NC Real Estate Exam Practice with all solutions complete

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NC Real Estate Exam Practice with all solutions complete Real Property Personal Property/Personalty Test of Personal versus Real Property Land Broker working with a prospective buyer ... as a listing agent owes which to the following to the prospective buyer? A. Honesty, fairness, and confidentiality C. Skill, care, diligence D. Disclosure of material facts, loyalty, accountability Which is the following is true about designated agency in North Carolina? B. A BIC can assign an agent in another firm to act as a designated agent for one of their clients C. Designated is only allowed in large firms with multiple offices to avoid conflict of interest D. Designated agency is not allowed in North Carolina A seller is required to pay a commission when involved in which of the following agreements regardless of who was procuring cause of the sale? A. Open Listing B. Net Listing D. Exclusive Agency Which is the following is true when listing a home? B. In NC square footage is considered a material fact and must be disclosed NC State law mirrors the federal laws and place restrictions on real estate brokers that solicit by all of the following except: A. Telephone C. Electronic Fax D. E-Mail To have an enforceable contract which of the following must be in place? A. Due Dilligence Fee B. Earnest Money C. Financing When trying to prequalify a buyer for a loan, how do you determine the loan to value ratio? A. Amount of mortgage is divided by the total value of the interest the borrower will pay during the term of the loan C.Amount of mortgage is divided by 1,000 and then multiplied by the appropriate loan factor D. The borrowers monthly mortgage interest payment is divided by the borrowers total monthly principal and interest payment Which of the following statements is/are true about VA loans? B. A purchaser must be an eligible veteran to assume a VA mortgage loan Which of the following increases a lender's yield? A. Prorations B. Mortgage Payments C. High LTVs Which of the following is prohibited by FHA and VA regulations? A. Low interest rates C. Seller and buyers can split point cost D. Second Mortgage When a veteran seller is relieved of their loan obligation under a VA mortgage by another veteran buyer who assumes and substitutes eligibility, it is considered or described as? A. Subordination C. Accension D. Acceleration Under the Federal Fair Housing Act which is prohibited? A. live in owner's refusal to rent a unit in a two family dwelling to any member of a certain religious group C. a refusal to rent because the prospective renter is in the military D. Refusal to sell based on a political preference A broker that sells a lot in a subdivision has violated the law if A. the subdivision lots have not been registered with the NCREC C. The purchaser was not given a public offering statement prior to making an offer D. the subdivision's street have not been paved Under the advertising regulations of Regulation Z, all of the following are true except A. Interest rates can't be mentioned alone, the APR must be stated B. General terms such as small downpayment or VA and FHA financing available may be used C. Compliance is enforced by the FTC The Truth in Lending Act is designated to do which of the following B. Limit the amount of closing costs that can be charged Which environmental hazard can be friable? B. Formaldehyde C. Mold D. Radon A real estate agent as cooperating broker working "with" a buyer as a customer or third party is a A. Buyer Agent C. Client D. Principal When a broker is hired as a listing agent the listing A. has to be entered into MLS by NCREC rules C. has to be set at a customary commission rate for the are D. price the seller agrees to is set by the broker NCREC rules stipulates which is true about compensation received by a licensee A. Compensation must be in the form of a percentage C. Compensation disputes between brokers are settled by the local realtors association D. All of the above The Truth in Lending Act is designed to do which of the following B. Limit the amount of closing costs that can be charged According to NCREC rules A. the listing firm deposits earnest money received with a contract into a trust account B. brokers must include their individual license number and agency status on a listing agreement i. A only II B Only III Both A & B IV Neither NC Property Disclosure Act requires that the sellers of most residential properties with one to four units give the buyer a Residential Property and Owner's Association Disclosure Statement. Exclusions to this act are what type(s) of sale(s). A. New Construction B. Foreclosure C. Rent to Own Non disclosure by the seller in no way relieves their agent from duties to A. Attend closing B. Represent other buyers C. Represent other sellers If a buyer consumer chooses not to be represented by any type of agency after proper review by the broker of the Working with Real Estate Agency Disclosure the buyer must initial the B. Response to Buyer Form C. Commission Agreement D First Substantial Contact Which of the following forms guarantees compensation if a particular property is sold to a specific buyer? A. procuring cause C. Fee for services agreement D. Due Dilligence When working with buyers as dual agents 1. Agent/firm represents the buyer and seller in the same transaction with permission II. Agent/firm represents the buyer as a client and the seller as a third party B. II only C. I sometimes D. I&II sometimes All of the following are true of NC except A. It's a title theory state B. Prepayments penalties are not allowed on the first liens of $150K or less for primary residences C. Deficiency judgements are prohibited when a purchase money deed is used Promissory Note is I. Security Instrument II. The financing instrument A. I only C. Both I & II D. Neither I & II NC Real Estate licensing law requires all funds received to be deposited immediately into a trust account. Placing personal funds in the same account as trust fund is known as A. Prohibited Acts B. Puffing C. Fraud [Show More]

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