national test 3

All of the following items are necessary components of a real estate contract except

date
mutual consent
legal purpose
an exchange of value

The appraised value of a property of 128k. If the tax rate is $16.25 per $1000 of assessed value and the assessment rate is 35% then approx. what is the monthly tax on the property

The acqusition of titla to real property by a lessor when a trade fixture is not removed at the termination of a lease is known as

A property worth 90k is adjacent to a property worth 600k. Over the years the value of the former property is considerably increased as the result of proximity to the latter proeprty. This is an example of

A future title holder in life estate is known as

For which one of the following categories of people would the real estate settlement procesures act most likely apply

a person taking over and assuming a seller's existing mortgage to purchase home

an eligible us military veteran who uses a va mortgage to purchase a home

a borrower who enters into seller financing to purchase a home

a buyer who enters into lease with an option to purchase a home

According to regulation Z the disclosure of the finance charges for the residential mortgage would include all of the following EXCEPT

apr
annual rate of interst
attorney fees
points

Which one of the following is an example of personal property

draperies
fence
wall to wall carpet
gas stove

All of the following represent examples of external depreciation EXCEPT

an increase in the neighborhood crime rate

a high traffic volume due to a nearly new four lane highway

a decrease in property values due to the loss of a major industry

A kitchen with original fixtures from 1962

which of the following situations would demonstrate the most effective use of the principle of leverage?

purchasing a property with no earnest money deposit and a 30% down payment

purchasing a property with a 10% earnest money deposit and 15% down payment

purchasing a property with a 15% earnest money deposit and 20% down payment


purchasing a property with 84% financing

If a real property owner lists a property for sale at 225k and then sells it for 180k what percent loss does the owner accept?`

a ten unit rental property is sold and settlement is on june 16th of a business fiscal year that begins on october 1st. If the total monthly rents of 8k are paid in advance on the first day of each month and the seller is considered to be the property owner for the full day of settlement, then approximately how much money would the buyer receive at settlement as an equitable distribution of the rent?

The direct sales or market comparison approach to value primarily utilizes which of the following?


presently listed property prices
property prices recently sold in the past year
recently sold property prices as well as those sold from several years in the past
prices of properties to be sold in the near future

Under the law of agency , which of the following statement is true concerning real estate salespersons?


The salesperson working through his broker may only function as a subagent...

under no circumstances is the salesperson either an agent or a subagent .....

a salesperson is only an agent


A salesperson is a subagent of a principal and an agent of his broker

Whaich of the following is a characteristic of a metes and bounds property description?

plat
township
POB
section

a veteran administration loan is based on

in a high rise building, a condo unit owner typically has ownership of

If two persons own real property together with equal fractional interests as tenants in common and one person dies which of the following circumstances would apply?

1. the suviving owner received 50% of the deceaed person's ownership interest in the real property , and the heirs receive the other 50% of the deceased person's ownership interest in the real property

2.the heirs receive 100% ownership interest in the real property

3. the surviving owner receives 100% of the deceased person's ownership interest in real property

4. the will would apply if there is a will or the intestate laws would apply if there is no will

for 30 yrs hugh marsh simply uses an adjacent property driveway despite the complaints of that property owner.he has, therefore, probably acquired the right to claim

which of the following comprise the legal rights of an owner of real property EXCEPT

the right to rent the property
the right to abandon the property
The right to use the property in any manner
The right of ingress and egress

Which of the following represents the correct order of processing a deed?

1. accept , deliver, sign , acknowledge, record
2. acknowledge, sign, deliver, accept, record
3. sign, acknowledge , deliver, accept, record
4. deliver, accept, acknowledge, sign , record

real property includes

fences
trees
both answers 1 n 2
neither answers 1 nor 2

By which of the following means can a real property owner place certain controls on the rights of a succeeding property owner?

lis pendens
deficiency judgement
subrogation
deed restriction

which one of the following is a police power that affects real property


the ability of law enforcement official to arrest property trespassers

the right of a community to pass enabling acts

environmental protection laws

the right of adverse possession

all of the following laws affect the sale of real property by a real estate broker EXCEPT

blue sky laws
law of agency
real estate license law
law of contracts

Tenancy by the entirety may be terminated by all of the following ways EXCEPT

1. legally separated
2. mutual agreement
3. divorce
4. death of either spouse

The purchaser of a cooperative unit would normally receive

The legal claim filed by a landlord to regain a leased property from a tenant who breaches a lease is known as a suit for

a lease in which a lessor pays few if any of the operating property expenses is referred to as

having your hair cut on the assumption that you will pay the required fee at the end is an example of which of the following types of contract/

If the buyer defaults on an agreement of sale, which one of the following expressions suggests that the buyer has surrendered the earnest money deposit to the seller?

When a buyer assumes the mortgage of a seller and the seller is relieved of personal liability from the mortgage this would most likely be accomplished through

A percentage lease would be used most probably with which one of the following types of real property?

