NYS Real Estate Exam Questions And Correct Answers. Complete Verified Solutions

NYS Real Estate Exam Questions And Correct Answers. Complete Verified Solutions Which of the following is considered a fixed operating expense? utilities, cleaning expenses, insurance premiums, management fees. Insurance Premiums What is overage rent? Rent calculated on a percentage of sales volume what is the amount a buyer owes at closing equal to? The excess of the buyers debits over the buyers credits real estate agents are typically what kind of agent special agent what is the employment contract between a property manager and owner called management agreement the first fine for a violation of federal fair housing law could be as much as what amount 10,000 what is a feature of a deed condition it gives the grantor the right to re possess the property if the grantee violates the condition according to truth in lending, a lender must disclose all of the following except service charges points loan origination fee brokers commission brokers commission if a landlord terminates a lease illegally what type of suit would a tenant file to comply with violated terms specific performance what must a listing agent do before entering into a cooperative agreement creating a subagency obtain the informed consent of the seller what is the minimum period of time over which the owner of an apartment building can depreciate the improvements? 27.5 years who pays the real estate taxes for a condominium condominium owner which type of property usually has the longest lease term industrial what is a policy that protects against claims above and beyond the amount covered by primary policies umbrella what is the amount of the surety bond that a mortgage broker must furnish when applying for licensure in NYS 10,000 A section contains how many acres 640 seller will retain title to the property until buyer has paid in full. what kind of contract do seller and buyer have? land contract who are the essential parties involved in an estate in trust trustor trustee and beneficiary allison is moving into a new condo. which of these documents does not apply to her purchase stock certificate what is the difference between a balloon loan and an amortized loan an amortized loan is paid off by the end of the term a daycare center is allowed to open in a residentially zoned area. what is this an example of special use permit which of these citites is the board not required to hold a public hearing each year? albany buffalo nyc rochester rochachacha in which of these places is asbestos not likely to be found? roofing, adhesives in pressed wood, textured paint, vinyl floor tiles adhesives in pressed wood which law extended discrimination to include handicap and familial status fair housing amendment act what is an emblement? A plant or crop that is considered personal property which of the following statements about plumbing venting is true venting is not required for structures taller than 2 stories. which statement is not true? mold often grows where it can't be seen, of all environmetnal hazards, radon is the easiest to detect and mitigate, underground storage tanks pose no hazard to residential areas, urea formaldehyde foam insulation is no longer used because of formaldehyde gas emission underground storage tanks pose no hazard to residential areas what is required for a title to be marketable? it must be registered in torrens, it must be free of undisclosed defects and encumbrances, it must be abstracted by and attorney, it must be guaranteed by a title certificate. int must be free of undisclosed defects and encumbrances a loan company was referring loan applicants to a particular insurance company, which in turn paid the loan company a referral fee. this is... illegal, since the real estate settlement procedures act prohibits kickbacks the seller under a land contract is known as the vendor a point, line or surface from which elevations are measured is known as the datum earnest money is provided when the offer to purchase real estate is made madison davidson negotiated for a 30k loan with 200 dollar monthly payments plus 9 percent interest. what is the payment on her first month? 225 the tax rate in manatee county is 35 mills how much is this for every 1k of assessed value? 35. ( a mill is one one thousandth of a dollar. a tax rate of one mill means that the owner pays one dollar for every thousand dollars of assessed value. 35 mills is 35 dollars for every 1000 dollars assessed a trust deed gives the lender a right to request that the trustee perform certain tasks in order to fulfill the terms of the trust. a trustee may take action in those circumstances because he holds naked title (a title without the usual rights of ownership) An action taken by a creditor in which the court simply retains custody of the property while a lawsuit is being decided is known as: a write of attachment. Remember, a writ of attachment is an action taken by a creditor in which the court simply retains custody of the property while a lawsuit is being decided. This is easily confused with a writ of execution, which authorizes the sale of the property A lease that goes from month to month is known as an estate from period to period Find the capitalization rate on a building that is worth $430,000, and rents for $1,500 a month. 