PSI National Exam for Real Estate Questions
and Answers
A written agreement in which a purchaser agrees to buy and a seller agrees to
sell is called
a contract
Antitrust laws prohibit competing brokers from all of the following
1. boycotting other brokers in the marketplace.
2. dividing the market to restrict competition.
3. agreeing to set sales commissions and management rates.
When a sewer line is installed down a rural road, the cost will probably be
shared by
all current owners of real estate fronting on that road
State laws differ on whether a buyer is entitled to know about
a suicide that occurred in the house last year.
,A lawsuit for inverse condemnation may be brought by
a homeowner
When is racial discrimination in the rental of rooms or apartments permitted?
Under no circumstances
The real estate broker who is listing a house for sale should personally verify
the number of square feet in the building
Real property can be converted to personal property by
Severance
Prospective buyers made an offer on a property. The seller did NOT accept, but
made a counteroffer. The prospective buyers signed the counteroffer and the
real estate agent delivered their acceptance to the seller.
In the interim, the same buyers had found another house that they liked better
and made an offer on it, which was accepted. Which of the following is TRUE?
Both contracts are valid
,Although states make specific laws governing water rights and the rights in land
that borders water, most states generally follow one of two basic doctrines
regarding water rights. In many states, the common law doctrine of riparian and
littoral rights dictates that water rights are automatically conveyed with
property. In others, all water rights are controlled by the state under the
doctrine of
prior appropriation
The purpose of requiring an earnest money deposit in a real estate sales
contract is to
provide evidence of the buyer's intention to carry out the contract.
A buyer is getting a fully amortized loan for $220,000. The bank will give the
buyer the loan for 15 years at 5 1/2% or for 30 years at 6 1/2%. To the nearest
cent, what is the difference between the monthly payments for these two loans?
(BE SURE TO USE THE AMORTIZATION TABLE.)
$409.20.
A borrower has defaulted on the mortgage. The mortgage contains an
acceleration clause. This permits the lender to
demand immediate payment of the entire note
, The FHA functions MOST like
an insurance company
1. They are used to buy down interest rate.
2. They are a function of the marketplace.
3. They are paid by either the buyer or the seller.
discount points
When land is conveyed to a trustee, the trustee may
do whatever is permitted under the trust agreement
A prospective buyer made an offer to purchase a property. The owner
responded with a counteroffer. While the buyer was reviewing the counteroffer,
the owner received a better offer. The owner can accept the second offer if
the owner withdraws the counteroffer before it is accepted.
While an agent is showing a listed property, the seller and the buyer enter into
an oral agreement for the purchase of the home. If a dispute over the terms
arises later, the agreement may be unenforceable because
The Agreement Does Not Comply With The Statute Of Frauds
and Answers
A written agreement in which a purchaser agrees to buy and a seller agrees to
sell is called
a contract
Antitrust laws prohibit competing brokers from all of the following
1. boycotting other brokers in the marketplace.
2. dividing the market to restrict competition.
3. agreeing to set sales commissions and management rates.
When a sewer line is installed down a rural road, the cost will probably be
shared by
all current owners of real estate fronting on that road
State laws differ on whether a buyer is entitled to know about
a suicide that occurred in the house last year.
,A lawsuit for inverse condemnation may be brought by
a homeowner
When is racial discrimination in the rental of rooms or apartments permitted?
Under no circumstances
The real estate broker who is listing a house for sale should personally verify
the number of square feet in the building
Real property can be converted to personal property by
Severance
Prospective buyers made an offer on a property. The seller did NOT accept, but
made a counteroffer. The prospective buyers signed the counteroffer and the
real estate agent delivered their acceptance to the seller.
In the interim, the same buyers had found another house that they liked better
and made an offer on it, which was accepted. Which of the following is TRUE?
Both contracts are valid
,Although states make specific laws governing water rights and the rights in land
that borders water, most states generally follow one of two basic doctrines
regarding water rights. In many states, the common law doctrine of riparian and
littoral rights dictates that water rights are automatically conveyed with
property. In others, all water rights are controlled by the state under the
doctrine of
prior appropriation
The purpose of requiring an earnest money deposit in a real estate sales
contract is to
provide evidence of the buyer's intention to carry out the contract.
A buyer is getting a fully amortized loan for $220,000. The bank will give the
buyer the loan for 15 years at 5 1/2% or for 30 years at 6 1/2%. To the nearest
cent, what is the difference between the monthly payments for these two loans?
(BE SURE TO USE THE AMORTIZATION TABLE.)
$409.20.
A borrower has defaulted on the mortgage. The mortgage contains an
acceleration clause. This permits the lender to
demand immediate payment of the entire note
, The FHA functions MOST like
an insurance company
1. They are used to buy down interest rate.
2. They are a function of the marketplace.
3. They are paid by either the buyer or the seller.
discount points
When land is conveyed to a trustee, the trustee may
do whatever is permitted under the trust agreement
A prospective buyer made an offer to purchase a property. The owner
responded with a counteroffer. While the buyer was reviewing the counteroffer,
the owner received a better offer. The owner can accept the second offer if
the owner withdraws the counteroffer before it is accepted.
While an agent is showing a listed property, the seller and the buyer enter into
an oral agreement for the purchase of the home. If a dispute over the terms
arises later, the agreement may be unenforceable because
The Agreement Does Not Comply With The Statute Of Frauds
