What expenses of home ownership can a buyer deduct on his income taxes? A practice of trying to induce homeowners to sell by convincing them that a minority group is moving into the area causing property values to drop is. *, "You should proceed without ordering a new abstract - this title is clear.". How many square yards of carpet does he need? A. The grandson's interest is known as a(n): c. must be passed to determine if a lot will sustain a septic system. The CE Shop students have achieved an impressive 90% National pass rate. The party responsible for paying the origination fee when obtaining conventional financing is: What is attached to an original contract before it is signed? How do you proceed? Based on location and the type of business, the landlord believes it will be a great success. Burt is buying a house for $100,000 and is making a 20% down payment. Melissa was then contacted by a neighbor who agreed to purchase the house, but Shane still received compensation. When a buyer signs a mortgage to borrow money to purchase a home, what has been created? He is selling the house for $179,000. Who is responsible? A buyer offers additional consideration to add a 10-day option period to the sales contract. Who must be notified to take money out of the trust account in a real estate transaction? In order to be valid, what MUST a deed have? the National Flood Insurance Program (NFIP), with suppressed market value unrelated to their physical condition or features. A licensed broker is advertising that he will perform a free appraisal if you contact him for a listing appointment. Which of the following deaths on the property should never be disclosed? tell the seller and encourage the seller to complete the negotiated sale. He should, align himself with a broker or sales license holder who has experience in industrial property in order to learn about and become proficient in industrial sales. The annual net operating income (NOI) of the property is $310,000. What principle of value explains this? Which ownership rights can be sold separately from a property's surface rights? B sells his share to D. What type of ownership do A and D have? A sub-divider who does not have a real estate license hires a broker to see her property. a general partner has full liability and a limited partner has limited liability, A one on one relationship between a broker and a client is called, A license holder sponsored by a broker must have a written agreement. Miscellaneous Expense She is also writing a blog. If the owner is earning a 10% rate of return, what is the value of the building? How much tax will this homeowner pay on the capital gains? T18. A buyer makes an offer for $389,000. If an appraiser uses the cost approach to determine the value of a two story building 128 x 97 at $120/sq. A seller is attending the closing on his property. This represents a 20% profit. Complete 90 Hours of Approved Education Pass a Background Check Submit Your Application to the Oklahoma Real Estate Commission (OREC) 5 x-y=-2 His agent should: Warn the buyer that the verbal sales contract is unenforceable. This is MOST likely a? Observa el significado de las palabras, los verbos y las expresiones de tiempo para guiarte. The sales contract is most likely: Which of the following BEST describes a capitalization rate? What is unique about an exclusive right-to-sell listing agreement? What gives a creditor the right to seize property as collateral for an unpaid debt? What is the difference between an implied contract and an express contract? CS. The title company has compensated the buyer for the loss. That section can be used to study the topics featured on those 80 questions. We're pulling for you! When Shondra originally bought her house, she made a 30% down payment on the $600,000 purchase. Mary has a loan whose payments and interest rate will stay the same throughout the life of the loan (not including the cost changes caused by insurance and tax rates). Dont forget to read the explanations so you fully understand the question. Practice of Real Estate Remedies under the new amendment include: 1) a civil penalty, not exceeding $16,000 for the first offense 2) a penalty not exceeding $37,500, if another offense was committed within the past 5 years 3) a penalty not exceeding $65,000 if two or more discriminatory practices have been found in the past 7 years Capitalization definition. A broker has a trust account set up to hold client funds. C7. He notifies the landlord and recommends a contractor. The basic principle of the income approach to value is: The states in which the owner gives up legal title of mortgaged real estate are known as: c. used in the capitalization/income approach to value. *, meaningful disclosure of credit terms of the loan to the borrower. Parties must perform their contractual duties by a specific date and time in order to avoid a breach of contract. What method of land description is he using? Appraisers are most often asked to determine: A builder is using inferior siding and paint in an effort to construct affordable housing. You have built a 10 foot pier at the water's edge. What is the net operating income of the property? Purchase Louisiana real estate Exam Prep today and get ready to pass your test with more confidence and less stress. A seller wants to net $185,000 on the sale of his property. take the information to the listing broker. A real estate broker hired by an owner to sell a parcel of real property must comply with? Which situation does NOT violate the federal Fair Housing Act: d. A widow's insistence on renting her spare bedroom only to another widowed women, d. Section 16 lies to the north