1. Benchmarks, iron spikes, and wooden stakes are examples of
2. Which of the following is FALSE regarding legal descriptions?
A. The metes and bounds legal description is characterized by degrees.
B. The rectangular survey is based on two sets of intersecting lines called principal meridian and base lines.
C. The lot and block survey is used to record the subdivision of vacant land.
D. Sections that are oversized or undersized are called correctional sections.
3. A check is an area of land that is
A. 1 mile by 1 mile.
B. 6 miles by 6 miles.
C. 12 miles by 12 miles.
D. 24 miles by 24 miles.
4. The smallest unit of land in the government survey is the
5. Section number 1 will always be located in the
A. NE corner of the township.
B. NE corner of the check.
C. SE corner of the township.
D. SW corner of the township.
6. The section that is reserved for a school is section number
7. Which of the following statements is incorrect?
A. A mile is 5,280 linear feet.
B. There are 43,650 square feet in one acre of land.
C. The formula for computing square footage is: Area = Length x Width.
D. A section of land contains 640 acres.
8. The NW1/4 of the SW1/4 of the NE1/4 contains
A. 5 acres.
B. 10 acres.
C. 40 acres.
D. 160 acres.
9. The SW1/4 of the SE1/4 of the NW1/4 and the S 1/2 of the SE1/4 contains
A. 1.25 acres.
B. 10 acres.
C. 80 acres.
D. 90 acres.
10. The bronze disk that is used to establish elevations and altitudes above sea level is the
11. To determine the heights of buildings the surveyor would locate the
12. A spot survey would include the
A. total square footage of the lot.
B. location of the buildings on the lot.
C. price paid for the property.
D. previous owners of the property.
13. The deed stated that the angle of the measurement was "South East for 45 degrees 7 minutes." This type of description would be found in a
A. lot and block survey.
B. rectangular survey.
C. metes and bounds survey.
D. government survey.
14. In regards to legal descriptions, POB means
A. Point of Beginning.
B. Point of Boundary
C. Point of Building
D. Point of Benchmarks
15. An agent is listing a vacant city lot. Which method of legal description would MOST LIKELY be found in the deed?
A. Metes and Bounds
B. Lot and Block
C. Government Survey
D. Rectangular Survey
16. When listing which of the following properties would an agent MOST LIKELY recommend a survey of the property?
A. Listing a house in a subdivision
B. Renting an apartment in a large complex
C. Listing a farm that last sold in 1930
D. Leasing a retail space in a mall
17. The deed that a buyer received at closing stated that the property contains 4.5 acres more or less (MOL). The agent recommended that the buyer have the property surveyed, but the buyer refused. The agent had the buyer sign a waiver stating that refusal. Six months after the closing, the buyer had the property surveyed and according to the survey, it is 3.98 acres. Which of the following would MOST LIKELY occur under these circumstances?
A. They buyer would probably win the case if he sued the agent.
B. The buyer would probably win the case if he sued the seller.
C. The buyer should sue the seller and the agent.
D. The buyer owns 3.98 acres of land.
18. A surveryor would calculate which of the following to compensate for the curvature of the earth?
A. Section lines
B. Township lines
C. Check lines
D. Correction lines
19. A section of land is one mile by one mile. However, since the earth is not flat, the section sizes can vary. Oversized or undersized sections are called
A. adjusted sections.
B. fractional sections.
C. prescriptive sections.
D. managed sections.
20. A developer owns 20 acres of land. He was required to set aside 36,000 square feet for roads and sidewalks. If each lot measures 75' x 100', how many lots will he have?
21. All of the following are included in the bundle of legal rights EXCEPT
A. right of control of the property.
B. right of enjoyment.
C. right of exclusion.
D. right of survivorship.
22. Emblements are classified as
A. real property/fructus industriales.
B. real property/fructus naturales.
C. personal property/fructus industriales.
D. personal property/fructus naturales.
23. Nonhomogeneity describes a/an
A. physical characteristic of real estate and refers to uniqueness of the property.
B. physical characteristic of real estate and refers to the indestructibility of the property.
C. economic characteristic of real estate and refers to the scarcity of land in a given area.
D. economic characteristic of real estate and refers to the permanence of the investment.
24. A transaction broker is NOT known as a/an
25. A real estate licensee who has listed a property is a/an
A. general agent to the broker and a special agent to the seller.
B. general agent to the broker and a general agent to the seller.
C. universal agent to the broker and a special agent to the seller.
D. universal agent to the broker and a general agent to the seller.
26. The sale price of the property is $150,000 and borrower has a 20% down payment. The mortgage rate chart indicates that the monthly payment on a 30 year loan at 4% is 4.775 per $1,000. How much is the monthly payment?
27. An appraiser is going to estimate the market value of a library. Which appraisal method will he/she most likely use?
A. Gross Rent Multiplier
B. Gross Income Multiplier
C. Cost Approach
D. Market Approach
28. Negligent misrepresentation occurs when
A. there is intentional misrepresentation of a material fact by a broker in order to take financial advantage of another.
