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53 Cards in this Set
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Question: A listing broker brings the seller an offer from a ready, willing, and able buyer. The offer satisfies all terms indicated by the seller in the listing contract. The seller refuses to accept the offer and tells the broker that he no longer wishes to sell his home. In this case, the broker:
A: May keep the buyer's earnest money as commission B: Has no legal options since the transaction was never completed C: Has earned his commission and is entitled to collect it from the seller D: Must plead his case before the Real Estate Commission |
C. Explanation: The broker earned his commission as he produced a ready, able, and willing buyer who agreed to all terms that the seller indicated in the listing agreement with the broker. The earnest money must be returned to the buyer. The broker may rightfully sue the seller in court for the commission, but the Real Estate Commission would not get involved in this matter.
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A broker's listing agreement has expired and the seller enters into a new listing contract with another broker. The original listing broker now has a buyer client who wants to make an offer on this home. What does BRRETA say regarding this situation?
A: Since the broker once listed the property, the broker cannot have an agency agreement with a buyer who wants to make an offer on this property B: The broker would need written permission from the seller to show the property C: The broker may not disclose to the buyer client any material facts about the property D: The broker cannot disclose to the buyer client any offers the broker received on the property while the broker had the listing |
d. Explanation: Since the broker no longer has an agency agreement with the seller, the broker is free to show this home to a buyer prospect regardless of whether the broker has an agency contract with the buyer; nor does the broker need written permission from the seller. Agents must always disclose to all parties material facts concerning the property, but confidential information, like previous offers made, must be kept confidential.
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Prospective homebuyers want a licensee to show them a couple of homes for sale, but they do not wish to sign an agency agreement. Without entering into a brokerage engagement, the licensee might assist the buyers in all of the following ways EXCEPT:
A: Educate the buyers about agency law in Georgia B: Print listings from the MLS for the buyers C: Do a preliminary loan qualification for the buyers D: Inform the buyers of current home loan interest rates |
c. Explanation: To pre-qualify a buyer, a licensee would need confidential information and this might only be obtained if the licensee had an agency agreement with the buyers. Any of the other services would all fall under simply providing information or ministerial services, which BRRETA allows to be performed for customers.
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BRRETA requires that agents inform their clients of any pertinent facts or adverse conditions that the agent knows to be true:
A: Involving future investment potential in the area B: Up to a radius of one mile from the contractual property C: For the entire zip code D: Only in the immediate neighborhood |
b. Explanation: Georgia law requires that a real estate agent inform clients specifically of any pertinent facts or adverse conditions of which the agent is aware that affect the land improvements and area, up to one mile away.
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A homebuyer asks her agent to show her a home that is for sale by owner. The agent contacts the owner, who agrees to the showing and is willing to pay the agent a 3% commission if a sale results from the showing. Based on these facts, what is true?
A: This showing created an implied agency agreement between the seller and the agent B: The salesperson becomes a dual agent C: Subagency would be created between the agent and the seller D: Even though the seller is willing to pay the agent a commission if an acceptable contract results from the showing, no agency agreement is created from the payment of this commission |
d. Explanation: Paying a commission does not in itself create an agency agreement. In this situation, the licensee represents the buyer and has no agency agreement with the seller. In Georgia, brokerage engagements are express, not implied, and must be created in writing.
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BRRETA established what type of agency in Georgia?
A: Subagency B: Undisclosed dual agency C: Designated agency D: Special agency |
C. Explanation: Under the Brokerage Relationship in Real Estate Transaction Act, designated agency was specifically recognized and defined.
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Under BRRETA, a licensee is NOT required to disclose to clients which of the following?
A: Any conflicts of interest the licensee's company might have B: Which agency roles the licensee's company allows C: How the licensee's company shares compensation with other cooperating brokers D: The name of the qualifying broker of the company with whom the licensee is affiliated |
D: BRRETA requires disclosure of A, B, and Disclosing the name of the company's qualifying broker is not required.
