PROMULGATED CONTRACT FORMS FINAL
FULL REVISION NOTES WITH TEXAS REAL
ESTATE CONTRACT LAW AND DOCUMENTS
◉ Which of the following is NOT addressed by a TREC-promulgated
contract?
Answer: Lease with an option to purchase. Lease purchase - new
Condo contract
◉ When is a financing addendum not required?
Answer: When the buyer pays in cash. When third financing
addendum is waived
◉ Items that are preprinted in paragraphs 1 and 2 of the contract
include all the following except?
Answer: Exclusions
◉ When will the third party financing addendum credit approval not
be used?
Answer: 1. all cash
2. When Third Part Financing contingency is waived
,◉ Which addenda will the Purchaser use when purchasing a
property for cash?
Answer: None- no addendum will be used.
◉ Which addendum is commonly used in a transaction involving a
90 percent fixed rate loan with PMI?
Answer: Third party financing addendum.
◉ What form is used if the buyer wants the seller to leave the
refrigerator with the home after closing?
Answer: Non-- Reality items addendum
◉ In Third party financing addendum for credit approval, what
should the Cap On interest rates?
Answer: MARKET RATE-----
Should be on what the buyer and lender have agreed on and it
should not exceed that amount.
◉ Federal law dictates that an addendum addressing the possible
presence of lead-based paint and lead based paint hazard be
attached to the purchase agreement when the house is being so that
was built before?
Answer: Prior to 1978.
, ◉ Earnest money is to be deposited?
Answer: By the close of the escrow agent's second business day
following the signing of the agreement.
By the end of the 2nd business day after the effective date. days of
the effective date of the contract.
◉ If the seller furnishes the existing survey to the buyer, but it is not
acceptable to the buyers lender, the cost of the new survey may be at
whose expense?
Answer: The Buyer
◉ Which form is used for the owner to tell the buyer about known
problems with the property?
Answer: Sellers disclosure of property condition.
◉ The notice about obtaining an abstract or title policy is a required
notice from?
Answer: Buyer's broker
◉ When I licensees using a builder's contract or a form prepared by
an attorney that is not promulgated by TREC, what is the wisest way
to notify the buyer about title insurance or abstract.?
Answer: OP-C Notice to prospective buyer - Suggest that he get an
abstract or a title insurance prior to closing - TAR - Buyer's Rep
FULL REVISION NOTES WITH TEXAS REAL
ESTATE CONTRACT LAW AND DOCUMENTS
◉ Which of the following is NOT addressed by a TREC-promulgated
contract?
Answer: Lease with an option to purchase. Lease purchase - new
Condo contract
◉ When is a financing addendum not required?
Answer: When the buyer pays in cash. When third financing
addendum is waived
◉ Items that are preprinted in paragraphs 1 and 2 of the contract
include all the following except?
Answer: Exclusions
◉ When will the third party financing addendum credit approval not
be used?
Answer: 1. all cash
2. When Third Part Financing contingency is waived
,◉ Which addenda will the Purchaser use when purchasing a
property for cash?
Answer: None- no addendum will be used.
◉ Which addendum is commonly used in a transaction involving a
90 percent fixed rate loan with PMI?
Answer: Third party financing addendum.
◉ What form is used if the buyer wants the seller to leave the
refrigerator with the home after closing?
Answer: Non-- Reality items addendum
◉ In Third party financing addendum for credit approval, what
should the Cap On interest rates?
Answer: MARKET RATE-----
Should be on what the buyer and lender have agreed on and it
should not exceed that amount.
◉ Federal law dictates that an addendum addressing the possible
presence of lead-based paint and lead based paint hazard be
attached to the purchase agreement when the house is being so that
was built before?
Answer: Prior to 1978.
, ◉ Earnest money is to be deposited?
Answer: By the close of the escrow agent's second business day
following the signing of the agreement.
By the end of the 2nd business day after the effective date. days of
the effective date of the contract.
◉ If the seller furnishes the existing survey to the buyer, but it is not
acceptable to the buyers lender, the cost of the new survey may be at
whose expense?
Answer: The Buyer
◉ Which form is used for the owner to tell the buyer about known
problems with the property?
Answer: Sellers disclosure of property condition.
◉ The notice about obtaining an abstract or title policy is a required
notice from?
Answer: Buyer's broker
◉ When I licensees using a builder's contract or a form prepared by
an attorney that is not promulgated by TREC, what is the wisest way
to notify the buyer about title insurance or abstract.?
Answer: OP-C Notice to prospective buyer - Suggest that he get an
abstract or a title insurance prior to closing - TAR - Buyer's Rep