of Section 21. An apartment building owner has renovated and modified several units to be handicapped accessible. Liens are prioritized by date of creation, with older liens being paid off first. What type of contract should he enter into with the seller? What is this an example of? What should you do? Bought supplies on account from Supply Mart, $170.00. What kind of agreement has this real estate professional signed? What are Mark's rights with respect to a commission from the sellers? To purchase the house, she got a loan for $300,000 with 4 discount points. In Stock. plumbing work that was completed but never paid for. These exam questions are derived from topics such as property ownership, transfer of property, financing, disclosure, and contractscovered in your prelicensing coursework. (A front foot refers to frontage and is the width of the lot.) What does it mean when a contract says that time is of the essence? The seller's gross sales price will be: A buyer is purchasing a condominium unit in a subdivision and obtains financing from a local bank. What is true? By far, the most substantial chunk of the real estate license exam is the vocabulary. You have recently purchased property in an area regulated by zoning. A property is listed for $399,500. What does this mean? In senior housing communities, at least one person over the age of 55 must be living in what percent of the units? S1. $$ **1. An appraiser is using the Market Data Approach to determine the value of a residential property. The commission agreed upon was 7% and Tareq gave half to the buyer's representative. Your client will be able to qualify for a property they wish to purchase in about 6 months, after they had an opportunity to reduce their consumer debt. What was the total cash used for the purchase? This describes A landowner wants to sell his property. b. He sells 80% of it for $5,000 an acre. What must the property owner do? An agent should present all offers to their client UNLESS:*, the client explicitly instructs the agent not to present any offers below a certain amount in writing. She is very excited about the possibilties and hes established Facebook, Twitter, Linkedln and Pinterest acocunts. What is considered evidence against a broker accused of discrimination? He has met all the terms and conditions of the listing. Which of the following statements is true? Mary and John are married with grown children. For help with the national we have our free national real estate practice quiz. A property owner has decided to do some landscaping work on his yard. In the sales comparison approach to property valuation, what does the principle of substitution state? What act is prohibited by the Sherman Antitrust Act? He already submitted a check for $2,000 as earnest money, which will be applied to the purchase. The seller receives a note for this amount at closing and will collect this amount over the agreed-upon term of the loan). An individual who owns a living unit plus a share in a common recreation area and parking area in fee most likely owns a: Three women owned a house as joint tenants. Which of the following actions by the agent would NOT be in violation of fair housing laws. 3. He lists his property for sale "as is", and does not disclose the problem. A buyer has purchased a property and after closing the seller will continue to occupy the property. Which of the following is the best definition of market value? **Required** This fence is most likely a violation of A single property is regulated by building codes, zoning and deed restrictions. What department of the government oversees the FHA insurance program? **Instructions:** The tenants pay rent plus utilities. Which of the following statements is true? All but which of the following forms of ownership are recognized in Maryland? point it out to the buyer as it is a material fact. During the year, they become concerned about crime in the area and ask for permission to install an alarm system in the apartment. Who must fill out the Seller's Disclosure Notice? advise the client they cannot legally discriminate against certain groups, the substitution of one contract for another. Paid cash for rent, $400.00. Which of the following is NOT a characteristic of a fee simple estate? Click the card to flip Definition 1 / 219 improvements Click the card to flip Flashcards Learn Test $29.99. For help with the national portion we have our national real estate practice exam. Paid cash for postage (Miscellaneous Expense), $32.00. 4. When did the second amendment of the Federal Fair Housing Act go into effect? C9. Maria is considering the difference between an 80% LTV and a 75% LTV. Which of the following statements is true? increases the amount the seller receives at closing. Received cash from sales, $350.00. Emmy just bought a house. Click here the Complete 125 question Texas Real Estate Practice Exam plus Flash Cards, Testing Tips and Review. Which of the following statements about an easement is true? How Many Questions Can You Miss on the Pennsylvania Real Estate Exam? The exit ramp will greatly increase the value of the seller's property. a consumer of real estate services who has entered into an agency relationship with a broker or another licensee employed by a broker. | **Month** | **Units Sold** | **Total Cost** | | **Month** | **Unit Sold** | **Total Cost** | A property has lead paint in the interior and on the exterior. Ready to Take Your Real Estate Exam? In an express contract, the parties explicitly state the terms and conditions of the agreement, whereas in an implied contract, they do not. 21. A developer decides to build a commercial property in the middle