Chapter 9 Quiz Flashcards
A contract based upon a promise exchanged for a promise is a:
A. Semi-lateral contract
B. Dilateral contract
C. Binary contract
D. Bilateral contract
D. Bilateral contract
Paragraph 2 of the One to Four Family Residential Contract (Resale) gives you information about what?
A. Land
B. Improvements
C. Accessories
D. All of the above
D. All of the above
_________________________ is an interest held by one party to purchase property before closing. The buyer obtains this upon execution of the contract.
A. Legal title
B. Equitable title
C. Specific performance
D. Contract title
B. Equitable title
When is the Buyer’s Temporary Residential Lease form used?
A. This form is used only when the Buyer will occupy the property for no more than 30 days prior to closing on the purchase contract.
B. This form is used only when the Buyer will occupy the property for no more than 60 days prior to closing on the purchase contract.
C. This form is used only when the Buyer will occupy the property for no more than 90 days prior to closing on the purchase contract.
D. This form is used only when the Buyer will occupy the property for no more than 120 days prior to closing on the purchase contract.
Submit
C. This form is used only when the Buyer will occupy the property for no more than 90 days prior to closing on the purchase contract.
Which of the following statements about the Lead-Based Paint Addendum is NOT true?
A. This Addendum is used to comply with federal regulation to furnish a lead paint disclosure in properties constructed prior to 1978.
B. Within ten days after the effective date of this contract, Buyer may have the Property inspected by inspectors selected by Buyer.
C. The disclosure of lead-based paint is required for both leases and sales.
D. Buyer cannot waive the opportunity to conduct a risk assessment or inspection of the Property for the presence of lead-based paint or lead-based paint hazards.
D. Buyer cannot waive the opportunity to conduct a risk assessment or inspection of the Property for the presence of lead-based paint or lead-based paint hazards.
Which one of the following statements regarding sales contracts is correct?
A. Real estate sales contract forms are developed through TREC (through their Broker-Lawyer Committee).
B. Texas only allows real estate agents to use promulgated contracts.
C. The One to Four Family Residential Contract (Resale) has a clause relating to Roll Back Taxes.
D. The use of the sales contract forms is not voluntary.
A. Real estate sales contract forms are developed through TREC (through their Broker-Lawyer Committee).
Which of the following statements is TRUE regarding the Seller Financing Addendum?
A. Seller does not have the right to check the creditworthiness of the buyer.
B. The sale must be closed in 15 days.
C. This Addendum is used when the Seller is financing all or a part of the purchase price.
D. None of the above
C. This Addendum is used when the Seller is financing all or a part of the purchase price.
Which of the details for the Seller’s Temporary Residential Lease is NOT true?
A. The parties to the lease are the Landlord and the Tenant.
B. The lease is for a seller leaseback for not more that 90 days.
C. The seller becomes the tenant and the buyer becomes the landlord.
D. The tenants are not allowed to have pets on the premises during the lease period.
D. The tenants are not allowed to have pets on the premises during the lease period.
Which of the following statements is NOT true about the One to Four Family Residential Contract (Resale)?
A. It is the most frequently used contract form.
B. It is used for the resale of residential properties that are either a single family home, a duplex, a tri-plex or a four-plex.
C. It is not for use for condominium transactions, new homes being sold by a builder, or farm and ranch properties.
D. The ESAC ( Education Standards Advisory Committee) promulgates the One-to-Four Family residential contract and other approved real estate contracts for licensees.
D. The ESAC ( Education Standards Advisory Committee) promulgates the One-to-Four Family residential contract and other approved real estate contracts for licensees
Which one of the following statements about the Third Party Financing Addendum is NOT true?
A. This Addendum is used when any type of financing for all or part of the purchase price will be provided by a third-party (not the Seller or Buyer).
B. This addendum provides the buyer the ability to terminate the contract if he provides written notice to the seller if he cannot obtain credit approval within the time specified in the addendum.
C. The purchaser agrees to provide the lender all necessary information requested to obtain approval.
D. The Addendum does not cover FHA and VA loans.
D. The Addendum does not cover FHA and VA loans.
Which statement does NOT represent the definition of unilateral contract?
A. Only one party makes a legally binding promise and the other has not. The promise will become legally binding if the other party chooses to accept it.
B. A good example of a unilateral contract is a reward contract
C. A unilateral contract is a reward contract.
D. Insurance companies must pay the insured upon the occurrence or non-occurrence of an event.
D. Insurance companies must pay the insured upon the occurrence or non-occurrence of an event.
Which common mistake made in completing contracts might put you in the position of unauthorized practice of law?
A. Improper use of special provisions section
B. Leaving blanks in the contract
C. Time for performance too short
D. Failure to enforce time limitations
A. Improper use of special provisions section
Which one of the following does NOT apply to the Addendum for Seller’s Disclosure of Information on Lead-Based Paint and Lead-Based Paint Hazards?
A. This Addendum is used to comply with federal regulation to furnish a lead paint disclosure in properties constructed prior to 1990.
B. The law requiring notice of the possibility of lead-based paint is a federal law.
C. The addendum for Lead-Based Paint must be attached to the sales contract.
D. The buyer, seller, buyer’s broker, and seller’s broker must sign the addendum.
A. This Addendum is used to comply with federal regulation to furnish a lead paint disclosure in properties constructed prior to 1990.
An expressed contract must contain all of the following EXCEPT:
A. It must have the signature of the parties.
B. The grantor and the grantee must be identified.
C. There must be evidence of the intent to convey the property.
D. Implied contracts are the same as expressed contracts.
D. Implied contracts are the same as expressed contracts.
Is earnest money a gesture of seriousness of the buyer in the purchase?
A. Yes
B. No
A. Yes
