Colibri Real Estate Chapter 2 Quiz Questions with 100% Correct Answers

Colibri Real Estate Chapter 2 Quiz Questions with 100% Correct Answers An agency relationship may be involuntarily terminated by which of the following? - Answer- By destruction of the property through fire, vandalism, or natural disaster When a seller authorizes a unilateral offer of subagency to all MLS members, any agent who shows the listed property automatically becomes - Answer- A subagent An agency relationship may be involuntarily terminated by which of the following? - Answer- Condemnation of the property Sally is a subagent working for Seller Pat. What does Sally owe to Buyer Brad? - Answer- Honesty and fair dealing Which of the following terminations of an agency relationship could result in legal or financial ramifications? - Answer- Renunciation by the client When the agency relationship has been terminated, the licensee is no longer considered the principal's agent but still owes which of the following duties to the principal? - Answer- Accounting With which of the following can a broker NOT enter into a single agency agreement? - Answer- Seller and buyer A person who is empowered to act on behalf of another is called? - Answer- An agent When the agency relationship has been terminated, the licensee is no longer considered the principal's agent but still owes which of the following duties to the principal? - Answer- Confidentiality When a seller gives permission to a broker to submit the property to the MLS, the seller is authorizing the broker to make a blanket unilateral offer of what to all the other members of that MLS? - Answer- Subagency What is the term given to an agent who is acting as a buyer's and seller's agent in the same transaction? - Answer- Dual agent A subagent owes customer level services to the buyer which include which of these? - Answer- Honesty, fair dealing and the proper disclosure of pertinent facts that affect the value of the property Which of the following may not involuntarily terminate an agency relationship? - Answer- Expiration of the agreement term Revocation of a broker's license results in - Answer- Termination of the relationship "As is" sales are tempered by which of the agent's duties? - Answer- Disclosure What kind of defects are hidden from normal vies but still must be disclosed? - Answer- Latent Latent defects are those - Answer- Hidden from normal view and, therefore, must be revealed An agent must inform client and customer that the agent represents the client and does not represent the customer, unless - Answer- there is a dual agency The agent who has the job of obtaining the best possible transaction for the seller is - Answer- the designated agent A licensee for a seller has a duty to disclose such things except - Answer- ability of the purchaser to offer a higher price even if the purchaser is also the licensee's client Since many of an agent's fiduciary duties can only be rendered to one party, an agent would have a difficult in not impossible time performing his/her duties in which type of agency? - Answer- Dual agency Properties that have an undesirable reputation due to an associated unpleasant occurrence, such as murder or gang violence, are known as - Answer- stigmatized properties Since the listing agreement is a contract that established an agency relationship, which law(s) is the relationship subject to? - Answer- All of the above Most real estate listing contracts are which kind of agency? - Answer- Special agency If a client refuses to disclose material defects to a buyer, what should the agent do? - Answer- Decline or sever the agency agreement A licensee must provide____ of any existing agency relationships to all parties for whom he or she provides real estate brokerage services - Answer- A written disclosure In Indiana, contractual relationships are always formed at what level? - Answer- Managing broker The licensee may disclose to the seller the financial status of the potential buyer customer. Is this statement true or false and why? - Answer- True if the agent has knowledge of the buyer's financial status Representing both principal parties to a real estate transaction is - Answer- A dual agency A legal doctrine by which a person is prevented from asserting rights or facts that are inconsistent with a previous position or representation made by act, conduct, or silence is - Answer- An estoppel If an agency relationship has not been established by a written agreement, does the relationship exist, and if so, what kind of relationship is it? - Answer- Yes, it is an implied agency Before a licensee sign a listing agreement with a seller, he/she mist - Answer- Give the seller an agency disclosure A licensee for the buyer has a duty to disclose such things except - Answer- why the seller is selling if the licensee knows this from a previous relationship with the seller The licensee could be known as a transaction broker, facilitator, or coordinator in which type of agency? - Answer- Non-agency To make it easier to describe elevations, surveyors refer to standard elevation points called - Answer- Benchmarks What is a "block" in the lot and block system of description? - Answer- A group of lots in a subdivision Which of the following lines in the Rectangular Survey System run north and south? - Answer- Range lines What method of legal description was the first one used in America? - Answer- Metes and bounds system Benchmarks are used to - Answer- Provide reference elevations for nearby properties A legal description of a property is one which - Answer- Accurately located and identifies the boundaries of the property and distinguished it from all other properties The essential criterion for an acceptable legal description is that it - Answer- Accurately located the parcel so that a surveyor can find it Standard elevation reference points established throughout the country are called - Answer- Datums The fundamental components of the metes and bounds system are - Answer- Reference points, angles, and distances A legal description in the rectangular survey system will also include a metes and bounds or lot or block description if the property - Answer- Is irregular in shape Which land description method employs a subdivision plat map? - Answer- The lot and block system The description of a recorded plat property first presents the property's - Answer- lot number or letter As a legal descriptor of land, a township square consists of - Answer- 36 square mile A full legal description in a recorded plat must include - Answer- the subdivision's location within a section, a township, a country, and a state Beginning at the SE corner of the intersection of Olive & 270, thence south 350 ft, thence west 350 ft, thence north 400 ft, thence east 400 ft. Is this a good legal description? - Answer- No, this is not a good legal description because it does not begin and end at the point of beginning The legal description of a recorded plat is incomplete if it lacks - Answer- The subdivision's location in a section and township How are directions described in a metes and bounds survey? - Answer- In terms of degrees east or west of an imaginary north-south axis