100% Correct Answers
When the buyer checks "yes" to dual agency on a Buyer Representation agreement, what does
the buyer actually agree to? - correct answers ✔✔By checking "yes" to this paragraph, the
buyer is only acknowledging that the possibility of dual agency exists.
Sam paid $500,000 for a five-unit apartment building. The gross income is $1,000 per month
per unit, with annual expenses of $15,000 annually. What was the capitalization rate for this
investment? - correct answers ✔✔9%
What is the difference between market value and market price, if any? - correct answers
✔✔Market value is an estimate; market price is the price at which a property sold.
Which of the following is true of an amortizing loan? - correct answers ✔✔Part of each periodic
payment is applied to repayment of the loan balance in advance and part is applied to payment
of interest in arrears.
A contract in which both parties exchange promises is a: - correct answers ✔✔bilateral contract
What technique is used to elicit "yes" responses from a client? - correct answers ✔✔Keep up a
running commentary - for example, this is the living room.
If a landlord rejects a prospective tenant based on a bad credit report, according to the fair
credit reporting Act, the prospective tenant: - correct answers ✔✔may require the landlord to
submit all of his reasons for rejection in writing.
,All of the following is included as part of a survey, EXCEPT: - correct answers ✔✔the type of
improvements best suited for the land
How do you stay in control of a call from a prospect? - correct answers ✔✔Asking questions
On the day prior to closing, the buyer does a walk-through and sees that the seller took a
chandelier that was supposed to remain. What should the buyer's broker do? - correct answers
✔✔Advise the buyer to speak with his/her attorney about a financial adjustment, at the closing,
for the cost of the chandelier.
A loan applicant has an annual gross income of $36,000. How much will a lender allow the
applicant to pay for monthly housing expense to qualify for a loan if the lender uses an income
ratio of 28%? - correct answers ✔✔$840
Which of the following is considered a fixed operating expense? - correct answers ✔✔insurance
premiums
Which statement is true about a comparative market analysis (CMA)? - correct answers ✔✔It
can help a seller decide what to ask for the property
Beginning after the 2013 renewal, individuals renewing or obtaining a managing broker's license
must complete how many CE credit hours, in addition to the Broker Management Course? -
correct answers ✔✔12 credit hours
An interest in real estate that includes the right to possess is known as: - correct answers ✔✔An
estate in land
Under Title III of this Act, discrimination in commercial properties is prohibited. To which Act
does this apply? - correct answers ✔✔American With Disabilities Act
, When two adjacent pieces of property are joined together, the value of the one larger parcel
may be greater than the value of the two separately. Which principle of value is this? - correct
answers ✔✔Assemblage.
"Realestate" includes such things as: - correct answers ✔✔fences, sidewalks, and piers on a
parcel of land.
If an owner of real property dies without leaving a will and with no legal heirs, what will
generally happen to the property? - correct answers ✔✔It will revert to the state or county by
escheat.
Radon gas can be traced back to: - correct answers ✔✔groundwater pollutants
RESPA applies to all of the following EXCEPT which? - correct answers ✔✔Seller-financed loan or
a Loan involving a first mortgage
Which duty an agent has to his/her client never stops? - correct answers ✔✔confidentiality
When does the seller receive a copy of the listing agreement? - correct answers ✔✔At the time
of signing.
A Recorded Plat System contains all of the following, EXCEPT: - correct answers ✔✔a contiguous
group of lots, which is called a block.
Which tax is imposed on any deed or instrument which conveys interest in property? - correct
answers ✔✔Real estate transfer tax
Under the Equal Credit Opportunity Act, a lender, or a real estate agent who assists a seller in
qualifying a potential buyer, may not - correct answers ✔✔ask the buyer/borrower about his
religion or national origin