Texas Principles 1 Exam Practice Questions - Champions School of Real Estat, Exams of Real Estate Management

Download Texas Principles 1 Exam Practice Questions - Champions School of Real Estat and more Exams Real Estate Management in PDF only on Docsity! QUESTIONS AND ANSWERS Exam Texas Principles 1 Exam Practice Questions - Champions School of Real Estate TESTED AND CONFIRMED A+ ANSWERS Texas Principles 1 Exam Practice Questions - Champions School of Real Estate 1. a: Townhomes and single-family homes differ in that a common wall. (a) townhomes share (b) single-family homes are sold as distinct living units within (c) owners of townhomes do not own the land because of (d) townhomes are retro-commissioned and share 2. a: Rights that are associated with the ownership of real property are often referred to as the owner's: (a) Bundle of rights (b) Constitutional rights (c) Statutory rights (d) Civil rights 3. a: The agreement between a broker and a client is most often a(n) agency relationship. (a) Special (b) General (c) Universal (d) Sub 4. a: A professional association whose local affiliates own and operate MLS systems throughout the United States is the: (a) NAR (b) CCIM (c) BOMA (d) ICSC 5. a: The concept behind the government survey system is the of a grid on top of the land. (a) overlay (b) metes and bounds (c) coordinates (d) leaps and bounds 6. a: You can use the acronym to remember the five essential elements of a valid and enforceable contract. (a) COLIC (contractual capacity, offer and acceptance, legality of object, In writing & signed, and Consideration) (b) COLLIE (c) EOVEC (d) OLDCAR (obedience, loyalty, disclosure, confidentiality, accountability, and Reasonable care/diligence) 7. a: Releases can terminate . (a) easements (b) prescriptions (c) implied grants (d) necessities 8. a: Julie, a salesperson at Acme Realty, obtained a listing on Seller Sam's property on Oak Street. The following week, Julie was found to be mentally incompetent and was admitted to the state mental hospital in Rusk. Given Julie's unfortunate status, what is the effect on the listing with Seller Sam? 25. c: RMLOs in Texas are licensed through: (a) Texas Real Estate Commission (b) National Mortgage Bankers Association (c) Texas Department of Savings and Mortgage Lending (d) Texas Savings and Loan Board 26. c: Seller Steve listed his property with City Realty, Acme Realty and Countrywide Realty all at the same time. After signing the listing agreements, Steve continued to run for sale by owner ads on Craigslist. The type of listing agreement Steve signed with the various companies is a(n): (a) Exclusive Right to Sell (b) Exclusive Agency Agreement (c) Open Listing (d) Net Listing 27. c: Appraisal is the business of: (a) Acquisition of land for development into residential subdivisions and retail centers (b) Providing money to individuals or corporations for the conditional transfer or pledge of real estate as security for the payment of a debt (c) Providing a professional opinion of the value of real property (d) Locating units for tenants in multi-family complexes 28. d: Homeowners insurance can protect the policyholders from unexpected losses, including: . (a) fire(b) vandalism(c) personal liability(d) all of these are correct 29. d: A property is owned by two unmarried individuals without right of survivorship. The form of ownership is most likely: (a) Community property (b) Ownership in severalty (c) Joint tenancy(d) Tenancy in common 30. d: The Statute of Frauds is applicable to: (a) Contracts for the sale of real estate (b) Listing agreements(c) Buyer Representation Agreements (d) All of these are correct 31. d: The outcome of a complaint investigation by TREC may result in probation and/or: (a) A fine(b) A reprimand(c) License suspension or revocation (d) Any of these 32. d: The commission shall maintain a recovery trust account that . (a) protects consumers who suffer a loss due to illegal acts of license holders (b) has two maximum payment amounts - $50,000 and $100,000(c) is funded by license holders and applicants(d) all of these are correct 33. d: Air rights are commonly leased or conveyed in: (a) Cell tower leases(b) Condominiums(c) Outdoor advertising (d) All of these are correct 34. d: Three co-owners wish to divide their undivided interests in a property into individually owned tracts of land. This process is known as a(n) . (a) Alienation (b) Lawsuit (c) Waiver (d) Partition 35. d: In order to be valid, a lease must have which of the following requirements? (a) Competent parties (lessor and lessee) (b) Consideration (rent)(c) Legal purpose(d) All of these are correct 36. d: Which of the following is required to obtain a real estate license in Texas? (a) An applicant must show competency by passing the exam(b) An applicant must be a resident of Texas at the time of application (c) An applicant must be of good moral character(d) All of the above 37. d: Competence is the obligation of a real estate agent to: (a) Be informed on conditions affecting the real estate market(b) Be involved in continuing education courses in topics regarding real estate (c) Exercise judgment and skill in the performance of his or her work(d) All of these are correct 38. d: A consideration is defined as . (a) an offer(b) a counteroffer(c) a bribe(d) something given in exchange for a promise 39. d: While listing the property with you, the seller asks "Who sets real estate commission rates?" The correct response would be: (a) The standard rate is set by TREC.(b) The standard commission rate is set by state law.(c) Long ago, the industry agreed on a set rate, and that is pretty much how it is today. However, I can cut the standard rate and make you a deal.(d) There is no standard rate. Different brokers charge different fees. Our fees are based upon the following services...