National Real Estate PSI Exam Prep.
According to federal government lending regulations, a buyer purchasing a home must
have an appraisal for all the following types of financing EXCEPT
A.) FHA
B.) VA
C.) Loan sold to FNMA
D.) Seller carry
D.) Seller carry
Legal agreements may be valid, void, or voidable, depending on whether they contain all
the required essential elements of a contract. All of the following would make a contract
voidable EXCEPT
A.) It isn't in writing
B.) A minor has signed the document
C.) The buyer is under duress
D.) The broker misrepresented the property
A.) It isn't in writing
All of the following are common law requirements for a valid listing agreement EXCEPT
A.) A definite termination date
B.) Specific performance remedies should one of the parties default
C.) A negotiable commission clause
D.) Be an expressed written agreement in order to enforce the commission clause
,B.) Specific performance remedies should one of the parties default
A minor has inherited a large old house from her father. The minor sells it to her aunt. Is
this purchase contract valid?
A.) Yes, It is valid and enforceable
B.) No, it is void
C.) No, It is voidable by the minor
D.) No, It is unenforceable by the minor
C.) No, It is voidable by the minor
A buyer has requested that the seller give him a six-month opportunity to purchase the
seller's property for $400,000 with 10% down. The buyer has agreed to give the seller
$4,000 to hold the offer open for the next six months, with the seller keeping the $4,000 if
the buyer decides not to purchase. The contract is
A.) An open listing agreement
B.) An option agreement
C.) An implied sales agreement with both parties bound
D.) A bilateral agreement with both the buyer and seller bound because there was a
payment
B.) An option agreement
A broker is completing a CMA to determine the potential listing price of a seller's home.
Which of the following is NOT part of the final CMA given to the seller?
A.) Highest and best use evaluation
B.) Comparable sales analysis
C.) Adjustment to past sales
D.) Picture of comparables
A.) Highest and best use evaluation
Houses in the local area have had an increase in sales price and a decrease in days on
the market. A broker who is attempting to determine the current market value for a
residential listing would get the BEST estimate of value by using?
, A.) A GRM as the primary consideration to determine value
B.) The cost approach with reproduction estimates
C.) Comparables that are no more than six months old
D.) Comparables that are no more than 12 months old
C.) Comparables that are no more than six months old
Rental rates have increased by 2% in the last six months. Which appraisal principle BEST
explains this rate increase?
A.) Principle of substitution
B.) Principle of supply and demand
C.) Principle of contribution
D.) Principle of highest and best use
B.) Principle of supply and demand
The current monthly GRM in a neighborhood is 200, and the annual income is $24,000.
What is the estimated value of a property in this neighborhood?
A.) $200,000
B.) $240,000
C.) $400,000
D.) $4,800,000
C.) $400,000
The subject property has two baths and one fire place. The property across the street
sold for $181,000 and has two baths and two fireplaces. The property behind the subject
sold for $175,000 and has two baths and no fireplace. In the area, baths are worth $5,000
and fireplaces are worth $3,000. what is the subject property worth?
A.) $175,000
B.) $177,000
C.) $178,000
According to federal government lending regulations, a buyer purchasing a home must
have an appraisal for all the following types of financing EXCEPT
A.) FHA
B.) VA
C.) Loan sold to FNMA
D.) Seller carry
D.) Seller carry
Legal agreements may be valid, void, or voidable, depending on whether they contain all
the required essential elements of a contract. All of the following would make a contract
voidable EXCEPT
A.) It isn't in writing
B.) A minor has signed the document
C.) The buyer is under duress
D.) The broker misrepresented the property
A.) It isn't in writing
All of the following are common law requirements for a valid listing agreement EXCEPT
A.) A definite termination date
B.) Specific performance remedies should one of the parties default
C.) A negotiable commission clause
D.) Be an expressed written agreement in order to enforce the commission clause
,B.) Specific performance remedies should one of the parties default
A minor has inherited a large old house from her father. The minor sells it to her aunt. Is
this purchase contract valid?
A.) Yes, It is valid and enforceable
B.) No, it is void
C.) No, It is voidable by the minor
D.) No, It is unenforceable by the minor
C.) No, It is voidable by the minor
A buyer has requested that the seller give him a six-month opportunity to purchase the
seller's property for $400,000 with 10% down. The buyer has agreed to give the seller
$4,000 to hold the offer open for the next six months, with the seller keeping the $4,000 if
the buyer decides not to purchase. The contract is
A.) An open listing agreement
B.) An option agreement
C.) An implied sales agreement with both parties bound
D.) A bilateral agreement with both the buyer and seller bound because there was a
payment
B.) An option agreement
A broker is completing a CMA to determine the potential listing price of a seller's home.
Which of the following is NOT part of the final CMA given to the seller?
A.) Highest and best use evaluation
B.) Comparable sales analysis
C.) Adjustment to past sales
D.) Picture of comparables
A.) Highest and best use evaluation
Houses in the local area have had an increase in sales price and a decrease in days on
the market. A broker who is attempting to determine the current market value for a
residential listing would get the BEST estimate of value by using?
, A.) A GRM as the primary consideration to determine value
B.) The cost approach with reproduction estimates
C.) Comparables that are no more than six months old
D.) Comparables that are no more than 12 months old
C.) Comparables that are no more than six months old
Rental rates have increased by 2% in the last six months. Which appraisal principle BEST
explains this rate increase?
A.) Principle of substitution
B.) Principle of supply and demand
C.) Principle of contribution
D.) Principle of highest and best use
B.) Principle of supply and demand
The current monthly GRM in a neighborhood is 200, and the annual income is $24,000.
What is the estimated value of a property in this neighborhood?
A.) $200,000
B.) $240,000
C.) $400,000
D.) $4,800,000
C.) $400,000
The subject property has two baths and one fire place. The property across the street
sold for $181,000 and has two baths and two fireplaces. The property behind the subject
sold for $175,000 and has two baths and no fireplace. In the area, baths are worth $5,000
and fireplaces are worth $3,000. what is the subject property worth?
A.) $175,000
B.) $177,000
C.) $178,000
