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