In the State of Texas who is allowed to use a customized real estate contract?
The real estate brokerage company
The salesperson
The broker
Lawyers
... [Show More] licensed to practice in Texas - Answer- Lawyers licensed to practice in Texas
Marcy is 17 and married. Her spouse is stationed in the Middle East. She purchased a home shortly before Stan, her husband returns to the United States. Select a problem that exists with this situation.
Offer and acceptance issue
Competency issue
Consideration issue
This is a valid binding contract - Answer- Competency issue
A contract is considered executed?
When both parties agree to the negotiated contract and both parties sign the final sales contract
When a buyer comes forth with an offer
When a seller counters an offer with several changes
When the parties involved verbally agree to mutual terms - Answer- When both parties agree to the negotiated contract and both parties sign the final sales contract
A void contract is:
One that is not in effect
Not binding
Not valid
All of these - Answer- All of these
Which of these would NOT be a requirement of a lender for a standard mortgage loan?
A FICO score of at least 625
A 30% down payment
An appraisal to determine the value of the home
Verification of employment - Answer- A 30% down payment
TOE refers to:
Today or eventually
Time of event
Trust options evaluated
Time is of the essence - Answer- Time is of the essence
Inserting the phrase "this offer is subject to cancellation by the buyer at any time prior to acceptance" will show the seller all of the following except:
Quick action is necessary
The seller should make a decision
The seller should accept or make a counter
The buyer is not really interested - Answer- his shows that the buyer is not only interested but they want a quick response from the seller.
What would be an example of a good faith effort that the court would take into account and not penalize a party for failing to complete?
The party deliberately failed to meet the requirements
One party stopped answering their phone in efforts to stall proceedings
The party in question went on an extended vacation
A party suffered a serious heart attack and was in a coma for two weeks - Answer- A party suffered a serious heart attack and was in a coma for two weeks
Earl is including a labeled photograph showing all the machinery that he is including in the sale of his farm property. This would be considered a:
Sales document
Contract
Testimony
Exhibit - Answer- Exhibit
Any amendment to the contract must be ratified by:
The buyer
The seller
The real estate salesperson
The buyer and the seller - Answer- The buyer and the seller
When there are problems with the title of a property, this condition is called:
Possession
Performance
Clouds on title
Waste - Answer- Clouds on title
The State's Statute of Limitations time period is decided by:
A judge hearing the case
The State
The jury
The Federal government - Answer- The State
If a buyer failed to meet the terms of the contract the buyer becomes a:
Tendered buyer
Default buyer
Default seller
Tendered seller - Answer- Default buyer
Revocation means:
To renounce
To annul
To rescind
All of these - Answer- All of these
Patrick is a tenant whose lease just ran out. He is served by the landlord a notice that he must move within three days. What are Patrick's rights?
The landlord does not have to renew Patrick's lease
The landlord does not need cause for a non-renewal of a lease
The landlord may evict when unauthorized roommates are also residing in the unit
All of these - Answer- All of these
A Texas business entity may only act as a broker if:
The business has been in operation for at least 10 years
They pay a $10 fee
They are from another state
The business holds a license - Answer- The business holds a license
Where are the applicant's fingerprints sent to?
Texas Department of Justice
Texas Department of Public Safety
Texas Department of Labor and Industries
Texas Department of Internal Affairs - Answer- Texas Department of Public Safety
The commission may issue a temporary moral character determination. This is called:
Provisional determination
Prohibition ruling
Protective determination
Protected determination and ruling - Answer- Provisional determination
When might the commission waive the education requirement for an applicant?
If the applicant has been licensed in Texas prior as a broker or salesperson within 6 months preceding the date the application is filed
If the applicant has been licensed in the past 3 months
If the applicant is a college graduate
If the applicant has already passed the state exam - Answer- If the applicant has been licensed in Texas prior as a broker or salesperson within 6 months preceding the date the application is filed
May a person not living in Texas hold a license to practice real estate in Texas?
As long as they pay the $10 fee
Yes, if they have been a resident of a municipality whose boundary is on the Texas border and all other requirements are met
No, a person must be a resident of Texas for the required period of time
No, any person wishing to practice real estate in Texas must also reside in Texas - Answer- Yes, if they have been a resident of a municipality whose boundary is on the Texas border and all other requirements are met
All of the following would be considered practicing law with the exception of:
Telling a client they must seek legal counsel
Giving advice to a client who is appearing before a judge
Preparing a legal document
Advising a client on what the legal document they are looking at is all about and what they need to do - Answer- Telling a client they must seek legal counsel
What is the length of the term for a public member on the Broker-Lawyer Committee?
