A home inspection revealed that black bold is present in a home? D. To seek expert advice
About should the buyer's agent tell the buyer? A. That black mold
is toxic and that the buyer should not buy the house B. That mold
is commonplace, and can be cleaned up with bleach C. To require
the seller to remedy the problem D. To seek expert advice
A seller wants to net $60,000 from a transaction but will have to C. $260,000 (Add the net + other costs -> $60,000 + $181,800 = $241,800) Subtract the
pay off a mortgage and other fees, at a total cost of $181.800. The commission percentage from 100 (100 - 7 = 93) and then divide the total by that percentage
seller will also need to pay a 7% commission. What will the ($241,.93 = $260,000)
property need to sell for? A. $241,800 B. $258,726 C. $260,000 D.
$276,060
A buyer asks the buyer's agent to write an offer on terms that don't B. Buyer's agent is permitted to unilaterally terminate the agency relationship
match the listing agreement. They buyer's agent refuses to write
the offer and then, in writing, unliterally terminates the agency
relationship with the buyer. Which is true? A. A buyer's agent will
be subject to disciplinary action B. Buyer's agent is permitted to
unilaterally terminate the agency relationship C. Buyer's agent is
allowed to terminate the agency, but must write the offer before
terminating D. Buyer's agent is not permitted to write such an
offer
Closing is set for August 1. The seller has already paid the B. $2,500 ($ months = 500. $500 x 5 months = $2,500)
property taxes for the year, totaling $6,000. How much of that
amount is the buyer's responsibility? A. $2,000 B. $2,500 C.
$3,000 D. $3,500
The IRS issues rules that determine when a real estate agent is an B. The brokerage may require an independent contractor to have a cell phone
employee and when he is an independent contractor. Which of the
following statements of that topic is false? A. The brokerage may
allow an independent contractor to place her own ads but the ads
must conform with the firm's advertising rules B. The brokerage
may require an independent contractor to have a cell phone C. The
brokerage will take taxes from an employee's paycheck D. The
brokerage will tell an employee when to work certain hours
A tenant has already paid his $1,200 rent for the month for a B. $600 debit to the seller and $600 credit to the buyer
single-family property. The property's owner sells it to a new
buyer with closing occurring on the 15th of June. The parties
decide that the seller is entitled to rent for the closing date. On the
settlement statement, the prorated rent will appear as: A. $600
debit for the buyer and $600 credit to the seller B. $600 debit to
the seller and $600 credit to the buyer C. $1,200 credit for the
buyer D. $1,200 credit for the seller
Mineral rights associated with real property are always A. B. separable and divisible
conveyed along with the surface rights to the property B. separable
and divisible C. sold separately from the property D. an interest in
personal property
John, Kevin and Lyle own a property as tenants in common, but D. Obtain a court order to sell the property
only Kevin and Lyle live on the property. John would like to see
the property for redevelopment, but Kevin and Lyle refuse. What
is John's best option? A. Charge Kevin and Lyle rent B. Create a
trust to manage the property C. Evict Kyle and Lyle D. Obtain a
court order to sell the property
W, age 17, enters into an installment contract to purchase a five- B. voidable by W only
year-old car from S, an adult. From a legal point of view, the
contract is A. void B. voidable by W only C. voidable by S only D.
voidable by either S or W
An investor wants to invest $250,000 in the development of a strip D. No, because this is a commercial transaction
mall by taking out a loan secured by a residential property that he
owns. Will the Truth in Lending Act apply to this transaction? A.
