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Below are the questions for the exam with the choices of answers:
Question #1
A 18
B 21
C 19
D 20
Question #2
A Speaks to a local civic club about the homebuying process
B Contacts a mortgage broker to find out what first-time homebuyer programs are available
C Performs a CMA for an acquaintance and provides advice on setting a listing price based on other comparable properties in the area
D Gives her neighbor a tour of another neighborhood home that’s on the market
Question #3
A 640 miles
B One acre
C 640 square feet
D 640 acres
Question #4
A Prior to or within 10 days after the loan application
B Prior to loan application
C Prior to or within three days after the loan application
D At loan application or within three days after loan application
Question #5
A Fiona is hoping to purchase the building at a later date.
B Fiona wants to demonstrate how viable her business is.
C The landlord is her business partner.
D Fiona wants to reduce her base rent.
Question #6
A The primary market regulates the secondary market.
B The primary market packages loans to sell to the secondary market.
C The secondary market packages loans to sell to the primary market.
D The secondary market regulates the primary market.
Question #7
A Agency disclosure is required for buyers and sellers, but not tenants or landlords.
B A rental agent only has “agency” with landlords, so only landlords must be provided with the disclosure.
C Agency disclosure is required for both landlords and tenants.
D Agency disclosure is not required if a licensee represents both the tenant and the landlord.
Question #8
A It causes dementia if levels of exposure are high.
B It causes premature birth.
C It can cause serious lung disease and cancer.
D It causes a skin rash.
Question #9
A The center-most section identified in the rectangular government survey system
B An east-west line used as a reference point in the rectangular government survey system
C A north-south line used as a reference point in the rectangular government survey system
D The center-most township identified in the rectangular government survey system
Question #10
A The property can be a primary or secondary residence.
B The property must be at least five acres.
C The property must be located in California.
D The property can be a mobile or manufactured home.
Question #11
A Grant
B Covenant
C License
D Easement
Question #12
A Permanence
B Scarcity
C Area preference
D Improvements
Question #13
A Keeping a client’s confidential information confidential
B Never questioning a client’s opinion
C Carrying out a client’s instructions without question
D Putting the client’s interest first
Question #14
A Defeasance
B Alienation
C Due-on-sale
D Acceleration
Question #15
A Intention in placing item on land
B Adaptability of the item to the land’s use
C Agreement of the parties
D Method of annexation
Question #16
A The smaller number
B The larger number, as a buyer has already been found
C A middle point between the two numbers
D A weighted average based on the sales price, appraisal amount, and recent sales
Question #17
A A lawsuit filed by a landlord against a holdover tenant.
B A lawsuit filed by a tenant when the security deposit is withheld unlawfully.
C A lawsuit filed by a landlord to regain possession of an improvement to property.
D A lawsuit filed by a rental agent when the commission is not paid.
Question #18
A When a party acknowledges receipt of the contract
B When a party rejects all terms of the contract
C When a party does some, but not all, of what the party has agreed to do
D When a party meets all terms of the contract
Question #19
A A mortgage
B A judgment lien
C Created by a court of common law; doesn’t give the right to possession of the property
D Created by law and gives right of possession
Question #20
A Aerial photographs
B Affidavit from surveyor
C Testimony from long-time neighbors
D Legal descriptions of both properties
Question #21
A 10 square feet
B Three square feet
C Nine square feet
D Six square feet
Question #22
A An increase in the number of retirees in a given population would negatively impact the demand for large, single-family homes.
B An increase in the number of retirees in a given population would positively impact the demand for large, single-family homes.
C An influx of higher wage earners to a given area would create a price decrease for lower-valued homes.
D An influx of higher wage earners to a given area would decrease the demand for higher-priced housing.
Question #23
A Fee simple
B Tenancy at will
C Qualified fee
D Fee absolute
Question #24
A Someone who is involved in a transaction but represents neither party
B Someone who’s hired to act on behalf of a client
C Someone who uses or purchases a product or service
D Someone who’s in a position of trust and loyalty
Question #25
A Ill-advised
B Unlawful
C Mutual
D Tenuous
Question #26
A Explain to the buyer why it’s unnecessary to have a professional inspection done on a new home
B Coach the buyer on how to negotiate the terms of the sales contract to be completely in the buyer’s favor
C Show properties the buyer might qualify for if he would put down more earnest money
D Review transaction documents with the buyer, clarifying anything that could be confusing, without stepping outside the scope of your license
Question #27
A Signed
B Payable at an indefinite time
C Include a “not to exceed” clause
D On a government-issued form
Question #28
A Conservator
B Escrow officer
C Buyer’s agent
D Listing agent
Question #29
A Scarcity
B Transferability
C Utility
D Demand
Question #30
A ECOLA
B Real Estate Settlement Procedures Act
C The Equal Credit Opportunity Act
D The Community Reinvestment Act
Question #31
A Limited agent
B General agent
C Universal agent
D Single agent
Question #32
A Too heavy
B The wrong color for her new house
C A fixture
D An improvement
Question #33
A The building plan
B A blueprint
C A survey
D A written narrative of the building plan
Question #34
A Time-share
B Condominium project
C Planned development
D Stock cooperative project
Question #35
A he former client has moved out-of-state.