Which one of the following deeds results in the grantee having the least title protection?

special warranty deed
bargain and sale deed
quitclaim deed
general warranty deed

A leasehold estate is

All of the following are necessary for a valid deed EXCEPT

1. acceptance
2. acknowlegment
3. delivery
4. execution

a wraparound mortgage represents which of the following

1. a junior loan that exists along with an original loan
2. A mortgage that permits the mortgagor to borrow an additional sum of money
3. a mortgage that pledges both real and personal property
4. a mortgage that results in the net proceeds from the sale of the real property being divided between the seller and the lender

All of the following are means of estimating the cost of a building using the cost approach to value EXCEPT

1. Quantity survey method
2. Unit in place method
3. Square foot method
4. Perimeter measurement method

What would a seller seek from a mortgagee in order to know the exact unpaid mortgage balance for the date of title closing

When a proprated settlement item such as an annual calender year, unpaid, condo, swimming pool fee is due and payable by each condo owner in full on april 30th of a particular year and title closing for a particular condo unit is on january 20th of the same year, the fee represents:

An ssociate brokers receives an annual salary of 27600 that is paid in monthly installments for managing a real estate office. Additional compensation is paid to this manager in the form of a 1.5% commission of the sale price for all of her listed properties that sell and a 2% commission on the sale price of all her sold properties to buyers. If she earns a toal income of 64650 for the first quarter of the year and both lists and sells five properties during that time, what is the average sale price of her properties?

in the course of fulfiling fiduciary and contract responsibilities a real estate property manager most typically acts as a

When a homeowner sells his property he can completely eliminate the tax on a 110k capital gain by

Robert hueglin has a parcel of land appraised at 285k. his neighbor hank simanek's adjacent land is appraised at 596k. simanek purchases the hueglin parcel at the appraised value and two months later sells the entire combined tract of land for 899k. The principle of value that is most applicable in this situation is

According to the residential lead based paint hazard reduction act that affects residential real estate built before 1978. al of the following statements are true except

1. the law applis to one to four unit residential buildings as well as residential dwellings of more than four units.

2. an agreement of sale must allow a prospective buyer a 10 days contingency to obatain a lead inspection of the property prior to being obligated to purchase

3. for sale by owner transactions are exempt

4. sellers , landlords and real estate agents involved in a residential transaction are all required to disclose any known information about existing lead paint

An ssociate brokers receives an annual salary of 27600 that is paid in monthly installments for managing a real estate office. Additional compensation is paid to this manager in the form of a 1.5% commission of the sale price for all of her listed properties that sell and a 2% commission on the sale price of all her sold properties to buyers. If she earns a toal income of 64650 for the first quarter of the year and both lists and sells five properties during that time, what is the average sale price of her properties?

in the course of fulfiling fiduciary and contract responsibilities a real estate property manager most typically acts as a

When a homeowner sells his property he can completely eliminate the tax on a 110k capital gain by

Robert hueglin has a parcel of land appraised at 285k. his neighbor hank simanek's adjacent land is appraised at 596k. simanek purchases the hueglin parcel at the appraised value and two months later sells the entire combined tract of land for 899k. The principle of value that is most applicable in this situation is

According to the residential lead based paint hazard reduction act that affects residential real estate built before 1978. al of the following statements are true except

1. the law applis to one to four unit residential buildings as well as residential dwellings of more than four units.

2. an agreement of sale must allow a prospective buyer a 10 days contingency to obatain a lead inspection of the property prior to being obligated to purchase

3. for sale by owner transactions are exempt

4. sellers , landlords and real estate agents involved in a residential transaction are all required to disclose any known information about existing lead paint

What are the two most suitable approaches for appraising an owner occupied residential property?

A listing contract may be terminated by

for property management , what creates an agency relationship

the conveyance of title of real property by a corporation would normally require

which of the following statement are true


all encumbrances are liens
all easements are encumbrances
both answers 1 n 2
neither answers 1 nor 2

All of the following are government powers affecting ghe bundle of rights of a real property owner EXCEPT


possession , eminent domaine, taxation, escheat

sally and tm jenkins, who owned a home as tenants by the entirety prior to their legal divore would currently own the home as

The word of conveyance in a deed are found in the

with a GEM loan which of the following loan features increases

What is the difference in monthly loan payments between a 111000 mortgage and one for 89000 if the monthly payment rate on both loans is 1.10 per 200 of the mortgage

All of the following are government powers affecting ghe bundle of rights of a real property owner EXCEPT


possession , eminent domaine, taxation, escheat

sally and tm jenkins, who owned a home as tenants by the entirety prior to their legal divore would currently own the home as

The word of conveyance in a deed are found in the

with a GEM loan which of the following loan features increases

What is the difference in monthly loan payments between a 111000 mortgage and one for 89000 if the monthly payment rate on both loans is 1.10 per 200 of the mortgage

a title defect is sometimes referred to as a

to transfer the title to real property through a deed it must be signed by whom?

in which of the following responses would both of the candidates in each multiple choice response be eligible to botain a department of veteran affairs loan, commonly called a va mortgage?


