149 QUESTIONS AND ANSWERS
Real property that is acquired by a neighbor through the natural processes such
as erosion is an example of: - ANSWER accretion.
Acquiring land through natural forces, such as the accumulation of sediment on
a coastal property is accretion.
If evidence of active infestation is found, a structural pest control report is
required to be provided: - ANSWER when the home being purchased is
financed by a Federal Housing Administration (FHA)-insured loan or U.S.
Department of Veterans Affairs (VA)-guaranteed loan.
Pest control reports are only required of U.S. Department of Veterans Affairs
(VA) and some Federal Housing Administration (FHA) transactions, such as
where an active infestation is observed.
A purchaser of a condominium unit requests a copy of the conditions,
covenants, and restrictions (CC&Rs) and bylaws. These documents need to be
provided within: - ANSWER ten (10) days.
Conditions, covenants, and restrictions (CC&Rs) need to be delivered within ten
(10) days of the buyers request. However as a matter of good practice, CC&Rs
and other mandated disclosures are to be delivered as soon as practicable.
The expression "company dollar" refers to: - ANSWER money left over after a
salesperson's share of a commission has been paid.
The company dollar is the remainder of the broker's split of the fee after paying
their agent's commission.
,If an appraiser uses improper valuation methods or is negligent in completing a
government loan assignment, they may be guilty of: - ANSWER violating
appraisal ethics and violating real estate law.
Both ethics violations and possibly fraud have occurred. The key word "may" in
this question allows for the possibility of intent. Negligence is an ethics
violation. Fraud is a felony.
The calendar date that is of most concern to an appraiser is the date: -
ANSWER the purchase contract was signed.
The date that is most critical to an appraiser is the date the contract was signed
since the fair market value (FMV) for a property is established as the purchase
price agreed to by the buyer and seller.
Fee amounts are always: - ANSWER negotiable and not fixed by law.
Though commonly 6% of the price received for a property, fee amounts are
always negotiable and not fixed by law.
The term "kiosk" refers to a(n): - ANSWER open-sided booth.
Kiosks are the small stands in the promenade of a shopping mall.
Agency relationships may NOT be solely created by: - ANSWER voluntary
offer by the agent.
An agency relationship cannot be created solely by the voluntary act of only the
agent. The formation of an agency relationship requires a written or oral
agreement between both the principal and the agent. Both an implied agency
and an agency created by emergency need to be ratified by the principal.
When representing their client to a third person in a sale, a licensed real estate
broker is operating under the law of: - ANSWER agency.
In the context of representing their client to a third person in a sale, the law of
agency exists for the purpose of clarifying the conduct of the agent when
dealing with a third-party for the benefit of their client.
, A capitalization rate (cap rate) is least affected by: - ANSWER taxes.
The capitalization rate (cap rate) is least affected by taxes. The cap rate is the
annual rate of return produced by the operations of an income property or
sought by an investor, and is therefore an investor demand. Comparisons to
current interest rates and requirements for a return on or of the investment are
all investor considerations.
______________ occurs when a listing agent deletes provisions on the face of a
buyer's signed purchase agreement and adds copy to replace the deleted
material. - ANSWER Interlineation.
Interlineation is the process of modifying boilerplate wording in a form by
inserting additional language between the printed lines. This is improper
conduct when it is performed after the principal has signed the agreement.
A contract has been fully executed when it has been: - ANSWER completed
and fully performed.
Execution of a contract occurs when it has been completely and fully
performed.
Real property that builds up along a riverbank is acquired through: - ANSWER
accession.
Accession is an addition to property through human efforts or by natural forces.
For example, real property that builds up along a riverbank refers to accession
by a natural occurrence. While accession allows for addition by both human and
natural forces, accretion is by natural forces only.
A metropolitan area where the cities within have grown together is known as
a(n): - ANSWER megalopolis.
When a metropolitan area grows by the connection of various cities within it, it
becomes a megalopolis.
