ASREB Test – Ultimate Study Guide With Correct
Solutions
A borrower is required to put 10% down for the purchase of a
property. The 10% down would be considered... Correct Answer -
Equity
A broker, acting as a property manager, would be considered what
type of agent? Correct Answer - General
A contract has been signed, but title has not yet been passed. The
contract is... Correct Answer - Executory
A house cost $100,000. The buyer is making a down payment of
32,000 and getting a $68,000 loan. If there are 4 points, how much
money will be paid out of the closing for points? Correct Answer -
$2720
In what situation would a short sale be likely? Correct Answer -
The loan balance is greater than the property value.
The real estate mortgage would be a(n)... Correct Answer -
Voluntary Lien
A company that acts as an intermediacy between a lender and an
appraiser is a(n)... Correct Answer - Appraisal Management
Company
A seller list a property with a brokerage, sell it himself, and does not
have to pay a commission. What kind of listing did the seller sign?
Correct Answer - Exclusive Agency
,A seller wants to list a four plex and live in one unit, but doesn't
want any children in the units. What should the agent do? Correct
Answer - Refuse the listing; it violates fair housing
If the percentage of renters in a community exceeds 50%, many
lenders require that the homeowners' association reserves be what
percentage of HOA budgeted income? Correct Answer - 20%
After a deed of trust foreclosure sale, which of the following is
TRUE? Correct Answer - A trustee's deed is given to the new
owner
After a mortgage foreclosure, if the sale amount was insufficient to
cover the debt, the lender may ask for a(n)... Correct Answer -
deficiency judgment
An option once exercised is considered... Correct Answer -
Unilateral executed
At what point does recordation take place? Correct Answer -
When a docket and page number are assigned
What is required at the time an Affidavit of Affixture is recorded?
Correct Answer - The titles to the mobile home must be
surrendered
A broker has what duty to a third party? Correct Answer - full
disclosure of all material facts
How can a buyer be assured of getting his earnest money back if his
loan is not approved? Correct Answer - Place a contingency
clause in the contract
,A legal description reads as follows: "The NW 1/4 of Section 2 and
the W 1/2 of the SW 1/4 of section 35." How man acres is this?
Correct Answer - 240 acres
If a tenant abandons a residential apartment, the landlord must do
all of the following EXCEPT... Correct Answer - Sell the tenant's
personal property after holding it for 10 days
How many townships are in a 24-mile square? Correct Answer -
16
If there are material changes from an original Public Report, the
Commissioner may required the subdivider to create a(n)...
Correct Answer - amended Public Report
If cap rates in an area are going up, how does this influence value?
Correct Answer - Value goes down
In Arizona, property owned before marriage is sole and separate.
Property acquired after marriage would be considered... Correct
Answer - Community Property
The right of an Arizona real estate licensee to prepare certain legal
documents and forms comes from... Correct Answer - The
Arizona Constitution
What clarifies ADRE's position on statues or rules? Correct
Answer - Substantive Policy Statements
The concept that information given to a client's agent has been given
to the client is known as Correct Answer - Imputed Notice
On a settlement statement, rent paid in advance would be a...
Correct Answer - credit to the buyer, debit to the seller
, If the buyer of a property wants to remain anonymous, what terms
should be used for that buyer's name in the purchase contract?
Correct Answer - Or Nominee
Which of the following listings would NOT be entered into a multiple
listing service? Correct Answer - pocket listing
The main purpose of the Federal Housing Administration is to...
Correct Answer - insure loans
The relationship between a broker and their salesperson is what
type of agency? Correct Answer - General
Which of the following is determined by measuring the exterior
dimensions of a home including garages, patios and entryways?
Correct Answer - Square footage under roof
When a property that has a well is sold, what must be sent to
ADWR? Correct Answer - Transfer of Well Rights Form
Under what condition would a listing agreement NOT terminate?