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Exclusive right to sell contracts in Georgia:
A: Belong to the salesperson who secures them and will transfer with that licensee when he or she moves to another company B: Automatically renew themselves for 30 days after expiration C: May simply indicate the listing period will last for a few months D: Must provide for written consent from the seller for a broker to advertise the property |
d. Explanation: The licensee must have written permission from the seller to advertise the property in any manner; an exclusive right to sell listing belongs to the broker, not the salesperson; the exact time period for the listing must be included in this contract, not a general time period.
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If a buyer customer wants a licensee to show her a home listed by the licensee's broker, the salesperson must:
A: Tell the customer that she needs to enter into a buyer brokerage agreement before she can be shown the home B: Show her the property even if no disclosures are given to the buyer C: Let her know that the salesperson represents the seller's interest D: Inform her about Georgia agency law before showing the property |
C. Explanation: The listing agent may show the property to an unrepresented buyer, but must disclose to the buyer that the agent represents the seller's interests, as affiliates incur agency status with any clients of the broker. There is no legal requirement for the agent to explain agency law to the buyers.
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Some years ago, a suicide occurred in a home that a broker is now showing to a potential buyer. Five years ago, this home was sold to an HIV carrier who has since died of AIDS. As the agent for the estate of the deceased owner, what are the broker's disclosure responsibilities to any prospective buyers?
A: The AIDS-related death need not be disclosed, but the suicide must be disclosed B: Georgia law prohibits disclosure by the agent of either occurrence C: Both the suicide and the AIDS-related death must be disclosed D: The Georgia Stigmatized Property Act relieves the agent of liability for not disclosing these occurrences and Fair Housing law would also forbid the mention of AIDS |
d. Explanation: The broker is specifically relieved of any required disclosure of murder through the Georgia Stigmatized Property Act, though the law does not prohibit discussion of the suicide. Regarding the AIDS death, Fair Housing law would prohibit even discussing the subject of AIDS in this situation.
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A listing broker is told by the homeowner that the property is connected to a public sewer system when in fact it is connected to a septic system. Failing to verify the seller's disclosure, the listing broker relays this incorrect information to a prospect, who soon after buys the home. Could the broker assume any potential liability for this misinformation.?
A: Not if the buyer did not ask about the sewer connection on the property B: No, because only the seller would be exclusively liable in this situation C: Yes, because the broker may be guilty of negligent misrepresentation of a pertinent fact that could have been verified D: No, because Georgia agency law would in no circumstance find the broker liable |
c. Explanation: In this situation, the broker may be found guilty of misrepresenting a pertinent fact that could have been easily checked out. The information concerns a fact that the buyer would want to know and, therefore, should be correctly revealed, even if the buyer never asks
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A real estate broker has signed a brokerage engagement with an individual who is looking for office space to rent. The broker explains to the client that the broker will be compensated by the landlord when appropriate office space is found. Subsequently, the broker finds a suitable property and tells the landlord that the prospective tenant needs to find space immediately, and would probably pay an even higher rent than the landlord is requesting. Which of the following statements best describes this situation?
A: The broker's disclosures to the landlord are appropriate under these conditions B: As the broker is not receiving a fee from the tenant, the broker may not establish a brokerage engagement in this situation C: The broker's disclosure violated the confidentiality duties owed to the tenant/client D: The broker owes loyalty mostly to the landlord who is paying the commission |
c.Explanation: The broker's disclosure to the landlord was a violation of his agency duties to the tenant. Agency representation is determined by who hires the broker, not who pays the broker.
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If a listing broker knows that the seller's home has a rodent infestation problem and also that a former owner of the home killed his wife in the upstairs bathroom, which of these points of information must the broker disclose?
A: Neither of the facts B: Both of the facts C: Only the murder D: Only the rodent infestation |
D. Explanation: The rodent infestation is a pertinent fact that must be disclosed; according to the Georgia Stigmatized Property Act, the murder need not be disclosed.
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During an open house that a licensee is holding for a seller client, a buyer prospect couple shows up and expresses some interest in the home. In this situation, Georgia agency law would require what response from the licensee?
