Nevada Real Estate Practice State Exam Corrections Rated A
What is “dual representation” in Nevada real estate?
✔️✔️ Dual representation, or dual agency, occurs when one agent represents both the buyer and the
seller in a transaction, which is allowed in Nevada but requires full written consent from both parties.
What does “good faith estimate” mean in Nevada real estate transactions?
✔️✔️ A good faith estimate is an estimate provided by the lender that outlines the expected costs of a
loan, including closing costs and fees, helping the buyer plan for final expenses.
What is a “quitclaim deed” in Nevada?
✔️✔️ A quitclaim deed is a document that transfers the grantor’s interest in a property to another
person without any guarantee of clear title, often used between family members.
What is an “exclusive agency agreement” in Nevada?
✔️✔️ An exclusive agency agreement allows a real estate agent to be the sole agent representing the
seller, but the seller retains the right to sell the property independently without paying a commission.
What is a “contingent offer” in Nevada real estate?
✔️✔️ A contingent offer is an offer that includes specific conditions, like financing approval or a
satisfactory home inspection, that must be met for the transaction to proceed.
What is a “broker’s lien” in Nevada?
✔️✔️ A broker's lien is a legal claim a broker can place on a commercial property to ensure they
receive commission for services provided, particularly if the seller refuses to pay.
What is “prepayment penalty” in a Nevada mortgage?
✔️✔️ A prepayment penalty is a fee a borrower may pay for paying off a loan early. In Nevada,
lenders must clearly disclose any prepayment penalties in the loan agreement.
, What is “comparative market analysis (CMA)” in Nevada?
✔️✔️ A comparative market analysis is an evaluation of similar properties that have recently sold in
the area, helping agents recommend listing prices to sellers or offers to buyers.
What is a “deed of trust” in Nevada real estate?
✔️✔️ A deed of trust is a document used in Nevada to secure a loan on real estate, involving three
parties: the borrower, the lender, and a trustee who holds the property title until the loan is paid off.
What is “title insurance” in Nevada, and who typically pays for it?
✔️✔️ Title insurance protects buyers and lenders from financial loss due to title defects. In Nevada,
the cost of title insurance is typically negotiated but is often paid by the seller.
What is “specific performance” in Nevada real estate?
✔️✔️ Specific performance is a legal remedy that requires a party to fulfill their contractual
obligations, such as completing the sale of a property, rather than paying damages for breach.
What is a “homeowners insurance” requirement in Nevada?
✔️✔️ Lenders require homeowners insurance as part of a mortgage agreement in Nevada to protect
against property loss or damage, ensuring the property’s value remains secured.
What is the “right to rescind” in Nevada real estate transactions?
✔️✔️ The right to rescind is a period during which the buyer or borrower may cancel a contract or
loan agreement without penalty, typically applying to refinancing and some home improvement loans.
What does “MLS” stand for in Nevada real estate?
✔️✔️ MLS stands for Multiple Listing Service, a database that real estate professionals use to share
listings and find properties for clients, increasing exposure and access to available properties.
What is “cash-to-close” in Nevada real estate transactions?
✔️✔️ Cash-to-close is the total amount a buyer needs to bring to the closing, including down
payment, closing costs, and any other fees associated with the purchase.
What is “dual representation” in Nevada real estate?
✔️✔️ Dual representation, or dual agency, occurs when one agent represents both the buyer and the
seller in a transaction, which is allowed in Nevada but requires full written consent from both parties.
What does “good faith estimate” mean in Nevada real estate transactions?
✔️✔️ A good faith estimate is an estimate provided by the lender that outlines the expected costs of a
loan, including closing costs and fees, helping the buyer plan for final expenses.
What is a “quitclaim deed” in Nevada?
✔️✔️ A quitclaim deed is a document that transfers the grantor’s interest in a property to another
person without any guarantee of clear title, often used between family members.
What is an “exclusive agency agreement” in Nevada?
✔️✔️ An exclusive agency agreement allows a real estate agent to be the sole agent representing the
seller, but the seller retains the right to sell the property independently without paying a commission.
What is a “contingent offer” in Nevada real estate?
✔️✔️ A contingent offer is an offer that includes specific conditions, like financing approval or a
satisfactory home inspection, that must be met for the transaction to proceed.
What is a “broker’s lien” in Nevada?
✔️✔️ A broker's lien is a legal claim a broker can place on a commercial property to ensure they
receive commission for services provided, particularly if the seller refuses to pay.
What is “prepayment penalty” in a Nevada mortgage?
✔️✔️ A prepayment penalty is a fee a borrower may pay for paying off a loan early. In Nevada,
lenders must clearly disclose any prepayment penalties in the loan agreement.
, What is “comparative market analysis (CMA)” in Nevada?
✔️✔️ A comparative market analysis is an evaluation of similar properties that have recently sold in
the area, helping agents recommend listing prices to sellers or offers to buyers.
What is a “deed of trust” in Nevada real estate?
✔️✔️ A deed of trust is a document used in Nevada to secure a loan on real estate, involving three
parties: the borrower, the lender, and a trustee who holds the property title until the loan is paid off.
What is “title insurance” in Nevada, and who typically pays for it?
✔️✔️ Title insurance protects buyers and lenders from financial loss due to title defects. In Nevada,
the cost of title insurance is typically negotiated but is often paid by the seller.
What is “specific performance” in Nevada real estate?
✔️✔️ Specific performance is a legal remedy that requires a party to fulfill their contractual
obligations, such as completing the sale of a property, rather than paying damages for breach.
What is a “homeowners insurance” requirement in Nevada?
✔️✔️ Lenders require homeowners insurance as part of a mortgage agreement in Nevada to protect
against property loss or damage, ensuring the property’s value remains secured.
What is the “right to rescind” in Nevada real estate transactions?
✔️✔️ The right to rescind is a period during which the buyer or borrower may cancel a contract or
loan agreement without penalty, typically applying to refinancing and some home improvement loans.
What does “MLS” stand for in Nevada real estate?
✔️✔️ MLS stands for Multiple Listing Service, a database that real estate professionals use to share
listings and find properties for clients, increasing exposure and access to available properties.
What is “cash-to-close” in Nevada real estate transactions?
✔️✔️ Cash-to-close is the total amount a buyer needs to bring to the closing, including down
payment, closing costs, and any other fees associated with the purchase.
