LEGAL UPDATE I CHAMPION SCHOOL OF REAL ESTATE EXAM QUESTIONS AND ANSWERS VERIFIED 100% CORRECT

LEGAL UPDATE I CHAMPION SCHOOL OF REAL ESTATE EXAM QUESTIONS AND ANSWERS VERIFIED 100% CORRECT The effective date of a contract is Nov 17th, which falls on a Wednesday. What is the last day that the buyer must deliver the earnest money? - ANSWER -Monday November 22nd ----- means the expenses incurred by escrow agent on behalf of the party entitled to the earnest money that were authorized by the contract or party. - ANSWER authorized expenses Keegan is writing up an offer on a single-family home for his buyer-client. What should he write in Paragraph 21 of the contract? - ANSWER -the buyer and sellers information Arielle wants to make an offer on her dream home, but her agent tells her that there is already a contract on the property. What can Arielle's agent do to help her? - ANSWER -prepare the contract and attach the Addendum for "Back-Up" contract What is true of the option fee and back-up contract? - ANSWER -It is non refundable, and the seller gets to keep it even ig the first contract closes. A license holder who writes an escalation clause into a buyer's contract could be engaged in ____. - ANSWER -the unauthorized practice of law According to TREC Canons of Professional Ethics and Conduct, a license holder shall not inquire about a potential purchaser or potential lessee's _______. - ANSWER -Race What is a public accommodation according to the Americans with Disabilities Act? - ANSWER -a business that is generally open to the public Effective February 1, 2021, what TREC Rule change was made to the continuing education requirements of sales agents and brokers? - ANSWER -3 hours of CE related to real estate contracts is required for sales and agent brokers What change did the 87th Legislature pass regarding properties located in the public improvements districts (PID)? - ANSWER -the seller's written notice to the buyer must be given at the execution of the contract A buyer and seller sign a contract for the sale of a seller's home. The effective fate of the contract is Thursday, June 30th. By what day must the option fee be delivered? - ANSWER -Tuesday July 5th (3 days -- weekend -- Monday is July 4th holiday) In a back-up contract situation, when can the back-up buyer receive a refund of the Option Fee? - ANSWER -the option fee is not refundable The Addendum Concerning Right to Terminate Due to Lender's Appraisal can be used for which type of financing? - ANSWER -Conventional Escalation clauses in Texas are - ANSWER -considered unauthorized practices of law if written by a license holder A license holder must attach the Addendum Regarding Fixture Leases to TREC's promulgated contracts if - ANSWER -there are any lease fixtures on the property The purpose of The One America Initiative "Fair Housing for ALL - One America Principle" is an effort to: - ANSWER -Bill Clinton - encourage community dialogue and address racial and ethnic issues in a productive way The National Fair Housing Alliance 2020 report identified ______ as the protected class with the largest amount of complaints filed regarding discrimination: - ANSWER -disability Effective January 1, 2022, landlords are required to provide a notice to tenants regarding whether or not the landlord is aware that the property is in a 100-year floodplain. When must the notice be provided? - ANSWER -at or before execution of the lease Under the Fair Housing Act, who usually pays for a reasonable modification in a rental unit? - ANSWER -the tenant FHA accommodations are usually: - ANSWER -reactive A change to a structure to help someone with a disability is called a(n): - ANSWER –Modification How many hours of CE concerning real estate contracts must a license holder take to renew his/her license? - ANSWER -3 The amendment to the Consumer Protection Notice adds a statement to alert consumers that ______ are licensed by TREC and must maintain E&O insurance. - ANSWER -Real Estate Inspectors According to paragraph 2C of the contract, "controls" include: - ANSWER Software and applications used to access and control improvements or accessories Meghan's seller-client is leasing solar panels from a solar company. Meghan should: - ANSWER -Make the Addendum Regarding Fixture Leases available to prospective buyers. To whom must the buyer deliver the earnest money and option fee? - ANSWER The escrow agent In most cases, the option fee and earnest money must be delivered to the escrow agent within ____ after the effective date of the contract. - ANSWER -3 days