A: When asked questions by the couple concerning the home, the licensee could provide answers that offer advice and counsel B: The licensee should attempt to sign a brokerage agency agreement with the couple before answering any questions about the property C: If the licensee discloses any pertinent facts about the property, the licensee would automatically be involved in dual agency D: The couple should be told that the salesperson represents the seller's interests and will treat the couple as customers |
d. Explanation: The salesperson represents the seller and should communicate this information to the couple; any attempt to enter into an agency agreement with the couple who have indicated interest in the open house listing would create unnecessary conflicts of interest for the licensee. Also, the licensee might provide factual information about the property as well as disclosing any pertinent facts, but not provide advice or counsel as these are client-level services.
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A broker has an agency agreement with a buyer who wants to purchase a home that the broker has listed for a seller client. Given these facts, what is true in this scenario?
A: The broker should immediately refer one of these clients to another broker to continue the process B: Dual agency would be created, which is not allowed under agency law in Georgia C: As long as both clients give their informed, written consent, the dual agency created by this situation is acceptable under agency law D: The broker should have steered the buyer client away from the listing |
c. Explanation: The broker may continue representing both clients as a dual agent in Georgia, as long as both the buyer and seller give informed, written consent; a broker can never refuse to show any qualified, potential buyer homes listed by that broker
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The specific types of agency agreements offered by a real estate company should be found where?
A: In Georgia license law B: Within the rules and regulations of the Georgia Real Estate Commission C: In BRRETA D: In the real estate company's policy manual |
D. Explanation: Georgia agency law requires that a real estate company must have a written policy covering agency relationships permitted by that company.
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In Georgia, may a broker make a blanket offer of subagency by entering a listing in the multiple listing service (MLS)?
A: No, because subagency is not legal in Georgia B: Yes, because by entering a listing in MLS, a broker automatically offers subagency to any cooperating broker C: No, because subagency relationships in Georgia may be created only by a specific agreement between the selling broker and the listing broker/seller D: Yes, a subagency agreement may either be a specific agreement between the parties, or by a blanket offer to all participating brokers in the MLS |
c. Explanation: Subagency is not illegal in Georgia. Subagency may only be created by a specific agreement between the broker working with the buyer (selling broker) and the listing broker with the consent of the seller.
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A "ministerial act" under BRRETA could be which of the following?
A: Advising and assisting a buyer through the closing process B: Negotiating an offer on behalf of a buyer C: Searching for properties in a buyer's stated price range in the MLS D: Pre-qualifying a buyer for financial capability |
c. Explanation: Providing a buyer with a list of properties from the MLS based on the buyer's stated price range would not be considered advice or counsel or exercising judgment, so it would be considered "ministerial" in nature. Helping negotiate price, providing advice, or using confidential financial information to judge a buyer's financial status would all fall under services licensees might perform for a client.
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A seller told her listing broker that she wanted to clear $75,000 when she sold her house. The broker accepted the listing and sold the property for $100,000. At closing the attorney presented a check for $75,000 to the seller, and gave the broker a check for the balance of the sales price after deducting attorney's fees. What likely seems true about this transaction?
A: The closing attorney failed to do an accurate accounting of the funds so stipulated in the contract B: It was a net commission, which often in Georgia allows the broker the highest compensation by law C: The listing broker followed agency law by selling the property for as much as possible D: The broker entered into a net listing, which is prohibited under agency law in Georgia |
d. Explanation: This scenario most likely illustrated a "net listing" contract in which a seller agrees to let a broker keep any amount from the sale of the home over the amount the seller must net from the sale; this type of listing is not allowed under Georgia law as it creates a conflict of interest for the broker, who is supposed to be working in the best interest of the seller, but, in reality, wants to sell the property for as much as possible--not for the seller's best interest but to collect as much compensation as possible.
