Real Estate Promulgated Forms Exam 2023

In addition to the protected classes under the Fair Housing Act, the ECOA is protective of what? - Answer- Public Assistance Age Marital Status The buyers applied for an FHA loan. The property appraisal was $5000 less than the sales price in the contract. What are the options of the parties in the contract? - Answer- The buyer may proceed with consummation of the contract without regard to the amount of the appraised valuation. The amendment to Contract form is used when the parties in the purchase contract want to... - Answer- Change their agreement What are the options for the seller after receiving a written offer? - Answer- Accept it Reject it Counter it Ignore it Licensees may use any form the parties stipulate excluding what.. - Answer- An outdated TREC form **It is imperative that licensees keep informed of TREC's revised forms. What paragraph has details regarding the default remedies? - Answer- Paragraph 15 In the Third Party Financing Addendum for Credit Approval, it is unacceptable to fill in the rates and terms blanks with what? - Answer- TBD, market rate, or "as required" *Specific rates and terms must be entered in the blanks; avoid vague or nonspecific words and terms The One to Four Family Residential Contract requires the survey to be acceptable to the... - Answer- Title Company How many people are on the Texas Real Estate Broker-Lawyer Committee? - Answer- 13 *6 members appointed by TREC *6 members of the State Bar of Texas *1 public member appointed by the governor Which form is NOT a TREC-promulgated form? A) Third Party Financing Addendum B) Seller's Disclosure of Property Condition C) Condominium Resale Certificate D) Addendum for Sale of Other Property by Buyer - Answer- B) Seller's Disclosure of Property Condition What does the Broker-Lawyer Committee do? - Answer- Drafts and edits forms What addendum is used if the buyer wants to acquire a VA loan? - Answer- Third Party Financing Addendum The amount entered in paragraph (3B) of the sales contract is the... - Answer- Amount of loan(s) In the sale, sellers must disclose notice of lead-based paint in their homes if it was built before... - Answer- 1978 A real estate licensee who receives a valid offer must... - Answer- Present the offer as quickly as possible Protected classes under the Fair Housing Act include what? - Answer- Gender, Race & Color An offer may NOT be withdrawn after.. - Answer- Notification of the acceptance What is the minimum age in TX to enter into a contract for real property? - Answer- 18 What is a requirement to have a valid real property sales contract in TX? - Answer- Be sober and demonstrate contractual intent A licensee may do what without engaging in the unauthorized practice of law? - Answer- Advise the seller that the property probably won't sell because it is overpriced What does the buyer need to provide the seller in paragraph 7D(2) of the One to Four Family Residential Contract? - Answer- Buyer's requested repairs Licensees must always suggest that clients... - Answer- Seek legal counsel What is the last thing written on the TREC-promulgated contract form the execute the contract? - Answer- Date How many sales contracts does TREC promulgate? - Answer- 6 What are the 6 sales contracts promulgated by TREC? - Answer- 1. One to Four Family Residential Contract (resale) 2. New Home Contract (Incomplete Construction) New Home Contract (Complete Construction) Farm and Ranch Unimproved Property Contract Residential Condominium Contract (Resale) How long can a temporary lease last? - Answer- 90 days How is the cost of a residential service contract addressed in paragraph 7H? - Answer- It is a buyer's expense that the seller may reimburse The reason the broker fee section is NOT part of the sales contract is that... - Answer- the contract is an agreement between only the buyer and the seller The Texas Real Estate Commission prohibits a license holder from using a sales contract drafted by... - Answer- The broker If a contract does NOT meet the six elements of a valid real estate contract, it is... - Answer- Void Who decides the amount of earnest money in the real estate contract? - Answer- Buyer and Seller What is NOT an essential element of valid contract? - Answer- Earnest Money The law that requires the contract to be in writing and signed by the parties is the - Answer- Statute of Frauds A contract that is unenforceable.... - Answer- was once valid but is no longer so An oral agreement of sale is - Answer- void and unenforceable A contract can be terminated at the option of the buyer when - Answer- -The seller fails to provide and the buyer, of a previously occupied single-family residence, fails to receive the written seller's disclosure of property condition. -Homeowners association information of the Condominium Resale Certificate have not been provided to the buyer prior to creating a contract -The property is situated in a utility district or other statutorily created district providing water, sewage, drainage or flood control, and the seller has not forwarded the appropriate notice prior to creating a contract to purchase Contracts can be discharged or terminated for all of the following reasons except: A. when the buyer sends an amendment to the seller asking for a change in the closing date B. if the contract is voided by a minor C. when the parties agree to cancel or terminate D. if the transaction is fradulent - Answer- A. When the buyer sends an amendment to the seller asking for a change in the closing date When the parties agree to change a contract that has already been agreed upon, the proper form to use is the - Answer- Amendmen