National Pearson VUE Real Estate Exam Prep, Questions and answers, 100% Accurate, rated A+

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National Pearson VUE Real Estate Exam Prep, Questions and answers, 100% Accurate, rated A+ A broker lists a property and begins marketing it. The seller sells the property to a neighbor and upon ... closing pays the broker a full commission. What type of listing agreement did the brokerage firm have with the seller? A) Exclusive agency B) Exclusive agency with a "seller may not sell" contingency C) Open D) Exclusive right to sell - ✔✔-Exclusive right to sell Only in an exclusive right-to-sell listing will the broker still get paid even if someone else sells the property. The document used to establish the duties of both the property manager and the property owner is known as a - ✔✔-management contract. This document establishes the obligations of the property manager to manage the property. An exclusive right-to-lease contract gives a brokerage firm the right to lease the property, a lease agreement is what is signed between the tenant and property manager. A radioactive material that is often found in homes and is known to cause lung cancer is - ✔✔-radon. Radon, which is released from the ground, can settle into basements and crawl spaces. An example of a physical characteristic is - ✔✔-immobile Land characteristics are immobile—they cannot be moved, are indestructible, and are nonhomogeneous. Land does not have liquidity, known also as a liquid asset. Which of the following is TRUE about the federal lead-based paint law? - ✔✔-It requires the listing broker to give the disclosure to the buyer. The answer is it gives the buyer the option to waive the lead-based paint inspection. The lead-based paint disclosure is the seller's obligation, not the broker's; the seller does not need to inspect, test, or remove lead-based paint. Brokers are obligated to make sure the parties are in compliance. A contract with someone who has been declared incompetent by a court is - ✔✔-void. The answer is void. The parties must be mentally sound. A mentally unsound person can enter a contract only if the court appoints a guardian to act on the person's behalf. The market data, summation, and income methods rely on what principal of value? - ✔✔-Substitution The answer is substitution. The principal of substitution states that the value of a property tends to be set by the cost of purchasing an equally desirable and similar property. Therefore, all the approaches to value are affected by the principal of substitution. A buyer with six children was told by a broker that the neighborhood she wanted to view was not suitable for her family because it had very few children. The buyer decided to file a fair housing complaint against the broker and brokerage firm. In this type of case, the first step will be for HUD to - ✔✔-start an investigation to verify if the complaint is valid. The answer is start an investigation to verify if the complaint is valid. The first step for HUD, or any other regulatory agency, is to determine whether the law was broken and if the complaint is valid. If a broker or a sales agent violated the law, HUD could then file a complaint with the state real estate commission or other regulatory agency to revoke the real estate license. A subdivision requires that all properties use only wood fencing and garages must be at least 500 square feet, but the local zoning code is silent on types of fencing and square footage of garages. This means - ✔✔-owners must follow the deed restrictions of the subdivision. The answer is owners must follow the deed restrictions of the subdivision. The strictest rules apply, which in this case is the deed restriction. If owners in the subdivision wanted to vary from the rule, they would appeal to the owners association. What is the required down payment to get a new conventional loan with an 80% LTV ratio on a property appraised at $250,000? - ✔✔-$50,000 The answer is $50,000. 100% - 80% = 20% down. $250,000 value × 0.20 = $50,00 [Show More]

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