SUBJECTS
|
BROWSE
|
CAREER CENTER
|
POPULAR
|
JOIN
|
LOGIN
Business Skills
|
Soft Skills
|
Basic Literacy
|
Certifications
About
|
Help
|
Privacy
|
Terms
|
Email
Search
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. Advantages of FHA loans
2. Ownership by two or more without rights of survivorship is called
grow - stabilize - decline - revitalize
Subordination clause
tenancy in common
Errors & Omissions insurance
3. __ is a specific type of joint tenancy where the co-owners are husband and wife.
Tenancy by the Entirety
Deed Restrictions
An encumbrance
25%
4. Which of the following instruments is the promise to repay a debt?
3
1. Mortgage 2. Deed 3. Deed of Trust 4. Note 4
Reverse annuity
Blanket
5. If the Trustee fails to deliver the deed the buyer may use a ___ to protect his interest
6. For what group of buyers would the ARM be the least desirable?
rescission
estoppel
Those on a fixed income
a property exchange.
7. __This clause would be found in a second mortgage - a home improvement loan - or a home equity loan.
by ratification.
grow - stabilize - decline - revitalize
Subordination clause
It is a right in land and should be created in writing and recorded.
8. ___ - a naturally occurring colorless and odorless gas produced by the decay of radioactive materials in rocks under the ground.
Trustee's Deed
Redlining
$4000.
Radon
9. ____ - the refusal to lend in a particular geographic area - is prohibited.
Redlining
(OLD CAR) - Obedience - Loyalty - Disclosure - Confidentiality - Accounting - Reasonable care
a power of attorney
tenancy in common
10. IRS Lein - Specific lein or general lein
General Agency
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.
General
3
11. ___market is where lenders go for money
The secondary
Blanket Loan
Trustee's Deed
grow - stabilize - decline - revitalize
12. If the loan will result in a lien on a personal residence - the consumer has a 3 day right of...
devise
The trustee
EMFs
rescission
13. ___ is created when a licensee acts like an agent and others respond to those actions.
Trustee's Deed
EMFs
ostensible agency
Balloon loan
14. A borrower must be given a disclosure statement showing the full cost of borrowing within __ DAYS of loan application.
Tenancy by the Entirety
3
Balloon loan
It is a right in land and should be created in writing and recorded.
15. The secondary market warehousing agencies are...
estate for years
a grante
Fannie Mae - Freddie Mac and Ginnie Mae.
1. Mortgage 2. Deed 3. Deed of Trust 4. Note 4
16. Common law does not always takes precedence over...
25%
ostensible agency
General
Statutory law
17. An agent's duties to his principal are...
husband and wife
(OLD CAR) - Obedience - Loyalty - Disclosure - Confidentiality - Accounting - Reasonable care
ostensible agency
Blanket Loan
18. 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.
a grante
Trustor (Mortgagor) borrower - buyer Beneficiary lender Trustee 3rd party - selected by the beneficiary
a property exchange.
Balloon loan
19. ___ 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
1. Mortgage 2. Deed 3. Deed of Trust 4. Note 4
Subordination clause
The secondary
20. The Veterans Administration GUARANTEES repayment of the loan. The guarantee is for at least the top ___ of the loan.
grow - stabilize - decline - revitalize
25%
a grante
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.
21. Loans qualified to be purchased in the secondary market are called __
Radon
MIP - mortgage insurance premium
Blanket
conforming loans.
22. Covers more than one piece of property. (several lots on one note)
the cash price or the APR
Blanket Loan
straight assumption
25%
23. What is easment?
Balloon loan
It is a right in land and should be created in writing and recorded.
Blanket
Special or limited agency
24. '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?
In a straight assumption - the new buyer is approved - and takes over payments and liability
a property exchange.
Errors & Omissions insurance
Alienation clause
25. The deed of trust involves three parties...
estate for years
tenancy in common
Trustor (Mortgagor) borrower - buyer Beneficiary lender Trustee 3rd party - selected by the beneficiary
husband and wife
26. __ clause - states that the lien is defeated when the debt is repaid.
Blanket Loan
General Agency
Defeasance
lower interest rate
27. __ "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.
Tenancy by the Entirety
Alienation clause
lower interest rate
Blanket
28. Real estate investors can defer taxation of capital gains by making ___
$4000.
Blanket
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.
a property exchange.
29. 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.
Radon
estoppel
EMFs
Deed Restrictions
30. On income producing property land can never be depreciated for...
Package Loan
income tax purposes
a power of attorney
lower interest rate
31. Broker- Salesperson - owner-property manager-> which agency?
An encumbrance
General Agency
Those on a fixed income
income tax purposes
32. Partially amortized loan - benefit
In a straight assumption - the new buyer is approved - and takes over payments and liability
Defeasance
lower interest rate
EMFs
33. High tension wire should be disclosed
income tax purposes
Balloon loan
$4000.
EMFs
34. Must sign the Deed of Trust.
trustor
(CRIP) - Compensation - Reimbursement - Indemnification - Performance
MIP - mortgage insurance premium
Total amount - Certificate amount x 4 = approved maximum loan amount
35. IN Reg Z Advertising which states only __is permitted
General
General Agency
Errors & Omissions insurance
the cash price or the APR
36. Includes real property plus personal property
Trustee's Deed
Package Loan
Special or limited agency
Tenancy by the Entirety
37. This will not impact of the seller's credit rating.
EMFs
tenancy in common
straight assumption
alimony - child support or a pension plan.
38. Lenders can deny credit if your sole source of income is__
Blanket Loan
by ratification.
3
alimony - child support or a pension plan.
39. Tenancy by the Entirety is a specific type of joint tenancy where the co-owners are ___
$4000.
rescission
husband and wife
In a straight assumption - the new buyer is approved - and takes over payments and liability
40. ___ is the term used to describe methods used to lower levels of radon in homes and other buildings
(CRIP) - Compensation - Reimbursement - Indemnification - Performance
Trustee's Deed
Radon
Mitigation
41. A property where there has been a murder or alleged haunting is called...
Alienation clause
Blanket Loan
conforming loans.
stigmatized
42. ___ is a limitation on your rights. It may also be a cloud on the title
tenancy in common
Balloon loan
An encumbrance
Trustor (Mortgagor) borrower - buyer Beneficiary lender Trustee 3rd party - selected by the beneficiary
43. One who acquires property under a deed is....
Mitigation
a grante
ostensible agency
income tax purposes
44. The insurance on the FHA loan is referred to as___
Redlining
grow - stabilize - decline - revitalize
MIP - mortgage insurance premium
Those on a fixed income
45. The veteran must obtain a Certificate of Eligibility from the VA
a power of attorney
Total amount - Certificate amount x 4 = approved maximum loan amount
conomic obsolescence
Radon
46. 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
Zoning
General
writ of execution
47. This lease survives death and/or the sale of the property. No notice is required to terminate.
estate for years
The secondary
General Agency
conforming loans
48. There are four basic characteristics of value
Package Loan
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
Blanket Loan
a grante
49. 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
Fannie Mae - Freddie Mac and Ginnie Mae.
(OLD CAR) - Obedience - Loyalty - Disclosure - Confidentiality - Accounting - Reasonable care
Errors & Omissions insurance
50. The life cycle of a neighborhood is defined as the stages of growth and development of a neighborhood
Mitigation
Alienation clause
grow - stabilize - decline - revitalize
The secondary