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Test your basic knowledge |
Brokers License
Start Test
Study First
Subject
:
certifications
Instructions:
Answer 50 questions in 15 minutes.
If you are not ready to take this test, you can
study here
.
Match each statement with the correct term.
Don't refresh. All questions and answers are randomly picked and ordered every time you load a test.
This is a study tool. The 3 wrong answers for each question are randomly chosen from answers to other questions. So, you might find at times the answers obvious, but you will see it re-enforces your understanding as you take the test each time.
1. Property Manager ( which type of Agency)
General Agency
$4000.
In a straight assumption - the new buyer is approved - and takes over payments and liability
1. Mortgage 2. Deed 3. Deed of Trust 4. Note 4
2. Includes real property plus personal property
Balloon loan
Alienation clause
It is a right in land and should be created in writing and recorded.
Package Loan
3. There are four basic characteristics of value
Alienation clause
T: (DUST) Demand - there must be a demand for the item and purchasing power to acquire it - Utility - the item must be needed or wanted - Scarcity - there must be a limited supply - Transferability - the item must be able to be sold - ownership right
3
Radon
4. Foreign Investment and Real Property Tax Act -The title company will withhold __ of the sellers' sale price over $300 -000
(CRIP) - Compensation - Reimbursement - Indemnification - Performance
MIP - mortgage insurance premium
10%
Mitigation
5. What is easment?
Package Loan
Blanket
It is a right in land and should be created in writing and recorded.
a grante
6. An attorney-in-fact is the holder of...
Deed Restrictions
a power of attorney
Those on a fixed income
stigmatized
7. Loans qualified to be purchased in the secondary market are called
grow - stabilize - decline - revitalize
Vendee's Lien
1. Mortgage 2. Deed 3. Deed of Trust 4. Note 4
conforming loans
8. Foreclosure under a "power of sale" clause ends when the Trustee delivers a:___
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9. Common law does not always takes precedence over...
Statutory law
alimony - child support or a pension plan.
Trustee's Deed
T: (DUST) Demand - there must be a demand for the item and purchasing power to acquire it - Utility - the item must be needed or wanted - Scarcity - there must be a limited supply - Transferability - the item must be able to be sold - ownership right
10. __This clause would be found in a second mortgage - a home improvement loan - or a home equity loan.
Subordination clause
Trustee's Deed
Those on a fixed income
lower interest rate
11. __ is a specific type of joint tenancy where the co-owners are husband and wife.
Alienation clause
EMFs
Defeasance
Tenancy by the Entirety
12. Real estate investors can defer taxation of capital gains by making ___
Alienation clause
Redlining
a property exchange.
(OLD CAR) - Obedience - Loyalty - Disclosure - Confidentiality - Accounting - Reasonable care
13. An agent's duties to his principal are...
The trustee
Deed Restrictions
(OLD CAR) - Obedience - Loyalty - Disclosure - Confidentiality - Accounting - Reasonable care
3
14. ___market is where lenders go for money
estoppel
Redlining
The secondary
$4000.
15. 'Due on sale' clause states that the balance of the secured debt becomes due if the property is sold by the mortgagor without the mortgagee's approval. It is called?
Alienation clause
a grante
devise
Balloon loan
16. When the principal learns of those actions - if the principal accepts those actions - that creates agency___
by ratification.
trustor
The trustee
grow - stabilize - decline - revitalize
17. Partially amortized loan - benefit
devise
lower interest rate
Tenancy by the Entirety
3
18. IRS Lein - Specific lein or general lein
General Agency
General
EMFs
(CRIP) - Compensation - Reimbursement - Indemnification - Performance
19. This is a partially amortized loan with a final payment substantially larger than the others. The benefit of this type of loan is a lower interest rate.
Subordination clause
by ratification.
Balloon loan
estoppel
20. Power given to a municipality to regulate and control the character and use of property for the health - safety and general welfare of the public.
a property exchange.
lower interest rate
tenancy in common
Zoning
21. Covers more than one piece of property. (several lots on one note)
1. Mortgage 2. Deed 3. Deed of Trust 4. Note 4
Radon
25%
Blanket Loan
22. The Veterans Administration GUARANTEES repayment of the loan. The guarantee is for at least the top ___ of the loan.
25%
Errors & Omissions insurance
Zoning
$4000.
23. ___ is a loss of value due to outside factors. This is also called external obsolescence. It is incurable. (zoning - air pollution - noise - traffic - jobs - etc.)
