Exam (elaborations)
RECA Mortgage broker Exam Practice Questions and Answers (100% Pass)
- Course
- Institution
RECA Mortgage broker Exam Practice Questions and Answers (100% Pass)
[Show more]
Content preview
©PREP4EXAMS@2024 [REAL EXAM DUMPS] Monday, July 22, 2024 1:06 PMRECA Mortgage broker Exam Practice
Questions and Answers (100% Pass)
How are representation relationships typically established? - ✔️✔️Estoppel
Representation relationships can be established by:
agreement,
implication,
ratification,
estoppel, or
operation of law
What is the highest form of private land ownership in Alberta? - ✔️✔️Fee simple
Fee simple ownership is the highest form of private land ownership as it gives the owner the
most ownership rights, and the owner controls the land as long as property taxes and other
assessments are paid.
Which of the following is NOT part of the criteria to be considered when determining highest
and best use of the property? - ✔️✔️Physical impossibility
Explanation
The highest and best use of any property is the use at the time of the valuation, which will likely
produce the highest net return over a given period of time.The four key criteria to be considered
when determining highest and best use are as follows:
Legal permissibility
Physical possibility
1
, ©PREP4EXAMS@2024 [REAL EXAM DUMPS] Monday, July 22, 2024 1:06 PM
Financial feasibility
Maximally productive
Two years ago Peter purchased a fourplex valued at $650,000. Last year the city announced that
it is building a large recreational centre 3 blocks from the fourplex. A real estate agent tell Peter
that his fourplex is now worth $800,000.Which principle of property valuation is described in
this scenario? - ✔️✔️The principle of external factors
Explanation
The Principle of External Factors states that various external factors can impact the value of a
property, including economic, political, social, and physical issues. The value of Peter's property
has increased due to the convenient location to the new recreation centre.
What is a Power of Attorney? - ✔️✔️A written, signed, dated, and witnessed document that
enables an individual to appoint another person to act on his or her behalf with respect to his/her
financial and legal affairs
A Power of Attorney is a written, signed, dated, and witnessed document that enables an
individual to appoint another person to act on his or her behalf with respect to his/her financial
and legal affairs, including debts. It may also include the sale or purchase of real property.
According to the Dower Act, which of the following would be considered disposition of the
property?I. Selling the propertyII. Leasing the propertyIII. Placing a mortgage on the propertyIV.
Getting a line of credit against the property - ✔️✔️All of the above
Explanation
Disposition of the property includes:Selling the propertyLeasing the propertyPlacing a mortgage
on the propertyGetting a line of credit against the property
What is the licensee's role in reducing mortgage fraud? - ✔️✔️To identify and report any
questionable or suspicious transactions
Explanation
The licensee's role in reducing mortgage fraud is to be aware of how mortgage fraud is
perpetrated, as well as identifying and reporting any questionable or suspicious transactions that
industry professionals may encounter in their day-to-day business practice.
2
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller OliviaWest. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $12.49. You're not tied to anything after your purchase.
Can Stuvia be trusted?
4.6 stars on Google & Trustpilot (+1000 reviews)
72042 documents were sold in the last 30 days
Founded in 2010, the go-to place to buy study notes for 14 years now