Barney Fletcher - GA RE School Exam
Questions
A broker must conduct his business in the name: - ANS-Under which his license was issued
A licensed broker in another state may enter into a co-op agreement with a Georgia Broker
through a written agreement which includes: - ANS-That any advertising of Georgia property
identify the listing Georgia broker.
A mortgage secured by both real and personal property is a(n): - ANS-Package Mortgage
A purchase money mortgage is a loan made by: - ANS-The seller in a transaction
Accrued Interest Formula - ANS-(LB x IF)/360 x (#days owe) =
Alice purchased a home and financed it using a mortgage which included the term "amortized
over 30 years, due and payable after 10 years." Which of the following statements is correct? -
ANS-The loan is partially amortized loan AND The loan will have a balloon payment
An individual who successfully passes the state examination and has otherwise qualified for a
license has ___________ months to activate or place inactive his/her license. - ANS-12
Annual Interest - ANS-LA x IR(%) = Annual Interest
Anyone other than a salesperson who acts as a licensee on behalf of a broker is a(n): -
ANS-Associate Broker
Commission members are: - ANS-Appointed by governor and approved by the Senate
Days of interest owed - ANS-Days in month
- closing date
+1
= days of interest owed
Down Payment - ANS-SP - Loan Amount
GRM (Gross Rent Multiplier) - ANS-SP / Rent = GRM
GRM x rent = value
How may a license be reinstated after a licensee has voluntarily surrendered it? - ANS-By
qualifying as an original applicant
If a loan balance is $125,000 and the interest rate is 8%, how much of the next payment is paid
in interest? - ANS-$833.33
If a new loan is closed on June 2, how many days of interest adjustment will be owed? - ANS-29
If a property is being sold "As is" what is the effect on the agent's responsibilities? - ANS-An "As
Is" contract has no effect on agent's responsibility to disclose all known defects to all parties in
the transaction
If a real estate company operates as a limited partnership, which of the following is true about
the qualifying broker? - ANS-He must be the general partner
If a written offer is made after the property is under contract, but before closing, what is the
proper action? - ANS-It must be presented to the seller.
, If the contract calls for the earnest money to be held until the contract has been accepted, who
is authorized to hold the earnest money? - ANS-Anyone, other than a salesperson or associate
broker, designated in the contract to hold the earnest money.
If the Education, Research and Recovery Fund falls below the required minimum balance, what
may happen? - ANS-Each licensee can be assessed up to $30 per year at time of renewal.
If there is a closing on February 22 and taxes are $2,275 annually, how much tax proration will
the seller owe at closing (within a dollar)? - ANS-$330
If you have several comparable properties as a part of your market analysis, how do you
combine the values reached on each in order to estimate the value of the subject property? -
ANS-By weighing the adjusted sales prices of the comparables and adding the weighted dollar
amount of the group
In a graduated payment mortgage, the ________ changes in an adjustable rate mortgage the
_______ is subject to change. - ANS-Payment, interest rate
In a Land Sales Contract, who retains legal title to the property? - ANS-Seller
In Georgia, net listings are: - ANS-Illegal
In order to qualify for a broker's license an applicant must: - ANS-Complete an approved course
and have at least 3 years as an active licensee
Intangible Tax Formula - ANS-SP x LTV = LA
(LA / 500 (rounded up)) x 1.50 =
Is the statement, A person licensed as an associate broker with one firm may also be the
qualifying broker with one or more other firms as long as he notifies his broker in writing, true or
false? - ANS-True
Measuring Acreage and Sqft calculations - ANS-43,560 (4 old ladys, going 35 in 60)
L x W = sqft
Sqft/43560 = acres
PGI (potential gross income) and NOI (Net listing income) formula - ANS-PGI
- Vac
- Oper
= NOI
NOI (always dividen) / Value = Rate
NOI / Rate = Value
Value x Rate = NOI
Pre-Paid Interest: Interest Adjustment Proration (new loans only) - ANS-(LA x %(IR)) / 360 x
(#days owe) = Interest adjusted
Professional appraisals for lenders are usually made in order to: - ANS-help the lender decided
whether to make a loan
Real estate agents look to many different sources when working on a market analysis. Which of
the following sources would have the greatest effect on establishing the property's value
estimate? - ANS-Recently sold comparable properties
Questions
A broker must conduct his business in the name: - ANS-Under which his license was issued
A licensed broker in another state may enter into a co-op agreement with a Georgia Broker
through a written agreement which includes: - ANS-That any advertising of Georgia property
identify the listing Georgia broker.
