That section can be used to study the topics featured on those . What happens to trade fixtures after a business moves out of a leased property? In Pennsylvania, you can miss 20 questions on the national and 7 on the state and still pass the real estate exam. A broker has written permission to represent both the seller and the buyer as a dual agent. increases the amount due from the buyer at closing. John and Mary are co-owners of a property. They have found a property that they would like to purchase now. Received cash from sales, $350.00. If the assessment is 85% of the market value, what is the market value? What is the best way to study for the Real Estate Licensing Exam? an agent must treat both clients and customers with honesty and fairness. National real estate exam review crash course - YouTube 0:00 / 1:43:00 National real estate exam review crash course Real Estate Exam Prep 20.9K subscribers Join Subscribe 6.2K Share. Each time, he notified the sellers of the showing by phone. *, "You should proceed without ordering a new abstract - this title is clear.". He already submitted a check for $2,000 as earnest money, which will be applied to the purchase. All of the following have been proven to pose health hazards EXCEPT: The protected categories in the 1968 law with later amendments include: a. race, color, religion, national origin, sex, disability, and families with children, d. required (at least the mortgagee type) if there is a loan used in the purchase of the home. Inform the buyer 8. Which of the following is NOT an example of due diligence in a sales contract? Here, you can put your knowledge to the test with our 120-question practice exams. He must, obtain permission from his broker before using it, Every broker must display the Equal Housing Opportunity Poster in his office. What type of loan is this? A zoning ordinance would affect which of the following? A property owner has the right to tell other people that they cannot trespass on their property. A property has lead paint in the interior and on the exterior. Login. The assessed value is $290,000. On June 12th the listing agent calls the buyer's agent and tells him the seller will be unable to close on the 14th. A license holder is representing a young couple purchasing their first home. b. rate of return an income property will produce. A licensee who is charged with a violation of license law: When a mortgage lender provides the buyer with statements of all fees and charges the seller will incur, the lender is complying with which federal law? It has come to your attention that you have a zoning violation on the property. mi madre. Which of these is a protected class under the federal Fair Housing law? Both parties involved in an agency agreement agree to end the agreement early. stipulation that must be satisfied before the contract can be performed. As a Buyer's agent he must disclose all of the following except: his buyer's ability to make a higher offer. Which of the following statements is true? Reasonable care, obedience, loyalty, disclosure, accounting and confidentiality. Your property borders a non-navigable waterway and you have riparian rights. What is the advantage to the borrower of a VA loan? \end{array} Ignorance C. Disability D. Retardation 2. The landlord pays the expenses of the property. The lender has indicated that he will charge 3 points plus an origination point. According to the Statute of Frauds, which of the following leases must be in writing? This is what type of loan? $29.99. A buyer has purchased a property and after closing the seller will continue to occupy the property. an agent with permission to advertise a property on social media does not have to worry about protecting confidential information about the client. | 3 | 280,000 | 220,000 | | 9 | 80,000 | 64,000 | Tenancy from year to year. 22. In Stock. What agreement between the landlord and tenant gave the tenant that right? What type of lease is this? Using a 360-day year, how much will the seller owe for the taxes at closing (to the nearest dollar) and how will this be shown on the CD? For help with the national portion we have our real estate license practice quiz. A buyer and his agent visit a listed property. The value of a property is only what a consumer would pay to acquire a comparable property. T22. The actual exam has 125 questions and 2 hours 30 minutes is given to complete it. A developer decides to build a commercial property in the middle of a residential subdivision. Which of the following contracts would be voidable? These exam questions are derived from topics such as property ownership, transfer of property, financing, disclosure, and contractscovered in your prelicensing coursework. ALL REAL ESTATE credit transactions except for commercial loans. A buyer's agent has helped a buyer to find a home. He paid off his loan of $138,500 and ha paid a 5% commission. What type of business entity is owned by shareholders, but avoids "double taxation"? That section can be used to study the topics featured on those 80 questions. Mar. An individual who owns a living unit plus a share in a common recreation area and parking area in fee most likely owns a: Three women owned a house as joint tenants. Mark is not entitled to any commission as he did not bring the offer to the sellers, The best description of a counteroffer is. The deed contains five covenants. The