B the transaction has closed.
C it will help another client.
D the former client is found guilty of fraud.
Question #36
A RESPA
B Community Reinvestment Act
C Truth in Lending Act
D Equal Credit Opportunity Act
Question #37
A Contract
B Covenant
C Clairvoyance
D Conveyance
Question #38
A 20 years old
B 15 years old
C 30 years old
D 25 years old
Question #39
A 25.58%
B 18.96%
C 14.51%
D 19.58%
Question #40
A Must report this to California DRE under all circumstances
B Must not report this; as it would be a violation of confidential information
C Must report this to California DRE only if the charge is related to theft
D Need not report this to California DRE because it is not a guilty verdict
Question #41
A Disclosure
B Obedience
C Confidentiality
D Reasonable skill and care
Question #42
A $874.50
B $1,093.13
C $1,126.25
D $901
Question #43
A Aesthetic
B Moratorium
C Bulk
D Rural
Question #44
A Micah may receive a slap on the wrist from his broker, and be told to shape up or ship out.
B Micah may be forced to send the client a written apology.
C Micah’s commission may be at risk.
D Micah may lose the client’s business.
Question #45
A $3,113.46
B $792.54
C $604.95
D $1,997.62
Question #46
A The agreement terminates by force of law.
B The client can revoke the agreement but may be considered in breach of contract.
C It’s terminated once the specified term in the agency agreement expires.
D Jenson and Susan can mutually agree to terminate the agreement.
Question #47
A $2,475
B $2,400
C $2,450
D $3,200
Question #48
A Physical depreciation
B None. Depreciation doesn’t apply to new buildings.
C External depreciation
D Functional obsolescence
Question #49
A Implied agency and undisclosed dual agency
B Implied friendship
C Undisclosed single agency
D A potential bonus from the buyer
Question #50
A No, agency disclosure is not required on sales of residential properties with one to four units.
B No, agency disclosure is only required on leases exceeding one year.
C No, Damian does not provide the agency disclosure to his client. He only provides it to others involved in the transaction.
D Yes, agency disclosure is required on sales of residential properties with one to four units.
Question #51
A Purchase title insurance.
B Ensure the seller’s name is on the deed.
C File a lis pendens claim at the court before buying the property.
D File a security agreement at the county clerk’s office.
Question #52
A Advocating for the seller
B Representing the buyer’s interests
C Negotiating for the seller
D Reviewing transactional documents with the seller
Question #53
A Dedicate a certain percentage of the land to the state of California
B Sign an affidavit of proforma
C They must have a disclaimer that the property has not been examined the BRE on all marketing and sales materials.
D Attain a surety bond and furnish it to the state of California for one-and-a-half times the amount of any deposit monies.
Question #54
A Civil Rights Act of 1866
B Civil Rights Act of 1968
C Housing and Community Development Act of 1974
D Equal Credit Opportunity Act of 1974
Question #55
A 1,760
B 640
C 5,280
D 43,560
Question #56
A Indefinitely
B 27.5 years
C 39 years
D Zero years (commercial properties cannot be depreciated)
Question #57
A Percentage lease
B Sublease
C Gross lease
D Net lease
Question #58
A The contract between the parties should clarify the disposition of the crop.
B The seller should assume the crop does not transfer with the property.
C The buyer should assume the crop transfers with the property.
D The seller should harvest the beans before the sale closes.
Question #59
A $5,000
B $43,560
C $21,780
D $500
Question #60
A Incentive zoning
B Spot zoning
C Downzoning
D Aesthetic zoning
Question #61
A Margo tells her seller client Troy that his property is worth less than it really is so he will get a quick sale.
B Michael submits all offers he receives on Jarrod’s property.
C Steven postponed his vacation so he could attend his seller client’s closing.
D Tanaka refuses to encourage his seller client to lower his asking price.
Question #62
A 12.50%
B 8%
C 7.50%
D 9%
Question #63
A A payment of less than $10,000
B Earnest money paid with a cashier’s check or wire transfer
C Gifting a house to a family member
D A payment of more than $10,000
Question #64
A No, agency disclosure is not required for residential transactions involving five or more units.
B No, agency disclosure is only required on sales of residential properties.
C Yes, agency disclosure is required for lease transactions.
D No, agency disclosure is only required for commercial transactions.
Question #65
A Notice
B Compensation
C Sympathy
D Alternative living arrangements
Question #66
A $2,310
B $462
C $231
D $4,620
Question #67
A File a notice of completion.
B Nothing. There is no defense against unpaid subcontractors.
C File a lien release.
D Require the contractor obtain a payment bond.
Question #68
A Co-ownership
B Dual ownership
C Estate by severalty
D Property partnership
Question #69
A A legal notice that a lawsuit is pending that affects the title of a property
B A notice that notifies potential buyers of a pending lease
C A public listing and notice of foreclosure of a property.
D A legal term that means “it depends” and requires a certain minimum sales price of the property.
