Trav Talks: Broker Prelicensing Study Material Flashcards

Trav Talks: Broker Prelicensing Study Material Flashcards

listing agreementsellers hire representation with listing agreements.-should specify the perfect (WILLING,ABLE READY) buyer the seller is looking for.Which of the following clauses would likely be found in a promissory note in a title theory state that would relate to the ability of the trustee to sell the property in the event of a default by the borrower?power of sale clause residentialneeds a disclosure A property is scheduled for closing on August 20. Which of the following is the best estimate of a seller's mortgage loan payoff as of the day of closing if they are selling their home for $250,800 and paying off their 5% annual interest loan which has a principle balance of $215,675?$216,274.09$215,675 loan amount X 5% annual interest = $10,783.75 annual interest$10,783.75annual interest / 360days = $29.95 daily interest$29.95 daily interest X 20 days = $599.09 accrued interest$215,675loan balance + $ $599.09 accrued interest = $216,274.09 seller payoff as of the closing date.exclusive right to sell-seller will only hire one listing firm-seller will compensate listing firm no matter who produces the buyer(including the seller themselves) soul proprietorbecause the person who is the business has a SOUL first substantial contactbrokers must provide customers with the working with real estate agent disclosure form no later than first contact.-disclosure applies to sales transaction only (seller and buyer)-not a contract handicap status-landlords should accept any and all documentation regarding handicapped status asbestosbuilding material that has been illegal for use in residential construction since 1978 ACCEPTANCEsignature of the offeree without making a single change to the offer."A ListING"(a Noun) a property that is now for sale exclusive seller agency-seller is exclusively represented by an agent in a sales transaction.-buyer is unrepresented-seller client hires agent with a written listing agent.Entitycompany CAN-SPAM Act-all marketing emails must include "unsubscribe link"must

also identify sender the office: broker or firm and their

address exceptions to the DNCR:-FSBO (For Sale By Owner):if you have a buyer client who is interested in their property.-consumers who are asked to be contracted for up to three months after filing out their info

types of solicitation that are not federally regulated.-door knocking-in person marketing-post mail Improperly disclosed material factsOmission: Made no material fact disclosure at all.-willfull:

broker knew the info they chose not to disclose-negligent:

broker did not know the info they did not disclose Fiduciary brokeragea trust based relationship in a real estate transaction open agreementhiring the office but not comitte to the office Commercialdont need disclosures Misrepresentationmade an inaccurate material fact disclosure open lisitng-seller hires multiple listing firms-seller will only compensate the one listing form that produces the perfect (ready,willing and able) buyer limited service agreement-seller hires listing agreement for isolated and specific job duties-old car is still owed Obediencefollow your clients lawful command Liquidated damagesLiquidated damages are the amount of money that both parties of a contract agree upon if a breach of contract occurs and removes the ability to sue the breaching party for further damages in a court of law.

true or false: the NC real estate commission does not

approve or create any form TRUE Exclusive buyer agencybuyer is exclusively represented by an agent in a sales transaction-in wiritng ORGiver/provider trustEEreceiver -> their money guarded Buyer Agency Agreement-buyer hires rep with buyer agency agreement-verbal buyer agency is never binding-verbal buyer agency will ever expire.-reduced to writing no later than the point of offer.Group Boycottreal estate brokers and office firms may never attempt an organized refusal of real estate service providers outside their own office.

true or false: Buyer has one-banking day after going under

contract to deliver their due diligence fee.False A borrower conveys bare legal title to a third party in the deed of trust. Which of the following best describes the trustee's interest in the property?Trustee has legal title but no right to possession civil rights act of 1866-prohibits discrimination on the basis on race- no exceptions.-applies to all types of real estate-applies to unlicensed and licensed individuals.client(seller or buyer) hires an agent through the process of agency company/business setupsLimited liability company (LLC)partnershipS corporation National Do Not Call Registry-allows consumers to place themselves on the registry to avoid solicitation calls and texts NC REALTORS 2-T Offer to Purchase and Contract The NC REALTORS 2-T Offer to Purchase and Contract is the most commonly used residential resales contract in

North Carolina and it is only to be used by members of the NC Association of REALTORS.~published by the North Carolina Association of Realtors~can only be used by REALTORS~is a specific type of option to purchase contract~should only be used in residential resale transactions

Seller disclosuresellers are required to provide buyers with the NC residential property & owners associating disclosure statement prior to the buyer making an offersellers do not have to disclose material facts dual agencyone office/ firm is involved in the sales transaction.-both, seller and buyer are represented by the same office/firm-dual agency must be intentional and disclosed.requirements for a listing agreement-specify compensation-specify job duties-must have an expiration date-anti-discrimination clause-should identify individual broker who is entering into the agreement.Which of the following best describes the practical effect of an alienation clause in a deed of trust?Loan may not be assumed by a subsequent buyer steeringviolations of the fair housing act with a buyer or tenant.Customerthird parties- anyone who is not our client types of material facts1. facts about the property listing-leaking faucet-HVAC not functioning2. facts relating to the property-local zoning-train tracks or dump3. facts relating to a party's ability to close-seller in foreclosure-buyer lost job, not qualify for financing trustmoney to be guarded reasonable skillpractice real estate in which you are experience Due diligence periodThe due diligence period (when using the 2-T contract) is the buyer's opportunity to investigate the property and determine if they would like to proceed or back out of the 2-T sales contract.Agentthe representation the principal/client hires exclusive agency-seller will only hire one listing firm-seller will compensate listing form or another co-operating brokerage firm that produces a buyer Federal cleanup laws and responsibilitycurrent property owners are responsible for the cost of cleanup of environmental issues on the property AgencyRelationship-the legal representation of one party by another (broker or firm)LEGAL RELATIONSHIP Sherman Antitrust Act-prohibits price fixing-brokers should avoid discussing commission outside their office/firm-commissions are always negotiable-never a "set" or "going rate" commission Seller breachesThe only exception for the due diligence fee (in addition to the earnest money deposit) becoming refundable is in the event of a seller breach.block bustingviolations of the fair housing act with a seller Listing(Verb) placing for sale/rent sellINGassisting somehow with a buyer based actions AddendumAn addendum adds contract language to an OFFER.negligent misrepresentationbroker did not know the info they gave was wrong