Georgia Real Estate U Final Exam Study
What is a lien theory state? - ANS -The homeowner holds the deed for the property
throughout the entire loan.
There is a mixed-use property for sale in Cassie's community, and a buyer walks into her
office looking for a residential space. Should Cassie consider showing him the property
zoned mixed-use? - ANS -Yes, because mixed-use is a combination of commercial and
residential real estate
An investor who bought a rental house needs someone to take care of the property,
screen prospective renters, coordinate repairs, handle maintenance and tenant concerns,
and evictions, if necessary. He's looking for a...? - ANS -Property manager
In economics, supply is...? - ANS -The quantity of goods or services available, whether
in abundance or scarcity.
In economics, demand is...? - ANS -The supply of willing and able consumers, which can
be few or numerous.
When the supply is limited and demand is high...? - ANS -Prices escalate
To become a real estate broker, a person must have...? - ANS -Experience as an agent, a
broker's license, and additional education.
Real estate brokers are paid a commission for the sales, and...? - ANS -The commission,
which can vary, is split between the broker and agent.
Property types are generally categorized by the ............ that applies to that property. -
ANS -Zoning Law
A family is going to build their dream home, and they've looked at several house plans,
but they haven't found one that is exactly right. They'd like to take some parts from one
plan and combine it with parts from another, with some additional innovations of their
own. They want someone who can design and plan their home and work with the
contractors to build it. The person they need to find is ...? - ANS -An Architect
Single family homes are...? - ANS -Private freestanding residential houses
The effect of the first-time homebuyer's tax credit was to...? - ANS -Motivate people to
buy homes
,Real estate agents work with...? - ANS -Buyers and Sellers
When supply is plentiful and demand is low...? - ANS -Prices drop
Sam is looking for a warehouse, and he wants to find a real estate agent or broker who is
knowledgeable in this area. He's starting a business, and it will require space for
assembly and production, but he also needs to be able to use it for distribution,
warehousing, and research and development. He needs to find...? - ANS -A agent that
specializes in industrial property
Single-family homes and single-family lots are always considered...? - ANS -Residential
Property
Fill in the blank. ............ represent both the buyer and seller or both the tenant and
landlord in the same transaction. - ANS -Dual Agents
If you serve in the army reserve and are studying to be a broker, you effectively get 10
points added to your score. Which of the following is true? - ANS -5 points are added in
each of Information Gathering and Decision Making sections.
If the Commission denies your application based on a conviction or disciplinary action,
what rights do you have? - ANS -You have the right to a hearing for a final determination.
Every salesperson has to provide the Commission with evidence that they completed a
............ post-license course within one year of obtaining their license. - ANS -25 hours
Hans Rosenstein moved from Florida, where he was a sales agent, to Georgia. Hans
completed his post-license course in Florida, a state considered similar to Georgia in
terms of real estate law. Does Hans have to take the post-license course in Georgia? -
ANS -No
Jolie Harper is a licensed real estate agent in a Georgia brokerage. She is offered a job
selling condos for the unlicensed owner-developer. Jolie must ............ and will have to
reapply if she decides to practice as a salesperson under a brokerage again. - ANS
-Inactive her license
Any lapse longer than two years and under five years can be reinstated by paying back
fees and taking the appropriate class. Which of the following is not a valid answer? -
ANS -For appraisers, they must take the Salesperson's Pre License Course.
Prince Stover moves his Athens brokerage to a location with more foot traffic. He must
notify the Commission within ............ days of his new address. - ANS -30
,............ is required prior to advertising property for rent, sale, lease or exchange. - ANS
-Written permission to advertise
If a licensee makes an offer on a property as part of a brokerage engagement or an
extension of an engagement, the terms and conditions of the engagement must be set
down in a...? - ANS -Written agreement
Fill in the appropriate amounts. The activation fee to apply for a license as an individual
or associate broker, salesperson, or community association manager is ............. The
activation fee for a new firm, school or instructor is ............. Both fees include $20 toward
the Real Estate Education, Research and Recovery Fund. - ANS -$45 (Dollars) / $75
(Dollars)
Kit Benning is a sales agent who decides to buy a property currently listed for her
clients, the Winstons. Kit finds a home that the Winstons wish to purchase. While
drawing up the sales contracts, she makes her purchase of the Winstons home
contingent on their extending the brokerage engagement by 60 days to allow time for the
closings. Which of the following is true? - ANS -This meets the requirement of the rule.
A licensee cannot falsify a record, or knowingly allow a record to be falsified, either orally
or in writing, by a third party. This rule covers the following misinformation, EXCEPT: -
ANS -The actual real lease, sales, or exchange price
When representing the seller, a licensee is obligated to present ............ to procure a
property for sale. - ANS -Any signed offer
A broker should keep copies of documents and records for...? - ANS -3 years
If a broker wants to open a brokerage under a fictitious name, the brokerage license must
be under the...? - ANS -Fictious name
Every broker has to maintain an accounting system to include the following information,
EXCEPT: - ANS -The name of the broker's lawyer.