Correct Answer - The salesperson dies
What document is recorded with the deed? Correct Answer -
affidavit of value
What is the maximum security deposit allowed under the Arizona
Landlord Tenant Act? Correct Answer - 1 1/2 month's rent
Real estate licensees should safeguard a client's or customer's
personal information in order to prevent Correct Answer -
identity theft
Solutions
A borrower is required to put 10% down for the purchase of a
property. The 10% down would be considered... Correct Answer -
Equity
A broker, acting as a property manager, would be considered what
type of agent? Correct Answer - General
A contract has been signed, but title has not yet been passed. The
contract is... Correct Answer - Executory
A house cost $100,000. The buyer is making a down payment of
32,000 and getting a $68,000 loan. If there are 4 points, how much
money will be paid out of the closing for points? Correct Answer -
$2720
In what situation would a short sale be likely? Correct Answer -
The loan balance is greater than the property value.
The real estate mortgage would be a(n)... Correct Answer -
Voluntary Lien
A company that acts as an intermediacy between a lender and an
appraiser is a(n)... Correct Answer - Appraisal Management
Company
A seller list a property with a brokerage, sell it himself, and does not
have to pay a commission. What kind of listing did the seller sign?
Correct Answer - Exclusive Agency
,A seller wants to list a four plex and live in one unit, but doesn't
want any children in the units. What should the agent do? Correct
Answer - Refuse the listing; it violates fair housing
If the percentage of renters in a community exceeds 50%, many
lenders require that the homeowners' association reserves be what
percentage of HOA budgeted income? Correct Answer - 20%
After a deed of trust foreclosure sale, which of the following is
TRUE? Correct Answer - A trustee's deed is given to the new
owner
After a mortgage foreclosure, if the sale amount was insufficient to
cover the debt, the lender may ask for a(n)... Correct Answer -
deficiency judgment
An option once exercised is considered... Correct Answer -
Unilateral executed
At what point does recordation take place? Correct Answer -
When a docket and page number are assigned
What is required at the time an Affidavit of Affixture is recorded?
Correct Answer - The titles to the mobile home must be
surrendered
A broker has what duty to a third party? Correct Answer - full
disclosure of all material facts
How can a buyer be assured of getting his earnest money back if his
loan is not approved? Correct Answer - Place a contingency
clause in the contract
,A legal description reads as follows: "The NW 1/4 of Section 2 and
the W 1/2 of the SW 1/4 of section 35." How man acres is this?
Correct Answer - 240 acres
If a tenant abandons a residential apartment, the landlord must do
all of the following EXCEPT... Correct Answer - Sell the tenant's
personal property after holding it for 10 days
How many townships are in a 24-mile square? Correct Answer -
16
If there are material changes from an original Public Report, the
Commissioner may required the subdivider to create a(n)...
Correct Answer - amended Public Report
If cap rates in an area are going up, how does this influence value?
Correct Answer - Value goes down
In Arizona, property owned before marriage is sole and separate.
Property acquired after marriage would be considered... Correct
Answer - Community Property
The right of an Arizona real estate licensee to prepare certain legal
documents and forms comes from... Correct Answer - The
Arizona Constitution
What clarifies ADRE's position on statues or rules? Correct
Answer - Substantive Policy Statements
The concept that information given to a client's agent has been given
to the client is known as Correct Answer - Imputed Notice
On a settlement statement, rent paid in advance would be a...
Correct Answer - credit to the buyer, debit to the seller
, If the buyer of a property wants to remain anonymous, what terms
should be used for that buyer's name in the purchase contract?
Correct Answer - Or Nominee
Which of the following listings would NOT be entered into a multiple
listing service? Correct Answer - pocket listing
The main purpose of the Federal Housing Administration is to...
Correct Answer - insure loans
The relationship between a broker and their salesperson is what
type of agency? Correct Answer - General
Which of the following is determined by measuring the exterior
dimensions of a home including garages, patios and entryways?
Correct Answer - Square footage under roof
When a property that has a well is sold, what must be sent to
ADWR? Correct Answer - Transfer of Well Rights Form
Under what condition would a listing agreement NOT terminate?
Correct Answer - The salesperson dies
What document is recorded with the deed? Correct Answer -
affidavit of value
What is the maximum security deposit allowed under the Arizona
Landlord Tenant Act? Correct Answer - 1 1/2 month's rent
Real estate licensees should safeguard a client's or customer's
personal information in order to prevent Correct Answer -
identity theft