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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. Foreclosure under a "power of sale" clause ends when the Trustee delivers a:___
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2. What is easment?
Redlining
It is a right in land and should be created in writing and recorded.
Zoning
1. Release the lien when the note is paid. 2. Foreclose in the event of default
3. Property Manager ( which type of Agency)
conforming loans.
General Agency
Total amount - Certificate amount x 4 = approved maximum loan amount
Tenancy by the Entirety
4. __ clause - states that the lien is defeated when the debt is repaid.
Defeasance
$4000.
stigmatized
Alienation clause
5. For what group of buyers would the ARM be the least desirable?
ostensible agency
Those on a fixed income
Blanket
EMFs
6. An agent's duties to his principal are...
conomic obsolescence
1. Release the lien when the note is paid. 2. Foreclose in the event of default
(OLD CAR) - Obedience - Loyalty - Disclosure - Confidentiality - Accounting - Reasonable care
The secondary
7. __ "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.
estate for years
3
Alienation clause
tenancy in common
8. A borrower must be given a disclosure statement showing the full cost of borrowing within __ DAYS of loan application.
trustor
3
General
Vendee's Lien
9. The minimum withdrawal from a home equity LOC is
encumbrance
$4000.
General Agency
Reverse annuity
10. ____mortgage - allows elderly homeowners - the criteria is 62 years of age - to borrow against their equity
Reverse annuity
lower interest rate
Mitigation
the cash price or the APR
11. The deed of trust involves three parties...
a grante
a power of attorney
Deed Restrictions
Trustor (Mortgagor) borrower - buyer Beneficiary lender Trustee 3rd party - selected by the beneficiary
12. An ___ is a limitation on your rights
encumbrance
Defeasance
Special or limited agency
conomic obsolescence
13. Which of the following instruments is the promise to repay a debt?
Statutory law
The trustee
1. Mortgage 2. Deed 3. Deed of Trust 4. Note 4
Total amount - Certificate amount x 4 = approved maximum loan amount
14. ___ is the term used to describe methods used to lower levels of radon in homes and other buildings
Mitigation
Radon
Special or limited agency
Vendee's Lien
15. Must sign the Deed of Trust.
trustor
General Agency
Mitigation
Statutory law
16. 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
Package Loan
Mitigation
rescission
17. If a party wins a judgment and is unable to collect - he can secure a___ from the courts to enforce payment.
writ of execution
by ratification.
Subordination clause
estate for years
18. The Veterans Administration GUARANTEES repayment of the loan. The guarantee is for at least the top ___ of the loan.
10%
lower interest rate
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.
25%
19. ____ - the refusal to lend in a particular geographic area - is prohibited.
Balloon loan
Trustee's Deed
Redlining
$4000.
20. 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.
a grante
Redlining
estoppel
a property exchange.
21. If the loan will result in a lien on a personal residence - the consumer has a 3 day right of...
rescission
1. Mortgage 2. Deed 3. Deed of Trust 4. Note 4
General Agency
Fannie Mae - Freddie Mac and Ginnie Mae.
22. An attorney-in-fact is the holder of...
Vendee's Lien
General Agency
a power of attorney
Fannie Mae - Freddie Mac and Ginnie Mae.
23. ___ are imposed to control land use - development and methods and materials for construction.
An encumbrance
Deed Restrictions
straight assumption
$4000.
24. ___market is where lenders go for money
General Agency
Errors & Omissions insurance
tenancy in common
The secondary
25. ___ gives the agent the power to perform only specific acts and no others.
Special or limited agency
The secondary
stigmatized
(CRIP) - Compensation - Reimbursement - Indemnification - Performance
26. The life cycle of a neighborhood is defined as the stages of growth and development of a neighborhood
25%
$4000.
trustor
grow - stabilize - decline - revitalize
27. ___ 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.
General Agency
Errors & Omissions insurance
Alienation clause
by ratification.
28. This lease survives death and/or the sale of the property. No notice is required to terminate.
Vendee's Lien
Reverse annuity
estate for years
husband and wife
29. Loans qualified to be purchased in the secondary market are called __
conforming loans.
grow - stabilize - decline - revitalize
estoppel
husband and wife
30. ___ - a naturally occurring colorless and odorless gas produced by the decay of radioactive materials in rocks under the ground.
income tax purposes
Blanket
An encumbrance
Radon
31. __ is a specific type of joint tenancy where the co-owners are husband and wife.
Special or limited agency
Tenancy by the Entirety
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
ostensible agency
32. A property where there has been a murder or alleged haunting is called...
Zoning
the cash price or the APR
stigmatized
Alienation clause
33. Includes real property plus personal property
10%
Deed Restrictions
General Agency
Package Loan
34. A person who has real property willed to her by a relative is said to acquire title by...
devise
grow - stabilize - decline - revitalize
Radon
conomic obsolescence
35. __This clause would be found in a second mortgage - a home improvement loan - or a home equity loan.
Balloon loan
Defeasance
Subordination clause
Blanket Loan
36. '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?
straight assumption
Alienation clause
conforming loans
1. Release the lien when the note is paid. 2. Foreclose in the event of default
37. On income producing property land can never be depreciated for...
conforming loans
straight assumption
Vendee's Lien
income tax purposes
38. ___ is a limitation on your rights. It may also be a cloud on the title
General Agency
tenancy in common
trustor
An encumbrance
39. Loans qualified to be purchased in the secondary market are called
Fannie Mae - Freddie Mac and Ginnie Mae.
trustor
conforming loans
Subordination clause
40. Common law does not always takes precedence over...
Statutory law
Zoning
writ of execution
Blanket Loan
41. Advantages of FHA loans
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42. IRS Lein - Specific lein or general lein
Special or limited agency
Those on a fixed income
husband and wife
General
43. A principal's duties to an agent ar...
husband and wife
(CRIP) - Compensation - Reimbursement - Indemnification - Performance
An encumbrance
a grante
44. Ownership by two or more without rights of survivorship is called
An encumbrance
Errors & Omissions insurance
General Agency
tenancy in common
45. When the principal learns of those actions - if the principal accepts those actions - that creates agency___
Blanket Loan
straight assumption
General Agency
by ratification.
46. IN Reg Z Advertising which states only __is permitted
straight assumption
the cash price or the APR
(OLD CAR) - Obedience - Loyalty - Disclosure - Confidentiality - Accounting - Reasonable care
EMFs
47. Real estate investors can defer taxation of capital gains by making ___
Vendee's Lien
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 property exchange.
grow - stabilize - decline - revitalize
48. Broker- Salesperson - owner-property manager-> which agency?
1. Mortgage 2. Deed 3. Deed of Trust 4. Note 4
General Agency
a power of attorney
Reverse annuity
49. Loan novation?
Mitigation
Vendee's Lien
3
In a straight assumption - the new buyer is approved - and takes over payments and liability
50. 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.
stigmatized
The trustee
Zoning
tenancy in common