TN Section Flashcards
1
Q
What do agents owe third parties?
A
honesty, fair dealings, reasonable care and skill, and proper disclosure
2
Q
What are the fiduciary duties agents have to clients?
A
skill, care, diligence, loyalty, obedience, confidentiality, accounting and full disclosure
3
Q
There is no agency without what?
A
written agreement
4
Q
If there is no written agreement, what is an agent?
A
facilitator
5
Q
Real estate agency is what type of agency?
A
limited
6
Q
What is a designated broker?
A
an agent appointed by the managing broker to be the designated and individual agent of a party
7
Q
managing brokers cannot be a ____ agent
A
designated agent - but can be a facilitator
8
Q
Opinion of the value of a property based on analyzing data collected about the property
A
market value
9
Q
Actual sales price
A
selling price
10
Q
Market value of a property is the ____ price a buyer is willing to pay and the ____ lowest price the seller will accept
A
highest, lowest
11
Q
Properties on the market and demand for property interact in a cycle to affect price and value
A
supply and demand
12
Q
future benefits expected over a holding period
A
anticipation
13
Q
buyer will pay no more for 1 property than for a comparable and available substitute
A
substitution
14
Q
change in market value of a property due to a particular improvement
A
contribution
15
Q
fluctuations in market conditions affect benefits
A
change
16
Q
must be legally permissible, physically possible, financially feasible, and maximally productive
A
highest and best use
17
Q
in form and to use surrounding properties produces max income and value
A
conformity
18
Q
Increase of value due to quality of adjacent properties
A
progression
19
Q
decrease of value due to quality of adjacent properties
A
regression
20
Q
combining properties to create a value greater than that of the single property
A
assemblage
21
Q
dividing a property to create a value greater than that of the single property
A
subdivision
22
Q
continuing to add improvements when those will have no effect on increasing the value of the property
A
diminishing return
23
Q
_____ approach is the most reliable for properties that were built recently
A
cost
24
Q
____ approach to estimate the property’s replacement or reproduction value
A
cost
25
____ approach to estimate the value of properties that produce income - using substitution principle
income
26
with the _______ approach the value is determined by comparing the property being appraised with recently sold comparable properties
sales comparison
27
____ approach is the most reliable method
sales comparison
28
What are the elements of a home's value?
location, property condition, improvements, supply and demand, financing trends
29
What are the steps in a CMA?
collect and analyze info about the property, choose comparable properties in the area, compare seller's property to the comparables and do some adjusting to comparable's value, estimate a reasonable and realistic selling price
30
What neighborhood data should be collected?
ownership makeup, vacancies and consistency, current land use, public services
31
What data on the property should be collected?
age and quality of construction, home size and basement, AC and energy efficiency
32
What are strong design features?
overall size, number of beds and baths, amount of closet space and kitchen workspace
33
What are weak design features?
no coat closet in front of house, not enough windows in living areas, kitchen too small for eat in area
34
Another property that has the same characteristics as the seller's property
comparable
35
What are properties that can be used as comparables?
ones that have sold within the last 3-6 months, pending sales, active listings, and listings that have expired
36
What info should a licensee include in a CMA regarding comparables?
market data - including listing and selling prices, financing terms of the sold transactions, and physical aspects of the properties
37
What are the key factors to look for in comparables?
location, physical characteristics, date of sale, financing terms, and sale condition
38
Adjustments are always made to the _______
comparable
39
If a comparable LACKS a feature that the seller's property has, ____ the value of the feature to the price of the comparable
ADD
40
The most reliable comparables are the ones with ________ adjustments
fewer and smaller
41
For active, pending or expired listings, how do you find price per square foot?
divide the listing price by total square feet
42
For sold listings, how do you find price per square foot?
divide the sales price by total square feet
43
What is farming?
prospecting in a selected area
44
What is a geographical farm?
neighborhood, subdivision or an area where the homes share some common characteristics like age of family type
45
what is a licensee exempt from advertising rules?
if it includes "owner/agent" or is the property is NOT listed
46
What are some contract essentials?
competent parties, mutual consent, valuable consideration, legal purpose, and voluntary good faith act
47
What must a contract be in writing to be enforceable?
$500+ sale of goods or the sale of real estate or lease for longer than 1 year
48
Void Contract
Is not valid
49
Voidable contract
when a party has a way to disaffirm it
50
In TN, who files civil actions against anyone who engages in the unauthorized practice of law?
