Aceable Final Exam Flashcards

Aceable Final Exam Flashcards Of the below statements, which is MOST true about the relationship between the Virginia Fair Housing Law and the federal Fair Housing Act?The Acts have the same protected classes, except Virginia also protects on the basis of elderliness What are three primary tasks for a buyer's agent when taking on a new client?Locating a suitable property, negotiating the best possible offer, and preparing the buyer for closing Using the cost approach formula, find a property's value

using the following information:The subject property is 20

years old and has 30 remaining years of economic life.The cost of reproduction of the subject property is $500,000.The subject property's land value is $100,000.

$400,000

Which of the following is an example of a latent defect?urea-formaldehyde foam insulkation that is completely hiddenm behind drywall

All of the following acts concern fair housing EXCEPT:CERCLA

Oliver's parents grant him ownership of an estate on the condition that Oliver maintain the barns and care for the horses. What kind of estate does Oliver have?fee simple defeasible The National Association of Realtors' Code of Ethics

consists of:

A Preamble and 17 Articles Which of these parties can legally act as closing agent in Virginia?Buyer, Lender's Attorney, and Buyer's Broker What should a license holder do when stating facts in an advertisement?quote the source of the information What two types of agency have to do with when a third party is led to mistakenly believe that agency exists between a principal and an agent?Ostensible agency and agnecy by estoppel Which of the following terms is NOT a synonym of the other three terms?savings account All of the following are phases of an environmental site

assessment EXCEPT:

compensation Which of the following is NOT a compliance requirement of the CAN-SPAM Act?Promotional emails may only be delivered on a bi-monthly basis Chuck signs Linda to a salary-based employment contract to sell used cars on his lot. He also points out to her that he has a contest for all his salespeople that she can win if she meets the sales goal. What can be said of the contracts that Chuck has entered into with Linda?The employment contract is a bilateral contract. The contest is a unilateral contract What type of contract is a real estate sales contract?biilateral contract Which of these is permission granted by the government so that property may be used in a manner not allowed by the current zoning?variance

As a licensee you would be responsible for disclosing all of

the following to buyers, if known, EXCEPT:

available internet service providers A property's annual property taxes equaled $6,480. The seller owes the buyer for 1 month and 15 days of prorated property taxes. Using the 360-day calendar, how much does the seller owe the buyer?

$1,080

If a prospective buyer asks a licensee about a property's

location in regard to a flood zone, the licensee should:

direct the buyer to obtain an op-to-date flood map from FEMA What is one thing the Consumer Finance Protection Bureau (CFPB) did as part of the TILA/RESPA Integrated Disclosure (TRID) rules?consolidatyed Early and late TILA disclosures, the Good Faith Estimate (GFE), and the HUD-1 Settlement Statement Compare the Fair Housing Act and the ADA. The Fair Housing Act applies to residfential dwellings. The ADA applies to employment, public and commercial facilities, and telecommunications.Which of these situations demonstrates the principle of anticipation?An investor buys above market because they know an area is rapidly increasing in value Renee works for a company. It is a pass-through business that is required to have less than 100 shareholders, who must be U.S. citizens or legal residents. It owns property in severalty and is NOT subject to double taxation. What kind of business does Renee work for?S corp What is the second phase of an environmental assessment?testing

Conforming loans can:be sold on the secondary market

Real estate can be defined as:the land plus all improvements made by man or nature A 40-year old home has been properly taken care of and is being appraised like a 20-year old home. This is an

example of:

effective age Which of the groups of descriptors below BEST describes an exclusive right-to-sell listing agreement?Broker guaranteed compenstaion no matter how property is sold Rachel bought a piece of land to build a house on that is very narrow on one side. Because of that, to fit the house in, she wants to build with a 10-foot setback instead of the 15-ft. setback specified by the zoning ordinances in her area. What does she need to do this?an area variance What is a lien that applies to a certain property only?specific lien An ad reads, "Beautiful house with gorgeous hardwood

floors and an unbelievable view." The language used is:

puffing Which of these is a characteristic of asbestos that allows the mineral to crumble easily or become powdery when touched?friable 6257 Lucas Lane, Tree Hill, North Carolina 54726 is an

example of a:

property description that is not a legal property description Which of the descriptors below BEST describes an exclusive agency agreement?exclusive relationship with seller, seller can also procure sale

