frex magnolia

Of the seven members of the FREC, two must

• be licensed attorneys

• have never been licensed as real estate sales associates or brokers

A sales associate decides to quit his brokerage and go to work for another broker. Which applies?

• The sales associate must be registered with FREC/DBPR under the new broker before working there

• The old broker must agree to the agreement.

The guarantee in which the seller provides assurance that he owns the property and, therefore, has the right to sell it is called the covenant of

• encumbrances

• seisin

In the law of real property, the Statute of Frauds refers to the

• legality of the object of the contract

• requirement that to be enforceable, contracts must be in writing

A borrower has a home loan and his deed states that he is the owner of the property. The mortgage is an encumbrance and upon repayment of the loan, the cloud will be removed. Which theory of mortgage lending is this describing?

• Lien theory

• Title theory

A developer purchased 100 acres of land and is currently subdividing the property. He plans to make a new subdivision and should reserve within the mortgage a

• partial release clause.

• an escape clause

The capitalization rate is obtained by

• dividing the net operating income by the sales price.

• dividing the sales price by the net operating income.

Property management in the real estate business has gained popularity and importance due to

• the growth in absentee ownership

• the growth in supply and demand of the market economy.

What is called when a person has interest in real property and implies that the individual will receive legal title at a future date?

• Abstract of title

• Equitable title

In a platted subdivision, the legal description most often used is

• Metes and Bounds

• Lot and Block