Podcast
Questions and Answers
What should a buyer's agent do for their client?
What should a buyer's agent do for their client?
- Accept information as accurate from the listing.
- Have an attorney state all the seller's claims in writing.
- Verify all information from the listing, through public records and inspections. (correct)
- Tell the client to beware - some information may not be accurate.
What can terminate a license?
What can terminate a license?
- All the above (correct)
- Withdrawal of consent
- Sale of land
- Terms of license agreement
- Nothing ends a license
- Death of either party
What best describes ownership for a parking garage and office buildings?
What best describes ownership for a parking garage and office buildings?
- A condominium (correct)
- Solo owner
- Tenants in common
- A cooperative
What does a buyer use to determine their property line and check for encroachments?
What does a buyer use to determine their property line and check for encroachments?
A friend tells you another agent isn't doing a good job with their listing. What should you do?
A friend tells you another agent isn't doing a good job with their listing. What should you do?
The real estate settlement procedures act requires all the following except...
The real estate settlement procedures act requires all the following except...
Mortgage fraud can lead to all the following except...
Mortgage fraud can lead to all the following except...
The clause that protects an owner from suit if the foreclosure sell does not cover the loan is...
The clause that protects an owner from suit if the foreclosure sell does not cover the loan is...
What is a promissory note?
What is a promissory note?
How much does 4.0 points on a $95,000 loan cost?
How much does 4.0 points on a $95,000 loan cost?
If less new houses are being built, what might be the effect?
If less new houses are being built, what might be the effect?
If you have the most expensive house in the neighborhood, it might not be worth that much more because of the principle of...
If you have the most expensive house in the neighborhood, it might not be worth that much more because of the principle of...
You are listing a 5 story, 10-bedroom, 10 bath house with 5 pools, a sauna, steam room, and much more. How would you determine the value?
You are listing a 5 story, 10-bedroom, 10 bath house with 5 pools, a sauna, steam room, and much more. How would you determine the value?
If one party of a Joint tenant sells, what happens?
If one party of a Joint tenant sells, what happens?
Who is responsible for damages from an encroachment?
Who is responsible for damages from an encroachment?
If an owner is violating CC&R, what can neighbors do?
If an owner is violating CC&R, what can neighbors do?
Does the sale of the property terminate a verbal license?
Does the sale of the property terminate a verbal license?
A property deeded to be used 'so long as' describes what ownership?
A property deeded to be used 'so long as' describes what ownership?
A landowner who has used a path on his neighbor's land to move his crops, may claim ________ to keep such use when the property is sold.
A landowner who has used a path on his neighbor's land to move his crops, may claim ________ to keep such use when the property is sold.
What does the covenant of warranty forever do?
What does the covenant of warranty forever do?
What is an example of the use of police power?
What is an example of the use of police power?
What law passed by the Federal Trade Commission states an agent may call a client for 18 months, inquire for 3 months, and not after 9:00 PM?
What law passed by the Federal Trade Commission states an agent may call a client for 18 months, inquire for 3 months, and not after 9:00 PM?
The government must _______ and prove public use to exercise eminent domain.
The government must _______ and prove public use to exercise eminent domain.
The owner of land being taken by eminent domain has the right to what?
The owner of land being taken by eminent domain has the right to what?
The seller wants no public advertising of their property; should the agent advertise the property?
The seller wants no public advertising of their property; should the agent advertise the property?
Agent Brown has a property listed for David. Alex, a customer buyer, wants to look at the property. When Agent Brown shows Alex the property, who does he owe loyalty to?
Agent Brown has a property listed for David. Alex, a customer buyer, wants to look at the property. When Agent Brown shows Alex the property, who does he owe loyalty to?
When taking a listing, an agent must disclose...
When taking a listing, an agent must disclose...
Michael was employed to run the management of his condominium that he's lived in for 10 years. What license does he need?
Michael was employed to run the management of his condominium that he's lived in for 10 years. What license does he need?
The real estate commission _____
The real estate commission _____
According to license law, offers must be _____
According to license law, offers must be _____
The real estate commission can set fees and commissions licensed agents charge.
The real estate commission can set fees and commissions licensed agents charge.
Two people open a new real estate company; which of the following is true?
Two people open a new real estate company; which of the following is true?
Can the commissioner be a licensed agent?
Can the commissioner be a licensed agent?
What do you use to compare gross rent for a subject property, using a comparable?
What do you use to compare gross rent for a subject property, using a comparable?
Which of the following is a type of depreciation?
Which of the following is a type of depreciation?
Which of the following terminates a lease on a farm?
Which of the following terminates a lease on a farm?
A renter who stays past lease is what?
