LEGAL ASPECTS Flashcards
1
Q
What are 5 purposes of LAW?
A
Set standards Preserve order Settle disputes Safeguard liberties and rights Enforces promises
2
Q
Define MORALS, and ETHICS?
A
MORALS: A person’s standards of behavior or principals regarding what is right or wrong
ETHICS: Rules of conduct or accepted behavior based on moral principles. Subjective and depend on certain circumstances.
3
Q
The law serves as a guide for what in our society?
A
Minimally acceptable behavior
4
Q
The law protects our numerous liberties and rights from what?
A
Violations or unreasonable interferences by individuals, societies, and governments
5
Q
The basis of law in the US is what from where?
A
Common Law from England - means that disputes done on a case-by-case basis that bound the arbiter of a dispute to a rule elicited from the determination of an earlier dispute
Civil Law (from Romans) also worked its way in - especially in State Laws
6
Q
CASE LAW is what?
A
The accumulation of Common Law decisions over time
7
Q
What is the difference between CRIMINAL LAW and CIVIL LAW?
A
CRIMINAL: Against the PUBLIC, society or the state like Murder, Assault, Theft
CIVIL: Against an individual or PRIVATE party like defamation, breach of contract, negligence
8
Q
The legal concept of COMMUNITY PROPERTY came from?
A
Spain
Most of the community-property states are located in the western United States where Spanish influence was more prevalent
9
Q
What is a SUBSTANTIVE LAW?
A
Establishes and controls the rights and duties of parties
Ex: Contracts
10
Q
What is a PROCEDURAL LAW?
A
Sets out the methods for enforcing the rights and duties under substantive law
Ex: Statute of Limitations
11
Q
The main LEGAL REMEDY is?
A
Compensatory damages, which is money
12
Q
What are four areas of difference between civil law and criminal law?
A
Concerns
Party filing the case
Burdens of proof
Goals
13
Q
The US Constitution is made up of?
A
7 Articles followed by 27 Amendments
14
Q
US Constitution Articles 1-3 established what?
A
Legislative, Executive and Judicial Branches
15
Q
US Constitution Article 4, 5, 6, 7
A
4: Relationship between the Federal Govt and States
5. Process for amending the Constitution
6. Federal laws are higher than State laws
7. Procedures used to ratify the Constiturion
16
Q
The first 10 out of 27 Amendments of the US Constitution are?
A
The Bill of Rights
17
Q
What are examples of Law areas that only the Federal Govt can make?
A
Commerce, the military, immigration, and bankruptcy
18
Q
Name the 3 most important sources of US Law?
A
US Constitution
State Constitutions
Court Precedents
19
Q
What are the implied powers that the Constitution gives to Congress?
A
To make laws (unless they violate the Constitution)
20
Q
What are examples of some important State Law areas?
A
Worker’s compensation Real property Marital relations Insurance Professional Licensing Agency laws
21
Q
What is a NEGOTIABLE INSTRUMENT?
A
An alternate form of cash that is a promise to pay an amount of money:
Drafts
Checks
Promissory Notes
Certificates of Deposit
22
Q
What power do federal administrative agencies have?
Ex: SEC, FTC, FCC etc…
A
To make rules and regulations that carry out the statutes passed by Congress and to enforce the law
23
Q
Does the Supreme Court hear evidence or testimony?
A
No. It reviews and decides cases that come from the lower courts.
24
Q
What are CA Superior Courts?
A
These are the Trial Courts in CA, located in each County
25
What is the PEOPLE'S COURT?
Small claims courts where the amount is less than $10,000 max for individuals, and people represent themselves.
$5000 max if a corp is suing
26
What is the difference between a
LIMITED JURISDICTION SUPERIOR COURT
and a
GENERAL JURISDICTION SUPERIOR COURT?
GENERAL is for $25,000 and above
27
What are the 2 APPELLATE COURTS in CA?
CA Court of Appeals, and then CA Supreme Court
28
What are PLEADINGS in a court case?
Initial papers filed that explain each party's side of the dispute
29
What is usually the longest part of a court case?
DISCOVERY
30
What is a GARNISHMENT?
If the defendant is employed, wages can be garnished to collect the judgment in installments
31
What are the main steps in a CIVIL CASE?
```
Pleadings
Discovery
Pretrial
Trial
Post trial
```
32
If a defendant does not have insurance to cover a judgment, what avenues are available for collection?
Judgement Lein
| Garnishment
33
Name 4 MONETARY/LEGAL REMEDIES (aka DAMAGES)?
1. Compensatory
2. Punitive/Exemplary
3. Liquidated
4. Nominal
34
What are COMPENSATORY DAMAGES?
Awarded to pay the person who was injured (plus often but not always legal and court costs)
35
What are EXEMPLARY DAMAGES (aka PUNITIVE)?
Awarded when the defendant's deliberate acts were malicious, violent, oppressive, fraudulent, cruel, or grossly reckless
36
What are LIQUIDATED DAMAGES?
A contractural stipulation, which establishes a predetermined sum that must be paid if a party fails to perform as promised.
37
What are NOMINAL DAMAGES?
Awarded when a legal wrong has occurred, but where there was no actual financial loss (award is typically $1 or $2)
38
What is an EQUITABLE REMEDY and name 7?
A non-monetary Award that is a right
1. Specific Performance
2. Rescission
3. Reformation
4. Injunction
5. Foreclosure
6. Quiet Title
7. Declaratory Relief Action
39
What is SPECIAL PERFORMANCE?
A remedy forces a party to execute a contract according to the precise agreed-upon terms
40
What is RESCISSION?
When both the Broker and Client agree to end the agreement (Listing or Buyers). Releases both parties from the contract.
When this happens, any money given is returned
41
What is REFORMATION?
The judicial correction or change of an existing document by court order when one of the parties enters a petition for a change due to a mistake or fraud.
42
What is INJUNCTION?
A remedy that is a court order that requires a party to do or refrain from doing specific acts. Can be fined or go to jail if failure to comply.
43
What is FORECLOSURE?
A remedy that terminates a person's interest in a property
44
What is QUIET TITLE?
A legal action to determine who holds ownership in real property. This clears and removes a cloud on title.
45
What is DECLARATORY RELIEF ACTION?
A Court Judgement which determines the rights of parties without ordering anything be done or awarding damages
46
What is ADR?
Alternative Dispute Resolution
| an out-of-Court settlement
47
What is the difference between MEDIATION and ARBITRATION?
A Mediator gets the parties to compromise and mutually agree to a settlement.
An Arbitrator imposes a settlement that they think is right.