of a residential subdivision. The present value of a property is affected by the anticipated income or utility that property will give its property owner. Hit us up with an email to info@uniontestprep.com or check us out on Twitter, Facebook, YouTube, Instagram, or Pinterest. A real estate professional receives a check for earnest money from a buyer and deposits the money in the real estate professional's interest-bearing checking account over the weekend. joint tenancy with rights of survivorship, both parties mutually agree to end an agency relationship. When the offeree gives the offeror notice of the acceptance. Monthly taxes and insurance will be $900. The new owner wants John to move out. Which principle of appraisal can explain this? An investor/developer has borrowed money to build a retail shopping center. What can the other property owners do to get him to comply? Last week, Mary died. renting a room in a house occupied by the owner. Mark purchased a home for $150,000 He had an 80% LTV. Practice challenging questions you won't find anywhere else. Sabrina accepted Rebecca's offer to purchase her house, and the closing date is in a few weeks. If a borrower is behind on payments, the acceleration clause gives the lender the ability to: call the entire loan balance due immediately. If the tax rate for Pedro's county is 2.375%, what will he pay in ad valorem taxes this year? A property is surveyed to determine a legal description. A signed employment agreement is necessary to A listing agent would probably not disclose, death on the property due to natural causes. Operating expenses were $60,000. 18. If your practice exam isn't timed, set a timer. Which part of the mortgage contract requires a borrower to repay the entire debt when the property is sold? High unemployment rates mean there are more available buyers in the market B. A building was sold for $260,000, with the purchaser putting 10% down and obtaining a loan for the balance. The current value of a property is $140,000. *, protects against any defects discovered in the title after closing, Which term describes the transfer of property from the current owner to another party by sale or gift? If a borrower computed the interest charged for the previous month on a $260,000 loan balance as $1,300, what is the borrower's interest rate to the nearest half percent? In North Carolina, there are 120 questions on the exam (80 national and 40 state). ------------- If the capitalization rate for this class of property in this area is currently 9%, what is the total value of this property? Which approach to value would MOST likely be useful to real estate brokers estimating the value of a single-family residence for sale in a subdivision? If the tax rate is $4 per $100 of assessed valuation, what is the amount of tax due on the property? The option expires at the end of the month and Mark would like to extend the option. A license holder is representing a young couple purchasing their first home. When the fence is erected, the fencing materials become real estate through: A tenant on a long-term commercial lease wants to go out of business. | 1 | 320,000 | $160,000 | | 7 | 340,000 |$220,000 | Based on this, before any prorations, how much cash will Burt have to bring to the closing? Giorgio can't enforce their verbal contract because it did not meet which of these requirements for validity? Test Timeframe You'll have 200 minutes for both portions of the test. Condemnation is the act of seizing private property from citizens. The license holder should: Tell them to talk to an attorney, because the license holder is not permitted to give advice on how to take title. To determine the value of a highly specialized building, like a museum, an appraiser would most likely use and heavily weight which of the following appraisal methods? Our real estate practice exam pulls from a large pool of questions, so you can expect a different study experience each time you take it. *, In the sales comparison approach to property valuation, what does the principle of substitution state?*. How much will he pay for the lot? Sales A married couple bought a home ten years ago for $400,000. At what cap rate did he purchase this property? \text { Accounts payable } & 2,375 & 2,000 A new $350,000 home is being built in a neighborhood of mostly $200,000 homes. A buyer is aware that the interest rates should go down over the nest few months. What is required? The buyer loves the property and wants to purchase it. ft, with $10,000 in depreciation and a $27,500 lot, what is the value of the property? What happens to trade fixtures after a business moves out of a leased property? Try our FREE real estate practice exam after you . She has decided to market a new listing on these sites. the buyer's agent is guilty of negligence and the listing agent must disclose the information to the seller. We have reviewed the material and found it to be slightly better than average content that will help you study for your real estate exam. This demonstrates which principle of appraisal. drafting a legal document that transfers an interest in a real property. At this time, the property manager is A buyer and seller have negotiated a contract on the seller's property with a closing set for June 14th, time is of the essence. Deficiency B. Delinquency C. Default D. Deferment 3. Which of the following statements may represent the unauthorized practice of law? He is paying a 1-point origination fee to a mortgage lender, $500 for a new survey, and $800 for an environmental report. a. the real estate professional's policy is steering and violates federal and state fair housing laws regardless of