Rockwell Test
A new subdivision requires payment of homeowners association dues. If unpaid, what
type of lien do they create? - CORRECT ANSWER-Specific lien that encumbers the
property.
A property has lost value because its maintenance and upkeep have been neglected.
This would be an example of... - CORRECT ANSWER-physical deterioration
Darren and Martin are agents for a large brokerage firm. They decide that Darren will
specialize in listing and selling houses on the north side of the river and Martin will
specialize in listing and selling houses on the south side of the river. Such a practice
is... - CORRECT ANSWER-legal, because the prohibition against Market allocation
does not apply to agents working for the same firm.
A seller asks an appraiser to help determine a realistic listing price for her single family,
owner-occupied house. Which approach to value would the appraiser rely on when
making this decision? - CORRECT ANSWER-Market data approach
Which of the following actions would most likely create the largest increase in the value
of a property? - CORRECT ANSWER-Installing a second bathroom in a house with 4
bedrooms and only one bath.
Terry is buying a house offered for sale by owner (FSBO) with the help of a real estate
agent. The purchase and sale agreement is contingent on Terry receiving a loan from
an Institutional lender. Does RESPA apply to this transaction? - CORRECT ANSWER-
Yes, because Terry is purchasing a single family home
Adjusted basis is initial basis... - CORRECT ANSWER-plus capital expenditures, less
depreciation
A loans interest is best defined as... - CORRECT ANSWER-a charge paid by a
borrower in exchange for use of the lenders money.
Deborah sells her property to Juan, but Juan fails to record the deed. Which of the
following statementd is true about unrecorded deeds? - CORRECT ANSWER-The deed
is still valid between Deborah and Juan.
A property's market value is described as the... - CORRECT ANSWER-ad valorem
value
The result of an unrelease lien is a... - CORRECT ANSWER-cloud on the title.
A new subdivision requires payment of homeowners association dues. If unpaid, what
type of lien do they create? - CORRECT ANSWER-Specific lien that encumbers the
property.
A property has lost value because its maintenance and upkeep have been neglected.
This would be an example of... - CORRECT ANSWER-physical deterioration
Darren and Martin are agents for a large brokerage firm. They decide that Darren will
specialize in listing and selling houses on the north side of the river and Martin will
specialize in listing and selling houses on the south side of the river. Such a practice
is... - CORRECT ANSWER-legal, because the prohibition against Market allocation
does not apply to agents working for the same firm.
A seller asks an appraiser to help determine a realistic listing price for her single family,
owner-occupied house. Which approach to value would the appraiser rely on when
making this decision? - CORRECT ANSWER-Market data approach
Which of the following actions would most likely create the largest increase in the value
of a property? - CORRECT ANSWER-Installing a second bathroom in a house with 4
bedrooms and only one bath.
Terry is buying a house offered for sale by owner (FSBO) with the help of a real estate
agent. The purchase and sale agreement is contingent on Terry receiving a loan from
an Institutional lender. Does RESPA apply to this transaction? - CORRECT ANSWER-
Yes, because Terry is purchasing a single family home
Adjusted basis is initial basis... - CORRECT ANSWER-plus capital expenditures, less
depreciation
A loans interest is best defined as... - CORRECT ANSWER-a charge paid by a
borrower in exchange for use of the lenders money.
Deborah sells her property to Juan, but Juan fails to record the deed. Which of the
following statementd is true about unrecorded deeds? - CORRECT ANSWER-The deed
is still valid between Deborah and Juan.
A property's market value is described as the... - CORRECT ANSWER-ad valorem
value
The result of an unrelease lien is a... - CORRECT ANSWER-cloud on the title.