48
Why is ARBITRATION ideal for business contracts?
Saves time and money
Promotes less hostile relations than litigation
Allows submission of complex issues to experts
49
What kind of appeal cases go straight to the California Supreme Court?
Death Penalty
50
In the Uniform Commercial Code, negotiable instruments do not include?
Cash
51
How important is INTERNATIONAL LAW to making US LAW?
Not very
52
Which federal court reviews IRS rulings?
US Tax Court
53
What is a PRETRIAL ORDER?
After the PRETRIAL CONFERENCE is over, the Court recounts the actions taken and controls the course of a trial with the ORDER
54
The Bill of Rights protects the rights of individuals by?
Limiting Government Power
55
What are EMBLEMENTS?
Plants or crops considered personal property since human intervention is necessary for planting and harvesting.
56
What is the PLLS (aka RECTANGULAR SYSTEM)?
The Public Land Survey System (PLSS) is the method traditionally used over the largest part of the United States to survey and classify land parcels before naming an owner, particularly in rural or undeveloped land
Developed by Jefferson after the Revolutionary War, first used in OHIO
57
What is a LEGAL DESCRIPTION of Land?
A description which accurately locates and identifies the boundaries of the subject parcel to a degree acceptable by courts of law in the state where the property is located
58
What is a POB?
The POINT OF BEGINNING in the Metes and Bounds system description
59
What is the difference between METES and BOUNDS?
METES: distance and direction
BOUNDS: fixed reference points like monuments or landmarks
60
Name 3 accepted types of legal descriptions of Land?
1. RECTANGULAR (Large continuous land areas)
2. METES & BOUNDS (uses reference points)
3. LOT & BLOCK (used in subdivisions and metro areas)
61
What is an IMPROVEMENT to land?
Real Property built on the land
62
What is a CADASTRAL LAND SURVEY?
A property Survey that is more detailed than a House Location Survey when land is being sold
63
Why is it important to have a PROPERTY SURVEY done when selling or buying?
So that you know all of the boundaries, easements etc...and because Mortgage Companies and Title Insurance Companies will want this done
64
What is a DATUM?
Standard elevation reference points throughout the country.
The first is at NY Harbor.
65
What are standard units of measurement?
Rod: 16.5 feet; 5.5 yards
Chain: 66 feet; 4 rods; 100 links
Mile: 5,280 feet; 1760 yards; 320 rods
Sq. Mile: 640 acres
Acre: 43,560 sq. feet; 160 sq. rods
Section: 640 acres
Sq. Foot: 144 sq. inches
Sq. Yard: 9 sq. feet
Cu. Yard: 27 cu. feet
66
How does a location survey differ from a boundary survey?
A location survey is boundary survey with the additional location of all the interior improvements.
67
How is real property "permanantly" affixed to land?
By the intention of the owner.
Nothing man-made can be permanently affixed, in reality.
68
What is the difference between TANGIBLE and INTANGIBLE property?
TANGIBLE: physical, visible, and material
INTANGIBLE: abstract, having no physical existence in itself, other than as evidence of one's ownership interest
69
Is Real Property tangible or intangible?
TANGIBLE
70
Is Personal Property tangible or intangible?
EITHER WAY
TANGIBLE ex: Boats, jewelry, coins, appliances, computers, and art
INTANGIBLE ex: Stocks, copyrights, bonds, trademarks, patents, franchises
71
What does the legal concept of LAND encompass?
Surface
Below surface to center of earth
Air above surface
Natural things attached (trees etc...)
72
What does the legal concept of REAL ESTATE encompass?
Land
| All man-made "improvements" that are "permanently" attached.
73
What is an APPURTENANCE?
rights that "run with the land" like air rights and subsurface rights - these can be sold separately or as a bundle of rights
74
What is the Doctrine of Prior Appropriation?
CA water rights that are granted according to the date of first use
75
Are minerals under your land real or personal property?
Real property until removed when they become personal property
76
What is the RULE OF CAPTURE?
The law allows oil or gas to be removed from wells on the surface of the owner’s land even if the oil or gas came from under a neighbor’s property
To protect your rights to your oil you must drill a offset well.
77
How does an OIL AND GAS LEASE work?
You lease your drilling rights to a professional company who pays you an upfront sum and royalties.
99 years is the maximum for these leases.
78
What are LATERAL SUPPORT RIGHTS?
Your right to physical support of your land by adjacent land
79
What is SUBJACENT SUPPORT RIGHTS?
Your right to physical support of your land from underneath (an issue when drilling for minerals or oil on other properties)
80
What are the four important rights associated with owning a parcel of real estate?
Right to encumber (mortgage)
Right to use
Right to transfer
Right to exclude
81
What is the difference between Federal and State regulations in Real Estate?
FEDERAL: concerned with broad standards of real property usage, natural disaster, land description, and discrimination
STATE: concerned with specific regulations that govern the real estate business like license laws and qualifications, environmental controls and how property may be owned, transferred, encumbered, and inherited
82
Who has the power to levy real estate taxes?
States, but they generally pass the power to local authorities.
83
What is a FIXTURE?
Personal property that is permanently affixed to real estate making it real property
84
What is a TRADE FIXTURE?
Personal property that is temporarily affixed to real property to conduct business. Can be removed prior to closing. After that it is real property.
85
Are plants and crops that grow real property or personal property?
Real property if they grow without anyone's labor or machinery.
Personal if the need labor or machinery to grow
86
What is the RIGHT TO ENCUMBER?
The right to mortgage a property as collateral for debt
87
What is a SUBDIVISION SURVEY?
A topographic survey of a parcel of land which will be divided into two or more smaller tracts, lots or estate division
88
What describes a portion of land delineated by boundaries?
PARCEL
89
What type of survey is a boundary survey with the additional location of all the interior improvements?
LOCATION SURVEY
90
What is a REVERSIONARY or a REMAINDER estate interest?
After a LIFE TENANT dies...
REVERSIONARY: Reverts to original owner
REMAINDER: A named third party receives the estate
91
What is a CONVENTIONAL LIFE ESTATE?
A grant from a fee simple property owner to the grantee, the life tenant.
Following the termination of the estate, rights pass to a remainderman, or revert to the previous owner.
92
What is a PUR AUTRE VIE life estate
Endures over the lifetime of a third person, after which the property passes from the tenant holder to the original grantor (reversion) or a third party (remainderman).
93
What is a LEGAL LIFE ESTATE?
Created by State Law instead of by agreement
94
What is ELECTIVE SHARE?