TN AG's office
51
What should licensees use to avoid unauthorized practice of law?
standard forms
52
Exclusive Right to Sell
only the AGENT is authorized to sell; gets paid even if owner sells
53
Exclusive Agency
the agent is the only agent authorized to sell; agent gets paid if another agent sells but NOT if the owner sells
54
Open Listing
non-exclusive - anyone may sell and whoever procures the buyer gets paid
55
___ listings are forbidden in TN
net
56
Binds the principal to a compensation agreement in the event to the broker procures a property or buyer
Transaction Brokerage Agreement
57
Refers to verifying the accuracy of the statements in the listing regarding the property, the owner and the owner's representation
due diligence
58
A listing broker delegates _____ to affiliated brokers in normal business
marketing responsibilities
59
The 2 principal determinants of procuring cause are:
being the first to find the customer and being the now who induces the customer to complete the transaction
60
Is the client responsible for commission in an exclusive right to sell agency if the property sells during the term of the revoked listing?
Yes
61
Is the client responsible for commission in an exclusive agency if the property sells during the term of the revoked listing?
That are liable for at least the broker's costs and possibly commission
62
Is the client responsible for commission in an open agency if the client revokes the listing prior to performance?
no
63
In exclusive right to sell agency, the listing agent can
file the listing with the MLS within 3 days of signing
divide the commission and to cooperate with other licensees
share the final sales info with the MLS
64
In an exclusive buyer representation agreement, the client promises to
assist the broker by giving financial and personal info
pay broker a commission
let the agent contact sellers' agents
schedule showings
have the broker as they sole agent
65
Property condition disclosure must be delivered when?
prior to the acceptance of the purchase contract
66
Property condition disclosure is required if
the transfer has an option to buy
property consists of 1-4 dwelling units
transfer if not specifically exempt
67
The disclaimer statement is only permitted when?
if the purchaser explicitly waives the required disclosure
68
Which transfers are explicitly exempt from the disclaimer statement?
pursuant to court order
by a trustor who is in default to a beneficiary of a deed of trust
made solely between spouses
sold at public auction
69
Licensee must:
Inform owner and buyer of disclosure ___ and ___
Must inform buyer of known ___ facts
Not liable for ____ failure to disclose
Not required to disclose _____ facts
Liable for intentional ____, ___, failure to disclose _____
duties and rights
adverse
owner's
stigmatizing
misrepresentation, fraud, adverse facts
70
______ agreement, the buyers agree to purchase a property for a certain price and sellers agree to convey title to the buyers using a deed or an assignment of lease
purchase and sale
71
______ is an agreement for the purchase of a property in which the payment of all or part of the sale price is DEFERRED
contract for deed
72
______ agreement is a contract that TRANSFERS the right to exclusive possession and use of the property fora definite period of time
lease of rental
73
_____ is an agreement to keep open an offer to sell or lease property for some set period of time - creates only a RIGHT to the property
option
74
What are the contents of a sale contract?
ID of all parties
legal description
monetary issues
provisions including: closing, contingencies, property damage, prorations and remedies for default
75
Unless buyers are doing a full cash offer with no financing help, the purchase will almost be contingent on what?
financing
76
What should the agent take into consideration when setting a closing date?
how long it will take the buyer to get financing
77
What do the sellers provide at closing?
marketable title
78
The buyer has a number of days from the ______ date to contact the seller regarding any repairs that need to be made
Binding Agreement Date
79
If the ____ defaults, the ___ gets to keep the earnest money deposit and may sue for further damages
buyer, seller
80
If the ____ defaults, the ___ recovers the earnest money deposit and may sue for damages or performance
seller, buyer
81
If the property is damaged to an extend that does NOT exceed 10% of the purchase price, the ___ repairs it
seller
82
What happens iIf the property is damaged and it exceeds MORE than 10% of the purchase price?
either party may terminate the contract and the earnest money is refunded
83
The buyer can have a ___ done to determine if there are any zoning violations or encroachments
survey
84
Lenders charge fees when the borrower gets the loan
loan origination fee
85
1 point =
1% of the loan amount
86
Ratio of the mortgage principal to the value of the property the borrowers are purchasing
LTV ratio
87
What is a loan term?
