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130 Cards in this Set
- Front
- Back
A timeshare resort having both whole unit owners and timeshare owners is referred to as a? |
Mixed-use Resort |
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An interval sold subject to availability is referred to as |
Floating time
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By definition any person who sells or offers to sell his interest in a timeshare is a |
Developer |
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A licensed timeshare sales agent may |
Sell timeshare interest only at the timeshare project where he or she is licensed and where his or her license is prominently displayed |
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In Nevada who may sell a developers timeshares interest? |
Real estate licensees or timeshare sales agents |
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A broker's salesman, timeshare, sales agent, or real estate salesman selling timeshares shall not associate with or accept commission from any person other than |
The project broker |
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In what year did the Nevada Legislature passed the statute governing timeshare sales? |
1983 |
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What is the Nevada timeshare law called? |
NRS 119a |
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How much is the renewal fee for a timeshare agent license? |
$200 |
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How many hours of continuing education must a timeshare agent complete to renew his license? |
6 hours |
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What is the fee for a timeshare agent to change from one broker / developer to another? |
$10 |
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The document containing the covenants conditions and restrictions which regulate a project is called the |
Bylaws |
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A resort structured to allow for homeowner tenants and timeshare interest owners is referred to as a |
Mixed-use Resort |
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Resorts that utilize our reservation system based on availability are referred to as |
Floating resorts |
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What is meant by mental capacity? |
Being able to understand the nature of a contract |
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The person who coordinate the sale of timeshares for a timeshare project and to whom the sales agents and representatives are responsible is the |
Project broker |
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Any lien mortgage, deed of trust, or encumbrance which secures or evidence of obligation to pay money, to sell, or to convey property made available to purchasers by the developer is known as |
A blanket encumbrance |
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Which of the following best describes someone who induces and solicits persons to attend promotional meetings for the sale of timeshares? |
A registered representative |
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All of the following statements are true regarding the public offering statement except |
It is written by the project developer |
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Where can the CC and R's for a timeshare project be found? |
In the declaration of a timeshare |
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One of the roles of a timeshare sales agent is to ensure prospective purchasers are adequately informed. Which of the following information is A timeshare sales agent not required to disclose? |
The source and amount of compensation that timeshare sales agent will receive in the transaction |
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Your prospective purchaser agrees to purchase a timeshare unit. You find out after the contract has been signed that the buyer was only 17 years old. You can |
Do nothing as the contract is voidable by the buyer only |
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You carefully explain the purchasers cancellation rights to Customer. They tell you they would never do anything like that, and to them, a deal is a deal. They then tell you that they will sign a waiver of their cancellation right so that you can count the deal in this month's sales contest. They really seem to like you. You take them up on their offer and they signed the waiver. Which statement is true? |
Your acceptance of their waiver made the deal voidable by the purchaser |
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Under Nevada law common man out-of-state timeshare property be sold with in Nevada? |
Yes, but the contract must say " this contract is to be construed according to the laws of Nevada and, specifically, chapter 119a of nrs" |
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Rescission rights provided to consumers |
Must be disclosed in the contract |
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In Nevada a timeshare purchaser has how many days to cancel his / her purchase? |
5 days |
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If the developer authorized sales agent obtains a waiver of right to cancel from the purchaser, the contract for sale is |
Voidable by the purchaser |
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Developer Douglas sales agent owes which of the following duties to prospective purchasers? |
Disclosure of all material defects |
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The document that Provides for the maintenance, management, procedures to add units, system of identification of the time periods, and for assessment of the expenses of the timeshare project is called the |
Timeshare instrument |
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Which of the following appears on the cover sheet of the public offering statement? |
The prospective purchaser should read this report before signing any paper. In red ink |
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The public offering statement containing the permit to sell timeshares must be renewed |
Every year |
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Douglas marketing plan must be submitted to the division in a formal statement and must describe all of the following EXCEPT |
Date and time schedules for promotional meetings |
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The covenant, conditions, and restrictions are contained in the |
Bylaws of the association |
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An agent warrants |
Integrity in dealings |
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All prospective purchasers must receive all the following EXCEPT |
Representation of the customer |
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What must a developer whose property is affiliated with an exchange program disclosed to all potential buyers? |
The cost and terms |
