Marty is looking to enter into a listing contract with Jane. Jane is negotiating for an Exclusive Agency agreement, while Marty prefers an Exclusive Right to Sell agreement. Why would Marty prefer an Exclusive Right to Sell agreement over an Exclusive Agency agreement? Isabelle entered into a contract to purchase Mark's house. Isabelle will make a 25% down payment; however, she still needs a loan to close on the property. Why should Isabelle include a mortgage contingency in the sales contract? Sal paid his annual homeowners insurance on January 10th. He eventually sells his property on March 27th. How will Sal's homeowners insurance be categorized on the settlement statement? David is looking to purchase an old church building. He hires an appraiser to help determine the market value of the property. Why would the appraiser most likely value the property using the cost approach? After a complaint was filed against him, Broker Ike was found guilty of a license law violation. He was fined and had to pay legal fees totaling $8,900. This was paid by the Recovery Fund. What else is likely to happen to Broker Ike? Mark is purchasing a house for $480,000 using a $360,000 home loan. Mark's lender is charging a loan origination fee of 1.5 points. How much will Mark pay in origination fees? Phillip is a broker who was hired by Sam to help him find a new investment property. Phillip identifies a property that fits Sam's investing criteria. Sam asks Phillip to do some research and provide him with an opinion of title on the property. Is Phillip permitted to do this? John owns a house in Fort Meyers, FL. He wants to build a pool in his back yard, as he believes he can use the pool year-round. Why might installing a pool increase the value of John's house? James is looking to purchase a single-family home. He needs to obtain a loan in order to complete the purchase but lacks good credit. Why may James opt for an installment sales contract with the seller rather than obtain a traditional mortgage from a lender? For an option fee of $6,000, a seller provided an option to a buyer for 90 days to purchase the property for $100,000. However, during the option period, the seller decides not to go ahead with the deal. What will occur next? When a broker is changing from a single agency relationship with a seller to a transaction broker, at what point in the transaction does this actually happen? Ted, Will, Mike, and Tom own a 20-room home as tenants in common. Mike and Tom, two of the owners, decide to sell to two new owners, Larry and Joe. Can this be legally done? Peter is a sales associate who pressured an elderly home owner to let him list her house so that she can move into an assisted living home. He told the homeowner that the neighborhood is deteriorating and becoming unsafe. What is Peter doing? As a result of a major hurricane, Hector's property, which was in a specialized flood hazard area experienced heavy flooding. Which insurance will allow Hector to recoup part of his losses? Jason buys a large vacant lot in a predominantly residential neighborhood. He wants to build a building on the land, which will give him the largest return on investment. He figures a large high-rise office building will do the trick. Why would Jason most likely not be able to build a high-rise office building on his property? Jason's house was built in 1968. He's looking to sell his house in the next 6 months, but first wants to be sure there are no material defects with the house. What should Jason test for first? Jane put her house on the market a few weeks ago. However, she just received a job offer in California. She now needs to sell immediately. What should Jane tell her broker? Why might a borrower prefer a fully amortizing loan over an adjustable-rate mortgage? Jane recently purchased a house using a home loan. Her home loan is a fixed-rate, 30-year loan. When will Jane's interest payment be the highest? The buyer and seller are scheduled to close the sales transaction on Wednesday, June 14. The taxes for the year were $3,500 and were paid in arrears. How would this appear on a closing statement? Lisa purchased her home 5 years ago for $265,000. Lisa stopped making payments on her home loan, and unfortunately, the real estate market has gone down significantly in recent years. Lisa needs to sell her home immediately to avoid foreclosure; however, her property is now only worth $189,000. What should Lisa do next? James is working with several mortgage brokers to secure a loan to purchase a new house. He plans on living in the house for many years to come and wants a loan that will have minimal risk. What type of loan should James get? June is looking into buying her first home. She is shown a number of houses on the market, but the market appears to be sluggish because there are so few buyers. Interest rates are steady and June has several good prospect homes to choose from at reasonable prices. June is in a...? If unauthorized practice of law is considered to be the practice of law by someone who has not been licensed to practice law, which of the following could present legal problems for a sales associate? Arnold owns a home with the following liens: 1) Mortgage lien. 2) Mechanic's lien dated 12/2/2011. 