B. the agent showing the property exaggerates the property's benefits.
C. a broker should have known that a statement about a material fact was false.
D. the broker or agent tells the seller to intentional lie about a property defect so they can get a quick sale.
29. Buyers met an agent at an open house. In order to buy the listed property, the buyers needed to sell their house. The agent wrote an offer to purchase with the following terms. "Purchasers shall list purchasers property at 567 Main Street, Your Town, Your State with XYZ Realty within 24 hours of the acceptance of this offer, or this offer shall become null and void and the earnest money shall be refunded to the purchaser." Is this legal?
A. Yes, this is exactly what the agent should do to secure the listing.
B. Yes, if state law allows it.
C. No, it is a violation of Regulation Z.
D. No, it is a violation of the Sherman Antitrust Act.
30. In most states which of the following situations would MOST LIKELY be grounds for suspension or revocation of a real estate license?
A. Failure to specify a definite termination date in a listing contract
B. Failure to find a buyer for a listed property
C. Failure to determine the correct list price in a comparative market analysis
D. Failure to include a broker protection clause in a listing agreement
31. A person died testate. After an extensive search, no additional heirs were found. The person's real property would transfer by
A. escheat to the state.
B. by descent and distribution.
C. by demise.
D. by devise.
32. Which of the following would be future interests in a fee simple defeasible estate?
B. Possibility of Reverter/Right of Re-Entry
33. Agnes, Zelma and Jayne are sisters and own a property as joint tenants. Jayne sold her share to Maggie. Upon closing, Maggie is a
A. joint tenant with Agnes and Zelma.
B. tenant in common with Agnes and Zelma.
C. tenant by the entirety with Agnes and Zelma.
D. tenant at will with Agnes and Zelma.
34. If state law permits, the unities of time, title, interest, possession and person would be created when
A. John, Peggy and George buy a cottage on the lake.
B. Mr. and Mrs. Jones buy real estate.
C. Carrie buys her first house.
D. a corporation purchases investment property.
35. Henry is securing a home equity line of credit on his residence. His property appraised at $175,000 and he has a loan balance of $80,000. The lender will negotiate a loan of 80% of the appraised value, minus the first loan. Harry's line of credit will be
36. The S1/2 of the NE1/4 and the NW1/4 of the SE1/4 would contain
A. 2,344,560 square feet.
B. 3,484,800 square feet.
C. 4,395,340 square feet.
D. 5,227,200 square feet.
37. In 1969 Carmel purchased a condo for $15,000. Today she sold the property for $85,000 and agreed to finance the loan for the buyer.
This transaction is known as a/an
A. conventional loan.
B. unconventional loan.
C. land contract.
D. blanket mortgage.
38. A lot that measures 475' x 525' sold for $275,000. What was the cost per front foot?
39. A lot that measures 475' x 525' sold for $275,000. What was the cost per acre?
40. The seller accepted the buyer's offer of $375,000 and the buyer had a 10% down payment. If the property appraised at $373,000, what was the loan amount?
41. Two brothers owned a property and decided to list it with Agent Tejasi. Thirty minutes before the listing appointment, one of the brothers was called out of town on an emergency. So, a friend signed the listing contract for him. Tejasi had no idea that the person signing was not the owner. The status of the listing contract is
42. A habendum clause would be found in a/an
D. sales contract.
43. The borrowers negotiated a $125,000 for 20 years at 7% interest. Their monthly principal and interest payment is $969.12. How much interest will the buyers pay of the life of the loan?
44. An agent received a thank you note from a lender for the referral of a buyer. The note included a $35 gift card to a local restaurant. The law that makes this kickback illegal is
A. Regulation Z
45. All of the following advertisements would be illegal EXCEPT the ad which reads,
A. "Empty Nesters are perfect for this community!"
B. "Great house for a man!"
C. "No more than two children are allowed in the apartment."
D. "This house has a wheelchair ramp."
46. If a listing has expired, the listing agents and agents of the brokerage firm may call the seller
A. for up to six months even if the seller's number is on the no-call list.
B. for up to twelve months even if the seller's number is on the no-call list.
C. for up to eighteen months even if the seller's number is on the no-call list.
D. for up to twenty-four months if the seller's number is on the no-call list.
47. Which of the following mortgages can be obtained only by people 62 years of age or older?
A. Wraparound Mortgage
B. Reverse Mortgage
C. FHA Insured Loan
D. Home Equity Line of Credit
48. A lender has hired an appraiser. The appraiser has MOST LIKELY been hired to
A. estimate the market value.
B. estimate a subjective value.
C. estimate the value for tax purposes.
D. estimate the value for a divorce.
49. An agent listed a property that was built in 1951. By federal law, the agent must have the sellers fill out
A. a seller's property disclosure form.
B. good-faith estimate of closing costs.
C. certificate of insurance and a CLUE report.
D. lead-based paint disclosure form.
50. A potential buyer asks the agent if all the buildings were within the boundary lines. The only way this could be determined would be to
A. have a survey of the property.
B. conduct a title search.
C. get a certification from the seller.
D. ask the neighbors.