Texas state combined practice

Question 1

In Texas, what protection does the state constitutional homestead rights offer?

Answer 1

from eviction as result of creditor claims on their owner-occupied primary residence

Question 2

TREC’s Consumer Protection Notice, which is to be displayed prominently in every broker’s place of business, serves to:

Answer 2

provide Commission contact information for the purpose of directing complaints from the public

Question 3

The four types of estates include freehold, leasehold, equitable, and ____.

Answer 3

concurrent

Question 4

Once a business entity is created, what must happen before brokerage can be practiced?

Answer 4

someone must become the broker of record

Question 5

The Statute of Limitations claim for suit brought for a violation of the DTPA is:

Answer 5

two years

Question 6

Who holds the legal title to a property during a contract for deed?

Answer 6

the seller

Question 7

Which type of co-ownership for married couples dictates that each spouse has half ownership of any property obtained during the marriage, and cannot be sold without the signatures of both spouses?

Answer 7

community property

Question 8

What is the relationship between TILA and Regulation Z?

Answer 8

TILA is a law, Regulation Z are the rules for how the law is carried out.

Question 9

Kristian and Tara co-own a property under joint tenancy. If Tara dies, what happens to her ownership interest in the property?

Answer 9

It is transferred to Kristian.

Question 10

What type of agreement is between a broker and a seller?

Answer 10

listing agreement

Question 11

The most common way that real property is converted to personal property is through the act of:

Answer 11

severance

Question 12

What protects against defects discovered in the title after closing?

Answer 12

title insurance

Question 13

When TREC “approves” a form for use, this means:

Answer 13

License holders MAY use the form.

Question 14

Which of the following would be a ramification of a license holder failing to inform the buyer, in writing and before closing, that they should have an attorney review the abstract or obtain a title insurance policy?

Answer 14

loss of the right to receive payment or recover commission

Question 15

With intermediary with appointments, who would be considered the intermediary?

Answer 15

the broker only

Question 16

The sales comparison approach is the most commonly used appraisal method for which type of property?

Answer 16

owner-occupied residential homes

Question 17

A debit to the seller has what effect on charges made to the parties involved in the transaction?

Answer 17

decreases the amount the seller receives at closing

Question 18

The provisions of the Americans with Disabilities Act are MOST likely to apply to owners of:

Answer 18

grocery stores

Question 19

Conventional conforming loans are:

Answer 19

neither insured nor guaranteed by the government

Question 20

Which of the following are required for joint tenancy?

Answer 20

unity of interest, time, title, and possession

Question 21

Personal property becomes a fixture via:

Answer 21

attachment

Question 22

Which of the following environmental hazards must be disclosed by way of an addendum to the sales contract?

Answer 22

lead-based paint

Question 23

With respect to the handling of a client or customer’s money by a broker or sales agent, what is meant by “conversion”?

Answer 23

the use of a client or customer’s money for the broker or agent’s own purposes

Question 24

Under CERCLA, a landowner may be liable for cleanup when contamination exists:

Answer 24

regardless of whether the contamination is the result of the landowner’s actions or those of others

Question 25

Melissa is purchasing her first home using an FHA loan. What will be required?

Answer 25

appraisal

Question 26

Which lease requires tenants to pay rent and at least some portion of operating expenses?

Answer 26

net lease

Question 27

The contract forms that are approved and promulgated by TREC are:

Answer 27

required for license holder use

Question 28

If a listing agent does not have their client fill out the TREC Seller’s Disclosure Notice:

Answer 28

They need to have the seller fill out a separate but equivalent property disclosure form.

Question 29

A landowner gives a nonprofit permission to host a series of fundraising concerts on the owner’s property every summer. However, the owner is selling the land, and the nonprofit will no longer be guaranteed use of the land. This is an example of a(n):

Answer 29

license

Question 30

What form does the Canons of Professional Ethics and Conduct say must be on display in a readily noticeable location in each of the real estate brokers places of business?

Answer 30

Consumer Protection Notice 1-2

Question 31

To put the interests of their client above all others, including their own; to inform their client if they receive material information related to the transaction, including the receipt of an offer; to answer their client’s questions and present any offers to or from the client; and to treat all parties to a real estate transaction honestly and fairly are the full sum of:

Answer 31

TRELA’s minimum services required of brokers

Question 32

Which law addresses discrimination in employment, public services, public accommodations, commercial facilities, and telecommunication?

Answer 32

Americans with Disabilities Act