Real Estate Indiana Broker Exam Questions Flashcards

Real Estate Indiana Broker Exam Questions Flashcards A seller listed her home with Leslie, an Indiana licensee, for $90,000. Leslie in turn told a buyer's agent from another brokerage firm to have his buyer submit a low offer, because her sellers are desperate to move. The buyer subsequently offers $80,000 and Leslie's sellers accept.Which of the following is true regarding Leslie's actions?Leslie is in violation of the agency relationship under Indiana real estate law.Which of the following statements is true regarding the Indiana Real Estate Recovery Fund?Licensees may be assessed a surcharge at the time of his or her license renewal if the fund balance is less than

$450,000.

Jessica is a homebuyer in Indiana who wants to have a clause included in the purchase agreement. The clause states that the seller offers assurances against the existence of ghosts on the property. Should the agent include this clause?Only a licensed attorney may prepare this type of clause.Which of the following is one of the guidelines that a managing broker must follow in Indiana?Managing brokers are responsible for the actions of licensees and broker-salespersons associated with them.Nelson owns a four-unit apartment building, and plans to sell it. When must he submit an Indiana Real Estate Sales Disclosure Form to a prospective buyer?Nelson must submit the form before an offer to purchase the four-unit apartment building is accepted.Which of the following would violate real estate advertising requirements?A licensee placed an ad in a church newsletter without the name of the principal broker or firm.In Indiana, how far back does a normal title search go?50 years.Which of the following persons may be disciplined by the Indiana Real Estate Commission?Any licensee who advertises his or her services in a misleading manner is subject to discipline by the commission.Who is the local official that records deeds for the transfer of real property in the county?The county recorder.Mandy, a licensed broker, tells a lender that the sales price of a property is something above its actual sales price in order to assist the buyer in obtaining a larger loan. Which of the following statements is true regarding Mandy's action?Mandy has violated Indiana real estate law, and can be disciplined for material deception.Henry is a limited agent in Indiana. Which of the following is true regarding his situation?Henry may disclose property information available through the Multiple Listing Service (MLS) or other information sources to both parties.Henry Jan is an Indiana licensee who decides to sell his property without using a broker. Which of the following is true regarding advertising Henry's property?Henry must disclose the fact that he is indeed a real estate licensee.Arthur is an Indiana broker licensee, not a licensed or certified appraiser. Arthur received a call from a former buyer client requesting an appraisal in connection with a

divorce decree. The former client does not want the property to appraise for more than $180,000, but Arthur knows that most of the properties in that area are worth more than $180,000. What should Arthur do now?Arthur may agree to the appraisal, but he may not agree to a predetermined value.

Lupita, owner of an Indiana residential property, informs her listing agent that the property was once the site of criminal gang activity. Lupita fears that disclosure of this information to potential buyers could inhibit the sales process, so she instructs her agent not to disclose the facts. A couple of days later a buyer asks the agent if the property has any psychological affectations. What is the agent's obligation in this situation?The agent should tell the buyer that the seller does not wish to make any representations regarding psychological affectations.Which of the following is true regarding a person in Indiana who acts as a real property securities dealer?The person must be registered under Indiana and federal securities laws.An Indiana Real Estate Sales Disclosure Form would be required in which of the following situations?The document would be required for the transfer of real estate to a buyer by a relocation company holding title to the property.Lupita is an Indiana licensee who has an agency relationship with a buyer. Which of the following is true regarding this particular relationship?Lupita must treat all sellers honestly.Anne successfully completed her Indiana prelicense real estate education requirement on October 1, 2003. How long does she have to take the state exam before having to retake the prelicense course?Anne has one year from the time she completed the prelicense course to take the exam.Under Indiana real estate license law, when does a licensee become a limited agent?The licensee becomes a limited agent when he represents both the seller and buyer in a transaction.When are Indiana property taxes due?May 10 and November 10 Which of the following must be filed when a nonresident files for an Indiana license?The nonresident must file an irrevocable written consent to suit.Selwyn, an Indiana licensee, finds a ready, willing and able buyer for his listing with Sarah. Sarah accepts the buyer's offer in writing, but then decides she really does not want to sell her home. Sarah withdraws the acceptance. Which of the following statements is true regarding Selwyn in this particular situation?Selwyn is entitled to collect a commission from Sarah A listing agreement establishes an agency relationship between?The principal broker and the seller.For which of the following may the Indiana Real Estate Commission spend interest earned on the recovery fund?The commission may spend the interest earned for information concerning the commission's activities.Which of the following does NOT qualify as a "psychologically affected property?" A dwelling where firearms had been discharged by party-goers is NOT considered to represent a psychologically affected property.Under Indiana agency law, which of the following is considered a true statement?Merely assisting an individual creates a customer relationship Who selects the members of the Indiana Real Estate Commission?The governor of Indiana selects the commission members.Carol is an unlicensed assistant at Vivian's real estate firm.Carol recently worked late nights and weekends to help ensure the successful closing of a difficult transaction. Her

work included calling the prospective buyers and encouraging them to accept the counteroffer. The sale went through, largely because of Carol's efforts. Vivian wants to pay Carol a commission. Which of the following statements is true regarding this situation under Indiana law?Vivian may not pay a commission to Carol under this situation.