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Commissions earned by a broker in a real estate transaction:
A: May be claimed from earnest money in a broker's trust account as soon as a buyer and seller enter into a binding contract agreement B: Are agreed upon in writing by the broker and the principal C: Might be shared with an unlicensed individual, provided that person acted as a procuring cause of the contract agreement D: Are based on an established set of rates approved by the Georgia Real Estate Commission |
b. Explanation: Real estate commissions may not be deducted from broker trust account deposits until a contract is closed and the attorney's settlement statement indicates the portion of earnest money that may be claimed as commission by the broker. Commissions are always contractually established by agreement between broker and principal and a broker may never share commissions with unlicensed individuals.
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A valid, enforceable listing contract in Georgia must contain all of the following elements EXCEPT:
A: Disclosure of the broker's policy regarding types of agency offered B: Termination date for the listing contract C: A complete legal description of the property D: The terms of the agreement in writing |
C. Explanation: An adequate property description would suffice to create a listing contract, though a complete legal description would be necessary for any purchase and sale agreement on the property. Listings must have a definite termination date, be in writing, and disclose the listing company's policy on agency.
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Under BRRETA, what is true of a brokerage engagement that does not contain a termination date?
A: It must end in 60 days B: It will last as long as the client agrees to continue the engagement C: BRRETA will automatically end it after one year D: It is an invalid agreement |
C. Explanation: According to BRRETA, a brokerage engagement without a termination date will automatically end after one year.
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A seller lists her home with a broker for a period of 120 days. Two months into the listing, the seller decides to terminate the listing contract. Which of the following is true?
A: The seller has breached her employment contract with the broker by early termination of the listing B: The seller has no potential liabilities for withdrawing from the contract C: The seller may terminate the agreement, but will be obligated to pay a commission to the broker D: Although the seller has withdrawn the broker's authority to market the property, she may be liable for compensation to the broker |
D. Explanation: The listing agreement may be terminated by the seller, but the seller might still be responsible to the broker for some expenses. The seller has not breached the contract because the listing agreement allows the seller to withdraw from the contract at any time by notifying the broker in writing; upon withdrawal, the seller would not be obligated to pay the broker a commission unless the broker had produced a ready, willing, and able buyer willing to meet the terms of the listing contract.
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A real estate salesperson in Georgia may receive compensation from:
A: Either a buyer or seller, with written approval of the salesperson's broker B: Any licensed real estate broker C: The licensee's employing broker D: None of the above |
c. Explanation: Georgia licensed salespeople may only collect commissions from their employing brokers.
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The specific information that indicates how a commission will be split between the listing and selling broker involved in a Georgia real estate transaction:
A: Is not included in the standard purchase and sale contract form, but noted on a separate agreement that is forwarded to the closing attorney B: Is a part of the standard purchase and sale contract form C: Is determined by the closing attorney D: Would always indicate a 50/50 division between the two brokers |
a. Explanation: The commission split between brokers is not included in the standard purchase and sale contract form used in Georgia; rather, it is noted on a separate form sent to the closing attorney. This commission split need not be 50/50.
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A few days after a binding agreement has been reached on a broker's listing, the broker receives another offer on the home that is for more money than the one that the seller has accepted. In this situation:
A: Since there is already a binding agreement between a buyer and the seller, the broker need not present the new offer B: The broker should consult with the seller and figure out a way that the seller might withdraw from the current contract and accept the better offer C: The broker should just mention the offer to the seller and then return it immediately to the offeror without explanation D: The offer should be presented to the seller with the advice that the seller might present the offeror with a backup contract position if the current contract is not consummated |
d. Explanation: BRRETA requires that all offers be presented directly to the seller, even if there is an existing contract on the home. The broker would serve the client well by suggesting that the seller offer a backup contract to new offeror. The broker may not advise the seller as to how to back out of an existing agreement to accept this better offer.
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In Georgia, what is true concerning a tenant's security deposit after the existing lease ends?
A: The deposit must be returned within a reasonable time B: The deposit must be returned in full C: The deposit must be returned within 30 days D: The deposit may be held for 60 days if the property has been transferred to a new owner |
C. Explanation: Georgia tenant/landlord contract law requires that the tenant's security deposit must be returned by the landlord within 30 days, or an explanation must be provided.
