3.5.22 Flashcards
A project that is for renovation rather than new construction is permitted by which municipal agency?
Building department. (The building department is responsible for issuing renovation permits.)
What happens when a municipality completes an “in rem” foreclosure?
The municipality obtains title to the property. (An in rem foreclosure is quite common and allows the municipality to obtain title and sell the property.)
Clay and Mira just bought a home. Based on where they are in the property ownership lifecycle, which one of the following tax related items is likely to be of the most interest to them?
Points deduction. (In the acquisition stage of property ownership, owners are typically most concerned with the deductibility of points they paid.)
The assessed value is a percentage of____.
Market value. (Assessed value is a percentage of the probable sales price (market value).
How long does confidentiality survive?
Forever
What is an IOLA account?
IOLA is a state agency that uses interest on attorney trust funds to fund nonprofit agencies and to reimburse wrong parties for attorney misconduct.
How much is one square mile?
640 acres.
Which estate is a life estate?
Homestead estate
What’s an appropriate strategy when working with a new buyer who hasn’t been prequalified and isn’t working with a lender?
Provide the buyer with contact information for three qualified lenders.
Following all of the clients lawful instructions describes which fiduciary duty?
Obedience
Which governmental department guarantees VA loans?
VA
The VA guarantees loans; the FHA insures loans.
Several brokerages in a certain area agree to stop running advertisements in a local publication. What type of antitrust violation is this?
Group boycotting. (This is group boycotting because it involves a group of brokerages agreeing to not do business with another business.)
If this annual tax isn’t paid, foreclosure can occur.
Corporate franchise tax.
What’s the definition of “before tax cash flow”?
Cash flow before taking income taxes into account.
Which of these is a recommended place for a real estate professional to search for properties when working with an investor client?
“Subject to court approval” listings in the MLS
What is a life estate in a property held by a widower?
Curtesy
With a well system, the typical household requires a minimum flow of how many gallons per minute to meet daily needs?
3 to 5 gallons per minute.
Which of the following would property managers be expected to personally do as part of their assigned duties?
Budget preparation and oversight
Your clients are first time home buyers. They can access up to how much of their Roth IRA accounts, penalty free, for their down payment?
10,000
The fair and accurate credit transactions act of 2003 requires the credit bureaus to __________.
Provide consumers with a free copy of their credit report annually.
Under New York fair housing law, which of the following protected classes were added to the list of federal protected classes?
Age, marital status, sexual orientation, military status
What type of risk is a static risk?
Static risks are those were the effects can be lesson with insurance. This includes vandalism, theft, fire and accident liability.
As a real estate licensee, you should _________.
Understand what helps your buyer qualify for a mortgage
A property manager who _______ must have a license.
Collects rent. (When a property manager collects rent or works for more than one owner, a real estate license is required. Owners who manage their own properties don’t need a license.)
Most licenses been a lot of time in their car. Which of these is not recommended action for maintaining safety on the road?
Keep your vehicle information confidential. (It’s a good practice to give your firm a description of your vehicle, including the make, year, model, color, and license plate number. If you go missing, the authorities will want a description of your vehicle.)
Which term would you most likely see associated with a lake?
Littoral. (Littoral rights relate to lakes and oceans. Riparian rights relate to rivers and streams.)
Which IRS form or forms are independent contractors required to complete?
W9 form
What’s the primary purpose of a New York towns planning board?
To offer professional advice regarding land-use matters to all agencies and boards within the town.
Which of the following is an example of an agent exercising the duties owed to customers and other parties?
Francine disclose information about the flooding basement to the buyer and buyers agent. (The duties licensees all the customers and other parties include disclosure of material facts, honesty, and fairness.)
An older house is built before 1950, which type of electrical system would frequently be found?
BX. (A BX wiring system includes bundles of insulated wire sheathed in a sturdy metallic “armor” and is one of the earliest types of electrical cable developed for both residential and commercial use.
Total assessed value divided by total market value equals equalization rate. Therefore, which of the following is correct?
An equalization rate that is higher than 100 demonstrates that the total assess value for that jurisdiction is greater than its total market value.
Which of the following is true regarding value?
The principle of substitution means that people won’t pay more for a property than they have to.
(The principle of substitution says that buyers won’t pay more for a property than it’s worth, and if there’s a similar property nearby that they can substitute for it that is priced less, it will bring down the value of the original property in the buyers eyes.)
Which of the following is a framing member?
Rafters. (Studs, joists, and rafters are all framing members.)