A renter who stays past lease is what?
What is your take-home from a sale where the total commission was 6%, amounting to $13,545.00, with a 70/30 split with your broker?
What is your take-home from a sale where the total commission was 6%, amounting to $13,545.00, with a 70/30 split with your broker?
What is a CAM license for?
What is a CAM license for?
How many square feet are in an acre?
How many square feet are in an acre?
How many square miles are in a Township?
How many square miles are in a Township?
What determines the fee for appraisal?
What determines the fee for appraisal?
In Georgia, most community associations are required to have what?
In Georgia, most community associations are required to have what?
If an affiliate licensee violates rules and regulations or license law, is the broker required to notify the commission?
If an affiliate licensee violates rules and regulations or license law, is the broker required to notify the commission?
If the lender requires 8 months of taxes and 5 months of hazardous insurance to establish the escrow account, how much would the buyer have to pay if the annual tax bill was $1900 and the annual hazardous insurance is $850?
If the lender requires 8 months of taxes and 5 months of hazardous insurance to establish the escrow account, how much would the buyer have to pay if the annual tax bill was $1900 and the annual hazardous insurance is $850?
What is the broker responsible for over a licensed real estate agent?
What is the broker responsible for over a licensed real estate agent?
Regulation Z covers all the following except...
Regulation Z covers all the following except...
Who can give an FHA loan?
Who can give an FHA loan?
As a property manager, you're responsible for?
As a property manager, you're responsible for?
What water rights control streams?
What water rights control streams?
An agent received a personal note for earnest money. Is this legal?
An agent received a personal note for earnest money. Is this legal?
Based on Fair Housing, a landlord may refuse to rent to all the following except...
Based on Fair Housing, a landlord may refuse to rent to all the following except...
Based on the Sherman Antitrust Law, what is the commission for Atlanta?
Based on the Sherman Antitrust Law, what is the commission for Atlanta?
General agency refers to which of the following?
General agency refers to which of the following?
When there is no ending date on a contract, besides facing fines, what law determines the contract ends in one year?
When there is no ending date on a contract, besides facing fines, what law determines the contract ends in one year?
What lien prevents an owner from selling during a suit?
What lien prevents an owner from selling during a suit?
What determines which lien has priority?
What determines which lien has priority?
Sale prices of $210,000, 95% loan, annual PMI of 0.65%. What is the monthly PMI payment?
Sale prices of $210,000, 95% loan, annual PMI of 0.65%. What is the monthly PMI payment?
What is the 6% commission of a $225,750.00 sale?
What is the 6% commission of a $225,750.00 sale?
According to the Georgia real estate commission, are net listings permitted?
According to the Georgia real estate commission, are net listings permitted?
What information must be displayed for broker advertising?
What information must be displayed for broker advertising?
Can Mr. Mark agree to buy your house if he cannot sell it?
Can Mr. Mark agree to buy your house if he cannot sell it?
How is commission paid when leaving a broker?
How is commission paid when leaving a broker?
Which of the following is true about the secondary mortgage market?
Which of the following is true about the secondary mortgage market?
When can a lender foreclose without having to go to court?
When can a lender foreclose without having to go to court?
A VA loan has...
A VA loan has...
When can the seller request earnest money for a property under contract, but that has a financing contingency?
When can the seller request earnest money for a property under contract, but that has a financing contingency?
A buyer puts in an offer and deposits earnest money, but decides she likes a better house. Can she cancel her offer and get her money back?
A buyer puts in an offer and deposits earnest money, but decides she likes a better house. Can she cancel her offer and get her money back?
Is earnest money an essential element of a real estate contract?
Is earnest money an essential element of a real estate contract?
Degrees and minutes are used in which form of legal description?
Degrees and minutes are used in which form of legal description?
What is Fructus industrials?
What is Fructus industrials?
Sales price $220,000, with a 95% conventional loan. If the factor for principal and interest is $5 per $1,000 how much is due, and if they close on July 15 when is the payment due?
Sales price $220,000, with a 95% conventional loan. If the factor for principal and interest is $5 per $1,000 how much is due, and if they close on July 15 when is the payment due?
Sale price of $180,000, LTV 95%, UFMIP is 1.75%g, and annual MIP of 1.35%. How much MIP is added monthly?
Sale price of $180,000, LTV 95%, UFMIP is 1.75%g, and annual MIP of 1.35%. How much MIP is added monthly?
Sales price was $275,500, LTV 95%, UFMIP of 1.75%. How much UFMIP will be added to the loan?
Sales price was $275,500, LTV 95%, UFMIP of 1.75%. How much UFMIP will be added to the loan?
