Contracts And Relationship With Buyers And Sellers

Question 1

What form would be used to ask for a different closing date during escrow?

Answer 1

An addendum

Question 2

When writing an offer, a licensee may

Answer 2

Fill in the blanks

Question 3

During escrow what rights does a buyer have to the subject property?

Answer 3

Equitable title

Question 4

When does an offer expire?

Answer 4

As per the offer terms

Question 5

Can a seller accept an offer that has expired?

Answer 5

Yes, but the buyer needs to acknowledge the late acceptance

Question 6

What does lis pendens mean?

Answer 6

Lawsuit pending

Question 7

Can a seller accept an offer from buyer #2 while waiting to hear if buyer #1 will accept the seller’s counter-offer?

Answer 7

Yes, but they should withdraw the counter-offer made to buyer #1

Question 8

Which is not a seller’s remedy after a buyer default during escrow?

Answer 8

Misrepresentation

Question 9

If two parties sign a contract to rob a bank it is?

Answer 9

Void

Question 10

What law says a real estate contract must be in writing?

Answer 10

Statute of Frauds

Question 11

If a party signs a contract because they fear for their life, what has occurred?

Answer 11

Duress

Question 12

Transferring an intangible right to a contract in escrow is called?

Answer 12

Assignment

Question 13

A lender can transfer their interest to a loan to another lender with this provision

Answer 13

Novation

Question 14

Putting parties back to their original position before the contract was formed is called

Answer 14

Rescission

Question 15

A party can use the courts to force a party to an earnest money agreement to preform per the contract with this

Answer 15

Specific performance

Question 16

Settling for the earnest money deposit as a remedy for a contract default is called

Answer 16

Liquidated damages

Question 17

Which type of listing agreement allows a seller to list with 4 brokers and only pay the one who sells it?

Answer 17

Open listing

Question 18

Which type of listing agreement allows a broker to insist on payment of the commission regardless of who sells the property?

Answer 18

Exclusive right to sell

Question 19

What is true regarding an option in real estate?
It must have consideration, they are optional, they are illegal, or they may not be assigned

Answer 19

a. It must have consideration

Question 20

In a typical land sales contract, when does the buyer get legal title to the property?

Answer 20

When they make the last payment

Question 21

What arrangement allows a neutral third party to follow the instructions of the sale after closing?

Answer 21

Escrow agreements

Question 22

As agents, what may we do with a pre-printed offer to purchase?

Answer 22

Fill in the blanks for ourselves

Question 23

If the buyer wishes to extend the closing date of a contract in escrow, what would you use?

Answer 23

An addendum

Question 24

Who is the party making a counter-offer?

Answer 24

The offeror

Question 25

The contract clause that allows a broker to seek the court’s help to determine which party gets the earnest money in a disputed sale is

Answer 25

Interpleader clause

Question 26

Can a seller fire their listing broker?

Answer 26

Yes, but the seller may be liable for damages

Question 27

if a party signs a contract while on drugs it is

Answer 27

Voidable

Question 28

If a seller changes the down payment requirement but not the price in a counter, is it a deal?

Answer 28

Only if the buyer agrees in writing to the change

Question 29

What is defined as an offer rejection and a counter-proposal back?

Answer 29

Counter-offer

Question 30

What is an executory contract?

Answer 30

A contract awaiting completion

Question 31

Which is not a type of seller listing contract? Exclusive agency listing, open listing, exclusive right to sell listing, exclusive open listing

Answer 31

Exclusive open listing

Question 32

An agreement to keep open the right to buy a property at a certain price but has no buyer performance obligation is called?

Answer 32

Option

Question 33

Exclusive right to sell means?

Answer 33

The listing broker gets paid regardless who sells it during the listing period

Question 34

What happens to a real estate contract when one of the principals dies?

Answer 34

The seller’s estate may be liable to complete the contract

Question 35

If a party signs a contract while intoxicated it is?

Answer 35

Voidable

Question 36

Broker himself is the buyer, but the sale falls. Is it OK for the broker to give himself back the deposit without the seller's written consent?

Answer 36

If the contract terms stipulate the return this way