Arkansas Real Estate Exam Self-Study Questions and Answers

Equatible A buyer makes an offer on a seller's house, and the seller accepts. Both parties sign the sales contract. At this point, the buyer has what type of title to the property? Who is ultimately responsible for a salesperson's mistakes in writing a sales contract? The salesperson's principal broker The owners of the smaller model of houses in the neighborhood may find that the values of their homes are affected by what principle? Progression An appraiser is responsible for estimating value A purchaser makes a 10% down payment on a house and acquires an 80% first mortgage from a lender. The seller takes back a purchase money mortgage from the buyer for the remaining 10%. In this arrangement, the seller has financed a portion of the purchase price and placed a junior lien on the property. Which of the following is NOT an example of governmental power? Declaration A buyer and a seller sign a contract for the sale of real property. A few days later, they decide to change several terms of the contract while retaining the basic intent to buy and sell. The process by which the new contract replaces the old one is called novation What document should a buyer's agent confirm has been issued when representing a purchaser of a home in a new subdivision? Certificate of occupancy A principal broker authorizes one agent in her firm to represent the seller and another to represent the buyer in the same real estate transaction. Each agent is a designated agent. An appraiser asked to estimate the value of an existing strip shopping center would probably give the MOST weight to which approach to value? income approach Radon an odorless, colorless radioactive gas. A contract is said to be bilateral if all parties to the contract exchange binding promises