Florida Real Estate: Cram Exam 1 Flashcards

Florida Real Estate: Cram Exam 1 Flashcards

How is a quitclaim deed most often used? as a way to clear clouds on title The horizontal strip of land 6 miles wide immediately north

of the Tallahassee baseline would be:

Township 1 North What is it called when a buyer buys a property and takes over responsibility on an existing loan?assumption of the mortgage What charge may be filed against a broker who fails to pay his or her sales associate?conversion Telling home owners that minority families are moving into their neighborhood in an attempt to get them to sell their home and move is referred to as which of the following?blockbusting Who do listings obtained by a sales associate belong to?the employing broker Under the Truth in Lending Act, in credit advertising, which would not be considered a "triggering term"?easy terms A developer advertises homes for sale with a total down payment of $1,500. The developer knows that all of the houses with that amount of down payment have been sold.Is this transaction covered under Truth-In-Lending Laws?yes, because this is a bait and switch advertising and is illegal A broker may hold escrow deposits in any of the following,

EXCEPT:

mutual fund Ron and his wife each have real estate licenses before he enters the military. Ron is stationed in Washington, D.C., and his wife accompanies him there. If they make their

licenses inactive:

Ron and his wife are exempt from renewal requirements until 6 months after Ron's discharge.What is stated in the Statute of Limitations? the time frame in which a contract can be enforced Complete the sentence. General partners in a brokerage partnership that are not qualified to perform the services of

real estate must be registered:

for identification purposes Fill in the blanks. Conventional lenders usually want the buyer's housing ratio not to exceed ___ and the total obligations ratio not to exceed ___.28% and 36% What is the amount of guarantee based upon for a VA guaranteed loan?loan amount FREC may suspend a real estate licensee for a maximum of how many years?10 years The courts usually apply legal tests to determine if personal property has become a fixture. Which of the following included in those tests?relationship of the parties The purpose of the homestead exemption is to protect the surviving spouse and children and to exempt property from

foreclosure for:

debts other than direct debts and federal liens

Which entity provides the best protection for the public during a real estate transaction?FREC and the license law What must all advertising of listed property contain?name of the brokerage firm In which service of real estate must a licensee disclose the agency relationship and the responsibilities of that relationship to the public?residential sales Sales associate Glenn works for broker John. If Glenn receives an escrow deposit on Tuesday, what should he do?deliver it to his broker immediately (next business day) What is a titlea bundle of ownership rights What does the license law require that a licensee complete before the first renewal of a Florida real estate license?post-licensing course What is the status of a sales associate's license if the sales associate works for a broker, and that broker loses his license?involuntary inactive If a mortgage broker informs a borrower that they need to refinance their loan after only 10 months, with a higher interest rate and also some closing costs, which law would be violated?Florida Fair Lending Act Where must appeals of FREC final orders must be filed?District Court of Appeals What must be given to a seller who is about to enter into a fiduciary relationship with a brokerage firm?Single Agency Notice Which punishment would FREC likely impose for a first offense against a broker found guilty of a minor violation?notice of non-compliance Which tenancy contains the right of survivorship? joint A broker sells a rental list to a prospective tenant for $200.In a written agreement, the broker states that the fee is

nonrefudable. This is:

illegal under FS 475 What business is a licensee engaged in who markets, leases and maintains property for someone else?property management Absentee ownership has increased the demand for which area of brokerage?property management What is the maximum fine the Commission could impose against a licensee who was found guilty of two violations of Chapter 475, FS?

$10,000

Complete the sentence. A broker who holds more than one

broker license:

holds multiple licenses Which deed contains no warrants or promises? quitclaim deed Broker Bill has been hired to rent Mrs. Brown's apartment building located in a large college town. Broker Bill quotes lower rents and deposits to females because he has found through experience that they will cause less trouble than males, and females will maintain their apartments in much

better condition. This is:

a violation of the Fair Housing Act of 1968

If an owner dies intestate with no known heirs, how can the state take the property?escheat The following legal description contains how many acres?The S 1/2 of the SW 1/4 of the NW 1/4 and the N 1/2 of the NW 1/4 of the SW 1/4 of a Section?40 Which power authorizes the FREC to pass or revise rules?quasi-legislative Private restrictions are enforced by private citizens. Which of the following is the strongest control they have over a property owner?deed restrictions What is the maximum criminal penalty that a court could impose for a second degree misdemeanor?$500 fine and/or 60 days of jail time In a brokerage corporation, the officers and directors can be active or inactive brokers or non-licensed registered persons. If someone who is non-licensed and registered wants to become a broker, what must he or she do?qualify for a broker license in the same way as anyone else A broker owes which duty to a customer?disclose known facts affecting the value of residential property Who owns the property in a tenancy by the entireties?husband and wife Sandy works as a sales associate for a broker and has been asked to work weekends for a developer to sell new homes on commission. What must Sandy do to work for the developer?transfer her license from the broker to the owner developer Complete the sentence. The Florida Real Estate Recovery

Fund:

is funded from licensing fees What is actual notice?possession of the property that can be seen and heard What law requires that buyers be given a good faith estimate of closing costs prior to closing?

RESPA What type of listing can be held by more than one broker?open listing Bill's license expired on Sept. 30, 2013. On Feb. 14, 2014 he wants to renew it. If it is not his first renewal, what must Bill do?pay a late fee and complete 14 hours of continuing education In states which operate under title theory, the borrower:transfers ownership to the mortgagee or a third party until paid Complete the sentence. If a licensee does not dispute a

citation, it has the same effect as a:

final order Which type of loan uses both real and personal property as security?package mortgage A property that borders a river or stream includes which rights?riparian What type of tenancy exists when a tenant remains in possession of a property after his or her rights have expired?tenancy at sufferance What is the main purpose of Regulation Z? require lenders to disclose the true cost of credit to consumers

An owner of a piece of real estate has purchased the materials to fence the backyard. What type of property is the fencing material?fixture Who has the right to file a complaint against a licensee with the DBPR?anyone Which is correct according to the Florida Landlord and Tenant Act?Landlord must inform tenant within 30 days how the deposit is being held What is it called when a developer gives land to a government body?dedication The initial tax exemption for homestead is available only to

owners that:

claimed the property as their principal residence as of January 1 and files by March 1 Which form requires the signature of all parties? transition to transaction broker A broker receives a kickback or referral fee from a title

insurance company. This practice is:

a violation of RESPA All of the following are exempt from FS 475, EXCEPTbusiness brokers Which statement correctly applies to owner's title insurance?it protects the buyer from title defects What does the local planning agency have the authority to approve?subdivision plat maps The southeast corner of Section 31, Township 1 North, Range 3 West, is how many miles from Tallahassee?17 The essential elements of a contract include all of the

following, EXCEPT:

notarized

Complete the sentence. A deed must be:witnessed

For multiple claims against a licensee, what is the maximum reimbursement from the Florida Real Estate Recovery Fund?

$150,000

When calculating housing and total obligations ratios, which income value does the lender use?gross monthly income Which business entity may not register as real estate brokerage firm?corporation sole Three friends buy a property together with equal shares at the same time. If they have the right of survivorship, what type of tenancy have they created?joint tenancy The agency disclosure forms developed by the state must be used in instance?residential sales What does the Statute of Frauds require? to be enforceable, a contract transferring an interest in real estate must be in writing Which action can terminate a contract?performance All of the following would be grounds for suspension of revocation of a real estate license, EXCEPT?not being a resident of Florida The Florida Real Estate Commission may do all of the

following, EXCEPT:

impose imprisonment as a penalty What term refers to the power that the government has to take land for the public good?eminent domain