Test questions missed

Question 1

Puffing

Answer 1

Puffing or puffery is the making of exaggerated claims (technically opinions) in order to achieve a sale or some other objective.

Question 2

Blind Ad

Answer 2

if you do not disclose you are a license holder.

Question 3

Temporary Shelter

Answer 3

A temporary shelter can serve as a branch office if sales associates are permanently working there and transactions close there.

Question 4

How many day do you have to notify FREC if you address changes?

Answer 4

10 days

Question 5

Tom and John, who are business associates, own a property as tenants in common. If John dies, what happens to his share of the property?

Answer 5

If they had a joint tenancy, then Tom would inherit John’s property. But because they are tenants in common, there is no right of survivorship. When John dies, the property ownership transfers to his heirs, just like any other property.

Question 6

Installs a deck in the back of the home for entertaining guests. The home, fence, and deck are examples of:

Answer 6

improvements

Question 7

What is a public record that contains the parcel number, owner’s name, and assessed value of every parcel in the county?

Answer 7

Assessment Roll

Question 8

What is monument

Answer 8

Monuments are fixed landmarks, either natural or human-made. Natural monuments can include things like streams, large boulders, or trees. A wooden stake put in the ground by a surveyor is also considered a monument.

Question 9

What is a Benchmark

Answer 9

An engraved brass disc placed by the U.S. Geological Survey is an example of a benchmark, which are permanent markers of known location and elevation as established by a government survey team.

Question 10

What is an established starting point from which a metes and bounds description begins?

Answer 10

Point of Begining

Question 11

Which of the following is required to obtain title by adverse possession?

Answer 11

Notorious, open, hostile, adverse and exclusive possession of the property for seven or more consecutive years

Question 12

What are the bundle of rights in real property include?

Answer 12

Possession
Control
Exclusion
Right of Enjoyment
Disposition

Question 13

What must an unlicensed individual do when ordered to appear before the DBPR?

Answer 13

Appear

Question 14

Which document is a real estate broker NOT legally allowed to prepare?

Purchase and sale contract
Listing
Lease
Option

Answer 14

Broker can prepare all except a

LEASE

Question 15

Complete the statement. When determining proration’s on a closing statement, the day of
closing

Answer 15

is determined by agreement.

Question 16

Real estate licensees are required to be knowledgeable in all of the following areas, EXCEPT:

Marketing
Valuation
Property transfer
Accounting

Answer 16

Accounting

Question 17

How is 10 mills expressed as a decimal?

Answer 17

0.01

Question 18

an option contract is unilateral contract binding upon ?

Answer 18

optionor

Question 19

Why is the process of real estate investment analysis important to an investor?

Answer 19

It helps an investor select properties that meet personal objectives.

Question 20

What is the loan-to-value ratio for:
The purchase price of the property is $280,000. If the
borrower has $70,000 as a down payment

Answer 20

LTV = Loan amount / Property value

280,000-70,000=210,000
280,000/210,000= .75
75%

Question 21

Which statement is correct concerning an applicant whose real estate application was denied by
the Department of Business and Professional Regulation?

Answer 21

The applicant must be notified in writing of the reason for the denial and advised of the right to request a formal hearing.

BELOW DOES NOT apply:
An appeal may be filed with the District Court of Appeal within 90 days.

Question 22

A buyer has agreed to purchase the seller’s home. The contract calls for a deposit of $10,000, to
be placed in the broker’s escrow account. The sales associate forgets to collect the deposit. The
sale falls through and the seller is claiming the uncollected deposit as liquidated damages. What
will the sales associate likely be charged with?

Answer 22

Culpable negligence

Question 23

Katie recently bought a house. The title was conveyed via a deed of trust. Katie has placed the title with a trustee who will hold it until released by the lender. In this arrangement, Katie is the:

trustor
beneficiary
trustee
mortgagee

Answer 23

trustor

Question 24

What is one way lenders prevent other liens from hopping ahead of them in the debt priority line?

Answer 24

collecting taxes in an escrow account and paying them for the borrower