Texas Promulgated Contracts-CHAMPIONS STUDY
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1. The elements of a valid contract are, competent par- B
ties, consideration, legal subject matter, in writing,
and ___________.
(a) Default
(b) Mutual consent
(c) Property condition
(d) Recording
2. A(n) __________________ contract is defined as a contract A
that is binding on the parties, with one or more of
the parties having contractual duties that have not yet
been performed.
(a) Executory
(b) Executed
(c) Bilateral
(d) Void
3. In the business of real estate, ___________ is defined as A
something given in exchange for a promise.
(a) Consideration
(b) Mutual assent
, Texas Promulgated Contracts-CHAMPIONS STUDY
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(c) A bribe
(d) Legal subject matter
4. The TREC-promulgated contract forms: B
(a) Are for optional use by real estate licensees
(b) Are drafted by the Broker-Lawyer Committee
(c) Are promulgated by the legislature
(d) Are used in both commercial and residential trans-
actions
5. In a lease with a "right of first refusal" provision: D
(a) The price is set when the lease agreement is nego-
tiated
(b) The tenant has promised to buy the property
(c) The TREC promulgated form must be used
(d) The tenant has the right to match or better any
offer the landlord receives to prevent the property
from being sold to someone else
6. TREC has promulgated forms for: D
(a) lease purchase transactions
, Texas Promulgated Contracts-CHAMPIONS STUDY
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(b) cooperatives
(c) right of first refusal
(d) residential transactions
7. An offer can be communicated by ___________________. D
(a) Phone
(b) Hand delivery
(c) E-mail
(d) All of the above
8. The Third Party Financing Addendum For Credit Ap- D
proval is used when:
(a) The buyer is obtaining FHA financing
(b) Paragraph 4.A(2)(a) is checked in the contract
(c) The buyer is obtaining VA financing
(d) The buyer is obtaining any kind of financing
9. In the Third Party Financing Addendum for Credit Ap- B
proval:
(a) The buyer has no incentive to obtain financial ap-
proval
, Texas Promulgated Contracts-CHAMPIONS STUDY
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(b) The buyer has a definite time to notify seller of the
inability to obtain financing approval
(c) The buyer's earnest money will not be returned if
the buyer does not obtain financing
(d) The option period is explained
10. The Third Party Financing Addendum for Credit Ap- C
proval cannot be used for:
(a) VA guaranteed loans
(b) FHA insured loans
(c) Seller Financing
(d) Texas Veterans Loans
11. According to the Seller Financing Addendum, the in- B
terest rate is:
(a) Set at 6%
(b) Negotiated between the parties
(c) Set by TREC
(d) Determined at closing
12. A
Study online at https://quizlet.com/_4eo4z5
1. The elements of a valid contract are, competent par- B
ties, consideration, legal subject matter, in writing,
and ___________.
(a) Default
(b) Mutual consent
(c) Property condition
(d) Recording
2. A(n) __________________ contract is defined as a contract A
that is binding on the parties, with one or more of
the parties having contractual duties that have not yet
been performed.
(a) Executory
(b) Executed
(c) Bilateral
(d) Void
3. In the business of real estate, ___________ is defined as A
something given in exchange for a promise.
(a) Consideration
(b) Mutual assent
, Texas Promulgated Contracts-CHAMPIONS STUDY
Study online at https://quizlet.com/_4eo4z5
(c) A bribe
(d) Legal subject matter
4. The TREC-promulgated contract forms: B
(a) Are for optional use by real estate licensees
(b) Are drafted by the Broker-Lawyer Committee
(c) Are promulgated by the legislature
(d) Are used in both commercial and residential trans-
actions
5. In a lease with a "right of first refusal" provision: D
(a) The price is set when the lease agreement is nego-
tiated
(b) The tenant has promised to buy the property
(c) The TREC promulgated form must be used
(d) The tenant has the right to match or better any
offer the landlord receives to prevent the property
from being sold to someone else
6. TREC has promulgated forms for: D
(a) lease purchase transactions
, Texas Promulgated Contracts-CHAMPIONS STUDY
Study online at https://quizlet.com/_4eo4z5
(b) cooperatives
(c) right of first refusal
(d) residential transactions
7. An offer can be communicated by ___________________. D
(a) Phone
(b) Hand delivery
(c) E-mail
(d) All of the above
8. The Third Party Financing Addendum For Credit Ap- D
proval is used when:
(a) The buyer is obtaining FHA financing
(b) Paragraph 4.A(2)(a) is checked in the contract
(c) The buyer is obtaining VA financing
(d) The buyer is obtaining any kind of financing
9. In the Third Party Financing Addendum for Credit Ap- B
proval:
(a) The buyer has no incentive to obtain financial ap-
proval
, Texas Promulgated Contracts-CHAMPIONS STUDY
Study online at https://quizlet.com/_4eo4z5
(b) The buyer has a definite time to notify seller of the
inability to obtain financing approval
(c) The buyer's earnest money will not be returned if
the buyer does not obtain financing
(d) The option period is explained
10. The Third Party Financing Addendum for Credit Ap- C
proval cannot be used for:
(a) VA guaranteed loans
(b) FHA insured loans
(c) Seller Financing
(d) Texas Veterans Loans
11. According to the Seller Financing Addendum, the in- B
terest rate is:
(a) Set at 6%
(b) Negotiated between the parties
(c) Set by TREC
(d) Determined at closing
12. A
