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