4.19 To solve this, find the yearly rent, and divide that amount by the cost of the building. So, $1,500 x 12 = $18,000, and $18,000/$430,000 = 4.19%. Spence Construction Company built a hangar for an helicopter, which was kept on the owner's property. The owner did not pay for the hangar, so Spence filed a mechanic's lien on the helicopter. Was Spence Construction Company justified in doing this? No, because a mechanic's lien can only be placed on the improvement. Several legal steps must sometimes be taken before a creditor can have his outstanding debt satisfied through the sale of the debtor's property. Which of the following is NOT one of the steps in the process? writ of persocution- A portion of a township in the rectangular survey system, which is a square with mile-long sides, is called a: section- a township is divided into 36 sections Property over which an easement runs in favor of another parcel of real estate is known as a servient tenement one square mile 640 acres What is the principal federal statute that covers competition and is one of the most important pieces of antitrust legislation? The Sherman Antitrust Act of 1890 a claim or interest revealed by a title search is called a a cloud on title t's easy to remember a cloud on a title as something marring the clear title, like a cloud in the sky marring an otherwise clear sky. These terms are all related; however, a lis pendens is the notification that a lien might be placed on a title, or, in other words, that there is a CLOUD on the title. (A judgment is another type of lien against a property, issued by a court.) a section is one square mile The system established in 1785 by the U.S. government, which describes land with principal meridians and base lines, is called: rectangular survey system what is an example of ostensible agency the principal showed by his or her actions that the agents actions were accepted (ostensible agency=implied agency) Jackie Swain obtains a $65,000 loan on her home. The principal and interest payments are based on a factor of 8.05 per $1,000. The loan is for 30 years at 9%. How much does Jackie pay in total interest over the life of the loan? 123,370- First, take $65 (per $1,000, remember) x 8.05 = $523.25 per month -- the payments on principal and interest. Then take $523.25 x 360 months = $188,370. Then $188,370 - $65,000 (loan) = $123,370 total interest paid. A house was sold on an installment land contract. There was no mention in the contract about a counter top microwave oven. Can the seller take the microwave oven? yes, because it is personal property ( see counter) an analysis that results in an opinion of value is an appraisal Many states determine the order of water rights according to which users of the water hold a recorded beneficial use permit. This allocation of water rights is determined by the doctrine of prior appropriation in a lease, the lessor's interest is known as the leased fee interest. (leasehold interest is the lessee's interest Jack O. Lantern is interested in knowing what his son owes on his mortgage loan. If Jack knows that the interest portion of their last monthly payment was $391.42, and their interest rate is 11 1/2%, then what was the outstanding balance of their loan before that last payment was made? 40,843.83. First, we'll find out the annual interest, so multiply $391.42 x 12 = $4,697.04. Then divide $4,697.04 by 11 1/2%, or .115 = $40,843.826, or rounded up, $40,843.83. A joint tenancy with right of survivorship may be created by deed or will. joint tenancy can never be presumed or by default. it must be declared in deed or will which of the following covenants would not be found in a general warranty deed? seisin, restrictive ownership, further assurance, quiet enjoyment restrictive ownership seizin is possession of land by freehold Find the annual rate of return of an $88,000 investment if the weekly gross income is $225.00 and monthly expense are $370.00. 8.25% Start out by figuring the annual income from the property, which is $225 x 52 (weeks in a year) = $11,700. Now figure the yearly expenses, which is $370 x 12 (months in a year) = $4,440. Take $11,700 - $4,440 (the cost) = $7,260 for the annual net income, and divide this number by $88,000 (the investment price) for the percentage rate of 8.25%. the final valuation process in appraising a duplex would be reconciliation. roconciling estimated values with final values is last step in appraisal process. which of the following is the best way to ensure that there are no encroachments and verify the boundaries of a parcel of land? get a spot survey an offeree has the right to reject an offer. the offeree is the person to whom the offer is made An $284,000 loan at 5.5% annual interest had principal and interest payments of $1612.52 per month. How much of the second month's payment would be applied to the principal? 312.28. You must reduce this loan twice in order to discover the answer to the problem. Step 1 - $284,000.00 X 5.5% = $15,620 a year divided by 12 months = $1301.67 a month interest. Step 2 - $1612.52 principal and interest payment minus $1301.67 =$310.85 principal paid the first month. Step 3 - $284,000.00 minus $310.85 = $283,689.15 principal balance at the end of the first month. Step 4 - Repeat the same process using the new loan amount. $283,689.15 X 5.5% = $15602.90 interest a year divided by 12 is $1300.24 interest a month. Step 5 - $1612.52 principal and interest minus $1300.24 = $312.28 principal paid the second month. Be very careful when completing a question like this that you don't make the mistake of using the interest amount monthly for the answer. Look at answers C & D. a land contract provides for the conveyance of legal title at a future date. this is also known as an installment sale Some taxing bodies recognize that local assessments can lead to unfairly high or low values for properties in certain areas. Therefore the jurisdiction may establish __________ to level out the unevenness of valuations. equalization factors Rachel Davis buys a $20,000 property. She puts down $1,000, with the balance to be repaid over 20 years at 12% interest. Her monthly payments are $209.38. What is the approximate amount of interest paid on the loan at its maturity? 31,251.20 Total interest paid on a 30-year straight note was $230,000 during the term of the loan. The annual interest rate was 6.6%. What was the loan amount? 116,167. Total interest paid divided by the 30-year term yields an annual interest payment of $7,667. Dividing by the 6.6% rate shows the loan amount was $116,167. what are the two primary types or property tax special assessment and ad valorem A court order that authorizes and directs the proper officer of the court to sell the property of a defendant as required by the judgment or decree of the court is known as: a writ of exocution. writ of attachment is where the court retains custody of the property whiel the lawsuit is being decided The federal government requires that purchasers of homes built prior to ______ be given a notice that outlines the dangers of __________.