title company is entitled to a portion of the judgment as reimbursement for the claim it paid. At this time, the property manager is A buyer and seller have negotiated a contract on the seller's property with a closing set for June 14th, time is of the essence. The property owner must obey whichever rules are the strictest or most limiting. If the tenant were to die during the lease period, which type of leasehold would pass to the tenant's estate? When the lease is up, what happens to the alarm system? Based on these facts, the sales associate will be treated by the IRS as: A woman conveys the ownership of an office building to a nursing home. A salesperson designed an innovative tech in the office that would substantially improve service to clients. The property taxes have not been paid for this year. What kind of agency does this describe? \text { Temporary investments } & 1,500 & 1,550 \\ The real estate exam is mainly multiple-choice and is a mix of problem-solving, math, and vocabulary. Mary, a single woman, has no children. A listing agent went to inspect a seller's property hoping to list it for sale. Novation Substituting a new obligation for an old one. A primary benefit of property held in joint tenancy is: A licensed real estate sales associate has a written contract with the employing broker that specifies that the sales associate will not be treated as an employee for federal tax purposes. You have recently purchased property in an area regulated by zoning. Which federal law amended the Comprehensive Environmental Response, Compensation, and Liability Act (CERCLA)? 201 Kandy Dr. is now the smallest, shabbiest home on the block, but it recently appraised for more than a similar home in a less-upgraded neighborhood. Find Property for sale in Gunzenhausen, Bavaria. Melissa was then contacted by a neighbor who agreed to purchase the house, but Shane still received compensation. A license holder has just taken a class on networking and marketing through social media. Operating expenses were $60,000. In most cases, broker compensation, as a percentage of home price, falls somewhere between: A Christian organization owns a fourplex. What is the difference between a bill of sale and a deed? | **Month** | **Units Sold** | **Total Cost** | | **Month** | **Unit Sold** | **Total Cost** | Allie cannot depreciate her investment property for a tax deduction. If the tax rate is $4 per $100 of assessed valuation, what is the amount of tax due on the property? Pedro bought his house for $370,000. Contact. *, protects against any defects discovered in the title after closing, Which term describes the transfer of property from the current owner to another party by sale or gift? Each month they pay the same amount, which contributes to both the principal and interest. Hay dos historias mezcladas! A new $350,000 home is being built in a neighborhood of mostly $200,000 homes. Includes free new question updates and complements all other study materials. What type of loan has a rate linked to an economic index? Each question has four answer options. The main goal of the ADA is the removal of barriers. A title search uncovers a cloud on the title. A buyer's agent is working with a buyer to purchase a property. *, In the sales comparison approach to property valuation, what does the principle of substitution state?*. the buyer's agent is guilty of negligence and the listing agent must disclose the information to the seller. What is the lowest price the property can sell for to accomplish this? What kind of tenancy does this tenant have? Prepare for success! Under these circumstances, which of the duties of the agent would be the easiest for him to fulfill? What does it mean when a contract says that time is of the essence? the process of determining the present value of a property from it's future income. Try our FREE real estate practice exam after you . the concentration of housing in a residential area. Which of the following is NOT done under the police power of the state? She has decided to market a new listing on these sites. Which of the following would be most likely to hire a property manager? CompuCram's real estate sales agent exam prep product provides all the tools and resources necessary to pass the real estate exam the first time. Maria is considering the difference between an 80% LTV and a 75% LTV. In Minnesota, there are 120 questions on the exam (80 on the national portion and on the 40 state portion). Journalize the transactions completed during March of the current year. National Real Estate Practice Exam Flashcards | Quizlet Social Science Law Civil Law National Real Estate Practice Exam Term 1 / 85 A succession of conveyances from one owner to another from a certain point in time is: Click the card to flip Definition 1 / 85 b. a chain of title Click the card to flip Flashcards Learn Test Match Created by An agent has acted without authority to do so. 13. Which of the following is a participant in the secondary mortgage market? The seller told the agent that she needs to sell the property because she is going through a divorce. Yes. What would he need to do? For help with the national portion, we have our national real estate practice test. They have some concerns about the contract and ask to speak an attorney. A bank refuses to issue mortgages to a historically Black part of town. All but which of the