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Which of the following sale techniques and tactics must conform to the standards as outlined in NAC 119a .365 |
1 Each oral statement made to a prospective purchaser to promotional meetings must be consistent with written advertising or other material filed with and approved by the division 2 Excessively loud music must not be played during the promotional meeting 3 any prospective purchaser who expresses a desire to leave a promotional meeting at any time during or after the sales presentation may not be impeded in any manner from departing or cold or pressured to remain 4 all of the above |
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Which of the following statements is incorrect? |
Fictitious contest must be used to solicit consumers |
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Any free gift promised as an inducement for a prospective purchaser to attend a presentation may be withheld if the purchaser |
Does not attend the presentation |
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"Shill" is |
Is someone affiliated with the project who makes a dummy purchase to get the buying going at a promotional meeting |
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The project developer wants to get sales moving a little. At a Monday sales meeting, the developer tells the sales manager that they can authorize a 25% discount on any deal for the next five days. Is this permitted? |
No, discounts can only be given for quantity purchases or for cash purchases |
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All advertising to be done at of Nevada timeshare project must be approved by the |
Administrator of the real estate division |
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Any fees collected by the division for investigative work required prior issuing a permit or license must be deposited in the state treasury for credit to the |
General fund |
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When must timeshare permits be renewed? |
Annually |
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All fees for permits or licenses are deposited in the state treasury for credit to the |
General fund |
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What time share interest is offered to a purchaser with a right to use in a timeshare project |
Membership in a club |
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Upon receipt of cancellation for a reservation to purchase, the developer shall return in full the total deposit plus any interest earned within |
20 days |
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Pledge property as security for a loan is known as |
Hypothecation |
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It is almost 8 o'clock in the evening. You have been with your prospective purchasers since shortly after 2 o'clock in the afternoon. You're pretty sure you can close the deal, but they want to talk it over with their son who is a real estate salesman in Dallas. You must |
Allow them to discuss the transaction with anyone they want, including their son or lawyer |
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During the promotional meeting, you have a very talented speaker address to prospective purchasers. You're working with a nice couple from Oregon, but you do not seem to be able to make a deal. You remember that one of your sales managers is from Oregon and you call him to help him make the close. Under Nevada law is this permissible? |
Yes, not counting a podium speaker, you may have one additional person take over a prospective purchaser in attempt to make a deal |
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To affect an exchange, an owner of a floating use period must first secure a specific week at the home resort through which of the following |
The home resort |
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The term applying to each member of a group or persons owning an individual interest in the same parcel or real estate in a timeshare unit is called |
Co tenant or tenants in common |
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Normally, before the owner of a floating week timeshare can request an exchange, the owner must first |
Obtain reservation for a specific week at his home resort |
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Which statement is true about a condominium? |
1 in a condominium the individual units have three dimensional airplot legal descriptions
2 a condominium normally has an Owners Association
3 condominium includes areas owned in common by all of the unit owners.
4 all of the above
|
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A prospective purchaser is the sole stockholder in a small plumbing company. He wants to purchase a timeshare and use it as an employee incentive. As the company will be paying part of the cost of the timeshare, he wants to own it in joint tenancy with his corporation. Is this permitted in Nevada? |
No, one has to be a human being in joint tenancy |
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Douglas makes reservations to purchase timeshares using a preliminary permit. All of the following are true except |
Douglas must require that any earn interest on the deposit for the reservation be retained in the broker's trust account for a period of not less than 10 days |
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All of the following are true regarding the right to cancel except the |
Purchaser of timeshare has five-day conditional right to cancel, by written notice, the contract of sale until midnight of the 5th calendar day following the execution of the contract |
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In contractual terms, consideration means |
Payment in money |
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What is a void contract? |
One that is not enforceable by law |
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A voidable contract is |
Valid until action is taken to make it void |
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According to NRS 119a, who is responsible for direct enforcement of NRS 119a |
The administrator |
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Which of the following is not ground for suspension of a salesperson's license? |
Poor personal hygiene |
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How long after it is delivered does a cease and desist order to an unlicensed individual under NRS 119a take effect? |
Immediately upon receipt |
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According to NRS 119a .170, which of the following is exempt? |
Sales of 12 or fewer timeshares on one subdivision or project |
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Each of project Jones sales agents is required to meet what educational requirements |
Prelicensing of 14 hours |
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Local governments may licence timeshare projects according to NRS 199.200, provided that |
They license timeshare sales for revenue only |