When can you do a net listing?
When can you do a net listing?
When can a broker not deposit earnest money, pending offer acceptance?
When can a broker not deposit earnest money, pending offer acceptance?
What fees can be charged before the delivery of a good faith estimate/ Loan Estimate?
What fees can be charged before the delivery of a good faith estimate/ Loan Estimate?
The federal truth in lending act...
The federal truth in lending act...
Georgia is a...
Georgia is a...
In a title theory state, is judicial foreclosure required?
In a title theory state, is judicial foreclosure required?
In title theory states, before the lender can foreclose and sell, what must they do?
In title theory states, before the lender can foreclose and sell, what must they do?
In replacement cost approach, you must first determine what?
In replacement cost approach, you must first determine what?
An office building has a gross quarterly income of $270,000, with an annual expense of 52% of gross income. What is the estimated net profit?
An office building has a gross quarterly income of $270,000, with an annual expense of 52% of gross income. What is the estimated net profit?
When does a tenant not have to pay rent?
When does a tenant not have to pay rent?
What does the covenant of quiet enjoyment mean for a renter?
What does the covenant of quiet enjoyment mean for a renter?
To be enforceable, when must a lease be in writing?
To be enforceable, when must a lease be in writing?
Which best describes a trade fixture?
Which best describes a trade fixture?
The seller wants to keep the new fancy refrigerator and replace it with a different one. Can they do this?
The seller wants to keep the new fancy refrigerator and replace it with a different one. Can they do this?
What legal descriptions is/are used in Georgia?
What legal descriptions is/are used in Georgia?
The broker may not be liable if a salesperson committed fraud, if he can prove which of the following?
The broker may not be liable if a salesperson committed fraud, if he can prove which of the following?
A sales person must meet all the requirements except...
A sales person must meet all the requirements except...
When must earnest money be turned over to the broker?
When must earnest money be turned over to the broker?
What does a meeting of the mind mean?
What does a meeting of the mind mean?
Sales contracts should be _________.
Sales contracts should be _________.
Brown sells to Mark who does not occupy the property or record the deed. Brown, being a jerk, then sells the property to David who does not record the deed but moves onto the property. Who owns the property?
Brown sells to Mark who does not occupy the property or record the deed. Brown, being a jerk, then sells the property to David who does not record the deed but moves onto the property. Who owns the property?
What makes a valid deed?
What makes a valid deed?
Mark deeds his property to Brian and puts the deed in his safe. When Mark dies, the deed is found, who owns the property?
Mark deeds his property to Brian and puts the deed in his safe. When Mark dies, the deed is found, who owns the property?
What protects an owner equity from title defects?
What protects an owner equity from title defects?
A broker lowers the price of a listing, is this legal?
A broker lowers the price of a listing, is this legal?
Study Notes
Commission and Earnings
- Take-home commission for a 6% sale totaling $13,545 with a 70/30 split: $4,740.75.
- Importance of accurate commission breakdown when co-broker is involved.
- Understanding how changes in split agreements affect final earnings.
Licensing and Regulations
- CAM license required for managing subdivision associations.
- Fair Housing violations can lead to legal repercussions for landlords.
- Net listings are prohibited under Georgia real estate regulations.
Measurements and Calculations
- An acre consists of 43,560 square feet.
- A township encompasses 36 square miles.
- Understanding of real estate measurements essential for property evaluation.
Appraisal and Insurance
- Appraisal fees are determined by the amount of work and time involved, not just market price.
- Purchase-related inspections and insurance requirements vary by state; in Georgia, community associations need fidelity insurance.
Financial Responsibilities
- Monthly PMI payment for a 95% loan at $210,000 and 0.65% PMI stands at $108.06.
- Detailed math required for foreclosures and earnest money deposits to ensure compliance with regulations.
Lien and Foreclosure
- An attachment lien prevents an owner from selling during a lawsuit.
- Lien priority is determined by the date of recording with the county.
Property Management Duties
- Property managers primarily collect rent and coordinate repairs, ensuring property maintenance and tenant satisfaction.
Legal Terms and Definitions
- "Covenant of quiet enjoyment" ensures tenants do not face title claims from landlords.
- Earnest money isn't essential for a real estate contract but plays a significant role in buyer commitments.
- Proper legal descriptions (metes and bounds, plat book) are vital for property identification.
Contracts and Negotiations
- Clear, detailed sales contracts are required to ensure enforceability.
- Offers can be canceled by buyers before acceptance, allowing return of earnest money under certain conditions.
Mortgage and Financing
- FHA loans are given by approved mortgagees, not directly from the federal government.
- Understanding of loan costs, down payments, and monthly financial obligations crucial for buyers.
