1. a: Townhomes and single-family homes differ in that a common wall. (a) townhomes share
(b) single-family homes are sold as distinct living units
... [Show More] within (c) owners of townhomes do not own the land because of (d) townhomes are retro-commissioned and share
2. a: Rights that are associated with the ownership of real property are often referred to as the owner's:
(a) Bundle of rights
(b) Constitutional rights (c) Statutory rights
(d) Civil rights
3. a: The agreement between a broker and a client is most often a(n) agency relationship.
(a) Special (b) General (c) Universal (d) Sub
4. a: A professional association whose local affiliates own and operate MLS systems throughout the United States is the:
(a) NAR (b) CCIM (c) BOMA (d) ICSC
5. a: The concept behind the government survey system is the of a grid on top of the land.
(a) overlay
(b) metes and bounds (c) coordinates
(d) leaps and bounds
6. a: You can use the acronym to remember the five essential elements of a valid and enforceable contract.
(a) COLIC (contractual capacity, offer and acceptance, legality of object, In writing & signed, and Consideration) (b) COLLIE
(c) EOVEC
(d) OLDCAR (obedience, loyalty, disclosure, confidentiality, accountability, and Reasonable care/diligence)
7. a: Releases can terminate . (a) easements
(b) prescriptions (c) implied grants (d) necessities
8. a: Julie, a salesperson at Acme Realty, obtained a listing on Seller Sam's property on Oak Street. The following week, Julie was found to be mentally incompetent and was admitted to the state mental hospital in Rusk. Given Julie's unfortunate status, what is the effect on the listing with Seller Sam?
(a) The listing agreement is unaffected because it is an agency agreement between Seller Sam and the broker.
(b) The listing agreement is terminated because Julie is mentally impaired.
(c) The listing agreement is unaffected because mental impairment is never an issue in agency agreements.
(d) The listing agreement is terminated because Seller Sam would not want to have an agent that no longer lives in the local market area.
9. b: Attempting to induce panic selling in a neighborhood for financial gain is known as:
(a) Steering(b) Blockbusting (c) Flipping(d) Channeling
10. b: The practice of directing buyers or renters to or away from a particular area based upon a protected class is known as:
(a) Blockbusting (b) Steering
(c) Profiteering
(d) Panic pedaling
11. b: The broker and his or her associates are most often in a(n) agency relationship.
(a) Special (b) General (c) Universal (d) Sub
12. b: The characteristics of value of land include all of the following except for...
a) Demand b) Taxes
c) Utility
d) Scarcity
e) Transferability
13. b: When filing a complaint against a license holder, a consumer has from the date of the incident to file a complaint with TREC.
(a) 5 years (b) 4 years (c) 2 years (d) 1 year
14. b: Surface, subsurface and air rights are said to be:
(a) Indivisible (b) Severable (c) Divisible (d) Unitary
15. b: A legal description that contains the words "Beginning at a point" is a:
(a) Lot and block description
(b) Metes and bounds description (c) Informal reference
(d) PLSS description
16. b: A property contains 103,450 square feet of land. How many acres are in this tract? (a) 43.7 (b) 2.37 (c) 23.7 (d) 3.7
17. b: In housing, discrimination based upon has been a violation of federal law since 1866.
(a) economic status (b) race or color
(c) gender
(d) any of the above
18. b: All real estate brokers and inspectors must display, in a prominent location the:
(a) TILA disclosure(b) Consumer Protection Notice CN 1-2 (c) Information About Brokerage Services (d) License Act
19. c: The right of the government to take privately owned land for public use is called
.
(a) Condemnation
(b) Escheat
(c) Eminent domain
(d) Inverse condemnation
20. c: In real estate, a buyer or seller is considered an agent's customer until he or she becomes a(n) .
(a) subagent
(b) intermediary (c) client
(d) associate
21. c: Which of the following is not a factor that can affect insurance premiums?
