NC Real Estate Final Exam Practice Test not graded Flashcards

NC Real Estate Final Exam Practice Test (not graded) Flashcards C)package mortgage.**-blanket covers more than one property, package covers real estate and personal property A real estate loan indicates that if the title transfers to the property, the lender must be paid in full immediately. This is known asA)alienation.B)subordination.C)satisfaction.D)acceleratio n.A broker enters into a listing agreement with a seller wherein the seller will receive $120,000 from the sale of a vacant lot and the broker will receive any sales proceeds exceeding that amount as commission. This type of agreement is calledA)an exclusive-agency listing.B)an illegal listing.C)a net listing.D)an exclusive right-to-sell listing.C)a net listing.D)$84,000105k = 1.25x105k/1.25 = 84kIn funding a loan that is secured by a residence, the lender is required to disclose all costs involved in obtaining the financing. This consumer protection is provided by theA)Equal Credit Opportunity Act.B)Sherman Antitrust Act.C)Fair Credit Reporting Act.D)Truth in Lending Act.Which of the following does NOT terminate an offer?A)A counteroffer by the offereeB)An offer from a third partyC)The death of the offeror before acceptanceD)Revocation of the offer before its acceptance B)An offer from a third party A property managerA)generally serves as the general agent of the owner.B)works on a commission rather than salaried basis.C)serves in a nonfiduciary capacity to the landlord.D)must have a North Carolina real estate license.A)generally serves as the general agent of the owner.Which of the following statements made by a broker would potentially be a violation of antitrust laws?A)My firm charges 6% for listing and marketing residential properties in this area.B)Our firm does charge more than our competitor, but we offer a wider range of marketing services.C)My competitor's fees are so low that no other brokerage firm will cooperate with that firm.D)We think highly of our competitors, but we think we offer more value for our fee.C)My competitor's fees are so low that no other brokerage firm will cooperate with that firm.A broker found a buyer for a seller's house. The buyer put down an earnest money deposit with the broker, and the parties signed a sales contract. Before the sale was closed, a title search revealed a defect in the seller's title, making it impossible for the seller to deliver good title. Which statement is TRUE?A)The buyer must accept a non-warranty deed at closing.B)The seller was entitled to

keep the buyer's deposit if the buyer canceled the sale.C)The buyer was entitled to cancel the sale without penalty.D)The buyer must complete the transaction if the seller reduces the sales price appropriately.B)The seller was entitled to keep the buyer's deposit if the buyer canceled the sale Steering is the practice ofA)requiring brokers to join a multiple-listing service.B)illegally setting standard commission rates in an area.C)leading prospective buyers to or away from certain areas based on protected class.D)refusing to make loans to people of a protected

class.C)leading prospective buyers to or away from certain areas based on protected class.To be valid in North Carolina, a deed must includeA)words of conveyance.B)the grantee's signature.C)total consideration amount.D)the grantor's seal.A)words of conveyance.

36A typical promissory note for an FHA-insured loan may contain all the following EXCEPTA)a mortgage insurance requirement.B)an acceleration clause.C)a prepayment penalty.D)an alienation clause.The North Carolina Real Estate Commission has the power toA)interpret the legality of a real estate contract between consumers.B)regulate the brokerage activities of licensees.C)fine licensees that do not comply with licensing law and/or Commission Rules.D)determine the maximum commission a broker may charge on any one transaction.B)regulate the brokerage activities of licensees.D)acceleration.Which of the following statements is TRUE about the North Carolina Real Estate Commission's Working with Real Estate Agents form?A)The consumer must sign the form.B)By signing the form, the consumer is agreeing to an agency relationship with a broker.C)The form must be given at the point of first contact with a consumer.D)The licensee must provide the form in all sales transactions, including commercial sales.D)will have to start all over as though he never had a license.58 D)Truth in Lending Act.****Which contract does NOT have to be in writing to be enforceable in North Carolina?A)Contract to sell real estateB)Listing agreementC)Agreement creating an easementD)Two-year lease The license status of a North Carolina provisional broker who paid the license renewal fee on time and completed all continuing education in a timely manner but did not complete at least one of the postlicensing courses by the first required deadline isA)inactive.B)active.C)expired.D)canceled.A)inactive.**** Under the North Carolina statute of frauds, an oral lease for longer than three years isA)renewable.B)unenforceable.C)not assignable.D)illegal.B)unenforceable.The legal practice of oral buyer agency in North Carolina requiresA)the relationship be put in writing before presenting an offer.B)a definite time period for the agency relationship.C)that the consumer go under contract to buy a property within 30 days.D)the buyer to agree to oral dual agency as well.A)the relationship be put in writing before presenting an offer.* On Monday, an offer was written to buy a seller's vacant lot for $32,000. On Tuesday, the seller counteroffers by raising the purchase price to $33,500. The prospective buyer does not reply, so on Friday, the seller changes his mind and accepts the original price of $32,000. Under these circumstances, there isA)no valid agreement because the