Florida Real Estate Exam example #65271

Owners that buy income properties as investments and depend on professionals to manage them

a Value estimated based on resent sales of similar properties in the same neighborhood, not an appraisal

A contractor is employed by an owner of land to build on that land to the owner's specifications

When a contractor builds on his own land with the hope of locating a purchaser after construction has been completed

A developer that acquires a large that aquires a large tract of land and builds a model center from which sales may be made

Property management has grown as a service of real estate primarily bc of an increase of _______ _________

The category of construction that applies when a property owner employs a contractor to build on his or her lot is called________ ___________

A Real Estate appraiser's fee for professional service is based on: a. a percentage of the property's gross income b. a percentage of the fair market value c. the time and difficulty of the appraisal d. a percentage of property's sales

A developer contracts to build a home on a buyer's lot to the buyer's specifications. This is an example of which type of building: a. tract b. custom c. speculative d. subdivision

A Florida Real Estate lisence is required when anyone performs a service is specified under F.S. 475 when all the following conditions are simultaneously present, unless that individual is otherwise exempt under the law:

_________ has been defined to include anything or any service of Value paid, recieved or expected to be paid or recieved.

The postlicense educational course for sales associate consists of ________ hours

The continuing education requirement consists of ______ hours

Florida Real estate sales associates that desire to become brokers must wait _______ ________ before taking the state exam.

A tenant in an apartment complex may recieve up to ______ for refferal of a new tenant for the same complex.

________ ________ education must be completed during the initial sales associates's license period.

Owner-employers of licensed real estate sales associates are allowed to pay them: a. on a salary basis only b. on a commision basis only c. a commission , but not a bonus d. a commission or salary

To qualify for a real estate broker's license, an applicant must have been employed for a minimum of: a. 6 months under one actively licensed broker b. 12 months under one actively licensed broker c. 12 months under 1 or more actively licensed brokers d. 6 months under 1 or more actively lisenced broker

How many hours of postlicense education are required to renew a brokers license?

How long can an voluntary inactive licencee remain in that lisence status?

The agreement the state of Florida has w/ some other states that recognises the similarity in education and experience required of licencees is called: a.reciprocity b. mutual recognition c. cooperative licensure d. intrastate licensing

A plumber has been appointed by a court to appraise a small business. The plumber....... a. is in violation of F.S. 475 b. is allowed to charge a commission c. may do so and be paid a fee d. must first be licensed under F.S. 475, Part II

A Georgia Auctioneer was asked by a local real estate broker to auction a small motel in Jacksonville. The auction did not result in a sale. The Florida broker paid the auctioneer for out-of-pocket expenses, but did not pay a commission. It would be correct to say that the: a. Georgia Autioneer violated the license law b. Florida Broker did not violate the license law c. Florida broker is not subject to discipline by the Florida real estate commision d. tranaction is perfectly within the license law

The Commission's ability to impose disciplinary actions against licensees is known as ______ _________ power

The rule-making authority of the FREC is called ______ _________ power

Members of the Florida Real estate Commission may serve no more than _____ consecutive terms

A licensee that fails to renew when required to do so will have his or her license placed on _______ ________

Licensees that are members of the armed forces have all fees, dues and other requirements waived during their military service and for _____ months after returning to civilian life

The division of Real Estate is an administrative part of the department of: a. State b. Commerce c. Banking d. Business and Professional Regulation

which department issues real estate licenses? a. state b. Business and Professional Regulation c. Revenue d. Real Estate

Which information supplied by an applicant is Public Record? a. financial Information b. test scores c. name and address d. medical information

The Florida Real Estate Commission held a meeting for the purpose of passing a new rule. This is an exercise of which Commission power? a. executive b. quasi-legislative c. quasi-judicial d. ministerial

When is a request for the renewal of a license effective? a. when recieved by the department b. the day following the experation c. on the date the application is mailed d. on the date indicated on the license

A real estate license expires a. on the date shown on the license b. every 2 years c. on the effective date d. at the end of 1 year

A sales associate failed to complete required postlicense education prior to expiration of the license period. What is the status of license? a. active b. voluntary inactive c. involuntary inactive d. null and void

one or more sales associates, each titled "designated sale associate' may be designated to act as agents for the seller, and one or more may be designated to act as agents of the _________

What federal law that makes illegal the discussion or establishment of a uniform price or fee for services in any industry? No fixed fees

Your allowed Compensation from your Broker True or False

You can not sue a buyer or seller only your broker? True or False

A sales associate is a _________ of the brokers's principal.

Before showing a property, allowing a buyer to sign an offer to buy or seller to sign a leasing agreement, a licensee must provide the party with a written ________ _________ _______ notice.

A member of the public may select from one of 3 options when working with a broker, which are?

The only brokerage that includes fiduciary duties is the __________ __________.

A licensee assigned by a broker to act as a single agent of a buyer or seller in a nonresidential transaction is titled a ________ _________ ________.

Brokers in a nonresidential sale are not required to use _________ _________.