Two years
Four years
Five years
Six years - Answer- Six years
Paul is using a TREC form for a contract that is dated February 2003. Priscilla who works in the same office has a TREC form dated May 2014. Which form is correct?
Paul's form because it was the original TREC contract form
Paul's form because it allows him to fill in the blanks
Priscilla's form because this form is the latest updated TREC form and the most current
Paul's because he paid TREC for the right to use this older form - Answer- Priscilla's form because this form is the latest updated TREC form and the most current
TREC provides:
Residential leases
Forms for commercial property in all states
Property management contracts
TREC real estate forms - Answer- TREC only provides forms for a real estate transaction that are intended to be used by trained licensed real estate brokers or salespersons
When receiving an offer, Julie is allowed to:
Stall an offer
Tell a buyer she won't present it because the offer is too low
Provide no advice for low offers
Provide advice to her client regarding a ridiculous offer - Answer- Provide advice to her client regarding a ridiculous offer
Once a real estate contract is formed:
One party must perform
Both parties must perform
One party may back out
Either party may back out - Answer- Both parties must perform
When only one party of a performing couple accepts an offer:
It remains an offer
It becomes a contract
It is a listing
It is a counteroffer - Answer- It remains an offer
Who must sign and date the sales agreement?
The buyers and the sellers
The sellers and their attorney
The buyers and their attorney
The licensee that is involved with the sale - Answer- The buyers and the sellers
Zella is writing up the TREC addendum for the rototiller that will be included in the sale of the house and property. What information should she include on the addendum?
The price the seller is asking
Where the rototiller is currently being stored
A detailed description of the rototiller
All of these - Answer- All of these
Gabe is not pre-approved for a loan. His realtor should suggest what be included with the offer for the house since Gabe is not pre-approved?
A notation that Gabe may not be approved
The TREC Form 40-6 Third Party Financing Addendum for credit approval
A petition to speed up the transaction
Additional earnest money - Answer- Financing Addendum for credit approval
The Texas VA Loan Program has what kind of rating from the Better Business Bureau?
C
B
A
A+ - Answer- A+
All of the following statements are incorrect with the exception of:
The VA allows the veteran/buyer to take out a second mortgage
The VA is allowed to obtain any form of financing to make up the property's sale price from the appraisal's price
The veteran is allowed to pay cash for the difference between the appraised value and the asking price - Answer- The VA is allowed to obtain any form of financing to make up the property's sale price from the appraisal's price
All may be reasons the owner would become the lender with the exception of:
The buyer is a relative of the owner
The tenant wants rent to apply to the purchase of the subject property
The buyer has bad credit
The buyer would hold title to the property - Answer- The buyer would hold title to the property
When a seller holds a lien on the property, the right of foreclosure is specified in:
First Right of Refusal
Power of Attorney
A Deed of Trust
A Living Will - Answer- A Deed of Trust
One of the benefits for those who serve in the military is:
Obtaining a low guaranteed home loan through Department of Veteran Affairs
Free housing
Purchasing multiple homes
All of these - Answer- Obtaining a low guaranteed home loan through Department of Veteran
All of the following are TREC earnest money requirements with the exception of:
The earnest money is held by the third party
The earnest money is held by the seller
The earnest money is held by the broker in the firm's trust account
The earnest money may be held by an escrow company - Answer- The earnest money is held by the seller
Wendy, the potential buyer has an option fee attached to her offer. During the option period she has all of the following options with the exception of:
She may terminate her offer without reason
She may get an option refund within 10 days of paying the option fee
She has the right to have the property inspected
She may have the property re-inspected - Answer- She may get an option refund within 10 days of paying the option fee
The standard Schedule B exclusions are:
Deed restriction
Stand by fees
Taxes and assessments
All of these - Answer- All of these
Schedule D of the title commitment would show:
Liens on the property
Who owns the title policy
Claims on the property
The legal description of the property - Answer- Who owns the title policy
When a client needs additional coverage with their standard title policy they would need to:
Have a specific endorsement added to their st [Show Less]