number of years the borrower has to repay the loan
88
the longer the repayment period, the ___ the monthly payment will be
lower
89
the shorter the repayment period is, the ___ total interest the borrower will pay over the life of the loan
less
90
the loan amount or the principal is the ____ borrowed
amount
91
The loan amount remaining to be repaid ay any given time
loan balance or principal balance
92
Amount of principle and interest the borrower makes to the lender in each payment period
loan payment
93
With a ____ loan, the monthly payments are allocated only to interest and no principal is paid off
straight
94
With an ____ loan, a borrower makes periodic payment of principal PLUS interest
amortized
95
With a ______ loan, the borrower has the same payment amount ever month
fully amortized
96
___ loan has one large final payment due when the loan matures
Balloon
97
With a ____ loan, the monthly payments are not large enough to fully amortize the loan by the end of the term, leaving a large balloon payment due
partially amortized
98
Loan popular when interest rates for fixed rate loans are HIGH
adjustable rate loans
99
When 30-year fixed rates are in a reasonable range, ARMs _____ appeal to most borrowers
do NOT
100
What are the components of an ARM?
index
margin
calculated rate
initial rate
adjustment period
mortgage payment
adjustment period
interest rate caps
payment cap
negative amortization cap
conversion option
step rate or buy down
101
The lender making the primary loan will typically restrict the type of loan arrangements the borrower can make for the ____ loan
secondary
102
Which loan usually requires the borrower to make a down payment of 20%+, making the loan 80% or less of the property's sale price - typically uninsured
conventional
103
What loans are mortgage loans that conform to the guidelines established by Fannie Mae and Freddie Mac.
Conforming loans
104
With original conforming loans, the borrower was required to provide at least __% of the down payment from their own funds
5
105
Any loan that falls outside the documentation and underwriting standards set by Fannie Mae or Freddie Mac are considered to be _____ loans
nonconforming
106
___ loan exceeds the conforming loan limits set by Fannie Mae and Freddie Mac
Jumbo
107
____ loan - being kept in the lender's own portfolio of investments
portfolio loans
108
a borrower who wants a conventional loan with a down payment of less than 20% will usually have to unsure the loan through what?
a private mortgage insurance (PMI)
109
conforming loans allow the seller to make a cash contribution to the ____ closing costs
purchaser's
110
No _____ penalty is allowed on conforming loans
pre-payment
111
Conventional conforming loans are
non assumable
112
Establishes the borrower's capacity to pay by limiting the percent of gross income a borrower may spend on housing costs
income ratio
113
housing costs include
principal, interest, taxes, and homeowner's insurance (PITI)
114
Calculated based on all of the monthly obligations the borrower has, including those items or payments the borrower must make for other debts
borrower's debt ratio
115
What is the most popular FHA loan?
FHA203(b)
116
FHA loan that covers loans on 1-4 unit owner occupied dwellings
FHA203(b)
117
With FHA loans, what is the max loan term?
30 years or 75% of the remaining economic life of the property - whichever is less
118
With FHA loans, down payments are low or high?
low
119
With FHA loans, the MAX loan fee is _% of the loan amount and is typically paid by the ___
1%, buyer
120
With FHA loans, ____ is a percentage of the loan amount
mortgage insurance premium (MIP)
121
FHA loans are
assumable
122
FHA loan mortgaged real estate must be appraised by
FHA approved appraiser
123
With FHA loans, is there a max on what the purchase price of the property can be?
no
124
With FHA loans, the ___ must occupy the property
borrower
125
FHA ratios are _% for the housing ratio and _% for the total debt ratio
29/41
126
FHA ratios allow the seller to contribute up to _% of the sales price toward discount points and other closing costs
6
127
The _ loan amount allowed varies by geographic location based on 95% of median house prices for the area with a ceiling calculated asa percentage o the current conforming loan limits
Max
128
The _ offers loan guarantees to qualified veterans
Dept of Veteran Affairs (DVA)
129
A veteran must provide what to qualify for a DVA loan?
certificate of eligibility
130
DVA guaranteed amount of _% of the current Freddie Mac conforming loan limit for a single family home
35
131
What is the max DVA home loan term?