(a) Location
(b) Policyholder's claims history (c) Policyholder's age
(d) Age and condition of the property
22. c: One acre of land contains:
(a) 23,459 square feet (b) 640 square feet (c) 43,560 square feet (d) 1 square mile
23. c: Dwayne and Beth, each single persons, own a parcel of land as joint tenants. Beth has a will leaving her entire estate to her brother, Jason. Upon Beth's death, her interest in the land passes to:
(a) Jason, because he was named in the will (b) Jason, because he is her brother (c) Dwayne, because he is a joint tenant
(d) None of these
24. c: Jill and Adkins are married and live in Texas. They saved for a number of years and purchased a home. In this case, the form of ownership is most likely to be:
(a) Separate property (b) Joint property
(c) Community property (d) Tenants in common
25. c: RMLOs in Texas are licensed through:
(a) Texas Real Estate Commission
(b) National Mortgage Bankers Association
(c) Texas Department of Savings and Mortgage Lending (d) Texas Savings and Loan Board
26. c: Seller Steve listed his property with City Realty, Acme Realty and Countrywide Realty all at the same time. After signing the listing agreements, Steve continued to run for sale by owner ads on Craigslist. The type of listing agreement Steve signed with the various companies is a(n):
(a) Exclusive Right to Sell
(b) Exclusive Agency Agreement (c) Open Listing
(d) Net Listing
27. c: Appraisal is the business of:
(a) Acquisition of land for development into residential subdivisions and retail centers
(b) Providing money to individuals or corporations for the conditional transfer or pledge of real estate as security for the payment of a debt
(c) Providing a professional opinion of the value of real property
(d) Locating units for tenants in multi-family complexes
28. d: Homeowners insurance can protect the policyholders from unexpected losses, including: .
(a) fire(b) vandalism(c) personal liability(d) all of these are correct
29. d: A property is owned by two unmarried individuals without right of survivorship. The form of ownership is most likely:
(a) Community property (b) Ownership in severalty (c) Joint tenancy(d) Tenancy in common
30. d: The Statute of Frauds is applicable to:
(a) Contracts for the sale of real estate (b) Listing agreements(c) Buyer Representation Agreements (d) All of these are correct
31. d: The outcome of a complaint investigation by TREC may result in probation and/or:
(a) A fine(b) A reprimand(c) License suspension or revocation (d) Any of these
32. d: The commission shall maintain a recovery trust account that .
(a) protects consumers who suffer a loss due to illegal acts of license holders (b) has two maximum payment amounts - $50,000 and $100,000(c) is funded by license holders and applicants(d) all of these are correct
33. d: Air rights are commonly leased or conveyed in: (a) Cell tower leases(b) Condominiums(c) Outdoor advertising (d) All of these are correct
34. d: Three co-owners wish to divide their undivided interests in a property into individually owned tracts of land. This process is known as a(n) . (a) Alienation (b) Lawsuit
(c) Waiver (d) Partition
35. d: In order to be valid, a lease must have which of the following requirements? (a) Competent parties (lessor and lessee) (b) Consideration (rent)(c) Legal purpose(d) All of these are correct
36. d: Which of the following is required to obtain a real estate license in Texas?
(a) An applicant must show competency by passing the exam(b) An applicant must be a resident of Texas at the time of application (c) An applicant must be of good moral character(d) All of the above
37. d: Competence is the obligation of a real estate agent to:
(a) Be informed on conditions affecting the real estate market(b) Be involved in continuing education courses in topics regarding real estate (c) Exercise judgment and skill in the performance of his or her work(d) All of these are correct
38. d: A consideration is defined as .
(a) an offer(b) a counteroffer(c) a bribe(d) something given in exchange for a promise
39. d: While listing the property with you, the seller asks "Who sets real estate commission rates?" The correct response would be:
(a) The standard rate is set by TREC.(b) The standard commission rate is set by state law.(c) Long ago, the industry agreed on a set rate, and that is pretty much how it is today. However, I can cut the standard rate and make you a deal.(d) There is no standard rate. Different brokers charge different fees. Our fees are based upon the following services... [Show Less]