WISCONSIN REAL ESTATE UPDATED EXAM SCRIPT
QUESTIONS AND ANSWERS GUARANTEE A+
✔✔Which act provides consumers with remedies if they become victims of
discrimination in the sale, rental, or financing of housing?
A. Civil Rights Act of 1866
B. Equal Credit Opportunity Act of 1974
C. Fair Housing Amendments Act of 1988
D. Housing and Community Development Act of 1974 - ✔✔C.
✔✔Seller Carly wants to move up the closing date on the sale of her Beloit home by two
days. She asks her agent, Bill, how to do this. Which of the following options is correct?
A. Bill should call the buyer's agent to see if he can get the buyer's verbal agreement to
change the closing date.
B. Bill should complete either WB-40 or WB-41 and have Carly sign it since she's the
initiating party. Then Bill must send a copy of the signed form to the buyer's agent. The
buyer doesn't need to sign the form.
C. Bill should complete WB-40 and have Carly sign it before sending it on to the buyer's
agent for the buyer's signature.
D. Bill should complete WB-41 and have Carly sign it before he sends it to the buyer's
agent for the buyer's signature.
Question 1 - ✔✔C.
✔✔Which appraisal approach will likely weigh most heavily during the reconciliation
step when appraising a single-family residence?
A. Cost
B. Income
C. Sales comparison
D. Substitution - ✔✔C.
✔✔What's a subordination agreement?
A. An agreement by a borrower to lien the property
B. An agreement by a debtor to not be paid
C. An agreement by a lien holder with priority to allow another creditor to have priority
D. An agreement by a title company to process paperwork without a fee - ✔✔C.
✔✔A buyer is purchasing a home appraised at $480,000. The buyer is obtaining a 90%
loan, and the lender will charge an origination fee of 1% at closing. How much will the
loan origination fee be?
A. $4,320
B. $4,712
C. $4,728
D. $4,800 - ✔✔A.
$480,000 x .9 = $432,000 (loan amount), and 1% of $432,000 = $4,320
,✔✔Annie and George have been saving and are finally ready to purchase their first
home for their family (including their two toddlers). They want to make an offer on a
sweet little bungalow in a quiet neighborhood. If the sellers are represented by a real
estate licensee, which situation would be a violation of fair housing laws?
A. Their offer is rejected because it's too low.
B. Their offer is rejected because the seller knows the neighbors don't like children.
C. They rescinded their offer when a house they were previously outbid on became
available again.
D. They rescinded their offer when their inspection revealed the house had structural
issues. - ✔✔B.
✔✔Which legal description method uses compass headings and directions?
A. Block and grid
B. Lot and block
C. Metes and bounds
D. Rectangular government survey - ✔✔C.
✔✔REALTOR® Bill signed an exclusive listing agreement with Tyanna. Her home is
older and has an addition, but Tyanna told him that she never pulled permits when she
had the addition constructed. She wants Bill to include the square footage of the
addition in the MLS listing. Bill complies with his client's wishes, even though he knows
the addition wasn't permitted. Has Bill violated the NAR Code of Ethics?
A. No, because Article 2 obligates Bill to market the property in the way that will best
promote the interests of her client, and this strategy will yield the most attention from
buyers.
B. No, because Article 2 requires him to describe and market the property according to
his client's wishes.
C. Yes, because Article 2 prohibits Bill from concealing pertinent facts related to the
property.
D. Yes, because Article 2 prohibits Bill from disclosing facts that are considered
confidential under their agency relationship w - ✔✔C.
✔✔You and your client Bruno are in a multiple representation relationship, and he has
declined to accept designated agency. He asks you what's the best way he can
negotiate with the seller to get them to leave some of their furniture. What should you
answer?
A. "I bet if you offered them 60 days to move out instead of just 30, they'd jump at the
chance to talk furniture with you."
B. "I'm so sorry, but without designated agency, I can only discuss transactional
information with you."
