NYREI EXAM PREP LATEST QUESTIONS AND
ANSWERS SURE A+
✔✔Paul is doing an appraisal for fannie mae. What is the minimum number of comps
he needs to consider when using the sales comparison approach? - ✔✔3
✔✔Which appraisal report is required when processing a VA loan application? -
✔✔Certificate of reasonable value
✔✔The accepted standards of ethics and appraisals practice are known as - ✔✔USPAP
(Uniform Standards Of Professional Appraisal Practice)
✔✔The first step of the appraisal process is to - ✔✔Define the appraisal also known as
stating the problem
✔✔Market price is - ✔✔The amount in dollars actually paid for the property
✔✔A quitclaim deed - ✔✔Is often used to clear clouds on a title (Is often used to clear
clouds on a title, comes with no warranties and is not transferable or court ordered)
✔✔Equitable title is - ✔✔An interest in real property created by the execution of a valid
sales contract
✔✔Which is not a guarantee that comes with a warranty deed? - ✔✔Guardian Authority
✔✔A deed contains a guarantee that the grantor really owns the property. This is an
example of which covenant" - ✔✔Seizen (Seizen is the grantors guarantee that he or
she does own the property)
✔✔A new connector road needs to be built to relieve congestion that is causing many
accidents. The city purchases 20 houses and tears them down to build that road. The
act of taking the houses and tearing them down is called? - ✔✔Condemnation
,(Condemnation or Appropriation is the actual act of taking private property for public
use. The right to take private property is eminent domain.)
✔✔What is not an example of the governments police power? - ✔✔Taxation (Police
power can take the form of land use controls, zoning laws, environmental protection
laws, eminent domain, and escheat. Taxation is a governmental revenue-generating
power.)
✔✔Lyle dies intestate. According to NY law, who would be the first in line to get Lyle's
estate? - ✔✔His wife, his children, then his ex wife.
✔✔Taking occurs when: - ✔✔The government acquires private property for public use
by appropriation without compensation to the land owner. (Taking differs from eminent
domain in that the government acquisition of private property for public use by
appropriation is done without compensation to the land owner)
✔✔Intestate VS Testate- - ✔✔Intestate is when a person dies without leaving a valid will
and without heirs, whereas testate is when a person dies leaving a will
✔✔When a planning board temporarily suspends the rights of property owners to obtain
development approvals while the local legislature considers the impact of new or
changing circumstances not adequately dealt with by current laws. This is known as -
✔✔A moratorium ( A moratorium may be imposed by a planning board to allow time to
study a situation that involves land use regulation or rules)
✔✔A provision in a deed that limits the use of the property is known as - ✔✔Covenant (
A deed restriction also known as a restrictive covenant, is a provision placed in the deed
when the property is conveyed.)
✔✔Which is not a way in which zoning ordinances are typically enforced? - ✔✔Federal
government interventions ( Zoning is a local issue that is typically enforced through
building permits, zoning permits, occupancy, and use permits, or possibly through the
courts.)
✔✔Insurance coverage can be purchased by which of the following? - ✔✔Captive
agents, Direct writing companies, and independent agents
✔✔A temporary insurance contract formed by oral or written agreement between the
customer and the insurance company is called - ✔✔A binder
✔✔Homeowner insurance rates are not based on - ✔✔Premium Payments ( The
location, materials, and amount of insurance all impact homeowners insurance rates.
The rates determine how much the premiums will be.)
,✔✔The dwelling policy is designed to cover a direct loss to physical property as well as
an indirect loss. It can be written for a 1,2, 3 or 4 family structure. There is no theft
coverage and no liability coverage. - ✔✔The dwelling policy is designed to cover a
direct loss to physical property as well as an indirect loss. It can be written for a 1,2, 3 or
4 family structure. There is no theft coverage and no liability coverage.
✔✔Which policy provides the best coverage for the money? - ✔✔HO-3 Special ( Is
considered the "Best Buy" of all insurance policies)
✔✔In order to qualify for the Coastal Market Assistance Program, a homeowner must
have received a - ✔✔Cancellation notice from their existing insurer.
✔✔Identify the peril which is not excluded from all three dwelling policies. - ✔✔Weight
of ice and snow. The DP-2 and DP-3 cover the peril of weight and snow
✔✔Section 2 of a homeowners policy covers - ✔✔Liability
✔✔Which peril is covered under NYPIUA - ✔✔Vandalism
✔✔Depreciation is based on - ✔✔The property's age and its use over time
✔✔Regulation 150 of the NY State insurance department was established for the
purpose of providing - ✔✔Standards for insurance companies that offer insurance
policies with a hurricane deductible
✔✔An insurance policy covering more than one area is known as a - ✔✔Package policy
✔✔If an insurance company cancels a homeowners policy, it must provide the customer
with a - ✔✔Statement of the specific reason(s) for cancelation
✔✔Which is not a means as to how insurance can be purchased - ✔✔Comprehensive
dealers ( Insurance can be purchased through independent agents, exclusive agents,
direct writing companies, and brokers)
✔✔The lenders interest in property insurance relates to making sure - ✔✔The lender
only wants to cover its interest at risk in the property
✔✔Replacement cost loss settlement is best described as - ✔✔Cost to replace the item
without depreciation
✔✔The HO-4 renters policy includes the following coverage's except - ✔✔Other
structures (The HO-4 is designed to protect a tenant or renter for loss of their property
or liability)
, ✔✔On dwelling property forms, there is no coverage for vandalism if the dwelling has
been vacant for more than - ✔✔60 Days
✔✔The broad and special dwelling forms provide coverage for two additional areas not
found on the Basic Form. What are they? - ✔✔Coverage for building collapse and for
lawns, trees, and plants
✔✔What law creates an automatic lien on a commercial property, subject to the listing
agreement? - ✔✔Lis pendens (In some states, an automatic lien attaches to the
commercial property to secure the payment of the broker's commission.)