30 years and 32 days
132
The DVA does not require what?
a down payment
133
If there a loan max amount with DVA loans?
no
134
What can the lender and veteran borrower negotiate with DVA loans?
interest rate and discount points
135
With DVA loans, the loan origination fee cannot exceed _% of the loan amount
1
136
What type of payments are required with DVA loans?
monthly principal and interest payments
137
With DVA loans, is there a prepayment penalty?
no
138
With DVA loans, the ____ is a percentage of the loan amount charged for the privilege of obtaining a DVA loan
funding
139
What are advantages of conventional loans?
processing usually takes less time and fewer forms and there is usually no legal limit on loan amounts
140
Disadvantages of conventional loans?
require higher down payments and come carry prepayment penalties
141
What are benefits of seller financing?
can make a property more marketable, can help buyers who are unable to qualify for lender financing, and important tax benefits
142
Pledges to pay the seller the amount of the debt
promissory note signed by the buyer
143
What does the buyer agree to with seller financing?
give the seller a down payment and regular payments of principal and interest for some agreed-upon number of years
144
Reduces the monthly payment for the buyers during the initial years of the loan
buy down
145
Gives the tenants the right to purchase the property under specific conditions - usually a predetermined price and within a set period of time
lease option
146
What are the steps in the closing process?
secure financing, receive and deposit earnest money, order title/title insurance, order appraisal, buyer gets hazard insurance, home inspection, contingencies met, pest inspection ordered, results of inspection sent to seller with any requested repairs, repairs conducted, home re-inspected if needed, closing date set, buyer and seller notified of closing costs, final walk through, closing
147
RESPA applies to what purchases?
of residential property, involving 1st or 2nd mortgages, and financed by a federally-related loan
148
RESPA does NOT apply to ____ loans
seller financed
149
according to TRID rule, lenders must provide
Your Home Loan Toolkit booklet, loan estimate and closing disclosure
150
RESPA prohibits any payment or receiving what?
kickbacks
151
RESPA permits sharing ____ and the payment of referral fees amount cooperating brokers or MLS
commissions
152
List of Buyer's Credits
earnest money, loan amount (borrower or assured) and seller's share of prorated items the buyer will pay
153
List of Buyer's Debits
purchase price, expenses and buyer's share of prorated items prepaid by seller
154
List of Seller's Credits
purchase price and buyer's share of prorated items prepaid by seller
155
List of Seller's Debits
expenses, seller's share of prorated items the buyer will pay, loan balance or other liens to be paid off
156
Debit and credit items that are the responsibility of only one party
non-prorated items
157
If an expense is paid in advance by the seller
debit buyer and credit seller
158
If an income is received in advance by the seller
credit buyer and debit seller
159
Item the buyer pays in arrears
credit buyer and debit seller
160
If the seller paid the buyer's before closing, charge the _ for the _'s share of the period
buyer, buyer
161
If the seller has received the buyer's share before the closing, charge the _ for the _'s share of the period
seller, buyer
162
If the buyer will pay the seller's share after closing, charge the _ for the _'s share of the period
seller, seller's
163
12 month/30-day method calculates the amounts due based on what?
360-day year and 30-day month
164
Steps in the 12 month/360 day method
1. ID an items about the amount needing to be prorated
2. Divide by 12 to get the monthly rate
3. Divide by 30 to get the daily rate
4. Multiply the monthly rate by the number of months the seller owned the property before closing to get the monthly amount due - repeat for daily amount
5. Add the 2 amounts to get the prorated amount for the seller
6. Subtract the seller's prorated amount from the starting amount to get the buyer's; prorated amount
165
After all the closing docs have been signed, the settlement agent arranges for the recording of the _ deed and security instrument
grant
166
What does the settlement agent do after recording?
disburse funds, pay off ant amounts due, and arrange for a title insurance policy to be issued to the purchaser
167
The title to the property has transferred when the ____ and ____ by the buyer
delivered and accepted
168
All real estate sales must be reported to the ___ and be reported on what form?
