Correct Answers
The current market interest rate is 17 percent. Mr. and Mrs. Homeowner want to transfer their
property to their daughter. The loan balance is $75,000. The property can be transferred if the
loan does NOT contain a(n)
-alienation clause.
-accelerating clause.
-defeasance clause.
-nondisturbance clause. - correct answers ✔✔alienation clause
An offer has been accepted on a property. After the title search, who gives an opinion of title?
a. An attorney
b. The seller
c. The buyer
d. The broker - correct answers ✔✔an attorney
Mr. and Mrs.. Buyer just purchased their first house, which sits on five acres. They intend to
keep goats on the property. Which of the following would allow or disallow them to keep goats?
a. Federal ordinances
b. State ordinances
c. Zoning
d. Neighbors - correct answers ✔✔zoning
A buyer made an offer of $250,000 on a property with no contingencies and the offer was
accepted. The buyer planned to build a shopping center, but never mentioned it to the agent.
,Just before the closing, the buyer discovered that he could not build the shopping center. What
is the status of the sales concert?
a. Valid
b. Void
c. Voidable
d. Unenforceable - correct answers ✔✔valid
A handicapped person moved into an apartment and at his own expense lowered the light
switches, lowered the kitchen cabinets, installed handrails, and widened the doorways. At the
expiration of the lease, which of the following would the tenant LEAST LIKELY have to return to
its original condition?
a. Light switches
b. Kitchen cabinets
c. Handrails
d. Doorways - correct answers ✔✔doorways
Which of the following must be disclosed when an agent is showing a house?
a. Mortgage balance
b. The asking price of other homes in the
neighborhood
c. That the property is in a flood plain zone
d. Original cost of the property - correct answers ✔✔That the property is in a flood plain zone
Which of the following is an example of an emblement?
a. A stand of walnut trees
b. A field of corn
c. An apple orchard
,d. A vineyard - correct answers ✔✔a field of corn
A buyer's agent is usually considered to be in what relationship to the seller?
a. Client
b. Customer
c. Agency
d. Subagency - correct answers ✔✔customer
Which of the following is a physical characteristic of real estate?
a. Mobility
b. Scarcity
c. Uniqueness
d. Transferability - correct answers ✔✔Uniqueness
Which of the following normally purchases mortgages in the secondary mortgage market?
a. Mortgage banking companies, savings, and
loans, commercial banks, and mutual savings
banks.
b. Fannie Mae, Ginnie Mae, and Freddie Mac
c. Federal Housing Administration
d. Department of V eterans Affairs - correct answers ✔✔Fannie Mae, Ginnie Mae, and Freddie
Mac
Broker Alma had a listing agreement to sell Noah's house. Noah found a buyer for the house
and Alma collected the brokerage fee. The type of listing agreement Alma had is a(n)
a. exclusive-right -to-sell listing.
b. exclusive agency listing
, c. open listing
d. net listing - correct answers ✔✔exclusive-right -to-sell listing
The federal Truth-in-Lending Act
a. requires a lender to estimate a borrower's loan
closing charges on all mortgages.
b. regulates advertising that contains information regarding mortgage terms
c. prevents brokers from using phrases
like"FHA-VA financing available" in classified
ads
d. dictates that all mortgage loan applications be
made on specially prepared government forms. - correct answers ✔✔regulates advertising that
contains information regarding mortgage terms
Recording a deed provides the greatest benefit for the
a. grantor
b. public
c. attorney
d. grantee - correct answers ✔✔grantee
The most important test in determining whether something is a fixture is
a. The weight and /or size
b. its amount of utilization
c. its method of attachment
d. the intention of the party who attached it - correct answers ✔✔the intention of the party
who attached it