A 10 unit apartment complex has a gross annual rent of $80,000. It recently sold for $750,000. A nearby, similar complex has a gross annual rent of
... [Show More] $95,000. What is the indicated value of the similar complex? - correct answer ( 750000 x 95000 ) / 80000 = $890,625
If the sale of a Georgia home closed on March 15th and the annual tax liability is $1,300, the tax proration amount is? - correct answer Begining of sale is January 1, Closing of a sale is March 15, End of the tax is December 31; (Annual tax bill ÷ 365) ×Days owed = Tax proration amount
days = 31+28+15 = 74; (1300 / 365) x 74 = $263.56
Salesperson Sally works for Broker Bob and plans to sell her own home. Assuming proper permissions are obtained, she may handle trust funds related to the sale of her home in each of the following ways, EXCEPT: - correct answer D. She may hold the funds in a special savings account without registering it with the Georgia Real Estate Commission. Trust funds must be kept in a specific trust fund account. Trust funds must be held in accounts separate from personal and business funds.
If a Georgia home is purchase for $168,500 and financed with an 80% conventional loan, which of the following is the amount of transfer tax paid? - correct answer (168,500 x (0.10/100)) = $168.5
If a buyer purchased a house in Georgia for $168,500 and took out an 80% loan at 7.5% interest per annum and the purchase closed on March 15th, what is the total dollar amount, if any, of the prepaid interest? - correct answer the loan value = property value x 80%
168,500 x 0.8 = 134,800
prepaid interest value = (loan value x annual interest rate) x (17 days/365 days) = (134,800 x 7.5%) x (17/365) = $470.88
The sale of a Georgia home closes on March 15th. If the seller owes $45,300 on a mortgage against the home and the interest rate is 6.5%, what What, if any, is the amount of accrued interest paid? - correct answer Accrued interest = (principle x rate x time) / (100x360)
accrued interest = (45,300 x 0.065 x 15) / (100x360) = $122.69
According to BRRETA, a licensee is responsible, under certain circumstances, for disclosing facts known about the area surrounding a property. What is the extent, in miles, that this disclosure encompasses? - correct answer 1
A salesperson comments to a prospective buyer, "In my opinion, this is the best place in town to live." The salesperson is guilty of: - correct answer An opinion expressed by the sales agent is just that. It is puffery.
The correct answer is: Puffery
After Joseph sold his home, he found that the price he sold it for was 23% more than the original cost of $52,500. What was the selling price of his house? - correct answer $52,500 X 123% = $64,575 sale price. Simply add 23% to the original cost. Do this by multiplying by 123%
The correct answer is: $64,575.
A broker, acting as a dual agent, with the knowledge and consent of all parties, collected one-half the commission from the seller and one-half from the buyer at settlement. Which of the following statements is true concerning this situation? - correct answer A dual agency is the type of agency where a broker represents BOTH buyer and seller to a transaction. It is lawful in most states as long as both parties (buyer and seller) know about the dual agency and provide written consent.
The correct answer is: This action is permitted only with the consent of both parties
When an appraiser is using the Market Data approach on a residential property, the appraiser would be LEAST likely to use which of the following? - correct answer The correct answer is: The cost of nails, shingles, floor joists and paint on the subject property
Which of the following mortgages provides for funds to be available at a later date, but also limits the total amount to be advanced? - correct answer Open end. [Show Less]