IRS, Form-1099
169
The servicing entity must:
notify the borrower of the mailing address to send payment, restate the terms and conditions of the loan, and verify the amount of the payment to include PITI and mortgage insurance
170
Mortgage loans are fully ___ and may be sold many times over the life of the loan
negotiable
171
Most lenders require the borrower to include __ of the annual taxes and insurance as part of the monthly mortgage payments
1/12th
172
__ funds must be analyzed periodically to be sure that adequate funds will be available at the time they are due
escrow or impound
173
Each January, the servicing lender must provide a ___ to the borrower to include their federal income tax return
Form 1098
174
What must he loan servicer provide the borrower when the property is sold?
exact amount owed for principal and interest, any outstanding late payments, and any penalty fees for prior late payments
175
When another lender buys a mortgage loan
assignment
176
Prohibits discrimination in housing based on race
Civil Rights Act of 1866
177
Contains Title VIII, Fair Housing Act, prohibits discrimination in housing based on protected class status
Civil Rights Act of 1968
178
Prohibits discrimination in housing based on sex, handicap, family status
Fair Housing Amendments Act of 1988
179
Channeling customers toward or away from homes or neighborhoods
steering
180
using fear of ethnic change to induce owners to sell
blockbusting
181
denying the right to belong to a MLS
restricting MLS participation
182
reusing to make loans in a certain neighborhood
redlining
183
Prohibits racial discrimination in any real estate transaction
Jones v Mayer
184
Brokers are required to display ____ poster
equal housing opportunity
185
Examples of potential client discrimination
refusing a full-price offer from a party, removing the property from the market to sidestep a potential purchase by a party, accepting an offer that is lower than one from another party
186
A party can file a complaint with ___ and a suit in federal or state court within _ years of the alleged violation
HUD, 2
187
Lenders may not discriminate on the basis of a protected class status
equal credit opportunity act
188
Designed to prohibit redlining - enforced by requiring lenders to report to authorities where they have placed their loans
Home Mortgage Disclosure Act
189
Federal Fair Housing Act does NOT prohibit discrimination based on _ status
marital
190
What is the additional protected class for employment and public accommodations in TN?
creed
191
Owner occupants of ____ unit dwellings are exempt in TN vs the ___ unit dwellings for federal law
1-2, 1-4
192
Regarding housing, _ is not a protected class
age
193
Steps for handling a fair housing violation in TN
1. complaint filed with the HR commission within 180 days
2. alleged violator notified of complaint within 10 days of filing
3. HR commission begins investigation within 30 days
4. If violation is found, commission attempts to end the practice, asks court to intervene, and may issue an order to cease and desists
5. HR commission may assess fine
194
What Act makes it illegal to try to restrain trade or to form a monopoly
Sherman Antitrust Act
195
List of illegal categories of anticompetitive restraint of trade
horizontal and vertical price fixing, bid rigging, market division, group boycott, tying arrangement
196
It is illegal to licensees to
lessen full and free competition in the sale of properties and to enter into price fixing agreements
197
Who enforces antitrust laws?
federal trade commission, AG of the US, State AG, private parties
198
What are the penalties for violation of antirust laws?
$350,000 for individuals, $10 million for corporations and a jail term of up to 3 years
199
Chance of experiencing a loss
risk
200
_ is the size of chance
probability
201
_ is the size of the loss
exposure
202
4 strategies for managing risk
1. avoidance
2. reduction
3. transference
4. retention
203
refraining from taking an action that carries risk
avoidance
204
mitigating the risk or getting someone to share it
reduction
205
inducing someone else to take the risk
transference
206
accepting the risk and budgeting for the possible loss
retention
207
3 risk management procedures
1. Disclosure
2. Documentation
3. Insurance
4. Education
208
Deflects and reduces risk by giving people info they need and are entitled to - when other parties know the facts, they cannot cry foul later
Disclosure
209
Reduces risk by providing evidence of your actions, in case malpractice is alleged
documentation
210
partially transfers risk to an insurer by reducing potential financial damage and legal responsibility for certain actions
insurance
211
uses info about laws and procedures to anticipate and avoid risky situations
education
212
What terms can you NOT use in a CMA?
appraisal and value
213
Civil statute that carries no criminal penalties - prohibits mergers or acquisitions that are likely to lessen competition
Clayton Act
214
Prohibits unfair methods of competition in interstate commerce, but it carries no criminal penalties
Federal Trade Commission
215
Causes for license expiration
1. failure to maintain E&O insurance
2. failure to satisfy education requirements
3. failure to follow renewal procedures
216
Transaction progress reports should be
in writing and accurate, faxed/emailed so that receipt is recorded, and totally devoid of speculation
217
what is a major cause of transaction all through?
failure to qualify buyers
218
_ appraised value requires the buyer to make a larger down payment or a seller to take less for the property
lower
219
_ appraised value does not generally mean that the seller gets more for the property
greater
220
_ committee's role is to make a decision as to whether they should dismiss or forward the complaint for a professional standards or to an arbitration hearing
grievance committee
221
What is the most difficult part of making an ethical decision?
