Federal savings associations that are members of the Federal Home Loan Bank System are regulated by the
Office of Thrift Supervision.
A transaction broker does NOT have which duty?
Full fiduciary duties to both the buyer and the seller
A provision in all mortgages that allows the delinquent mortgagor to avoid foreclosure by paying all of the back mortgage payments, late penalties, and costs of collection up until the time of foreclosure sale is the
equity of redemption.
Title to real property is technically conveyed when the deed is
voluntarily delivered and voluntarily accepted.
The Florida Real Estate Commission is empowered by law to
reprimand, fine, or otherwise discipline licensees.
In a deed, the warranty of quiet enjoyment pertains to
peaceful possession undisturbed by others' claims of title.
The law that requires that the annual percentage rate be disclosed to consumers is the
Truth-in-Lending Act.
A broker has a listing priced at $120,000. An uninformed buyer offers her $125,000. The broker buys the property for $120,000, then sells it for $125,000. Which statement is FALSE?
This is legal as long as the broker withdraws from the listing first.
A licensee makes a statement that is material to the transaction as if it were a fact when the licensee does NOT know if the statement is true or false, and the buyer relies on the statement. As a result of the statement made by the licensee, the buyer su
fraud
The DBPR may issue which penalty for an initial offense of a minor violation by a licensee?
noncompliance
Three claimants have come before the Commission requesting relief from the Real Estate Recovery Fund. All three claimants were involved in the same real estate transaction. Payment for their claims, in the aggregate, is limited to
50k
The formula to calculate the overall capitalization rate is
NOI � Value (or price).
A seller owns a home appraised at $52,500. The seller still owes $32,760 on the first mortgage and $4,200 on a second mortgage. The sales commission will be $3,640. What is the seller's equity in the home?
15540
A sales associate who is employed by an owner-developer who owns properties in the name of various entities may be issued
groupe license
A man owns a farm in fee simple. He deeds the farm to a friend until the friend dies, at which time a woman will acquire a fee simple title to the farm. The woman's interest in the farm is a
remainder estate
Local government exercises its greatest effect on the real estate business by
using zoning, taxation, and the planning process.
A mortgage in which changes in the interest rate may cause changes in the monthly payment amount is called
an adjustable rate mortgage
A comparable property has one more bedroom ($8,000) and is on a slightly larger lot ($2,000) than the subject property. The comparative market analysis requires a net adjustment of
10,000
A developer purchased three oceanfront lots, each measuring 75 by 110 feet, for $20 per square foot. The developer later sold the lots for $200,000 each. What was the developer's percentage of profit on the sale of the three lots? (Round to nearest percen
21 percent
In the cost-depreciation approach, estimating accrued depreciation involves estimating
the loss in the value of the improvements
What would be the total required taxes for the loans on a $47,500 tract that sold with $10,000 cash down, a new second mortgage of $15,500, and an assumed mortgage of $22,000 that was previously recorded?
$162.25
Insulation is rated by its ability to resist
heat flow
A title theory state is one in which a mortgage
transfers title to the lender or escrow agent until the loan is paid.
The following taxes were paid at the closing of a new home: $1,540 state documentary stamp tax on the deed, $693 state documentary stamp tax on the note, and $396 state intangible tax on the mortgage. What was the purchase price of the home?
220,000
If all legislated requirements have previously been met, an active broker in Florida may hold an active license in
Florida and any other state or foreign country whose licensing laws have not been violated.
A type of roof style that slopes from the ridge to four opposite sides and allows continuous eave venting around the entire house perimeter is the
hip
A property has been assessed at $40,000. The city tax rate is 10 mills, the county tax rate is 9 mills, and the school board levy is 8 mills. The owner has qualified for and received homestead tax exemption. How much will the owner save from county taxes
225
If a developer wants to develop a new subdivision, she must submit
a subdivision plat map to the planning commission.
An example of an ad valorem tax is
property tax
The Statute of Limitations is the authority that outlines the
period of time during which a contract may be enforced.
Sales associate Terry Stoufer may have which information entered on her license, if applicable?
Terry Stoufer, LLC
A real estate brokerage company is a transaction broker for a buyer. The buyer wants to purchase a new home so the sales associate takes him to three model centers listed by three competing real estate companies. The sales associate must give the no broke
no one
A man earned a $7,500 commission by selling a coin-operated laundry business, which has six more years before the expiration of its present lease. The man
must be registered with the Florida Real Estate Commission as a real estate licensee.
Which variable does NOT influence demand?
Availability of construction loans
A buyer who obtains a mortgage loan that covers the purchase of a condominium plus furniture, appliances, and other personal property such as towels and kitchen utensils has a
package mortgage
In Florida real property is assessed on January 1 of each year, and property taxes become a lien on the property on
January 1st the same year
Which item below is NOT a requirement under RESPA?
Give mortgage applicant a list of competing lenders so that the consumer can comparison shop for the best rate
A real estate licensee is obligated to communicate to the seller
all oral and written offers, regardless of how worthy they may be in the broker's opinion.
