Chapters 1-6 Skill Builder Quiz

If an applicant for a sales license engages in a brokerage transaction, the applicant:a. may be paid for the transaction, after he gets his licenseb. may face criminal charges resulting in fine and or jailc. is following standard operating proceduresd. is ineligible for a license for 2 years

b. may face criminal charges resulting in fine and or jail

An unlicensed assistant is hired to increase an agent's listing inventory. The assistant may:a. create marketing flyers and distribute the flyers door to doorb. create flyers and show properties to prospective buyersc. host an open house and write contract offersd. make calls soliciting business from expired listings

a. create marketing flyers and distribute the flyers door to door

An individual is exempt from real estate licensure in Texas if the individual is doing which of the following:a. running an apartment locator service for several different complexesb. listing real estate for sale, rent, exchange or tradec. being an on-site manager of an apartment complexd. procuring prospects for the rental of real estate

c. being an on-site manager of an apartment complex

When a sales agent's sponsorship is terminated by his sponsoring broker, the broker must:a. release the agent's listing to the new brokerb. disclose the termination to the MLSc. notify the commission of all outstanding listings taken by the sales agentd. notify the sales agent of the termination in writing and return the license to TREC immediately

d. notify the sales agent of the termination in writing and return the license to TREC immediately

If an unlicensed individual provides a referral that ends in a closing, how can you repay them?a. With a $50 gift cardb. By sending them on a vacation for a weekendc. By paying their rent for a monthd. By rebating a part of your commission to them

a. With a $50 gift card

A license holder, while acting as an agent for another, should:a. Expect any ambiguities in the contract documents will be corrected at closingb. Be scrupulous and meticulous in performing the agent's functionsc. Advise buyers that verbal repair agreements can be documented at closingd. Explain that written contract amendments are not as important as the original agreement

b. Be scrupulous and meticulous in performing the agent's functions

When a broker is acting for more than one party, the broker should disclose:a. Confidential information in writing to the partiesb. Any known material defects on the propertyc. The amount of any previous offersd. The financial assets of the buyer

b. Any known material defects on the property

In which of the following situations would the Texas property code excuse the seller from delivery of the seller's disclosure notice regarding the condition of the property?a. The seller has never lived in the houseb. The property is being sold as a foreclosurec. The value of the improvements exceeds 5% of the sales priced. The improvements on the property were constructed prior to 1978

b. The property is being sold as a foreclosure

An agent's disclosure of representation must be made:a. Through the purchase offerb. With a TREC promulgated formc. In writing or orallyd. With the IABS form

c. In writing or orally

According to the TREC residential resale contract form, if a termination option fee is paid, day one of the option period is:a. When loan approval has been obtainedb. When the title commitment is issuedc. When the earnest money is depositedd. The day following the effective date of the contract

d. The day following the effective date of the contract

Your buyer-client insists on entering into a lease-purchase agreement. You must:a. Direct the buyer to consult a mortgage broker to seek a no down payment mortgage b. Draw up an agreement using the TREC-promulgated lease-purchase contract form c. Recommend that the buyer seek the advice of an attorneyd. Suggest that the buyer lease another property and save for a future down payment

c. Recommend that the buyer seek the advice of an attorney

An agent has received a $75 check from a home warranty company. Can he keep the check?a. No, because it is more than $50.b. No, because the check is for a service provided to the other agent's clientc. Yes, because the seller paid for the home warranty plan covering the seller's propertyd. Yes, if the agent provided the RSC disclosure and the broker authorizes the payment to the agent.

d. Yes, if the agent provided the RSC disclosure and the broker authorizes the payment to the agent.

If a cash buyer would like to have an appraisal done to ensure that a property is priced at or below market value, the agent should:a. Write it in special provisions in the agent's own wordsb. Write it in special provisions using the client's own wordsc. Advise the client to talk to an attorney for the proper wording to put in the contractd. Use the appropriate TREC addendum to address this issue

c. Advise the client to talk to an attorney for the proper wording to put in the contract

If the buyer and seller agree to rely on an existing survey, the survey and the affidavit T-47 must be provided:a. Within the negotiated number of days of the effective date of the contractb. At or before closingc. At the earliest convenienced. Within the negotiated number of days before closing

a. Within the negotiated number of days of the effective date of the contract

If either party to the contract breaches the agreement and is in default, can the injured party terminate the contract?a. Yesb. Noc. Yes, if the other party agreesd. Only with permission from the lender

a. Yes

A license holder MUST use a TREC promulgated form except:a. The principal requires the use of another formb. The principal is an attorneyc. The principal is paying cashd. There are no exceptions

a. The principal requires the use of another form

When must a property owner declare their primary residence as their homestead to get homestead protection?a. At closingb. Neverc. After 1 year of occupancyd. After January 1 of the first year of full occupancy

b. Never

A DTPA claim cannot be brought against a license holder for:a. Making an express misrepresentation of material fact to induce a consumer to buyb. Giving incorrect advice or opinionsc. Failing to disclose a known defectd. Telling the seller to cover up a defect before listing the property

b. Giving incorrect advice or opinions

Before closing, if a buyer has not received the MUD disclosure, what options does the buyer have?a. Revocation of the contractb. Can sue for damagesc. Doesn't have to participate in the MUDd. Can select a different MUD district

a. Revocation of the contract

A broker entered into a representation agreement with a buyer on the phone. The broker found a property for the buyer and was the procuring cause of the sale. The buyer has refused to pay the agreed commission. What can the broker do?a. Complain to TRECb. Complain to the National Association of REALTORSĀ®c. Seek arbitrationd. According to TRELA, there is no recourse for the broker

d. According to TRELA, there is no recourse for the broker

Which of the following is requested through the HOA Addenda?a. an HOA disclosure of property conditionb. an itemized list of HOA charges from the previous yearc. a background checkd. a resale certificate

d. a resale certificate

What information is contained in Paragraph 7D of the 1-4 Family Contract?a. business detailsb. survey informationc. information on Seller's Disclosured. "as is" provision

d. "as is" provision

What information is contained in Paragraph 11 (Special provisions) of the 1-4 Family Contract?a. business detailsb. closing datec. default provisiond. mediation provision

a. business details

What type of information can you put in paragraph 11 of the 1-4 family Resale Contract?a. sales priceb. third party financingc. business detailsd. personal property

c. business details

An HOA wants to foreclose on a property owned by a soldier on active duty. Based on the Serviceman's Readjustment Act what is true?a. The normal rules for HOA foreclosure applyb. The HOA cannot foreclose on this propertyc. The VA must be notified before this foreclosure can proceedd. An active duty veteran is exempt for paying HOA fees and therefore would never face foreclosure

c. The VA must be notified before this foreclosure can proceed