Louisiana Real Estate Practice Exams (National) Verified Answers

Louisiana Real Estate Practice Exams (National) Verified Answers A borrower has defaulted on the mortgage. The mortgage contains an acceleration clause. This permits the lender to: ️demand immediate payment of the entire note A broker has brought a ready, willing, and able buyer to a seller. In MOST listing contracts, the broker has earned his commission when: ️the seller accepts the offer A broker has signed a listing contract for the sale of a home. Which of the following could make this contract voidable? ️The seller is heavily under the influence of alcohol at the time of signing A broker listed a home for sale under an exclusive-right-to-sell listing. A second broker cooperated with the listing broker and sold the home. The house was sold and the commission split between the listing broker and the selling broker. Which of the following is FALSE? ️The selling broker gets the whole commission because he was the procuring cause A broker listed a home under the condition that the owner receive $210,000 from the sale, with the broker being able to sell the property for as much as possible and to keep the difference as the commission. This agreement is an example of: ️a net listing A broker listed an owner's home for $85,900. One week later the broker presented the owner with an offer to purchase for $85,900, which met all the terms of the listing contract that the owner had signed. The owner thanked the broker but said that because of family problems, she no longer wished to sell her home and would not find any closing date acceptable. The owner told the broker that she would pay him $500 for his time and trouble. All of the following statements correctly describe the rights of the broker EXCEPT: ️Because he did not get an acceptable offer, the broker is entitled to nothing A broker that does not represent the seller or the buyer but simply is paid a fee to bring the two together is called a: ️Designated Agent A broker, acting as agent for the seller, presents an offer to buy from the broker's former college roommate. The broker knows that the buyer will increase the amount of the offer if the seller turns down the offer. When presenting the offer, the broker should: ️tell the seller that the buyer will pay more A buyer and a seller enter into a binding agreement to sell a house. The sellers then refuse to sell the house to the buyer because they decide they want to continue living there. Which of the following principles of law will be used to sue the seller? ️Specific Performance A buyer researches the neighborhood and purchases the property with the lowest asking price among several similar properties. This is an example of valuing using the Principle of: ️Substitution A buyer wants to purchase a home for $160,000 with a 15% down payment. The lender charges 2 points. How much money does the buyer need up front to make the purchase? ️$26,720 A buyer was negotiating the purchase of a house for himself. During a conversation with the seller, the seller agreed to include all kitchen appliances in the sale, and this fact was included in the sales contract. In this situation, if the seller takes the appliances with him, what recourse does the buyer have? ️The buyer may sue the seller for specific performance A competitive market analysis is MOST often used for: ️setting a listing price A competitive market analysis most likely determines the: ️probable price of the property A competitive market analysis takes into consideration: ️square footage of the subject property A contract has been drawn which obliges the sellers to convey title to their land to the buyers if the buyers come up with $22,000 on or before December 31st. This is called: ️an option contract A contract in which both parties have fulfilled their promises is: ️an executed contract A deed restriction is applicable to the activities of: ️all owners, present and future A formal appraisal will ALWAYS be REQUIRED when the: ️lender wants to sell the mortgage to the secondary market A four-bedroom house with one bathroom carries a market value of $120,000. The same house would likely be worth $125,000 if a bathroom could be easily added for a cost of $10,000. This is an exa