PSI NATIONAL EXAM FOR REAL ESTATE LATEST 2024 TEST BANK 400 QUESTIONS AND CORRECT DETAILED ANSWERS WITH RATIONALES (VERIFIED ANSWERS) ALREADY GRADED A+.pdf

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PSI NATIONAL EXAM FOR REAL ESTATE/ PSI REA
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L ESTATE NATIONAL EXAM RECENT COMPLETE
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VERSION ALL QUESTIONS AND CORRECT ANSWE m m m m m



RS/ BEST GRADED A+
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A written agreement in which a purchaser agrees to buy and a seller agrees to sell
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is called - ANSWER: a contract
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Antitrust laws prohibit competing brokers from all of the following - ANSWER:
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1. boycotting other brokers in the marketplace.
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2. dividing the market to restrict competition.
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3. agreeing to set sales commissions and management rates.
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When a sewer line is installed down a rural road, the cost will probably be shared
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by - ANSWER: all current owners of real estate fronting on that road
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State laws differ on whether a buyer is entitled to know about -
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mANSWER: a suicide that occurred in the house last year.
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A lawsuit for inverse condemnation may be brought by -
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ANSWER: a homeowner
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When is racial discrimination in the rental of rooms or apartments permitted? -
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ANSWER: Under no circumstances
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The real estate broker who is listing a house for sale should personally verify -
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mANSWER: the number of square feet in the building
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Real property can be converted to personal property by - ANSWER: Severance
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Prospective buyers made an offer on a property. The seller did NOT accept, but m
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ade a counteroffer. The
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prospective buyers signed the counteroffer and the real estate agent delivered their
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acceptance to the seller.
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In the interim, the same buyers had found another house that they liked better and
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made an offer on it, which was accepted. Which of the following is TRUE? -
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ANSWER: Both contracts are valid
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Although states make specific laws governing water rights and the rights in land t
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hat borders water, most states
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generally follow one of two basic doctrines regarding water rights. In many states
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, the common law doctrine of riparian and littoral rights dictates that water rights a
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re automatically conveyed with property. In others, all water rights are controlled
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by the state under the doctrine of - ANSWER: prior appropriation
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The purpose of requiring an earnest money deposit in a real estate sales contract is
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to - ANSWER: provide evidence of the buyer's intention to carry out the contract.
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A buyer is getting a fully amortized loan for $220,000. The bank will give the bu
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yer the loan for 15 years at 5 1/2%
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or for 30 years at 6 1/2%. To the nearest cent, what is the difference between the
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monthly payments for these two loans?
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(BE SURE TO USE THE AMORTIZATION TABLE.) - ANSWER: $409.20.
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A borrower has defaulted on the mortgage. The mortgage contains an acceleratio
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n clause. This permits the lender to -
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mANSWER: demand immediate payment of the entire note
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The FHA functions MOST like - ANSWER: an insurance company
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1. They are used to buy down interest rate.
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2. They are a function of the marketplace.
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3. They are paid by either the buyer or the seller. - ANSWER: discount points
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When land is conveyed to a trustee, the trustee may -
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ANSWER: do whatever is permitted under the trust agreement
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A prospective buyer made an offer to purchase a property. The owner responded w
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ith a counteroffer. While the buyer
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was reviewing the counteroffer, the owner received a better offer. The owner can a
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ccept the second offer if -
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mANSWER: the owner withdraws the counteroffer before it is accepted.
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While an agent is showing a listed property, the seller and the buyer enter into an
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oral agreement for the purchase of the home. If a dispute over the terms arises lat
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er, the agreement may be unenforceable because -
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mANSWER: the agreement does not comply with the Statute of Frauds
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Earnest money should be deposited into a trust account -
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mANSWER: in a timely manner, according to state laws
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A deed restriction is applicable to the activities of -
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ANSWER: all owners, present and future
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An easement can be terminated by - ANSWER: prescription
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Depreciation is calculated based on the - ANSWER: cost of the building only
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Which of the following approaches MOST reliably estimates the sales price of
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a single-family residence? - ANSWER: Market data
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A seller mentions to his agent that the previous owners of his property may have d
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umped hazardous waste on the site. Under the Comprehensive Environmental Res
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ponse, Compensation, and Liability Act (CERCLA), who is liable for damages fro
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m
the dumping prior to the sale of the property? - ANSWER: Seller
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The escrow officer or closing agent MUST give information regarding the sales pri
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ce and seller's social security number to - ANSWER: IRS
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A broker supplies the financing for a project to build condominiums with the sti
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pulation that he has the exclusive right to sell the completed condos. Which of th
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e following BEST describes this relationship? -
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mANSWER: Agency coupled with an interest m m m m m




If you own a building free and clear that is worth $115,000 and want an annual ret
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urn of 12%, what net income is needed each month? - ANSWER: $1,150
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Usury laws were enacted to protect the - ANSWER: borrower
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At the time of listing, the seller tells the listing agent they are moving because the
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neighbor has loud parties every weekend.
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The agent should - ANSWER: tell potential buyers about the parties
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When one of the parties to an agreement fails to perform one of its conditions, that
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contract is deemed to be - ANSWER: breached
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