When a spouse is left out of a will, they can make an ELECTIVE SHARE claim to receive a percentage of real and personal property.
95
How are EASEMENTS created
1. Voluntary
2. Necessity
3. Prescription
96
What is a PRESCRIPTION EASEMENT?
If you are using someone else's property you can get a court order making it permanent, if...
- You do not have permission
- The Owner knows but does nothing to stop you
- It lasts for 5 years of continuous use
97
What are 3 types of ENCUMBRANCES?
1. Mortgages
2. Easements
3. Leins
98
What is a HOMESTEAD?
A person's principal residence that you occupy
99
What do HOMESTEAD LAWS protect?
Family members against losing their homes to general creditors attempting to collect on debts
100
What are 4 legal features of a LEIN?
1. Does not convey ownership (except Mortgage lien)
2. Attaches to property
3. Property can have multiple liens
4. Terminates when paid off
101
What is the difference between a GENERAL and a SPECIFIC LIEN?
GENERAL: placed against ALL real and personal property
SPECIFIC: placed against just one thing
102
Which LIENS are SUPERIOR to others?
- Ad Valorem property taxes
- Special assessment taxes
- Inheritance taxes
103
What two factors that determine LEIN PRIORITY?
Is Lien superior or junior
What is the date of lien
104
What are the 4 types of CO-OWNERSHIP in CA?
Joint tenancy - Equal, inherited by other owner(s)
Tenancy in common - Unequal, can will/sell
Tenancy in partnership
Community property
105
What is a PARTITION SUIT?
A legal remedy for terminating your interest in JOINT TENANCY
106
What are the 3 main forms of OWNERSHIP?
1. Severalty
2. Co-Ownership
3. Trust (held by a third party for the benefit of someone else)
107
What are the four unities needed to create a JOINT TENANCY?
Unity of...
- Time
- Title
- Interest
- Possesion
108
What is always considered SEPARATE PROPERTY even in a Community Property state?
Property owned by either spouse at the time of the marriage
Property acquired by either spouse through inheritance or gift during the marriage
Property acquired with separate-property funds
Income from separate property
109
COMMUNITY PROPERTY cannot be transferred or encumbered without...?
The signatures of both spouses
110
Name a key difference between a Condo and a Planned Unit Development
Planned Unit Development owners also own the LAND under their Unit
111
What happens to community property upon the death of a spouse (if they don't have survivorship rights)?
1/2 to Spouse
| 1/2 to Heirs
112
Name 6 ways that Businesses can purchase, hold, and sell property?
1. Sole proprietorship
2. Partnership
3. Joint venture
4. Limited Liability company
5. Corporation
6. Syndicate
113
What is a JOINT VENTURE?
A partnership for a single undertaking rather than a continuing business
114
PARTNERSHIPS and JOINT VENTURES who own property are always...?
Tenancy in Common
115
CORPORATIONS who own property are always...?
Ownership in Severalty (sole ownership)
116
What is an LLC?
A hybrid of a Corporation and Partnership
LLC's provide the limited liability protection of corporations without the regulations associated with corporations.
117
What is undivided interest?
Interest in a property where two or more parties share ownership
118
Interests are individually owned in tenancy in common. What does that mean?
Tenants have distinct and separable ownership of their interests.
119
What does a writ of attachment do?
In a lawsuit, It stops a debtor from selling or concealing property.
120
What type of debts are subject to the Homestead Law?
Signature Loan Debts
121
What does "As right of Zoning" mean?
The zoning allows property owners to do certain things as part of their "bundle of rights?
122
What are the two levels of approval a California County or City general plan must pass?
Planning commission
| City Council or County Board of Supervisors
123
What is the Doctrine of Laches?
If a property owner is lax in protecting his or her rights, the property owner may lose those rights.
124
What entities have the power of EMINENT DOMAINE?
```
Government
School districts
Public utilities
Public housing and redevelopment agencies
Railroads
```
125
What are some examples of the exercise of police power?
```
Zoning ordinances
Building codes
Subdivision regulations
Eminent domain
Environmental restrictions
```
126
What is a “taking?”
Refers to the “taking clause” of the 5th Amendment which says that private property cannot be taken for public use without just compensation.
127
What is the difference between CUMULATIVE and NONCUMULATIVE ZONING and which one is more common?
Cumulative zoning allows more restrictive zoning uses to be allowed in less restrictive zones. Conversely, noncumulative zoning only grants permits for the designated use specified in a zone.
Noncumulative zoning is more common.
128
What is the TRANSFER OF DEVELOPMENT RIGHTS?
TDR makes it possible for there to be a free exchange (buying and selling) of development rights without having to buy or sell land.
Commonly used by developers to increase the density on another piece of property at another location
129
What is a "Sunshine Law"?
Mandate that meetings of governmental agencies and departments be open to the public.
130
What does the Interstate Land Sales Full Disclosure Act say that developers must give to potential purchasers and lessees?
A printed property report, which gives specific information about the property, before the buyer or lessee signs a purchase contract or lease.
131
In Zoning, what is the difference between a USE VARIANCE and an AREA VARIANCE?
USE: Permission to use the land for a purpose not allowed by the current zoning
AREA: One or more of the dimensional or physical requirements of the applicable zoning law, in connection with some proposed construction.
132
What is the Alquist-Priolo Earthquake Faulting Zone Act (1972)?
Prohibits new building on active fault lines, and requires Sellars to disclose if property is on a fault line
133
What is the National Environmental Policy Act of 1969?
Created the Environmental Protection Agency (EPA) and the Council for Environmental Quality
134
Property taxes that are not paid result in a?
Property Lien
135
What are RESTRICTIVE COVENANTS?
Limitations placed on the use of land by the developer of a residential subdivision
136
What type of Agency Relationship exists between a Broker and their Salespeople?
GENERAL AGENCY
137
What type of Agency Relationship exists between a Broker and Clients?
SPECIAL AGENCY (but can be General if the Broker does a multitude of tasks)
138
What type of Agency usually does NOT exist in Real Estate offices?
UNIVERSAL AGENCY
139
What is a BUYER REPRESENTATION AGREEMENT?
Between a Selling Agent and a Buyer
140
Can a Salesperson create Agency between their Broker and a Client?
YES, if allowed in their independent contractor agreement.
Agency is always with the Broker, not the Salesperson.
141
If a licensee leaves his or her broker, how many listing agreements and buyer agency agreements is the salesperson allowed to take to the next broker?
None
The agreements are between the Broker and Client always even if the Salesperson does all the work
142
What are the 2 types of CUSTOMER's?
