National Real Estate Exam Practice Flashcards

National Real Estate Exam Practice Flashcards Under the terms of the North Carolina Vacation Rental Act, certain provisions apply to the voluntary transfer of property if it's used as a vacation rental. One such provision says that if a planned vacation rental agreement ends more than ______ days after closing, the tenants have no rights to enforce the agreements unless the buyer agrees in writing

to honor them.Topic: Other North Carolina Laws and

PracticesSubtopic: Sales contracts and related

procedures18027036590 If the agreements end more than 180 days after closing, the tenants have no rights to enforce the agreements unless the buyer agrees in writing to honor them. If the buyer doesn't honor a vacation rental agreement, the tenants are entitled to a refund of any payments made.Tevin just rented a condo on the coast for a weekend getaway. He signed the rental agreement, which included both his and the landlord's rights and obligations, as well as the amount of rent, security deposit, and additional fees.

What is missing from this contract?Topic: Other North

Carolina Laws and PracticesSubtopic: Laws protecting

residential tenantsInformation on how the deposit will be heldResident statementServices and utilities providedThe name of the real estate firm.While you may see all of these things on a vacation rental agreement, the only other information that is required on the form is how the deposit will be held.Under North Carolina's Lead-Based Paint or Lead-Based Paint Hazard Addendum, Standard Form 2A9-T, someone

buying a house built before 1978 ______.Topic: Other

North Carolina Laws and PracticesSubtopic: Sales

contracts and related proceduresHas the right to obtain a risk assessment or inspection of the property for the presence of lead-based paint and/or lead-based paint hazards at the buyer's expense, but is NOT required to have an assessment or inspection conductedHas the right to obtain a risk assessment or inspection of the property for the presence of lead-based paint and/or lead-based paint hazards at the seller's expense, but is NOT required to have an assessment or inspection conductedMust have a risk assessment or inspection of the property conducted to look for the presence of lead-based paint and/or lead-based paint hazards at the seller's expenseMust have a risk assessment or inspection of the property conducted to look for the presence of lead-based paint and/or lead-based paint hazards conducted at the buyer's expense

• The Lead-Based Paint or Lead-Based Paint Hazard

Addendum states that during the due diligence period, the buyer has the right to obtain a risk assessment or inspection of the property for the presence of lead-based paint and/or lead-based paint hazards at the buyer's expense, but may choose to waive that right.The NCREC defines ______ as "all moneys received by a

broker acting in his or her fiduciary capacity."Topic: North

Carolina Commission Rules and License LawSubtopic:

Handling of trust fundsDown paymentsEarnest money depositsFiduciary fundsTrust money Trust money is defined in the commission rules as "all moneys received by a broker acting in his or her fiduciary capacity." Some of the most common types of trust money

include earnest money deposits, down payments, rents, and tenant security deposits.Which of the following terms is NOT a name for the Offer to

Purchase and Contract in North Carolina?Topic: Other

North Carolina Laws and PracticesSubtopic: Sales

contracts and related proceduresListing agreementPurchase agreementPurchase contractSales contract The Offer to Purchase and Contract, Standard Form 2-T, is also referred to as a sales contract, purchase agreement, purchase contract, earnest money contract, or binder. It outlines the terms of the purchase the buyer wishes to propose to the seller. A listing agreement, on the other hand, is a contract between a seller and a real estate brokerage.Marco has been a licensed and active real estate broker in North Carolina for the past three years. What will make him

eligible for broker-in-charge status?Topic: North Carolina

Commission Rules and License LawSubtopic: Requirement

for a licenseHe must complete and pass the 12-hour broker-in-charge course.He must have served one term on the North Carolina Real Estate Commission.He must receive a passing score on the broker-in-charge exam.He needs at least five years of real estate experience.To earn the broker-in-charge status, Marco must complete and pass the 12-hour broker-in-charge course. He needs to get at least two years of full-time brokerage experience in the last five years before he applies, so he meets this requirement already. There's no BIC exam, and no requirement to serve a term on the commission.Which of the following scenarios includes a conflict of

interest that the licensee must disclose?Topic: Other North

Carolina Laws and PracticesSubtopic: Agent's duties to

principalAria represented Grace, who was trying to buy a house. Aria showed a property to Grace, and the next day showed the same property to another one of her clients.John represented Martha, who was selling her home. Martha's neighbor Tim asked John to list his home, too.Kennedy was the sponsoring broker for the real estate brokerage firm where he works.Licensee Weldon was selling his condominium to the Humphrys.

• When a licensee is a principal in a real estate

transaction, it creates a conflict of interest.North Carolina buyer Jeffrey made an offer to Miranda, but neglected to include a deadline for acceptance within the

offer. Which of the following is true of this situation?Topic:

Other North Carolina Laws and PracticesSubtopic: Sales

contracts and related proceduresAll offers in North Carolina are valid for 36 hours from the time the offer is communicated to the offeree or offeree's agent.Because the offer didn't include an acceptance deadline, the offer will terminate within a reasonable period of time.North Carolina offers must specify a deadline for acceptance within the offer, or else the offer is considered invalid.The offer is open ended until Miranda formally rejects it or Jeffrey revokes it.An offeror may specify a deadline and method of acceptance within the offer. If the offeror doesn't provide this information, the offer terminates after a reasonable period of time.North Carolina broker Hillary accepted a client's earnest money check before his offer had been accepted. By when must Hillary's broker-in-charge deposit the check into the

brokerage's trust account?Topic: North Carolina

Commission Rules and License LawSubtopic: Handling of

trust fundsHillary's BIC must deposit it within three banking days after offer acceptance.The BIC has three banking days after Hillary received the check.The BIC must deposit it within three banking days of the sale closing.The check must be deposited immediately.When earnest money or tenant security deposits are given to a broker in non-cash form for a pending offer to buy or lease, the funds must be deposited no later than three days