Real Estate Salesperson practice quiz

Question 1

A buyer submits an offer on a home with a home-inspection contingency. Before the seller accepts, the buyer learns the seller has already accepted a competing offer. What is the status of the first offer?

Accepted Answer

It remains a valid, pending offer until revoked or accepted.

Answer

It is automatically terminated because of the competing offer.

Answer

It becomes a counteroffer by operation of law.

Answer

It is void ab initio because the buyer added a contingency.

Question 2

A listing broker represents the seller and procures a ready, willing, and able buyer. The seller then refuses to close. Under an open listing, is the seller obligated to pay a commission?

Accepted Answer

Yes, a commission is owed once the broker procures a ready, willing, and able buyer.

Answer

No, because the seller found another buyer through a different channel.

Answer

No, an open listing never results in a commission obligation.

Answer

Yes, but only if the listing agreement was exclusive right to sell.

Question 3

A real estate agent who holds a valid power of attorney from the buyer signs the purchase contract on the buyer's behalf. Which element of a valid contract is demonstrated by this scenario?

Accepted Answer

Competent parties

Answer

Lawful consideration

Answer

Mutual assent

Answer

Legal purpose

Question 4

A seller lists a property with Broker A on an exclusive right to sell. The seller later contacts Broker B about the same property. What type of agency relationship exists between the seller and Broker B?

Accepted Answer

Broker B is the seller's agent only if a new listing agreement is signed.

Answer

Broker B is the seller's agent under a dual agency arrangement.

Answer

Broker B is automatically appointed as a subagent of Broker A.

Answer

Broker B cannot interact with the seller without Broker A's consent.

Question 5

A buyer and seller sign a purchase agreement with a financing contingency. The buyer applies for a loan but is denied. The buyer then seeks to rescind the contract. Is the buyer entitled to the return of earnest money?

Accepted Answer

Yes, the financing contingency allows the buyer to rescind and recover earnest money.

Answer

No, earnest money is forfeited when the buyer fails to obtain financing.

Answer

No, financing contingencies apply only to FHA loans.

Answer

Yes, but only if the seller also signed a separate rescission agreement.

Question 6

A licensed salesperson is employed by Broker A. The salesperson assists a friend in buying a property without disclosing the employment relationship to the buyer. Which agency duty has been violated?

Accepted Answer

Disclosure

Answer

Obedience

Answer

Loyalty

Answer

Accounting

Question 7

Under the Statute of Frauds, which real estate contract must be in writing to be enforceable?

Accepted Answer

A listing agreement for a single-family home

Answer

A three-month lease of a commercial storefront

Answer

A contract to mow the lawn of a residential property

Answer

An oral agreement to show a property to prospective buyers

Question 8

A property manager enters into a management agreement with the owner of a 20-unit apartment building. The agreement is for a term of two years. What type of contract is this?

Accepted Answer

Express contract

Answer

Unilateral contract

Answer

Aleatory contract

Answer

Adhesion contract

Question 9

A listing broker learns that the seller has a termite infestation but instructs the broker not to disclose it. If the broker remains silent, which fiduciary duty to the buyer is primarily at issue?

Accepted Answer

Full disclosure of material facts

Answer

Confidentiality of the seller's information

Answer

Obedience to the seller's instructions

Answer

Reasonable care and skill

Question 10

A buyer submits a written offer with earnest money. Before the seller accepts, the buyer wants to withdraw the offer. Can the buyer legally revoke the offer?

Accepted Answer

Yes, the buyer may revoke the offer at any time before acceptance.

Answer

No, because the earnest money makes the offer irrevocable.

Answer

No, because the buyer signed a binding option agreement.

Answer

Yes, but only with the seller's written consent.

Question 11

A tenant installs a commercial-grade oven in a rented bakery. Upon lease termination, the tenant removes the oven, leaving minor wall damage. How is the oven classified?

Accepted Answer

A trade fixture removable by the tenant.

Answer

Real property because it is permanently attached.

Answer

A fixture that must remain with the property.

Answer

Emblements that the tenant may harvest.

Question 12

Which of the following is an example of an economic characteristic of real property?

Accepted Answer

Scarcity

Answer

Immobility

Answer

Uniqueness

Answer

Indestructibility

Question 13

A homeowners association has recorded CC&Rs that restrict exterior paint colors. A new buyer was not told about the restriction before closing. Can the CC&Rs be enforced against the new buyer?

Accepted Answer

Yes, CC&Rs that are properly recorded run with the land.

Answer

No, because the buyer was not notified of the restriction.

Answer

No, CC&Rs must be signed by every buyer to be enforceable.

Answer

Yes, but only if the HOA sends a written notice after closing.

Question 14

A property owner grants a neighbor the right to cross a portion of the driveway to reach a garage. This right is best described as:

Accepted Answer

An easement appurtenant

Answer

A license

Answer

An encroachment

Answer

An easement in gross

Question 15

Which method is most commonly used to describe land in urban areas with rectangular lots?

Accepted Answer

Lot and block (recorded plat)

Answer

Metes and bounds

Answer

Government survey (section, township, range)

Answer

Monuments and natural landmarks

Question 16

The government's power to regulate land use for the health, safety, and welfare of the public is an exercise of:

Accepted Answer

Police power

Answer

Eminent domain

Answer

Escheat

Answer

Taxation

Question 17

A buyer's inspector discovers an encroachment where a neighbor's fence extends two feet onto the subject property. What is the most likely legal remedy?

Accepted Answer

The seller must remove the encroachment or the buyer may seek an injunction.

Answer

The buyer must accept the encroachment as a permanent condition.

Answer

The encroachment automatically creates an easement by prescription.

Answer

The buyer may reduce the purchase price by the value of the two feet.

Question 18

An appraiser is preparing a report on a single-family home and selects three comparable sales from the same neighborhood within the past six months. Which valuation method is the appraiser primarily using?

Accepted Answer

Sales comparison approach

Answer

Cost approach

Answer

Income capitalization approach

Answer

Gross rent multiplier method

Question 19

An appraiser determines that a property's land value is $250,000 and the replacement cost of the improvements is $180,000 with accrued depreciation of $30,000. What is the estimated value using the cost approach?

Accepted Answer

$400,000

Answer

$430,000

Answer

$460,000

Answer

$480,000

Question 20

A broker prepares a comparative market analysis and adjusts the comparable's sale price upward by $5,000 because the comparable has a two-car garage while the subject has only one. This adjustment reflects:

Accepted Answer

A physical characteristic adjustment

Answer

A market condition adjustment

Answer

A financing concession adjustment

Answer

A time adjustment