A mortgage secured by both real and personal property is a(n): - ANS-Package Mortgage
A purchase money mortgage is a loan made by: - ANS-The seller in a transaction
Accrued Interest Formula - ANS-(LB x IF)/360 x (#days owe) =
Alice purchased a home and financed it using a mortgage which included the term "amortized
over 30 years, due and payable after 10 years." Which of the following statements is correct? -
ANS-The loan is partially amortized loan AND The loan will have a balloon payment
An individual who successfully passes the state examination and has otherwise qualified for a
license has ___________ months to activate or place inactive his/her license. - ANS-12
Annual Interest - ANS-LA x IR(%) = Annual Interest
Anyone other than a salesperson who acts as a licensee on behalf of a broker is a(n): -
ANS-Associate Broker
Commission members are: - ANS-Appointed by governor and approved by the Senate
Days of interest owed - ANS-Days in month
- closing date
+1
= days of interest owed
Down Payment - ANS-SP - Loan Amount
GRM (Gross Rent Multiplier) - ANS-SP / Rent = GRM
GRM x rent = value
How may a license be reinstated after a licensee has voluntarily surrendered it? - ANS-By
qualifying as an original applicant
If a loan balance is $125,000 and the interest rate is 8%, how much of the next payment is paid
in interest? - ANS-$833.33
If a new loan is closed on June 2, how many days of interest adjustment will be owed? - ANS-29
If a property is being sold "As is" what is the effect on the agent's responsibilities? - ANS-An "As
Is" contract has no effect on agent's responsibility to disclose all known defects to all parties in
the transaction
If a real estate company operates as a limited partnership, which of the following is true about
the qualifying broker? - ANS-He must be the general partner
If a written offer is made after the property is under contract, but before closing, what is the
proper action? - ANS-It must be presented to the seller.
, If the contract calls for the earnest money to be held until the contract has been accepted, who
is authorized to hold the earnest money? - ANS-Anyone, other than a salesperson or associate
broker, designated in the contract to hold the earnest money.
If the Education, Research and Recovery Fund falls below the required minimum balance, what
may happen? - ANS-Each licensee can be assessed up to $30 per year at time of renewal.
If there is a closing on February 22 and taxes are $2,275 annually, how much tax proration will
the seller owe at closing (within a dollar)? - ANS-$330
If you have several comparable properties as a part of your market analysis, how do you
combine the values reached on each in order to estimate the value of the subject property? -
ANS-By weighing the adjusted sales prices of the comparables and adding the weighted dollar
amount of the group
In a graduated payment mortgage, the ________ changes in an adjustable rate mortgage the
_______ is subject to change. - ANS-Payment, interest rate
In a Land Sales Contract, who retains legal title to the property? - ANS-Seller
In Georgia, net listings are: - ANS-Illegal
In order to qualify for a broker's license an applicant must: - ANS-Complete an approved course
and have at least 3 years as an active licensee
Intangible Tax Formula - ANS-SP x LTV = LA
(LA / 500 (rounded up)) x 1.50 =
Is the statement, A person licensed as an associate broker with one firm may also be the
qualifying broker with one or more other firms as long as he notifies his broker in writing, true or
false? - ANS-True
Measuring Acreage and Sqft calculations - ANS-43,560 (4 old ladys, going 35 in 60)
L x W = sqft
Sqft/43560 = acres
PGI (potential gross income) and NOI (Net listing income) formula - ANS-PGI
- Vac
- Oper
= NOI
NOI (always dividen) / Value = Rate
NOI / Rate = Value
Value x Rate = NOI
Pre-Paid Interest: Interest Adjustment Proration (new loans only) - ANS-(LA x %(IR)) / 360 x
(#days owe) = Interest adjusted
Professional appraisals for lenders are usually made in order to: - ANS-help the lender decided
whether to make a loan
Real estate agents look to many different sources when working on a market analysis. Which of
the following sources would have the greatest effect on establishing the property's value
estimate? - ANS-Recently sold comparable properties
