PSI NJ Real Estate Exam, PSI Practice Test WITH ACTUAL QUESTIONS AND CORRECT VERIFIED ANSWERS|100% GUARANTEED TO PASS CONCEPTS|ALREADY GRADED A+

PSI NJ Real Estate Exam, PSI Practice Test WITH ACTUAL QUESTIONS AND CORRECT VERIFIED ANSWERS|100% GUARANTEED TO PASS CONCEPTS|ALREADY GRADED A+ Water Rights Correct Answer: The terms "littoral," "riparian," and "appropriative" refer to A salesperson lists a property with a contract that allows for subagency and dual agency. The salesperson is Correct Answer: an agent to the broker and a subagent to the principal. Depreciation is calculated based on the Correct Answer: Cost of the building only. When a property owner uses his home as collateral for a loan and creates a lien in favor of the lender, title is held by the Correct Answer: mortgagor A competitive market analysis is MOST often used for Correct Answer: setting a listing price A seller tells the listing agent that her home was treated for termites 10 years ago, so there are no termites now. Before listing the property, the agent should Correct Answer: tell the seller not to disclose, because the statute of limitations has run out. All of the following are methods to calculate the reproduction or replacement cost of a building EXCEPT the Correct Answer: straight-line method The buyer is assuming a mortgage presently on the property in the amount of $110,000. What is the adjustment made at closing? Correct Answer: Credit buyer $110,000; debit seller $110,000. If conditions for purchase are included in a deed and these conditions are violated, what is the penalty? Correct Answer: Return of the property to the original owner. The purpose of requiring an earnest money deposit in a real estate sales contract is to Correct Answer: provide evidence of the buyer's intention to carry out the contract. 1 | P a g e PSI NJ Real Estate Exam, PSI Practice Test. A judgment has been properly recorded. Any subsequent purchasers, whether they have actually examined the record or not, have been given Correct Answer: constructive notice What type of map is MOST useful for describing the terrain of a very hilly lot? Correct Answer: contour map The Department of Housing and Urban Development estimates that most private homes built before 1978 contain potentially dangerous levels of lead. Because of this, some Federal agencies, such as FHA, Correct Answer: Require the buyer to acknowledge disclosure of the presence of any known lead paint. At the time of listing, the seller tells the listing agent they are moving because the neighbor has loud parties every weekend. The agent should Correct Answer: tell potential buyers about the parties. (Any social information expressed to an agent can be shared) A major reason for buying and owning a condominium rather than a detached single family home is that Correct Answer: a condominium tends to be more affordable. A buyer was negotiating the purchase of a house for himself. During a conversation with the seller, the seller agreed to include all kitchen appliances in the sale, and this fact was included in the sales contract. In this situation, if the seller takes the appliances with him, what recourse does the buyer have? Correct Answer: The buyer may sue the seller for specific performance. A loan which requires the borrower to pay interest only until the maturity date (or due date), and then to pay the entire principal on the maturity date, is called a Correct Answer: straight (term) loan (AKA term loan) The real estate contract for a specific property for use as an unlicensed whiskey sales operation was forced to terminate. The termination was the result of Correct Answer: Impossibility of performance. - - (Key word: *Unlicensed* whiskey sales operation). A broker lists a property, with a listing contract allowing subagency and dual agency. One of the broker's salespersons shows the property. The salesperson would be classified as Correct Answer: a subagent of the seller. — (Think - brokerage is the AGENCY, salesperson is working under the agency) Water Rights Correct Answer: The terms "littoral," "riparian," and "appropriative" refer to A salesperson lists a property with a contract that allows for subagency and dual agency. The salesperson is Correct Answer: an agent to the broker and a subagent to the principal. Depreciation is calculated based on the Correct Answer: Cost of the building only. When a property owner uses his home as collateral for a loan and creates a lien in favor of the lender, title is held by the Correct Answer: mortgagor A competitive market analysis is MOST often used for Correct Answer: setting a listing price A seller tells the listing agent that her home was treated for termites 10 years ago, so there are no termites now. Before listing the property, the agent should Correct Answer: tell the seller not to disclose, because the statute of limitations has run out. All of the following are methods to calculate the reproduction or replacement cost of a building EXCEPT the Correct Answer: straight-line method The buyer is assuming a mortgage presently on the property in the amount of $110,000. What is the adjustment made at closing? Correct Answer: Credit buyer $110,000; debit seller $110,000. If conditions for purchase are included in a deed and these conditions are violated, what is the penalty? Correct Answer: Return of the property to the original owner. The purpose of requiring an earnest money deposit in a real estate sales contract is to Correct Answer: provide evidence of the buyer's intention to carry out the contract. 1 | P a g e PSI NJ Real Estate Exam, PSI Practice Test. A judgment has been properly recorded. Any subsequent purchasers, whether they have actually examined the record or not, have been given Correct Answer: constructive notice What type of map is MOST useful for describing the terrain of a very hilly lot? Correct Answer: contour map The Department of Housing and Urban Development estimates that most private homes built before 1978 contain potentially dangerous levels of lead. Because of this, some Federal agencies, such as FHA, Correct Answer: Require the buyer to acknowledge disclosure of the presence of any known lead paint. At the time of listing, the seller tells the listing agent they are moving because the neighbor has loud parties every weekend. The agent should Correct Answer: tell potential buyers about the parties. (Any social information expressed to an agent can be shared) A major reason for buying and owning a condominium rather than a detached single family home is that Correct Answer: a condominium tends to be more affordable. A buyer was negotiating the purchase of a house for himself. During a conversation with the seller, the seller agreed to include all kitchen appliances in the sale, and this fact was included in the sales contract. In this situation, if the seller takes the appliances with him, what recourse does the buyer have? Correct Answer: The buyer may sue the seller for specific performance. A loan which requires the borrower to pay interest only until the maturity date (or due date), and then to pay the entire principal on the maturity date, is called a Correct Answer: straight (term) loan (AKA term loan) The real estate contract for a specific property for use as an unlicensed whiskey sales operation was forced to terminate. The termination was the result of Correct Answer: Impossibility of performance. - - (Key word: *Unlicensed* whiskey sales operation). A broker lists a property, with a listing contract allowing subagency and dual agency. One of the broker's salespersons shows the property. The salesperson would be classified as Correct Answer: a subagent of the seller. — (Think - brokerage is the AGENCY, salesperson is working under the agency)