Trustee's Deed
conomic obsolescence
Subordination clause
The secondary
24. Must sign the Deed of Trust.
General Agency
$4000.
trustor
1. Mortgage 2. Deed 3. Deed of Trust 4. Note 4
25. ___ is the term used to describe methods used to lower levels of radon in homes and other buildings
Qualifying ratios are slightly more lenient and LTV's (Loan to value ratios) are very high - allowing buyers with little money for a down payment to purchase a property.
Mitigation
estate for years
The trustee
26. Tenancy by the Entirety is a specific type of joint tenancy where the co-owners are ___
Balloon loan
Blanket
Deed Restrictions
husband and wife
27. ___ acts in a fiduciary relationship with the beneficiary in Deed of trust (mortgage)
Reverse annuity
Special or limited agency
a power of attorney
The trustee
28. The insurance on the FHA loan is referred to as___
MIP - mortgage insurance premium
An encumbrance
Reverse annuity
lower interest rate
29. ___ gives the agent the power to perform only specific acts and no others.
1. Release the lien when the note is paid. 2. Foreclose in the event of default
T: (DUST) Demand - there must be a demand for the item and purchasing power to acquire it - Utility - the item must be needed or wanted - Scarcity - there must be a limited supply - Transferability - the item must be able to be sold - ownership right
The secondary
Special or limited agency
30. ___ can protect a broker if the seller misrepresents property condition - the broker is unaware of the misrepresentation - and could not have detected it by visual inspection.
Trustee's Deed
income tax purposes
conforming loans.
Errors & Omissions insurance
31. ____ - the refusal to lend in a particular geographic area - is prohibited.
The secondary
EMFs
trustor
Redlining
32. ___loan - Covers more than one piece of property
rescission
The trustee
General
Blanket
33. Lenders can deny credit if your sole source of income is__
alimony - child support or a pension plan.
Blanket
estate for years
a power of attorney
34. The veteran must obtain a Certificate of Eligibility from the VA
conforming loans
Total amount - Certificate amount x 4 = approved maximum loan amount
Alienation clause
conforming loans.
35. The life cycle of a neighborhood is defined as the stages of growth and development of a neighborhood
Statutory law
grow - stabilize - decline - revitalize
estate for years
alimony - child support or a pension plan.
36. The trustee has two functions in accordance with the Deed of Trust.
conforming loans
the cash price or the APR
1. Release the lien when the note is paid. 2. Foreclose in the event of default
Subordination clause
37. ___ are imposed to control land use - development and methods and materials for construction.
Special or limited agency
grow - stabilize - decline - revitalize
Deed Restrictions
conomic obsolescence
38. This lease survives death and/or the sale of the property. No notice is required to terminate.
estate for years
straight assumption
25%
lower interest rate
39. On income producing property land can never be depreciated for...
grow - stabilize - decline - revitalize
income tax purposes
Deed Restrictions
Defeasance
40. High tension wire should be disclosed
conforming loans.
(CRIP) - Compensation - Reimbursement - Indemnification - Performance
EMFs
a grante
41. Which of the following instruments is the promise to repay a debt?
1. Mortgage 2. Deed 3. Deed of Trust 4. Note 4
Statutory law
Blanket Loan
tenancy in common
42. A person who has real property willed to her by a relative is said to acquire title by...
estate for years
MIP - mortgage insurance premium
lower interest rate
devise
43. If the loan will result in a lien on a personal residence - the consumer has a 3 day right of...
writ of execution
ostensible agency
MIP - mortgage insurance premium
rescission
44. When a principal fails to maintain due diligence over his agent and as a result the court prevents the principal from denying that agency - agency by __ is created.
estoppel
Tenancy by the Entirety
tenancy in common
conomic obsolescence
45. A principal's duties to an agent ar...
An encumbrance
(CRIP) - Compensation - Reimbursement - Indemnification - Performance
by ratification.
Radon
46. Advantages of FHA loans
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47. Loans qualified to be purchased in the secondary market are called __
conforming loans.
1. Release the lien when the note is paid. 2. Foreclose in the event of default
income tax purposes
In a straight assumption - the new buyer is approved - and takes over payments and liability
48. ___ - a naturally occurring colorless and odorless gas produced by the decay of radioactive materials in rocks under the ground.
husband and wife
conomic obsolescence
straight assumption
Radon
49. ____mortgage - allows elderly homeowners - the criteria is 62 years of age - to borrow against their equity
trustor
Zoning
Reverse annuity
conforming loans
50. Broker- Salesperson - owner-property manager-> which agency?
rescission
the cash price or the APR
Trustee's Deed
General Agency