Real Estate Mid Term and Final
Questions and Answers- 2025
1. A residential subdivision of single homes would MOST LIKELY be separated from an industrial park
by which of the following:
A. A commercial area
B. A buffer zone
C. A subdivision incorporating townhouses
D. A school
B. A buffer zone
2. An adult buyer who is illiterate signs a contract to purchase property from a seller- The buyer
understands the nature of the contract because the terms were explained way. Is the contract
binding?
A. Yes, because the buyer understands the terms of the contract
B. Yes, because all adults are considered legally competent
C. No, because the buyer is illiterate and, therefore, legality incompetent
D. No, because a guardian must sign for the buyer
,A. Yes, because the buyer understands the terms of the contract
3. To be in compliance with the Federal Trade Commission's Do Not Call Implementation Act, a Broker
may do all but which of the following?
A. Call a former seller client whose phone number is currently Basted on the National Do Not Call
Registry for up to 18 months alter expiration
B. Place a call to a buyer «who requested information on a property for up to 3 months after the inquiry
C. Place a call at 9:30 p.m. to a For Sale by Owner whose phone number is NOT listed on the Do Not Call
Registry
D. Update the no call list against the National Do Not Call Registry every 31 days
C. Place a call at 9:30 p.m. to a For Sale by Owner whose phone number is NOT listed on the Do Not
Call Registry
4. Baird finds a prospect for a house under an open Iisting. The seller signs a sales contract several days
later with a different buyer produced by broker Carr. Who should receive the commission on the sale?
A. Baird should receive the entire commission
B. Carr should receive the entire commission
C. Baird and Can should receive equal shares of the commission
D. Baird and Carr should negotiate an agreement as to the division of the commission
B. Carr should receive the entire commission
,5. A buyer and broker entered into a buyer agency agreement. The buyer's broker cooperated with
another brokerage company representing a seller. The buyer's broker would consider the seller to be
the:
A. Client
B. Customer
C. Principal
D. Agent
B. Customer
6. All of the following are true of BRRETA except:
A. the Broker owes a fiduciary duty to the client.
B. material facts must be disclosed to seller clients but not buyer customers.
C. dual agency requires informed written consent.
D. a non-exclusive agency, without an agreement to the contrary, will expire in 1 year.
B. material facts must be disclosed to seller clients but not buyer customers.
, 7. While doing urban renewal the city acquired privately owned property in a deteriorated
neighborhood by eminent domain and sold it to a private developer who redeveloped it. Is the city
justified in doing this?
A. Yes, but only if just compensation is paid to the private landowners
B. Yes. but the land must be resold to the original owners
C. No, because urban renewal is not for public use
D. No, because they sold the land to a private developer
A. Yes, but only if just compensation is paid to the private landowners
8. A fixture may be legally removed from a property if:
A. There is an expressed agreement allowing the removal
B. Its removal does not damage the property
C. It does not substantially affect the value of the property
D. The seller's intent was not to make it part of the real property
A. There is an expressed agreement allowing the removal
9. Which of the following is a physical characteristic of land?
A. Destructibility
Questions and Answers- 2025
1. A residential subdivision of single homes would MOST LIKELY be separated from an industrial park
by which of the following:
A. A commercial area
B. A buffer zone
C. A subdivision incorporating townhouses
D. A school
B. A buffer zone
2. An adult buyer who is illiterate signs a contract to purchase property from a seller- The buyer
understands the nature of the contract because the terms were explained way. Is the contract
binding?
A. Yes, because the buyer understands the terms of the contract
B. Yes, because all adults are considered legally competent
C. No, because the buyer is illiterate and, therefore, legality incompetent
D. No, because a guardian must sign for the buyer
,A. Yes, because the buyer understands the terms of the contract
3. To be in compliance with the Federal Trade Commission's Do Not Call Implementation Act, a Broker
may do all but which of the following?
A. Call a former seller client whose phone number is currently Basted on the National Do Not Call
Registry for up to 18 months alter expiration
B. Place a call to a buyer «who requested information on a property for up to 3 months after the inquiry
C. Place a call at 9:30 p.m. to a For Sale by Owner whose phone number is NOT listed on the Do Not Call
Registry
D. Update the no call list against the National Do Not Call Registry every 31 days
C. Place a call at 9:30 p.m. to a For Sale by Owner whose phone number is NOT listed on the Do Not
Call Registry
4. Baird finds a prospect for a house under an open Iisting. The seller signs a sales contract several days
later with a different buyer produced by broker Carr. Who should receive the commission on the sale?
A. Baird should receive the entire commission
B. Carr should receive the entire commission
C. Baird and Can should receive equal shares of the commission
D. Baird and Carr should negotiate an agreement as to the division of the commission
B. Carr should receive the entire commission
,5. A buyer and broker entered into a buyer agency agreement. The buyer's broker cooperated with
another brokerage company representing a seller. The buyer's broker would consider the seller to be
the:
A. Client
B. Customer
C. Principal
D. Agent
B. Customer
6. All of the following are true of BRRETA except:
A. the Broker owes a fiduciary duty to the client.
B. material facts must be disclosed to seller clients but not buyer customers.
C. dual agency requires informed written consent.
D. a non-exclusive agency, without an agreement to the contrary, will expire in 1 year.
B. material facts must be disclosed to seller clients but not buyer customers.
, 7. While doing urban renewal the city acquired privately owned property in a deteriorated
neighborhood by eminent domain and sold it to a private developer who redeveloped it. Is the city
justified in doing this?
A. Yes, but only if just compensation is paid to the private landowners
B. Yes. but the land must be resold to the original owners
C. No, because urban renewal is not for public use
D. No, because they sold the land to a private developer
A. Yes, but only if just compensation is paid to the private landowners
8. A fixture may be legally removed from a property if:
A. There is an expressed agreement allowing the removal
B. Its removal does not damage the property
C. It does not substantially affect the value of the property
D. The seller's intent was not to make it part of the real property
A. There is an expressed agreement allowing the removal
9. Which of the following is a physical characteristic of land?
A. Destructibility