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If a Community Association Manager in Georgia handles more than $60,000 in Association funds as part of an employment contract, what type of insurance would the licensee be required to carry?
A: Personal liability insurance B: Fidelity bond C: Escrow insurance D: CAM insurance |
b. Explanation: Under Georgia license law, a fidelity bond insurance policy would be required of any Georgia licensee managing community associations if the manager, at any time, handles more than $60,000.
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A retired woman owns a home in a townhouse development and offers to manage the homeowners association for $20,000 a year. Which of the following is true under Georgia license law?
A: If the retiree is going to be paid by the association, she must have a CAM real estate license B: The retiree will not need a license to manage the property C: Regardless of whether she is compensated, the retiree will still need a CAM license D: Homeowners associations may not be managed by one of the homeowners |
B. Explanation: Regarding the management of homeowners associations in Georgia, one exception to required licensure is if the property is managed by a member/homeowner.
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The property tax assessment rate in Georgia:
A: Varies from county to county B: Is 40% for properties with assessed value over $200,000; 20% for properties with assessed value under $200,000 C: Is 38 % of market value D: Is 40% of market value |
d. Explanation: In Georgia, properties are uniformly assessed at a rate of 40% of market value.
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Along with ad valorem property taxes, homeowners who benefit from work done by the local government to upgrade amenities and/or services to a neighborhood might also be billed a special assessment property tax. The specific area designated for an upgrade is called:
A: Special assessment zone B: Urban renewal zone C: Improvement district D: Neighborhood construction site |
C, Explanation: The area designated to be billed for special assessment is called an improvement district.
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A short form property legal description customarily used in Georgia deeds and contracts:
A: Is an abbreviated metes and bounds description B: Is a government survey land description C: Makes reference to recorded subdivision maps, noting plat book and page numbers of the referenced information D: Is one of three acceptable legal descriptions in Georgia |
c. Explanation: A "short form" property legal description, often used in legal documents such as deeds and contracts for sale, makes reference to recorded subdivision maps, indicating the plat book and page number of the recorded information. Along with metes and bounds, it is one of two acceptable legal descriptions of real property in Georgia.
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In Georgia, a legal description is absolutely essential in all the following real estate documents EXCEPT:
A: Purchase and sale contract B: A warranty deed C: A listing contract D: A commercial lease |
C, Explanation: A listing contract requires an adequate description such as a street address, but does not require a legal description. All of the other documents mentioned in answers A, B, and D do require legal descriptions.
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The Statute of Frauds in Georgia requires that all real estate contracts must be in writing to be enforceable with two exceptions. What are they?
A: A net listing and a lease for more than a year B: B A transactional listing and a ministerial agreement C: An open listing and a lease for a year or less D: None of the above |
C. Explanation: The only real estate contracts in Georgia that would be orally enforceable are the open listing and a lease for one year or less.
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In Georgia, the preprinted language of the standard brokerage engagement contract provides the right to cancel in what manner?
A: Verbally at any time by either principal or broker B: By either party with 30 days' notice C: By either party with written notice at any time D: Only the principal has the right to cancel the employment contract at any time prior to the termination date |
c. Explanation: The preprinted language of the standard brokerage agreement in Georgia gives either party the right to cancel the contract at any time with written notice to the other party.
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If a real estate sales contract in Georgia is not consummated and the buyer and seller cannot agree on how the earnest money should be distributed, the broker holding the money in trust may do any of the following EXCEPT:
A: Make a reasonable interpretation of the contract in deciding how to disburse the earnest money B: File an interpleader action with the courts C: Claim the money as liquidated damages for the commission D: Comply with a court order on how the earnest money is to be disbursed |
c. Explanation: Regarding earnest money held in trust when a real estate contract fails to close, a broker will typically make a reasonable interpretation of the contract in order to disburse the funds. Failing that, the broker may need to interplead the case with the courts; whatever the courts decide, the broker must comply. The broker may not seize the earnest money as commission earned.