Yes, because the loan is for less than $500,000 B. Yes, because the
loan is secured by residential property C. No, because the loan is
for more than $50,000 D. No, because this is a commercial
transaction
While preparing a competitive marketing analysis, an agent finds D. none of them, because they are all older than nine months
four comparables to choose from. Comparable 1 sold for $180,000
13 months ago under normal conditions. Comparable 2 sold for
$190,000 14 months ago under normal conditions. Comparable 3
sold for $175,000 10 months ago as a foreclosure. Comparable 4
sold for $180,000 16 months ago as a foreclosure. The agent
should use A. the oldest two B. the newest two C. all four D. none
of them, because they are all older than nine months
An investor rents a property to a tenant. For tax purposes, C. price, plus capital improvements, minus the land value
depreciation on this property is based on: A. market value, plus
capital improvements, minus the land value B. market value, plus
rental income, minus the land value C. price, plus capital
improvements, minus the land value D. price, plus rental income,
minus the land value
, Property management for residential property is different from B. future space needs of a commercial tenant than of a residential tenant
property management for commercial property, in that a manager
would be more concerned about A. a written lease for residential
tenant than for a commercial tenant B. future space needs of a
commercial tenant than of a residential tenant C. The credit rating
of a commercial tenant than of a residential tenant D. the security
deport of a commercial tenant than of a residential tenant
When part of the land is removed, but the boundaries of a property C. avulsion
generally stay the same, it is known as A. accretion B. adverse
possession C. avulsion D. partition
An apartment building is right where a new city park is going to C. Yes, if it notice is provided to the tenants and they receive relocation assistance
be built. The city condemns it. Can the city terminate the leases of
the building's tenants? A. No, because this is a violation of the
federal Fair Housing Act B. No, if the government forces a
landlord to breach a contract with a tenant, it is violation the
Landlord-Tenant Act C. Yes, if it notice is provided to the tenants
and they receive relocation assistance D. Yes, if the tenants receive
just compensation from the city
An offer is dated June 4. The offer is accepted June 7. The buyers B. June 7
are approved for a loan and satisfy the financing contingency on
June 9. The transaction closes on June 28. The date of the contract
is A. June 4 B. June 7 C. June 9 D. June 28
A couple with children would like to buy a house that was built in B. Make sure the buyers receive a pamphlet on lead-based paint
1950. The home was recently remolded, with completely new
paint and plumbing. In this situation, what does the agent always
have to do? A. Ensure that the paint used during the remodel is
lead-free B. Make sure the buyers receive a pamphlet on lead-
based paint C. Provide them with a copy of a recent lead
inspection report D. Nothing, the house was remodeled so lead-
based paint rules don't apply
A buyers' purchase and sale agreement contained a financing C. tell the buyers about their right to receive the denial in writing
contingency. The buyer's applied for a loan with a local lender,
who verbally informed them their their loan application was
denied. They buyers' agent should A. ask the sellers to provide a
purchase money loan instead B. have the sellers extend the
contingency deadline C. tell the buyers about their right to receive
the denial in writing D. terminate the agency agreement
A former mansion has been divided into three apartments. The B. income
best approach to finding the property's value is A. cost B. income
C. reconciliation D. sales comparion
A residential property manager should inform prospective tenants B. the planned removal of a swimming pool
about A. a neighbor who is an alcoholic B. the planned removal of
a swimming pool C. the property's appraised value D. the racial
composition of the tenants
A rural lot runs 500 feet east/west along its northern boundary, and B. $660,000 (Find sqft of rectangle -> 500 x 200; find sqft of triangle [(1/2) x 100] x 200. Total
600 feet east/west along its southern boundary. Its eastern = 110,000 x $6 = $660,000
boundary runs 200 feet due north,south while its western boundary
runs 224 feet in a diagonal northeast/southwest direction. The cost
of the land is $6 per sqft. What is the cost of this lot? A. $600,000
B. $660,000 C. 672,000 D. $720,000
What information does an appraiser need in order to calculate a D. Value and net income
capitalization rate? A. Price and gross income B. Price and net
income C. Value and gross income D. Value and net income
To avoid tenant problems, a landlord is best off using a D. specific rules and regulations
standardized lease form that includes A. a copy of the Uniform
Landlord Tenant Act B. a warranty of quiet enjoyment C. A
tenancy at will provision D. specific rules and regulations
Rodger purchases a home for $200,000 and receives an 80% loan A. $4,800 ($200,000 x 0.8 = $160,000 x 0.03 = $4,800)
from his bank. He has to pay three discount points to receive the
loan. He is also responsible for a 1% origination fee and a $300
appraisal. The seller paid a 6% commission to the listing
brokerage. What is the amount of the discount points that he paid?
A. $4,800 B. $6,000 C. $6,400 D. $7,500
A buyer purchases a rental home that is fully furnished. The B. bill of sale
document used to transfer title to the furniture is a A. quitclaim
deed B. bill of sale C. special warranty deed D. general warranty
deed
Ben receives a life estate in a property, with the nephew Will B. Life estate
designated as the remainderman. When Ben dies, what kind of
interest does Will receive? A. Fee simple estate B. Life estate C.
