REAL ESTATE II EXAM STUDY GUIDE
QUESTIONS AND ACCURATE
ANSWERS
The sales contract most frequently used in Texas is the: ANSW✅✅TREC Promulgated One to Four
Family Residential Contract (Resale)
Objective value is not influenced by: ANSW✅✅Personal feelings or opinions in considering and
representing facts
Development sites, farms, data centers, storage facilities, senior/retirement housing facilities,
medical office buildings and facilities, and various types of student housing are types of:
ANSW✅✅Real Property Assets
A property owner took out a 20-year mortgage for $97,500 with a fixed 7.5% annual interest rate.
What does the property owner pay in mortgage payments every month (principle and interest only)?
(Closest rounded answer) ANSW✅✅$785
A person controls the acceptance of rent from a resident of a single-family rental and must be
licensed under the Act if the person has the authority to do what? ANSW✅✅Determine where to
deposit the rent
Determine when to deposit the rent
Sigh checks or withdraw money from a trust account
A T-47 affidavit requires that a seller swear under oath to which of the following? ANSW✅✅no
easements have been granted on the property and that no material change exists in the structures,
fences, or structures on adjoining properties, conveyances, or replats.
In foreclosure, in order to receive a portion of any remaining proceeds, what must a junior
lienholder do? ANSW✅✅A junior leinholder must have filed a request for notice of default with a
public recorder.
,The BEST definition of 'highest and best use' in property valuation provided here is which of the
following? ANSW✅✅A reasonably probable and legal use of vacant land or an improved property,
which is physically possible, appropriately supported, financially feasible, and that results in the
highest value.
The term for an interest through a leasehold that continues for a definite period of time (which can
range from weeks to years at a time) is which of the following? ANSW✅✅An estate for years
What is the investment property's market value with debts subtracted? ANSW✅✅Equity
A closing disclosure is a document that lists: ANSW✅✅The fees and charges imposed on the
borrower and the seller in a real estate transaction
Which of the following is/are steps in organization of a syndication? ANSW✅✅Satisfying
registration and disclosure rules
Replacement cost (the dollar amount it would cost to construct, at current prices, a structure that
might not be exactly the same) is used as an element of which of the following types of appraisals?
ANSW✅✅Cost approach.
A Closing Disclosure is a document that lists which of the following? ANSW✅✅The fees and
charges imposed on the borrower and the seller in a real estate transaction
In Texas, recording fees are paid to whom? ANSW✅✅The county clerk in the county where the
real property is located.
The _____ Act created the Consumer Financial Protection Bureau (CFPB). ANSW✅✅Dodd-Frank
If a tenant abandons the leased premises in violation of the lease, what is the landlord obligated to
do to avoid unnecessary additional costs? ANSW✅✅They have a duty to mitigate damages.
Properties are of like-kind: ANSW✅✅if they are of the same nature or character, even if they
differ in grade or quality.
, General Warranty, Special Warranty, and Quitclaim are all forms of: ANSW✅✅Deeds
______ protects parties with financial interests in a piece of property from losses associated with
title defects or problems with the enforcement of liens against the property. ANSW✅✅Title
insurance
Assets such as single-family homes, apartments or apartment buildings, or shopping facilities are
what? ANSW✅✅Real property assets
The FTC rule that advertising must be truthful and not designed to deceive consumers means what?
ANSW✅✅The advertisement cannot contain statements likely to mislead reasonable consumers
An appraisal report generally DOES NOT include the following item ANSW✅✅Title search
A short sale is a situation where the mortgage lender allows the borrower to sell the property in
which of the following manners? ANSW✅✅Rapidly and for an amount that does not cover that
full balance of the loan.
What means "trade or commerce among the several states or between any foreign country and any
state?" ANSW✅✅Interstate commerce.
The market comparison, or sales comparison approach, estimates the value by:
ANSW✅✅comparing the property to similar properties that have sold in the local market,
accounting for differences between the evaluated property and comparison properties
The number 3.14 (Pi) is used for determining: ANSW✅✅the area of a circle
Which of the following effects would be most likely under the law of supply and demand when a
good or product increases in price and popularity (under most, but not all circumstances)?
ANSW✅✅An increase in competing businesses entering the market.
The Federal Reserve System does not directly control which of these? ANSW✅✅All of these are
correct.