COLIBRI NJ REAL ESTATE PRACTICE PAPER
2026 QUESTIONS WITH SOLUTIONS
GRADED A+
◉A buyer prospect who does not wish to sign a brokerage
engagement contract wants a salesperson to show him a home listed
with another real estate company. The listing broker and seller of
this home do not offer subagency. Under these circumstances, the
salesperson working with the buyer: Answer: Performs services as a
transactional agent
According to BRRETA, the salesperson would be acting as a
transactional agent, which, in essence, means the agent is
representing the transaction and not either of the parties involved in
the transaction. As a transactional agent, the salesperson may write
a contract for the buyer, but not provide counsel or advice on the
contract.
◉What is NOT true about buyer brokerage contracts in Georgia?
Answer: They must be on specific forms approved by the Real Estate
Commission
,Like the listing agreements, buyer brokerage agreements are
employment contracts that must be in writing to be enforceable and
are defined by BRRETA as brokerage engagements; also, like listing
agreements, these contracts are regulated by the Real Estate
Commission. Contract forms are not required to be approved by the
commission.
◉Real estate closings in Georgia are conducted by an attorney who
customarily represents whom? Answer: The mortgage lender
The closing attorney will represent the mortgage lender unless there
is no loan involved, in which case the attorney may represent the
buyer, seller, or neither party.
◉Georgia lender may consider all of the following factors in
qualifying an applicant for a home loan EXCEPT: Answer: If the
applicant had a source from which the down payment might be
borrowed
Typically, the amount of down payment will have to be verified from
the applicant's own financial resources. Credit history and income to
debt ratio would all factor into the lender's decision to approve a
loan.
◉If a hazard insurance homeowners policy begins on July 1, 2005
and the closing date is April 15, 2006, how may days of insurance
,proration will there be for the seller? Use the exact number of days
in each month to count the prorated days. Answer: 76
In Georgia, hazard insurance policies are paid one year in advance
by the homeowner. A policy that began on July 1, 2005 would end on
June 30, 2006. So, the prorated number of policy days refunded to
the seller would begin the day after closing on April 16 and run to
and include the last day of the policy, June 30, for a total proration of
76 days.
◉When the Bakers sold their house, they owed a balance of $68,750
on their existing home loan, at 8% interest. If the closing took place
on June 11, how would this calculation appear on the seller's closing
cost form? Use the correct number of days in the month and a
mortgage banker's calendar (360 days) for daily interest proration.
Answer: An accrued interest charge of $168.05 was due from the
Bakers at closing
$68,750 x 8% = $5,500 divided by 360 = $15.2778 x 11 = $168.05.
◉The effect of 1 loan discount point purchased from a lender in
Georgia would be: Answer: All of the answers
Discount points must be paid for in full to the lender at closing; the
effect of discount points are two-fold: they lower the borrower's
, interest rate and increase the lender's yield--in both circumstances
by 1/8 of 1%.
◉How many square feet are in an acre? Answer: 43,560
There are 43,560 square feet in an acre and 640 acres in a square
mile.
◉In some states, the common law legal rights that a wife has in
property owned by her husband during their marriage are best
known as Answer: dower
The wife would get dower. If the wife died first, the husband gets her
share of property, known as curtesy.
◉What type of land use does NOT comply with the zoning
restriction for its location, but is permitted because it benefits the
public? Answer: conditional use
Conditional uses (hospitals, schools, etc.) usually do not comply with
zoning limitations. Nonconforming uses are properties that were in
compliance with an old zone. Inverse condemnation is a court action
by a private landowner against the government, seeking
compensation for damage to property that resulted from
2026 QUESTIONS WITH SOLUTIONS
GRADED A+
◉A buyer prospect who does not wish to sign a brokerage
engagement contract wants a salesperson to show him a home listed
with another real estate company. The listing broker and seller of
this home do not offer subagency. Under these circumstances, the
salesperson working with the buyer: Answer: Performs services as a
transactional agent
According to BRRETA, the salesperson would be acting as a
transactional agent, which, in essence, means the agent is
representing the transaction and not either of the parties involved in
the transaction. As a transactional agent, the salesperson may write
a contract for the buyer, but not provide counsel or advice on the
contract.
◉What is NOT true about buyer brokerage contracts in Georgia?
Answer: They must be on specific forms approved by the Real Estate
Commission
,Like the listing agreements, buyer brokerage agreements are
employment contracts that must be in writing to be enforceable and
are defined by BRRETA as brokerage engagements; also, like listing
agreements, these contracts are regulated by the Real Estate
Commission. Contract forms are not required to be approved by the
commission.
◉Real estate closings in Georgia are conducted by an attorney who
customarily represents whom? Answer: The mortgage lender
The closing attorney will represent the mortgage lender unless there
is no loan involved, in which case the attorney may represent the
buyer, seller, or neither party.
◉Georgia lender may consider all of the following factors in
qualifying an applicant for a home loan EXCEPT: Answer: If the
applicant had a source from which the down payment might be
borrowed
Typically, the amount of down payment will have to be verified from
the applicant's own financial resources. Credit history and income to
debt ratio would all factor into the lender's decision to approve a
loan.
◉If a hazard insurance homeowners policy begins on July 1, 2005
and the closing date is April 15, 2006, how may days of insurance
,proration will there be for the seller? Use the exact number of days
in each month to count the prorated days. Answer: 76
In Georgia, hazard insurance policies are paid one year in advance
by the homeowner. A policy that began on July 1, 2005 would end on
June 30, 2006. So, the prorated number of policy days refunded to
the seller would begin the day after closing on April 16 and run to
and include the last day of the policy, June 30, for a total proration of
76 days.
◉When the Bakers sold their house, they owed a balance of $68,750
on their existing home loan, at 8% interest. If the closing took place
on June 11, how would this calculation appear on the seller's closing
cost form? Use the correct number of days in the month and a
mortgage banker's calendar (360 days) for daily interest proration.
Answer: An accrued interest charge of $168.05 was due from the
Bakers at closing
$68,750 x 8% = $5,500 divided by 360 = $15.2778 x 11 = $168.05.
◉The effect of 1 loan discount point purchased from a lender in
Georgia would be: Answer: All of the answers
Discount points must be paid for in full to the lender at closing; the
effect of discount points are two-fold: they lower the borrower's
, interest rate and increase the lender's yield--in both circumstances
by 1/8 of 1%.
◉How many square feet are in an acre? Answer: 43,560
There are 43,560 square feet in an acre and 640 acres in a square
mile.
◉In some states, the common law legal rights that a wife has in
property owned by her husband during their marriage are best
known as Answer: dower
The wife would get dower. If the wife died first, the husband gets her
share of property, known as curtesy.
◉What type of land use does NOT comply with the zoning
restriction for its location, but is permitted because it benefits the
public? Answer: conditional use
Conditional uses (hospitals, schools, etc.) usually do not comply with
zoning limitations. Nonconforming uses are properties that were in
compliance with an old zone. Inverse condemnation is a court action
by a private landowner against the government, seeking
compensation for damage to property that resulted from