1. Licensee is working directly with when showing properties, but they are not your Client if there's not a written Agency Agreement (Listing or Buyer's)
2. Another Agent's Client is your Customer
143
What can a licensee not provide to a customer?
Advice and Counsel (you give that to Clients)
144
How is Agency Terminated?
1. The deal closes
2. The Listing/Buyers Agreement expires
3. Mutual Oral Agreement if no written agreement
4. Death of Client or Broker
145
When a lawsuit or complaint is filed against a real estate agent, who must determine whether or not an agency relationship has been created?
A Hearing Officer
146
How does an Agent demonstrate FAIRNESS?
Be honest with the customer
BUT
Get the best transaction for your Client
147
When there is no buyer representation agreement in place, who actually represents a seller in a real estate transaction?
Selling Agent (who would otherwise rep the Buyer if a Buyer's Agreement was in place)
148
Who can allow a listing to be cancelled during the term of the listing agreement?
The Broker
149
What is CONSIDERATION (in a Contract)
An exchange of promises that contains something of value.
Separates contracts from gifts
150
What is LEGAL DESCRIPTION (in a Contract)
Description of property location (i.e. metes and bounds, rectangular etc...)
151
What is FORBEARANCE (in a Contract)
To agree not to do something (i.e. don't park in the driveway, don't paint the walls in a rental apt etc...)
152
What is the difference between and EXPRESS and IMPLIED CONTRACT?
Express: Every term is set and agreed to by both parties
Implied: An unstated or unintentional agreement may exist without a written contract
153
What is the one type of Real Estate Contract that CA allows to be Oral?
Commission sharing between Agents
154
What is a common example of an IMPLIED CONTRACT?
Implied Agency Contract such as when an Agent negotiates on behalf of a Buyer without a Buyer's Agreement in place
155
What is needed for and IMPLIED CONTRACT to be in place?
Offer and acceptance
Mutual intent
Consideration
156
What's the difference between a BILATERAL and a UNILATERAL contract?
BILATERAL: both parties promise to perform their respective parts in exchange for performance by the other party
UNILATERAL: only one party promises to perform
157
5 examples of BILATERAL CONTRACTS in real estate include:
- Independant Contractor Agreement
- Listing Agreement (exception: Open Listings)
- Buyer Representation Agreement
- Lease
- Purchase Agreement
158
What is the difference between and EXECUTED and an EXECUTORY contract?
EXECUTED: everything is fully performed and closed
EXECUTORY: not finished yet, something could be "dangling" and yet to be performed
159
What's an INDEFINITE CONTRACT vs. an AMBIGUOUS CONTRACT?
INDEFINITE: missing terms or language
AMBIGUOUS: has terms that are confusing
160
4 ways a Court could view a contract are?
VALID: meets all legal requirements
VALID BUT UNENFORCABLE: Oral when written is required
VOID: doesn't meet legal requirements for contract
VOIDABLE: if one party says that they singed under duress and disaffirm it
161
What 3 scenarios could happen if a CONTINGENCY is not met?
1. Transaction is void
2. Contingency is waived
3. Contingency is revised
162
Name 6 common real estate CONTINGENCIES?
1. Financing
2. Inspection
3. Sale
4. Title Report
5. Lead Based Paint Disclosure and Inspection
6. CC&R's
163
What is DISCHARGE of a Contract?
Termination or Cancellation
164
5 reasons that a Contract is DISCHARGED are?
1. Mutual Agreement
2. Non-Performance in Full
3. Infeasibility (not possible to perform)
4. Operation of Law (Statute of Limitations, Bankruptcy)
5. Assignment (to another party)
165
What type of contract is not ASSIGNABLE?
Anything involving a personal service
Property contracts are Assignable
166
CA Statute of Limitations on suing for BREACH OF CONTRACT is?
4 years
167
Name 3 legal remedies for BREACH OF CONTRACT?
1. Rescission
2. Forfeiture
3. Suit for damages
168
What is a TORT and what is TORT LAW?
A civil wrong or wrongful act as grounds for a lawsuit
Tort law attempts to remedy a wrong by providing monetary damages to the injured party
169
List 5 common tort claims made against real estate licenses?
1. Fraud
2. Breach of Duty
3. Breach of Contract
4. Negligence
5. Bodily Injury / Property Damage
170
What type of suit is an attempt to force the defaulting party to comply with the terms of the contract?
A suit for specific performance
171
What is PARTIAL PERFORMANCE?
When a defendant has failed to complete performance of an agreement according to its terms
172
What is FORESEEABILITY?
When damages were within the contemplation of the contract when made?
173
What is DEFAULT (in contracts)?
To fail to do something required by law or duty.
174
What is the IRS's SAFE HARBOR TEST for a Salesperson?
Makes you an Independent Contractor for tax purposes if...
1. Licensed
2. Receive Compensation based on Commission, not hours worked
3. A written agreement between Broker and Salesperson
175
What is the main difference between the two CAR Independent Contractor Agreements?
Arbitration or Non-Arbitration (mediation)
176
What is the major difference between an exclusive right to sell listing and an exclusive agency listing?
EXCLUSIVE RIGHT TO SELL: Broker always gets commission
EXCLUSIVE AGENCY: No commission if Seller brings in the Buyer
177
How must the listing price be written on the Exclusive Right to Sell Agreement?
In both Numeric and Written form like a cheque
178
What 3 things is the Broker authorized to perform in a LISTING Contract?
1. Order reports and disclosures
2. Market property
3. Share info with other Brokers/Licensees
179
How many days after an associate enters into an agreement with a seller does the broker have the option to cancel the listing agreement?
5
180
What is a PROCURING CAUSE AGENT?
The agent who ultimately caused the buyer to purchase the home and earned the commission
181
What does it indicate if section C(2) of the Agency Relationship provision is checked?
The buyer does not consent to the possibility of a dual agency relationship between broker and buyer
182
What 3 things is the Broker authorized to perform in a BUYERS Contract?
1. Locate properties, present offers, negotiate
2. Provide guidance
3. Get a credit report on the Buyer
183
What are the 4 options for a Seller when considering an offer?
1. Complete Acceptance (turns offer into contract)
2. Rejection
3. Counteroffer
4. Failure to Act (time to think about it)
Buyers can pull their offer anytime before a Seller notifies them of acceptance
184
What common DEED RESTRICTIONS are common in a sale?
```
Easements
Association memberships
Encumbrances
Mortgages
Liens
Special assessments
```
185
What is the most common ADDENDA to a sale contract?
Seller's property condition disclosure
186
What information is included in the price and terms provision of the SALE CONTRACT?
