Midterm test (75 questions)
Study online at https://quizlet.com/_56oq14
1. Which of the following is NOT considered to be an economic characteristic of
land:
A. scarcity
B. improvements
C. location
D. immobility: D. immobility
2. A property is listed for $110,000. On March 1, the seller accepts a written
offer for $105,000 and the closing date is set for June 15. On March 15, it is
announced that a new shopping center will be built near the property. The
seller believes that the property is now worth $145,000. Which of the following
should determine the amount paid at closing?
A. the amount specified by the accepted offer
B. a fair market price as determined by a certified appraiser
C. the original listing price since that is what the seller thought was fair
D. a price halfway between the accepted offer price and the price that the seller
believes is the value of the property: A. the amount specified by the accepted offer
3. Which of the following actions would NOT LIKELY create an agency relation-
ship?
A. a broker shows several properties to a customer
B. a broker agrees to find a buyer for a friend's home for no commission
C. a broker and seller sign a listing agreement
D. a broker manages a client's real property: A. a broker shows several properties to a customer
4. A change in zoning from multi family use to single family use would be an
example of:
A. down zoning
B. up zoning
C. directive zoning
D. spot zoning: A. down zoning
, Midterm test (75 questions)
Study online at https://quizlet.com/_56oq14
5. A buyer and seller have a verbal agreement stating that the seller will pay all
closing costs. When the agreement was put in writing, the agreement stated
that the buyer would pay all closing costs. If the seller and buyer sign the
agreement as written, who would MOST LIKELY be responsible for the closing
costs?
A. seller
B. buyer
C. lender
D. broker: B. buyer
6. A property was listed for $125,000 and the broker found a buyer who made
an offer of $115,000, which was not accepted by the seller. This situation would
be best described as:
A. first right of refusal
B. installment sale
C. option to purchase
D. rejected offer: D. rejected offer
7. A bowling alley is located on the outskirts of the city. The area was recently
rezoned for residential use. Will this change affect the present operation of the
bowling alley?
A. Yes, they will have to relocate.
B. Yes, to continue operating the bowling alley, a petition for a variance must
be filed with the zoning appeal board.
C. No, the bowling alley is considered a nonconforming use because it was
constructed prior to the enactment of the ordinance so it may continue to
operate.
D. No, the bowling alley benefits the residential area.: C. No, the bowling alley is considered
a nonconforming use because it was constructed prior to the enactment of the ordinance so it may continue to operate.
8. Under a lease, the leasehold estate is a right belonging to:
, Midterm test (75 questions)
Study online at https://quizlet.com/_56oq14
A. landlord
B. tenant
C. remainderman
D. reversioner: B. tenant
9. The developer of a property is planning to install an underground septic
tank and needs information to determine the soil's absorption and drainage
capacity. This information would be obtained from:
A. a survey
B. a percolation test
C. the building codes
D. an appraisal: B. a percolation test
10. To allow a more intensive use of subdivision land, a zoning variation would
be required to permit which of the following?
A. A decrease in the number of building per acre.
B. An increase in the number of building sites per acre.
C. Deed restrictions prohibiting the sale of any individual lot to a family of fewer
than four persons.
D. Deed restrictions prohibiting the shrinkage of the backyard area in any
residential lot.: B. An increase in the number of building sites per acre.
11. A listing agreement provides for the payment of a commission to the broker
even if the owner sells the property without the broker's help. This type of
listing agreement is called:
A. net listing
B. exclusive agency listing
C. exclusive right to sell listing
D. open listing: C. exclusive right to sell listing
12. In a deed, which of the following is TRUE?
A. the grantee is the seller
Study online at https://quizlet.com/_56oq14
1. Which of the following is NOT considered to be an economic characteristic of
land:
A. scarcity
B. improvements
C. location
D. immobility: D. immobility
2. A property is listed for $110,000. On March 1, the seller accepts a written
offer for $105,000 and the closing date is set for June 15. On March 15, it is
announced that a new shopping center will be built near the property. The
seller believes that the property is now worth $145,000. Which of the following
should determine the amount paid at closing?
A. the amount specified by the accepted offer
B. a fair market price as determined by a certified appraiser
C. the original listing price since that is what the seller thought was fair
D. a price halfway between the accepted offer price and the price that the seller
believes is the value of the property: A. the amount specified by the accepted offer
3. Which of the following actions would NOT LIKELY create an agency relation-
ship?
A. a broker shows several properties to a customer
B. a broker agrees to find a buyer for a friend's home for no commission
C. a broker and seller sign a listing agreement
D. a broker manages a client's real property: A. a broker shows several properties to a customer
4. A change in zoning from multi family use to single family use would be an
example of:
A. down zoning
B. up zoning
C. directive zoning
D. spot zoning: A. down zoning
, Midterm test (75 questions)
Study online at https://quizlet.com/_56oq14
5. A buyer and seller have a verbal agreement stating that the seller will pay all
closing costs. When the agreement was put in writing, the agreement stated
that the buyer would pay all closing costs. If the seller and buyer sign the
agreement as written, who would MOST LIKELY be responsible for the closing
costs?
A. seller
B. buyer
C. lender
D. broker: B. buyer
6. A property was listed for $125,000 and the broker found a buyer who made
an offer of $115,000, which was not accepted by the seller. This situation would
be best described as:
A. first right of refusal
B. installment sale
C. option to purchase
D. rejected offer: D. rejected offer
7. A bowling alley is located on the outskirts of the city. The area was recently
rezoned for residential use. Will this change affect the present operation of the
bowling alley?
A. Yes, they will have to relocate.
B. Yes, to continue operating the bowling alley, a petition for a variance must
be filed with the zoning appeal board.
C. No, the bowling alley is considered a nonconforming use because it was
constructed prior to the enactment of the ordinance so it may continue to
operate.
D. No, the bowling alley benefits the residential area.: C. No, the bowling alley is considered
a nonconforming use because it was constructed prior to the enactment of the ordinance so it may continue to operate.
8. Under a lease, the leasehold estate is a right belonging to:
, Midterm test (75 questions)
Study online at https://quizlet.com/_56oq14
A. landlord
B. tenant
C. remainderman
D. reversioner: B. tenant
9. The developer of a property is planning to install an underground septic
tank and needs information to determine the soil's absorption and drainage
capacity. This information would be obtained from:
A. a survey
B. a percolation test
C. the building codes
D. an appraisal: B. a percolation test
10. To allow a more intensive use of subdivision land, a zoning variation would
be required to permit which of the following?
A. A decrease in the number of building per acre.
B. An increase in the number of building sites per acre.
C. Deed restrictions prohibiting the sale of any individual lot to a family of fewer
than four persons.
D. Deed restrictions prohibiting the shrinkage of the backyard area in any
residential lot.: B. An increase in the number of building sites per acre.
11. A listing agreement provides for the payment of a commission to the broker
even if the owner sells the property without the broker's help. This type of
listing agreement is called:
A. net listing
B. exclusive agency listing
C. exclusive right to sell listing
D. open listing: C. exclusive right to sell listing
12. In a deed, which of the following is TRUE?
A. the grantee is the seller