C. "In this situation, I'm able to discuss matters with the seller's client, since she's my
co-worker. We'll talk and I'll get back to you."
D. "You'll have to ask the seller's client. She's allowed to advocate for you in this
situation." - ✔✔B.
, ✔✔In general, why would a court order a lien to be placed on a person's real property?
A. As a penalty for a criminal act
B. To award an easement to another individual
C. To pay off a judgment
D. To take priority over a tax lien - ✔✔C.
✔✔What is designed to protect a person's property and to provide economic incentive
for authors to create new works?
A. Copyright law
B. Patent law
C. The Electronic Signatures in Global and National Commerce Act
D. The Fair Use Act - ✔✔A.
✔✔Which of the following duties are owed to customers and other parties to a real
estate transaction?
A. Fairness and loyalty
B. Honesty and fairness
C. Honesty and obedience
D. Obedience and loyalty - ✔✔B.
✔✔Above all, why should a property manager have some knowledge of systems such
as heating, ventilation, air conditioning, structural engineering, waterproofing, plumbing,
electrical, gas, oil, water, security, maintenance, and elevators?
A. To instruct tenants on how to make all repairs themselves
B. To make income on the side
C. To minimize the potential of receiving bad advice on repairs, replacements, and parts
D. To seek personal enrichment - ✔✔C.
✔✔Ned represents Sofia in the sale of her townhome. Luciana represents Sofia's buyer,
Arturo. What is Luciana's responsibility to Sofia?
A. Assist Sofia in the performance of tasks that Sofia needs to accomplish in order to
get to a successful closing.
B. Contact the tax assessor's office for an estimate of the real property taxes.
C. Disclose that the buyer is a registered sex offender.
D. Disclose that the buyer will not have the funds for the down payment unless he sells
his current home. - ✔✔D.
✔✔Which option must be included on a Wisconsin deed for it to be valid?
A. County judge's and sheriff's signatures and approval
B. List of all living neighboring property owners
C. Name of next of kin for inheritance purposes
D. Names of grantor/grantee - ✔✔D
QUESTIONS AND ANSWERS GUARANTEE A+
✔✔Which act provides consumers with remedies if they become victims of
discrimination in the sale, rental, or financing of housing?
A. Civil Rights Act of 1866
B. Equal Credit Opportunity Act of 1974
C. Fair Housing Amendments Act of 1988
D. Housing and Community Development Act of 1974 - ✔✔C.
✔✔Seller Carly wants to move up the closing date on the sale of her Beloit home by two
days. She asks her agent, Bill, how to do this. Which of the following options is correct?
A. Bill should call the buyer's agent to see if he can get the buyer's verbal agreement to
change the closing date.
B. Bill should complete either WB-40 or WB-41 and have Carly sign it since she's the
initiating party. Then Bill must send a copy of the signed form to the buyer's agent. The
buyer doesn't need to sign the form.
C. Bill should complete WB-40 and have Carly sign it before sending it on to the buyer's
agent for the buyer's signature.
D. Bill should complete WB-41 and have Carly sign it before he sends it to the buyer's
agent for the buyer's signature.
Question 1 - ✔✔C.
✔✔Which appraisal approach will likely weigh most heavily during the reconciliation
step when appraising a single-family residence?
A. Cost
B. Income
C. Sales comparison
D. Substitution - ✔✔C.
✔✔What's a subordination agreement?
A. An agreement by a borrower to lien the property
B. An agreement by a debtor to not be paid
C. An agreement by a lien holder with priority to allow another creditor to have priority
D. An agreement by a title company to process paperwork without a fee - ✔✔C.
✔✔A buyer is purchasing a home appraised at $480,000. The buyer is obtaining a 90%
loan, and the lender will charge an origination fee of 1% at closing. How much will the
loan origination fee be?
