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GA MLS REAL ESTATE PRACTICAL FINAL EXAM
QUESTIONS AND VERIFIED ANSWERS
Safety Clause - (answers)A negotiated period after the termination of the listing
during which the listing broker may still be entitled to a commission if the
property is sold to a buyer who was shown the property during the listing period
Survival Clause - (answers)A clause in the contract for purchase and sale that ,
unless otherwise expressly agreed to in writing by the buyer and seller, allows
certain contractual obligations to be performed after closing
Ratification - (answers)Method of creating an agency relationship in which the
principal accepts the conduct of someone who acted without prior authorization
as the principal's agent
Net Operating Income (NOI) - (answers)The income projected for an income-
producing property after deducting losses for vacancy and collection and
operating expenses.
Straight Term Loan - (answers)A loan in which only interest is paid during the
term of the loan, with the entire principal amount due with the final interest
payment.
Loan Origination Fee - (answers)A fee charged to the borrower by the lender for
making a mortgage loan. The fee is usually computed as a percentage of the loan
amount.
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Adjustable Rate Mortgage - (answers)A loan characterized by a fluctuating
interest rate, usually one tied to a bank or savings and loan association cost-of-
funds index.
Fully Amortized Loan - (answers)A loan consisting of equal, regular payments
satisfying the total payment of principal and interest by the due date.
Purchase Money Mortgage - (answers)A note secured by a mortgage or deed of
trust given by a buyer, as borrower, to a seller, as lender, as part of the purchase
price of the real estate.
Debit - (answers)On a closing statement, an amount charged; an amount the
party must pay at settlement.
Credit - (answers)On closing statement, an amount entered in a person's favor, a
party that must be reimbursed.
Acceleration Clause - (answers)The clause un a mortgage or deed of trust that can
be enforced to make the entire debt due immediately if the borrower defaults on
an installment payment or other obligation
Addendum - (answers)Any provision added to an existing contract without
altering the content of the original
GA MLS REAL ESTATE PRACTICAL FINAL EXAM
QUESTIONS AND VERIFIED ANSWERS
Safety Clause - (answers)A negotiated period after the termination of the listing
during which the listing broker may still be entitled to a commission if the
property is sold to a buyer who was shown the property during the listing period
Survival Clause - (answers)A clause in the contract for purchase and sale that ,
unless otherwise expressly agreed to in writing by the buyer and seller, allows
certain contractual obligations to be performed after closing
Ratification - (answers)Method of creating an agency relationship in which the
principal accepts the conduct of someone who acted without prior authorization
as the principal's agent
Net Operating Income (NOI) - (answers)The income projected for an income-
producing property after deducting losses for vacancy and collection and
operating expenses.
Straight Term Loan - (answers)A loan in which only interest is paid during the
term of the loan, with the entire principal amount due with the final interest
payment.
Loan Origination Fee - (answers)A fee charged to the borrower by the lender for
making a mortgage loan. The fee is usually computed as a percentage of the loan
amount.
, 2
Adjustable Rate Mortgage - (answers)A loan characterized by a fluctuating
interest rate, usually one tied to a bank or savings and loan association cost-of-
funds index.
Fully Amortized Loan - (answers)A loan consisting of equal, regular payments
satisfying the total payment of principal and interest by the due date.
Purchase Money Mortgage - (answers)A note secured by a mortgage or deed of
trust given by a buyer, as borrower, to a seller, as lender, as part of the purchase
price of the real estate.
Debit - (answers)On a closing statement, an amount charged; an amount the
party must pay at settlement.
Credit - (answers)On closing statement, an amount entered in a person's favor, a
party that must be reimbursed.
Acceleration Clause - (answers)The clause un a mortgage or deed of trust that can
be enforced to make the entire debt due immediately if the borrower defaults on
an installment payment or other obligation
Addendum - (answers)Any provision added to an existing contract without
altering the content of the original
