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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. ___ - a naturally occurring colorless and odorless gas produced by the decay of radioactive materials in rocks under the ground.
writ of execution
Radon
EMFs
Special or limited agency
2. __ clause - states that the lien is defeated when the debt is repaid.
husband and wife
Defeasance
estoppel
conomic obsolescence
3. ___ are imposed to control land use - development and methods and materials for construction.
It is a right in land and should be created in writing and recorded.
Statutory law
the cash price or the APR
Deed Restrictions
4. Common law does not always takes precedence over...
Statutory law
ostensible agency
Errors & Omissions insurance
estoppel
5. 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.
It is a right in land and should be created in writing and recorded.
Zoning
conomic obsolescence
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.
6. Lenders can deny credit if your sole source of income is__
(OLD CAR) - Obedience - Loyalty - Disclosure - Confidentiality - Accounting - Reasonable care
conforming loans
alimony - child support or a pension plan.
1. Mortgage 2. Deed 3. Deed of Trust 4. Note 4
7. Which of the following instruments is the promise to repay a debt?
Blanket Loan
Tenancy by the Entirety
conforming loans
1. Mortgage 2. Deed 3. Deed of Trust 4. Note 4
8. Covers more than one piece of property. (several lots on one note)
Blanket Loan
a property exchange.
General Agency
1. Mortgage 2. Deed 3. Deed of Trust 4. Note 4
9. When the principal learns of those actions - if the principal accepts those actions - that creates agency___
a property exchange.
Errors & Omissions insurance
by ratification.
Redlining
10. What is easment?
25%
It is a right in land and should be created in writing and recorded.
Blanket
Radon
11. Partially amortized loan - benefit
straight assumption
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.
lower interest rate
Vendee's Lien
12. A principal's duties to an agent ar...
Alienation clause
a property exchange.
(CRIP) - Compensation - Reimbursement - Indemnification - Performance
trustor
13. If the Trustee fails to deliver the deed the buyer may use a ___ to protect his interest
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14. 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.
devise
estoppel
Fannie Mae - Freddie Mac and Ginnie Mae.
Balloon loan
15. IN Reg Z Advertising which states only __is permitted
the cash price or the APR
An encumbrance
Radon
In a straight assumption - the new buyer is approved - and takes over payments and liability
16. A property where there has been a murder or alleged haunting is called...
stigmatized
Balloon loan
by ratification.
Zoning
17. On income producing property land can never be depreciated for...
income tax purposes
Total amount - Certificate amount x 4 = approved maximum loan amount
3
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.
18. This lease survives death and/or the sale of the property. No notice is required to terminate.
Balloon loan
Defeasance
Package Loan
estate for years
19. For what group of buyers would the ARM be the least desirable?
In a straight assumption - the new buyer is approved - and takes over payments and liability
An encumbrance
Those on a fixed income
ostensible agency
20. The Veterans Administration GUARANTEES repayment of the loan. The guarantee is for at least the top ___ of the loan.
Subordination clause
alimony - child support or a pension plan.
25%
grow - stabilize - decline - revitalize
21. A person who has real property willed to her by a relative is said to acquire title by...
devise
10%
trustor
General Agency
22. Tenancy by the Entirety is a specific type of joint tenancy where the co-owners are ___
stigmatized
a property exchange.
husband and wife
It is a right in land and should be created in writing and recorded.
23. ___market is where lenders go for money
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
rescission
General Agency
24. If the loan will result in a lien on a personal residence - the consumer has a 3 day right of...
$4000.
ostensible agency
rescission
The secondary
25. The secondary market warehousing agencies are...
estate for years
Fannie Mae - Freddie Mac and Ginnie Mae.
Deed Restrictions
Redlining
26. ____ - the refusal to lend in a particular geographic area - is prohibited.
Redlining
Total amount - Certificate amount x 4 = approved maximum loan amount
Alienation clause
Trustee's Deed
27. ___ acts in a fiduciary relationship with the beneficiary in Deed of trust (mortgage)
rescission
1. Mortgage 2. Deed 3. Deed of Trust 4. Note 4
conomic obsolescence
The trustee
28. Real estate investors can defer taxation of capital gains by making ___
Package Loan
Tenancy by the Entirety
lower interest rate
a property exchange.
29. A borrower must be given a disclosure statement showing the full cost of borrowing within __ DAYS of loan application.
Package Loan
Defeasance
conomic obsolescence
3
30. Ownership by two or more without rights of survivorship is called
Zoning
tenancy in common
General Agency
In a straight assumption - the new buyer is approved - and takes over payments and liability
31. The veteran must obtain a Certificate of Eligibility from the VA
Total amount - Certificate amount x 4 = approved maximum loan amount
EMFs
Radon
Alienation clause
32. If a party wins a judgment and is unable to collect - he can secure a___ from the courts to enforce payment.
writ of execution
conforming loans.
3
straight assumption
33. An agent's duties to his principal are...
Total amount - Certificate amount x 4 = approved maximum loan amount
Vendee's Lien
(OLD CAR) - Obedience - Loyalty - Disclosure - Confidentiality - Accounting - Reasonable care
conforming loans.
34. ___ 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.
Errors & Omissions insurance
alimony - child support or a pension plan.
Those on a fixed income
by ratification.
35. IRS Lein - Specific lein or general lein
conforming loans
General
Alienation clause
Reverse annuity
36. ___ is the term used to describe methods used to lower levels of radon in homes and other buildings
Mitigation
conforming loans
encumbrance
Deed Restrictions
37. The life cycle of a neighborhood is defined as the stages of growth and development of a neighborhood
straight assumption
Subordination clause
devise
grow - stabilize - decline - revitalize
38. '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?
writ of execution
Mitigation
estate for years
Alienation clause
39. ___ 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.)
conomic obsolescence
Blanket
grow - stabilize - decline - revitalize
income tax purposes
40. __This clause would be found in a second mortgage - a home improvement loan - or a home equity loan.
Subordination clause
devise
1. Release the lien when the note is paid. 2. Foreclose in the event of default
writ of execution
41. An attorney-in-fact is the holder of...
a power of attorney
estate for years
writ of execution
EMFs
42. An ___ is a limitation on your rights
husband and wife
a property exchange.
encumbrance
conforming loans.
43. Foreclosure under a "power of sale" clause ends when the Trustee delivers a:___
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44. High tension wire should be disclosed
stigmatized
MIP - mortgage insurance premium
conforming loans
EMFs
45. ___loan - Covers more than one piece of property
Blanket
Reverse annuity
Zoning
a grante
46. The trustee has two functions in accordance with the Deed of Trust.
1. Release the lien when the note is paid. 2. Foreclose in the event of default
Tenancy by the Entirety
Defeasance
rescission
47. Property Manager ( which type of Agency)
Zoning
In a straight assumption - the new buyer is approved - and takes over payments and liability
General Agency
devise
48. Loan novation?
Balloon loan
Blanket Loan
In a straight assumption - the new buyer is approved - and takes over payments and liability
encumbrance
49. Includes real property plus personal property
Package Loan
Vendee's Lien
3
encumbrance
50. __ "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.
devise
Alienation clause
conomic obsolescence
Balloon loan