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A seller signs an exclusive listing agreement in Georgia with a broker, but reserves the right to sell the property himself and not be liable for a real estate commission. With what type of listing might this occur?
A: Open listing B: Listing in severalty C: Exclusive agency D: Exclusive right to sell |
c. Explanation: An exclusive agency listing would designate the listing broker as the only real estate licensee who might collect a commission from the seller, but if the seller sold the home himself, he would not be obligated to pay the broker. In an exclusive right to sell listing, the seller would be obligated to pay the listing broker regardless of who sold the home. An open listing is not exclusive and the seller would pay any broker who produced a ready, willing, and able buyer.
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A real estate salesperson may conduct a closing under what circumstances?
A: The salesperson acts under the direction of a licensed attorney B: Under no circumstances C: The salesperson acts under the direct supervision of the employing broker D: The salesperson is a licensed attorney |
d. Explanation: Georgia law now allows closings to be conducted only by licensed attorneys. So, only if a real estate salesperson is also licensed as an attorney could that salesperson conduct a closing.
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In a dispute over the terms and/or language of the real estate sales contract in Georgia, what is true?
A: Typed language will take priority over handwritten B: The preprinted language of the contract will always prevail over any added typewritten or handwritten language C: The contract becomes voidable automatically D: Handwritten language will take priority over typed material, which takes priority over preprinted language |
d. Explanation: Whenever there is a conflict over specific language in a real estate contract, precedent will be determined in the following order: handwritten over typewritten over preprinted.
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In a Georgia purchase and sale real estate contract, earnest money serves what function?
A: To provide the necessary valuable consideration in a contract B: To satisfy the legal requirement of a contract involving real property C: As a means of offering the purchaser's "good faith" to the seller D: All of the above |
c. Explanation: Earnest money is NOT the valuable consideration necessary in any valid contract; there are no legal requirements in Georgia for earnest money to be a part of a contract for real property; earnest money simply offers to the seller some assurances of the buyer's intent to perform the promises made in the contract.
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In the preprinted real estate sales contract customarily used in most brokerage offices in Georgia, there is a clause that provides that duties stipulated to be performed by either party may be designated by agreement of buyer and seller to be enforceably performed even after the closing. This clause is referred to as the:
A: Warranty clause B: Safety clause C: Good faith clause D: Survival clause |
D. Explanation: If either party is contractually obligated to perform a specific task, the contract may also stipulate that, if not performed by closing, this task shall survive the closing and obligate the designated party to finish the duty after closing.
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On a successful listing appointment, a Georgia real estate licensee has just signed a brokerage agreement to represent the home sellers. When asked by the new clients for advice on determining a listing price for their property, the licensee would violate Georgia law by calling his or her opinions on this matter an appraisal of the property value unless:
A: The licensee was a real estate broker B: The agent had prepared a formal comparative market analysis (CMA) C: The licensee was a state-certified appraiser D: None of the above |
C. Explanation: Only Georgia-licensed appraisers may call their opinion of property value an appraisal. A real estate licensee may also hold a certified appraisal's license in Georgia
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With regard to the metes and bounds legal description used in Georgia, what is NOT true?
A: A current metes and bounds description would be invalidated by a description of property boundaries found in an existing deed B: A metes and bounds description must end at the point of beginning C: The metes and bounds description serves well irregularly shaped properties so prevalent in Georgia D: Along with the lot, block/plat description (also known as the short form), it is the only other acceptable legal description of real property in Georgia |
a. Explanation: The metes and bounds description is one of two acceptable legal descriptions in Georgia (the other is the short form). This description is especially useful for irregularly shaped land and must always end where it begins. A current, certified metes and bounds survey will override any older property description such as one found in an existing deed.
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What type of report might a Georgia appraiser prepare for the settlement of an estate that included commercial and residential real property?