1. an unmarried surviving spouse of a military veteran who is missin gin action and a person currently on active military duty

2. a member of the air national guard with 5 years of continuous service and a military veteran with four years of continuous service during the vietnam conflict

3. a military veteran with one and one half years of continuous service during the kroean war and a military veteran with 180 days of continuous peactime military service during 1979

4. a military veteranof world war 2 with 4 and 1 half years of continuous service and a military reservist with 2 years continuous service

all of the following are characteristics of a real estate salesperson who is operating as an independent contractor except


the salesperson can be restricted by the broker as to working hrs and appropriate dress

the salesperson can be told the specific methods to use to obtain listing agreements

the salesperson assumes responsibility for paying income taxes

the salesperson assumes responsibility for health insurance

all of the following are requirements for a broker's entitlement to a commission udner the law of agency EXCEPT


1. a broker license
2. a procuring cause of the transaction
3. a broker's contractural agreement for employment with the agent
4. a broker's contractual agreemetn for employment with the principal

The reversionary interest in a conventional life estate in which there is no designated future interest holder belongs to be

An easement may be created by all of the following EXCEPT

1. essential need of an owner
2. Reservation in a deed
3. express grant of the owner
4. Adverse possession

regulation Z applies to

1. john haupt, a mortgagee, who provides a purchase money mortgage to a mortgagor and makes four other similar loans each year.

2. tuckerton mortgage company, an FHA approved lending instituiton providing a mortgage to a purchaser of real property

3. both answer 1 n 2

4. neither answers 1 nor 2

George Althouse purchases a property contingent upon the sale of his presently owned property. As a protection, the contingency clause in the agreement allows the seller to receive oterh offers on her property with althouse having the opportunity to drop the contingency and purchase the property at a price matched by any other offeror. The ability of althouse in this situation could most accurately be described as a

a real estae salesperson operating as an independent contractor has the authority to\\


1. accept a commission from a cooperating broker
2.act as an agent for the seller
3. both answers 1 n 2
4. neither answers 1 nor 2

In a mortgage that is fully amortized


1. the interest portion of each loan payment increases
2. each payment is applied first to the principle due then to the interest
3. bother answer 1 n 2
4. neither answer 1 nor 2

which of the following liens generallly takes the highest priority position

1. mortgage
2. special assesment
3. mechanics.
4. bail bond

which of the following forms of high rise building ownership would a default of the mortgage on a real property affect all the occupants of the building?

1. cooperative building
2. condominium building
3 both
4. neither

A first party who delegates to a second pary the ability to represent the first party in a real property transaction is known as the

1. broker
2. agent
3. principal
4. subagent

Salesperson Davis who works for broker cantrell lists a property for sale. salesperson roberts who works for broker faulkner find a buyer who refuses buyer agency but nevertheless helps her buyer purchase the property listed by davis faulkner is a cooperating broker with cantrell. The subagent of the seller in this situation would be

A promissory note that accompanies a mortgage to finance a residential property is usually

Which of the following estates are estaes of inheritance?

1. fee simple and defeasible fee
2. conventional and legal life
3. both
4. neither

After having entered into a listing agreement, a seller accepts a written offer from a buyer to purchase the real property of the seller. The listing real estate broker would not be eligible for a commission under which of the following situations.

1. seller does not consent to the sale prior to settlement
2. the buyer and seller agree to terminate the sale
3. both
4. neither

the word severalty as it applies to real property means

1. severance and isolation from others in terms of single entity ownership
2. a form of concurrent ownership including several people
3. the changing of real property to personal property
4. a partnership form of real property ownerhsip

The fiduciary relationship is most clearly defined by the

All of the followin could be means of terminating an easement EXCEPT

1. suit to quiet title filed against a party claiming to have an easement for a property

2. consolidation of the dominant and servient tenement

3. prescription of the easement

4.abandonment of the easement

A property has been listed for sale with an exclusive right to sell agreement, A selling salesperson with a buyer agency contract has received a written offer to purchase that same property from a person of a minority group. The seller meets the prospective buyer and later tells the listing salesperson that she refuses to sell the property to that particular buyer. The selling salesperson cannont get the listing salesperson to present the offer to the seller. In this situation the selling salesperson should do which of the following

1. advise the buyer to avoid this property and show the buyer other properties

2. immdeidately file a fair housing complaint

3. present the offer directly to the seller by circumventing the listing office

4. inform the buyer of ther listing salesperson's action and ask for the buyer's approval to directly contact the listing broker so the offer can be presented.

with which of the following types of financing could the mortgagor have the least amount of equity?

1.fha
2. va
3. conventional insured mortgage
3. conventional uninsured mortgage

a seller fails to inform his listing broker on the seller's property disclosure form about bats in the attic of the listed property. On several occasions the listing broker declines to climb the folding sstairway up to the attic. After settlemetn the buyer discovers the bats and faces the expense of hiring a pest exterminating company to rid the property of the bats. In stead of taking this action the buyer hires an attorney to pursue legal action for the failure to inform the buyer of the presence of the bats in this situation:

1. the seller can be held liable for damages
2. the broker can be held liable for damages
3. both
4. neither.