there is seldom a clear cut answer
222
What are the guidelines when faced with an ethical decision?
determine exact nature of the problem and parties involved, concentrate on the pertinent facts, specify who stands to gain and who to lose by the decision
223
specialty that deals with the leasing, managing, marketing and maintenance of property belonging to others
property management
224
Class A
newer, more desirable buildings
225
Class B
older, but very well maintained buildings
226
Class C
older, but not as desirable as Class B
227
Class D
least desirable - lowest rents and poor location
228
PM goals
income, investment security, depreciation, capital gains, appreciation, pride of ownership, utility
229
What are the components of a management plan?
owner's needs and goals, market analysis, property analysis, operating budgeting, 5 year forecasting, income expense analysis
230
List of management policies?
securest deposits, pets, period of lease, qualification requirements
231
PMs have a dual responsibility to the _ and _
owner and tenants
232
Should be set in accordance with other vacant units currently on the market, as opposed to setting the rates with other already rented units
rental rates
233
What is a PM's most important function?
max the ROI for the owner
234
Vacancy rate causes
rental rates too high, poor management rep, poor building image
235
what are 2 records that PM should maintain
monthly account statement and detailed annual statement
236
Estate for years lease
for a fixed term of any specified length of time
237
Periodic tenancy lease
automatically renews itself periodically
238
Gross Lease
the tenant pays only rent, no utilities or other expenses
239
Net Lease
tenant pays flat amount pf rent each month plus taxes, maintenance, and other expenses
240
Percentage Lease
tenant pays a base rent plus a percent of sales volumes generated on the premises
241
Transfer of a tenant's remaining rental rights in a property to a third party
assignment
242
partial transfer of a tenant's right in a rental property to a third party
sublease
243
Gives a tenant a financial incentive to come into or stay in a building
concession
244
List of exemptions to the TN Landlord and Tenant Act
transient occupancies, condo and coops, occupancy in a residence that is under contract for deed, rental agreements before July 1, 1975
245
2 situations that cause abandonment
1. 30 days of absence and failure to pay rent on time
| 2. 15 days late in paying rent and appears to be absence
246
What can a tenant do if the landlord fails to provide essential services?
deduct cost from rent, recover damages, procure substitute housing and not pay rent until fixed, recover cost of substitute housing
247
How many days does the tenant have before late fees begin?
5 days
248
What acts can someone perform without a license?
answer and forward calls, give info on the listing agreement as limited by the broker, assemble closing docs, have keys made for company listings
249
All licenses expire _ years from the date the license was issued or renewed
2
250
All required docs and fees must be received by TREC no later than _ days before the expiration date
60
251
A license which has not been renewed before expiration must be
reinstated
252
Within _ days of the expiration date, an expired license may be reinstated without examination if the licensee provides proof of compliance and pays a penalty fee
60
253
What has to happen if a license is not renewed 60 days - 1 year
signed consent order, penalty of no more than $50, additional penalty of $150 per month for over 120 days but less than 1 year plus attendance at a commission meeting
254
Licenses expired for more than _ year, the licensee must reapply and meet educational requirements
1
255
New Expired License reinstatement policy
allows avoidance of late penalties with a medical excuse; establishes penalties ranging from $50/month up to $1500; must reapply as a new licensee after one year
256
New Lapsed E&O Insurance Policy
all licenses must maintain insurance; principal broker can be fined $1000/affiliate for failure
257
New License Exam Application
no one can apply to take exam within 2 years of a conviction for a felony or misdemeanor involving theft
258
New Septic System Inspection Letter
licensee must inform buyer that they may obtain a septic system inspection letter from the state Department of Environmental and Conservation
259
New Requirement for Courses
it is no longer enough to have a college degree with a major in real estate of a law degree to meet pre-license education requirements; must have at least 1 30-hour course in principles, plus contracts and agency for the law degree holder
260
TN law requires brokers to maintain a separate __ account for the purpose of holding funds they receive
escrow
261
What are two unacceptable forms of payment for deposit or earnest money
postdated check and non-cash item
262
Broker must maintain accurate escrow account records for at least _ years
3
263
Commingling
mixing escrow with non-escrow funds
264
Conversion
using escrow funds for the wrong purposes