motivation. Tenancy at will. Under these circumstances, which of the duties of the agent would be the easiest for him to fulfill? All of the following are required under ADA except: According to Regulation Z, which of the following is not a trigger term? Who would use the remedy of Forcible Entry and Detainer? Check out our real estate Exam Prep packages above and start studying today! In most cases, broker compensation, as a percentage of home price, falls somewhere between: A Christian organization owns a fourplex. Which of these scenarios does NOT violate fair housing law? When the lease is up, what happens to the alarm system? Find the slope of the graph of the following equation. How would the deed identify how they hold their interests if they specify they want them passed to the survivor in case of death? Tareq represented the seller in the sale of a house for $427,000. A. Handicap B. C10. What will she pay monthly in interest? Our real estate practice exam pulls from a large pool of questions, so you can expect a different study experience each time you take it. Received cash from sales,$250.00. They have found a property that they would like to purchase now. This type of rent is referred to as. Which of the following instruments is the promise to repay a debt? 2. In the second year the owner dies and his heirs inherit the property. His loan principal is $315,000. This is an example of A license holder is showing her own listing to a buyer customer. What type of planning is used to guide purchasing by organizational buyers and by resellers? Tyson then relays this information to a buyer, citing Benjamin as his source. What should you do? The real estate license exam is divided into two parts: the national and your specific state portions. What kind of property is it? The key concepts and words you have to study are essential for obtaining your real estate license, so you must learn and become familiarized with them. Using a 360-day year, how much will the seller owe for the taxes at closing (to the nearest dollar) and how will this be shown on the CD? Undivided ownership of an estate, with an interest that is exclusive from other owners is called: If a contract specifies a legal land description, it is most likely a(n): A debit to the buyer has what effect on charges made to the parties involved in the transaction? The tenant dies. The tenant's lease has expired, but the landlord permits the tenant to stay in the apartment until the building is torn down. Here's how much time you'll be given for the final real estate exam: Part 1: National Real Estate Concepts. John is purchasing a lot 125 feet wide and 127 feet deep for $5.65 a square foot plus $15 a front foot. This is called. The couple does not use the exercise room and does not want to pay the monthly fee for the use of the facility. D & M Company uses the following accounts. Which type of agreement transforms the customer into a client and the broker into a listing agent? How is earnest money recorded on the closing disclosure, What type of mortgage loan would allow the property owner to borrow additional funds at future dates. What is the effect of replacing bad with hot, or dry in sentence two. An alienation clause would require a borrower to: pay the mortgage debt in its entirety upon the property being sold. According to the Statute of Frauds, which of the following leases must be in writing? One of the property owners in a subdivision is violating the deed restrictions. Which of the following would be considered an operating expense by a property manager preparing an operating budget for the owner? Find the equivalent earnings if this amount is paid (a) weekly, (b) biweekly, (c) semimonthly, and (d) monthly. John has a three year lease on office space. Today we go through 50 questions from our real estate practice exam. Who is responsible for providing a lead paint disclosure? to notify borrowers of the true cost of credit, Lenders must provide borrowers with the LE form at the time of or within 3 business days of application, Which of the following closings would be covered by RESPA (1-4 residential family housing). What happens in the secondary mortgage market? failure to display the equal housing poster in their office, The Language of Composition: Reading, Writing, Rhetoric, Lawrence Scanlon, Renee H. Shea, Robin Dissin Aufses, Literature and Composition: Reading, Writing,Thinking, Carol Jago, Lawrence Scanlon, Renee H. Shea, Robin Dissin Aufses, Spell each of the following words, adding the suffix that is given. If the tenant were to die during the lease period, which type of leasehold would pass to the tenant's estate? However, there is a huge crack running down the middle of the living room wall. What should the buyer's agent do? He had closing costs of $10,000. A couple is purchasing a home and ask their agent how they should take title so that if one spouse dies, immediately the surviving spouse will be the sole owner of the property. A listing agent is showing his listing to a buyer customer and notices a problem with the exterior of the property that he missed when he listed the property. Hans bought an investment property for $5,250,000. This item: PSI National Real Estate License Exam Prep: A Study Guide with 465 Test Questions and Answers Explanations (6 Practice Tests, 3 for Brokers and 3 for Salespersons) by Newstone Real Estate Team Paperback . C6. Which of the following is the most likely reason for the lien? The commission to the listing broker will be 6%. P wants to sell the property, but Q and R do not. Which of these is an economic characteristic that makes land a distinctive commodity?