NATIONAL REAL ESTATE 2026/2027 QUESTIONS AND
ANSWERS RATED A+
✔✔70. What type of property would be most appropriate to use the cost approach
method? - ✔✔25 year old church
✔✔71. Definition of appraisal... - ✔✔supportable estimate of value
✔✔73. What is the PA law that prohibits discrimination in housing? - ✔✔PA Human
Relations Act
✔✔75. Is special price setting allowed for certain categories of people? - ✔✔No it's
illegal
✔✔77. When is the consumer notice given? - ✔✔At the first discussion of needs and
motivation.
✔✔78. What are the conditions to when an agreement of sale becomes a binding
contract? - ✔✔When the buyer accepts the offer and the seller is notified.
✔✔80. What does the C stand for in the fiduciary dities - ✔✔Care and confidentiality
✔✔81. Characteristics of sale and leaseback... - ✔✔buyer becomes lessor
✔✔83. What is a broker's obligation to a buyer without buyer agency? - ✔✔Give the
agreement of sale
✔✔84. Redlining definition... - ✔✔the unlawful practice of refusing real estate related
business services based on location of a person's real property. ie: lending institutions
or insurance companies
✔✔85. What is a way of termination a listing agreement? - ✔✔Bankruptcy Court
✔✔92. What is a type of depreciation that is not curable? - ✔✔external depreciation
✔✔94. Disclosure requirements to a seller under a listing agreement force brokers to
disclose info except... - ✔✔the buyer had AIDS
✔✔96. Sale and leaseback definition... - ✔✔a combination real estate transaction where
there is both a sale of real property by an owner and then an immediate lease on the
same property giving the seller the right to remain in the same property that was just
sold.
, ✔✔13. All are characterisitics of a contract for a deed except... - ✔✔the buyer receives
title when the contract is signed.
✔✔18. Who is considered the lender in a purchase money mortgage? - ✔✔Seller
✔✔22. What is the purpose of RESPA? - ✔✔to to provide disclosure of closing cost
info.
✔✔28. Purchase money order is a debit to the... - ✔✔Debit to the SELLER (It's a loan in
which the seller provides financing to help buyer)
✔✔29. Balloon Mortgage definition... - ✔✔A mortgage with a balloon payment
✔✔36. Obligations of an owner in a listing agreement if he refused to sell when
presented with a full offer... - ✔✔He is liable for broker compensation
✔✔37. Is undisclosed dual agency allowable by law? - ✔✔No, you can lose your
license.
✔✔38. Earnest money deposit is a credit to whom - ✔✔to the buyer
✔✔39. Convert 3 mills to a decimal - ✔✔.003
✔✔41. Loan origination fee is a debit to whom? - ✔✔buyer
✔✔42. What is prorated by day on a HUD 1? - ✔✔Interest on an assumed mortgage
✔✔46. What is the source of money for an FHA loan? - ✔✔A qualified lending institution
✔✔51. What is the role of a mortgage broker? - ✔✔To find mortgage lenders for
borrowers.
✔✔55. What is true about the contract rules regarding printed form sales agreement? -
✔✔Handwritten words take precedent over printed words
✔✔59. What is a shares appreciation mortgage? - ✔✔The lender receives a share of
capital gain at time of sale.
✔✔61. Determine the value by the Income Approach formula - ✔✔NET INCOME
divided by RATE OF CAPITALIZATION
✔✔63. Fiduciary responsibility in a property management contract is to the - ✔✔lessor
ANSWERS RATED A+
✔✔70. What type of property would be most appropriate to use the cost approach
method? - ✔✔25 year old church
✔✔71. Definition of appraisal... - ✔✔supportable estimate of value
✔✔73. What is the PA law that prohibits discrimination in housing? - ✔✔PA Human
Relations Act
✔✔75. Is special price setting allowed for certain categories of people? - ✔✔No it's
illegal
✔✔77. When is the consumer notice given? - ✔✔At the first discussion of needs and
motivation.
✔✔78. What are the conditions to when an agreement of sale becomes a binding
contract? - ✔✔When the buyer accepts the offer and the seller is notified.
✔✔80. What does the C stand for in the fiduciary dities - ✔✔Care and confidentiality
✔✔81. Characteristics of sale and leaseback... - ✔✔buyer becomes lessor
✔✔83. What is a broker's obligation to a buyer without buyer agency? - ✔✔Give the
agreement of sale
✔✔84. Redlining definition... - ✔✔the unlawful practice of refusing real estate related
business services based on location of a person's real property. ie: lending institutions
or insurance companies
✔✔85. What is a way of termination a listing agreement? - ✔✔Bankruptcy Court
✔✔92. What is a type of depreciation that is not curable? - ✔✔external depreciation
✔✔94. Disclosure requirements to a seller under a listing agreement force brokers to
disclose info except... - ✔✔the buyer had AIDS
✔✔96. Sale and leaseback definition... - ✔✔a combination real estate transaction where
there is both a sale of real property by an owner and then an immediate lease on the
same property giving the seller the right to remain in the same property that was just
sold.
, ✔✔13. All are characterisitics of a contract for a deed except... - ✔✔the buyer receives
title when the contract is signed.
✔✔18. Who is considered the lender in a purchase money mortgage? - ✔✔Seller
✔✔22. What is the purpose of RESPA? - ✔✔to to provide disclosure of closing cost
info.
✔✔28. Purchase money order is a debit to the... - ✔✔Debit to the SELLER (It's a loan in
which the seller provides financing to help buyer)
✔✔29. Balloon Mortgage definition... - ✔✔A mortgage with a balloon payment
✔✔36. Obligations of an owner in a listing agreement if he refused to sell when
presented with a full offer... - ✔✔He is liable for broker compensation
✔✔37. Is undisclosed dual agency allowable by law? - ✔✔No, you can lose your
license.
✔✔38. Earnest money deposit is a credit to whom - ✔✔to the buyer
✔✔39. Convert 3 mills to a decimal - ✔✔.003
✔✔41. Loan origination fee is a debit to whom? - ✔✔buyer
✔✔42. What is prorated by day on a HUD 1? - ✔✔Interest on an assumed mortgage
✔✔46. What is the source of money for an FHA loan? - ✔✔A qualified lending institution
✔✔51. What is the role of a mortgage broker? - ✔✔To find mortgage lenders for
borrowers.
✔✔55. What is true about the contract rules regarding printed form sales agreement? -
✔✔Handwritten words take precedent over printed words
✔✔59. What is a shares appreciation mortgage? - ✔✔The lender receives a share of
capital gain at time of sale.
✔✔61. Determine the value by the Income Approach formula - ✔✔NET INCOME
divided by RATE OF CAPITALIZATION
✔✔63. Fiduciary responsibility in a property management contract is to the - ✔✔lessor
