Exam (elaborations)
DC Real estate exam 1.1 with correct answers (Graded A)
- Course
- Institution
DC Real estate exam 1.1 with correct answers
[Show more]
Content preview
DC Real estate exam 1.1 with correctanswers
Mixing escrow funds with personal funds is illegal and called ______. - Answer -
Commingling
In which of the following situations would an agent be representing a customer in a real
estate purchase? - Answer -Never
(A real estate agent may only represent a client, not a customer. Agency involves an
agency agreement. Customers are owed certain duties, but agency is not one of them.)
In addition to paying a renewal fee, what else must licensees do to renew their real
estate license? - Answer -Complete 15 hours of continuing education
How can a seller correct inaccuracies in a property condition disclosure statement? -
Answer -By drafting an addendum or amendment
Which statement best describes a trade fixture? - Answer -A fixture or item installed by
a commercial tenant that's considered personal property of the tenant
(Because a commercial tenant installs them for business purposes, trade fixtures are
the tenant's property, and may be removed when the tenant leaves, provided removal
doesn't damage the property, and is done before the lease expires.)
Generally, a property owner would insure the __________________. - Answer -Value of
the dwelling on the land
For a deed to be valid, which two elements are required? - Answer -Signature of the
grantor and consideration
(Only the grantor's signature is required, not the grantee's. Consideration is also a
required element.)
Which of the following individuals meets the eligibility requirements to apply for a real
estate salesperson license in D.C.? - Answer -Johnathon, 35, recently completed the
, 60-hour qualifying course and passed the licensing exam, but has no prior experience in
the real estate industry.
Why do licensees help buyers estimate closing costs? - Answer -Doing so helps buyers
determine the affordability of purchasing a home.
(Though buyers will eventually receive closing cost information from the lender and the
closing agent, an early estimation of these costs helps buyers determine how much
house they can afford.)
What term is used to describe the illegal use of escrow funds, such as earnest money? -
Answer -Conversion
(Conversion is the use of trust funds and is even more serious than commingling. Funds
put into escrow are put there for safekeeping while a transaction is ironed out. They're
not there for anybody to put to use for any reason—even as a loan.)
What happens if a mortgage contingency is in effect and the buyer cannot meet the
terms of the agreement due to the inability to obtain a loan? - Answer -The agreement is
terminated.
Which of the following is true about condominium ownership? - Answer -A condo is a
single-family dwelling.
Stanley is having second thoughts about taking his neighbor to court over a written
agreement they have concerning who pays the rent on a storage unit that they share,
because it's used to store stolen merchandise. Stanley doesn't think the contract will
stand up in court. What type of contract does Stanley have? - Answer -Void
Your client exchanged one property for a similar property and did not have to pay
capital gains taxes that year. How did he do this? - Answer -He did a tax-deferred
exchange.
Which of the following statements about agents and the duty of obedience is true? -
Answer -An agent should carry out the client's instructions as long as they are within the
law.
Dashel is a DC broker, responsible for managing 12 salespersons. He's responsible for
ensuring that he and his licensees comply with all of the following DC laws and
regulations EXCEPT which one? - Answer -Providing legal guidance on contracts
(Brokers have the day-to-day responsibility of all these except providing legal guidance,
which is not within the scope of their expertise.)
Property ownership for an indeterminable length of time is an example of what form of
estate? - Answer -Freehold
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 millyphilip. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $10.99. You're not tied to anything after your purchase.
Can Stuvia be trusted?
4.6 stars on Google & Trustpilot (+1000 reviews)
78291 documents were sold in the last 30 days
Founded in 2010, the go-to place to buy study notes for 14 years now
