Real Estate Test

Question 1

In New York State, how old must one be to enter into contracts?

Answer 1

18

Question 2

What other capability should they possess?

Answer 2

Mental and emotional capability

Question 3

What happens is if one of the parties to the contract as a minor?

Answer 3

The contract is voidable by the minor

Question 4

What does zoning board of appeals do?

Answer 4

Grants variances

Question 5

What regulates construction standards in New York State?

Answer 5

Building codes

Question 6

What does municipal engineers office do

Answer 6

Overseas planning in construction a major highways, sewer systems in water connections

Question 7

If a property ad states at the property is near the vicinity of a geographical area, what else must’ve had include?

Answer 7

It must include the name of the geographical area where the property is actually located

Question 8

Who is usually exempt from property taxes?

Answer 8

Disabled, veterans, farmers, elderly, Goldstar parents (whose kids died In war) And star program homeowners

Question 9

Who is not usually exempt from property taxes?

Answer 9

Second homeowner

Question 10

What covers fully for personal property lost in a fire?

Answer 10

Replacement cost

Question 11

Find the square footage of a rectangular shaped floor plan. Note. Learn how to find the area of squares and rectangles

Question 12

What’s the cash on cash return on a $2 million property with a down payment of 500,000 and a 15000 monthly rental income

Answer 12

36%

Question 13

Who hires agent?

Answer 13

Principal or client

Question 14

What is not a CMA (Comparative market analysis)?

Answer 14

An appraisal

Question 15

What can’t a sales person do

Answer 15

Collect mine directly from the client or customer

Question 16

When should the agency Disclosure form be submitted?

Answer 16

At the first substantive contract

Question 17

Which document describes the agency who he or she represents of the sales person?

Answer 17

Agency disclosure form

Question 18

What’s another name for the slope of the roof?

Answer 18

Pitch

Question 19

What carcinogenic component was used as insulation electric transformers and contaminated soil and groundwater

Answer 19

PCBs or polychlorinated biphenyls

Question 20

What can brokers provide their sales people if they are independent contractors

Answer 20

Office phone

Question 21

What rights to excess water from a river or stream called

Answer 21

Riparian

Question 22

What did the civil rights act of 1866 protect, without exception

Answer 22

Race

Question 23

What does a 1988 amendment to the civil rights act protect

Answer 23

Disability and familial status

Question 24

What is convincing owners to sell/lease property by telling them in particular group of people are moving into the area called

Answer 24

Blockbusting

Question 25

What is it called when the lender/insurance agent refuse to do business in a certain area based on the characteristics of the people living there

Answer 25

Redlining

Question 26

Unless specified a lesser state, transfer of title to real property in New York State create what type of interest?

Answer 26

Fee simple

Question 27

What is another name for transfer of title to real property

Answer 27

Conveyance

Question 28

What is it called when the government dictates how a property can be used

Answer 28

Zoning

Question 29

Who issues real estate licenses?

Answer 29

New York Department of State

Question 30

Who overseas licensing and registration of mortgage bankers and brokers?

Answer 30

New York State banking department

Question 31

Which department oversees drinking water safety?

Answer 31

New York State Department of Health

Question 32

Who determines the commission?

Answer 32

Principal/client in the broker

Question 33

What occurs when the agent represent the seller but also works in the best interest of the buyer?

Answer 33

Undisclosed dual agency

Question 34

A real estate sales person is what type of agent

Answer 34

Special

Question 35

What clause in the deed describes the property?

Answer 35

Legal description

Question 36

What type of income is partnerships/investments?

Answer 36

Portfolio

Question 37

What’s the name of the policy that provides additional liability coverage beyond the primary policy?

Answer 37

Umbrella policy

Question 38

What type of maintenance is fixing a leaking faucet?

Answer 38

Corrective maintenance

Question 39

What are property taxes based on?

Answer 39

Assessed value

Question 40

What is the market value

Answer 40

What the property will sell for an a competitive marketplace

Question 41

What is a loft lease

Answer 41

It’s a lease for space that is not divide into rooms

Question 42

Which type of commercial properties use percentage lease?

Answer 42

Retail stores/shopping malls

Question 43

Who is responsible for the terms in the lease if the unit has been subleased?

Answer 43

Leasee

Question 44

What is it taking a private property by the government for public use called?

Answer 44

Eminent domain

Question 45

How many years is a residential investment property depreciable for?

Answer 45

27.5 years

Question 46

How much profit can a single person claim from the sale of a personal residence that’s tax free

Answer 46

250,000

Question 47

What is the right to use another land that falls short of ownership called

Answer 47

Easement

Question 48

Joe is not paid for the supplies and labor he provided for homeowner Smith. What kind of lane will he file against Smith?

Answer 48

Mechanics lame

Question 49

What is serves the same function as a circuit breaker?

Answer 49

Fuse

Question 50

What type of the state is created when only one person hold title to the real property?

Answer 50

Ownership in the severalty

Question 51

How much are the seller reimburse the buyer for refusing to provide a property disclosure form?

Answer 51

$500

Question 52

Seller tells a listing agent he filed for bankruptcy bankruptcy the previous year. The seller end up not listing the property with the agent. Still, what duty does the agent or the seller

Answer 52

Confidentiality

Question 53

What type of financing is used to purchase a new property when the whole property hasn’t been sold yet

Answer 53

Swing loan or bridge loan

Question 54

Who is the borrower of a mortgage loan

Answer 54

The mortgagor

Question 55

What does the real estate settlement procedures act require

Answer 55

Good faith estimate of the closing cost for federally funded loans

Question 56

What is the rate reserve for the condo association I give them the first opportunity to buy or lease a unit when it becomes available

Answer 56

Right of first refusal

Question 57

A coop is what type of ownership?

Answer 57

Leasehold

Question 58

What is a summary of the chronological history of title and related documents to that called

Answer 58

Abstract of title

Question 59

What type of mortgage is one a new mortgage that is higher in amount wraps around an existing first Mortgage that’s smaller and amount

Answer 59

Wraparound mortgage

Question 60

What document provide a detailed information on a condo or coop project

Answer 60

Offering plan

Question 61

What is the process called that calculates the value of an asset in the past, present and future?

Answer 61

Time value of money

Question 62

What is it called when a building loses its desirability Because of an outdated design feature

Answer 62

Obsolescence

Question 63

What type of investment properties are warehouse and distribution centers

Answer 63

Manufacturing

Question 64

What government issues such as noise, pets and a condo or a coop?

Answer 64

House rules

Question 65

What are Homestead properties?

Answer 65

Residential condos, 1-4 family homes, mobile homes and farm dwellings

Question 66

What’s the area the tenant actually occupies and uses

Answer 66

Usable square footage or net square footage

Question 67

Who signed the contract first?

Answer 67

Purchaser

Question 68

What is a budget that is set aside for repairs in large improvements

Answer 68

Capital reserve budget or replacement reserve budget

Question 69

What’s another name for land lease

Answer 69

Ground lease

Question 70

What allows landlords to raise rent during the term of the lease

Answer 70

Escalation clause

Question 71

What are tax advantages on investment properties called?

Answer 71

Tax shelters

Question 72

What type of listing agreement is it where the listing broker gets commission for the sale of the property even if the owner of themselves sell the property?

Answer 72

Exclusive right to sell

Question 73

What’s an Implied clause in a deed?

Answer 73

Grantor owns a property and has right to convey it or right of quiet enjoyment

Question 74

What does regulation Z require besides disclosure of interest rates

Answer 74

Down payment

Question 75

What does a secondary mortgage market do

Answer 75

Bye and sells mortgages