A: Letter of opinion B: Short form report C: Narrative report D: Probated estate report |
c. Explanation: The settlement of an estate with substantial real property involved would typically be a more complicated process than normal for an appraisal and would require a narrative report that is designed for more complex appraisal tasks.
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If a landlord in Georgia decides to terminate the period-to-period leasehold estate belonging to the tenant, how much notice, if any, must the landlord give the tenant?
A: No notice is necessary for a landlord to terminate a periodic lease B: 30 days C: 60 days D: 14 days |
c, Explanation: Georgia law requires that in a period-to-period lease, the tenant must give the landlord 30 days to terminate, and the landlord must give the tenant 60 days to terminate.
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At the end of a lease in Georgia, the property manager may deduct funds from a tenant's security deposit for all of the following circumstances EXCEPT:
A: Damage to the rental property caused by the tenant B: Property/home keys lost by the tenant C: Unruly, raucous, behavior by the tenant during the lease term that resulted in numerous complaints by other tenants, causing a few to move out D: To clean a tenant's excessively dirty rental property |
c. Explanation: The standard Georgia leasing contract gives the landlord the right to withhold funds from a tenant's security deposit for such things as lost keys, damage to the property, or leaving a filthy property that requires special cleaning, but generally not for being excessively boisterous, which might make the tenant an unpleasant neighbor.
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With regard to the property management employment contract in Georgia between a real estate broker and the owner, which of the following statements is NOT true?
A: The standard Georgia preprinted contract will indicate the duties required of the property manager B: The contract should specify that security deposits, and whatever other funds designated by the owner, are to be placed in a trust account fund C: The contract should contain a legal description of the property D: The property management contract creates a special/limited agency relationship d. |
D. Explanation: Answers A, B, and C are all customarily a part of the standard Georgia property management contract. As the broker is hired for the ongoing management of the property, the property management agreement would create a "general," not a special/limited, agency agreement between the property owner and the broker.
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Though typically hired by a homeowners association board of directors, the community association manager, in effect, works for all of the homeowners. With that in mind, the most difficult task for the manager might be:
A: Collecting dues and assessments B: Reminding homeowners of covenants and restrictions C: Preparing the annual budget D: Acting as buffer or liaison between owners and their directors |
d. Explanation: Although responsible for many such duties as collecting association dues, keeping up with the association's covenants and restrictions, and preparing an association budget, no task would be more challenging for a community association manager than serving as a go-between for the board of directors with often demanding homeowners.
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If the legal description used in a Georgia real estate contract is a "short form," then that legal description might include all of the following EXCEPT:
A: The name of the county where the property is located B: The district number of the plat C: The point of beginning for the boundaries of the property D: The land lot number |
c. Explanation: The short form legal description used in Georgia would include reference to the land lot district and county. A reference to a property point of beginning (POB) would be found only in a metes and bounds description.
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Contractual age of legally competent parties in Georgia must be:
A: 18 B: 21 C: 18 and able to read and write D: 19 |
a. Legal competency age in Georgia to contract is 18; literacy is not required.
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A warranty deed in Georgia transferring property owned by a wife must be signed by the:
A: Husband B: Wife C: Husband and wife D: The closing attorney and the wife |
b. Explanation: As Georgia recognizes none of the legal life estates nor community property rights, only the party whose name is on the deed need sign.
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As amended in 2000, BRRETA allows that if a broker practices designated agency:
A: The broker is violating agency law B: The broker is, by definition, practicing dual agency C: The broker is not, by law, practicing dual agency D: Two brokers must be involved: the listing broker and the cooperating selling broker |
C. Explanation: As amended in 2000, BRRETA clearly separates designated agency from the practice of dual agency. They are not the same.
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For property tax purposes, a home in Georgia has been assessed at a value of $150,000. The tax property rate in the district is 35 mills. What would the annual property taxes be for the home?
A: $2,100 B: $2,625 C: $5,250 D: $4,750 |
c. Explanation: 35 mills x 0.001 = 0.035 per $1 of assessed value. $150,000 x 0.035 = $5,250 annual property tax.
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