PSI National Real Estate Salesperson Practice Exam (80 items).pdf file:///C:/Users/HP/Desktop/New%20folder%20(2)/PSI%20National
PSI Maryland Practice Exam
Questions & Answers
1. If an older building cannot be air-conditioned, it is an example of
?
A. Economic obsolescence.
B. Functional obsolescence.
C. Physical deterioration.
D. External deterioration
Answer B. Functional obsolescence.
2. An appraiser MUST be licensed or certified to handle Federally related work
on residential property valued at more than ?
A. $100,000.
B. $250,000.
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,PSI National Real Estate Salesperson Practice Exam (80 items).pdf file:///C:/Users/HP/Desktop/New%20folder%20(2)/PSI%20National
C. $500,000.
D. $1,000,000.
Answer B. $250,000.
3. The main difference between tenancy in common and joint tenancy is that
with tenancy in common, when a co-owner dies,
A. His undivided interest passes to his heirs.
B. The last surviving owner holds title in severalty.
C. His undivided interest passes to the surviving co-owners.
D. The principle of the right to survivorship determines the rights of the
surviving co-owners.
Answer A. His undivided interest passes to his heirs.
4. 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 frontto
make the purchase?
A. $2,720
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,PSI National Real Estate Salesperson Practice Exam (80 items).pdf file:///C:/Users/HP/Desktop/New%20folder%20(2)/PSI%20National
B. $24,000
C. $24,408
D. $26,720
Answer D. $26,720
5. When a home is purchased using an ARM, the monthly loan payment on the
mortgage will ?
A. Rise slightly in each adjustment period until the cap is reached.
B. Be adjusted automatically to ensure that negative amortization does not
occur.
C. Be based on a very low interest rate to begin with, but will rise to the market
rate at the first adjustment.
D. Vary over the life of the loan depending on fluctuations in the interest rate
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,PSI National Real Estate Salesperson Practice Exam (80 items).pdf file:///C:/Users/HP/Desktop/New%20folder%20(2)/PSI%20National
to which the loan is referenced.
Answer D. Vary over the life of the loan depending onfluctuations in the interest rate
to which the loan is referenced.
6. An exception to title insurance coverage is ?
A. Forged documents.
B. Defects found in public newspapers.
C. Incorrect records of marital status.
D. Defects that clearly appear in the title search.
Answer D. Defects that clearly appearin the title search.
7. Under the common law of agency, licensees owe the broker with whom they
are associated all of the following duties EXCEPT ?
A. Loyalty.
B. Competence.
C. Indemnification.
D. Full disclosure.
4 of 55 11/18/2024, 3:33
PSI Maryland Practice Exam
Questions & Answers
1. If an older building cannot be air-conditioned, it is an example of
?
A. Economic obsolescence.
B. Functional obsolescence.
C. Physical deterioration.
D. External deterioration
Answer B. Functional obsolescence.
2. An appraiser MUST be licensed or certified to handle Federally related work
on residential property valued at more than ?
A. $100,000.
B. $250,000.
1 of 55 11/18/2024, 3:33
,PSI National Real Estate Salesperson Practice Exam (80 items).pdf file:///C:/Users/HP/Desktop/New%20folder%20(2)/PSI%20National
C. $500,000.
D. $1,000,000.
Answer B. $250,000.
3. The main difference between tenancy in common and joint tenancy is that
with tenancy in common, when a co-owner dies,
A. His undivided interest passes to his heirs.
B. The last surviving owner holds title in severalty.
C. His undivided interest passes to the surviving co-owners.
D. The principle of the right to survivorship determines the rights of the
surviving co-owners.
Answer A. His undivided interest passes to his heirs.
4. 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 frontto
make the purchase?
A. $2,720
2 of 55 11/18/2024, 3:33
,PSI National Real Estate Salesperson Practice Exam (80 items).pdf file:///C:/Users/HP/Desktop/New%20folder%20(2)/PSI%20National
B. $24,000
C. $24,408
D. $26,720
Answer D. $26,720
5. When a home is purchased using an ARM, the monthly loan payment on the
mortgage will ?
A. Rise slightly in each adjustment period until the cap is reached.
B. Be adjusted automatically to ensure that negative amortization does not
occur.
C. Be based on a very low interest rate to begin with, but will rise to the market
rate at the first adjustment.
D. Vary over the life of the loan depending on fluctuations in the interest rate
3 of 55 11/18/2024, 3:33
,PSI National Real Estate Salesperson Practice Exam (80 items).pdf file:///C:/Users/HP/Desktop/New%20folder%20(2)/PSI%20National
to which the loan is referenced.
Answer D. Vary over the life of the loan depending onfluctuations in the interest rate
to which the loan is referenced.
6. An exception to title insurance coverage is ?
A. Forged documents.
B. Defects found in public newspapers.
C. Incorrect records of marital status.
D. Defects that clearly appear in the title search.
Answer D. Defects that clearly appearin the title search.
7. Under the common law of agency, licensees owe the broker with whom they
are associated all of the following duties EXCEPT ?
A. Loyalty.
B. Competence.
C. Indemnification.
D. Full disclosure.
4 of 55 11/18/2024, 3:33
