PSI Exam Prep Oregon Real Estate. Top Exam Questions and Answers. Graded A+

Document Content and Description Below

PSI Exam Prep Oregon Real Estate. Top Exam Questions and Answers. Graded A+ How does a creditor who has obtained a judgment get satisfaction against a debtor who will not pay? - ✔✔-Writ of e... xecution. A major difference between freehold and nonfreehold estates is that all freehold estates _________. - ✔✔-are of indeterminable duration. The economic characteristics of land are -✔✔-Scarcity, location, and durability. At the time of harvest, crops that require annual planting are generally considered to be -✔✔- Personal Property. A legal easement can be created by any of the following EXCEPT -✔✔-merger of titles What type of map is MOST useful for describing the terrain of a very hilly lot? -✔✔-contour map. Tenants are still in their rental property even though their lease has expired. The landlord has given them written notice to quit and refused to accept rent. They are -✔✔-Tenants at sufferance. The real estate contract for a specific property for use as an unlicensed whiskey sales operation was forced to terminate. The termination was the result of -✔✔-impossibility of performance. The purpose of requiring an earnest money deposit in a real estate sales contract is to -✔✔-provide evidence of the buyer's intention to carry out the contract. When one of the parties to an agreement fails to perform one of its conditions, that contract is deemed to be -✔✔-Breached. A will has been drawn up leaving the family homestead to the owners' granddaughter. Once that has been done, the owners may -✔✔-make any changes they wish through a codicil or a later will. At the closing on June 15, the buyer is assuming a mortgage presently on the property, on which the monthly interest charge is currently $600. The seller has made the payment due on June 1. Assuming a VA mortgage, what is the adjustment made at closing? -✔✔-Debit the seller $300; Credit the buyer $300. For Federal income tax purposes, which of the following are costs of homeownership that may be deducted from gross income? -✔✔-Mortgage loan interest, local property taxes, mortgage loan origination fees. MOST closed real estate transactions should be reported to the IRS. REQUIRED information includes seller name(s) and social security number(s) and -✔✔-the sale price. The buyer is assuming the mortgage presently on the property in the mount of $110,000. What is the adjustment made at closing? -✔✔-Credit buyer $110,000; no adjustment to the seller. A judgment has been properly recorded. Any subsequent purchasers, whether they have actually examined the record or not, have been given -✔✔-constructive notice. Under a land contract for deed, who retains fee ownership of the property? -✔✔-Vendor A broker says, while showing a rural property, "This property has the world's purest well water." This would be an example of -✔✔-an expression of opinion, or puffing, which could lead to misrepresentation. Errors and Omissions insurance covers the broker for -✔✔-unintentional misrepresentations Earnest money should be deposited into a trust account -✔✔-in a timely manner, according to state laws. Antitrust laws prohibit competing brokers from all of the following EXCEPT -✔✔-receiving compensation from both the buyer and the seller. A single parent of two preschool children makes an application to rent a condo in a development intended for older persons that is 90% occupied by people over the age of 55. In this case, the Federal Fair Housing Act protects the -✔✔-condo owner from being forced to rent to the family because of the age of over 80% of the occupants of the development. According to the Truth-in-Lending Act, if any "trigger terms" are used in an ad, all of the following disclosures MUST appear in the ad EXCEPT the -✔✔-prepayment penalties and rebates. The buyer wants to make the purchase offer contingent on a complex mortgage arrangement. The buyer's agent who is drawing up the contract should -✔✔-suggest the buyer ask a lawyer to furnish the wording. An equal housing opportunity notice MUST be -✔✔-displayed in the brokerage office. A salesperson qualified a minority couple with two children and defined their price range as between $110,000 and $120,000 for the three-bedroom house they wanted. They asked to look at two listings in a nonminority neighborhood. The salesperson did not show them the properties because they were priced under $90,000 and had only two small bedrooms. Did the salesperson act appropriately and why or why not? -✔✔-no, because it is appropriate to show any property for which the buyer is qualified. A managing broker can be held responsible for -✔✔-all real estate activities of salespersons. The sellers have agreed to gibe the buyers an allowance of $16.95 per square yard to retile the kitchen. If the kitchen is 10 feet x 14 feet, how much will it cost the sellers (to the nearest dollar)? -✔✔-$264 An owner lists her home at a 7% commission rate and wants to net $45,000 after paying the mortgage balance of $68,000 and the broker's commission. To the nearest dollar, what should the selling price be to net her $45,000? -✔✔-none A couple bought a rental house for $195,000. Its assessed value was $180,000. If the tax rate is $1.50 per $100 of assessed value, what is the monthly contribution the lender will REQUIRE for taxes? Round to the nearest cent. -✔✔-$225.00 A buyer is getting a fully amortized loan for $220,000. The bank will give the buyer the loan for 15 years at 5 1/2% or for 30 years at 6 1/2%. To the nearest cent, what is the difference between the monthly payments for these two loans? (BE SURE TO USE THE AMORTIZATION TABLE.) -✔✔-$409.20 If a borrower can afford to make monthly principal and interest payments of $1,000 and the lender will make a 30-year loan at 5-1/2%, or a 20-year loan at 4-1/2%, what is the largest loan (rounded to the nearest $100) this buyer can afford? (BE SURE TO USE THE AMORTIZATION TABLE.) - ✔✔-$130,000 a major reason for buying and owning a condominium rather than a detached single-family home is that -✔✔-a condominium tends to be more affordable [Show More]

Last updated: 11 months ago

Preview 1 out of 9 pages