AZ Real Estate Exam Final
A commercial property was in foreclosure and after the sale, the mortgagee did not receive enough
money to satisfy the note. Which of the following statements is true? - The lender can sue for a
deficiency judgment against the borrower
A borrower can be relieved of primary responsibility for a mortgage by finding a buyer who is willing to: -
Assume the loan
A broker and an owner discussed several types of listing agreements and decided upon an exclusive right
to sell. The broker drafted the listing, but the owner did not sign it. The broker subsequently produced a
willing buyer and demanded the commission from the owner based upon the exclusive right to sell. The
commission is: - Not due because the agreement was not signed by the owner.
A broker prepares documents for a real estate transaction and charges a document preparation fee of
$75. The charging of such a fee is: - Prohibited by Ariticle 26 of the Arizona Constitution
A builder purchased a lot with a very low down payment which he intended to pay off after he built and
sold a house. He intended to obtain a construction loan to cover his building costs. Most likely the loan
for the lot purchase had: - A subordination clause
A bulk sales affidavit is a required notification by a buyer of a business with business inventories to its
creditors within how many days of completing the sale? - 10 days
A buyer assumed a seller's 11%, $80,000 first deed of trust on the settlement date of June 13. The seller
made the monthly payment of June 1 with interest in arrears. Which of the following is a CORRECT
settlement entry for the interest? - $293.28 seller's debit
A buyer of real property: - May be a customer or a client
A client refuses to sell his property when presented with an offer according to the terms of a valid listing.
The client: - Does not have to sell
,A CLUE report can be obtained by the: - Seller's insurance agent
"A", "B" and "C" are joint tenants owning a parcel of land. "C" conveys her interest to "D". Which of the
following is NOT correct? - "D" becomes a joint tenant.
A deduction a homeowner has for income tax purposes is: - Interest expense
A deed can be: - The correct answer is: Signed with an "X"
A deed of reconveyance would be signed by the: - Trustee
A deed restriction does not permit the building of a fence. The buyer erects a fence for his dog. The
neighbors would enforce the deed restriction by: - A civil court action
A deed that conveys an interest in real property to a grantee beneficiary designated by the owner and
that is effective on the death of the owner is a: - Beneficiary deed
A developer desires to offer for sale thirty time-share intervals in a resort property. Prior to offering such
interests in the resort, the developer MUST obtain: - A public report issued by the Real Estate
Commissioner
A false statement or misrepresentation by a seller or advertiser of real estate could result in a consumer
fraud action pursuant to: - Arizona Consumer Fraud Protection Statutes
A feature of a graduated payment mortgage is: - Negative amortization in early years
A commercial property was in foreclosure and after the sale, the mortgagee did not receive enough
money to satisfy the note. Which of the following statements is true? - The lender can sue for a
deficiency judgment against the borrower
A fee estate subject to termination upon the occurrence of a specified event but does NOT terminate
automatically, would be: - Fee simple on condition subsequent
, A general contractor records a mechanic's lien. Priority of the lien is established as of: - The day
the work began
A Homeowners' Insurance policy: - Is known as a Multiline policy
A homestead exemption can protect a person against which of the following? - Unforeseen
personal judgments
A mechanic's lien filed by a contractor is a valid lien for: - 6 months
A minority buyer asks to see a type of house in a certain area. You (the salesperson should do which of
the following? - Show him houses only in that one area
A mortgage lender agrees to lend 80% of the purchaser price for four points. If the purchase price of the
property is $165,000, how much will the lender receive for the discount? - $5,280
A mortgage loan which allows additional money advances using the same mortgage is known as: -
An open end mortgage
A person who buys undeveloped acreage, divides it into ten 5-acre lots and sells the lots is a: -
subdivider
A person who receives a fee interest following the termination of a prior estate is called: - A
remainderman
A person with an interest in land having the right to impose conditions on its future use has a: -
Fee simple interest
A plat is: - A document used to record a subdivision of land
A commercial property was in foreclosure and after the sale, the mortgagee did not receive enough
money to satisfy the note. Which of the following statements is true? - The lender can sue for a
deficiency judgment against the borrower
A borrower can be relieved of primary responsibility for a mortgage by finding a buyer who is willing to: -
Assume the loan
A broker and an owner discussed several types of listing agreements and decided upon an exclusive right
to sell. The broker drafted the listing, but the owner did not sign it. The broker subsequently produced a
willing buyer and demanded the commission from the owner based upon the exclusive right to sell. The
commission is: - Not due because the agreement was not signed by the owner.
