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38 Cards in this Set
- Front
- Back
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A(n) _________ arises when a broker or their agent, acting on behalf of a client, has a competing professional or personal bias which hinders their ability to fulfill the fiduciary duties they have undertaken on behalf of their client. a) affiliated business arrangement (ABA) b) subagency c) conflict of interest d) implied agency |
c) conflict of interest |
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A(n) __________ is a broker who simultaneously represents the best interest of opposing parties in a transaction, e.g., both the buyer and the seller. a) dual agent b) secret agent c) subagent d) finder |
a) dual agent |
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When a dual agency is established in a one-to-four unit residential sales transaction, the broker may not: a) pass on confidential pricing information to the opposing parties. b) communicate to one of the parties without the express consent of the other. c) collect their fee when the sale closes. d) disclose materials facts about the property which might dissuade the buyer from submitting an offer to purchase the property. |
a) pass on confidential pricing information to the opposing parties. |
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Funds belonging to others which a broker and their agents handle when acting in a transaction are called: a) broker fees. b) trust funds. c) bonds. d) security deposits. |
b) trust funds. |
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A broker is required to regularly account to an owner on the status, expenditure and location of negotiable trust funds, called a(n): a) balance sheet. b) deposit receipt. c) owner’s statement. d) amortization schedule. |
c) owner’s statement. |
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Regardless of race, all citizens of the United States have the right to rent residential and commercial real estate under the federal: a) Civil Rights Act. b) Freedom of Information Act. c) Unruh Civil Rights Act. d) Proposition 13. |
a) Civil Rights Act. |
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_________ involves the restriction of a person seeking to buy or rent a dwelling in a community in a manner that perpetuates segregated housing patterns. a) Blockbusting b) Redeveloping c) Redlining d) Steering |
d) Steering |
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A residential landlord may not induce or attempt to induce an individual to offer, or abstain from offering, a dwelling to prevent the entry of certain classes of people into the neighborhood, known as: a) blockbusting. b) condemnation. c) redlining. d) dual agency. |
a. blockbusting |
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A(n) ___________ is housing intended for and solely occupied by persons 62 years of age or older, or intended and operated for occupancy by persons of 55 years of age or older. a) senior citizen housing project b) Section 8 housing project c) common interest development (CID) d) cooperative housing project |
a) senior citizen housing project |
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California’s Unruh Civil Rights Act specifically prohibits discrimination on behalf of: a) educational institutions. b) government institutions. c) individuals. d) businesses. |
d) businesses. |
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The California Legislature created the __________ to oversee, regulate, administer and enforce the real estate law. a) Department of Home Finance b) California Bureau of Veterans c) California Bureau of Real Estate (CalBRE) d) Department of Agriculture and Property |
c) California Bureau of Real Estate (CalBRE) |
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The chief officer of the California Bureau of Real Estate (CalBRE) is the: a) Real Estate Commissioner. b) President of the United States. c) Governor of California. d) Real Estate Solicitor. |
a) Real Estate Commissioner. |
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To be eligible for a broker or agent license, the applicant needs to be honest and truthful, complete mandatory education and: a) provide proof of legal presence in the U.S. b) be at least 21 years of age. c) have previously worked as an unlicensed assistant. d) pass the qualifying exam. |
d) pass the qualifying exam. |
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All real estate brokers and agents need to complete at least __________ of continuing education (CE) every four years to renew a license issued by the California Bureau of Real Estate (CalBRE). a) 15 hours b) 30 hours c) 45 hours d) 50 hours |
c) 45 hours |
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The __________ is available to individuals who have obtained a judgment against a licensee and are unable to recover the judgment from the licensee for losses caused while acting as an agent. a) Real Estate Recovery Fund b) Broker Protection Fund c) Homeowner Relief Fund d) Borrower Education Fund |
a) Real Estate Recovery Fund |
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A residential mortgage primarily for personal, family or household use and secured by a deed of trust on a dwelling is known as a: a) consumer purpose mortgage. b) public project loan. c) adjustable rate mortgage (ARM). d) Zero Ability to Pay (ZAP) loan. |
a) consumer purpose mortgage. |
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Agency in real estate related transactions includes relationships between brokers and their: a) principals. b) agents. c) Both a. and b. d) A real estate broker is never an agent. |
c) Both a. and b. |
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A broker’s representation of a client, such as a buyer or seller, is best undertaken: a) with an oral agreement only. b) through coercion. c) on a written employment agreement signed by both the client and the broker. d) through ratification after acts requiring a license have been performed. |
c) on a written employment agreement signed by both the client and the broker. |
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The Agency Law Disclosure needs to be attached to which of the following documents and signed by all parties in targeted transactions? a) A purchase agreement. b) A seller’s listing agreement. c) A lease agreement for a term exceeding one year. d) All of the above. |
d) All of the above. |