*. This is what type of loan? The tenant also has the right to match or better any offer before the property will be sold to anyone else. b. rate of return an income property will produce. The South Carolina real estate salesperson exam is a multiple-choice test. How much will she save on points if she chooses the 75% LTV? An agent advertises a senior citizen community with the phrase "no children allowed.". What type of listing agreement did Melissa and Shane sign? The real estate exam is mainly multiple-choice and is a mix of problem-solving, math, and vocabulary. What can P do? 14. What type of lease should their agent recommend? The rectangular survey system depends on what? Which of these will most lenders require homeowners to obtain before closing? Dennis Marier, Capital A physical or mental impairment that substantially limits one or more of the major life activities of an individual. We'd love to hear how you do and what the process was like for you. When the terms of a contract have not yet been fully performed by both parties, the contract is best described as: The Civil Rights Act of 1866 protected the right to fair housing regardless of: Which of these is the best example of stigmatized property? He has the right to use the water from the stream. A seller comes into the office to sign a contract. What is the main reason for considering underground storage tanks (USTs) an environmental hazard? Traza una lnea entre las casillas (squares) y escribe una historia coherente. Michelle Renda is assistant manager at Barnes and Noble and is paid $42,900 annually. Paid cash for telephone bill,$190.00. T13. Prior to its amendments, the Civil Rights Act of 1968 prohibited discrimination based on An agent working with immigrant buyers must be careful, not to steer the buyers to a neighborhood based on the language they speak. The estate held by the nursing home is a: A country music singer who owns a cattle ranch enters into a sale and leaseback agreement with a local dentist. What type of loan should he get to enable him to buy now and take advantage of declining rates in the future? Her landlord pays for the property's maintenance, security, taxes, utilities, and all other operating expenses. they must pay the fee as they have a tenancy in common interest in all common areas. Under the federal Fair Housing Act, is this legal? The broker is BEST described as a(n): In most suburbs, which method of description would be used today? Which survey system is most commonly used in urban areas? $$. Which of the following is personal property? ALL REAL ESTATE credit transactions except for commercial loans. How many parties are required to perform in a bilateral contract? A buyer has signed an agreement to purchase a property from a seller. Which federal law requires that finance charges be stated as an annual percentage rate? Which of these is TRUE? the landlord must provide an assigned reserved space for the tenant near to the tenant's unit. (The loan factors is $6.00). Which of the following is unlikely to have a negative impact on seller's credit score? 201 Kandy Dr. is now the smallest, shabbiest home on the block, but it recently appraised for more than a similar home in a less-upgraded neighborhood. mi madre. He has hired an agent to lease the houses. The zoning committee changes the zoning to R-1. An office building has a potential gross rent of $20,000.per month. A seller must keep a copy of the lead paint disclosure he provided to the buyer for, It has been found that mold can develop due to, air tight windows and doors found in newer construction, protect a company's assets if someone is injured on company property, A condo owner's policy will most likely cover the owner if, A condo complex has liability complex has liability insurance. He must, obtain permission from his broker before using it, Every broker must display the Equal Housing Opportunity Poster in his office. Go to flashcards. A real estate broker specializes in helping both buyers and sellers with the necessary paperwork involved in transferring property. Which of the following statements is true about the duties of an agent according to the common law of agency? Who provides flood insurance to homeowners? It has a vacancy rate of 15%. Both are intestate. What is another name for Contract for Deed. How long must the seller's private information be kept confidential? What kind of loan does Mary have? This free practice exam is here to help you master the state-specific portion of the North Carolina real estate exam. Ships from and sold by Amazon.com. What type of loan should they consider? Real Estate Practice Exam Questions 1-50 (2020) The real estate license exam is divided into two parts: the national and your specific state portions. Although the home has many updates and is in better condition than the surrounding houses, its value is significantly less than the price. Which of the following properties would be the least desirable neighborhood? Erin pays a flat fee every month to rent her apartment. They have the right to take your land for the public good. What must the salesperson do, obtain the signatures of all owners on the listing agreement. Which statement is TRUE regarding the real estate professional's policy? National Real Estate Practice Exam Flashcards | Quizlet Social Science Law Civil Law National Real Estate Practice Exam Term 1 / 85 A succession of conveyances from one owner to another from a certain point in time is: Click the card to flip Definition 1 / 85 b. a chain of title Click the card to flip Flashcards Learn Test Match Created by Novation Substituting a new obligation for an old one.

The Leader Of Franchised Hotels Globally Is, Articles N