Final price
Down payment
Financing information
187
What does the ESCROW CLAUSE in a SALE CONTRACT do?
Provides for the custody and disbursement of the earnest money deposit
Releases the escrow agent from certain liabilities
188
What does a RIGHT OF RESCISSION clause set forth in a SALE CONTRACT?
if sellers fail to deliver the property condition disclosure statement in a timely fashion...
Then Buyers (under certain conditions) can rescind the sale contract and re-claim their deposits .
189
What does the DUE-ON-SALE clause in the SALE CONTRACT say?
Both parties agree to hold the other party harmless for loans that survive the closing.
190
List the 3 topics discussed in the AGENCY paragraph of the SALE CONTRACT?
1. Disclosure of Agency relationships
2. Confirmation of Agency relationships
3. Note that brokers may represent potentially competing buyers and sellers
191
What does a buyer agree to do in Paragraph 3J(1) of the LOAN TERMS section of the SALE CONTRACT?
Within 3 days the buyer will provide the seller a letter from the buyer’s lender stating the buyer is prequalified or preapproved for the loan detailed in section 3D
192
How does a buyer indicate the PURCHASE AGREEMENT is contingent on the sale of their current property?
Check Paragraph 4B and add the details to the Addendum
193
What specific costs are addressed in Paragraph 7D of the SALE CONTRACT?
"Other" Costs...
- County transfer fee
- City transfer fee
- HOA related fees
- Private transfer fee
- Home warranty
194
What 3 options do the parties have on the PURCHASE AGREEMENT for when the buyer will receive possession of the property?
Paragraph 9B
- At 6pm (or another specified time) on the date escrow closes
- No later than a written in number of days after close of escrow
- At a specific time on a specific date
195
What does Paragraph 10A of the PURCHASE AGREEMENT provide the buyer in regards to disclosure cancellation rights?
Buyer has the right to cancel the contract by written notice within 3 days of delivery in person of any disclosure or amended disclosure discussed in paragraph 10A(1) if the disclosure or notice is provided after the purchase agreement is signed
196
List 3 topics addressed in the Time Periods; Removal of Contingencies; and Cancellation Rights paragraph
1. How contingencies and other obligations are performed
2. Time periods for delivery of disclosures, conducting inspections, and removal of contingencies
3. Cancellation rights from both parties
197
Describe the FINAL VERIFICATION OF CONDITION provision of the PURCHASE AGREEMENT?
5 days (or another specified number) prior to the close of escrow, the buyer the right to make a final verification of the property condition.
This is NOT a contingency of the sale but is to confirm the seller has fulfilled other obligations under the purchase agreement.
198
If a seller agrees to repair items on the property, when must they be completed?
Before the final verification of condition (usually 5 days before closing)
199
What are the parties are agreeing to by initialing under Paragraph 21B of the PURCHASE AGREEMENT?
If buyer defaults and cannot complete the purchase agreement, seller will retain the deposit paid by the buyer as long as it is not more than 3% of the purchase price (can be more if specified on the contract)
200
What does the SELECTION OF SERVICE PROVIDERS paragraph state on the PURCHASE AGREEMENT?
Brokers do not guarantee performance of any vendors, service, or product providers.
Buyer and seller may select any providers of their choosing.
201
List the 4 paragraph titles on the CAR Counter Offer?
Terms
Expiration
Offer
Acceptance
202
What are the 5 most common CONTINGENCY CLAUSES?
```
Appraisal
Financing
Inspection
House Sale
Kick-Out Clause
```
203
Can the Buyer back out of a Sale Contract if they can't get financing?
YES, known as a Financing Contingency and the length of time the Buyer has to get financing is written in the contract.
204
Who pays for INSPECTION FEES after an offer has been accepted but before close of Escrow?
Buyer
Can have multiple inspections (a main and then specific experts like a chimney expert etc...)
205
What is a SETTLEMENT CONTINGENCY?
Related to a HOME SALE CONTINGENCY, this is when a Buyer is in the process of selling their home but it has not closed yet. Gives a certain number of days for closing and if not, Buyer can back out of purchase.
206
What is a KICK OUT CLAUSE?
While the seller agrees to a HOUSE SALE CONTINGENCY, the seller can continue to market the property. If they receive another offer...
First Buyer has a set time like 24-48 hours to remove their Contingency, or they lose it to the Second Buyer.
207
When making an offer, what is best regarding CONTINGENCIES?
Make as few as possible!
208
What does a LEASE convey?
Your LEASEHOLD ESTATE in a property, but not legal title
209
What governs the making, interpretation, and enforcement of LEASES?
The Law of Contracts
210
What is the DEMISING CLAUSE of a Lease?
How the landlord is leasing the property and the tenant is taking possession of the property.
211
What section in a CAR Residential Purchase Agreement includes information regarding the first, second, VA or FHA loans?
Loans
212
How many days does a seller have after acceptance, if not specified, to disclose if the property is a condominium or planned development?
7
213
What paragraph in a CAR Residential Purchase Agreement states the contract represents the final terms of the agreement unless the parties make changes in writing?
Time of Essence; Entire Contract; Changes
214
Within how many days after delivery of a disclosure can buyer cancel a CAR Residential Purchase Agreement Contract?
3
215
In a CAR Residential Purchase Agreement, the four sections that follow the confirmation of acceptance are?
1. Real estate brokers (not party to agreement)
2. Escrow holder acknowledgement
3. Presentation of offer
4. Rejection of offer (if not accepted)
216
What is a DEED OF CONVEYANCE?
To transfer property through voluntary alienation (a real estate term for convey)
217
What is the HABENDUM CLAUSE of the DEED?
Describes the type of estate being conveyed (ex: a fee simple estate, a life estate, or an easement)
218
What is VOLUNTARY ALIENATION?
Voluntary transfer of title by sale or gift from an owner to another party
219
What action is necessary for a title to a property to pass to the grantee?
Deed to be delivered to and accepted by the Grantee
220
What is a GRANT DEED?
The most common Deed in CA
Includes 2 implied warrantees from the Grantor:
1. No one else was granted title
2. Property is free of encumbrances except those that the Grantee knows about
There are always some risks when transferring title and that is why there is Title Insurance
221
What is a QUITCLAIM DEED?
Commonly used for transfers within a family and in divorce settlement.
No claim to any interest in the property being conveyed and offers no warrants to protect the grantee
222
What is a FULL COVENANT & WARRANTY DEED?
