listing agreement
b. When the salesperson is the client's attorney in fact
c. Never, the client must always sign
d. When the salesperson has written permission from their client. - ANSWER b.
When the salesperson is the client's attorney in fact
The owner of a property you want to list has died. He/ She has four kids, and two
of them want to list the property. What should the agent do before listing the
property?
a. Have the deceased owner sign the listing agreement
b. List the property for the two kids
c. Require the other children to sign a quitclaim deed
d. Check the records to see who the current legal owner is
e. Only list the property with the signature of all four kids. - ANSWER d. Check the
records to see who the current legal owner is
Which of the following is true regarding a qualifying broker and a licensee?
a. The licensee must earn a minimum commission set by license law
b. The broker must establish work schedules for all licensee
c. The broker must withhold taxes from the licensee commission
d. The licensee and the broker must enter into a written agreement. - ANSWER d.
The licensee and the broker must enter into a written agreement.
When should a buyer or seller receive a copy of anything they sign?
a. Within 24 hours
,b. Within 48 hours
c. As soon as practically possibly
d. Immediately - ANSWER d. Immediately
A person having to walk through a bathroom to enter the master bedroom is an
example of what?
a. A big Master bedroom
b. Physical obsolescence
c. Building code violation
d. A historical design
e. Functional obsolescence - ANSWER e. Functional obsolescence
What is the value of a property that has a $1,200 monthly NOI, and 8% rate of
return?
a. $15,000
b. $115,200
c. $180,000
d. $18,000 - ANSWER c. $180,000
An uneducated person signs a sales contract with an "X", and he understands
the terms of the contract. Is the contract binding?
a. No, the uneducated person would need a guardian to sign
b. Yes, anyone over the age of 18 is a legal adult
c. Yes, because he understands the terms of the contract
d. No, the buyer is uneducated and therefor considered legally incompetent -
ANSWER c. Yes, because he understands the terms of the contract
When a buyer submits an offer that is accepted, what kind of intertest do they
now have in the property.
a. None, the property hasn't closed yet
b. An equitable interest in the property
c. A right of redemption interest
d. None, that buyer is Cray Cray and hasn't given the seller any money yet. -
ANSWER b. An equitable interest in the property
RESPA applies to which of the following transactions?
a. A purchase of a new farm
b. A gift deed contract of a home
c. A first Mortgage on a home
d. Land Sales contract of a home
e. All the above - ANSWER c. A first Mortgage on a home
,Your client purchases a home zoned as residential only, but they want to open a
home business. What must they do?
a. Get a nonconforming use permit
b. Put in a buffer zone
c. Get a conditional use permit
d. Open the business, and don't tell anyone. - ANSWER c. Get a conditional use
permit
A home sold at foreclosure would have which of the following liens paid off first?
a. A mortgage lien
b. A special assessment lien
c. A mechanical lien
d. An income tax lien - ANSWER b. A special assessment lien
The owner of a rental home you manage does not want the house advertised in
the local newspaper because his ex-husband works there. You know advertising
it in the paper will produce a qualified renter quickly. What should you do?
a. Advertise the property, your landlord agreement states you can use any means
necessary to acquire a tenant.
b. Advertise the property, but do not tell the owner you did so.
c. Do not advertise the property because you owe your client confidentially
d. Do not advertise the property because you owe your client obedience within
the law. - ANSWER d. Do not advertise the property because you owe your client
obedience within the law.
You client wants to purchase a home that is listed for $500,000 and ask you to put
in an offer of $490,000. They also ask you to put that the stove and new smart
refrigerator stay in the property. The seller agrees to the price and the stove but
refuses to leave the refrigerator. They like the fact that it can order groceries from
Amazon for them. You cross that part out and the seller initials it. What kind of
contract do you have?
a. A binding agreement
b. A terminated offer
c. An accepted offer
d. A counteroffer
e. Both B and D
f. Both A and C
g. A voided contract
h. None of the above - ANSWER e. Both B and D (B. terminated offer & D.
counteroffer )
, A salesperson shows a client a house with his own firm is creating what kind of
agency when he or she submits an offer for their buyer?
a. A general Agency
b. An implied agency
c. A Special Agency
d. A Dual Agency - ANSWER d. A Dual Agency
lender tells an agent to try and reduce the contract prices by $1,000 or their buyer
will not qualify. What should you as the agent do?
a. Amend the contract to reduce the price by $1,000 so your buyer will qualify.
b. Notify the seller and listing agent your client can't qualify for financing.
c. Explain you need authorization in writing by both parties.
d. Contact a new mortgage lender for your buyer, that can approve your buyer
and have
them be the new lender. - ANSWER c. Explain you need authorization in writing
by both parties.
Who pays for any repairs found in an inspection report?
a. The buyer
b. The seller
c. The listing Broker
d. The selling Broker
e. Split between all parties
f. Whatever is stated in the contract. - ANSWER f. Whatever is stated in the
contract.
A buyer and seller agree to do seller financing with a 30 year fully amortized loan.
The buyer became the owner on record and original owner has placed a lien on
the property to protect their interest in the event of non-payment. What type of
transaction is this?
a. A Land Contract
b. A Purchase money mortgage
c. A loan assumption
d. A reverse mortgage - ANSWER b. A Purchase money mortgage
Your client signed a sales contract, but later wanted to void the contract since he
was legally ruled incompetent prior to signing the contract. Can your client have
the contract voided?
a. NO, he signed the contract and must complete the transaction.
b. Yes, he was ruled legally incompetent prior to singing.