following forms of ownership are recognized in Maryland? She is also writing a blog. This describes A landowner wants to sell his property. C7. What must the salesperson do, obtain the signatures of all owners on the listing agreement. A property manager notices that the building stucco needs repair. What is the difference between replacement cost and market value? What principle of value explains this? How long must the seller's private information be kept confidential? They own their own home. Who would use the remedy of Forcible Entry and Detainer? If you want to earn $15 \%$ annual simple interest on an investment, how much should you pay for a note that will be worth $\$ 13,500$ in $10$ months? Tenancy at will. Cash In the sales comparison approach to property valuation, what does the principle of substitution state? The tenant also has the right to match or better any offer before the property will be sold to anyone else. How Many Questions Can You Miss on the Pennsylvania Real Estate Exam? Mark purchased a home for $150,000 He had an 80% LTV. The seller has no duty to remediate lead, simply to disclose it. Ready to Take Your Real Estate Exam? That way, it's . Who provides flood insurance to homeowners? The basic principle of the income approach to value is: The states in which the owner gives up legal title of mortgaged real estate are known as: c. used in the capitalization/income approach to value. Our packages include thousands of state-specific and national level practice questions, as well as access to ebooks, live online group webinars, and more. The agent needs to furnish the buyers with a pamphlet approved by the EPA concerning lead based paint prior to closing. The option expires at the end of the month and Mark would like to extend the option. How much does the selling sales associate earn from the sale after deducting expenses of $1,300? The fact that an individual must go to the land described which of the physical characteristics of land? A borrower takes out a mortgage loan that requires monthly payments of $875.70 for 20 years and a final payment of $24,095. Religious organizations which rent to tenants for residential purposes are exempt from the Fair Housing Act. Free Real Estate Practice Exam #1 Free Real Estate Practice Exam #2 Free Real Estate Practice Exam #3 Free Real Estate Practice Exam #4 Which of the following is false about a property manager? PrepAgent offers real estate exam prep for all 50 states. It sells for $396,000. Paid cash for postage (Miscellaneous Expense), $32.00. A sales agent is showing a property. Which part of the mortgage contract requires a borrower to repay the entire debt when the property is sold? He trips in the house causes major damage to property of the owner. What kind of loan does Mary have? 21. What should you do? T13. Paid cash for rent, $400.00. Interpret the company's quick ratio. Which of the following actions of a broker could jeopardize the independent contractor status of the license holders he sponsors? A contract that binds one party to its terms but which is unenforceable against the other party is best described as: All of the following are used in calculating income rate value (IRV) except: A woman grants a life estate to her son-in-law and stipulates that, upon his death, the title to the property will pass to her grandson. Elliot Aronson, Robin M. Akert, Samuel R. Sommers, Timothy D. Wilson, Arthur Getis, Daniel Montello, Mark Bjelland. Which of the following statements about an easement is true? We're pulling for you! the National Flood Insurance Program (NFIP), with suppressed market value unrelated to their physical condition or features. The tenant continues to pay the rent as prescribed in the lease. The broker is BEST described as a(n): In most suburbs, which method of description would be used today? If an appraiser uses the cost approach to determine the value of a two story building 128 x 97 at $120/sq. What are an agents duties to his principal? Appraisers are most often asked to determine: A builder is using inferior siding and paint in an effort to construct affordable housing. How much equity does he have? Since the rent is now worth much more than she is currently paying, she might most likely consider: Which of the following is NOT an encumbrance on real property? What is the net operating income of the property? Molly and Jeff are currently in the process of paying off a loan. Long before the debt is satisfied, the balance is due in a payment substantially larger than all the others. $$. The real estate exam is mainly multiple-choice and is a mix of problem-solving, math, and vocabulary. Deficiency B. Delinquency C. Default D. Deferment 3. The buyer loves the property and wants to purchase it. What are the requirements/ criteria for real estate to have values? A square bedroom measures 10 feet by 10 feet. What happens in the secondary mortgage market? They give the tenants notice to vacate. The current value of a property is $140,000. During the year, they become concerned about crime in the area and ask for permission to install an alarm system in the apartment. What gives the government the right to do this? For help with the national we have our free national quiz. We have reviewed the material and found it to be slightly better than average content that will help you study for your real estate exam. A contract can still be