Which relationship is not adversarial? a. arms length b. buyer beware c. caveat emptor d. fiduciary

The signature or initials of a party is required by the Brokerage Relationship Disclosure Act on which Form? a. Single Agency Disclosure b. Transaction Broker Disclosure c. Consent to Transition to Transaction Broker d. Important Information Disclosure

A Broker a. can refuse offers on behalf of the principal b. can buy the listed property w/o consent of the principal c. must follow all legal instructions of the principal or withdrawl d. must ignore the instructions of a principal when the instructions are not in the best interests of the principal.

Sales associates can be stockholders in a brokerage corporation but may not be _________ or _________?

A real estate brokerage corporation must have at least ____ active broker serving as an ______.

Anyone licensed or not can be a _________ _________ in a real estate brokerage limited partnership?

Two or more brokers that share office space but do not maintain their separate status as independant brokers could be charged as being ________ ________

The party who holds title to corporation sole property is called the _______ _______ ______

Sales associate and broker associates must report any change of employer or address change to the DBPR within _____ days on a form prescribed for such use.

For a broker to legally be paid a kickback or rebate, he or she must have performed a _______, held an appropriate _______, and all parties must _________ of the payment

A licensee should advise a customer to obtain an_______ or an _______ _______ _______ from an attorney whenever a question of title arises.

An Ostensible partnership a. is required to file documents w/ the Secretary of State b. is not a true partnership c. cannot be created by real estate brokers d. will not be treated as though the partisipants were partners

A location would be required to register as a brokerage branch office if a. tables and chairs are provided for sales associates and customers b. the location is used as a shelter c. literature is handed out containing the broker's office address d. sales associates are permenently assigned to the location

Which statement best describes the sign requied for a brokerage office? a. only 1 sign per firm is required regardless of the number of offices b. each sales associate associated w/ the firm must have a separate sign c. Every active broker must maintain a sign at each brokerage office or branch office d.office signs are permitted but not required by law

If a commission dispute arises prior to closing, the broker a. may retain the entire amount of escrowed funds until the dispute is resolved b. must withdrawl the amount of the commission from the escrow account c. may retain the exact amount of the disputed commission in the escrow account until the dispute is settled d. must deliver the entire amount of the escrowed funds at closing

The maximum amount that can be paid from the Real Estate Recovery Fund based on the actions of a licensee is ___________

The criminal penalty for violation of F.S. 475 is typically a fine of up to _____ and/or imprisionment for no more than _______ days

a licensee that has had a payment made from the real estate recovery fund as a result of his or her actions will have his licensee _______ until the money is _______ plus __________

The range of penalties that may be imposed on a licensee by the commission for violation of law or rules includes

If a broker's actions pose an immediate serious danger to the safety and welfare of the public, what action might the Secretary of the department of Business and Professional Regulation take? a. suspended the license of the licensee for 10 years b. issue a summary suspension c. issue a cease and desist order d. place the licensee on probation

What action may be taken if either the Florida Real Estate Commission or the licensee disagrees with a recommended order? a.seek adjudication b. submit the matter to mediation c. file extentions (10 days to file) d. request novations

Cival Rights Act of 1866

Federal Fair Housing Act

Redlining

the Cilvil rights Act prohibits discrimination on the basis of ________

An owner that does not use the service of a broker and does not discriminate in advertising is _________ from the Civil Rights Act of 1968

Lenders that refuse to make loans in certain geographic areas based on social or economics considerations are practicing __________.

When all rights under a lease have been transfered to another, the process is called an ___________.

Federal law governing telephone solicitations prohibits calls to residences after ______

To be enforcable, a lease longer than 1 year a. can be oral if witnessed by 2 people b. does not have to conform to the Statute of Frauds c. must be in writing, signed by the landlord (no witness is required in Florida) d. Does not have to be witnessed

A 5-year lease of a 10,000 sq ft warehouse prohibits assignment. After 2 yrs the tenant is unable to continue w/ the full rent payments and arranges w/ another tenant to take over one-half of the space and one-half of the rent for the remaining term. This arrangement is a. a violation of the terms of the lease b. a sublease c. in violation of Statute 83 d. illegal

Discrimination based on religion is prohibited by the a. Civil Rights Act of 1866 b. Civil Rights Act of 1968 c. Civil Rights Act of 1964 d. Fair Housing Amendments of 1988

3 Components of Real Estate

2 ways to Own

Life estate

Tenancy at Sufferance

__________ rights allow a property owner whose property borders on a river or steam the use of the water

The right to occupy specific space granted by a cooperative association is known as a _________ _________

Ownership of _______ ________ _______ distinguishes ownership in a cooperative association

Property that is exempt from execution of foreclosure to satisfy a personal debt of the head of the household can be up to one-half acre within a city or up to ______ acres outside a city.