3) Tax lien. 4) Mechanic's lien dated 6/8/2019. Which lien takes the highest priority and why? Last month, Alex obtained his Florida real estate sales associate's license and already closed his first deal. He's wants to accelerate his career by opening up his own real estate office and have other real estate sales associates work under him. Can Alex do this? Evangeline, an 80-year-old widow living alone, has a fixed income of $11,000 per year from social security. If the local option homestead relief exemption exists in Evangeline's county of residence, what might she be entitled to? A condo is purchased for $110,000 with a loan for $85,000. If the interest rate was 3% with 3 discount points. What did the lender charge for the points? Last month, Wendy received her Florida real estate sales associates license. What is Wendy required to do before her first license renewal date? The buyer and seller were arguing over a small river rock fountain, which before closing had been sunk into the patio and cemented in place. No mention of the fountain had been made during negotiations and both sales associates believed the fountain would stay. When the buyer went by to pick up the keys after closing, the fountain was gone and in its place was a small wooden windmill and 2 plastic gnomes. The seller claimed the fountain was personal property and the buyer claimed it was a fixture. Which statement about the fountain is true? Cindy is in the process of selling her property. This closing is set for March 12th. Cindy already paid her annual property taxes on November 15th. Why should Cindy receive a partial credit for property taxes on the settlement statement? Nick owns a single-family home, which he rents out for $1,600 per month. According to the IRS, over how many years will Nick's property depreciate? What is the system that uses measurements, monuments, compass readings, and a POB? Kathy receives her real estate license. Within a month of receiving her license, she gets a new job offer she can’t refuse. She decides to continue to hold her license but not practice, do any real estate work, or collect any referrals at this time. She is willing to renew her license, do her continuing education, and pay the renewal fee for her license. What should Kathy do? An office building has an effective gross income of $1,240,000. The operating expenses are $460,000, and the amount paid in mortgage payments equals $380,000 per year. What is the net operating income of the property? A homebuyer recently obtained a loan to purchase a house. The lender offered a lower interest rate because the loan is secured. Why would a real estate loan be considered a secure loan? A broker enters into a listing contract with a seller. The broker markets the property for several weeks and receives four offers. The seller selects the highest bid and ultimately closes on the property. However, the seller refuses to pay the broker their commission. What happens next? Alex is a transaction broker who represents the seller in a transaction. The seller is looking to sell their single-family home. Based on the following facts, what is Alex required to disclose to prospective buyers: 1) There are cracks in the house's foundation. 2) The house has not been painted in over 20 years. 3) Based on the local zoning laws, the house cannot be expanded. The FREC is investigating a claim against a broker for failure to properly disclose a material fact before a sale closed four years ago. The broker keeps all his records for three years and has a policy of keeping records for an additional year after any legal action has been taken. Is his record keeping in order? Martin owns an older home, which requires minor renovations. However, the neighborhood where Martin lives mostly includes newly constructed luxury homes. Why might Martin's home increase in value? What is the term for a lender refusing to lend in certain areas because of race, color, national origin, or religion, regardless of an individual person's ability to pay? Arthur recently selected a broker to sell his house. Arthur and the broker are now in the process of finalizing the listing agreement. How should Arthur determine how much he should pay the broker as a commission? John has a 15-year mortgage, which he has been paying off for over 14 years. John elects to pay off the remaining balance of the loan in one lump sum. In return, the lender gives John a Satisfaction of Mortgage letter. Why is this important? A buyer bought a property without telling the seller or broker of his intended purpose for the property. The contract contained no contingency clauses and was properly signed and executed. He became very angry when he was unable to obtain the zoning for the commercial project he had planned and now wants to declare the contract null and void and get his money back. What is the status of the contract at this time? A property was listed for $640,000, but eventually sold for $580,000. The seller paid a commission of 5%. How much did the listing broker earn as a commission? Two offers were received by the broker at the same time, what action must the broker take? A homebuyer needs to obtain a home loan to close on a house. Who should the homebuyer contact to get the best loan terms? Andrew recently obtained a loan to purchase a house in Tampa, FL. Considering Florida is a lien theory state, which of the following answer choices best describes the arrangement of Andrew's loan? If the branches of a neighbor's tree overhang a fence and look like they are going to damage the screening around the pool, does the owner of the screened pool have a right to have the branches removed? Mary is trying to qualify for a home loan but her lender tells her that her debt-to-income ratio is too high for FHA standards. What can Mary do to qualify for an FHA loan? Tip: Click the ("plain-text" link in this section to view all text in this description) ---- CHECK OUT www.PassRealtyU.com for better prices. After payment , YOU MUST EMAIL US AT PassrealtyU@yahoo.com TO GAIN ACCESS TO www.PassRealtyU.com CONTENT OF YOUR SUBSCRIPTION. so we can make an account for you on our website.. Or just get it from our website for faster service. CHECK OUT www.PassRealtyU.com for better prices. please include.. 1) your email 2) any Username you would like for our site 3) any Password you would like for our site 4) optional - receipt of payment made for the subscription accounts usually are created in minutes but please allow up to 24hours for your account to be created. we prefer email thank you!