National Test

Question 1

A legal description that references lot and block relates to

Answer 1

Recorded subdivision map

Question 2

Lot and block references

Answer 2

the recorded plat map

Question 3

An___________ will require the nuisance to cease

Answer 3

abatement

Question 4

The subject property being appraised has two bathrooms, while the comparable has three bathrooms. The appraiser while making adjustments would

Answer 4

• Lower the value of the comparable

- The price of the comparable is adjusted to the subject property.

Question 5

When a contract is assigned

Answer 5

• The assignee assumes liability for the contract

- The assignor remains secondarily liable

Question 6

The purchaser is liable for property loss according to the to the Uniform Vendor and Purchaser Act

Answer 6

• When the purchaser takes possession of the property - also when title passes to the grantee

Question 7

Which are the four essential elements for an enforceable contract?

Answer 7

Legal purpose, consideration, competent parties, mutuality

Question 8

During the option period of a contract, the optionor dies. The optionee

Answer 8

• May exercise the option during the option period

- The option is binding on the estate

Question 9

Cash flow is

Answer 9

• Income after depreciation

- The net after all expenses

Question 10

Which of the following is an attorney-in-fact?

Answer 10

• One that acts in place of a principal

- They do not have to be a lawyer

Question 11

During an auction The bidder is ______

Answer 11

• the offeror

Question 12

Which of the following would a property manager least likely accept as commission?

Answer 12

• A percentage of the net

- There may not be a net

Question 13

A place of public accommodations according to the Americans with Disabilities Act is

Answer 13

• Nonresidential facilities

- A facility open to the public

Question 14

What is prohibited in the Civil Rights Act of 1968?

Answer 14

• Punishing those individuals who report fair housing complaints
• The landlord cannot retaliate for fair housing complaints

Question 15

Under the federal fair housing act, which is a protected class?

Answer 15

• Alcoholics

- Alcoholism is a disability

Question 16

What limitation does the Civil Rights Act of 1964 contain?

Answer 16

• It only protects residential dwellings with government assistance
• This was the first step towards protecting certain classes in modern times.

Question 17

When may a landlord enter a leased apartment without notice?

Answer 17

• In an emergency only

- Otherwise a reasonable notice is required to the tenant.

Question 18

Which describes the effective rate of interest?

Answer 18

Annual percentage rate

Question 19

Which choice would an IRS Form 1099-S be used for?

Answer 19

• Report sales prices

- The escrow agent must report the sale to the IRS.

Question 20

Personal property is a

Answer 20

• Mortgage

- It is considered chattel.

Question 21

The governments monetary policy is set by

Answer 21

• Federal Reserve

- The federal government controls our monetary policy.

Question 22

What does MERS refer to?

Answer 22

• Private mortgage data base

- A data base for a firm that keeps a central mortgage data base.

Question 23

A home owner must be delinquent for how many days before the first notice of foreclosure can be issued?

Answer 23

• 120 days

- This is part of the Dodd-Frank Act

Question 24

To determine an interest rate, which is the correct formula?

Answer 24

• Interest earned divided by principal equals interest rate - Part divided by the whole

Question 25

Which of the following is net operating income?

Answer 25

Scheduled gross income minus vacancy, collection, and operating costs

Question 26

When is the equation I = PRT used?

Answer 26

• Loans

- Interest = principal x rate x time