The Truth-in-Lending Act, the Equal Credit Opportunity Act, the Community Reinvestment Act, and the Real Estate Settlement Procedures Act all serve the purpose of

regulating the:

Lending practices of mortgage lenders Which of the following BEST describes why RESPA was passed?to ensure meaningful disclosure of closing costs in a real estate transaction What is the difference between fee simple determinable estates and fee simple condition subsequent estates?Determinable estates do NOT require legal action for the grantor to regain property title; condition subsequent estates do require legal action The illegal act of a lender refusing to issue mortgages in a

specific area is known as:

redlining Though it is negotiable, who typically pays for inspections in a real estate transaction?The Buyer When is it acceptable for licensees to mix their personal funds with security deposits and other funds commonly held in property management accounts?never What entity regulates all real estate licensing in Virginia?The Virginia Real Estate Board

Origination points:cost the same as discount points

Kevin has lived at an apartment complex near Virginia Tech for the past year. In this time frame, he has referred two classmates to the apartment complex and received compensation from the property management. Kevin doesn't have a real estate license. Were any rules broken?No. Kevin doesn't need a real estate license to collect the referral fees.

Fannie Mae and Freddie Mac:buy mortgages and package them to create MBSs

A naked title in a trust deed is a colorful way of saying:that the trustee is given the "bare" essentials of rights needed to carry out the terms of the trust Which of these terms refers to the unfair, deceptive, or fraudulent practices of some lenders during the loan origination process?predatory lending Which of the following is an example of a patent defect?a flooded lawn Lea's property was created when a larger lot was cut into pieces. It is landlocked, and she has an easement across a neighboring lot to reach the road. What kind of easement does she have?easement by necessity Which of these statements most accurately reflects how deed restrictions are connected to a property?They stay with the property until they are dissolved Which of the following statements is true about statutory redemption and the form of judicial foreclosure known as strict foreclosure?Statutory redemption is not typically available in states that employ strict foreclosure Which of the following describes an open listing agreement?many brokers, commission dependent on procuring cause

The Fair Housing Act is enforced by:RESPA

Which of the following is an important aspect of transaction coordinators?Transaction coordinators DO NOT owe any fiduciary duties to anyone

A cosmetology company buys a new office with a $1,425,000, 5.2% interest-only loan. How much interest will the company pay in one year?

$74,100

Which of these is a variance that allows land to be used or structures to be built in a way that is not allowed by the dimensional or physical requirements of the applicable zoning regulations?area variance What is a general warranty deed?a type pf deed containing the strongest and broadest form of guarantee of title; provides the greatest protection of any deed to ther grantee Which is NOT a fair housing violation?A property manager denies an application based on the applicant's low credit score What is a blanket mortgage?a loan for which more than one collateral property act as security The ECOA prohibits discriminatory practices on the basis

of:

age What is a building permit?legal documetn from a local authority that authorizes a contruction or remodeling project Once Amy gets her pre-approval letter from the lender, she thinks she is done with the loan approval process and can buy any property she likes, as long as it cost less than the amount for which her letter said that she was approved. Is Amy correct? Provide an accurate reason for your answer.No. Once Amy identifies the property she wants to buy, the lender still has to approve it.Modifications to a contract can occur:at any time between contract date and closing Which of these is a group of human-made organic chemicals made of carbon, hydrogen and chlorine atoms that were used in hundreds of industrial and commercial applications prior to 1979 and can cause a variety of adverse health effects?polychlorinated biphenyls (PCBs) Mac makes monthly payments of $6,050.25 on his 15-year, $850,000 loan. How much will Mac's total cost be for the loan?

$1,089,045

What is the value of a property if the net operating income is $105,000 and it has a cap rate of 3%?

$3,500,000

A non-amortizing loan of $95,000 has an interest rate of 4.5%. How much will be paid in interest over the year?

$4,275

This type of insurance can keep agents and their brokers

safe from accidental legal violations:

errors and omissions insurance Which of these transaction would require a public offering statement (POS)?The initial sale of a condominium Which of these describes the value at which a property is insured (usually equal to the replacement cost of the structure)?insured value What, if known, could cause a buyer or seller of real estate to take a different course of action or make a different