Gives the most protection of all Deeds, but rarely used now because of Title Insurance on Grant Deeds
223
What is a DEVISE? DEVISOR? DEVISEE?
DEVISE: transfer property under a will
DEVISOR: person who died
DEVISEE: person receiving the property
224
What is ADVERSE POSSESSION?
When you can claim someone else's property, under certain conditions by entering and occupying it without the Owner's consent, or if the Owner knows but does nothing.
225
How can Property Owners avoid ADVERSE POSSESSION claims?
Periodically inspecting property and evicting tresspassers
226
How is ESTOPPEL used as a form of Involuntary Alientaion?
Estoppel prevents a person from claiming a right or interest that is inconsistent with the person's previous statements or acts.
Estoppel can prevent an owner from re-claiming a property that was transferred under false pretenses.
227
What is ANNEXATION?
When a City annexes your property and makes it part of the City.
Benefits you (sewage, trash services etc...) and the City (tax revenue)
228
What is DEDICATION?
When a developer uses a quitclaim deed to dedicate the use of certain streets and other areas in the community to the public.
229
What is a PLAT MAP?
A map, drawn to scale, of the division of land. These are created by surveyors or assessors in a given county and are kept on file at a county’s recording office
230
What is CONSTRUCTIVE NOTICE?
Notice given by the public record at the Courthouse, which you are presumed to know because it is available for everyone to see.
231
What three areas of a property are licensees required to visually inspect when completing their section of the TRANSFER DISCLOSURE STATEMENT (TDS)?
Interior of the Property
Exterior of the Property
Environmental Hazards
232
List 3 situations where the Lead-Based Paint Disclosure is NOT required by Federal law
1. Foreclosed property sales
2. Rental property that has been certified as “lead-based paint free”
3. Renewal of leases
233
How does the IRS define a foreign person as it relates to the Foreign Investment in Real Property Tax Act?
Nonresident alien, foreign corporation or trust
A lawful permanent resident is NOT considered a foreign person.
234
What is COLOR OF TITLE?
When a grantee has obtained defective title, or received title by defective means, but occupies the property as if he or she were the legal owner
235
What year did CA require Sellers to provide Homeowner’s Guide to Earthquake Safety (in addition to Natural Hazards Disclosure Statement)?
1960
236
How many days does a buyer have to conduct a lead-based paint inspection in a sales transaction?
10
237
What is the most common type of will used in California and is a formally written document usually prepared by an attorney?
A Witnessed Will
238
What is CONVEYANCE?
When the transfer of title to real estate uses a written instrument
239
What is a PROFIT ENCUMBRANCE?
Permission to take something from someone else's land of value (minerals, crops)
240
What is an ENCROACHMENT?
A piece of property or an object on a property that is crossing the boundary line of an adjacent property (Tree branches hanging over etc...)
241
List 3 types of NON-FINANCIAL ENCUMBRANCES?
1. Easements
2. Encroachments
3. Deed Restrictions
242
What is the difference between a GENERAL LIEN and a SPECIFIC LIEN?
GENERAL: Placed against all property by a debtor
SPECIFIC: Placed against one specific piece of property
243
Name 3 SUPERIOR LIENS?
1. Property Tax
2. Special Assessment Tax
3. Inheritance Tax
244
Name 3 JUNIOR LIENS?
1. Judgement Lien
2. Mechanics Lien
3. Income Tax
245
What 2 factors primarily determine LIEN PRIORITY?
1. Superior or Junior Lien
| 2. Date filed (Mechanics is backdated to when work was done)
246
How long does a JUDGEMENT LIEN last?
10 years
| Option to extend for another 10
247
What is a WRIT OF EXECUTION?
Authorizes an official, such as the county sheriff, to seize and sell the foreclosed property
248
What is a WRIT OF ATTACHMENT?
During the course of a lawsuit, a plaintiff may secure a writ of attachment to prevent the defendant from selling or concealing property
Limited to business, trade and professional claims
249
List the 4 ways a judgment lien can be terminated?
1. Payment
2. Expiration
3. Bankruptcy
4. Discharge by Creditor
250
How much PRELIMINARY NOTICE is required to give the homeowner when a Mechanic files a Lien?
20 Days (if there is no contract between the Contractor and the Homeowner)
251
If a notice of completion or cessation is filed by a homeowner, how long do general and subcontractors have to file a MECHANICS LIEN?
General Contractor: 90 Days
| Sub-Contractor: 30 Days
252
How long does a LIENOR have to enforce a mechanic’s lien once it is recorded?
90 Days
253
What amount are the CA Homestead Exemptions that protect your home from Judgement Liens?
$75,000 for individuals
$100,000 for families
$175,000 for the elderly or disabled
254
What's the difference between the AUTOMATIC HOMESTEAD EXEMPTION and the DECLARED HOMESTEAD EXEMPTION?
Automatic applies when a sale is forced
| Declared applies when you voluntarily sell
protects a portion of the money - but you need to declare it in advance
255
What is the purpose of HOMESTEAD LAWS?
To protect individuals and families against losing their homes to general creditors attempting to collect on debts.
256
For which lien holders does the HOMESTEAD EXEMPTION not apply?
Mortgages/Trust deeds
Spousal/Child support
Taxes
257
A Mechanic's Lien filer must be a licensed contractor unless the homeowner knows the worker was unlicensed and the work performed was less than how much?
$500
258
What puts a Mechanic's Lien on the balance of funds from a sale?
A Stop Notice
259
For how long can a California income tax lien be in force?
10 years with 2 more extensions up to 30 years
260
What is a FEDERAL LIEN?
When the Internal Revenue Service (IRS) has sent a taxpayer a bill entitled Notice for Demand and Payment and the bill is either ignored or not paid in full
261
How many years are ATTACHMENT LIENS valid from the date of the writ of attachment?
3 years
262
What is ABANDONMENT in real estate?
The discontinued use of the property. If the owner does not intend to use it again as a home, then the rights are extinguished.
263
What type of lien secures a purchase money mortgage, a seller's loan to a buyer to finance the sale of property?
Vendor's Lien
264
A MORTGAGOR is?
The borrower of the loan
265
What is the difference between a SECURED and UNSECURED loan?
All real estate loans are secured with property as collateral.
Other short term loans may be unsecured without any collateral.
266
What are the basic provisions on a PROMISSORY NOTE for a Mortgage?
- Identity of Borrower and Lender
- Amount Borrowed
- PROMISE to pay
- Interest Rate
- Due Date of Payments
- Amount of Payments
- Maturity Date of Loan
- Reference to the Security for the loan (property that is collateral)
- Signatures
267
What problems can arise when a non-institutional trustee is named under a DEED OF TRUST?
