A buyer of property in a land project may rescind his purchase and obtain a
refund, even without a specific reason, within: - ANSWER 14 calendar days
Homestead protection can be terminated in all the following ways, except: -
ANSWER 1) If the homestead is sold
2) if a creditor brings a legal action against the homesteader in bankruptcy
court
3) if the homesteader files a declaration of abandonment
4) if the homesteader files a declaration of homestead on another property
Correct answer is (2).
Homestead laws are favored by law and custom and are favorably construed to
protect the homestead. Once a homestead is established, it is presumed to
continue until terminated.
A property may lose its homestead status if: - ANSWER homestead owner
builds another property
homestead owner moves out of state
homestead owner records another homestead
homestead property is destroyed in a flood
Correct answer is (c).
Someone can homestead only one property at a time. Moving from the home or
its destruction does not invalidate the homestead.
A contract that states the price and terms is: - ANSWER Implied
Express
Executory
Cannot be modified
Correct answer is (b).
,A contract can be either express contract or implied. An express contract has its
terms expressed in words, either orally or in writing. An implied contract has at
least some of its terms not expressed in words.
Of these mortgage providers, which one generally offers the highest loan-to-
value ratios (LTV) for conventional loans: - ANSWER Savings banks
Private lenders
Life insurance companies
Commercial banks
Correct answer is (a).
While savings banks, commercial banks and insurance companies are the
largest providers of real estate loans, it is savings banks best known for
specializing in funding home mortgages.
California's Consumer Recovery Account pays a maximum per transaction of
________________.$10,000
$50,000
$100,000
There is no monetary limit on refunds. - ANSWER $10,000
$50,000
$100,000
There is no monetary limit on refunds.
Correct answer is (b).
A consumer who has been defrauded by a real estate licensee can potentially
have their out-of-pocket losses refunded up to a maximum of $50,000 per
transaction
While performing the duties of a listing agent, a real estate broker is liable to
third parties for:His own unlawful acts
Acts performed by a cooperating broker who is the seller's sub-agent
Only written contracts made under the authority of the principal
Illegal actions committed by his or her principal involved in the transaction -
ANSWER Correct answer is (a).
However, errors and/or omissions (negligence) committed by a cooperating
broker who is the seller's authorized sub-agent may be imputed to the seller.
Also, if the cooperating broker is not the authorized sub-agent of the seller, but
is instead serving as the authorized agent or sub-agent of the listing broker, any
, negligent acts by the cooperating broker can be imputed to the listing broker
with the listing broker subject to liability to third parties under the legal theory
of respondeat superior.
The provision stating, a "Realtor shall not publicly disparage the business
practice of a competitor" appears in the: - ANSWER Commissioner's Rules and
Regulations
California Business and Professions code
County ordinances
NAR Code of Ethics
Correct answer is (d).
This provision is included in the National Association of Realtor's (NAR) Code
of Ethics. Although it does not have the force of law, NAR — the real estate
industry trade group — can enforce its own sanctions on violators.
A broker accepts a prospective buyer's deposit and deposits it in his trust
account. The broker also keeps his personal funds in the account to pay his
office expenses. The broker is guilty of: - ANSWER Conversion
Commingling
Accounting mistake
This is not considered wrong
Correct answer is (b).
Commingling is the mixing of trust funds with personal funds, a violation of
state law. Conversion is the actual misappropriation of the funds of a party for
the broker's own purposes and may be considered as theft under the California
penal code.
A would-be home buyer's loan application was turned down due to a negative
credit report. If the applicant's request to see the credit report is denied, the
applicant can: - ANSWER Sue for actual damages
Sue for attorney fees and court fees
Both A & B
Sue for punitive damages up to $100,000
Correct answer is (c).
