CRES Contracts and Regs 8 Exam Questions with Correct Answers

CRES Contracts and Regs 8 Exam
Questions with Correct Answers
AAbuyerAhasAdepositAitAwithAaAbrokerA10%AofAtheAsalesApriceAasAearnestAmoney.ATheAbank
AhasAagreedAtoAlendA$51,000A(80%AofAtheAsalesAprice).AWhatAdidAtheAbuyerAdepositAasAear
nestAmoney?A-AAnswerA$6375


WhenAaAbrokerApresentsAtheAdefinitionsAofAworkingArelationshipsAformAtoAaApurchaser:A-
AAnswerAThisAisAnotAconsideredAcompleteAdisclosureAofAagency



EveryApotentialApurchaserAinAColoradoAmustAbeAgivenAaAcopyAof:A-
AAnswerAEveryAdocumentAthatAtheyAhaveAsigned



AnAexampleAofAwhatAtheAHOAAduesAwouldAnotAbeAusedAtoApayAis:A-
AAnswerAPersonalApropertyAofAindividual



UnderAtheAcommissionAapprovedAcontractAtoAbuyAandAsell,AifAtheAbuyerAdiligentlyAtryAtoAget
Aalone,AwasAunableAtoAdoAsoAandAnotifiedAtheAsellerAofAsuchAbeforeAtheAloanAobjectionAdea
dlineAhadApassed,AwhatAwouldAhappenAtoAtheAearnestAmoneyAdepositAit?A-
AAnswerATheAbrokerAwouldAreleaseAtheAmoneyAbackAtoAtheAbuyer



AccordingAtoAtheArulesAandAregulationsAofAtheAColoradoArealAestateAcommission,AaAbrokerAis
ArequiredAtoArecommendAthat:A-AAnswerATheAbuyerAhaveAtitleAreviewedAbyAlegalAcounsel



WhoAgetsAaAcopyAofAtheAcontractA-AAnswerAAllAofAtheAaboveA(buyer,Aseller,Abroker)


UponAacceptanceAbyAtheAsellerAupAaApurchaseAandAsaleAagreement,AtheAbuyer:A-
AAnswerAHasAanAequitableAinterestAinAtheAproperty



AAsellerAsinceAtheAbuyerAaAcounterAproposalAtoAhisAoffer.AWhichAbestAdescribesAtheAsituation
?A-AAnswerATheAbuyerAisAnoAlongerAobligatedAunderAtheAoriginalAoffer


AtAorAbeforeAtheAsigningAofAtheAcontractAforAsale,AeveryAcondominiumAunitAbuyerAmustAbeAp
rovidedAbyAtheAsellerAwith:A-
AAnswerAAAcopyAofAtheAamendmentsAtoAtheAcondominiumAassociatedAby-laws.

, TheAHartmansAhomeAisAvaluedAatA$650,000.APropertiesAinAthatAareaAareAassessedAatA60%A
ofAtheAvalue,AandAtheAlocalAtaxArateAisA$2.85AperA$100AofAassessedAvalue.AHowAmuchAareA
theAHackman'sAmonthlyAtaxes?A-AAnswerA$926.25


AAcounterAofferAisAmadeAwhatAhappensAtoAtheAoriginalAoffer?A-
AAnswerAItAisAdeemedArejected



PartiesAtoAhaveAaAdisputeAtoAanAapprovedAcontractAmust:A-
AAnswerAMediateAtoAseekAresolution



IfAaArefrigeratorAfailsApriorAtoAclosingAandAafterAaAcontractAhasAbeenAaccepted,AaccordingAto
AtheAColoradoAcontractAtoAbuyAandAsellAtheAsellerAmust?A-
AAnswerAMayAreplaceAitAorArepairAitAwithAaAsimilarAusedArefrigerator



TheAColoradoAcontractAtoAbuyAandAsellAincludesAaAprovisionAaboutAleadAbasedApaintAdisclosu
re.AAccordingAtoAthisAprovision,AifAtheAbuildingApermitAwasAissuedApriorAtoAJanuaryA1,A1978
:A-
AAnswerATheAcontractAisAvoidAunlessAdisclosureAisAsignedAbyAtheAseller,AbuyerAandAbrokers
ApriorAtoAtheApartyAsigningAtheAsalesAagreement


InAtheAsectionAonApurchaseApriceAandAtermsAinAaAresidentialAcontractAtoAbuyAandAsell,Awhich
AofAtheAfollowingAisAtrueAconcerningAtheAentryAforAcashAatAclosing?A-
AAnswerAItAdoesAnotAincludeAtheAbuyersAclosingAcost,AsuchAasAloanAfees



WhatAisAtheAeffectAofAaAloanAobjectionAdeadlineAwhenAspecifiedAinAanAapprovedAresidentialAc
ontractAtoAbuyAandAsell?A-
AAnswerAIfAtheAbuyerAcannotAgetAaAsatisfactoryAwrittenAloanAcommitmentAbyAtheAdate,Athe
AbuyerAmayAterminateAtheAcontractAuponAwrittenAnoticeAtoAtheAseller


WhichAofAtheAfollowingAisAtrueAifAaAbuyerAreceivesAaApropertyAinspectionAreportAindicatingAs
everalAapparentlyAseriousAproblemsAonAtheAdayAafterAtheAinspectionAobjectionAdeadline?A-
AAnswerATheAbuyerAmissAtheAopportunityAtoAobjectAbasedAonAinspectionAissues,AandAtheAco
ntractAisAstillAinAforce


WhatAisAconsideredAaAproperAresponseAbyAtheAsellerAwhenAheAorAsheAreceivesAanAofferAfrom
AaAbuyer?A-
AAnswerACheckAinAanAappropriateAbox,AinitialAinAtheAform,AandAsubmittingAaAcounterAprop
osal