Colibri Practice Test/ 120+ Questions & Answers\, Exams of Nursing

Download Colibri Practice Test/ 120+ Questions & Answers\ and more Exams Nursing in PDF only on Docsity! Colibri Practice Test/ 120+ Questions & Answers Also known as the "to have and to hold" the Habendum Clause. This is the clause that describes the rights being transferred. Exceptions and reservations are included in this clause. When a cap rate used with income capitalization is high, the following relationship with sales price exists-Answer risk and cap rate are higher, the sales price is usually lower. Cap rate is likened to the risk factor when purchasing an investment property - a high cap rate indicates high risk, and often the sales price is lower. Property is located next to a busy freeway; semi-trucks use the freeway all night long. After two years on the market, the seller reduced his price by 25%. Which loss of value has occurred-Answer Economic or external obsolescence On page two of the form, other costs are itemized for buyers and sellers. Taxes, prepaids, and initial escrow payment at closing - usually two months' worth, are paid by the buyer and shown on page 2. How is the sales price reflected on the closing form for the buyer and the seller- Answer The sales price is a debit to the buyer and a credit to the seller The seller receives the sales price less adjustment at closings or debit. The buyer pays the sales price less adjustment for deposit and loans. Which clause in a deed defines the ownership taken by the grantee and clarifies the purpose of the deed-Answer The Habendum Clause Economic or external obsolescence is a loss of value outside of the perimeter boundary of the property, beyond the owner's control, and almost always incurable. A homestead exemption in Florida is available to those who qualify and file documents making the Florida home a primary residence. The base homestead exemption is-Answer Broker Joe has a listing for a distressed seller. He finds a buyer for the property who enters into a contract for purchase. Ten-days prior to closing, the seller calls Joe to share that he has had to file for bankruptcy. This filing may-Answer terminate the contract. Bankruptcy is a court action - or operation of law that has the power to terminate existing contracts. The two voluntary forms of title transfer are-Answer by will and by deed. Voluntary alienation is a transfer willingly. There are only two ways-Answer during the lifetime of the grantor, a deed is used; and if the owner is deceased, a will is used. A licensee has been notified that there is a formal complaint against him as a result of findings by the probable cause panel. How long does the licensee have to answer the complaint-Answer 20 days The licensee must answer the complaint and has the choice between a formal or informal hearing. The answer must be filed within 20 days of receipt of the notice. John is a real estate licensee in Georgia (A state that has mutual Recognition with Florida), whereby he wishes to obtain a Florida real estate license. As long as John remains a Georgia resident, which of the following is an option for John when acquiring a Florida license-Answer John can pass a 40-question law exam and obtain the license The FREC enters into license recognition agreements with other states where licensing and education are similar. FREC will recognize the license from the other state and grant a Florida license if a 40 question law exam is passed. This agreement is called Mutual Recognition. A buyer is closing with a purchase price of $232,000 and a down payment of 10%. He will pay the doc stamps on the note and the intangible tax on the mortgage. What are the transfer tax charges to the buyer-Answer $731 for the note; $417.60 for the mortgage Florida transfer taxes at closing are 70 cents per 100 or fraction thereof. The note is $232,000 less 10% = $208,800/100 = 2088 one hundreds X .70 = $730.80. This is rounded to $731 (fraction thereof). The intangible tax on the mortgage is-Answer $208,800 X .002 = $417.60. Which appraisal approach to value would be most suitable for a waterfront home with a high-end remodel on a lot that cannot be duplicated, in an area with many other remodels and sales-Answer A market data or sales comparison approach The market data approach compares like property and makes adjustments based on the date of sale, physical features, and location. The income approach evaluates income and expenses. Where the cost approach is used for properties where costs to duplicate can be calculated, and there are no comparables. In this case, there are like properties. A broker's records must be available for inspection during business hours. Who inspects the records-Answer A DBPR employee or authorized representative All business records must be available for inspection during business hours; inspections are done by the DBPR investigator or an authorized representative. Which of the