Exam (elaborations)
TREC STATE QUESTIONS AND ANSWERS
- Course
- Institution
TREC STATE QUESTIONS AND ANSWERS
[Show more]
Content preview
TREC STATE QUESTIONS AND ANSWERSAn individual is exempt from being required to have a real estate license in Texas when
performing which one of the following activities? - Answers -Offering an employer's
property for rent
The Texas Real Estate Commission is composed of - Answers -six brokers and three
public members appointed by the governor with senate approval
All of the following are true about discount points EXCEPT: - Answers -Discount points
must be part of all contracts
A real estate licensee must use a TREC promulgated form, unless a form has been
written and is required by the : - Answers -The owner of the property
The Real Estate Recovery Fund has a balance of $699,000 at the end of a calendar
year. What is the Texas Real Estate Commission authorized or required to do? -
Answers -Assess each licensee a prorate share to replenish the fund.
When a designated broker applies as a "Business Entity", he/she must own a minimum
of ___ % of the company - Answers -10%
What can TREC do if a salesperson is convicted of a felony - Answers -Suspend or
revoke their license
If a property is subject to a forced sale for property taxes, how long does an homeowner
have to regain legal title - Answers -2 years
A married couple is selling its homestead, owned as community property. For the deed
conveying the property to be valid, who must sign it? - Answers -Both husband and
wife.
What are the required number of MCE hours needed to renew a salesperson license
after all SAE requirements have been met - Answers -4 hours of Legal Update I, 4
hours of legal update and 10 hours of related MCE hours
Salesperson Betty Johnson has found the perfect house for herself. She learns that the
owner may be interested in selling, so she introduces herself and is allowed to make a
listing presentation. She gets the listing for her brokerage after presenting a CMA
(Competitive Market Analysis) that emphasizes the lowest priced homes in the
neighborhood. As a result of the CMA (Competitive Market Analysis), the seller decides
on a relatively low asking price. Betty immediately presents full-price offer from her
cousin, but does not reveal the relationship to the seller. The offer is accepted by the
seller. A few days after the sales closes, Betty buys the property from her cousin.
Betty's conduct is - Answers -Unacceptable as a violation of her fiduciary obligations to
her principal.
,A lease is a _________ between the lessee and lessor - Answers -Contract
Which of the following is NOT true under the Texas Homestead law? - Answers -
Homestead rights in property may be terminated by the death of a spouse
Possession of the property is normally delivered to the buyer: - Answers -Upon the
funding of the loan.
An outside leasing agent involved in lease negotiations, coordination of the transaction,
and fee collection is a - Answers -Real Estate Agent
Broker Dillard lists Shawn and Adam's house for $87,000. Adam has been transferred
to another state, and the couple must sell their house within three months. To expedite
the sale, Dillard tells a prospective buyer that the couple will accept at least $5,000 less
for the house. In this situation - Answers -Dillard should not have disclosed this
information to the prospective buyer, because it is not in the seller's best financial
interest.
The primary functions of the Texas Real Estate Commission are all of the following
EXCEPT - Answers -To oversee the loan process for consumers
All of the following are violations of the Texas Real Estate Licensing Act EXCEPT -
Answers -Taking a net listing
Who drafts and revises the promulgated sales contracts? - Answers -The Joint Broker-
Lawyer Committee.
The responsibilities of the Texas Real Estate Commission include all the following
except: - Answers -regulating brokerage fees
Salesperson Jason Smith is employed by A to Z Realty, Inc. Jason learns that A to Zs
broker of record missed her licensing renewal deadline. When Jason questions the
broker about this, the broker laughs and says, "Don't worry. There is always a grace
period to renew." Jason knows that this in not true, but decides not to say any more
about it. Jason's conduct is - Answers -Unacceptable because upon expiration of his
sponsoring broker's license, Jason's salesperson license is inactive.
Responding to or facilitating inquiries about the ancestry or familial status would put the
licensee in the position of violating - Answers -Federal and state laws as well as the
Texas Real Estate Commission rules.
A closing occurs on July 5. According to the terms of the agreement created by using
the Texas Real Estate Commission 20-11 form, which of the following statements is
true? - Answers -The seller is responsible for paying the ad valorem tax for July 5.
, An option to purchase agreement: - Answers -Requires a fee for a specified time period.
If the TREC finds a licensee guilty of a violation of the TRELA, the licensee can appeal
to - Answers -District court
It is unlawful for a person to act as a real estate salesperson unless - Answers -Such
person is legally associated with a licensed Texas Real Estate broker.
Seth and Sarah are occupying an apartment on a month-to-month lease with rent due
and payable on the 15th day of each month. How much notice must they give their
landlord to terminate their tenancy-at-will? - Answers -30 days unless otherwise
stipulated on the rental agreement
A real estate licensee must use a Texas Real Estate Commission promulgated form
unless a form has been written and is required by the: - Answers -Owner of the property
The statement " A broker must be employed to recover a commission for his or her
services" means that the - Answers -Seller must have signed an agreement to pay a
commission to the broker for selling the property
A licensee who drafts an earnest money contract and does not use a promulgated form
- Answers -shall have his or her license revoked or suspended
On the seller's default, what should happen to the earnest money - Answers -It should
be returned to the buyer
A licensee must use the earnest money contract forms, addenda and leases
promulgated by the commission unless - Answers -An attorney prepares the forms and
the property owner requires their use
When the law does not speak to specific situations is decided by - Answers -Case law
All the salespersons in Alan's brokerage firm work as independent contractors. Their
office most likely provides them with which of the following? - Answers -Access to the
MLS.
A salesperson is about to change firms. Should he contact all of his buyer clients and
advise them that he will still represent them at his new firm? - Answers -No, because
the buyer's agreement is with the broker
Which one of the following is authorized by statute to promulgate forms for mandatory
use by real estate brokers and sales persons? - Answers -Texas Real Estate
Commission.
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller GEEKA. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $12.49. You're not tied to anything after your purchase.
Can Stuvia be trusted?
4.6 stars on Google & Trustpilot (+1000 reviews)
77254 documents were sold in the last 30 days
Founded in 2010, the go-to place to buy study notes for 14 years now