Real Estate Colibri Practice Exam 2024

Which item below can help protect against a home with a listed incorrect street address or legal description in public records? - Standard coverage title insurance policy and extended coverage title insurance policy Robert owns his property and enjoys the full bundle of rights. Can he use his property as collateral for debt? - Yes. Robert can encumber his property Which location is an industrial coal plant least likely to be located? - Adjacent to an elementary school What is the least likely answer needed in a "legal consent" scenario? - Contract What is the name used to describe the fact that a client must have consent, free will, and act without duress when entering a contract or business relationship? - Legal Consent Mortgage lenders are required to disclose financing costs and annual percentage rate to the borrower under which law or regulation? - Truth in Lending Earl orally agreed to an 18-month lease with landlord Blake. Is this contract enforceable? - No, all leases for longer than one year must be in writing to be enforceable Jessica can only afford a 7% down payment on her new cottage. What will she be required to purchase at closing? - Private Mortgage Insurance What happens if the Grievance Committee finds that there is a potential ethics violation and that the complaint has been appropriately filed? - The complaint is forwarded to a hearing panel of the Professional Standards Committee Listing agents must present ________. - All formal and informal offers Which of the following principles are included in the Preamble to the Code of Ethics? - Honesty and Integrity, Fairness, and Moral conduct in business relations What type of agency cannot be revoked by the principal, nor is terminated if the principal dies? - Agency coupled with an interest Who can train office staff at a brokerage firm in weekly meetings? - Principal Broker, associate brokers, and outside social media marketers What is the minimum earnest money deposit that a Buyer can offer to purchase a listed home? - Zero dollars Which action does an escrow officer typically work on in a home sale transaction? - Collects earnest money deposits, orders title insurance, and gathers third party inspection reports What was the original name of the National Association of REALTORS® when it was first founded? - The National Association of Real Estate Exchanges What is "one click away" as it relates to the real estate profession? - When a viewer online can find the agent's contact information with just one click of the mouse, smartphone, or keyboard A broker who spends their client's $10,000 earnest money deposit on their office's monthly expenses such as rent, utilities, and has engaged in the act of what? - Conversion and Criminal Fraud Broker Joy just signed a listing agreement with a seller. When should Joy schedule an office tour? - Within a week after the listing is taken Under the Rectangular survey system, which direction do the principal meridian lines run on a map? - North-South According to Article 3, what does cooperating with other brokers involve? - Sharing information about listings and making listings available for showing. Which of the following would be a type of authorized discipline that may be issued by NAR in the case of an ethics violation? - Letter of Warning or Letter of Reprimand When an agent deposits their buyer's escrow funds into their personal account, then what is the action referred to under Agency Law? - Commingling The Statute of Frauds usually requires or applies to _______. - Written contracts, mutually voluntary legal agreements, and contracts without duress What does title insurance best protect against? - past histories Who must a principal broker supervise in a real estate office? - All licensees affiliated to the principal broker and all other unlicensed employees at that office. A residential REALTOR® with no commercial real experience has a new client who wants her to list his commercial real estate. What must the REALTOR® do before taking the listing? - Inform the client of her lack of expertise in commercial real estate. What must a licensee first obtain before engaging in property management? - A current written property management agreement.