ROCKWELL REAL ESTATE EXAM WA 2 |
QUESTIONS & ANSWERS | SOLVED
100% CORRECT!!
1 of 83
Term
All of the following should be included in every purchase and sale
agreement, except:
identification of the parties
purchase price and method of payment
agent's commission
dates when the title and possession will pass to buyer
Give this one a try later!
, A. The roof leaks during rainy weather
A leaky roof is a material fact that an agent would be required to disclose. But
it would not be a material fact that the home had been rented by gang
members, the site of a suicide, or used as headquarters by a cult.
C. agent's commission
A purchase and sale agreement should always include the parties'
names, the purchase price and method of payment, and the date that
possession will transfer. The agent's commission rate is typically included
in the listing agreement.
D.Calculating the replacement cost of the subject property
A CMA does not inquire into the replacement cost of the subject property. It is
based on the sales comparison approach to value, rather than the cost
approach.
B.Street address
A property description in a purchase and sale agreement should be a legal
description, such a lot and block description or a government survey
description. A street address is insufficient.
Don't know?
2 of 83
Term
To determine an appropriate listing price for a property, an
agent will perform a/an _______, which is related to but less rigorous
than a/an__.
,A. CMA/appraisal
B.Appraisal/CMA
C. CMA/reconciliation
D.Valuation/CMA
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A. $83,000
To calculate net equity, subtract outstanding liens and estimated selling costs
from the appraised value of the home ($545,000-$397,000-$65,000 = $83,000)
A. "Close-knit Asian neighborhood"
An ad should never specifically reference a neighborhood's racial composition;
this may suggest a discriminatory preference.
A. CMA/appraisal
An agent may perform a competitive market analysis ( or CMA), which is
based on the principles of appraisal but is not as rigorous a process.
D. All of the above
A licensee owes to all parties in a transaction the duties to exercise reasonable
care and skill, to act with honesty and good faith, and to present written
communication in a timely matter.
Don't know?
, 3 of 83
Term
Prior to looking for a house, a potential buyer approaches a lender
in order to obtain a promise of a loan up to a certain amount. This
is known as:
A. prequalification
B.predetermination
C. preapproval
D.prepayment
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C. costs that the party must pay at closing
Debits are a cost that a party must pay at closing, either to the other party or to a
third party.
C. Preapproval
A buyer who would like to be preapproved will go directly to a lender
and submit a loan application. Prequalification, by contract, can be
performed by a real estate agent and is merely a determination of an
appropriate price range. (Today, preapproval is much more common than
prequalification.)
A. acts as a rejection of the initial offer
A counteroffer is a rejection of the previous offer. Either a buyer or a seller
may make a counteroffer, in response to either the initial or previous
counteroffer.
QUESTIONS & ANSWERS | SOLVED
100% CORRECT!!
1 of 83
Term
All of the following should be included in every purchase and sale
agreement, except:
identification of the parties
purchase price and method of payment
agent's commission
dates when the title and possession will pass to buyer
Give this one a try later!
, A. The roof leaks during rainy weather
A leaky roof is a material fact that an agent would be required to disclose. But
it would not be a material fact that the home had been rented by gang
members, the site of a suicide, or used as headquarters by a cult.
C. agent's commission
A purchase and sale agreement should always include the parties'
names, the purchase price and method of payment, and the date that
possession will transfer. The agent's commission rate is typically included
in the listing agreement.
D.Calculating the replacement cost of the subject property
A CMA does not inquire into the replacement cost of the subject property. It is
based on the sales comparison approach to value, rather than the cost
approach.
B.Street address
A property description in a purchase and sale agreement should be a legal
description, such a lot and block description or a government survey
description. A street address is insufficient.
Don't know?
2 of 83
Term
To determine an appropriate listing price for a property, an
agent will perform a/an _______, which is related to but less rigorous
than a/an__.
,A. CMA/appraisal
B.Appraisal/CMA
C. CMA/reconciliation
D.Valuation/CMA
Give this one a try later!
A. $83,000
To calculate net equity, subtract outstanding liens and estimated selling costs
from the appraised value of the home ($545,000-$397,000-$65,000 = $83,000)
A. "Close-knit Asian neighborhood"
An ad should never specifically reference a neighborhood's racial composition;
this may suggest a discriminatory preference.
A. CMA/appraisal
An agent may perform a competitive market analysis ( or CMA), which is
based on the principles of appraisal but is not as rigorous a process.
D. All of the above
A licensee owes to all parties in a transaction the duties to exercise reasonable
care and skill, to act with honesty and good faith, and to present written
communication in a timely matter.
Don't know?
, 3 of 83
Term
Prior to looking for a house, a potential buyer approaches a lender
in order to obtain a promise of a loan up to a certain amount. This
is known as:
A. prequalification
B.predetermination
C. preapproval
D.prepayment
Give this one a try later!
C. costs that the party must pay at closing
Debits are a cost that a party must pay at closing, either to the other party or to a
third party.
C. Preapproval
A buyer who would like to be preapproved will go directly to a lender
and submit a loan application. Prequalification, by contract, can be
performed by a real estate agent and is merely a determination of an
appropriate price range. (Today, preapproval is much more common than
prequalification.)
A. acts as a rejection of the initial offer
A counteroffer is a rejection of the previous offer. Either a buyer or a seller
may make a counteroffer, in response to either the initial or previous
counteroffer.
