Test 1

Question 0

What are the parts of a mortgage loan? What purpose does each part serve?

Answer 0

A Pledge and Collateral. Pledge= promise to pay, Collateral= right to foreclose if borrower does not pay.

Question 1

In a general warranty deed, the implied promise: “If there is a defect, I promise to take care of the problem” is referred to as:

Answer 1

A Covenant of Further Assurance

Question 2

Which type of loan gives the best option of paying two mortgages until their current home sells?

Answer 2

Bridge loan

Question 3

Mill rate of .017?

Answer 3

17

Question 4

A point of beginning refers to:

Answer 4

A description starting at a designated place on a parcel using the Metes and Bound System

Question 5

When should security deposit be refunded?

Answer 5

Within 21 days of vacating the property

Question 6

Lillian is buying Julia’s home in Malibu. Julia. after selling her home to Lillian, is buying Anna Marie’s condo in San Francisco In those transactions, who is tho grantor and who is tho grantee?

Answer 6

Lillian is the grantee and Julia is the grantor. Julia is the grantee and Anna Marie is the grantor.

Question 7

In early common law, transfers of land were only made when?

Answer 7

From father to son upon fathers death

Question 8

Jack is leasing from Justin for a year. He decides to lease until he gets a feel for the area and decides where he wants to buy. Who has reversionary rights and who has possessory rights?

Answer 8

Jack = possessory
Justin = reversionary

Question 9

Is a lease contract valid without the tenants signature?

Answer 9

The lesses occupation of the property is proof the lease agreement was accepted.

Question 10

Federal and state fair housing laws

Answer 10

FHA prohibits a broad range of practices that discriminate on the basis of: color,disability, familial status, national origin, race,religion, or sex.

Question 11

What is ostensible agency?

Answer 11

An implied agency which exist where one either intentionally or from want of ordinance care induces another to believe that a third person is his agent though he never in fact employed him.

Question 12

Define universal agent

Answer 12

An agent that has been given FULL POWER to act on behalf of a person or business.

Question 13

Define General agent

Answer 13

An agent authorized by the principle to perform acts associated with the continued operations of a particular job or a certain business if the principle.

Question 14

Define special agent

Answer 14

Is an agent authorized by the principal to handle I my one specific business transaction or o perform only a specific act.

Question 15

What is the Sherman Anti-trust Act?

Answer 15

The prevailing economic theory supporting antitrust laws in the US stating that the public is best served by free competition in trade and industry. (AKA: division of markets = illegal)

Question 16

What are the order of payments in foreclosure?

Answer 16

Cost of sale

Special assessment taxes and general taxes

First mortgage (determined by order of recording)

And whatever is left

Question 17

Low risk loan

Answer 17

25% of low as down payment

Question 18

Threshold reporting: how often must the reports be made & what are the requirement a for making these reports?

Answer 18

annuals and quarterly process

If a broker negotiates more than 1,000,000.00 In loan annually he must take part in threshold reporting.

Question 19

Is a broker allowed to accept lender funds unless the broker owns the loan? Which requirement under the California Business and Professions Code addresses the question?

Answer 19

No it is not permissible for a broker to accept those funds. The requirement is outlined in article 5.

Question 20

What are the goals of a Real Estate appraiser

Answer 20

Market value
Insurance value
Tax value

Question 21

List in order the appraisal process.

Answer 21

State the problem

Gather record & verify the necessary data.

Analyze and interpret

Neighborhood analysis

Neighborhood cycle

Site analysis

Question 22

Section 205

Answer 22

Tax exemption military veterans

Question 23

Mello-Roos community facilities of 1982

Answer 23

Formed to finance major improvements and services within the district with which might include schools roads libraries police & fire protection services ambulance services

Question 24

This step of the general plan sometimes known as MasterPlan should encompass all aspects of the projected growth including the social economic and the physical features. Due to this step, while considered long-range, the plan must allow short range flexibility. Which step is described?

Answer 24

Formulation of community goals.

Question 25

Exemption from the natural hazard disclosure

Answer 25

The geological hazard

Question 26

Counter offers

Answer 26

Once a counter offer is made by seller the buyer’s original offer becomes invalid of the buyers accept the offer the seller has made, the same process takes place as with the regular offer.

Question 27

Which form of payment is most common for a property manager

Answer 27

A percentage of income

Question 28

Defined asthetic zoning

Answer 28

Specifies the architectural style must be compatible

Question 29

Define directive zoning

Answer 29

Define to encourage the highest and best use of the land

Question 30

Incentive zoning

Answer 30

Encourages developers to meet physical, social and cultural benefits.

Question 31

What is the major difference between an estate for years and an estate from period to period?

Answer 31

The major difference is in an estate from period to period the tenant must give notice to vacate where as in estate for years, there is no need to give any notice.

Question 32

When is it permissible for your broker to process an out-of-state trust account?

Answer 32

It is only permitted if the FDIC insures the account, and the account is used only for specific first loans.

Question 33

Mobile homes manufactured _____ are required to have tax guaranteeing proper construction. Who issues this tag?

Answer 33

After June 15, 1956

HUD