PROMULGATED CONTRACT FORM| TEXAS
PROMULGATED CONTRACT FORM REAL EXAM
QUESTIONS WITH VERIFIED SOLUTIONS NEW
MODIFED TESTED AND APPROVED!!!
The TREC promulgated Seller Financing Addendum states that if the buyer
does not furnish the required qualifying documentation within the time limit
allowed:
A. Seller may terminate the contract and keep the earnest money.
B. Seller may terminate the contract but must return the earnest money.
C. Seller must tell Buyer why he is terminating.
D. Buyer will be liable for the cost of the credit report. --CORRECT ANSWER-
-A. Seller may terminate the contract and keep the earnest money.
In Paragraph 3B of the sales contract, the 'sum of all financing':
A. Includes the earnest money deposited at the time the contract is executed
B. Includes the closing costs
C. Excludes any loan funding fee or mortgage insurance premium
D. All of the above --CORRECT ANSWER--C. Excludes any loan funding fee
or mortgage insurance premium
The sales price in Paragraph 3:
A. Is determined by adding the down payment (3A) and the loan amount (3B)
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,B. Does not include closing costs
C. Can be all cash
D. All of the above --CORRECT ANSWER--D. All of the above
The Seller contracts to furnish the buyer an existing survey, but neglects to
furnish an "affidavit" within the time specified. The lender requests a new
survey be furnished. Who pays for the new survey?
A. If the existing survey is rejected, then whoever is stated in the contract pays.
B. The title company can approve the existing survey and override the lender.
C. The buyer
D. The seller --CORRECT ANSWER--D. The seller
Within ____ days after the title company receives a copy of the contract, Seller
shall furnish to Buyer a Commitment for title insurance.
A. 10
B. 5
C. 20
D. 30 --CORRECT ANSWER--C. 20
According to the TREC One to Four Family Residential Contract (Resale), who
is responsible for paying the owner policy of title insurance fee?
A. The buyer
B. The seller
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,C. The title company named in the contract
D. The party stipulated in the contract --CORRECT ANSWER--D. The party
stipulated in the contract
If there is an existing survey on the property, what does the seller take to the
title company and the lender?
A. The existing survey
B. The existing survey and a notarized affidavit stating if there have been any
changes in the survey since the time the existing survey was completed
C. A copy of the deed and the existing survey
D. The seller's appraisal and a copy of the survey --CORRECT ANSWER--B.
The existing survey and a notarized affidavit stating if there have been any
changes in the survey since the time the existing survey was completed
If a property was built before 1978, what specific addendum is required?
A. Walk Through and Acceptance Addendum
B. Addendum for asbestos inspection
C. Disclosure of Lead-Based Paint Addendum
D. Addendum for Inspection with Right to Terminate --CORRECT ANSWER--
C. Disclosure of Lead-Based Paint Addendum
In Paragraph #14 of the Residential Contract (Casualty Loss), if a seller cannot
complete the repairs within the time limit, the buyer has the option of:
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, A. Terminating the contract
B. Extending the closing
C. Accepting the property in the damaged condition with an assignment of
insurance proceeds
D. Any of the above --CORRECT ANSWER--D. Any of the above
On the Seller's default, what should happen to the earnest money?
A. It belongs to the Broker.
B. It should be returned to the Buyer.
C. It should be retained by the Seller.
D. The title company should keep it. --CORRECT ANSWER--B. It should be
returned to the Buyer.
Use of the TREC promulgated One to Four Family Residential Contract
(Resale):
A. Is allowed on the sale of a residential condominium
B. Can be used for a vacant residential lot
C. Covers single family, duplex, triplex, and fourplex transactions
D. All of the above --CORRECT ANSWER--C. Covers single family, duplex,
triplex, and fourplex transactions
Broker's fees are:
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PROMULGATED CONTRACT FORM REAL EXAM
QUESTIONS WITH VERIFIED SOLUTIONS NEW
MODIFED TESTED AND APPROVED!!!
The TREC promulgated Seller Financing Addendum states that if the buyer
does not furnish the required qualifying documentation within the time limit
allowed:
A. Seller may terminate the contract and keep the earnest money.
B. Seller may terminate the contract but must return the earnest money.
C. Seller must tell Buyer why he is terminating.
D. Buyer will be liable for the cost of the credit report. --CORRECT ANSWER-
-A. Seller may terminate the contract and keep the earnest money.
In Paragraph 3B of the sales contract, the 'sum of all financing':
A. Includes the earnest money deposited at the time the contract is executed
B. Includes the closing costs
C. Excludes any loan funding fee or mortgage insurance premium
D. All of the above --CORRECT ANSWER--C. Excludes any loan funding fee
or mortgage insurance premium
The sales price in Paragraph 3:
A. Is determined by adding the down payment (3A) and the loan amount (3B)
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,B. Does not include closing costs
C. Can be all cash
D. All of the above --CORRECT ANSWER--D. All of the above
The Seller contracts to furnish the buyer an existing survey, but neglects to
furnish an "affidavit" within the time specified. The lender requests a new
survey be furnished. Who pays for the new survey?
A. If the existing survey is rejected, then whoever is stated in the contract pays.
B. The title company can approve the existing survey and override the lender.
C. The buyer
D. The seller --CORRECT ANSWER--D. The seller
Within ____ days after the title company receives a copy of the contract, Seller
shall furnish to Buyer a Commitment for title insurance.
A. 10
B. 5
C. 20
D. 30 --CORRECT ANSWER--C. 20
According to the TREC One to Four Family Residential Contract (Resale), who
is responsible for paying the owner policy of title insurance fee?
A. The buyer
B. The seller
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,C. The title company named in the contract
D. The party stipulated in the contract --CORRECT ANSWER--D. The party
stipulated in the contract
If there is an existing survey on the property, what does the seller take to the
title company and the lender?
A. The existing survey
B. The existing survey and a notarized affidavit stating if there have been any
changes in the survey since the time the existing survey was completed
C. A copy of the deed and the existing survey
D. The seller's appraisal and a copy of the survey --CORRECT ANSWER--B.
The existing survey and a notarized affidavit stating if there have been any
changes in the survey since the time the existing survey was completed
If a property was built before 1978, what specific addendum is required?
A. Walk Through and Acceptance Addendum
B. Addendum for asbestos inspection
C. Disclosure of Lead-Based Paint Addendum
D. Addendum for Inspection with Right to Terminate --CORRECT ANSWER--
C. Disclosure of Lead-Based Paint Addendum
In Paragraph #14 of the Residential Contract (Casualty Loss), if a seller cannot
complete the repairs within the time limit, the buyer has the option of:
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, A. Terminating the contract
B. Extending the closing
C. Accepting the property in the damaged condition with an assignment of
insurance proceeds
D. Any of the above --CORRECT ANSWER--D. Any of the above
On the Seller's default, what should happen to the earnest money?
A. It belongs to the Broker.
B. It should be returned to the Buyer.
C. It should be retained by the Seller.
D. The title company should keep it. --CORRECT ANSWER--B. It should be
returned to the Buyer.
Use of the TREC promulgated One to Four Family Residential Contract
(Resale):
A. Is allowed on the sale of a residential condominium
B. Can be used for a vacant residential lot
C. Covers single family, duplex, triplex, and fourplex transactions
D. All of the above --CORRECT ANSWER--C. Covers single family, duplex,
triplex, and fourplex transactions
Broker's fees are:
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