The license of the only broker for a firm was revoked. What action, if any, will be taken against the sales associates' licenses registered under the broker?
involuntary inactive status
Which statement concerning tenancy by the entireties is FALSE?
The deed must specifically state intent to create such a tenancy.
The Statute of Frauds applies to
instruments of conveyance of real property.
Essential elements of a deed do NOT include
signature of a competent grantee.
Which estate includes the right of survivorship?
joint tenancy
A sales associate receives 45 percent of sales commissions earned as a result of his sales efforts. The broker lists a property for $248,000, with a 7 percent sales commission agreed to by the owner. The sales associate sells the property at the listed sa
$9,548
The mortgage clause that requires the lender to waive the right to a deficiency judgment against the borrower, relieving the borrower of personal liability to repay the loan, is referred to as
an exculpatory clause.
An investor wanted to build a motel. A broker showed him three choice sites zoned hotel-motel. The investor promised to decide on a site in three weeks, so the broker took a two-week vacation. When the broker returned, the investor bought one of these sit
The broker is guilty of culpable negligence.
Brokers should NOT accept the task of appraising a parcel
if their fees are contingent on the appraised value.
A borrower has a level-payment, amortized mortgage of $42,000 at 12� percent for 30 years. The monthly payment is $448.25. What amount of interest will be paid from the second monthly payment?
437.39
Leasehold estates do NOT include
a remainder estate
A tenant signed a lease for ten years requiring a monthly base rent of $1,900, plus 2 percent of all monthly gross sales volume over $95,000. The tenant also must pay all property taxes, insurance, and other costs normally considered property owner's cost
net lease
Which statement concerning characteristics of the real estate market is FALSE?
he real estate market is organized and controlled centrally.
How much personal money may a broker place in a property management escrow account?
$5,000
The documentary stamp tax on deeds is based on the
entire sale price of the property
A single agent broker received an offer on a listed property at the seller's price and terms. Before informing the seller, the broker received a higher offer. The single agent submitted only the first offer, and the seller-principal accepted the offer. Th
has violated the fiduciary duty to the principal.
Which entity may NOT be registered as a real estate brokerage?
corporation sole
The city has decided to pave the streets of a recently incorporated community. Property owners are to be assessed 70 percent of the cost of paving, which is found to be $25 per foot. The 70 percent assessment tax is to be apportioned between owners on bot
$700
Which information must be disclosed to all prospective buyers?
The home is situated in a flood-prone area
Which statement is TRUE regarding the monthly payments on a 30-year, fully amortized loan?
nitially, interest is the larger portion of the payment.
Which statement is FALSE regarding a corporation for profit that is doing business as a real estate broker?
All stockholders must be registered with the DBPR as inactive brokers.
A sales associate received a $5,000 earnest money deposit from a buyer. The associate immediately delivered the deposit to the broker. The broker deposited the check on the third business day into the general operating account.
This is an example of commingling of escrow funds.
A broker's license was involuntary inactive for two years and one month. To operate again as an active licensee, the broker must complete
FREC Course I and pass the sales associate's licensing exam.
A broker who changes business address must notify the Commission of the address change within how many days?
10 days
Which information is confidential?
An examinee's grade on the state licensing examination
A licensed real estate broker has been hired by a lender to appraise a home for a buyer who has made application for an FHA loan. Which statement is TRUE regarding this situation?
The broker is required to be a state-certified appraiser to perform this appraisal assignment.
A real estate broker who is a single agent of a buyer or a seller does NOT have which duty to the principal?
Limited confidentiality, unless waived in writing by a party
If you have located a township numbered T2S, R4E, the township due south of that township is
T3S, R4E.
Homeowners who have homestead exemption on their current home in either of the two preceding years can transfer up to what amount of their Save Our Home benefit to a new home?
$500,000
Business brokers appraise businesses using appraisal methods similar to real estate appraisal EXCEPT for the additional technique of
liquidation analysis.
What authority originates from the U.S. Constitution and relates to protection of health and welfare of citizens at local levels?
police power
A real estate company represents a motel owner who wishes to list one of his motels for sale. The owner has told the listing agent that he does NOT want to sell the motel to any racial minorities.
To refuse to sell or lease any real property based on one's race is a violation of the federal Civil Rights Act of 1866.
The Florida Real Estate Commission must notify which agency when it takes disciplinary action against any of the agency's licensees?
Division of Florida Condominiums, Timeshares, and Mobile Homes
You have been hired to appraise the local public library building. The approach that is likely to be the MOST relevant is the
cost-depreciation approach.
A loan applicant is a 72-year-old retired professor. The loan applicant was denied for a 30-year mortgage, even though the applicant has sufficient income from a pension plan and an excellent credit history.
The lender's actions are a violation of the Equal Credit Opportunity Act.
A person must hold an active real estate license if, for express or for implied compensation, the person
advertises a list of available rental properties.
A broker received a $5,000 deposit from a buyer on Tuesday at 1 P.M. The seller will NOT be available until Monday. The broker's normal banking day is Monday. The broker is required to deposit the $5,000 before the end of
business on Friday.