State law mandates that credit reporting agencies must share an applicant's
credit report if requested by the applicant. Agencies that fail to do so are liable
for actual damages, punitive damages up to $5,000 and legal fees.
refund, even without a specific reason, within: - ANSWER 14 calendar days
Homestead protection can be terminated in all the following ways, except: -
ANSWER 1) If the homestead is sold
2) if a creditor brings a legal action against the homesteader in bankruptcy
court
3) if the homesteader files a declaration of abandonment
4) if the homesteader files a declaration of homestead on another property
Correct answer is (2).
Homestead laws are favored by law and custom and are favorably construed to
protect the homestead. Once a homestead is established, it is presumed to
continue until terminated.
A property may lose its homestead status if: - ANSWER homestead owner
builds another property
homestead owner moves out of state
homestead owner records another homestead
homestead property is destroyed in a flood
Correct answer is (c).
Someone can homestead only one property at a time. Moving from the home or
its destruction does not invalidate the homestead.
A contract that states the price and terms is: - ANSWER Implied
Express
Executory
Cannot be modified
Correct answer is (b).
,A contract can be either express contract or implied. An express contract has its
terms expressed in words, either orally or in writing. An implied contract has at
least some of its terms not expressed in words.
Of these mortgage providers, which one generally offers the highest loan-to-
value ratios (LTV) for conventional loans: - ANSWER Savings banks
Private lenders
Life insurance companies
Commercial banks
Correct answer is (a).
While savings banks, commercial banks and insurance companies are the
largest providers of real estate loans, it is savings banks best known for
specializing in funding home mortgages.
California's Consumer Recovery Account pays a maximum per transaction of
________________.$10,000
$50,000
$100,000
There is no monetary limit on refunds. - ANSWER $10,000
$50,000
$100,000
There is no monetary limit on refunds.
Correct answer is (b).
A consumer who has been defrauded by a real estate licensee can potentially
have their out-of-pocket losses refunded up to a maximum of $50,000 per
transaction
While performing the duties of a listing agent, a real estate broker is liable to
third parties for:His own unlawful acts
Acts performed by a cooperating broker who is the seller's sub-agent
Only written contracts made under the authority of the principal
Illegal actions committed by his or her principal involved in the transaction -
ANSWER Correct answer is (a).
However, errors and/or omissions (negligence) committed by a cooperating
broker who is the seller's authorized sub-agent may be imputed to the seller.
Also, if the cooperating broker is not the authorized sub-agent of the seller, but
is instead serving as the authorized agent or sub-agent of the listing broker, any
, negligent acts by the cooperating broker can be imputed to the listing broker
with the listing broker subject to liability to third parties under the legal theory
of respondeat superior.
The provision stating, a "Realtor shall not publicly disparage the business
practice of a competitor" appears in the: - ANSWER Commissioner's Rules and
Regulations
California Business and Professions code
County ordinances
NAR Code of Ethics
Correct answer is (d).
This provision is included in the National Association of Realtor's (NAR) Code
of Ethics. Although it does not have the force of law, NAR — the real estate
industry trade group — can enforce its own sanctions on violators.
A broker accepts a prospective buyer's deposit and deposits it in his trust
account. The broker also keeps his personal funds in the account to pay his
office expenses. The broker is guilty of: - ANSWER Conversion
Commingling
Accounting mistake
This is not considered wrong
Correct answer is (b).
Commingling is the mixing of trust funds with personal funds, a violation of
state law. Conversion is the actual misappropriation of the funds of a party for
the broker's own purposes and may be considered as theft under the California
penal code.
A would-be home buyer's loan application was turned down due to a negative
credit report. If the applicant's request to see the credit report is denied, the
applicant can: - ANSWER Sue for actual damages
Sue for attorney fees and court fees
Both A & B
Sue for punitive damages up to $100,000
Correct answer is (c).
State law mandates that credit reporting agencies must share an applicant's
credit report if requested by the applicant. Agencies that fail to do so are liable
for actual damages, punitive damages up to $5,000 and legal fees.
