PSI Exam State Real Estate Questions
Michigan 2023
According to the CAN SPAM Act, every email advertisement for real estate services must do all of the
following EXCEPT - correct answer ✔✔advise the recipient that it will take 180 days to remove the
recipient's name from this email list
A complaint must be filed w/ HUD within what period of time after a fair housing violation has occurred?
- correct answer ✔✔1 year
A MAJOR difference between freehold and no freehold estates is that all no freehold estates - correct
answer ✔✔are estates for a fixed term
A couple applied for a loan to finance the purchase of a new home. What Federal Act was created to
ensure that they have knowledge of all closing costs? - correct answer ✔✔Real Estate Settlement
Procedures Act
A low loan-to-value ratio indicates a - correct answer ✔✔higher equity in the property
Negative amortization is - correct answer ✔✔an increase in mortgage debt that occurs when the
monthly payments is not large enough to cover the interest due
During a broker meeting, a broker states that a competitor is NOT charging enough commission. The
other brokers should - correct answer ✔✔remove themselves from the meeting
In MOST listing contracts, a broker who has brought a ready, willing, and able buyer to a seller who
agrees to the terms of a sales contract - correct answer ✔✔Research says it's,
"earns a commission at that point"
but I believe it's,
, "after transaction has closed"
- both are options on the test -
Which of the following statements in an advertisement would be an example of non-discriminatory
language under HUD's Fair Housing Advertising Guidelines? - correct answer ✔✔Female seeking female
roommate
Which of the following is NOT example of a fixture - correct answer ✔✔Cast iron garden bench
What should buyers insert into their purchase offer to make sure they would NOT have to go through
with the purchase if they CANNOT obtain the necessary financing? - correct answer ✔✔contingency
Which of the following approaches would allow you to estimate value if you know the construction price
per square foot? - correct answer ✔✔Cost
Which of the following statements about airborne radon is TRUE? - correct answer ✔✔It is inexpensively
detected and mitigated
A salesperson's client is the lessee. Who does the salesperson represent? - correct answer
✔✔Lessee=tennant
If there is a cloud on the title to a property, the best means of eliminating it is - correct answer ✔✔a suit
to quiet title
The clause designed to ensure that a broker will receive a commission if negotiations w/ a ready, willing,
and able buyer are completed after the listing has expired is called - correct answer ✔✔an extension or
"tail" clause
On the test, you'll probably get a question abt a minor in a transaction. Just Know that if a minor is
included in a transaction, it is a - correct answer ✔✔Voidable contract
Michigan 2023
According to the CAN SPAM Act, every email advertisement for real estate services must do all of the
following EXCEPT - correct answer ✔✔advise the recipient that it will take 180 days to remove the
recipient's name from this email list
A complaint must be filed w/ HUD within what period of time after a fair housing violation has occurred?
- correct answer ✔✔1 year
A MAJOR difference between freehold and no freehold estates is that all no freehold estates - correct
answer ✔✔are estates for a fixed term
A couple applied for a loan to finance the purchase of a new home. What Federal Act was created to
ensure that they have knowledge of all closing costs? - correct answer ✔✔Real Estate Settlement
Procedures Act
A low loan-to-value ratio indicates a - correct answer ✔✔higher equity in the property
Negative amortization is - correct answer ✔✔an increase in mortgage debt that occurs when the
monthly payments is not large enough to cover the interest due
During a broker meeting, a broker states that a competitor is NOT charging enough commission. The
other brokers should - correct answer ✔✔remove themselves from the meeting
In MOST listing contracts, a broker who has brought a ready, willing, and able buyer to a seller who
agrees to the terms of a sales contract - correct answer ✔✔Research says it's,
"earns a commission at that point"
but I believe it's,
, "after transaction has closed"
- both are options on the test -
Which of the following statements in an advertisement would be an example of non-discriminatory
language under HUD's Fair Housing Advertising Guidelines? - correct answer ✔✔Female seeking female
roommate
Which of the following is NOT example of a fixture - correct answer ✔✔Cast iron garden bench
What should buyers insert into their purchase offer to make sure they would NOT have to go through
with the purchase if they CANNOT obtain the necessary financing? - correct answer ✔✔contingency
Which of the following approaches would allow you to estimate value if you know the construction price
per square foot? - correct answer ✔✔Cost
Which of the following statements about airborne radon is TRUE? - correct answer ✔✔It is inexpensively
detected and mitigated
A salesperson's client is the lessee. Who does the salesperson represent? - correct answer
✔✔Lessee=tennant
If there is a cloud on the title to a property, the best means of eliminating it is - correct answer ✔✔a suit
to quiet title
The clause designed to ensure that a broker will receive a commission if negotiations w/ a ready, willing,
and able buyer are completed after the listing has expired is called - correct answer ✔✔an extension or
"tail" clause
On the test, you'll probably get a question abt a minor in a transaction. Just Know that if a minor is
included in a transaction, it is a - correct answer ✔✔Voidable contract