............ involve licensees with property management relationships with their clients. Any
written property management agreement must identify the property being managed and
list the terms and conditions of the manager's responsibilities. - ANS -Management
Agreements
Drew Fenstemaker writes a contract that guarantees seller Warren Wilson $100,000 for
his property, while Drew walks away with any amount resulting from a sales price over
$100,000. However, if the home sells for less than $100,000, Drew must make up the
deficit. Which of the following statements is correct? - ANS -Even if Warren is happy
, with this arrangement, net brokerage agreements are illegal in Georgia and Drew is
risking his license with this rather shady deal.
The Georgia Real Estate Commission includes a chair and...? - ANS -Vice Chair
The Commissioner and all Commission appointees who hold a real estate license...? -
ANS -Shall maintain their license as inactive while serving on the Commission
When taking funds from a client for deposits, prepaid taxes or insurance, or for any other
reason a licensee...? - ANS -Must keep the funds segregated by opening a separate trust
or escrow account
Money received from a client as an earnest deposit, a security deposit and deposited in a
trust account...? - ANS -Cannot be withdrawn to pay a Commission to the real estate
professional unless the transaction is complete
Disbursing funds from a trust account requires the authorization of...? - ANS -All parties
to any contract where funds were collected
Should any licensee be accused of fraudulent representation the Commission may...? -
ANS -Conduct a thorough investigation including a review of their books and trust
accounts
Contracts issued to potential buyers or sellers must...? - ANS -Contain a start and finish
date, be in compliance with Georgia law, and disclose any conflicts of interest
If you have a real estate license, and you are faced with a disciplinary hearing because of
something the Commission finds out, you have the right to...? - ANS -Judicial review of
your case in the event the Commission suspends or revokes your license
The Commission may request a court issue a cease and desist order when...? - ANS
-Someone participates in a transaction by falsely representing they are licensed
Applicants for a real estate license in Georgia must...? - ANS -Be 18 years of age, a
resident of Georgia, and have a high school diploma or GED
Any time you pay the Commission a fee, you can expect...? - ANS -No refund
Which characteristic differentiates a Fee-simple time-share from a Leasehold time-share
purchase? - ANS -A Fee-simple time-share is deeded in perpetuity
All of the following are loan vehicles for a first mortgage, except? - ANS -HELOC
What is a lien theory state? - ANS -The homeowner holds the deed for the property
throughout the entire loan.
There is a mixed-use property for sale in Cassie's community, and a buyer walks into her
office looking for a residential space. Should Cassie consider showing him the property
zoned mixed-use? - ANS -Yes, because mixed-use is a combination of commercial and
residential real estate
An investor who bought a rental house needs someone to take care of the property,
screen prospective renters, coordinate repairs, handle maintenance and tenant concerns,
and evictions, if necessary. He's looking for a...? - ANS -Property manager
In economics, supply is...? - ANS -The quantity of goods or services available, whether
in abundance or scarcity.
In economics, demand is...? - ANS -The supply of willing and able consumers, which can
be few or numerous.
When the supply is limited and demand is high...? - ANS -Prices escalate
To become a real estate broker, a person must have...? - ANS -Experience as an agent, a
broker's license, and additional education.
Real estate brokers are paid a commission for the sales, and...? - ANS -The commission,
which can vary, is split between the broker and agent.
Property types are generally categorized by the ............ that applies to that property. -
ANS -Zoning Law
A family is going to build their dream home, and they've looked at several house plans,
but they haven't found one that is exactly right. They'd like to take some parts from one
plan and combine it with parts from another, with some additional innovations of their
own. They want someone who can design and plan their home and work with the
contractors to build it. The person they need to find is ...? - ANS -An Architect
Single family homes are...? - ANS -Private freestanding residential houses
The effect of the first-time homebuyer's tax credit was to...? - ANS -Motivate people to
buy homes
,Real estate agents work with...? - ANS -Buyers and Sellers
When supply is plentiful and demand is low...? - ANS -Prices drop
Sam is looking for a warehouse, and he wants to find a real estate agent or broker who is
knowledgeable in this area. He's starting a business, and it will require space for
assembly and production, but he also needs to be able to use it for distribution,
warehousing, and research and development. He needs to find...? - ANS -A agent that
specializes in industrial property
Single-family homes and single-family lots are always considered...? - ANS -Residential
Property
Fill in the blank. ............ represent both the buyer and seller or both the tenant and
landlord in the same transaction. - ANS -Dual Agents
If you serve in the army reserve and are studying to be a broker, you effectively get 10
points added to your score. Which of the following is true? - ANS -5 points are added in
each of Information Gathering and Decision Making sections.