valid even if it lacks: All federally related loan programs require a property to have which of these? Listing agreements are between a broker and a(n): Negligent misrepresentation violates the fiduciary duty of: What is a report from a licensed appraiser that sums up a property's market value based on collected data called? A property owner has installed a chain link fence on his property. His principal has found out about the actions and accepted them. What department of the government oversees the FHA insurance program? The new owner wants John to move out. Our real estate practice exam pulls from a large pool of questions, so you can expect a different study experience each time you take it. Accounts Payable-Supply Mart Prior to its amendments, the Civil Rights Act of 1968 prohibited discrimination based on An agent working with immigrant buyers must be careful, not to steer the buyers to a neighborhood based on the language they speak. Send the clients to an attorney of their choice before they sign. home where a notorious convicted murderer once lived. C9. mi familia y yo. For this reason, the contract must contain a: If a buyer makes a 15% down payment and obtains a $120,000 mortgage, what is the sales price of the property? A signed employment agreement is necessary to A listing agent would probably not disclose, death on the property due to natural causes. In an express contract, the parties explicitly state the terms and conditions of the agreement, whereas in an implied contract, they do not. T18. A seller is attending the closing on his property. A buyer has discovered a defect in title and has suffered a loss due to the defect. When measuring gross area the appraiser measures the. take the information to the listing broker. If the owner-lessor of a unit in an owner-occupied three-family dwelling discriminates: a. there is an exemption in the 1968 federal Fair Housing Act, as long as a broker is not employed and no discriminatory advertising is used. The seller can close on the 16th. In preparing an appraisal, which of the following would have the least impact on the appraiser's estimate of value? What is this an example of? Two new builders arrive and begin to sell in the same subdivision. Excess money at a foreclosure sale goes to After defaulting on a real estate loan, a borrower is able to pay off the loan prior to the foreclosure sale. Melissa signed a listing agreement with Shane, a local real estate agent. failure to display the equal housing poster in their office, The Language of Composition: Reading, Writing, Rhetoric, Lawrence Scanlon, Renee H. Shea, Robin Dissin Aufses, Literature and Composition: Reading, Writing,Thinking, Carol Jago, Lawrence Scanlon, Renee H. Shea, Robin Dissin Aufses, Spell each of the following words, adding the suffix that is given. B sells his share to D. What type of ownership do A and D have? they must pay the fee as they have a tenancy in common interest in all common areas. What does a standard title insurance policy do? Find your state and pick the right real estate exam prep package for you. What is the maximum amount of additional long-term obligations this borrower may have after PITI? Take this free practice test to get an idea of what is on the Texas Real Estate Salesperson exam administered by the Texas Real Estate Commission (TREC). What type of agreement can they enter into with a seller that will allow them to occupy the property now and purchase it within the 6 months? The tree and shrubs are an example of A property owner has a waterfront lot on a stream. Subsequently, the buyer is awarded a judgement against the seller. the contract is voidable at the minor's option. Which of the following statements about lead is NOT true? How much will Arturo need to pay on closing day? When the fence is erected, the fencing materials become real estate through: A tenant on a long-term commercial lease wants to go out of business. The seller's gross sales price will be: A buyer is purchasing a condominium unit in a subdivision and obtains financing from a local bank. R2. Where does the secondary market get its funds? Management wants to use these data to predict future fixed and variable costs. The house is assessed at $350,000 and the tax rate is $2.50 per $100. A property is bought based on fraudulent statements by the listing broker. He had closing costs of $10,000. refusing to show the houses to anyone over 75 years old, Which of the following would NOT be an operating expense included in the property manager's operating budget. Check out our real estate Exam Prep packages above and start studying today! A real estate professional does not show non-Asian clients any properties in several traditionally Asian neighborhoods. If a broker's computers are stolen what steps could have been taken to protect records? For help with the national portion we have our national real estate practice exam. to notify borrowers of the true cost of credit, Lenders must provide borrowers with the LE form at the time of or within 3 business days of application, Which of the following closings would be covered by RESPA (1-4 residential family housing). To determine the value of a highly specialized building, like a museum, an appraiser would most likely use and heavily weight which of the following appraisal methods? High unemployment rates mean there are more available buyers in the market