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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. ___loan - Covers more than one piece of property
Mitigation
Blanket
Defeasance
lower interest rate
2. High tension wire should be disclosed
Trustee's Deed
straight assumption
EMFs
Those on a fixed income
3. Advantages of FHA loans
4. 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.
(OLD CAR) - Obedience - Loyalty - Disclosure - Confidentiality - Accounting - Reasonable care
1. Mortgage 2. Deed 3. Deed of Trust 4. Note 4
stigmatized
Zoning
5. __ is a specific type of joint tenancy where the co-owners are husband and wife.
General
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.
Tenancy by the Entirety
Fannie Mae - Freddie Mac and Ginnie Mae.
6. Lenders can deny credit if your sole source of income is__
Alienation clause
Redlining
Reverse annuity
alimony - child support or a pension plan.
7. Loans qualified to be purchased in the secondary market are called
The trustee
writ of execution
Zoning
conforming loans
8. ___ acts in a fiduciary relationship with the beneficiary in Deed of trust (mortgage)
writ of execution
The trustee
(OLD CAR) - Obedience - Loyalty - Disclosure - Confidentiality - Accounting - Reasonable care
Package Loan
9. The trustee has two functions in accordance with the Deed of Trust.
estoppel
conforming loans
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
10. If the Trustee fails to deliver the deed the buyer may use a ___ to protect his interest
11. Includes real property plus personal property
a property exchange.
The secondary
Package Loan
Defeasance
12. This will not impact of the seller's credit rating.
straight assumption
Trustor (Mortgagor) borrower - buyer Beneficiary lender Trustee 3rd party - selected by the beneficiary
25%
General Agency
13. The deed of trust involves three parties...
Trustor (Mortgagor) borrower - buyer Beneficiary lender Trustee 3rd party - selected by the beneficiary
a power of attorney
In a straight assumption - the new buyer is approved - and takes over payments and liability
income tax purposes
14. Partially amortized loan - benefit
Trustor (Mortgagor) borrower - buyer Beneficiary lender Trustee 3rd party - selected by the beneficiary
General
1. Mortgage 2. Deed 3. Deed of Trust 4. Note 4
lower interest rate
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?
grow - stabilize - decline - revitalize
Subordination clause
estoppel
Alienation clause
16. __ "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
(CRIP) - Compensation - Reimbursement - Indemnification - Performance
25%
husband and wife
17. ___ is the term used to describe methods used to lower levels of radon in homes and other buildings
25%
$4000.
Special or limited agency
Mitigation
18. Must sign the Deed of Trust.
tenancy in common
trustor
stigmatized
General Agency
19. __This clause would be found in a second mortgage - a home improvement loan - or a home equity loan.
Trustee's Deed
Subordination clause
General Agency
conomic obsolescence
20. ____mortgage - allows elderly homeowners - the criteria is 62 years of age - to borrow against their equity
tenancy in common
General Agency
Reverse annuity
25%
21. An agent's duties to his principal are...
Statutory law
Those on a fixed income
(OLD CAR) - Obedience - Loyalty - Disclosure - Confidentiality - Accounting - Reasonable care
Fannie Mae - Freddie Mac and Ginnie Mae.
22. IRS Lein - Specific lein or general lein
General
Mitigation
Trustee's Deed
(OLD CAR) - Obedience - Loyalty - Disclosure - Confidentiality - Accounting - Reasonable care
23. One who acquires property under a deed 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
a grante
estoppel
a property exchange.
24. If a party wins a judgment and is unable to collect - he can secure a___ from the courts to enforce payment.
writ of execution
Trustor (Mortgagor) borrower - buyer Beneficiary lender Trustee 3rd party - selected by the beneficiary
General Agency
conomic obsolescence
25. __ clause - states that the lien is defeated when the debt is repaid.
encumbrance
Defeasance
a property exchange.
The trustee
26. A principal's duties to an agent ar...
(CRIP) - Compensation - Reimbursement - Indemnification - Performance
25%
estoppel
Tenancy by the Entirety
27. The life cycle of a neighborhood is defined as the stages of growth and development of a neighborhood
lower interest rate
10%
Deed Restrictions
grow - stabilize - decline - revitalize
28. The minimum withdrawal from a home equity LOC is
Trustor (Mortgagor) borrower - buyer Beneficiary lender Trustee 3rd party - selected by the beneficiary
The trustee
Deed Restrictions
$4000.
29. Loans qualified to be purchased in the secondary market are called __
a grante
the cash price or the APR
General
conforming loans.
30. ____ - the refusal to lend in a particular geographic area - is prohibited.
3
Redlining
devise
Alienation clause
31. On income producing property land can never be depreciated for...
Balloon loan
income tax purposes
Radon
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
32. Tenancy by the Entirety is a specific type of joint tenancy where the co-owners are ___
conforming loans.
husband and wife
1. Mortgage 2. Deed 3. Deed of Trust 4. Note 4
trustor
33. The veteran must obtain a Certificate of Eligibility from the VA
grow - stabilize - decline - revitalize
The trustee
Total amount - Certificate amount x 4 = approved maximum loan amount
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
34. The Veterans Administration GUARANTEES repayment of the loan. The guarantee is for at least the top ___ of the loan.
conforming loans
a property exchange.
husband and wife
25%
35. The insurance on the FHA loan is referred to as___
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.
An encumbrance
25%
MIP - mortgage insurance premium
36. ___market is where lenders go for money
Mitigation
husband and wife
conomic obsolescence
The secondary
37. Loan novation?
1. Mortgage 2. Deed 3. Deed of Trust 4. Note 4
by ratification.
10%
In a straight assumption - the new buyer is approved - and takes over payments and liability
38. If the loan will result in a lien on a personal residence - the consumer has a 3 day right of...
conforming loans
Deed Restrictions
rescission
Radon
39. A property where there has been a murder or alleged haunting is called...
conforming loans
The trustee
estate for years
stigmatized
40. This lease survives death and/or the sale of the property. No notice is required to terminate.
Statutory law
$4000.
Deed Restrictions
estate for years
41. 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.
tenancy in common
conomic obsolescence
EMFs
Balloon loan
42. Ownership by two or more without rights of survivorship is called
estoppel
tenancy in common
Reverse annuity
rescission
43. An attorney-in-fact is the holder of...
10%
a power of attorney
3
devise
44. The secondary market warehousing agencies are...
Trustor (Mortgagor) borrower - buyer Beneficiary lender Trustee 3rd party - selected by the beneficiary
1. Release the lien when the note is paid. 2. Foreclose in the event of default
Radon
Fannie Mae - Freddie Mac and Ginnie Mae.
45. ___ are imposed to control land use - development and methods and materials for construction.
conforming loans.
Mitigation
In a straight assumption - the new buyer is approved - and takes over payments and liability
Deed Restrictions
46. ___ is a limitation on your rights. It may also be a cloud on the title
An encumbrance
(CRIP) - Compensation - Reimbursement - Indemnification - Performance
$4000.
Deed Restrictions
47. Broker- Salesperson - owner-property manager-> which agency?
Balloon loan
(OLD CAR) - Obedience - Loyalty - Disclosure - Confidentiality - Accounting - Reasonable care
Fannie Mae - Freddie Mac and Ginnie Mae.
General Agency
48. Real estate investors can defer taxation of capital gains by making ___
a property exchange.
Defeasance
conforming loans
estate for years
49. When the principal learns of those actions - if the principal accepts those actions - that creates agency___
25%
stigmatized
by ratification.
$4000.
50. ___ is created when a licensee acts like an agent and others respond to those actions.
tenancy in common
trustor
ostensible agency
conomic obsolescence