Real Estate Express Course Final - VA License Law and National Exam Solved 100%

THE LANDLORD CAN ISSUE ONE OF TWO THINGS IF THE TENANT IS IN DEFAULT FOR NOT PAYING RENT? - Answers Five-Day Pay-Or-Quit Notice Unlawful Detainer Warrant WHO HAS THE RESPONSIBILITY TO CREATE AND AMEND THE REAL ESTATE CODE OF VIRGINIA? - Answers The Virginia General Assembly - NOT the DPOR or the Real Estate Board WHAT CAN A LANDLORD DO IF A TENANT IS ABSENT FROM RENTAL PROPERTY? - Answers If a tenant is absent from a rental property for more than SEVEN days without notifying the landlord, the landlord has a right to enter the property and make sure everything is okay. HOW MANY DAYS DOES A LANDLORD HAVE TO CORRECT VIOLATIONS? - Answers 30 days Unless the situation is an emergency, a Landlord has 30 days to correct violations after receiving notice from the landlord. THE VIRGINIA LANDLORD TENANT ACT COVERS WHAT? - Answers All apartments FAIR HOUSING IN VA INCLUDED WHICH EXTRA CATEGORY? - Answers Elderliness (anyone age 55 or older) THE VIRGINIA REAL ESTATE TRANSACTION RECOVERY ACT DOES WHAT? - Answers Provides relief to eligible consumers who have incurred losses through the improper or dishonest conduct of a licensed real estate salesperson, broker, or firm. One claim against one licensee for one transaction is $20,000. Multiple claims against one licensee for one transaction is $50,000 in one year. Multiple claims against one licensee for more than one transaction is $100,000. All Virginia Real Estate Licenses (even active brokers) will expire after? - Answers TWO years if not renewed by the last day of the month that the license was issued by payment of the required fee AND 16 (24) hours of specific Continuing Education courses WHO NOTIFIES THE BOARD OF COURSE COMPLETION? - Answers The real estate school or course provider WHAT IS THE FEE TO APPLY FOR A LICENSE? - Answers $150 The fee to acquire a Virginia Salespersons license after completing a 60-hour course and passing a required license examination is $150. UNLICENSED NON-RESIDENT APPLICANT MUST? - Answers 1. Must meet the same requirements as the residents of Virginia 2. File an irrevocable consent to suits and services 3. Agree to allow the Director of the DPOR to accept service of any legal process on the licensee's behalf HOW MANY HOURS OF CONTINUING EDUCATION IS NEEDED EACH LICENSE TERM? - Answers Brokers -TWENTY-FOUR (24) hours Salespeople - SIXTEEN (16) ACTIVE DUTY VETS GET CE EXTENSION FOR HOW LONG? - Answers SIX (6) months past the time of release from active duty WHAT IS A CONCURRENT LICENSE? - Answers Brokers can have more than one license at a time WHAT IS THE TIME LIMIT FOR NOTICE OF CHANGES? - Answers 30 days The Real Estate Board must receive notice of licensee-related changes within THIRTY (30) days for changes such as: personal information legal name change of ownership of the brokerage partnership change of officers in a corporation WHAT ARE SOME ADVERTISING "NO-NOs"? - Answers Advertisements need to have complete information. Do NOT publish an advertisement for real estate with: ONLY a P. O. Box ONLY a phone number ONLY a street address WHAT IS A DESIGNATED REPRESENTATIVE? - Answers A Designated Representative is NOT a Dual Agent. The use of "Designated Representatives" allow the brokerage firms to handle both sides of transactions at their own place of business and represent both parties in the deal. WHERE ARE ALL FINANCIAL RECORDS KEPT? - Answers Must be kept in the principal broker's office WHAT IS CONVERSION OF FUNDS OR PROPERTY? - Answers An illegal activity in which the licensee takes or uses the money or property of others without written permission by the owner. WHAT HAPPENS IF LICENSEE DOES NOT PROVIDE LEAD-BASED PAINT DISCLOSURE? - Answers Licensees can be liable to the purchaser or lessee, for up to three times the amount of the damages incurred. HOW LONG MUST A BROKERAGE RETAIN COPIES OF LEAD-BASED PAINT DISCLOSURES? - Answers Minimum of three (3) years WHAT MUST BE ON FOR SALE SIGN? - Answers Brokerage name TRANSACTION RECOVERY FUND WILL PAY FOR WHAT TYPES OF LOSSES? - Answers Actual monetary losses only. The award (claim) may include attorneys' fees and court costs. The Recovery Fund does not pay interest, punitive damages, exemplary damages, or any amounts that do not constitute actual monetary loss to the claimant. HOW MUCH IS THE TRANSACTION REAL ESTATE RECOVERY FUND FEE? - Answers $20 Initial payments may be incorporated in any application fee payment and transferred to the fund by the Director within 30 days. WHAT IS THE REAL ESTATE BOARD AUTHORIZED TO DO? - Answers 1. Set standards for licensure and conduct 2. Administer and enforce license laws 3. Issue and renew real estate licenses REAL ESTATE BOARD DOES NOT? - Answers Handle disputes between salespeople and brokers WHAT COULD CAUSE A LICENSE