Practice Exam 2 Flashcards
The process of creating a subdivision normally involves three distinct stages of development. Which is the final step
The Disposition or Start Up is final stage
When someone dies testate it means they left a valid will. If the deceased left real property to their heirs using a will, what is the term used to describe this?
DEVISE
Tenant Security Deposits
Should the lease end and the tenant vacate the property, the property management company must provide and initial ACCOUNTING of the use of the security deposit within 30 days and a final accounting within 60 days
a property management company may DEPOSIT all monies from all tenants and the various owners they manage into a SINGLE TRUST or ESCROW ACCOUNT
a property manager is required to place all security deposit monies they receive into their trust account in a licensed and insured BANK physically located in NC and NO DEPOSITS into CREDIT UNIONS
A fiduciary duty of a BUYERS AGENT to assist a client in finding suitable housing, negotiating and offer and directing the buyer to a lender would be described as
Skill
Care
Diligence
When a buyers agent acts in the best interests of their buyer client by helping their client pay the lowest price possible for a home, even though the buyers agent will earn less commission, this fiduciary duty is best described as
LOYALTY
Which clause requires the lender to release their interest in the property and give the borrower back their legal title to the property when the LOAN is PD IN FULL?
Defeasance clause
A broker and a buyer agree orally that the firm will represent the buyer as the buyers agent, however its a non exclusive arrangement. By NCREC rule, when must the buyer sign a written buyer agency agreement with the firm if the buyer has found a potential property that they want to see.
No later than PRESENTATION of the OFFER on the property
Which of the following statements is correct regarding street disclosure in NC?
Streets classified as public are always maintained by the DOT
Preliminary plat approval for a sub of land prior to public sale for residential or commercial use is required and this approval must be granted by the proper county agency before recordation
If there are any material changes from the preliminary plat map, a buyer is allowed to cancel any existing contract and receive a refund of all monies
Reconciliation is an appraisal term used to describe
The appraisers analysis and comparison of the results obtained by the various approaches to value in order to obtain a singular vote.
Which of the following is correct regarding the Interstate Land Sales Full Disclosure Act ?
The purchaser of the lot, under this act is given a seven day right of rescission after the sales contract is signed, and in the event of rescission receives a refund of all monies given.
The NC Machinery Act states that when a property is reassessed either every 4 or 8 years, the assessed value by law is the
MARKET VALUE
Two sisters, Alice and Betty, own property as JOINT TENANTS with rights of survivorship. Each has a husband and three children. Alice dies and by will specifies that all real property will be passed to her children. Alice’s executrix probates Alice’s will. Which of the following is correct?
BETTY is the owner in SEVERALTY
In Federal Fair Housing cases which governmental agency will be involved?
HUD
The appraiser wants to know the EXACT TERMS AND CONDITIONS of the sale on a home from which they are attempting to determine value. Which document would be most beneficial to the appraiser?
Contracts of sale
Essential elements of a contract to purchase real property
Earnest Money
Due Diligence Fee
Due Diligence Period
(NOT consideration)
An owner of a property is sued by the local hospital because the owner failed to pay medical bills. According to the Homestead Exemption Act which of the following is true?
If the owner of the property is 65 or older up to 60K in equity of their primary residence is exempt from the hospitals general judgement lawsuit