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Failure of the seller’s agent to provide the seller with the Agency Law Disclosure prior to entering into the listing agreement may result in: a) payment of a $1,000 fine. b) the loss of their fee. c) jail time. d) the forfeiture of all funds in their trust account. |
b) the loss of their fee. |
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California anti-discrimination law is enforced by the Department of Fair Employment and Housing and the: a) Department of Business Oversight (DBO). b) Fair Employment and Housing Commission. c) Department of Housing and Urban Development (HUD). d) Fannie Mae. |
b) Fair Employment and Housing Commission. |
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Until __________ was added to the anti-discrimination laws in 1992, it was legal to exclude minors under the age of 18 from housing accommodations. a) implicit discrimination b) familial status c) religious preference d) senior citizen housing |
b) familial status |
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_________ practices are those which are not openly discriminatory, but result in discriminatory effects. a) Overtly discriminatory b) Harmlessly prejudiced c) Conflict of interest d) Implicit discriminatory |
d) Implicit discriminatory |
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Failing to provide financing in certain communities is called: a) redlining. b) redevelopment. c) panic selling. d) subordination. |
a) redlining. |
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The __________ is a 1974 federal enactment prohibiting lenders from discriminating against borrowers from a protected class. a) Credit Reporting Act b) Truth-in-Lending Act c) Equal Credit Opportunity Act d) Dodd–Frank Wall Street Reform and Consumer Protection Act |
c) Equal Credit Opportunity Act |
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A lender may lawfully consider ___________ when determining the applicant’s creditworthiness. a) a mortgage applicant’s age b) the religious preference of the mortgage applicant c) whether the mortgage applicant intends to bear children d) whether an applicant’s income is derived from alimony |
a) a mortgage applicant’s age |
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Consumers may request a free copy of their credit report _________ to review it for errors. a) once every month b) once every quarter c) twice every year d) once every year |
d) once every year |
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The __________ requires lenders to compile and submit their home loan origination data to their respective supervisory agencies. a) Equal Credit Opportunity Act b) Home Mortgage Disclosure Act (HMDA) c) Home Affordable Modification Plan (HAMP) d) Federal Fair Housing Act (FFHA) |
b) Home Mortgage Disclosure Act (HMDA) |
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The printing or publishing of an advertisement for the sale or rental of residential property that indicates a wrongful discriminatory preference is a violation of the: a) Unruh Civil Rights Act. b) Federal Fair Housing Act (FFHA). c) American with Disabilities Act (ADA). d) Equal Credit Opportunity Act. |
b) Federal Fair Housing Act (FFHA). |
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The Department of Housing and Urban Development (HUD) issues guidelines that require real estate brokers selling or renting single family residences (SFRs) display a(n): a) code of ethics. b) copy of the broker’s driver’s license. c) inspirational poster. d) fair housing poster. |
d) fair housing poster. |
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A property defect which would likely affect the price a buyer would be willing to pay is referred to as: a) a material fact. b) a matter of opinion. c) circumstantial evidence. d) an “as is” condition. |
a) a material fact. |
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The broker analyzes the suitability of an income property which is for sale by preparing a(n) ____________ and reviewing it with the buyer. a) Profit and Loss Statement b) Balance Sheet c) Annual Property Operating Data Sheet (APOD) d) Investment Circular |
c) Annual Property Operating Data Sheet (APOD) |
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A seller’s broker and their agents have a ___________, owed solely to the seller who has employed the broker, to diligently market the listed property for sale. a) non-fiduciary general duty b) fiduciary agency duty c) implied agency duty d) limited general duty |
b) fiduciary agency duty |
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A seller of a one-to-four unit residential property needs to complete and deliver to a prospective buyer a statutory form called a(n): a) Transfer Disclosure Statement (TDS). b) Condition of Neighborhood Addendum. c) Agency Law Disclosure. d) Oil-Based Paint Disclosure (OBP). |
a) Transfer Disclosure Statement (TDS). |
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Radon gas concentrations in enclosed, unventilated spaces located within a building where the underlying rock contains uranium is an example of a(n): a) environmental hazard located off a property. b) environmental hazard located on a property. c) natural hazard located off a property. d) seismic hazard located on a property. |
b) environmental hazard located on a property. |
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Environmental hazards not itemized in the Transfer Disclosure Statement (TDS) include: a) hazardous construction materials and waste. b) window security bars and inoperable release mechanisms. c) environmental noise. d) whether the property is located in a special flood hazard area. |
d) whether the property is located in a special flood hazard area. |
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Natural hazards such as __________ come with the location of a parcel of real estate, not with the man-made aspects of the property. a) very high fire hazard severity zones b) high local crime rates c) security bars which interfere with an occupant’s ability to exit a room d) asbestos-containing building materials |
a) very high fire hazard severity zones |
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To unify and streamline the disclosure made by a seller and their agent about natural hazards affecting a property, the California legislature created a statutory form called the: a) Transfer Disclosure Statement (TDS). b) Natural Hazard Disclosure Statement (NHD). c) Conflict of Interest Disclosure. d) Mortgage Settlement Statement. |
b) Natural Hazard Disclosure Statement (NHD). |