There may be difficulty locating that person to reconvey the title after the debt has been paid.
Lenders prefer to use an Institutional/Corp Trustee.
268
What is the major difference between a Mortgage and a Deed of Trust?
The Deed of Trust involves a 3rd party Trustee between the Borrower and Lender. The Trustee holds title until the loan is paid off.
Much simpler for the Lender to foreclose - without going to Court.
269
What is a LOCK-IN CLAUSE?
An extreme pre-payment penalty that prohibits Borrowers from paying of their loan early.
270
What is the SUBORDINATION CLAUSE on a loan?
An agreement to reduce the priority of an existing loan to a new loan to be repaid first.
271
What is California’s position regarding late payments on a loan?
10-day grace period is required
Fees cannot exceed 6% of the payment due
272
What types of transactions often include a RELEASE CLAUSE on a loan?
When two or more properties are pledged as collateral for a single loan, such as transactions that involve land development
273
If the promissory note was made with a RECOURSE CLAUSE and the sale does not bring enough to pay...?
The mortgagee can file a claim for a deficiency judgment (outstanding debt remaining) to get more money including legal fees.
274
What is LIS PENDENS in a Foreclosure?
Public notice that enables other lienholders to join in the suit against the defendant
275
What is a DEFICIENCY JUDGEMENT?
Any outstanding debt remaining after foreclosure and sale of a property is known as a deficiency judgment.
276
The primary method of foreclosure in California is?
Non-judicial foreclosure
Most deeds of trust contain the power of sale clause, which allows a foreclosure sale without a court order.
277
How long do you have to make the payment once you have received the Lender's NOTICE OF DEFAULT?
90 Days
| After which they can start Foreclosure proceedings
278
What potential problem is there for the new Owner after a non-judicial foreclosure sale?
Title may not be clear. Might be other liens in place against the property like taxes, mechanics liens etc...
279
How do CONVENTIONAL loans compare to GOVERNMENT loans?
ADVANTAGES: Less time-consuming, and less forms and more loan options
DISADVANTAGES: higher down payments, pre-payment penalties
280
What is a payment cap in an ADJUSTABLE RATE MORTGAGE (ARM)?
A set monthly payment that remains the same although the actual interest rate may fluctuate throughout the year
281
What is a GRADUATED PAYMENT MORTGAGE (GRM)?
payment for principal and interest gradually increases over time and then it levels off for the remaining term of the mortgage
282
What is a SHARED EQUITY MORTGAGE?
A participation mortgage in which the lender shares in the appreciation of a mortgaged property if and when the property sells
283
List 3 types of loans that do not require compliance with the TRID rule?
1. Reverse mortgages
2. Home equity loans
3. Mobile Home Loans
284
Any advertising is subject to REGULATION Z disclosure if it contains...?
All must be disclosed....
1. Amount or percentage of down payment
2. Installment payment or amount
3. Specific finance change
5. Number of installments
6. Period of repayment
7. Indication that there is no charge for credit
285
What is the COMMUNITY REINVESTMENT ACT?
1977
Prevent redlining and to encourage banks and thrifts to help meet the credit needs of all segments
Requires regulators to assess the record of each bank and thrift in helping to fulfill their obligations to the community
286
What is SUBPRIME LENDING?
Predatory Lending Mortgages made to borrowers with lower credit ratings who wouldn’t typically qualify for a conventional mortgage, and they pay higher interest rates and have high levels of default.
287
What are 3 warning signs of PREDATORY LENDING?
1. Phrases such as “guaranteed approval” and “no income verification”
2. Large balloon payments or significant increases in the interest rate after a short period
3. Loan fees between 5-7% of the loan amount
288
What clause, in a non-judicial foreclosure, enables a mortgagee to order a public sale without a court decree?
A Power-Of-Sale Clause
289
What Act requires each of 3 three nationwide credit reporting companies to give consumers a free copy of their credit report, at their request, once every 12 months?
Fair Credit Reporting Act
290
In an adjustable rate loan, index plus the margin establishes the...?
Calculated Rate
291
In a GPM, the interest owed and not paid in the initial months is added back to the principal causing what is referred to as...?
Negative Amortization
292
What is a DEED IN LIU OF FORECLOSURE?
When a defaulting borrower avoids court actions and costs by voluntarily deeding the property to the mortgagee
293
What is a A DEFEASANCE CLAUSE in a loan?
If paid off, the mortgage is canceled, and the title is given back to the borrower.
294
ESCROW INSTRUCTIONS can never contradict the terms and conditions of what?
The Purchase Agreement or Addenda
295
What activities are all escrow agents prohibited from doing?
- Offer Legal advice
- Favor one party over the other
- Change documents without approval from both sides
- Release funds without approval from both sides
296
What is a TITLE INSURANCE POLICY?
Insurance to the Buyer and Lender that protects against defects in Title
297
What is the purpose of the preliminary title report?
Shows the condition of the title before the loan or sale transaction.
298
Why is TITLE INSURANCE unlike most other insurances?
1. It protects against something from the PAST
| 2. You only pay a 1 time only premium
299
Who typically pays for the homeowner’s title insurance at closing?
NOR CAL: BUYER
SO CAL: SELLER
But in either it can be split
300
What is PASSING PAPERS?
A meeting at closing with everyone in the same room to sign and close.
Not typical in CA
301
When closing, what is the order of RECORDING?
1. Deed of reconveyance – provided by the seller’s lender (trustee) giving the seller ownership of the property.
2. Grant deed – The grant deed transfers title from the seller to the buyer.
3. Deed of Trust – The deed of trust transfers title from the buyer to the buyer’s lender.
302
All escrow agents must report sales of real estate to the Internal Revenue Service (IRS) by completing...?
Form 1099-S
303
Name 4 items that are PRORATED at closing?
1. Taxes
2. Insurance
3. Utilities
4. Mortgage Interest
304
What is loan CONSUMMATION?
The time that a consumer becomes contractually obligated on a transaction
305
What is included in the OTHER COSTS section of the Closing Disclosure?
1. Taxes and other government fees
2. Prepaids
3. Initial escrow payment at closing
3. HOA fees, home warranty fees, home inspection fees, and/or real estate commission
306
What is a borrower affirming by signing the CONFIRM RECEIPT section of the Closing Disclosure?
That you received the form only. It does not indicate that you accept the loan.
307
Who is RESPA administered by?
The Consumer Financial Protection Bureau (CFPB)
308
What is ASSUMPTION in the Loan Disclosure?