items listed below is NOT a tax advantage of real estate ownership- Answer Property can depreciate Property can also go down in value which may leave the homeowner owing more than he borrowed. Property taxes and interest are deductible, and the capital gain exclusion benefits most homeowners when the primary residence is sold. The purpose of the owner's title policy is to protect the-Answer owner from forgery in the record and claims that may not have surfaced prior to closing. The owner's title policy is for the buyer and protects the buyer from unknown claims that may not have surfaced as of closing or from false items in the record. Which of the statements listed below regarding the earnest money deposit (EMD) is correct-Answer An earnest money deposit is NOT required to create a valid contract A contract is an exchange of promises - a real estate contract must have competent parties, offer acceptance, consideration, have a legal purpose, and be John's architect tells him that they can build the dream house on the property if the setback were 35 feet. John applies to the city for a-Answer variance. For example, an owner mistakenly violates a setback requirement by 2 feet. His house is already constructed, and complying with the full setback now would be extremely expensive, if not impossible. The zoning board grants a variance on the grounds that compliance would cause an unreasonable hardship. A licensee is working with an investor who is interested in purchasing a small apartment complex. The property has six units rented at $1100 per month. If the cap rate is 7% and Net Operating Income (NOI) is $38,500 - what is the price of the property-Answer $550,000 The NW 1/4 of section 16 and the NE 1/4 of section 17 contain how many acres- Answer 320 When one owns a condo, the type of ownership that exists is a-Answer fee simple interest with an undivided interest in common elements. A condominium is a hybrid form of ownership of multi-unit residential or commercial properties. It combines ownership of a fee simple interest in the airspace within a unit with ownership of an undivided share, as a tenant in common, of the entire property's common If John borrows $620,000 for his mortgage at 4.5% interest, what amount of interest will John pay in the first year of the loan-Answer $27,900 A mortgage is a legal contract with terms that benefit both the lender and the borrower. Which clause is a benefit to the borrower and NOT to the lender- Answer The Defeasance clause If the borrower defaults, the lender can call the balance due; the maintenance clause required the borrower to keep the property in good condition, and the alienation clause prevents the sale to another borrower. The defeasance clause requires the lender to record a document when the loan is paid - killing the lien. A property was purchased two years ago for $300,000; the investor just sold the property for $379,000. What was the percentage of profit in relation to the cost- Answer $379,000/$300,000 = 1.263 tells you the value increase percentage. 1.263 is a 126.3% increase. The 1 in 1.263 represents the original cost. Subtract one, and the remaining profit is .263 or 26.3% Which items listed below determine if the payment will go up or down on an adjustable-rate mortgage-Answer Index and Margin An adjustable-rate mortgage is tied to an index (an economic indicator); when the index moves, the payment can change to protect the lender in a decreasing market. The lender is also allowed to add a profit margin to the index. The physical characteristics of real estate may be described as-Answer indestructible, unique, and immobile. Which phrase below describes the meaning of the word "contract" expressed in simple terms-Answer A promise to do or not to do something An agreement between two parties, basically one promise in exchange for another. This is sometimes described as "offer and acceptance." According to Florida law, if the landlord does NOT intend to keep any of the tenant's security deposit, the landlord must return the security deposit to the tenant within-Answer 15 days. We have an expert-written solution to this problem! How is the sales price reflected on the closing form for the buyer and the seller- Answer The sales price is a debit to the buyer and a credit to the seller The sales price is a debit to the buyer and a credit to the seller In all Florida counties except Miami-Dade, the tax rate imposed on documents subject to tax is Reference-Answer Section 201.02(1)(a), Florida Statutes (F.S.) 70 cents on each $100 or portion thereof of the total consideration. A title search for a property under contract has revealed several outstanding liens against the property. Which of the following liens has highest priority-Answer Tax liens have priority over previously recorded liens and over a special assessment which will also take priority over previously recorded liens. The a specific lien as it affects a