APPLICATION DENIAL? - Answers Not following all board rules Not following the rules of the testing service in taking the examination WHERE ARE LICENSES KEPT? - Answers Active salesperson's and broker's licenses are always kept in the main brokerage office. WHOSE RESPONSIBILITY IS IT TO RENEW THE LICENSE FOR THE LICENSEE? - Answers The LICENSEE named on the license is the person responsible to renew the license before the deadline every TWO years. WHEN WOULD RETURNING & TERMINATING LICENSES HAPPEN AND HOW MANY DAYS DO THEY HAVE TO BE RETURNED? - Answers If a salesperson or broker dies, or the brokerage business closes, the licenses must be returned to the Real Estate Board within TEN (10) calendar days. WHAT IS THE REAL ESTATE SETTLEMENT PROCEDURES ACT (RESPA)? - Answers RESPA is the federal law dealing with the procedures to follow in certain kinds of real estate closings to assure that consumers are fully informed concerning the details of the transaction closing. WHEN MUST OFFERS BE PRESENTED? - Answers Licensee is obligated to present all offers in a timely manner WHAT IS ESCROW? - Answers Money held in trust WHEN CAN A TIME-SHARE PURCHASE BE CANCELLED? - Answers Within SEVEN (7) calendar days after execution of the purchase contract or receipt of a current public offering statement, whichever is later, without penalty. NAME SOME REASONS WHY A LICENSEE MIGHT BE DISCIPLINED? - Answers All the following are some of the reasons a licensee might be disciplined by the Real Estate Board: (1) Failing to comply with the rules of the Code of Virginia and board regulations (2) Not responding to a board inquiry within 21 days (3) Not producing for the board any documentation regarding a real estate transaction in which the licensee was involved or for which he was required to keep records WHOSE RESPONSIBILITY IS IT TO RESEARCH SEX OFFENDERS IN AREA? - Answers The buyer is responsible for researching and determining if there are any released sex offenders in the neighborhood. ARE DISCLOSURES REQUIRED FOR RELATED PARTIES? - Answers No requirement that a property disclosure form be provided. WHAT IS BLOCKBUSTING? - Answers Blockbusting is the illegal practice of persuading owners to sell property cheaply because of the fear of people of another race or class moving into the neighborhood, inducing panic selling and thus profiting by reselling at a higher price. WHAT MUST BE INCLUDED IN THE CONDOMINIUM DECLARATION FORM? - Answers Under the VA Condo Act a Condo Declaration Form must include: (1) Name of the condo, which must include the word "condominium" (2) Legal description of the property (3) An exact description of each unit's boundaries WHO NOTIFIES AGENT AND PRINCIPAL BROKER OF COMPLAINT INVESTIGATION? - Answers The Real Estate Board will notify the agent being investigated and the principal broker. WHAT IS THE PENALTY FOR NON-LICENSEE ENGAGED IN ACTIVITY REQUIRING A LICENSE? - Answers Any person engaging in unlicensed activity shall be subject to further proceedings before the Board and the Board may impose a civil penalty not to exceed $1,000 for any real estate transaction or the compensation received from any such real estate transaction, whichever is greater. WHAT IS THE PENALTY FOR UNDISCLOSED LICENSEE INVOLVED IN TRANSACTION? - Answers If a licensee is a party to any real estate transaction, even just as an "interested" party, his license status MUST BE disclosed in the contract. If it is not, he could: (1) Be fined (2) Have license suspended (3) Have license revoked A SALESPERSON OR ASSOCIATE BROKER CAN ONLY RECEIVE SALES COMMISSIONS WHEN? - Answers 1. They have an active license 2. From their principal or employing broker VA REAL ESTATE BOARD CONSISTS OF HOW MANY MEMBERS? - Answers The VA Real Estate Board is a division of the Department of Professional and Occupational Regulation (DPOR). Nine (9) members Seven (7) have real estate licenses and two (2) do not have licenses BROKER'S HOLD ONLY ________ LICENSES - Answers Active An active license is a license associated with a broker, who certified agreement, on the new licensee's license application, that the broker has agreed to be responsible for the actions of this new licensee. ARE LICENSES REQUIRED OF A TRUSTEE? - Answers A trustee acting under a court order does not have to have a license to consummate a real estate transaction. WHAT IS THE MINIMUM AGE PERMITTED TO HAVE A REAL ESTATE LICENSE? - Answers 18 WOULD A FOUR RENTAL UNITS IN VIRGINIA - NON-RESIDENT OWNER NEED A LICENSEE? - Answers Yes. They must engage a VA licensee with a VA business address as an agent. Leasees must name the licensee and the licensee's address for legal service purposes. WHAT IS A LANDLORD'S SUB-LEASE APPROVAL TIME LIMIT? - Answers TEN (10) days A tenant who wishes to sub-lease all of part of the space, whose lease allows a sub-lease, must