A. $4,320
B. $4,712
C. $4,728
D. $4,800 - ✔✔A.
$480,000 x .9 = $432,000 (loan amount), and 1% of $432,000 = $4,320
,✔✔Annie and George have been saving and are finally ready to purchase their first
home for their family (including their two toddlers). They want to make an offer on a
sweet little bungalow in a quiet neighborhood. If the sellers are represented by a real
estate licensee, which situation would be a violation of fair housing laws?
A. Their offer is rejected because it's too low.
B. Their offer is rejected because the seller knows the neighbors don't like children.
C. They rescinded their offer when a house they were previously outbid on became
available again.
D. They rescinded their offer when their inspection revealed the house had structural
issues. - ✔✔B.
✔✔Which legal description method uses compass headings and directions?
A. Block and grid
B. Lot and block
C. Metes and bounds
D. Rectangular government survey - ✔✔C.
✔✔REALTOR® Bill signed an exclusive listing agreement with Tyanna. Her home is
older and has an addition, but Tyanna told him that she never pulled permits when she
had the addition constructed. She wants Bill to include the square footage of the
addition in the MLS listing. Bill complies with his client's wishes, even though he knows
the addition wasn't permitted. Has Bill violated the NAR Code of Ethics?
A. No, because Article 2 obligates Bill to market the property in the way that will best
promote the interests of her client, and this strategy will yield the most attention from
buyers.
B. No, because Article 2 requires him to describe and market the property according to
his client's wishes.
C. Yes, because Article 2 prohibits Bill from concealing pertinent facts related to the
property.
D. Yes, because Article 2 prohibits Bill from disclosing facts that are considered
confidential under their agency relationship w - ✔✔C.
✔✔You and your client Bruno are in a multiple representation relationship, and he has
declined to accept designated agency. He asks you what's the best way he can
negotiate with the seller to get them to leave some of their furniture. What should you
answer?
A. "I bet if you offered them 60 days to move out instead of just 30, they'd jump at the
chance to talk furniture with you."
B. "I'm so sorry, but without designated agency, I can only discuss transactional
information with you."
C. "In this situation, I'm able to discuss matters with the seller's client, since she's my
co-worker. We'll talk and I'll get back to you."
D. "You'll have to ask the seller's client. She's allowed to advocate for you in this
situation." - ✔✔B.
, ✔✔In general, why would a court order a lien to be placed on a person's real property?
A. As a penalty for a criminal act
B. To award an easement to another individual
C. To pay off a judgment
D. To take priority over a tax lien - ✔✔C.
✔✔What is designed to protect a person's property and to provide economic incentive
for authors to create new works?
A. Copyright law
B. Patent law
C. The Electronic Signatures in Global and National Commerce Act
D. The Fair Use Act - ✔✔A.
✔✔Which of the following duties are owed to customers and other parties to a real
estate transaction?
A. Fairness and loyalty
B. Honesty and fairness
C. Honesty and obedience
D. Obedience and loyalty - ✔✔B.
✔✔Above all, why should a property manager have some knowledge of systems such
as heating, ventilation, air conditioning, structural engineering, waterproofing, plumbing,
electrical, gas, oil, water, security, maintenance, and elevators?
A. To instruct tenants on how to make all repairs themselves
B. To make income on the side
C. To minimize the potential of receiving bad advice on repairs, replacements, and parts
D. To seek personal enrichment - ✔✔C.
✔✔Ned represents Sofia in the sale of her townhome. Luciana represents Sofia's buyer,
Arturo. What is Luciana's responsibility to Sofia?
A. Assist Sofia in the performance of tasks that Sofia needs to accomplish in order to
get to a successful closing.
B. Contact the tax assessor's office for an estimate of the real property taxes.
C. Disclose that the buyer is a registered sex offender.
D. Disclose that the buyer will not have the funds for the down payment unless he sells
his current home. - ✔✔D.
✔✔Which option must be included on a Wisconsin deed for it to be valid?
A. County judge's and sheriff's signatures and approval
B. List of all living neighboring property owners
C. Name of next of kin for inheritance purposes
D. Names of grantor/grantee - ✔✔D