Remainder interest D. Reversionary interest
About should the buyer's agent tell the buyer? A. That black mold
is toxic and that the buyer should not buy the house B. That mold
is commonplace, and can be cleaned up with bleach C. To require
the seller to remedy the problem D. To seek expert advice
A seller wants to net $60,000 from a transaction but will have to C. $260,000 (Add the net + other costs -> $60,000 + $181,800 = $241,800) Subtract the
pay off a mortgage and other fees, at a total cost of $181.800. The commission percentage from 100 (100 - 7 = 93) and then divide the total by that percentage
seller will also need to pay a 7% commission. What will the ($241,.93 = $260,000)
property need to sell for? A. $241,800 B. $258,726 C. $260,000 D.
$276,060
A buyer asks the buyer's agent to write an offer on terms that don't B. Buyer's agent is permitted to unilaterally terminate the agency relationship
match the listing agreement. They buyer's agent refuses to write
the offer and then, in writing, unliterally terminates the agency
relationship with the buyer. Which is true? A. A buyer's agent will
be subject to disciplinary action B. Buyer's agent is permitted to
unilaterally terminate the agency relationship C. Buyer's agent is
allowed to terminate the agency, but must write the offer before
terminating D. Buyer's agent is not permitted to write such an
offer
Closing is set for August 1. The seller has already paid the B. $2,500 ($ months = 500. $500 x 5 months = $2,500)
property taxes for the year, totaling $6,000. How much of that
amount is the buyer's responsibility? A. $2,000 B. $2,500 C.
$3,000 D. $3,500
The IRS issues rules that determine when a real estate agent is an B. The brokerage may require an independent contractor to have a cell phone
employee and when he is an independent contractor. Which of the
following statements of that topic is false? A. The brokerage may
allow an independent contractor to place her own ads but the ads
must conform with the firm's advertising rules B. The brokerage
may require an independent contractor to have a cell phone C. The
brokerage will take taxes from an employee's paycheck D. The
brokerage will tell an employee when to work certain hours
A tenant has already paid his $1,200 rent for the month for a B. $600 debit to the seller and $600 credit to the buyer
single-family property. The property's owner sells it to a new
buyer with closing occurring on the 15th of June. The parties
decide that the seller is entitled to rent for the closing date. On the
settlement statement, the prorated rent will appear as: A. $600
debit for the buyer and $600 credit to the seller B. $600 debit to
the seller and $600 credit to the buyer C. $1,200 credit for the
buyer D. $1,200 credit for the seller
Mineral rights associated with real property are always A. B. separable and divisible
conveyed along with the surface rights to the property B. separable
and divisible C. sold separately from the property D. an interest in
personal property
John, Kevin and Lyle own a property as tenants in common, but D. Obtain a court order to sell the property
only Kevin and Lyle live on the property. John would like to see
the property for redevelopment, but Kevin and Lyle refuse. What
is John's best option? A. Charge Kevin and Lyle rent B. Create a
trust to manage the property C. Evict Kyle and Lyle D. Obtain a
court order to sell the property
W, age 17, enters into an installment contract to purchase a five- B. voidable by W only
year-old car from S, an adult. From a legal point of view, the
contract is A. void B. voidable by W only C. voidable by S only D.
voidable by either S or W
An investor wants to invest $250,000 in the development of a strip D. No, because this is a commercial transaction
mall by taking out a loan secured by a residential property that he
owns. Will the Truth in Lending Act apply to this transaction? A.