obtain the Landlord's approval of the sub-tenant. ACCESS BY LANDLORD ALLOWED WHEN? - Answers A tenant has a right to exclusive occupancy and privacy. The landlord can access the premises under two provisions: (1) With the tenant's permission (2) In an emergency WHEN MUST REAL ESTATE SCHOOLS RENEW THEIR LICENSES? - Answers Every TWO (2) years by June 30 WHAT ARE NET LISTINGS? - Answers In a NET LISTING, an owner sets a minimum amount that he wants to receive from the sale of the property and lets the broker have as commission any amount above the set minimum. Net Listings are ILLEGAL in Virginia: 18 VAC . Improper brokerage commission: Actions resulting in an improper brokerage commission include: Making a listing contract or lease which provides for a "net" return to the seller/lessor, leaving the licensee free to sell or lease the property at any price he can obtain over the "net" price named by the seller/lessor. WHAT ARE GINNIE MAE, FANNIE MAE and FREDDIE MAC? - Answers Purchasers of Residential Mortgages are FNMA, GNMA and FHLMC. Federal National Mortgage Association (Fannie Mae) is a privately-owned stock Company. Government National Mortgage Association (Ginnie Mae) and Federal Home Loan Mortgage Corporation (Freddie Mac) are managed by the Department of Housing and Urban Development (HUD). WHAT ARE THE BUNDLE OF RIGHTS? - Answers A person who owns their home in Fee Simple Absolute is said to have a basic bundle of rights including: (1) the right to Exclusive Occupancy (2) the right to Enjoyment without interference and (3) the right to Sell, Waste or Destroy, the property. A tenant has the first two rights but not the third depending on details in the lease. A Life Estate has the first two but not the third. WHAT IS REAL PROPERTY? - Answers There are three slightly different descriptions of property. First there is unimproved dirt and plants, called LAND. There is land plus improvements such as fences and buildings called REAL ESTATE. There is real estate that includes non-physical interests, such as easements and restrictions, called REAL PROPERTY. An item permanently attached to real property, such as a fence, is included in the definition of real property. WHAT ARE TOWNSHIPS AND SECTIONS? - Answers A rectangular survey is composed of Townships that are square tracts of land six miles on each side. A township then is divided into 36 Sections which are square tracts of land one mile on a side. One mile is 5,280 square feet. So 5,280 x 5,280 = 27,878,400 square feet. An acre is 43,560 square feet so one Section has (27,878,400 / 43,560 = 640) 640 acres. WHAT IS A METES AND BOUNDS SURVEY? - Answers A metes and Bounds survey basically describes the perimeter of a tract of land. Its legal description contains angles and distances. It begins at a reference point, moves to a Point of Beginning (POB); Traverses the perimeter of the property Returns to the POB. WHAT IS EMINENT DOMAIN? - Answers Eminent Domain is the power of the government to acquire privately owned property for use by the public, after paying a fair price. The owner of the property may object to having his land taken but in the end the government does NOT have to have the owner's permission to condemn (take) the property. WHAT ARE EMINENT DOMAIN USES? - Answers A public entity can employ Eminent Domain to acquire private property FOR PUBLIC USE, not to then sell to another private owner for private use. But PUBLICLY OWNED property that has been acquired through Eminent Domain can be LEASED to a private entity for a use that the public will have access to, and the right to enjoyment such as a sports complex or entertainment center. WHAT IS OWNERSHIP IN SEVERALTY? - Answers Ownership of a SINGLE property by a SINGLE person or entity WHAT CAN A FEE SIMPLE OWNER NOT DO WITH THEIR RIGHTS OF OWNERSHIP? - Answers CANNOT CONDEMN her own property CAN grant an easement to someone to cross the property or use the property WHAT ARE TRUSTORS and TRUSTS? - Answers A beneficiary trust is an arrangement where a Trustor's assets are transferred to benefit someone over time. A Trustee is charged with managing the Trust. A living trust is set up while the person establishing the trust (the Trustor) is alive. A testamentary trust is one that is set up and becomes effective only after the Trustor has died. WHAT IS THE DIFFERENCE BETWEEN LICENSES AND LEASES? - Answers A license is NOT a lease. A license is simply revocable permission for the temporary private use of someone's property. A ticket to a sporting event being held on private property would be a license. A lease is a form of limited, temporary ownership. WHAT KINDS OF LIENS ARE THERE? - Answers There are both voluntary and involuntary liens. Property taxes are involuntary. A judgment lien is involuntary. A mechanic's lien is involuntary. A mortgage is a voluntary lien.