Financing #6 Flashcards
In which form of co-ownership is a person’s ownership inheritable?
tenancy in common
Two essential elements of a deed are the ______.
Grantor’s signature and conveyance clause
If a private individual owner doesn’t own more than three single-family homes at one time, which exemption from the Fair Housing Act could apply?
Single-family housing sold or rented without the use of a broker
Binding acceptance
happens when a signed contract is delivered according to the delivery procedures and deadline outlined in the contract.
Tristan’s offer has been signed by all parties and delivered to the seller. This means that ______ has occurred.
Binding acceptance
Beneficiary interest in land that’s part of a land trust is considered ______.
personal property
Morty, a land surveyor, was called out to survey a property. After doing some research, he located the legal description for the property in question. Now, if he could just find the point of beginning located at the iron pin on the southerly line of state route 117, 30 feet east of the oak tree next to Bear Creek. What type of legal description is Morty working with?
metes and boundes
What does a CMA determine?
Market price range
A “homes for sale” magazine contains the following ad: “Cozy two-bedroom starter home, neat and clean, ready for move-in. $140,000. Low down payment and easy financing!” Which of these statements is true?
The ad complies with TILA because it doesn’t contain any of the trigger terms that require full disclosure of all financing terms.
Which of these professional activities is NOT covered by the Fair Housing Act?
Vickie’s staging company works with investor clients to stage vacant properties.
Which of these statements about frontage is true?
The frontage for a lot that’s 120 feet by 85 feet is 120 feet.
Which of the following best describes a net listing?
The seller specifies a desired price for the property and agrees to pay the broker any amount received that’s more than that price.
Two real estate firms in one small town, Vineyard Realty and Homestead Homes, agreed to charge the same commission rate to avoid the possibility of clients selecting a firm based simply on price. What specific federal legislation prohibits this?
The Sherman Antitrust Act of 1890
federal fair housing acts 1968
protects people from discrimination when they are renting or buying a home, getting a mortgage, seeking housing assistance, or engaging in other housing-related activities.
The Fair Housing Act prohibits discrimination in housing because of:
Race
Color
National Origin
Religion
Sex (including gender identity and sexual orientation)
Familial Status
Disability
equal opportunity
prohibits discrimination in any aspect of a credit transaction
the claynton acts of 1914
Intended to strengthen earlier antitrust legislation, the act prohibits anticompetitive mergers, predatory and discriminatory pricing, and other forms of unethical corporate behavior.
The Federal Trade Commission Act of 1914
empowers the agency to investigate and prevent unfair methods of competition, and unfair or deceptive acts or practices affecting commerce. This creates the Agency’s two primary missions: protecting competition and protecting consumers.
What title guarantees will Jody have when she buys a property at a foreclosure auction?
the convenant of sesin
Moira has delivered a counter-offer to some potential buyers for her property. Which of these best states the time frame for the buyers’ acceptance?
The buyers must respond by the time and date specified in the counter-offer
Housing for Older Persons Act of 1995
The prohibition against discrimination based on familial status became effective March 12, 1989. The Act contained a provision exempting “senior” housing from the prohibition against familial status discrimination.
In which of these situations has the licensee compromised the duties of loyalty and disclosure?
Nate didn’t tell his client about a conflict of interest related to the sale of his client’s property.
Equity skimming
occurs when an investor receives title to a property, and usually rents out the home but doesn’t make the mortgage payments. When equity skimming fraud like this occurs, houses usually end up in foreclosure.
Joan and Martha are entering into an 18-month lease with landlord Roger. Which of these statements is true?
Leases for periods of more than one year must be in writing.
Barry is a property manager for a new building and is analyzing data so he can set rent amounts. Which statement best summarizes the need to appropriately set these amounts?
Setting rents either too high or too low can negatively impact the property manager’s primary responsibility of producing the greatest net return for the owner.
A property owner wants to achieve an annual return on investment (ROI) of at least 10%. He paid $500,000 for his rental property and experienced an annual cash flow of $45,000. Did he achieve his desired ROI?
No, the property owner experienced an ROI of 9%.
All of the following are common property manager duties EXCEPT ______.
making mortgage payments
an appraisal contingency
gives the buyer the opportunity to renegotiate the price if the appraisal comes in less than the agreed-upon purchase price. This is an important contingency in an area where values are shifting.
Hannah wasn’t able to get the financing to open her boutique, so her mother became a silent partner and provided additional cash. Hannah and her mother have an agreement that states Hannah’s mother can’t be held financially or legally liable if there are any problems with the store. What type of contract clause is this?
indemnifications
Hannah wasn’t able to get the financing to open her boutique, so her mother became a silent partner and provided additional cash. Hannah and her mother have an agreement that states Hannah’s mother can’t be held financially or legally liable if there are any problems with the store. What type of contract clause is this?
indemnifications
Rescission can be ______ agreement to cancel a contract.
mutual
