Florida Real Estate Exam Questions 2023 (With 100% Correct Answers)

Florida Real Estate Exam Questions 2023 (With 100% Correct Answers)Florida Real Estate Exam 2023 Questions with correct Answers 1031 tax-deferred exchange - Answer- Section 1031 of the Internal Revenue Code allows the owner of real property to sell that property and then reinvest in a "like-kind" property and defer paying any capital gains taxes; strict IRS rules regulate this type of exchange Ex. Real estate investors can take advantage of the 1031 tax-deferred exchange to defer capital gains taxes when selling a property, provided the money is rolled into another "like" purchase abutting - Answer- Land parcels that share a common border Ex. Many neighbors find that fences make abutting properties more tolerable. acceleration clause - Answer- Allows a lender to demand immediate and full payment of all debt owed if a buyer defaults or fails to meet certain conditions that apply to the loan Ex. When Wendy stopped making home loan payments, her lender told her she must pay off her entire balance or risk foreclosure. accession - Answer- The addition of value to property through labor or the addition of new materials, including an increase in land through natural processes Ex. Jonathan's property borders a bay. The bay receded, and Jonathan gained an extra 10 feet of property to his land through accession; also, Chris built a fence on his neighbor's property with no agreement allowing Chris to remove the fence. The neighbor now owns the fence. accessory use - Answer- An incidental or subordinate use to the primary use of the property Ex. Andy's military bunker in his back yard constituted an accessory use of the property. accounting - Answer- One of the fiduciary duties, accounting means an agent is accountable for any funds or properties entrusted to the agent. This is a duty that survives termination of an agency agreement Ex. Cameron accepted an earnest money deposit from his buyer. His duty of accounting means that he must safeguard the funds and handle them according to the agreement with his client and the policies of his firm.