Answers to the 100 Florida Practice Exam Question 2024

1. Which of the following statements is true regarding a mortgage loan originator (MLO)? A mortgage loan originator is the same as a mortgage broker. *A mortgage loan originator must have a separate license. A mortgage loan originator makes loans. A mortgage loan originator must have a real estate license. 2. A real estate appraiser's fee for professional service is based on which of the following? A percentage of the property's gross income. A percentage of the fair market value of the property. *The time and difficulty of the appraisal. A percentage of the property's sales price. 3. Which of the following best describes the real estate brokerage business? *Service business Simple business Business with few opportunities available Construction business 4. All of the following are responsibilities of a property manager, EXCEPT: Renting property for an absentee owner. Collecting rent. Overseeing maintenance. *Preparing leases. 5. What does the term "farming" refer to in real estate? *Specializing in one geographic area Working in a cooperative manner Specializing in agricultural properties Specializing in the sales of orange groves or cattle farms 6. Which insurance policies can a real estate licensee offer to the public without additional state licensing? Flood insurance Fire insurance Renter's insurance *None of the above 7. What is the purpose of the National Association of REALTORS? *Preserve the right of individuals to own real property through an exchange of information. Organize antigovernment activities. Promote unethical practice of real estate professionals. Promote unethical practice of real estate professionals. 8. What does the designation of REALTOR® signify? Anyone in possession of a real estate license is a REALTOR® *The designation identifies the real estate professional as a member of the NAR. The designation is evidence that the licensee has an extensive background in the real estate profession. The designation is evidence that the licensee has completed extensive real estate studies. 9. A developer contracts to build a home according to the buyer's specifications. This is an example of which type of building? Tract *Custom Speculative Subdivision 10. Which of the following best describes licensees who are involved in business brokerage? *They must be able to analyze financial statements and understand balance sheets. They are not required to know much about the business they are selling. They must have a separate license. They never become involved in the tax aspects of the business. 11. Real estate licensees are required to be knowledgeable in all of the following areas, EXCEPT: Marketing Valuation Property transfer *Accounting 12. Which service provided by real estate licensees requires the most experience and knowledge? Property management *Counseling Appraising Agricultural sales 13. An appraiser who is registered, licensed, or certified under F.S. 475, Part II, must be utilized in which of the following? All appraisals The appraisal of residential property The appraisal of nonresidential property *Federally-related transactions 14. When a developer completes construction of a new subdivision, all streets, electric, water, and sewer installation are finished and deeded to the city or county. What is this process called? A quit claim deed An easement *Dedication Annexation 15. Which of the following assignments would be acceptable for a Florida real estate licensee who does not represent themselves as an appraiser, and follows the Uniform Standards of Professional Appraisal Practice (USPAP)? *An assignment to give an estimate of value for an attorney in a divorce case. An assignment to appraise a single family home for a VA loan. An assignment to value a condominium for an FHA loan. An assignment to appraise a time share unit for which a loan is being obtained from a Federally insured institution. 16. The Florida Real Estate Commission was first created in what year? 1932 *1925 1923 1919