✔✔David was purchasing a four-family house. He did NOT want liability or theft
coverage. What type of policy did David purchase? - ✔✔Dwelling policy(There is no
such thing as a bond policy. A package policy combines two or more coverage parts
into one policy. A monoline policy covers both real and personal property. Dwelling
policies cover a direct loss of the actual physical structures for one- to four-family
homes and specifically do not cover theft and liability.)
✔✔Which of the following is NOT true of the Federal Housing Administration? -
✔✔Guarantees mortgage loans(The only government program that guarantees
mortgages is the VA. FHA insures loans.)
✔✔Developer George purchased five acres of residential land on the edge of town with
frontage on the main highway. When the zoning board and city council refused to
rezone the property to accommodate a commercial development, George sued for the
value that he would have received had the land been rezoned to a higher classification.
This type of legal challenge is known as - ✔✔inverse condemnation.(Inverse
condemnation occurs when a property owner sues the government, asking the court to
order the government either to pay compensation or loosen land use restrictions. It may
or may not be frivolous to do this. Eminent domain is the power of government to take
private land for public use. Spot zoning is changing the zoning classification of a specific
parcel of land.)
✔✔A mill is equal to - ✔✔1/10 of a cent.
✔✔During a phone call, a salesperson discusses showing a property to a prospect.
Three days later, the agent shows the property; at that time the customer reveals her
financial abilities and motivation. Three days after that, the agent prepares her offer; he
asks the buyer to sign an agency disclosure statement stating he represents the seller.
When should the agent have disclosed this fact? - ✔✔Before showing the house(An
agent's duty is to be fair and honest. The agent should have disclosed that he
represents the seller before the buyer had a chance to disclose information about
financial abilities. The listing agent must now use the information against the buyer in
negotiations.)
ANSWERS SURE A+
✔✔Paul is doing an appraisal for fannie mae. What is the minimum number of comps
he needs to consider when using the sales comparison approach? - ✔✔3
✔✔Which appraisal report is required when processing a VA loan application? -
✔✔Certificate of reasonable value
✔✔The accepted standards of ethics and appraisals practice are known as - ✔✔USPAP
(Uniform Standards Of Professional Appraisal Practice)
✔✔The first step of the appraisal process is to - ✔✔Define the appraisal also known as
stating the problem
✔✔Market price is - ✔✔The amount in dollars actually paid for the property
✔✔A quitclaim deed - ✔✔Is often used to clear clouds on a title (Is often used to clear
clouds on a title, comes with no warranties and is not transferable or court ordered)
✔✔Equitable title is - ✔✔An interest in real property created by the execution of a valid
sales contract
✔✔Which is not a guarantee that comes with a warranty deed? - ✔✔Guardian Authority
✔✔A deed contains a guarantee that the grantor really owns the property. This is an
example of which covenant" - ✔✔Seizen (Seizen is the grantors guarantee that he or
she does own the property)
✔✔A new connector road needs to be built to relieve congestion that is causing many
accidents. The city purchases 20 houses and tears them down to build that road. The
act of taking the houses and tearing them down is called? - ✔✔Condemnation
,(Condemnation or Appropriation is the actual act of taking private property for public
use. The right to take private property is eminent domain.)
✔✔What is not an example of the governments police power? - ✔✔Taxation (Police
power can take the form of land use controls, zoning laws, environmental protection
laws, eminent domain, and escheat. Taxation is a governmental revenue-generating
power.)
✔✔Lyle dies intestate. According to NY law, who would be the first in line to get Lyle's
estate? - ✔✔His wife, his children, then his ex wife.
✔✔Taking occurs when: - ✔✔The government acquires private property for public use
by appropriation without compensation to the land owner. (Taking differs from eminent
domain in that the government acquisition of private property for public use by
appropriation is done without compensation to the land owner)
✔✔Intestate VS Testate- - ✔✔Intestate is when a person dies without leaving a valid will
and without heirs, whereas testate is when a person dies leaving a will
✔✔When a planning board temporarily suspends the rights of property owners to obtain
development approvals while the local legislature considers the impact of new or
changing circumstances not adequately dealt with by current laws. This is known as -
✔✔A moratorium ( A moratorium may be imposed by a planning board to allow time to
study a situation that involves land use regulation or rules)
✔✔A provision in a deed that limits the use of the property is known as - ✔✔Covenant (
A deed restriction also known as a restrictive covenant, is a provision placed in the deed
when the property is conveyed.)
