Texas Law of Contracts Exam Review 50 Questions Answered Correctly, Newest Solution
Texas Law of Contracts Exam Review
50 Questions Answered Correctly,
Newest Solution
A buyer makes an offer, the seller wants to accept the offer if the buyer will agree to a change in price. In
these circumstances, the seller will give the buyer a - ANSWER ✔ - Counteroffer
What law requires certain types of contracts to be enforceable? - ANSWER ✔ - Statute of Frauds
The buyer and the seller have agreed that the seller will remove a huge birdbath in the backyard before
the buyer takes possession of the property. This agreement should be - ANSWER ✔ - Addresses in the
sales contract
Which method of providing legal description uses north-south and east-west lines to describe the location
of the property? - ANSWER ✔ - Rectangular government survey system
When a contract is unenforceable because it does not fulfill the statutory requirements it is - ANSWER ✔
- Void
Which of the following is TRUE regarding earnest money? - ANSWER ✔ - It serves as a remedy of default
Suit for specific performance is an action one party can take in the event of - ANSWER ✔ - Breach of
contract by the other party
Which of the following is TRUE about TREC-promulgated contract forms? - ANSWER ✔ - They must be
used by real estate license holders in all transactions to which the forms are applicable unless one of four
exceptions apply
The sales contract says the buyer will purchase only if the buyers current home closes within the next 30
days. This is called - ANSWER ✔ - Contingency
, Texas Law of Contracts Exam Review 50 Questions Answered Correctly, Newest Solution
A buyer purchases a home under a land contract. Until the contract is paid in full, the buyer - ANSWER ✔
- Has equitable title in the property
What is the certificate of eligibility for? - ANSWER ✔ - VA Loans
All of the following is required for FHA except - ANSWER ✔ - Certificate for eligibility
If the seller accepts an offer, can they later claim that they were in un-due duress? - ANSWER ✔ - Yes, and
it would void the contract
The Borrower under a deed of trust is called the? - ANSWER ✔ - Trustor
Regulation Z - ANSWER ✔ - Truth in Lending (TILA) requires you to disclose; discount points, loan
origination fee, and interest rates.
Grant bargain in sales is an example of? - ANSWER ✔ - A granting clause
A bargain in sale deed. - ANSWER ✔ - Contains no expressed warranties
When does the buyer receive title on a contract for deed? - ANSWER ✔ - Upon final payment
A seller who receives multiple offers on a property and wishes to make one offer, a contract, and a second
offer, a backup offer should use... - ANSWER ✔ - An addendum form.
In what kind of state does a mortgagor retain legal and equitable title to a property? - ANSWER ✔ - Lien
theory
Which of the following is TRUE regarding promissory notes? - ANSWER ✔ - it is a borrower's personal
promise to repay debt according to agreed terms
A contract that lacks one or all essential elements is considered? - ANSWER ✔ - VOID
Texas Law of Contracts Exam Review
50 Questions Answered Correctly,
Newest Solution
A buyer makes an offer, the seller wants to accept the offer if the buyer will agree to a change in price. In
these circumstances, the seller will give the buyer a - ANSWER ✔ - Counteroffer
What law requires certain types of contracts to be enforceable? - ANSWER ✔ - Statute of Frauds
The buyer and the seller have agreed that the seller will remove a huge birdbath in the backyard before
the buyer takes possession of the property. This agreement should be - ANSWER ✔ - Addresses in the
sales contract
Which method of providing legal description uses north-south and east-west lines to describe the location
of the property? - ANSWER ✔ - Rectangular government survey system
When a contract is unenforceable because it does not fulfill the statutory requirements it is - ANSWER ✔
- Void
Which of the following is TRUE regarding earnest money? - ANSWER ✔ - It serves as a remedy of default
Suit for specific performance is an action one party can take in the event of - ANSWER ✔ - Breach of
contract by the other party
Which of the following is TRUE about TREC-promulgated contract forms? - ANSWER ✔ - They must be
used by real estate license holders in all transactions to which the forms are applicable unless one of four
exceptions apply
The sales contract says the buyer will purchase only if the buyers current home closes within the next 30
days. This is called - ANSWER ✔ - Contingency
, Texas Law of Contracts Exam Review 50 Questions Answered Correctly, Newest Solution
A buyer purchases a home under a land contract. Until the contract is paid in full, the buyer - ANSWER ✔
- Has equitable title in the property
What is the certificate of eligibility for? - ANSWER ✔ - VA Loans
All of the following is required for FHA except - ANSWER ✔ - Certificate for eligibility
If the seller accepts an offer, can they later claim that they were in un-due duress? - ANSWER ✔ - Yes, and
it would void the contract
The Borrower under a deed of trust is called the? - ANSWER ✔ - Trustor
Regulation Z - ANSWER ✔ - Truth in Lending (TILA) requires you to disclose; discount points, loan
origination fee, and interest rates.
Grant bargain in sales is an example of? - ANSWER ✔ - A granting clause
A bargain in sale deed. - ANSWER ✔ - Contains no expressed warranties
When does the buyer receive title on a contract for deed? - ANSWER ✔ - Upon final payment
A seller who receives multiple offers on a property and wishes to make one offer, a contract, and a second
offer, a backup offer should use... - ANSWER ✔ - An addendum form.
In what kind of state does a mortgagor retain legal and equitable title to a property? - ANSWER ✔ - Lien
theory
Which of the following is TRUE regarding promissory notes? - ANSWER ✔ - it is a borrower's personal
promise to repay debt according to agreed terms
A contract that lacks one or all essential elements is considered? - ANSWER ✔ - VOID
