PA Real Estate National Exam Flashcards

PA Real Estate National Exam Flashcards Which of the following is required for a valid contract?Offer and acceptance, consideration, competent parties, legal purpose A top producing agent hires an administrative assistant.What tasks can the assistant legally perform?Type all documents online and distribute as necessary.What is true regarding Loan to Value Ratio (LTV)? 1. The lower the LTV, the lower the risk of the loan.2. The LTV impacts the interest rate.3. The LTV determines when a PMI payment is required.What is true regarding a bridge loan?1. It is likely an interest-only loan.2. It is a short term loan.3.It is used when buying before selling.A, B and C own property as a joint tenant. If C dies, what happens?A and B now automatically own the property as joint tenants, each with 50% interest When selling a condominium, what implies? 1. The rules of the development are in the CC&Rs.2. The buyer will have an additional monthly fee.3. There is a Homeowner's Association.Who typically prepares the closing statement at the closing of a real estate transaction?The closing agent Which of the following is true regarding liquidated damages?Earnest money is often considered liquidated damages In a partially amortized loan, what is the last amount due?Balloon payment A subject property is an older home with four bedrooms and one bathroom. However, the surrounding neighborhood primarily consists of new construction with four bedrooms and three bathrooms. What can be said of the subject property?The subject property is worth less because of functional obsolescence A seller and buyer just signed the sales contract. The sales contract is considered...?Executory The acronym DUST refers to...?Demand, Utility, Scarcity and Transferability A property is set to close on January 15th. The quarterly tax bill (for January through March)l for the property is $600, and is due on February 1st. Which of the following will occur at closing?The buyer will receive $100 from the seller at the closing.The seller received a good offer from a prospective buyer.However, the seller wants to extend the closing date by a few days. The seller updates the closing date on the buyer's offer, signs the offer, and returns it to the buyer.What has occurred?The seller is presenting a counteroffer to the buyer, which terminates the original offer How long does a listing agent need to let the seller know about any additional offers he/she receives from other prospective buyers?Until the closing What is a bridge loan?Will create a lien on both the property being sold and the property purchased.

When preparing a CMA, the agent needs to make adjustments based on the features of the subject property.In one case, a comparable property used in the CMA has four bedrooms, while the subject property only has three bedrooms. Which of the following is correct?The comp would be adjusted by subtracting the value of a bedroom