Question #70
A The date it is recorded
B The amount of the lien
C The lien holder
D The date the lien is to be paid off
Question #71
A Judgment lien
B Mortgage lien
C Foreclosure action
D Lis pendens
Question #72
A $,1055
B $1,069.77
C $1,064.7
D $1,050
Question #73
A Clairvoyance and contract
B Conveyance and concession
C Conveyance and contract
D Concession and contract
Question #74
A Integrated planning
B Pocket planning
C Form-based planning
D Traditional planning
Question #75
A PCBs
B BPA
C VOCs
D Natural scents
Question #76
A RV Park Occupancy Law
B Mobilehome Residency Law
C Mobilehome Rent Law
D Mobilehome Landlord-Tenant Relations
Question #77
A Substitution
B Contribution
C Anticipation
D Conformity
Question #78
A Tom is holding an open house for his client. Ruby, a buyer, says she wants to make an offer.
B Kady’s firm uses representation agreements that, when signed, provide consent to dual licensee dual agency. Kady’s buyer makes an offer on one of Kady’s colleague’s listings.
C Levi’s customer, Renee, wants to make an offer on Levi’s seller client’s home. Levi presents Renee’s offer to his client.
D Jarrod represents the seller, Juan. A buyer, Alaina, approaches Jarrod about representing her in the purchase of Juan’s house. Jarrod obtains Juan and Alaina’s consent to dual agency.
Question #79
A They’re recorded at the real estate brokerage’s main office.
B Mortgages are not recorded; only deeds are.
C They’re recorded at the lending bank’s main office.
D They’re recorded at the recorder’s office in the county where the property is located.
Question #80
A Each company a uses a slightly different scoring system
B Each company posts the borrower’s FICO® Score
C Scoring is consistent across the three companies
D The higher the score, the higher the credit risk
Question #81
A The property may float away.
B Lenders will not approve a loan.
C The property will never sell.
D Flood insurance may be required.
Question #82
A She received another loan on the secondary market when her bank demanded full payment.
B Her bank sold it on the secondary market as an investment product.
C She sold the loan on the primary market for a lower interest rate.
D Her bank foreclosed on the loan.
Question #83
A Move the decimal point two places to the left and remove the percent symbol.
B Divide the smaller number by the larger number.
C Move the decimal point right two spots and add a percent symbol.
D Divide the top number by the bottom number.
Question #84
A Seller agency
B Dual-licensee dual agency
C Buyer agency
D Single-licensee dual agency
Question #85
A It provides requirements that contracts have to meet to be legally enforceable.
B It doesn’t allow people to own land unless they can afford it.
C It puts a limit on how much interest financial institutions can charge.
D It states that all real property sales must involve lawyers.
Question #86
A The asset is worth more because of capital improvements.
B The owner/investor is making less income from the property than previously.
C The asset is worth less because the economy took a downturn.
D Investors can take a business deduction for annual depreciation.
Question #87
A Consideration
B Earnest money
C Profit
D Attorney review
Question #88
A It’s still valid; Rex’s family must abide by it.
B The listing agreement is terminated by force of law.
C Rex’s agent can continue to market the property, but Rex’s family must approve the sale.
D The listing is temporarily on hold until a court gives permission to invalidate it or until the listing expires.
Question #89
A The owner of the empty lot down the street that Elizabeth uses as a vegetable garden with the owner’s permission
B The resident of the adjoining property to whom Elizabeth has given permission to store some items in her gardening shed
C The utility company that needs to access the power line that crosses a corner of Elizabeth’s land
D The neighbor who constructed his new backyard fence six inches across Elizabeth’s property line
Question #90
A Reliction
B Alienation
C Accession
D Dedication
Question #91
A Both the buyer and seller
B The buyer
C The seller
D Neither the buyer nor seller
Question #92
A The seller is willing to take less than the asking price.
B The seller is in a hurry to move because his wife is seven months pregnant.
C None of these facts may be shared with the buyer if you are the seller’s agent.
D The roof leaks when it rains.
Question #93
A The Freedom of Information Act
B The SPEECH Act
C The Sarbanes-Oxley Act
D The First Amendment
Question #94
A NAR Code of Ethics
B National Association of Appraisers (NAA) bylaws
C Uniform Standards of Professional Appraisal Practice (USPAP)
D Real estate license law
Question #95
A Notary public
B Witness
C Grantee
D Grantor
Question #96
A Discusses real estate policy and makes recommendations to the Commissioner
B Values real property in California
C Determines real estate policy and issues regulations to enforce law
D Issues real estate licenses
Question #97
A Whether he will incur a prepayment penalty
B The state of his local housing market
C A second mortgage
D Whether his uncle would like this
Question #98
A Resolve to not try to pay the loan off early.
B Laugh and throw the Loan Estimate in the trash.
C Ask the lender if there are other options available that would not involve a prepayment penalty.
D Check with his real estate agent to make sure that the penalty shown is typical.
Question #99
A Fraud
B Voidable
C Void
D Valid
Question #100
A Negotiate the sale of a house for two friends and receive a tip as thanks.
B Give advice to a friend who is negotiating the purchase of a house.
C List a friend or family member’s home for sale for a fee.
D Receive payment for managing real estate.