specific property and only that particular property. A member of the US armed forces and their spouse is exempt from... all renewal activity while on active duty and 6 months after Gross Income Multiplier (GIM) A method of appraising income-producing property based on a multiple of the annual gross income; also called a gross rent multiplier. Formula - Sale price / Income Title is not considered transfered until the deed is given to the purchaser Licenses who have been inactive for more than 12 months but less than 24 are required to complete 28 hours of commission prescribed education course 8 functions of real estate-Answer ABARSALE Advertise, Buy, Appraise, Rent, Sell, Auction, Lease, Exchange F455 DBPR portion of the law F475 Sales associates may never pay a comission to anyone (among many other things) To be a part of the FREC Appointed by the governor, confirmed by the senate - 2 consumers with no license - licensed 4 brokers active licenses of at least 5 years - licensed 1 sales associate for at least 2 years - 1 of the 7 must be 60 or older Full disclosure owed by a single agent but not a transaction broker Transaction Broker Exercises limited confidentiality. Limited confidentiality must be waived in writing for the transaction broker to share anything. Limited confidentiality will prevent the broker from disclosing any information about the buyer or seller. Single agency contains term principle. Where the sales associate's loyalty is to the seller. General Agency The relationship to be assumed in florida. Possesses limited power. 475.25 (1)(d) Failure to account and deliver General Partnership requires May be written, oral, or implied; however an intent to associate of 2 or more persons to conduct business is required. Ostensible Partnership When there is no intention to act as partners but the general impression of being partners exists. EX-Answer Two Sole Proprietor brokers working in the same office not officially working together but appearing to be. Trade name legal name other than the person doing business Open Listing Gives More than 1 broker an opportunity to bring a buyer even if the listing is signed. Other conditions must be present and fulfilled. Corporation sole Usually headed by a credible official who is empowered by an ecclesiastical organization. Title to property owned by a corporation sole descends to the successor in office and not to the heirs of the previous office holder. If a broker decides to close a location and open a new location they are required to file the closing with the DBPR. File a new application for the new location with the DBPR and pay the appropriate fee. If a sales associate wants to be an active licensee... They must be registered from and work out of an office maintained and registered in the name of the broker-employer. National Do Not Call Registry Real estate associates may not call for sale by owner even if the sign in the yard contains the number if their number is on the registry. Real estate associates may contact customers with whom the've had an established relationship within 18 months after a transaction was concluded. possession prior to closing may only be given by the seller or their attorney in fact How long does a prospective tenant have to request a refund from a rental list and how much of a refund is available-Answer 30 days and a 75% refund The broker as teh escrow agent must account to whom-Answer All interested parties, attorney in fact, seller, buyer, finance company, closing agent etc. Telephone consumer protection act of 1991 misdemeanor of the second degree Violations pertaining to rental lists are a violation of misdemeanor of the first degree The DBPR may continue an investigation even if the original complaint is withdrawn true The maximum fine of 455 is $5,000 A violation of chapter 475.42 can result int he following criminal penalties $500 fine and 60 days imprisonment A notice of non-compliance must be responded to by the licensee in 15 days A licensee has ____days to accept or reject a citation 30 days A licensee has ___ days to rile an answer to an administrative complaint When a formal complaint is received. The licensee must select 1 of 3 election options and return the form on or before the 21st day recovery fund payments for claims arising out of a single transaction are limited to 50k recovery fund claim payments based on several judgments against one licensee may not exceed 150k Real estate recovery fund will not cover person is not qualified to make a claim for recovery from the Real Estate Recovery Fund, if-Answer (a) Such person is the spouse of the judgment debtor or a personal representative of such spouse; (b) Such person is a licensed broker or sales associate who acted as a single agent or transaction broker in the transaction that is the subject of the claim; (c) Such person's claim is based upon a real estate transaction in which the licensed broker or sales associate