A broker prepares documents for a real estate transaction and charges a document preparation fee of
$75. The charging of such a fee is: - Prohibited by Ariticle 26 of the Arizona Constitution
A builder purchased a lot with a very low down payment which he intended to pay off after he built and
sold a house. He intended to obtain a construction loan to cover his building costs. Most likely the loan
for the lot purchase had: - A subordination clause
A bulk sales affidavit is a required notification by a buyer of a business with business inventories to its
creditors within how many days of completing the sale? - 10 days
A buyer assumed a seller's 11%, $80,000 first deed of trust on the settlement date of June 13. The seller
made the monthly payment of June 1 with interest in arrears. Which of the following is a CORRECT
settlement entry for the interest? - $293.28 seller's debit
A buyer of real property: - May be a customer or a client
A client refuses to sell his property when presented with an offer according to the terms of a valid listing.
The client: - Does not have to sell
,A CLUE report can be obtained by the: - Seller's insurance agent
"A", "B" and "C" are joint tenants owning a parcel of land. "C" conveys her interest to "D". Which of the
following is NOT correct? - "D" becomes a joint tenant.
A deduction a homeowner has for income tax purposes is: - Interest expense
A deed can be: - The correct answer is: Signed with an "X"
A deed of reconveyance would be signed by the: - Trustee
A deed restriction does not permit the building of a fence. The buyer erects a fence for his dog. The
neighbors would enforce the deed restriction by: - A civil court action
A deed that conveys an interest in real property to a grantee beneficiary designated by the owner and
that is effective on the death of the owner is a: - Beneficiary deed
A developer desires to offer for sale thirty time-share intervals in a resort property. Prior to offering such
interests in the resort, the developer MUST obtain: - A public report issued by the Real Estate
Commissioner
A false statement or misrepresentation by a seller or advertiser of real estate could result in a consumer
fraud action pursuant to: - Arizona Consumer Fraud Protection Statutes
A feature of a graduated payment mortgage is: - Negative amortization in early years
A commercial property was in foreclosure and after the sale, the mortgagee did not receive enough
money to satisfy the note. Which of the following statements is true? - The lender can sue for a
deficiency judgment against the borrower
A fee estate subject to termination upon the occurrence of a specified event but does NOT terminate
automatically, would be: - Fee simple on condition subsequent
, A general contractor records a mechanic's lien. Priority of the lien is established as of: - The day
the work began
A Homeowners' Insurance policy: - Is known as a Multiline policy
A homestead exemption can protect a person against which of the following? - Unforeseen
personal judgments
A mechanic's lien filed by a contractor is a valid lien for: - 6 months
A minority buyer asks to see a type of house in a certain area. You (the salesperson should do which of
the following? - Show him houses only in that one area
A mortgage lender agrees to lend 80% of the purchaser price for four points. If the purchase price of the
property is $165,000, how much will the lender receive for the discount? - $5,280
A mortgage loan which allows additional money advances using the same mortgage is known as: -
An open end mortgage
A person who buys undeveloped acreage, divides it into ten 5-acre lots and sells the lots is a: -
subdivider
A person who receives a fee interest following the termination of a prior estate is called: - A
remainderman
A person with an interest in land having the right to impose conditions on its future use has a: -
Fee simple interest
A plat is: - A document used to record a subdivision of land
