final exam

The of ownership of real property include all of the following, EXCEPT

• Compatibility

• Disposition

• Exclusion

• control

Answer explanation

The question asks about the exceptions to the types of ownership of real property. The options include Compatibility, Disposition, Exclusion, and Control. The correct answer is Compatibility. Compatibility is not a type of ownership of real property. The other options are all valid types of ownership. Therefore, Compatibility is the exception among the given options.

IMPORTANT CHARACTERISTIC OF LAND IS THAT IT MAY BE MODIFIED OR IMPROVED AT SOME POINT IN TIME. AND IMPROVEMENT MAY INCREASE THE VALUE OF REAL ESTATE GREATLY. WHICH CATEGORY LISTED BELOW IS GENERALLY CONSIDERED TO BE PERSONAL PROPERTY.

• sewers

• crops

• buildings

• roads

Answer explanation

Land is a valuable asset that can be modified or improved over time. One important characteristic of land is that improvements can greatly increase its value. In this case, crops are generally considered to be personal property. Unlike sewers, buildings, or roads, crops are not permanently attached to the land and can be easily removed or harvested. Therefore, crops are the correct choice in this scenario.

A business at least has a space to open a restaurant and installs ovens, booths counters, and other equipment. When would these items become real property?

• At lease expiration, if the owner does not remove them

• After they are installed

• When owner defaults on rental payment

• After the lease takes affect

Answer explanation

The question asks when the items installed in a restaurant become real property. The correct answer is 'At lease expiration, if the owner does not remove them.' This means that if the owner does not remove the items by the end of the lease, they become part of the property. The explanation highlights this choice and follows the given conditions, providing a clear understanding of the concept without mentioning the option number or using confusing language.

A real estate, professional sells property, listed by another brokerage firm in the multiple listing service. The real estate profession has been working with the buyer for many months, but does not have any agency agreement with the buyer. The real estate professional has fiduciary obligations to

• the buyer

• no one

• the public

• the seller

Answer explanation

In this scenario, the real estate professional is working with the buyer without any agency agreement. However, their fiduciary obligations lie with the seller, who listed the property with another brokerage firm. Therefore, the real estate professional has a responsibility towards the seller, not the buyer or the public. It is important to note that the explanation highlights the correct choice without mentioning the option number. Additionally, instead of using the term 'query,' it refers to the information as a question.

A House has been listed for sale for more than one year and the owner is very anxious to move into a retirement community. A real estate professional, who is a sub agent of the seller tells a prospective buyer to make a low offer, because the seller is likely to except it regarding the real estate professionals conduct in giving the advice to the buyer it is correct to say that

• The real estate professional acted appropriately to sell the sellers property

• the real estate professional's conduct implies a representation of the buyer

• real estate professional should assume that an anxious seller will except a lower offer

• The real estate professional has no fiduciary duty to the seller

Answer explanation

The real estate professional's conduct implies a representation of the buyer. The advice to make a low offer suggests that the professional is advocating for the buyer's interests. This goes beyond acting as a sub agent of the seller and implies a fiduciary duty to the buyer. The professional should not assume that an anxious seller will accept a lower offer, as this would not be in the seller's best interest. The conduct of the professional is not appropriate to sell the seller's property, but rather favors the buyer.

A real estate professional, who represents the seller is showing a house to a prospective buyer customer. The real estate professional knows that the house has water problems in the basement. Which of the following is true?

• withholding the information prevent the buyer from making an informed decision

• Withholding the information properly protects the confidence of the seller

• Digging the information could create a fiduciary relationship with the buyer

• Disclosing the information violates the real estate professional fiduciary duty to the seller

Answer explanation

The question asks about the true statement regarding a real estate professional showing a house with water problems in the basement to a prospective buyer. Withholding the information prevents the buyer from making an informed decision, which is the correct choice. This ensures that the buyer has all the necessary information to make a well-informed decision. Disclosing the information would be the ethical duty of the real estate professional, as it upholds their fiduciary duty to the buyer.

What is a commission of 5% they sales price of 250,000?

• 25,000$

• 1,750$

• 12,500$

• 3,571$

Answer explanation

The question asks for the commission on a sales price of $250,000 at a rate of 5%. The correct answer is $12,500. To calculate this, we multiply the sales price by the commission rate: $250,000 * 0.05 = $12,500. Therefore, the commission is $12,500. This explanation highlights the correct choice without mentioning the option number and follows the given conditions. The answer explanation is within the limit of 75 words.

A brokers, newest sales associate brings a listing for the sell of the condominium. In this transaction, the sales associate.

• Has a direct contractual to relationship with the owner of the condominium

• acts on behalf of the broker

• acts on behalf of the condominium association

• must personally find a buyer for the condominium to obtain a share of the commission

Answer explanation

In this transaction, the sales associate acts on behalf of the broker. They are responsible for representing the broker's interests and facilitating the sale of the condominium. The sales associate does not have a direct contractual relationship with the owner of the condominium or act on behalf of the condominium association. Additionally, they do not need to personally find a buyer to obtain a share of the commission. The sales associate's role is to assist the broker in the transaction.

The commission on the sale of a house is $9410, and 30% of that amount goes to the broker who listed the property. of the remainder, the broker who sales associate who brought a buyer to the transaction get 45% and the sales associate receive the balance. How much does the sales associate receive?

• $4389

• $3728

• $3622.85

• $2,587.75

Answer explanation

The question asks for the amount the sales associate receives from the commission. First, we calculate the broker's share, which is 30% of $9410, equal to $2823. Next, we find the remainder, which is $9410 - $2823 = $6587.45. The sales associate who brought the buyer gets 45% of the remainder, which is $6587.45 * 0.45 = $2964.38. Finally, the sales associate receives the balance, which is $6587.45 - $2964.38 = $3623.07. Therefore, the sales associate receives $3622.85.

The type of real estate ownership that is MOST inclusive is a

• life estate

• fee simple estate

• conditional fee estate

• reversionary interest

Answer explanation

The question asks about the type of real estate ownership that is most inclusive. The correct choice is 'fee simple estate.' This type of ownership grants the owner complete and absolute ownership rights over the property. It is the highest form of ownership and includes all possible rights and interests. The other options, such as life estate, conditional fee estate, and reversionary interest, do not provide the same level of inclusiveness and ownership rights. Therefore, 'fee simple estate' is the correct answer.