REAL ESTATE - AYPO PRACTICE
FINAL EXAM QUESTIONS AND
LATEST ANSWERS
*Paul is a real estate broker. one day he is trying to convince a potential client to hire him to help
her buy a house. despite his best efforts, she is still on the fence. to convince her, he tells her he has
a deal with a local window company. if she hires him, he will get her a discount on new windows.
convinced by this, she agrees to hire him. a few weeks later, during a conversation about the house
search, she asks him what kind of discount she can expect on the windows. he tells her not to worry
about that. he won't speak to the window company until after the complete the purchase of a
house. what is wrong with this situation? ANSW✅✅the offer Paul used to induce the client to hire
him was deceptive
*according to Michigan law, a licensed real estate salesperson who is selling property they
personally own in their own name is required to include what in the advertising they produce to
promote the property? ANSW✅✅affirmative indication that the person selling the property is a
licensed real estate agent
authority that has been knowingly conferred by a principal onto an agent is: ANSW✅✅actual
authority
*according to Michigan law, who can a real estate salesperson accept a commission payment from?
ANSW✅✅the real estate broker they work for
*hazardous wastes general include such diverse materials as all of these except:
ANSW✅✅stormwater
*according to Michigan law, if a real estate broker is involved in the closing of a real estate
transaction, they must provide the buyer and seller with... ANSW✅✅a complete and detailed
closing statement
*what does a jurisdiction clause do? ANSW✅✅identify the state and county where any contract-
related lawsuit will take place
, *in Michigan, is a real estate license required to negotiate for the construction of a building on a
piece of real property? ANSW✅✅yes, if the person doing the negotiating expects to be
compensated for their efforts
*what is the ANSI term for areas that are not fit for year round use? ANSW✅✅unfinished areas
*for truth in advertising, the "reasonable basis" claim usually requires: ANSW✅✅some kind of
objective evidence
material facts are: ANSW✅✅pieces of information that a reasonable person would find important
to a situation
what must a veteran have in order to qualify for a home loan backed by the VA? ANSW✅✅a valid
certificate of eligibility
*a 72-hour clause is a specific kind of... ANSW✅✅escape clause
*steps for creating a cooperative include all of the following except: ANSW✅✅members file an
"intent to form a cooperative" form with the county
a listing agreement that ensures the seller's broker will be paid for a sale regardless of how a buyer is
procured would be know as: ANSW✅✅exclusive right-to-sell
what is the purpose of a title search? ANSW✅✅to discover clouds on the title
under an open listing agreement, who receives the commission payment from the seller?
ANSW✅✅the real estate agent who brings a buyer willing to purchase the property
what type of agent carries the broadest authority in a principal-agent relationship?
ANSW✅✅universal agent
under the triple net lease, who pays for the property insurance? ANSW✅✅the tenant
FINAL EXAM QUESTIONS AND
LATEST ANSWERS
*Paul is a real estate broker. one day he is trying to convince a potential client to hire him to help
her buy a house. despite his best efforts, she is still on the fence. to convince her, he tells her he has
a deal with a local window company. if she hires him, he will get her a discount on new windows.
convinced by this, she agrees to hire him. a few weeks later, during a conversation about the house
search, she asks him what kind of discount she can expect on the windows. he tells her not to worry
about that. he won't speak to the window company until after the complete the purchase of a
house. what is wrong with this situation? ANSW✅✅the offer Paul used to induce the client to hire
him was deceptive
*according to Michigan law, a licensed real estate salesperson who is selling property they
personally own in their own name is required to include what in the advertising they produce to
promote the property? ANSW✅✅affirmative indication that the person selling the property is a
licensed real estate agent
authority that has been knowingly conferred by a principal onto an agent is: ANSW✅✅actual
authority
*according to Michigan law, who can a real estate salesperson accept a commission payment from?
ANSW✅✅the real estate broker they work for
*hazardous wastes general include such diverse materials as all of these except:
ANSW✅✅stormwater
*according to Michigan law, if a real estate broker is involved in the closing of a real estate
transaction, they must provide the buyer and seller with... ANSW✅✅a complete and detailed
closing statement
*what does a jurisdiction clause do? ANSW✅✅identify the state and county where any contract-
related lawsuit will take place
, *in Michigan, is a real estate license required to negotiate for the construction of a building on a
piece of real property? ANSW✅✅yes, if the person doing the negotiating expects to be
compensated for their efforts
*what is the ANSI term for areas that are not fit for year round use? ANSW✅✅unfinished areas
*for truth in advertising, the "reasonable basis" claim usually requires: ANSW✅✅some kind of
objective evidence
material facts are: ANSW✅✅pieces of information that a reasonable person would find important
to a situation
what must a veteran have in order to qualify for a home loan backed by the VA? ANSW✅✅a valid
certificate of eligibility
*a 72-hour clause is a specific kind of... ANSW✅✅escape clause
*steps for creating a cooperative include all of the following except: ANSW✅✅members file an
"intent to form a cooperative" form with the county
a listing agreement that ensures the seller's broker will be paid for a sale regardless of how a buyer is
procured would be know as: ANSW✅✅exclusive right-to-sell
what is the purpose of a title search? ANSW✅✅to discover clouds on the title
under an open listing agreement, who receives the commission payment from the seller?
ANSW✅✅the real estate agent who brings a buyer willing to purchase the property
what type of agent carries the broadest authority in a principal-agent relationship?
ANSW✅✅universal agent
under the triple net lease, who pays for the property insurance? ANSW✅✅the tenant