was the owner of or controlled the property involved in the transaction; in which the licensee was dealing for the licensee's own account; or in which the licensee was not acting as a broker or sales associate; (d) Such person's claim is based upon a real estate transaction in which the broker or sales associate did not hold a valid, current, and active license at the time of the real estate transaction; or (e) The judgment is against a real estate brokerage corporation, partnership, limited liability company, or limited liability partnership. sales associates may seek recovery fund dollars if they were acting in the capacity of buyer or seller and not as an agent in the transaction If the FREC issues a final order revoking a sales associate license, and the sales associate files a petition with the commission for a stay of the final order the sales associate can continue to operate until the appeal is decided if an order of stay (aka supersedeas) is granted. In order for an option to be a True Option what must be paid-Answer consideration must be paid. Exclusive Listing If the option is exercised as specified the broker will be compensated. But if it is not, the seller can sell to whomever they want. lis pendens litigation pending - lein A licensee is prohibited from promising a future repurchase or resale of a property unless it is approved by the secretary of state's office the promise has been strictly performed. 9 duties of the single agent - present all offers Exclusive listings brokers are not entitled to commission on sale, time or expenses if the broker does not sell the property. The seller reserves the right to sell the property themselves without a commission. right of exclusion Owners have the right to control entrance onto and off of their property and would include a no tress-passing sign. alluvial increase of land by the gradual and imperceptible natural forces accretion Triggering terms amount of down payment number of payments period or term of payment amount of payment amount of any finance charges The truth in lending act requires lenders to disclose the above if certain terms are present in advertising How does the federal reserve influence the mortgage money supply-Answer They change the discount rate (or interest rate) charged to banks who borrow from the fed. Under the consumer protection act, regulation z mandates what-Answer The APR be stated at Annual Percentage Rate and requires that this information be included in the Truth in Lending Disclosure Statement. Receiver The appointment of a receivership enables a receiver to manage property and make mortgage payments (by the courts). Exclupatory Clause states that the lendor agrees not to hold the borrower personally responsible for the debt and will look only to the mortgaged property for satisfaction of the debt. Novation the substitution of a new party and or new terms to an existing mortgage. On the broker's closing statement, the commission & seller's expenses are shown as-Answer a disbursement Situs the economic quality resulting from the location of the property and the immobility of the land Square footage is determined by measuring the outside of the exterior walls. Economic Life Formula highest and best use is the most common way to appriase special purpose properties Process used to derive a single final best estimate of value is reconciliation The holder of a tax certificate can force a public auction no sooner than 2 years and no longer than 7 years after purchasing a tax certificate. Tax payer relief act of 1997 - what is the max amount of capital gain that is tax free-Answer 250k for a single tax payer or 500k for a married couple filing jointly Tax payer relief act of 1997 - the maximum tax rate on long term gain is 15% Documentary stamps are collected on the total amount of the purchase price at .70$ per $100. Not the total mortgaged price. The total purchase price. surviving spouse homestead exemtion an additional $500 9 Duties of a Single Agent 1. Dealing honestly and fairly; 2. Loyalty; 3. Confidentiality; 4. Obedience; 5. Full disclosure; 6. Accounting for all funds; 7. Skill, care, and diligence in the transaction; 8. Presenting all offers and counteroffers in a timely manner, unless a party has previously directed the licensee otherwise in writing; and 9. Disclosing all known facts that materially affect the value of residential real property and are not readily observable. 7 Essential Elements of a Deed Consideration (valuable or good) Execution (signed by a competent grantor and two witnesses) Description of property Delivery and acceptance (voluntary) Interest or estate being conveyed (habendum clause) Names of a grantee and grantor Granting and other appropriate clauses 5 characteristics of the real estate market Durability. Real estate is durable. ... Heterogeneity. Every unit of real estate is unique in terms of its location, the building, and its financing. ...