If the Commission denies your application based on a conviction or disciplinary action,
what rights do you have? - ANS -You have the right to a hearing for a final determination.
Every salesperson has to provide the Commission with evidence that they completed a
............ post-license course within one year of obtaining their license. - ANS -25 hours
Hans Rosenstein moved from Florida, where he was a sales agent, to Georgia. Hans
completed his post-license course in Florida, a state considered similar to Georgia in
terms of real estate law. Does Hans have to take the post-license course in Georgia? -
ANS -No
Jolie Harper is a licensed real estate agent in a Georgia brokerage. She is offered a job
selling condos for the unlicensed owner-developer. Jolie must ............ and will have to
reapply if she decides to practice as a salesperson under a brokerage again. - ANS
-Inactive her license
Any lapse longer than two years and under five years can be reinstated by paying back
fees and taking the appropriate class. Which of the following is not a valid answer? -
ANS -For appraisers, they must take the Salesperson's Pre License Course.
Prince Stover moves his Athens brokerage to a location with more foot traffic. He must
notify the Commission within ............ days of his new address. - ANS -30
,............ is required prior to advertising property for rent, sale, lease or exchange. - ANS
-Written permission to advertise
If a licensee makes an offer on a property as part of a brokerage engagement or an
extension of an engagement, the terms and conditions of the engagement must be set
down in a...? - ANS -Written agreement
Fill in the appropriate amounts. The activation fee to apply for a license as an individual
or associate broker, salesperson, or community association manager is ............. The
activation fee for a new firm, school or instructor is ............. Both fees include $20 toward
the Real Estate Education, Research and Recovery Fund. - ANS -$45 (Dollars) / $75
(Dollars)
Kit Benning is a sales agent who decides to buy a property currently listed for her
clients, the Winstons. Kit finds a home that the Winstons wish to purchase. While
drawing up the sales contracts, she makes her purchase of the Winstons home
contingent on their extending the brokerage engagement by 60 days to allow time for the
closings. Which of the following is true? - ANS -This meets the requirement of the rule.
A licensee cannot falsify a record, or knowingly allow a record to be falsified, either orally
or in writing, by a third party. This rule covers the following misinformation, EXCEPT: -
ANS -The actual real lease, sales, or exchange price
When representing the seller, a licensee is obligated to present ............ to procure a
property for sale. - ANS -Any signed offer
A broker should keep copies of documents and records for...? - ANS -3 years
If a broker wants to open a brokerage under a fictitious name, the brokerage license must
be under the...? - ANS -Fictious name
Every broker has to maintain an accounting system to include the following information,
EXCEPT: - ANS -The name of the broker's lawyer.
............ involve licensees with property management relationships with their clients. Any
written property management agreement must identify the property being managed and
list the terms and conditions of the manager's responsibilities. - ANS -Management
Agreements
Drew Fenstemaker writes a contract that guarantees seller Warren Wilson $100,000 for
his property, while Drew walks away with any amount resulting from a sales price over
$100,000. However, if the home sells for less than $100,000, Drew must make up the
deficit. Which of the following statements is correct? - ANS -Even if Warren is happy
, with this arrangement, net brokerage agreements are illegal in Georgia and Drew is
risking his license with this rather shady deal.
The Georgia Real Estate Commission includes a chair and...? - ANS -Vice Chair
The Commissioner and all Commission appointees who hold a real estate license...? -
ANS -Shall maintain their license as inactive while serving on the Commission
When taking funds from a client for deposits, prepaid taxes or insurance, or for any other
reason a licensee...? - ANS -Must keep the funds segregated by opening a separate trust
or escrow account
Money received from a client as an earnest deposit, a security deposit and deposited in a
trust account...? - ANS -Cannot be withdrawn to pay a Commission to the real estate
professional unless the transaction is complete
Disbursing funds from a trust account requires the authorization of...? - ANS -All parties
to any contract where funds were collected
Should any licensee be accused of fraudulent representation the Commission may...? -
ANS -Conduct a thorough investigation including a review of their books and trust
accounts
Contracts issued to potential buyers or sellers must...? - ANS -Contain a start and finish
date, be in compliance with Georgia law, and disclose any conflicts of interest
If you have a real estate license, and you are faced with a disciplinary hearing because of
something the Commission finds out, you have the right to...? - ANS -Judicial review of
your case in the event the Commission suspends or revokes your license
The Commission may request a court issue a cease and desist order when...? - ANS
-Someone participates in a transaction by falsely representing they are licensed
Applicants for a real estate license in Georgia must...? - ANS -Be 18 years of age, a
resident of Georgia, and have a high school diploma or GED
Any time you pay the Commission a fee, you can expect...? - ANS -No refund
Which characteristic differentiates a Fee-simple time-share from a Leasehold time-share
purchase? - ANS -A Fee-simple time-share is deeded in perpetuity
All of the following are loan vehicles for a first mortgage, except? - ANS -HELOC