Indicates whether or not the lender will allow a loan assumption on a future sale or transfer
309
What is a VENDEE Policy?
Special title insurance used when a property is being purchased through a land sales contract, purchase money mortgage, or purchase money trust deed?
310
What is significant about the Fair Housing Amendments Act of 1988?
Added disability and familial status
311
What was the significance of the Plessy v. Ferguson Supreme Court decision of 1896?
This Supreme Court decision allowed the use of "separate but equal". Later overturned.
312
What is the LOAN APPLICATION REGISTER (LAR)?
Each time a person applies for a home mortgage at an institution covered by HMDA (Home Mortgage Disclosure Act), that institution must make a corresponding entry into the register
313
Which additional discriminatory classes does the California Fair Employment and Housing Act include that the Federal Fair Housing Act does not?
Marital status
Ancestry
Sexual orientation/Gender Identity
Source of income
314
Why is it important for licensees to know fair housing laws?
1. It's the Law
2. It's Right
3. It reduces Risk
315
If a client asks a licensee’s opinion about a home or neighborhood, how should the licensee respond?
Respond with factual statements, but do not give an opinion that violates the rights of any protected class of the Fair Housing Act
316
What are TESTERS?
People of different protected status that test brokerages to see if they are offered the same listings.
317
In ____ the HOUSING AND COMMUNITY DEVELOPMENT ACT added what to the list of protected classes?
1974
| Sex
318
What is CONCILIATION?
When HUD attempts to resolve a complaint by getting assurance from the person that they will remedy the alleged violation
319
When HUD receives a complaint, it will start an investigation within...?
100 Days
320
In ____ the HOME MORTGAGE DISCLOSURE ACT did what?
1975
Prohibits financial institutions from discriminating in loan activities
321
What is URLTA?
Uniform Residential Landlord and Tenant Act
A federal law guiding Landlord/Tenant issues that State's use as a blueprint
322
What are the 2 main characteristics of a Lease?
Contract
| Conveyance
323
How long is a “reasonable time” between when a tenant provides notice to a landlord and when a tenant actually makes repairs?
30 Days
324
A LEASE may terminate for any of the following causes...?
- Term expiration or appropriate notice
- Voluntary agreement
- Property destruction
- Condemnation
- Abandonment or surrender of the premises
- Bankruptcy of Tenant
- Breach of contract
- Eviction
325
What is the most common form of landlord default?
Failure to provide services and maintain the property condition
326
What is an UNLAWFUL DETAINER?
An Eviction order from the Court
327
What is CONSTRUCTIVE EVICTION?
When the landlord makes the living conditions such that the tenant is forced to move out
Illegal in CA
328
Explain RENT CONTROL with and without VACANCY DECONTROL
WITH Vacancy Decontrol: Allows property owner to set new rent every time a new tenant starts, and then that tenant is rent controlled at that amount.
WITHOUT Vacancy Decontrol: Rent Control stays with the unit even when vacant and applies to the next tenant
329
If the use of a mobile home park changes and everyone gets evicted, how much notice is required?
6 months if Gov't approval required
12 months Gov't approval not required
330
How many days notice to terminate must an INDIVIDUAL TENANT be given in a MOBILE HOME lease agreement?
60 Days
331
What refers to the right a tenant has to exclusively have possession of a rental property?
Exclusive Use
332
How many days notice, before the date of increase, must be given to homeowners in a mobile home lease agreement, regarding the increase of rent?
90 Days
333
What option allows a tenant to arrange and pay for repairs, then deduct the amount from rent payments?
Repair And Deduct Option
Tenant must notify Landlord and give them 30 days to repair it first
334
What type of lease conveys a leasehold interest to an owner of a cooperative?
A Proprietary Lease
335
What describes a guarantee that a property meets the minimum health and housing codes?
Warrant of Habitability
336
The penalties for engaging in unlicensed real estate activity are?
Individual: up to $20,000 and 6 months in prison
Corp: up to $60,000
337
List three parties exempt from real estate licensing requirements in California
1. Employees of Banks and Lending Institutions
2. Cemeteries
3. Short Term Vacation Home Rental Agents
338
What is California’s policy regarding compensation for an unlicensed person acting in the capacity of a real estate salesperson
They Cannot receive any compensation
339
A licensee who is 70 years old or older is exempt from the continuing education requirement if...?
They are a licensee in good standing in California for at least 30 years
340
If someone applying for a license is on the register of people who haven't paid child support...?
They will be issued a temporary license for 150 days to clear it up
341
A nonresident of California is eligible for a California real estate license if
They complete all CA eligibility requirements
| AND the state they live in reciprocates with CA
342
Describe when a licensee may be issued a restricted license?
When a license has been suspended, revoked, or denied after a hearing.
343
What are the DRE Commissioner’s Regulations?
Rules that are part of the California Administrative Code.
344
In order for the Commissioner to investigate a complaint, what timeframe must the complaint be filed?
Within 3 Years
345
What is the Recovery Fund?
Alast resort for a consumer who has obtained a final civil judgment against a real estate licensee based on fraud or certain other grounds.
346
What is a Post-Dated Check considered?
A Promissory Note
Promissory Notes are not acceptable for real estate deposits
347
What is the CA Sales & Use Tax and who enforces the collection?
A a tax on the retail sale of tangible personal property.
The California State Board of Equalization
348
After a license is revoked, the person affected may not apply for reinstatement of the license until...?
1 Year has passed
349
What must a landlord or homeowner post that informs workers that the homeowner is not responsible for the work being performed?
Notice of non-Reponsibillity?
350
What happens to agency when a property is destroyed through a storm, earthquake or fire?
Terminated because the property no longer exists
351
If a broker is also an escrow agent in a transaction, he or she must put aside any agency relationships with the parties involved and become a...?
Neutral Depository
352
Who can file a discrimination complaint?
Anyone, but usually the Buyer
353
If the interest-holder enjoys the right of possession of land, the party is considered to have?
An Estate-In-Land
354
Who are the primary regulatory entities of the real estate business?
State Government
355
What type of listing is a non-exclusive contract, authorizing a broker to serve as the agent for either the sale or the purchase of property?
Open Listing
356
The rectangular survey system divides a township into thirty six squares called?
Sections
357
What is NOTORIOUS POSSESSION?
Possession without Concealment
358
What type of clause is inserted in a financing document when the lender agrees to waive the right to a deficiency judgement?
Exculpatory Clause
359
As of October ____, 3 days before closing, the 2 forms a Buyer receives are...?
2015
Loan Estimate
Closing Disclosure