Yes, because the loan is for less than $500,000 B. Yes, because the
loan is secured by residential property C. No, because the loan is
for more than $50,000 D. No, because this is a commercial
transaction
While preparing a competitive marketing analysis, an agent finds D. none of them, because they are all older than nine months
four comparables to choose from. Comparable 1 sold for $180,000
13 months ago under normal conditions. Comparable 2 sold for
$190,000 14 months ago under normal conditions. Comparable 3
sold for $175,000 10 months ago as a foreclosure. Comparable 4
sold for $180,000 16 months ago as a foreclosure. The agent
should use A. the oldest two B. the newest two C. all four D. none
of them, because they are all older than nine months
An investor rents a property to a tenant. For tax purposes, C. price, plus capital improvements, minus the land value
depreciation on this property is based on: A. market value, plus
capital improvements, minus the land value B. market value, plus
rental income, minus the land value C. price, plus capital
improvements, minus the land value D. price, plus rental income,
minus the land value
, Property management for residential property is different from B. future space needs of a commercial tenant than of a residential tenant
property management for commercial property, in that a manager
would be more concerned about A. a written lease for residential
tenant than for a commercial tenant B. future space needs of a
commercial tenant than of a residential tenant C. The credit rating
of a commercial tenant than of a residential tenant D. the security
deport of a commercial tenant than of a residential tenant
When part of the land is removed, but the boundaries of a property C. avulsion
generally stay the same, it is known as A. accretion B. adverse
possession C. avulsion D. partition
An apartment building is right where a new city park is going to C. Yes, if it notice is provided to the tenants and they receive relocation assistance
be built. The city condemns it. Can the city terminate the leases of
the building's tenants? A. No, because this is a violation of the
federal Fair Housing Act B. No, if the government forces a
landlord to breach a contract with a tenant, it is violation the
Landlord-Tenant Act C. Yes, if it notice is provided to the tenants
and they receive relocation assistance D. Yes, if the tenants receive
just compensation from the city
An offer is dated June 4. The offer is accepted June 7. The buyers B. June 7
are approved for a loan and satisfy the financing contingency on
June 9. The transaction closes on June 28. The date of the contract
is A. June 4 B. June 7 C. June 9 D. June 28
A couple with children would like to buy a house that was built in B. Make sure the buyers receive a pamphlet on lead-based paint
1950. The home was recently remolded, with completely new
paint and plumbing. In this situation, what does the agent always
have to do? A. Ensure that the paint used during the remodel is
lead-free B. Make sure the buyers receive a pamphlet on lead-
based paint C. Provide them with a copy of a recent lead
inspection report D. Nothing, the house was remodeled so lead-
based paint rules don't apply
A buyers' purchase and sale agreement contained a financing C. tell the buyers about their right to receive the denial in writing
contingency. The buyer's applied for a loan with a local lender,
who verbally informed them their their loan application was
denied. They buyers' agent should A. ask the sellers to provide a
purchase money loan instead B. have the sellers extend the
contingency deadline C. tell the buyers about their right to receive
the denial in writing D. terminate the agency agreement
A former mansion has been divided into three apartments. The B. income
best approach to finding the property's value is A. cost B. income
C. reconciliation D. sales comparion
A residential property manager should inform prospective tenants B. the planned removal of a swimming pool
about A. a neighbor who is an alcoholic B. the planned removal of
a swimming pool C. the property's appraised value D. the racial
composition of the tenants
A rural lot runs 500 feet east/west along its northern boundary, and B. $660,000 (Find sqft of rectangle -> 500 x 200; find sqft of triangle [(1/2) x 100] x 200. Total
600 feet east/west along its southern boundary. Its eastern = 110,000 x $6 = $660,000
boundary runs 200 feet due north,south while its western boundary
runs 224 feet in a diagonal northeast/southwest direction. The cost
of the land is $6 per sqft. What is the cost of this lot? A. $600,000
B. $660,000 C. 672,000 D. $720,000
What information does an appraiser need in order to calculate a D. Value and net income
capitalization rate? A. Price and gross income B. Price and net
income C. Value and gross income D. Value and net income
To avoid tenant problems, a landlord is best off using a D. specific rules and regulations
standardized lease form that includes A. a copy of the Uniform
Landlord Tenant Act B. a warranty of quiet enjoyment C. A
tenancy at will provision D. specific rules and regulations
Rodger purchases a home for $200,000 and receives an 80% loan A. $4,800 ($200,000 x 0.8 = $160,000 x 0.03 = $4,800)
from his bank. He has to pay three discount points to receive the
loan. He is also responsible for a 1% origination fee and a $300
appraisal. The seller paid a 6% commission to the listing
brokerage. What is the amount of the discount points that he paid?
A. $4,800 B. $6,000 C. $6,400 D. $7,500
A buyer purchases a rental home that is fully furnished. The B. bill of sale
document used to transfer title to the furniture is a A. quitclaim
deed B. bill of sale C. special warranty deed D. general warranty
deed
Ben receives a life estate in a property, with the nephew Will B. Life estate
designated as the remainderman. When Ben dies, what kind of
interest does Will receive? A. Fee simple estate B. Life estate C.
Remainder interest D. Reversionary interest