Ownership and Property Rights
- Trade fixtures can be removed before the lease ends if specified in the contract.
- Ownership disputes can arise based on recording deeds; unrecorded deeds can lead to complications.
Agency Relationships
- General agency relationship defined as a broker hiring salespersons.
- Agents must verify all information related to property transactions rather than relying solely on listings.
Real Estate Practices
- Use of a survey to determine property lines and check for encroachments is standard practice.
- Understanding real estate laws and procedures is crucial for compliance and protecting all parties involved.
Miscellaneous
- Georgia is considered a title theory state, meaning judicial foreclosure is not required.
- Knowledge of federal laws like the Truth in Lending Act is essential for lenders and borrowers to ensure transparency.
This structured breakdown of the provided content highlights the critical concepts essential for understanding the real estate landscape and its regulations.### Use of HUD-1 Form
- HUD-1 form details settlement costs for buyers and sellers in a real estate transaction.
Buyer Settlement Costs
- Buyers incur various settlement costs that need to be evaluated during the purchasing process.
Good Faith Estimate
- Immediate delivery of the good faith estimate is required to inform borrowers about loan costs and terms.
Mortgage Fraud Consequences
- Mortgage fraud can result in increased loan processing fees, increased foreclosure rates, and heightened crime in neighborhoods, but it does not lead to a long-term increase in property value.
Exculpatory Clause
- The exculpatory clause protects property owners from lawsuits if foreclosure sales do not suffice to cover the loan.
Promissory Note Definition
- A promissory note serves as evidence of a loan debt.
Cost of Loan Points
- 4.0 points on a $95,000 loan costs $3,800.
New Construction Impact
- A decrease in new home construction can lead to an increase in prices of existing homes.
Real Estate Principles
- The principle of regression suggests that the value of a highly valued home may not appreciate significantly if surrounded by lower-valued properties.
Property Valuation
- Suggesting a professional appraisal is recommended for accurately determining the value of unique properties.
Joint Tenancy Sales
- If a joint tenant sells their share, the original owners will become tenants in common with the new owner.
Encroachment Responsibility
- The owner causing the encroachment is liable for damages.
CC&R Violations
- Neighbors may seek a court injunction if someone violates covenants, conditions, and restrictions (CC&Rs).
Verbal License Termination
- A verbal license terminates with the sale of the property.
Fee Simple Determinable
- Property deeded with the phrase "so long as" indicates a fee simple determinable ownership.
Easement by Prescription
- A landowner may claim an easement by prescription for using a neighbor’s land if established usage continues when the property is sold.
Covenant of Warranty Forever
- This covenant protects the owner from claims against the title and provides financial protection related to the title.
Police Power Example
- Zoning laws are an example of police power utilized by the government.
Do-Not-Call Implementation Act
- This Federal Trade Commission law regulates agent-client communication, restricting calls after 9:00 PM.
Eminent Domain Requirements
- The government must pay just compensation to property owners when exercising eminent domain.
Public Interest in Eminent Domain
- Property owners can ensure that their land is taken for public interest when subjected to eminent domain.
Client Obedience
- Agents must respect a client's request for no public advertising of their property.
Loyalty in Real Estate Transactions
- An agent owes loyalty to the property owner (the seller) during a transaction.
Conflicts of Interest Disclosure
- Agents must disclose any potential conflicts of interest when taking a listing.
Licensing for Property Management
- No specific license is needed for individuals managing their personal condominium.
Real Estate Commission Authority
- The commission possesses the authority to pass rules and regulations governing real estate practices.
Timing for Offer Presentation
- Offers must be presented immediately or as soon as possible according to licensing law.
Fee and Commission Regulation
- The real estate commission does not have the authority to set fees or commissions for licensed agents.
Qualifying Broker Requirement
- A new real estate company must hire a qualifying broker if neither co-owner holds a broker's license.
Commissioner Licensing
- The commissioner of real estate cannot be a licensed agent.
Gross Rent Comparison
- The gross rent multiplier is used to compare gross rents for a subject property against comparable properties.
Type of Depreciation
- Economic obsolescence is a recognized type of depreciation in real estate valuation.
Lease Termination on Farms
- A farm lease may terminate when the landlord sells the home to a tenant.
Estate at Sufferance
- A renter who remains in a property after the lease expiration is classified as an estate at sufferance.
Studying That Suits You
Use AI to generate personalized quizzes and flashcards to suit your learning preferences.
Description
Prepare for the Metro Broker Academy Final Practice Test with these flashcards. This quiz covers crucial concepts like commission splits and real estate licensing. Use it to self-assess your knowledge before the final examination.