Final Exam-Colibri Real Estate Questions and Answers(A+ Solution guide)

What must happen with all funds in a sale - ️️All money that belongs to clients or customers must be deposited in the brokerage trust fund as soon as possible ASAP after receipt . A property's value is $ 125,000 and its land value is $ 10,000 . Assuming a depreciation term of 35 years , what is the amount of annual depreciation ? - ️️depreciation ? Total value $ 125,000- $ 10,000 land = $115,000 improvements / 35 years = $ 3,286 annual depreciation 21. MATH PROBLEM : GROSS RENT MULTIPLIER An income property generates $ 9,200 per month and is valued at $ 985,000 . What is its monthly gross rent multiplier ? EARLNOTES : Divide the value by the Rental income . 985,000 / $ 9,200 =107 GRM What is the procedure for license expiration - ️️When a license has been lapsed for more than two years but less than five years the former licensee may request reinstatement and retake a 75 - hour pre - license course . After ten years the former licensee must follow the procedure for new applicants . All six members of the Georgia Real Estate Commission are appointed by - ️️The Governor of Georgia How many commission members must be licensed - ️️Five of the six members of the Georgia Real Estate can have licenses One must be an unlicensed member of the " general public 3. EARLNOTES Which descrihes dual agency - ️️When a broker appoints one of his agents to serve the seller and one to serve the buyer , they are called designated agents and the broker will serve as a dual agent . What happens when someone recieves mistreatment from a real estate licensee - ️️When a consumer or client ( not another licensee or a relative of the accused licensee ) is financially damaged by the actions of a licensee , he or she can file , through the court a claim against the Georgia Real Estate Education , Research and Recovery Fund for reimbursement up to $ 25,000 per transaction . For a brokerage or any licensee under a managing broker to be considered a Dual Agent , he / she must - ️️obtain written permission from both the seller and the buyer before acting on behalf of either party . BIRTH MONTHS When are renewal deadlines for licensees - ️️All renewal deadlines for licenses are set for the last day of the licensee's birth month every four full years . ( The licensee'sfirst renewal period may be longer , depending on when the license was obtained . It starts the last day of the birth month that arrives after the license is obtained ) . If a buyer client wishes to withdraw from a contract and get h his earnest money returned the salesperson must - ️️REFER the issue to the EMPLOYING or managing BROKER for a decision When every original license fee is received , of the funds received _____from each license fee is allocated to fund the RE Education , Research and Recovery Fund - ️️20$ The clause in an agency agreement used to safeguard the broker from unscrupulous buyers or sellers , who would take the broker's generated leads , but then buy or sell the property once the listing agreement has expired in order to avoid paying the commission to the licensee is known as - ️️The Safety or Carryover Extender Clause . Under GA Law , a listing broker - ️️does not have to share his sales commission with the selling broker who has procured the ultimate buyer, this is legal and not against GA real estate law. Every brokerage must maintain - ️️an accounting system to detail all receipts and deposits received from others that are under the control of the brokerage. When two people want to simply exchange one property for for another , the person who handles the details for a fee must have - ️️either a real estate license or a law license Members of the Georgia Real Estate Commission serve - ️️5 year terms Whenever a property owner engages a licensee to list list property for sale where the commission is not a pre set percentage or simple dollar value but will be all funds than remain after the owner receives a certain amount the arrangement is called a - ️️NET LISTING and is illegal . In order to change from one brokerage to another the licensee needs to - ️️get the current managing broker to to sign a release form and send it to the commission A Managing broker must have all licensed and unlicensed staff , whether employees or independent contractors - ️️sign a written employment agreement setting forth the relationship , the duties , and the compensationIn order to be in compliance with license law any listing contract , buyer agency agreement , or property management agreement must have - ️️a definite termination date and no provision for an automatic renewal