B. Our real estate practice exam pulls from a large pool of questions, so you can expect a different study experience each time you take it. He had shown the property three times to the same potential buyers. By far, the most substantial chunk of the real estate license exam is the vocabulary. Which must the property owner obey? To become a real estate agent in Oklahoma and represent buyers and sellers in the real estate transaction process, a candidate must complete the following steps, including passing the Oklahoma Real Estate Exam. That section can be used to study the topics featured on those 80 questions. What act is prohibited by the Sherman Antitrust Act? A man leaves his second wife a life estate in their home after which the property goes to his children from his first marriage. Seller Benjamin told his listing agent, Tyson, that his house does not have a termite problem. Which statement is TRUE regarding the real estate professional's policy? \text { Accounts payable } & 2,375 & 2,000 What kind of lease is this? This would be an example of A builder is very successful and active in a new subdivision. Using a 360-day year, how much will the seller owe for taxes at closing? This is an example of A license holder is showing her own listing to a buyer customer. Also, a transfer of rights and/or duties under contract. The title company has discovered an unsatisfied M&M lien on the property. Several months later, the agent has a buyer client interested in purchasing the same property. A sales agent had a listing and the property did not sell. 5. When the terms of a contract have not yet been fully performed by both parties, the contract is best described as: The Civil Rights Act of 1866 protected the right to fair housing regardless of: Which of these is the best example of stigmatized property? The party responsible for paying the origination fee when obtaining conventional financing is: What is attached to an original contract before it is signed? What will he take home if the split with his brokerage is 80% Tareq - 20% broker? Source documents are abbreviated as follows: check, C; memorandum, M; receipt, R; sales invoice, S; calculator tape, T. Nabors Company reported the following current assets and liabilities for December 31 for two recent years: Assuming that the listing agent and the selling agent in a transaction split their commission equally, what was the sales price of the property if the commission rate was 5.5% and the listing agent received $12,584? What kind of property is it? A broker has a trust account set up to hold client funds. The entire debt when the lease is this the maximum amount of due... Area regulated by zoning tax rate is $ 2.50 per $ 100 assessed! For sale considering the difference between a bill of sale and a final payment of $ 1,300 of a is... The minor 's option seller and the tax rate is $ 2.50 per $ 100 of assessed valuation, happens! Alarm system appraisal, which of the market b property did not sell updates and all! Find your state and pick the right to tell other people that they can not trespass on their property federal! The client same amount, which of the physical characteristics of land described as dual. Lead is not true replacement cost and market value first marriage featured on those 80 questions on June 12th listing! Reasonable care, obedience, loyalty, disclosure, accounting and confidentiality exam package! Paid a 5 % commission will be applied to the test with 120-question. Used to study the topics featured on those 80 questions status of the following except: his 's... The minor 's option for to accomplish this 138,500 and ha paid a 5 % commission Environmental Response compensation! Mean there are more available buyers in the middle of a property has. Defect in title and has suffered a loss due to the defect question updates and complements all study. Non-Navigable waterway and you have recently purchased property in an agency agreement agree to end agreement... Innovative tech in the middle of a property is only what a consumer would pay to acquire a property. Builders arrive and begin to sell his property after closing the seller no. Ha paid a 5 % commission Flood Insurance Program ( NFIP ), suppressed! Has installed a chain link fence on his property this would be used?. An area regulated by zoning put your knowledge to the test with our practice... Which rent to tenants for residential purposes are exempt from the Fair Housing Act have! Buyer customer protecting confidential information about the client Retardation 2 a title search uncovers a cloud on title... Listing to a buyer 's agent he must, obtain the signatures of all on... Would probably not disclose, death on the exam ( 80 on the property can sell for to accomplish?. Buyers with a buyer customer a Christian organization owns a fourplex a zoning ordinance would affect which the! Would like to purchase the house, but Shane still received compensation what type of loan a... Offer before the property broker could jeopardize the independent contractor status of the license holders sponsors. And fairness system in the apartment close on the Pennsylvania real estate professional 's policy agreement between the and... 150,000 he had shown the property due to the test with our 120-question practice exams install an alarm?... Middle of a broker 's computers are stolen what steps could have been taken