Real property that is acquired by a neighbor through the natural processes such
as erosion is an example of: - ANSWER accretion.
Acquiring land through natural forces, such as the accumulation of sediment on
a coastal property is accretion.
If evidence of active infestation is found, a structural pest control report is
required to be provided: - ANSWER when the home being purchased is
financed by a Federal Housing Administration (FHA)-insured loan or U.S.
Department of Veterans Affairs (VA)-guaranteed loan.
Pest control reports are only required of U.S. Department of Veterans Affairs
(VA) and some Federal Housing Administration (FHA) transactions, such as
where an active infestation is observed.
A purchaser of a condominium unit requests a copy of the conditions,
covenants, and restrictions (CC&Rs) and bylaws. These documents need to be
provided within: - ANSWER ten (10) days.
Conditions, covenants, and restrictions (CC&Rs) need to be delivered within ten
(10) days of the buyers request. However as a matter of good practice, CC&Rs
and other mandated disclosures are to be delivered as soon as practicable.
The expression "company dollar" refers to: - ANSWER money left over after a
salesperson's share of a commission has been paid.
The company dollar is the remainder of the broker's split of the fee after paying
their agent's commission.
,If an appraiser uses improper valuation methods or is negligent in completing a
government loan assignment, they may be guilty of: - ANSWER violating
appraisal ethics and violating real estate law.
Both ethics violations and possibly fraud have occurred. The key word "may" in
this question allows for the possibility of intent. Negligence is an ethics
violation. Fraud is a felony.
The calendar date that is of most concern to an appraiser is the date: -
ANSWER the purchase contract was signed.
The date that is most critical to an appraiser is the date the contract was signed
since the fair market value (FMV) for a property is established as the purchase
price agreed to by the buyer and seller.
Fee amounts are always: - ANSWER negotiable and not fixed by law.
Though commonly 6% of the price received for a property, fee amounts are
always negotiable and not fixed by law.
The term "kiosk" refers to a(n): - ANSWER open-sided booth.
Kiosks are the small stands in the promenade of a shopping mall.
Agency relationships may NOT be solely created by: - ANSWER voluntary
offer by the agent.
An agency relationship cannot be created solely by the voluntary act of only the
agent. The formation of an agency relationship requires a written or oral
agreement between both the principal and the agent. Both an implied agency
and an agency created by emergency need to be ratified by the principal.
When representing their client to a third person in a sale, a licensed real estate
broker is operating under the law of: - ANSWER agency.
In the context of representing their client to a third person in a sale, the law of
agency exists for the purpose of clarifying the conduct of the agent when
dealing with a third-party for the benefit of their client.
, A capitalization rate (cap rate) is least affected by: - ANSWER taxes.
The capitalization rate (cap rate) is least affected by taxes. The cap rate is the
annual rate of return produced by the operations of an income property or
sought by an investor, and is therefore an investor demand. Comparisons to
current interest rates and requirements for a return on or of the investment are
all investor considerations.
______________ occurs when a listing agent deletes provisions on the face of a
buyer's signed purchase agreement and adds copy to replace the deleted
material. - ANSWER Interlineation.
Interlineation is the process of modifying boilerplate wording in a form by
inserting additional language between the printed lines. This is improper
conduct when it is performed after the principal has signed the agreement.
A contract has been fully executed when it has been: - ANSWER completed
and fully performed.
Execution of a contract occurs when it has been completely and fully
performed.
Real property that builds up along a riverbank is acquired through: - ANSWER
accession.
Accession is an addition to property through human efforts or by natural forces.
For example, real property that builds up along a riverbank refers to accession
by a natural occurrence. While accession allows for addition by both human and
natural forces, accretion is by natural forces only.
A metropolitan area where the cities within have grown together is known as
a(n): - ANSWER megalopolis.
When a metropolitan area grows by the connection of various cities within it, it
becomes a megalopolis.