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Susan's registration is a time share representative was issued on July 28th 2003. Her registration must be renewed by |
July 31st 2004 |
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All the following are grounds for disciplinary action against licensees except |
Accepting a commission from a broker |
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Developer Douglas will open 6 offsite sales offices. Each branch must be supervised by a |
Broker or broker salesman with at least two years of experience |
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Your timeshare project sell units with time that can be used identified by a season and not a specific week. Your project |
Is selling floating weeks |
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Many timeshare properties are |
Condominiums |
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A timeshare is best described as a |
Right to use and occupy a unit on a recurrent periodic basis |
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A timeshare sales agent is a person who |
Sell timeshares on behalf of a developer |
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What is the definition of a timeshare resale? |
The sale of a time share or transfer of a time share that was previously sold to a purchaser |
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All of the following are included in the definition of a person as stated in NRS 119a except a |
Purchaser |
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A timeshare representative is |
A person who is not a sales agency, but who on behalf of the developer, induces other persons to attend a sales presentation |
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Who is not an affiliate as defined in NRS 119a? |
Sales agent |
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The homeowners association is formed primarily for the purpose of |
Maintenance operation |
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Mr. Allen was named the project broker at a Nevada timeshare resort. For which of the following people will he be responsible? |
Sales agents and representatives |
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Any person who has purchased a timeshare, other than the developer or the lender, is by definition the |
Purchaser |
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any person who, on behalf of the developer, induces other persons to attend a sales presentation is a |
Registered representative |
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After the original sales person meets with the prospective purchaser excluding the podium speaker, how many additional sales persons may attempt to take over and achieve a sale? |
1 |
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The courts have upheld that a sale practice is unfair if it |
Is immoral, unethical, oppressive, or unscrupulous |
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Which of the following is considered deceptive sales practices by the FTC? |
1 exaggerating the nature and quality of the resort
2 making an accurate statement about the exchange privileges
3 offering premium that are not actually supplied
4 all of the above |
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The site plan of a timeshare development show the number of amenities on it. To comply with Nevada law, the developer must do all of the following EXCEPT |
Avoid the use of testimonials and advertising related to the amenities |
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Upon meeting all of the requirements for obtaining a timeshare sales agent license, a license is issued on November 21st, 1999. It will expire on |
November 30th 2001 |
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In order to renew your timeshare sales agent license you must |
Complete 6 hours of approved continuing education |
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Timeshare agents do not have to demonstrate professional conduct to protect the public against |
A prospect's credit worthiness |
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The Nevada real estate division regulates timeshare sales by |
Requiring timeshare developers to submit their projects for approval |
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A timeshare sales agent must possess which of the following in order to be licensed? |
Evidence of completion of 14 hours in an approved timeshare agents course |
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Which statement is true regarding developer Douglas promotional meetings |
Except for a podium speaker only one additional salesman may attempt a sale |
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When is it okay to record or tape a promotional sales meeting? |
Only if the customers are informed verbally and a placard is prominently displayed |
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Any sales presentation given to any number of potential purchasers at one time at any location is called a |
Promotional meeting |
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If a sales person refuses to sell an interval to a customer because of his religious belief he is guilty of violating what law? |
Fair Housing Act of 1968 |
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Until closing, all monies, negotiable instruments, or other deposits pertaining to the sale of a timeshare must be placed in |
An escrow agent account approoved by the division |
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In Nevada after receiving proper notice of cancellation, a developer must refund all monies received from a purchaser within how many days |
20 days |
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What is the law that requires real estate contracts to be in writing to be enforceable? |
The statute of frauds |
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If liens superior are foreclosed, causing harm to the interests of any purchaser, the |
Purchaser must continue to make payments until notified by the court |
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Which of the following information do truth-in-lending and regulations required to be disclosed to a financed purchase of a timeshare? |
Annual percentage rates, financial charge, amount financed, and total of Payments |
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If a timeshare unit is unavailable for the period to which the owners entitled to its use by schedule or by confirmed reservation, according to NRS 119 a, what is the owner entitled to be provided by the Association, or if there is no association by the developer |
Monetary compensation for the loss |
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The maximum possible estate one can possess in real property is |
A fee estate |
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Regulation Z requires |
All finance charges to be disclosed in dollars and has an annual percentage rate |
