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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. If the Trustee fails to deliver the deed the buyer may use a ___ to protect his interest
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2. ____mortgage - allows elderly homeowners - the criteria is 62 years of age - to borrow against their equity
Balloon loan
Reverse annuity
3
The trustee
3. What is easment?
(CRIP) - Compensation - Reimbursement - Indemnification - Performance
It is a right in land and should be created in writing and recorded.
encumbrance
estoppel
4. ___ 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.
Total amount - Certificate amount x 4 = approved maximum loan amount
Fannie Mae - Freddie Mac and Ginnie Mae.
Errors & Omissions insurance
grow - stabilize - decline - revitalize
5. If a party wins a judgment and is unable to collect - he can secure a___ from the courts to enforce payment.
conforming loans.
1. Release the lien when the note is paid. 2. Foreclose in the event of default
a grante
writ of execution
6. An attorney-in-fact is the holder of...
devise
a property exchange.
a power of attorney
In a straight assumption - the new buyer is approved - and takes over payments and liability
7. ___ are imposed to control land use - development and methods and materials for construction.
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
Deed Restrictions
General Agency
8. ___ acts in a fiduciary relationship with the beneficiary in Deed of trust (mortgage)
10%
Alienation clause
The trustee
Blanket Loan
9. The Veterans Administration GUARANTEES repayment of the loan. The guarantee is for at least the top ___ of the loan.
husband and wife
MIP - mortgage insurance premium
Defeasance
25%
10. ___market is where lenders go for money
Reverse annuity
(OLD CAR) - Obedience - Loyalty - Disclosure - Confidentiality - Accounting - Reasonable care
The secondary
the cash price or the APR
11. When the principal learns of those actions - if the principal accepts those actions - that creates agency___
by ratification.
General Agency
General
a grante
12. High tension wire should be disclosed
a grante
Zoning
EMFs
Trustee's Deed
13. ___ gives the agent the power to perform only specific acts and no others.
Special or limited agency
husband and wife
1. Release the lien when the note is paid. 2. Foreclose in the event of default
(CRIP) - Compensation - Reimbursement - Indemnification - Performance
14. Which of the following instruments is the promise to repay a debt?
Alienation clause
Subordination clause
a grante
1. Mortgage 2. Deed 3. Deed of Trust 4. Note 4
15. On income producing property land can never be depreciated for...
straight assumption
lower interest rate
Tenancy by the Entirety
income tax purposes
16. ___ is the term used to describe methods used to lower levels of radon in homes and other buildings
income tax purposes
Blanket
a property exchange.
Mitigation
17. Foreclosure under a "power of sale" clause ends when the Trustee delivers a:___
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18. ___ is a limitation on your rights. It may also be a cloud on the title
Alienation clause
a power of attorney
An encumbrance
conomic obsolescence
19. Tenancy by the Entirety is a specific type of joint tenancy where the co-owners are ___
lower interest rate
Alienation clause
In a straight assumption - the new buyer is approved - and takes over payments and liability
husband and wife
20. If the loan will result in a lien on a personal residence - the consumer has a 3 day right of...
rescission
Alienation clause
grow - stabilize - decline - revitalize
1. Mortgage 2. Deed 3. Deed of Trust 4. Note 4
21. An ___ is a limitation on your rights
MIP - mortgage insurance premium
encumbrance
Deed Restrictions
estate for years
22. ___ - a naturally occurring colorless and odorless gas produced by the decay of radioactive materials in rocks under the ground.
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
Radon
Package Loan
income tax purposes
23. __ "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.
Alienation clause
trustor
MIP - mortgage insurance premium
EMFs
24. Covers more than one piece of property. (several lots on one note)
Statutory law
Blanket Loan
grow - stabilize - decline - revitalize
Mitigation
25. IRS Lein - Specific lein or general lein
Special or limited agency
Trustee's Deed
General
writ of execution
26. IN Reg Z Advertising which states only __is permitted
conforming loans.
Redlining
the cash price or the APR
Deed Restrictions
27. A borrower must be given a disclosure statement showing the full cost of borrowing within __ DAYS of loan application.
ostensible agency
Package Loan
conforming loans
3
28. Advantages of FHA loans
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29. __ clause - states that the lien is defeated when the debt is repaid.
a grante
Defeasance
It is a right in land and should be created in writing and recorded.
Zoning
30. '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
Trustor (Mortgagor) borrower - buyer Beneficiary lender Trustee 3rd party - selected by the beneficiary
encumbrance
estate for years
31. 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.
Zoning
alimony - child support or a pension plan.
devise
straight assumption
32. ___loan - Covers more than one piece of property
Special or limited agency
Blanket
Deed Restrictions
husband and wife
33. ____ - the refusal to lend in a particular geographic area - is prohibited.
The trustee
Redlining
Trustee's Deed
Subordination clause
34. Foreign Investment and Real Property Tax Act -The title company will withhold __ of the sellers' sale price over $300 -000
EMFs
ostensible agency
10%
a property exchange.
35. Ownership by two or more without rights of survivorship is called
lower interest rate
Statutory law
25%
tenancy in common
36. Must sign the Deed of Trust.
Subordination clause
trustor
alimony - child support or a pension plan.
a property exchange.
37. ___ is created when a licensee acts like an agent and others respond to those actions.
stigmatized
General Agency
ostensible agency
Alienation clause
38. __This clause would be found in a second mortgage - a home improvement loan - or a home equity loan.
Trustee's Deed
Subordination clause
conforming loans
(CRIP) - Compensation - Reimbursement - Indemnification - Performance
39. There are four basic characteristics of value
stigmatized
1. Mortgage 2. Deed 3. Deed of Trust 4. Note 4
straight assumption
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
40. __ is a specific type of joint tenancy where the co-owners are husband and wife.
Tenancy by the Entirety
Special or limited agency
grow - stabilize - decline - revitalize
Alienation clause
41. A principal's duties to an agent ar...
EMFs
(CRIP) - Compensation - Reimbursement - Indemnification - Performance
ostensible agency
25%
42. This will not impact of the seller's credit rating.
General Agency
3
straight assumption
devise
43. The minimum withdrawal from a home equity LOC is
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
Fannie Mae - Freddie Mac and Ginnie Mae.
$4000.
Deed Restrictions
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.
General
EMFs
estoppel
ostensible agency
45. Broker- Salesperson - owner-property manager-> which agency?
Mitigation
Deed Restrictions
General Agency
estate for years
46. Loans qualified to be purchased in the secondary market are called
In a straight assumption - the new buyer is approved - and takes over payments and liability
conforming loans
a grante
3
47. Loans qualified to be purchased in the secondary market are called __
conforming loans.
Redlining
Deed Restrictions
$4000.
48. The veteran must obtain a Certificate of Eligibility from the VA
grow - stabilize - decline - revitalize
Vendee's Lien
General Agency
Total amount - Certificate amount x 4 = approved maximum loan amount
49. Property Manager ( which type of Agency)
10%
Mitigation
General Agency
rescission
50. The insurance on the FHA loan is referred to as___
Those on a fixed income
1. Mortgage 2. Deed 3. Deed of Trust 4. Note 4
trustor
MIP - mortgage insurance premium