Exam (elaborations)
Modern Real Estate Quiz 20 Questions and Answers
- Course
- Institution
Modern Real Estate Quiz 20 Questions and Answers
[Show more]
Content preview
Modern Real Estate QuizCircle the letter of the Answer that corresponds to the displayed Question.
1. closing statement
A. A detailed cash accounting of a real estate transaction showing all cash received, all charges and credits made, and
all cash paid out in the transaction.
B. The rental of rooms or units is exempt in an owner-occupied one-family to four-family dwelling.
C. Illegal practice by lending institutions to deny or discourage loan application in an area based on its racial
composition or deterioration.
D. In real estate, generally a listing agreement, a buyer agency agreement or a management agreement (a document
evidencing formal employment between principal and agent).
2. Broad Form (HO-2)
A. The country's central banking system, which controls the nation's monetary policy by regulating the supply of money
and interest rates
B. A lack of uniformity; dissimilarity; heterogeneity. Because no two parcels of land are exactly alike, real estate is said to
be nonhomogenity
C. An insurance policy covering buildings and personal property against loss or damage from fire, lighting, removal,
windstorm, hail, explosion, riot, smoke, vandalism and theft.
D. divisions of financial responsibility between the buyer and seller for such items as loan interest, taxes, rents, and fuel
or utility bills.
3. consequential damages
A. The first place to file a complaint by those who have been injured by discriminatory housing acts.
B. A contract that has no legal force or effect. It is unenforceable in a court of law b/c it does not meet the essential
elements of a contract.
C. Special damages that might be obtained if the damages upon breach were reasonably foreseeable to the breaching
party at the time of making the contract.
D. 1)term 2)promise to pay 3)signature of the borrower(s)
4. growing-equity mortgage (GEM)
A. modeled after the Residential Agreements Act, it establishes uniform rules for landlords, tenants, and their agents
involved in the handling of short-term rentals under 90 days in length where tenant has primary residence elsewhere.
B. a loan in which the monthly payments increase annually, with the increased amount being used to reduce directly the
principal balance outstanding and thus shorten the overall term of the loan.
C. a heavy horizontal board, set on edge at the apex of the roof, to which the rafters are attached
D. A loan in which only interest is paid during the term of the loan, with the entire principal due with the final interest
payment; also called a straight loan.
5. Contribution
A. The principle that affirms that the value of any component of a property is defined by what its addition contributes to
the value of the whole or what its absence detracts from that value.
B. Special damages that might be obtained if the damages upon breach were reasonably foreseeable to the breaching
party at the time of making the contract.
, C. a wooden board fastened at the top of the exterior wall under the eave soffit to prevent penetration of weather
elements
D. When the property does NOT sell for an unusually high or low price because of a special relationship between a
buyer & a seller; parties are dealing from equal bargaining positions
6. Fee Simple Defeasible or defeasible fee estate
A. An easement acquired for a public purpose through the power of eminent domain.
B. An estate in which the holder has a fee simple title that may be terminated upon the occurrence or nonoccurrence of
a specified event. Two categories of defeasible fee estates exist: fee simple determinable and fee simple on condition
subsequent.
C. the final inspection of the property by the buyer prior to closing to assure that the seller has vacated, made required
repairs, and delivered the property in the condition it was in at contact.
D. interest paid in advance; one point equals 1% of the loan amount for the borrower and increases the yield for the
investor approximately 1/8%.
7. valid contract
A. takes place when agents have actual knowledge of a material fact and a duty to disclose such fact to a buyer, seller,
tenant, or landlord, but deliberately fail to disclose such fact.
B. a wooden board fastened at the top of the exterior wall under the eave soffit to prevent penetration of weather
elements
C. A contract that complies with all the essential elements of a contract.
D. An improper use or abuse of a property by a possessor who holds less than fee ownership, such as a tenant, life
tenant, mortgagor, or vendee. Such waste ordinarily impairs the value of the land.
8. Steering
A. 1)term 2)promise to pay 3)signature of the borrower(s)
B. boards nailed horizontally to the vertical studs, with or without intervening sheathing, to form the exposed surface of
the outside walls of the building; can be made of wood, metal, or masonry sheets.
C. The channeling of homeowners to particular neighborhoods based on the presence or absence of a protected class.
D. imposes restrictions and limitations on high-cost loans; revises permissible fees and charges on certain loans;
prohibits unfair or deceptive practices by lenders
9. Deed in lieu of Foreclosure
A. A type of contract in which both parties promise to do or refrain from doing something; one promise is exchanged for
another. "I will do this and you will do that"
B. attached to the top plate of a wall and carry the weight of the roof
C. Deed that is used when a borrower has defaulted on the mortgage loan and wants to avoid a foreclosure action.
D. A lack of uniformity; dissimilarity; heterogeneity. Because no two parcels of land are exactly alike, real estate is said to
be nonhomogenity
10. Specific lien
A. A lien that is secured by a specific parcel of property and affects only that particular property
B. a loss of value in property due to any cause; an expense deduction for tax purposes taken over the period of
ownership of income property
C. Dwelling units owned by religious organizations may be restricted to people of the same religion if membership in the
organization is not restricted on the basis of protected class.
D. a lease that provides for increases in rent to occur at set future dates; often used in the rental of office space for
multiple-year terms. Also called a step-up lease.
Circle the letter of the Question that corresponds to the displayed Answer.
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 ACTUALSTUDY. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $7.99. You're not tied to anything after your purchase.
Can Stuvia be trusted?
4.6 stars on Google & Trustpilot (+1000 reviews)
78767 documents were sold in the last 30 days
Founded in 2010, the go-to place to buy study notes for 14 years now