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When should the duties owed form be presented? |
During the verification process |
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All of the following statements are true regarding public offering statements except |
They shall be reviewed by the project broker or sales agent |
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The cover sheet of the public offering statement must have the consumer warning printed in what ink color? |
Red |
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If the developer files a notice of default against an owner for non payment of an assessment lien, the owner has how many days to satisfy the obligation and prevent foreclosures? |
30 days |
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A reservation to purchase a timeshare must |
1 be on a form approved by the division
2 provide for full refund of purchase or cancels before execution of a sales contract
3 guarantee the timeshare purchase price for a period of time after the issuance of the permit to sell timeshare
4 all of the above |
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Which of the following is true with respect to a prospective purchaser making a reservation to purchase? |
1 he will have the right to cancel the reservation before the execution of the contract of sale
2 he will be guaranteed the purchase price for a certain period of time after issuance of the permit
3 he will receive any interest earned on the reservation deposit
4 all of the above
|
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If a timeshare resale listing expires before the timeshare resale broker closes escrow on the resale, he must return the money held in the trust account to the owner of the timeshare within how many days after the expiration of the listing? |
14 days |
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The sale of a timeshare |
Is the sale of a real property right |
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John and Mary from Sydney Australia purchase a two bedroom unit at your timeshare project. They decide to hold title to the unit as tenants in common. They decide to get a divorce and cannot agree on who will on the timeshare you sold them. They call asking if they can change their deeds so that John on the front bedroom and Mary owns the back bedroom, as their sole and separate property, and they continue to jointly on the kitchen and the living room area. You tell them |
They should ask their lawyer or contact one in Las Vegas |
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Jerry is the project broker for great view resorts in Reno. The developer hold the Nevada permit to sell. Gerry would like to do resale for owners of great View Resort. What must Jerry do? |
1 he must register as a timeshare resale broker with the real estate division
2 he must provide a disclosure document describing the interest and the project
4 both 1 and 2 |
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Al had completed his 14 hour pre licensing requirement and passed the Nevada TSA examination. He may conduct sales presentations for the developer provided that |
The license is available at the sales location |
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The section of Nevada Revised Statutes that applies to real estate brokers and salesman is |
NRS 645 |
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A timeshare owner and default shall have how many days in which to pay the amount of a lien to avoid foreclosure, after the notice of default is recorded and a copy of the notice is mailed to the owner by certified mail with postage prepaid? |
14 days |
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All contracts for sale must be signed on behalf of the developer by |
1 the project broker 2 a salesman 3 the sales agent 4 any of the above |
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Which of the following is not necessary to perform a binding contract? |
Performance |
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Developer Douglas has closed sales for his resort and plans to use a trust for management and the sale of any remaining weeks. Requirements for a trust under 119a include all of the following EXCEPT |
Trustee must be approved by the owners association by at least 70% vote |
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Mr. And mrs. Wells held a confirmed reservation for a week at their home resort. Upon arrival, they were informed that the unit was unavailable. They are entitled to |
Monetary compensation for loss of use |
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Developer Douglas is affiliated his resort with the Acme condominiums international exchange company. He must furnish those participating purchasers with |
A full disclosure regarding the nature of any exchange program |
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What words never appear in a contract? |
Business investment |
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The Jacksons purchase a timeshare from John three days after purchasing from a competing resort. John must assist the Jacksons in the revocation of the previous purchase agreement provided that he |
None of the above |
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Which of the following statements is not correct? |
The purchaser of a timeshare may cancel, by written notice, the contract of sale until midnight of the 7th calendar day following the date of execution of the contract |
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If the division issues a license in error, the division may |
Invalidate the license |
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The district court may do any of the following EXCEPT |
Provide an initial decision on a disciplinary matter |
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If initially denied a license to whom an applicant appeal? |
The administrator |
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The advertisement for a timeshare |
1 must contain statements and representations that are accurate and true
2 will be judged by reasonable inferences drawn from it
3 must be consistent with that which is filed with the division
4 all of the above |
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An advertisement which refers to a community or geographic area in connection with the project must |
1 state the mileage from a specific point in that community
2 include the types of roads traversed
4 both one and two |
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Advertisements may contain maps, pictures, and sketches provided that |
1 maps are drawn to scale or labeled as not to scale
2 pictures fairly and accurately depict existing locations
3 sketches are accompanied by a clear statement that the portrayal are sketches
4 all of the above |
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Which of the following may not be used in any form of advertising? |
The term "appraised value" without supporting documentation |