Real Estate Principles Final Exam questions & answers graded A+ 2023/2024

Real Estate Principles Final ExamAgent - correct answer the party authorized to conduct business on the principal's behalf Agency - correct answer a legal relationship between a principal and an agent Blockbusting - correct answer the illegal practice of encouraging property owners to sell their homes when minorities begin moving into an area Broker - correct answer an intermediary who brings together buyers and sellers, assists in negotiating agreements between them, executes their orders, and receives compensation for services rendered Buyer Representation Agreement - correct answer the legal agreement between a buyer and a broker hired to represent the buyer's interest Buyer's Agent - correct answer a broker who is legally obligated to represent a buyer's interest Commission Agreement - correct answer an agreement between a seller and broker for the payment of a commission if the broker is successful in locating a buyer for the seller's property Dual Agent - correct answer an agent who attempts to work in the best interest of two parties on opposing sides of a transaction Exclusive-Brokerage Listing - correct answer an agreement between a property owner and a single broker authorizing that broker to seek a buyer for the property in exchange for compensation Fair Housing Laws - correct answer laws that protect the rights of certain citizens in housing transactions Fiduciary - correct answer a person who is obligated to act in the best interest of another Fraud - correct answer a false statement made with the intention to mislead, that is material to a transaction, that is justifiably relied on by a client, and that results in injury to the client Limited-service listing - correct answer an agreement between a property owner/seller that authorizes a broker to perform certain tasks to seek a buyer for the property Listing Agreement - correct answer the legal agreement between a broker and a property owner that authorizes the broker to attempt to sell the property LISTING BROKER - correct answer the broker who negotiates the listing agreement with the seller MISREPRESENTATION - correct answer a false statement that is material to a transaction, that is justifiably relied upon by a client, and that results in injury to the client MULTIPLE LISTING SERVICE (MLS) - correct answer an arrangement in which brokers share their listings with other brokers in exchange for a share of the commission generated by a transaction NET LISTING - correct answer a listing agreement in which the broker is entitled to receive as commission any amount above a base price OPEN LISTING - correct answer a listing agreement in which a broker is entitled to receive a commission only in the event the broker procures a buyer for the property PRINCIPAL - correct answer the person who authorizes an agent to conduct business on his or her behalf REAL ESTATE BROKER - correct answer an individual licensed by a state to represent others in real estate transactions in exchange for compensation SELLER'S AGENT - correct answer a real estate broker who is obligated to represent the best interest of the seller SELLING BROKER - correct answer the broker who actually locates a buyer for a property STEERING - correct answer the illegal practice of steering potential homebuyers into certain areas to influence the racial or ethnic composition of the areas SUBAGENT - correct answer an agent of an agent of a principal TRANSACTION BROKER - correct answer a broker who provides limited representation to a seller or buyer in a real estate transaction ABSORPTION RATE - correct answer the number of units capable of being absorbed by the market over a given time period MANUFACTURED HOME - correct answer a dwelling unit that is manufactured in a factory and then moved to a particular site PATIO HOUSE - correct answer a detached house with at least one wall that touches the property line PLEX - correct answer a form of attached housing containing two or more units, each with its own outside entrance TIME-SHARING - correct answer a form of concurrent estate that splits ownership of a property across owners and across time TOWN HOUSE - correct answer a form of attached housing in which each unit has its own front door but shares one or two walls with adjacent units CENTRAL BUSINESS DISTRICTS - correct answer an unplanned series of buildings constructed along major streets in the center of town COMMERCIAL HOTELS - correct answer a hotel that caters primarily to businesspeople and conventioneers