Principles of Real Estate I Flashcards

Principles of Real Estate I Flashcards

A licensed broker or salesperson must never:a. Place a

sign on real property for sale or lease without the written consent of the owner of thereal property or the owner's authorized agentb. Act in a dual capacity as broker and undisclosed principal in a real estate transactionc.Guarantee that future profits will result from a resale of real propertyd. All of the above D In which of the following situations might a survey be required?a. The sale of a portion of an existing tract of landb. Settlement of boundary line disputes between neighborsc. Division of a property between multiple owners, partitiond. All of the above are situations that might require a survey D Any attempt by competing brokers to fix commission rates

in a given market area would be a violation of:a. RESPAb.

SAFE Actc. Community Reinvestment Actd. Sherman Anti-Trust Act D Seller Steve listed his property with City Realty, Acme Realty and Countrywide Realty all at thesame time. After signing the listing agreements, Steve continued to run for sale by owner ads onCraigslist. The type of listing agreement Steve signed with the various companies is

a(n):a. Exclusive Right to Sellb. Exclusive Agency

Agreementc. Open Listingd. Net Listing C All of the following are acceptable legal descriptions in a

deed, EXCEPT:a. Lot and blockb. Metes and boundsc.

Street addressd. Rectangular Survey System C The provision of the License Act that could potentially

abolish the Texas Real Estate Commissionis the:a.

Sundowner Actb. Expiration Actc. Deceptive Trade Practices Actd. Sunset Act D A licensee writes a clause in a contract that stipulates the terms of a lease that allows theseller to remain in a property for two months after closing and funding. The

licensee has:a. Violated the Texas Real Estate License

Actb. Engaged in the unlawful practice of lawc. Exposed his broker to potential liabilityd. All of the above D The Commission may solicit and accept gifts, grants and

donations from:a. The Advisory Committeeb. The Research

Centerc. Any sourced. Licensees only C

A certain practice by a licensee can be unethical, even if it is legal.a. Trueb. False A Any person engaging in business as a residential rental locator in Texas without a license couldbe charged with a Class A Misdemeanor.a. Trueb. False A The most common method of surveying the western public lands of the United States is metes andbounds.a. Trueb.False B

The purpose of the Texas Real Estate License Act is to:a.

Protect real estate licensees from accusations that arise from unfair business practicesb. Protect the general public from unscrupulous brokers and salespeoplec. Settle disputes between salespeople and brokersd. Set fair guidelines for commission splitting between brokers and their agents B

Eminent Domain is:a. Downzoningb. Illegalc. The right of

the government to take private lands for public used.Inverse condemnation C Lease agreements for one year or less are the exception to the Statute of Frauds.a. Trueb. False A Sarah gets a job as a sales representative for Galaxy Custom Homes. She will be working in thenew Galaxy model home park, and will be limited to selling Galaxy

homes only. Sarah will:a. Need to become a licensed real

estate brokerb. Need to become a licensed real estate salespersonc. Be exempt from the requirements of the License Actd. Be able to sell homes without a license, so long as her builder/employer has a valid broker'slicense C The type of listing agreement that affords the broker the

greatest protection is the:a. Exclusive Right to Sellb.

Exclusive Agency Agreementc. Open Listingd. Net Listing A Lawsuits related to property defects are most often filed

under the:a. Texas Defective Property Actb. Texas

Deceptive Trade Practices Actc. Texas Fair Housing Actd.Texas Real Estate License Act B A residential apartment locator in Texas is not required to be a license holder.a. Trueb. False B A broker who maintains more than one place of business in the state of texas can maintain all branch locations under one office license.a. Trueb. False B Which of the following is true regarding the imposition of an administrative penalty by TREC?a. The Commission may impose an administrative penalty on anyone, at any time, with- out notifyingthemb. The dollar amount of the administrative penalty may not exceed $10,000 per infrac-

tion, per dayc. If the person does not pay the administrative fee, the administrator is authorized by theCommission to refer the matter to the attorney general for collectiond. All of the Above C An applicant for a real estate license must disclose in the license application whether theappli- cant hasa. Been convicted of a felonyb. Entered a plea of nolo contendere to a felonyc. Been convicted of a felony and the time for

appeal has lapsed or the judgment or conviction hasbeen affirmed on appeald. All of the above D All of the following regarding the Real Estate Center in

Texas are true, EXCEPT:a. It was created by the Texas

Legislature in the 1970sb. It is located on the Texas A&M