NATIONAL REAL ESTATE EXAM 4
1. Which appraisal method would get the most weight on a single familyhome?: Sales
comparison approach
2. What is the largest privately owned secondary market player?: FNMA
3. A fully amortized loan means that a loan will be payed off when?: In equalmonthly
installments that pay off the entire balance during the loan term
4. Equitable title is?: An interest in real property created by the execution of avalid sales
contract.
5. A licensed real estate broker must?: disclose all material facts to the principal
6. An agent can advertise a property for sale under the agents own nameif?: The official
name of the agent broker is also in the ad.
7. A land contract?: Is a way for a vendor to help a vendee finance the property
8. Under The Truth in Lending Act, the borrower has?: 3 business days tochange their mind
9. The type of mortgage that allows a borrower to borrow an additional sumis called?: An
Open end loan
10. The most common method of estimating property value for fire insurancepurposes is?:
Replacement cost
11. Which deed contains the most covenants?: General Warranty
12. What is a lien on real estate?: A mortgage
13. Rescission of a contract can be described as?: The voiding of a contract
14. What is the legal procedure brought forth by a buyer to enforce terms of acontract?:
Specific performance
15. Who has jurisdiction over estates of the deceased?: Probate court
16. What is Amortization provision?: Governments ability to put time limits onnoncom-
forming uses
17. Dies inestate=: Administrator
18. Wraparound mortgage? Blanket? Interest only? Fully amortized conven- tional?: 2nd
mortgage, more than one property, interest only, interest and principal.
19. What is a protection clause?: Allows a broker to sue for commission if the owner waits for
expiration of the listing to contact a buyer to purchase without abroker.
20. 203b? 203i? 203k? 234c?: most common, rural, rehabilitation loans, condos.
21. Under a deed of trust, the lender is known as the?: Beneficiary
, 22. Market price?: A price a property actually sold for
23. What tax will the seller pay for transferring title to real property?: Con-veyance tax
24. What is equitable right of redemption?: Homeowner getting back their houseby paying all
debts prior to foreclosure
25. The money used to fund fha loans is provided by?: Lending institutions
26. Can a salesperson put broker on their cards?: Yes, must include,"On deposit"
27. Seller? Buyer?: Grantor, grantee
28. What grants zoning authority to municipal government?: Police power
29. Under which system of government can we hold title to land?: Allodial
30. Who uses the term realist?: Members of the National association of real estatebrokers
31. Where must a copy of the trust document be filed by a real estate invest-ment trust?: With
the secretary of state
32. When determining the net operating income of a investment property, anappraiser will not
take into account?: Interest expense
33. What is the body of law that governs negotiable instruments?: Uniformcommercial code
34. Type of legal system that uses feet, degrees, and natural markers?: Metesand Bounds
35. Novation?: Substitute a new contract or a new party to an existing contract
36. What is a trade fixture?: Chattel
37. What is a fixture?: Annexed converted to real property
38. Equitable title?: Couple who has signed a purchase contract and has beenapproved/signed
by the seller.
39. What is replacement of a building?: Fractional equivalent of the original struc-ture
40. Discussing commission rates? Statue of Frauds? Respa? Truth in lend- ing?: Sherman
Antitrust Act, contract must be in writing, disclosure of transactioncosts, loan cost disclosure.
41. What is to inherit?: To receive title through a last will and testament.
42. What is exclusive agency?: Allows seller to procure the buyer and forgo payingthe broker a
commission.
43. A property management account?: Can earn interest
44. What causes termination of a real estate contract?: Completion
45. What is GRM?: Rent per month * the number
46. A person who benefits from an easement is considered?: The dominanttenement
1. Which appraisal method would get the most weight on a single familyhome?: Sales
comparison approach
2. What is the largest privately owned secondary market player?: FNMA
3. A fully amortized loan means that a loan will be payed off when?: In equalmonthly
installments that pay off the entire balance during the loan term
4. Equitable title is?: An interest in real property created by the execution of avalid sales
contract.
5. A licensed real estate broker must?: disclose all material facts to the principal
6. An agent can advertise a property for sale under the agents own nameif?: The official
name of the agent broker is also in the ad.
7. A land contract?: Is a way for a vendor to help a vendee finance the property
8. Under The Truth in Lending Act, the borrower has?: 3 business days tochange their mind
9. The type of mortgage that allows a borrower to borrow an additional sumis called?: An
Open end loan
10. The most common method of estimating property value for fire insurancepurposes is?:
Replacement cost
11. Which deed contains the most covenants?: General Warranty
12. What is a lien on real estate?: A mortgage
13. Rescission of a contract can be described as?: The voiding of a contract
14. What is the legal procedure brought forth by a buyer to enforce terms of acontract?:
Specific performance
15. Who has jurisdiction over estates of the deceased?: Probate court
16. What is Amortization provision?: Governments ability to put time limits onnoncom-
forming uses
17. Dies inestate=: Administrator
18. Wraparound mortgage? Blanket? Interest only? Fully amortized conven- tional?: 2nd
mortgage, more than one property, interest only, interest and principal.
19. What is a protection clause?: Allows a broker to sue for commission if the owner waits for
expiration of the listing to contact a buyer to purchase without abroker.
20. 203b? 203i? 203k? 234c?: most common, rural, rehabilitation loans, condos.
21. Under a deed of trust, the lender is known as the?: Beneficiary
, 22. Market price?: A price a property actually sold for
23. What tax will the seller pay for transferring title to real property?: Con-veyance tax
24. What is equitable right of redemption?: Homeowner getting back their houseby paying all
debts prior to foreclosure
25. The money used to fund fha loans is provided by?: Lending institutions
26. Can a salesperson put broker on their cards?: Yes, must include,"On deposit"
27. Seller? Buyer?: Grantor, grantee
28. What grants zoning authority to municipal government?: Police power
29. Under which system of government can we hold title to land?: Allodial
30. Who uses the term realist?: Members of the National association of real estatebrokers
31. Where must a copy of the trust document be filed by a real estate invest-ment trust?: With
the secretary of state
32. When determining the net operating income of a investment property, anappraiser will not
take into account?: Interest expense
33. What is the body of law that governs negotiable instruments?: Uniformcommercial code
34. Type of legal system that uses feet, degrees, and natural markers?: Metesand Bounds
35. Novation?: Substitute a new contract or a new party to an existing contract
36. What is a trade fixture?: Chattel
37. What is a fixture?: Annexed converted to real property
38. Equitable title?: Couple who has signed a purchase contract and has beenapproved/signed
by the seller.
39. What is replacement of a building?: Fractional equivalent of the original struc-ture
40. Discussing commission rates? Statue of Frauds? Respa? Truth in lend- ing?: Sherman
Antitrust Act, contract must be in writing, disclosure of transactioncosts, loan cost disclosure.
41. What is to inherit?: To receive title through a last will and testament.
42. What is exclusive agency?: Allows seller to procure the buyer and forgo payingthe broker a
commission.
43. A property management account?: Can earn interest
44. What causes termination of a real estate contract?: Completion
45. What is GRM?: Rent per month * the number
46. A person who benefits from an easement is considered?: The dominanttenement
