California Real Estate Practice - Questions and Answers Flashcards

California Real Estate Practice - Questions and Answers Flashcards (4) 7. Which would be an indication that an owner might be interested in selling an income propertyA. A high vacancy rateB. Tenant evictionsC. Code violationsD. All of these

• All of these

(8) 8. An advertiser with an extremely low advertising budget would most likely avoidA. press releasesB. For Sale signsC. billboardsD. the internet

• billboards

(3) 9. The purpose of the Subdivided Lands Law is toA.prohibit premature subdivisionsB. set minimal physical standardsC. protect purchasers from fraudD. allow for a uniform growth pattern

• protect purchasers from fraud

(8) 7. Real estate professionals know that ads that tell about the problems of a property areA. a waste of advertising dollarsB. likely to give a firm a bad nameC.unlikely to attract any callsD. none of these

• none of these. Ads that tell about the problems of the

property are often very effective, attracting bargain hunters, flippers, and do it yourself buyers.(7) 10. Advantages of open houses includeA. pleasing owners because they indicate activityB. locating buyers for other propertyC. obtaining leads for listingsD. all of these

• all of these

(8) 5. The MOST cost-effective advertising medium for selling a home likely would beA. televisionB. the internetC.classified newspaper adsD. billboards

• the internet

(1) 10. Proper daily planning means that you should endeavor toA. reduce "D" Time activitiesB. increase "A" Time activitiesC. place more emphasis on probabilities than on possibilitiesD. accomplish all of these

• accomplish all of these

(10) 2. A salesperson appeals to buying motives. Which of the following is a buying motiveA. Love of familyB. Comfort and convenienceC. SecurityD. All of these

• All of these

(2) 4. A broker with a disabled employee widened the doorway to the restroom to accommodate a wheelchair.This work was performed to comply withA. Civil Rights Act of 1866B. Americans with Disabilities ActC. Rumford ActD.Fair Housing Amendment Act of 1988

• Americans with Disabilities Act

(1) 5. In choosing a broker, a new licensee should be LEAST interested in an office thatA. has a high percentage of successful peopleB. has a good library of books, tapes, and videos for trainingC. offers 100% commissionD. is a member of a local multiple listing service

• offers 100% commission (new licensees should

remember training is more important than commission split) (5) 7. The principle reason owners try to sell their homes without an agent isA. to have a quick saleB. to save the commissionC. to be able to pick the buyerD. none of these

• to save the commission

(4) 4. Under do-not-call regulations, which call would be improperA. Calling for survey purposesB. A call to a business phoneC. A call within 3 months of an inquiryD. A call on a For Sale by Owner ad to solicit a sale listing

• A call on a For Sale by Owner ad to solicit a sale listing

(9) 4. In showing property, you shouldA. never show a prospect more than three homes in one dayB. show prospects a really nice home they can't afford in order to keep up their interestC. never change your showing plans once you startD. do none of these

• do none of these

(4) 6. Legal notices provide good leads for listings. Which is NOT a legal noticeA. EvictionB. ForeclosureC. ProbateD.Vacancy

• Vacancy

(10) 3. Disadvantages of home ownership includeA.increase in expensesB. riskC. lack of liquidityD. All of these

• All of these

(9) 1. Callers from a For Sale sign are likely to beA.satisfied with the areaB. looking for a more expensive homeC. satisfied with the general exterior appearanceD.both a and co

• both a and c

(10) 8. The paragraph in the purchase contract in which the buyer indicates an intention to occupy the property (applies to 1-4 unit residential properties) is important because it relates toA. liquidated damagesB. vesting of titleC. smoke detectorsD. home protection plan

• liquidated damages

(10) 10. In making a property inspection, the inspector hired by the buyer negligently damaged the air-conditioning unit. Who is responsible for the damage based on the California Residential Purchase Agreement and Joint Escrow InstructionsA. The sellerB. The buyerC. The buyer's agentD. The seller's agent

• The buyer

(7) 2. Agent advice to owners on showing their home would NOT includeA. instructions to be present so they can volunteer informationB. cleaning instructionsC. landscaping instructionsD. repair instructions

• instructions to be present so they can volunteer

information (6) 4. A listing under which the owner can sell the listed property without payment of a commission but the agent is nevertheless an exclusive agent is a(n)A. open listingB.exclusive-right-to-sell listingC. exclusive-agency listingD.net listing

• exclusive-agency listing

(5) 3. You should realize that for data to be used on a CMA,A. the older the data, the less reliable they areB.sales sales prices that seem unusually high or low are often the result of market imperfectionsC. both of these are trueD. both of these are false

• both of these are true

(8) 2. Personal advertising includesA. name tagsB. blog websitesC. car signsD. all of these

• all of these

(5) 10. Which would be the MOST effective statement to make during a listing presentationA. Last year we sold 26% of the listings we took during the listing periodB. Our office has six full-time and nine part-time salespeopleC. Last year our average sale was at 86% of the list priceD. Our average time to sell was 32 days last year compared with a MLS average time to sell of 54 days

• Our average time to sell was 32 days last year

compared with MLS average time to sell of 54 days (9) 2. If we compare callers from classified ads with those from For Sale signs, in general,A. callers from signs are more likely to end up buying homes that cost less than the home they called aboutB. looking for a more expensive homeC. satisfied with the general exterior appearanceD.both a and c

• both a and c

(4) 5. Which classified ad category is likely to provide listing leadsA. Homes for rentB. Leases/options to purchaseC.Mobile homes for rentD. All of these

• All of these

(2) 6. A broker showed African American prospective buyers homes in African American and racially mixed neighborhoods. He would show African American prospects homes in predominantly Caucasian areas only if the prospects specifically requested to see homes in those areas. The broker's action would be described asA.illegalB. unethicalC. steeringD. all of these

• all of these

(6) 10. By taking a listing at a low fee that will result in a less than normal fee for any cooperating broker, you are benefitingA. your officeB. a selling officeC. the ownerD.none of the above

• none of the above

(10) 6. A professional salesperson knows thatA. telling is more effective than askingB. appealing to emotions should be avoidedC. in dealing with a cautious buyer, you should be assertive and push for a decisionD. none of these apply

• none of these apply

(6) 2. An agent sold a property where the owner had verbally agreed to pay a commission. The agent would be legally entitled to a commission from the owner for the sale if the agent hadA. relied on the verbal promiseB. made a written memorandum of the agreement signed by the agentC. obtained a valid buyer listing agreementD. none of the above

• none of the above

(10) 5. A prospective buyers says, "The price is too high." The BEST response isA. "I think the price is fair."B. "Why don't you offer less?"C. "The comparable sales don't bear that out."D. "Why do you feel that the price is too high?"

• "Why do you feel that the price is too high?"

(9) 3. Real estate professionals shouldA. limit showing to their own listingsB. show overpriced property first to make the one house seem a bargainC. avoid driving through

nearby minority areasD. do none of these

• do none of these

(4) 1. The CAN-SPAM Act puts controls on unsoliciteda.fax messagesb. misleading e-mailsc. residential phone