What rights does a property owner have to the use of water flowing over or through his or her land? a. riparian b. littoral c. flowage d. aquifer

A potential purchaser of a timeshare can cancel the contract without penalty within how many days?

which statement best describes a tenancy at sufferance? a. The tenant suffers from the landlord's failure to maintain the property b. the landlord suffers from the tenant's failure to pay rent c. The lease instrument is valid d. The tenant remained in possession after expiration of a lease

The full bundle of the rights in real property includes a. destruction, use and extinction b. destruction, use and enjoyment c. use, expatriation and enjoyment d. disposition, use exclusion

Tests used by courts to determine whether an item is real or personal property include

The four unities required to create a joint tenancy are a. interest, survivorship, possesion and time b. possession, deed, title and time c. possession, interest, time and title d. person, use, interest and purpose

Title means Ownership..... True or False

A fence built over your property is

Title to real property passes to the grantee when the deed is ________ and ________

Zoning is an example of which government limitation over private property rights?

The Four methods used to legally describe property?

The government survey method begins in Tallahassee by drawing a north/south line is called the _________ __________ _________

In a towhship subdivided into section 36 is always ______ of 1

Properties located in subdivided areas are usually described using the _______ Method

Section 13 is _________ of Section 12

The main north/south line used in the government survey method is the principal a. latitude b. longitude c. baseline d. meridian

A Township contains how many sections?

Oral contracts are also known as _________ contracts?

An _______ contract can be oral or written.

The seal of a Notary public, called an __________, should not be confused w/ the word "seal" as used in connection with contract law.

The _____ is the placement of the word seal or the letters "L.S.", locus sigilli, following the signatures of the parties.

A ______ _______ is defined as a contract that is wholly written and under seal (in writing and signed.

____________ of ___________ provides time limits within which parties are allowed to bring legal action to enforse their rights under a contract.

Parol Contracts, if a contract is entirely oral , action must be brought within _____ years.

Written Contracts, a contract wholly in writting may be enforcedif action is brought within _____ yrs

The broker who successfully performs by locating a "willing , ready and able" buyer is said to be the "______ _______" of the sale and is the only broker entitled to a commission.

the ______ _______ of a sale is what entitles a broker to commission.

Which statute requires a purchase and sale contract to be in writing to be enforceable? a. Chapter 475 b. Chapter 120 c. Statute of Limitations d. Statute of Frauds

__________ clause allows the lender to Foreclose on you bc you haven't been making your payments.

__________ clause, A.K.A. due-on-sale clause, prevents a borower from transfering any interest in the morgaged property w/o permission of the lender.

_________ clause is used in mortgages on income-producing real estate.

The process of qualifying the applicant and the property is called _________ ___________, analysing risk.

An applicant is evaluated to dertermine if they can repay a loan by using 3 Criteria

The buyer will assume personal responsible responsibility for repayment of the balance due on the promissory note and acknowledge existance of the mortgage is

Borrowers are allowed a recission period (days to back out) which is ____ days, on the refinance (home Equity loan) of a principal residence.

The amount of mortgage insurance premium required on an insured FHA mortgage loan includes payment of both

$104,250 is the max amount of a verteran's entitlement of a VA guaranteed loan, and ____ days are required to be a Veteran.

The actions of the Board of Governors, called _____ _______, regulate the cost availability of credit in the US.

True or false Morgage brokers "make" loans?

Life insurance companies are regulated by?

A loan applicant's past credit history indicates his ________ to honor dept obligations, and his income is a measure of the _______ to repay the loan.

If the Federal Reserve Board descides to purchase government securitiesin the open market, the effect will be to: a. decrease the $ supply and cause interest rates to increase b. increase the $ supply and cause interest rates to decrease c. limit the amount of $ member banks may use for loan purposes, causing interest rates to increase d. create a "tight $" market

Which group of financial institutions traditionally preferred to make Short-term loans for construction?

Disintermediation occurs when a. deposits exceed the demand for loans b. depositors withdrawl their savings from depository institutions c. the IRS taxes earnings of investments d. the Federal reserve Board reduces the discount rate

A blanket Morgage that allows for the release of a single parcel upon payment of a specified sum contains which clause? a. defeasance b. acceleration c. satisfaction d. release

The Federal Housing Administration a. originates loans b. insures loans c. guarantees loans d. certifies loans

Construction loans are paid out in a. full at the begining of construction b. equal installments during the construction process c. full upon completion of constructions d. draws after specific stages of construction are complete

If a mortgage loan payment consists of interest only, the final payment the final payment which includes the full amount borrowed is called a?

The _______ normally pays for the documentary stamp tax on the deed.

An earnest money deposit held in escrow is reflected on the closing statement as a? a. credit to the buyer b. debit to the buyer c. credit to both the buyer and seller d. credit to the seller

In the absense of any agreement between the parties, the state documentary stamp tax on the deed is paid by the?

Which statement about the brokers portion of the closing statement is true? a. all double-entry items must appear there b. total reciepts minus the binder deposit equals the grand total c. Reciepts and disbursements must equal d. total expenses less the brokerage fee equals the grand total

_______ __ _______applies when a higher-priced property is constructed in an area of lower-priced properties. the higher priced property will REGRESS in value toward the level of less expensive properties in the area.

This approach is usually the most applicable method for appraising residential properties

________ expenses do not change w/ occupancy levels, examples property taxes and hazard insurance.