PSI Real Estate Exam Prep Questions Solved
100% Correct
An endorser of a note who does not guarantee payment of the note to the person to
whom he immediately assigns it, and to all future holders, endorses it: - Answer without
recourse. When a person endorses a note '''without recourse'" he is stating that the
person receiving the note cannot take action
When one party fails to live up to her contractual obligations, it is know as: - Answer
Breach. When a contract is breached, it is not automatically terminated.
A provision in an offer to purchase that requires the completion of a certain act before
the contract is binding is known as a: - Answer Contingency
The responsibility for selecting a title and escrow company under conventional financing
rests with: - Answer both the buyer and the seller.
promissory note establishes: - Answer the amount of the debt.
the terms of repayment and the interest rate.
who is the borrower and who is the lender.
The value of property as established by the assessor for the purpose of determining
taxes is called all of the following: - Answer assessed value.
ad valorem value.
taxable value.
NOT market value
government rights permits the state to take ownership to land left by a
,person with no devisees or heirs? - Answer Escheat
As a listing agent, what obligations do you owe to an unrepresented buyer? - Answer
Honesty and fairness
The listing price of the property is known as: - Answer Market value
The primary survey line running east and west in the rectangular survey is a: - Answer
baseline.
In real estate financing, reference is sometimes made to a ''''take out loan.'" This refers
to a: - Answer Long term loan taken out after construction
must a landlord allow a handicapped tenant to install in a
rental property if the tenant bears the cost? - Answer Yes. A landlord must allow a
handicapped tenant to make any necessary
changes, with the tenant paying for the changes.
All of the following are essential elements of a deed: - Answer DOES NOT NEED TO BE
SIGNED BY GRANTEE
1. be in writing; (2) be signed by a
grantor; (3) have a grantor competent to convey title; (4) identify the grantor and
grantee; (5)
have words of conveyance (granting clause); (6) have an adequate description of the
property;
and (7) be delivered and accepted by the grantee
, All of the following are essential to a valid contract - Answer (1) competent parties; (2)
mutual consent (the offer and acceptance of the offer); (3)legal consideration (promises,
something of value, an act, giving up the right to act, etc.); (4)legal object
A listing agreement between a real estate brokerage firm and a seller is known as what
form of agency? - Answer Special
A lease for less than one year: - Answer may be oral
Leases for over one year - Answer Must be in writing
Once an offer is made, it can be withdrawn: - Answer until acceptance is communicated
Which the following deed forms may convey no ownership rights at all? - Answer
Quitclaim deed
A type of mortgage enabling one to borrow additional funds without negotiating a new
mortgage is called a(n): - Answer open-end mortgage
The Federal National Mortgage Association (FNMA) was created primarily for the
purpose of: - Answer buying property loans to keep the market liquid.
A quitclaim deed is most commonly used to: - Answer cure title defects
Whose obligation is it to disclose potential lead-based paint to buyers of homes built
before January 1, 1978? - Answer seller
An escrow company acts as a(n): - Answer agent for both buyer and seller
100% Correct
An endorser of a note who does not guarantee payment of the note to the person to
whom he immediately assigns it, and to all future holders, endorses it: - Answer without
recourse. When a person endorses a note '''without recourse'" he is stating that the
person receiving the note cannot take action
When one party fails to live up to her contractual obligations, it is know as: - Answer
Breach. When a contract is breached, it is not automatically terminated.
A provision in an offer to purchase that requires the completion of a certain act before
the contract is binding is known as a: - Answer Contingency
The responsibility for selecting a title and escrow company under conventional financing
rests with: - Answer both the buyer and the seller.
promissory note establishes: - Answer the amount of the debt.
the terms of repayment and the interest rate.
who is the borrower and who is the lender.
The value of property as established by the assessor for the purpose of determining
taxes is called all of the following: - Answer assessed value.
ad valorem value.
taxable value.
NOT market value
government rights permits the state to take ownership to land left by a
,person with no devisees or heirs? - Answer Escheat
As a listing agent, what obligations do you owe to an unrepresented buyer? - Answer
Honesty and fairness
The listing price of the property is known as: - Answer Market value
The primary survey line running east and west in the rectangular survey is a: - Answer
baseline.
In real estate financing, reference is sometimes made to a ''''take out loan.'" This refers
to a: - Answer Long term loan taken out after construction
must a landlord allow a handicapped tenant to install in a
rental property if the tenant bears the cost? - Answer Yes. A landlord must allow a
handicapped tenant to make any necessary
changes, with the tenant paying for the changes.
All of the following are essential elements of a deed: - Answer DOES NOT NEED TO BE
SIGNED BY GRANTEE
1. be in writing; (2) be signed by a
grantor; (3) have a grantor competent to convey title; (4) identify the grantor and
grantee; (5)
have words of conveyance (granting clause); (6) have an adequate description of the
property;
and (7) be delivered and accepted by the grantee
, All of the following are essential to a valid contract - Answer (1) competent parties; (2)
mutual consent (the offer and acceptance of the offer); (3)legal consideration (promises,
something of value, an act, giving up the right to act, etc.); (4)legal object
A listing agreement between a real estate brokerage firm and a seller is known as what
form of agency? - Answer Special
A lease for less than one year: - Answer may be oral
Leases for over one year - Answer Must be in writing
Once an offer is made, it can be withdrawn: - Answer until acceptance is communicated
Which the following deed forms may convey no ownership rights at all? - Answer
Quitclaim deed
A type of mortgage enabling one to borrow additional funds without negotiating a new
mortgage is called a(n): - Answer open-end mortgage
The Federal National Mortgage Association (FNMA) was created primarily for the
purpose of: - Answer buying property loans to keep the market liquid.
A quitclaim deed is most commonly used to: - Answer cure title defects
Whose obligation is it to disclose potential lead-based paint to buyers of homes built
before January 1, 1978? - Answer seller
An escrow company acts as a(n): - Answer agent for both buyer and seller
