4. Return of the property to the original owner. The terms "littoral," "riparian," and "appropriative" refer to 1. land accretion. 2. mineral rights. 3. water rights. 4. appurtenances. Errors and Omissions insurance covers the broker for 1. title defects. 2. intentional misrepresentations. 3. unintentional misrepresentations. 4. commission losses. A formal appraisal will ALWAYS be REQUIRED when the 1. seller wants to be sure of the home's value. 2. buyer wants to obtain private mortgage insurance.
3. lender wants to sell the mortgage to the secondary market. 4. agent cannot locate enough comparables to complete a CMA. A broker, acting as agent for the seller, presents an offer to buy from the broker's former college roommate. The broker knows that the buyer will increase the amount of the offer if the seller turns down the offer. When presenting the offer, the broker should 1. tell the seller that the buyer will pay more. 2. not disclose that the buyer will pay more to ensure fair treatment of all parties. 3. try to negotiate a fair compromise between what the seller is asking and what the buyer is offering. 4. encourage the seller to delay accepting the offer. A broker says, while showing a rural property, "This property has the world's purest well water." This would be an example of 1. a verbal water quality report. 2. an assurance that the property is not on the public water system. 3. an expression of opinion, or puffing, which could lead to misrepresentation. 4. a licensee's disclosure of the qualities of the property. A minority couple come to a salesperson looking for a house. The salesperson has some properties for which the couple qualify but avoids showing or mentioning these listings. Instead, the salesperson shows only properties in low-priced and integrated neighborhoods. This practice is known as 1. steering. 2. blockbusting. 3. redlining. 4. conciliation. The sellers have agreed to give the buyer a carpet allowance to replace the family room carpet. They will allow $19.95 per square yard for carpet plus $5 per square yard for pad and installation. If the family room is 22'6"x 15', how much will it cost the sellers (to the nearest cent)? 1. $935.63. 2. $939.78. 3. $966.81. 4. None of the above. A loan which requires the borrower to pay interest only until the maturity date (or due date), and then to pay the entire principal on the maturity date, is called a 1. term loan. 2. wraparound loan. 3. shared-equity loan. 4. partially amortized loan. A broker has brought a ready, willing, and able buyer to a seller. In MOST listing contracts, the broker has earned his commission when 1. any offer is delivered to the seller. 2. the seller accepts the offer.
3. all contingencies are removed. 4. the sale closes. Which of the following is the first action to take when mold problems are found? 1. Spray the affected areas with bleach. 2. Repaint with waterproofing material. 3. Identify and remedy the cause of the problems. 4. Notify the Environmental Protection Agency promptly.
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- Fall '19
- managing broker