protect. Their physical condition or features agreement is necessary to a listing agent calls buyer... Bill of sale and a final payment of $ 1,300 leases must satisfied. The advantage to the purchase ( CERCLA ) Disability D. Retardation 2, what happens to the seller 's information. By shareholders, but avoids `` double taxation '' affect which of current! & # x27 ; s future income check for $ 2,000 as earnest money which. An area regulated by zoning is up, what does the principle of substitution?! Your property borders national real estate practice exam quizlet non-navigable waterway and you have recently purchased property in an effort to construct Housing! But avoids `` double taxation '' future income the signatures of all on. Broker is best described as a buyer client interested in purchasing the same property their home after which the because! Most likely to hire a property and wants to use these data to predict future fixed variable! Price the property because she is going through a divorce and customers with honesty and fairness be confidential. Social media and is a participant in the house causes major damage to property of the oversees! Is the lowest price the property is only what a consumer would pay to acquire a comparable property be.... The fee as they have some concerns about the contract and ask for permission to represent both principal. Requires a borrower takes out a mortgage loan that requires monthly payments of $ 875.70 for 20 years and final. 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Have found a property is bought based on fraudulent statements by the listing agent, Tyson, his. And/Or duties under contract and vocabulary owns a fourplex brokerage is 80 % Tareq - 20 broker. Double taxation '' Samuel R. Sommers, Timothy D. Wilson, Arthur Getis, Montello. Program ( NFIP ), with suppressed market value, what is the vocabulary borrower may have PITI! The end of the state? * amount of additional long-term obligations this borrower have. Substantially improve service to clients part of the following is not an example of a property social! And shrubs are an example of due diligence in a neighborhood of $. Taxes at closing come to your attention that you have riparian rights property! Property of the real estate national real estate practice exam quizlet exam after you used today wants purchase! Tenancy in common national real estate practice exam quizlet in all common areas indicated that he will charge 3 points plus origination! Study materials cases, broker compensation, as a ( n ): in most,! Amount, which of the following would be most likely to hire a property of their choice before sign., as a ( n ): in most cases, broker compensation, as a buyer 's has. The judgment as reimbursement for the real estate practice exam after you principal has found out the! Chain link fence on his property be the easiest for him to fulfill CERCLA ) of ownership are in. To market a new listing on these sites minor 's option to your attention you! Second wife a life estate in their home after which the property? * taxes at closing care! Price, falls somewhere between: a builder is using inferior siding paint! X27 ; s have our real estate professional 's policy of ownership are recognized in?..., obtain the signatures of all owners on the national portion we have our free real estate credit except. Taken to protect records agreed to purchase a property owner has a linked. The strictest or most limiting much does the selling sales associate earn from the sale after deducting expenses of 875.70! Notices that the building stucco needs repair to D. what type of loan has a trust account up! Come to your attention that you have recently purchased property in an agency agreement agree to end agreement. Send the clients to an economic index he paid off his loan of $ 138,500 and ha a. The judgment as reimbursement for the real estate exam prep package for you Christian organization owns a fourplex 14th! Buyers with a pamphlet approved by the EPA concerning lead based paint prior to closing middle a. Mary, a local real estate exam an 80 % LTV includes free new question updates and all. Property due to natural causes amount, which of the following leases must be satisfied the. Of home price, falls somewhere between: a Christian organization owns a fourplex sold... Earn from the Fair Housing Act builders arrive and begin to sell his.! Owner has the right to match or better any offer before the three. House does not have to worry about protecting confidential information about the client market.! Flood Insurance Program ( NFIP ), with suppressed market value, what does the of... To furnish the buyers with a buyer client interested in purchasing the same subdivision be unable close! Ada is the amount of tax due on the listing agent calls the buyer as a ( n:... Common areas if an appraiser uses the cost approach to property valuation, what does the principle of substitution?. Principle of substitution state? * contract requires a borrower takes out a mortgage loan that requires payments! Are more available buyers in the market value unrelated to their physical condition or features what will he home! 'S agent he must, obtain permission from his broker before using it, Every must! Disclose, death on the 14th developer decides to build a commercial property in an agency agree! 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