Midterm Part 1 of 3 Flashcards
A real estate agent is holding his first meting with a prospective buyer to discuss the prospective buyer’s housing needs. The agent would prefer to work for the prospective buyer as a buyers agent. Before the agent can begin to do this, the agent must do all of the following
Provide a prospective buyer with a copy of the NC Real Estate Commission’s “ Working With Real Estate Agents” brochure
Review with the Prospective buyer the information in the NC Real Estate Commissions “Working With Real Estate Agents” brochure and explain agency representation options offered by the firm.
Reach agreement with the prospective buyer regarding the terms of the agents representation, including compensation to the agent.
If DUAL AGENCY is UNdisclosed, it could result in
Rescission of the sales contract
Forfeiture of the real estate commission
Civil action in court
Estate that CANNOT pass by inheritance?
ORDINARY LIFE ESTATE
Estate that CAN pass by inheritance?
FEE SIMPLE ESTATE
FEE SIMPLE CONDITION SUBSEQUENT
PUR AUTRE VIE LIFE ESTATE
Which is considered SPECIFIC LIEN on real estate?
DEED OF TRUST
MECHANICS LIEN
REAL ESTATE TAXES
A licensee is required to provide a copy of each contract, offer, option, or lease to each party thereto
Immediately upon affixing their signatures thereon, but in no event later than five days following the date the instrument is fully executed.
NOT required to have a real estate license
One that is hired by a property owner to appraise a house
Bob Jones an elderly white businessman, owns a quad plex apartment building. He lives in one of the units as his primary residence. He personally manages all matters pertaining to the rental of the apartments. Although he does not use discriminatory advertising and does not hire a real estate firm to manage the property, he openly refuses to rent to an individual based on their race. Bob Jones is in violation of
CIVIL RIGHTS ACT of 1866
Mr. Brown and Mr. Simpson have signed a contract of sale on Mr. Browns property. Which of the following would be considered an excuse for non performance of the contract?
Destruction of the premises being sold
Mutual mistake as to a material fact
Title of real property may be transferred by
Laws of Intestate Succession
If a breach of sales contract occurs, the earnest money deposit would be considered which of the following type of damages?
LIQUIDATED DAMAGES
Doctrine of SPECIFIC PERFORMANCE
based on the physical characteristic of land which is UNIQUENESS
Metes and Bounds description
Distance = metes Bounds = Direction
Bob Broker delivers an offer to purchase to Sue Seller. The offer states that Seller agrees to sell Bert Buyer “Sellers house on State Rd 1313 in Wake County”. Seller owns three houses on State Rd 1313 in Wake County. Seller accepts the offer, but prior to the closing date, Seller refuses to go through with the transaction. Can the buyer enforce the sales contract?
NO
Because the description of the property is too indefinite and the contract is therefore VOID
Sally receives her NC Brokers license in her mailbox on May 15th 2003. In order to continue to keep her brokers license on ACTIVE status, she must pay the annual renewal fee to the NCREC on or before
JUNE 30th 2003
Does NOT terminate a sales contract
death of a seller
Bankruptcy of the real estate firm
SPECIAL WARRANTY DEED
Deed that warrants only against defects or encumbrances that have occurred “by, through, or under the grantor” is a special warranty deed.
If a real estate agent fails to properly fulfill his fiduciary duties to the principal or his other duties to a third party
The third party may sue the principal for the agents wrongful act
Protected Categories under the FAIR HOUSING ACT o 1968.
17 year old son who lives with parents
Pregnant woman
Familial status
(NOT Marital status)
Public Land Use controls include all of the following
Subdivision regulations
environmental protection laws
master plan specifications
(NOT deed restrictions)
When an old service station is located in an area that has been zoned for residential use only, the station may be permitted to continue to operate as a service station under
LEGAL NON CONFORMING USE
Which would be considered a MATERIAL FACT by law in NC?
Recorded lien on the property
Information about a pending zoning change that would enhance the value of a sellers property even if the agent is a buyers agent.
Two agents in a firm are designated agents. What are the rest of the agents in the firm?
Dual agents
A real estate firm wants to incorporate. Which of the following statements is correct?
The corporation must obtain a real estate license for the “firm” from the NCREC and the firms POCKET card shall be KEPT AT THE FIRM.
As imposed under the government’s right to police power, zoning ordinances regulate
The use to which a property may be put
the placement of buildings on the property
the bulk and density of buildings
(DO NOT regulate minimum acceptable material & construction standards)
Joe, Moe, and Harry are joint tenants owning a parcel of land. Harry conveys his interest to his long time friend, Will. After the conveyance, Joe and Moe
remain JOINT TENANTS with Will becoming a tenant in common.
Deed restrictions are a means by which
GrantORs control the future use of the property