✔✔Which is not a way in which zoning ordinances are typically enforced? - ✔✔Federal
government interventions ( Zoning is a local issue that is typically enforced through
building permits, zoning permits, occupancy, and use permits, or possibly through the
courts.)
✔✔Insurance coverage can be purchased by which of the following? - ✔✔Captive
agents, Direct writing companies, and independent agents
✔✔A temporary insurance contract formed by oral or written agreement between the
customer and the insurance company is called - ✔✔A binder
✔✔Homeowner insurance rates are not based on - ✔✔Premium Payments ( The
location, materials, and amount of insurance all impact homeowners insurance rates.
The rates determine how much the premiums will be.)
,✔✔The dwelling policy is designed to cover a direct loss to physical property as well as
an indirect loss. It can be written for a 1,2, 3 or 4 family structure. There is no theft
coverage and no liability coverage. - ✔✔The dwelling policy is designed to cover a
direct loss to physical property as well as an indirect loss. It can be written for a 1,2, 3 or
4 family structure. There is no theft coverage and no liability coverage.
✔✔Which policy provides the best coverage for the money? - ✔✔HO-3 Special ( Is
considered the "Best Buy" of all insurance policies)
✔✔In order to qualify for the Coastal Market Assistance Program, a homeowner must
have received a - ✔✔Cancellation notice from their existing insurer.
✔✔Identify the peril which is not excluded from all three dwelling policies. - ✔✔Weight
of ice and snow. The DP-2 and DP-3 cover the peril of weight and snow
✔✔Section 2 of a homeowners policy covers - ✔✔Liability
✔✔Which peril is covered under NYPIUA - ✔✔Vandalism
✔✔Depreciation is based on - ✔✔The property's age and its use over time
✔✔Regulation 150 of the NY State insurance department was established for the
purpose of providing - ✔✔Standards for insurance companies that offer insurance
policies with a hurricane deductible
✔✔An insurance policy covering more than one area is known as a - ✔✔Package policy
✔✔If an insurance company cancels a homeowners policy, it must provide the customer
with a - ✔✔Statement of the specific reason(s) for cancelation
✔✔Which is not a means as to how insurance can be purchased - ✔✔Comprehensive
dealers ( Insurance can be purchased through independent agents, exclusive agents,
direct writing companies, and brokers)
✔✔The lenders interest in property insurance relates to making sure - ✔✔The lender
only wants to cover its interest at risk in the property
✔✔Replacement cost loss settlement is best described as - ✔✔Cost to replace the item
without depreciation
✔✔The HO-4 renters policy includes the following coverage's except - ✔✔Other
structures (The HO-4 is designed to protect a tenant or renter for loss of their property
or liability)
, ✔✔On dwelling property forms, there is no coverage for vandalism if the dwelling has
been vacant for more than - ✔✔60 Days
✔✔The broad and special dwelling forms provide coverage for two additional areas not
found on the Basic Form. What are they? - ✔✔Coverage for building collapse and for
lawns, trees, and plants
✔✔What law creates an automatic lien on a commercial property, subject to the listing
agreement? - ✔✔Lis pendens (In some states, an automatic lien attaches to the
commercial property to secure the payment of the broker's commission.)
✔✔David was purchasing a four-family house. He did NOT want liability or theft
coverage. What type of policy did David purchase? - ✔✔Dwelling policy(There is no
such thing as a bond policy. A package policy combines two or more coverage parts
into one policy. A monoline policy covers both real and personal property. Dwelling
policies cover a direct loss of the actual physical structures for one- to four-family
homes and specifically do not cover theft and liability.)
✔✔Which of the following is NOT true of the Federal Housing Administration? -
✔✔Guarantees mortgage loans(The only government program that guarantees
mortgages is the VA. FHA insures loans.)
✔✔Developer George purchased five acres of residential land on the edge of town with
frontage on the main highway. When the zoning board and city council refused to
rezone the property to accommodate a commercial development, George sued for the
value that he would have received had the land been rezoned to a higher classification.
This type of legal challenge is known as - ✔✔inverse condemnation.(Inverse
condemnation occurs when a property owner sues the government, asking the court to
order the government either to pay compensation or loosen land use restrictions. It may
or may not be frivolous to do this. Eminent domain is the power of government to take
private land for public use. Spot zoning is changing the zoning classification of a specific
parcel of land.)
✔✔A mill is equal to - ✔✔1/10 of a cent.
✔✔During a phone call, a salesperson discusses showing a property to a prospect.
Three days later, the agent shows the property; at that time the customer reveals her
financial abilities and motivation. Three days after that, the agent prepares her offer; he
asks the buyer to sign an agency disclosure statement stating he represents the seller.
When should the agent have disclosed this fact? - ✔✔Before showing the house(An
agent's duty is to be fair and honest. The agent should have disclosed that he
represents the seller before the buyer had a chance to disclose information about
financial abilities. The listing agent must now use the information against the buyer in
negotiations.)
