Question 1

A real estate broker's implied authority is that authority given to the broker in the listing agreement by the owner of the property.

Accepted Answer

A) True 
 B)False  False

Question 2

Seller offers to sell their home to a purchaser for $70,000.00. The purchaser responds that they will buy the home for $60,000.00. The seller refuses the purchaser's offer to buy for $60,000.00. After that refusal, the purchaser then offers to buy the home for $70,000.00. At this time, the legal relationship of the parties is:

Accepted Answer

A)  there is a contract to purchase the home for $70,000.00 
B)  there is an offer to purchase the home for $70,000.00 
C)  none of the above 
D)  all of the above 
A)  there is a contract to purchase the home for $70,000.00 
B)  there is an offer to purchase the home for $70,000.00 
C)  none of the above 
D)  all of the above B

Question 3

An agreement under contract which provides that in an event of default, the purchaser is entitled to $10,000.00 from the seller is known as a:

Accepted Answer

A)  rescission provision 
B)  "time is of the essence" provision 
C)  specific performance provision 
D)  liquidated damage provision 
A)  rescission provision 
B)  "time is of the essence" provision 
C)  specific performance provision 
D)  liquidated damage provision D

Question 4

Most states do not recognize the validity of the electronic signatures of notaries.

Accepted Answer

A) True 
 B)False

Question 5

The law of a state where the contract is signed generally controls enforcement of a real estate contract.

Accepted Answer

A) True 
 B)False

Question 6

A short sale is a real estate sale that must take place quickly.

Accepted Answer

A) True 
 B)False

Question 7

The remedy for breach of a real estate contract which requires that the defaulting party perform their obligations under the contract is known as:

Accepted Answer

A)  liquidated damages 
B)  specific performance 
C)  rescission 
D)  time is of the essence 
A)  liquidated damages 
B)  specific performance 
C)  rescission 
D)  time is of the essence

Question 8

Liquidated damage provisions contained in contracts are always enforceable.

Accepted Answer

A) True 
 B)False

Question 9

Which of the following is not a requirement for a valid contract?

Accepted Answer

A)  mutual agreement 
B)  signatures of the parties 
C)  lawful purpose 
D)  consideration 
A)  mutual agreement 
B)  signatures of the parties 
C)  lawful purpose 
D)  consideration

Question 10

Most states recognize the validity of the electronic signature of:

Accepted Answer

A)  the seller of a contract 
B)  the purchasers of a contract 
C)  the notary public 
D)  all of the above 
A)  the seller of a contract 
B)  the purchasers of a contract 
C)  the notary public 
D)  all of the above

Question 11

A real estate broker may be able to place a lien against an owner's property to secure unpaid real estate commissions.

Accepted Answer

A) True 
 B)False

Question 12

Seller enters into a contract with purchaser to sell real property for $100,000.00. Purchaser defaults on the contract, and at the time of default the fair market value of the property is $90,000.00. Seller shall be entitled to recover from purchaser the following money damages:

Accepted Answer

A)  0 
B)  $100,000.00 
C)  $10,000.00 
D)  $90,000.00 
A)  0 
B)  $100,000.00 
C)  $10,000.00 
D)  $90,000.00

Question 13

An executor has limited power to buy and sell real property on behalf of the estate.

Accepted Answer

A) True 
 B)False

Question 14

An agreement whereby an owner of real property hires a real estate broker to help sell the property is known as:

Accepted Answer

A)  power of attorney 
B)  rescission agreement 
C)  listing agreement 
D)  mutual agreement 
A)  power of attorney 
B)  rescission agreement 
C)  listing agreement 
D)  mutual agreement

Question 15

It is not necessary for a contract to state consideration flowing from one party to another.

Accepted Answer

A) True 
 B)False

Question 16

Title that a prudent purchaser with full knowledge of all the facts would accept is known as marketable title.

Accepted Answer

A) True 
 B)False

Question 17

A minor's contract is voidable at the election of the minor.

Accepted Answer

A) True 
 B)False

Question 18

An executor always has the power to buy and sell real property on behalf of an estate.

Accepted Answer

A) True 
 B)False

Question 19

A real estate broker can only have express authority.

Accepted Answer

A) True 
 B)False

Question 20

The measure of monetary damages for breach of a real estate contract is computed as follows:

Accepted Answer

A)  the equivalent to the purchase or sale price 
B)  the difference between fair market value of the property and contract price at time of default 
C)  the difference between fair market value of the property and contract price at time of lawsuit 
D)  reimbursement for any expenses incurred by the injured party 
A)  the equivalent to the purchase or sale price 
B)  the difference between fair market value of the property and contract price at time of default 
C)  the difference between fair market value of the property and contract price at time of lawsuit 
D)  reimbursement for any expenses incurred by the injured party

A real estate broker's implied authority is that authority given to the broker in the listing agreement by the owner of the property.

An agreement under contract which provides that in an event of default, the purchaser is entitled to $10,000.00 from the seller is known as a:

Most states do not recognize the validity of the electronic signatures of notaries.

The law of a state where the contract is signed generally controls enforcement of a real estate contract.

A short sale is a real estate sale that must take place quickly.

The remedy for breach of a real estate contract which requires that the defaulting party perform their obligations under the contract is known as:

Liquidated damage provisions contained in contracts are always enforceable.

Which of the following is not a requirement for a valid contract?

Most states recognize the validity of the electronic signature of:

A real estate broker may be able to place a lien against an owner's property to secure unpaid real estate commissions.

Seller enters into a contract with purchaser to sell real property for $100,000.00. Purchaser defaults on the contract, and at the time of default the fair market value of the property is $90,000.00. Seller shall be entitled to recover from purchaser the following money damages:

An executor has limited power to buy and sell real property on behalf of the estate.

An agreement whereby an owner of real property hires a real estate broker to help sell the property is known as:

It is not necessary for a contract to state consideration flowing from one party to another.

Title that a prudent purchaser with full knowledge of all the facts would accept is known as marketable title.

A minor's contract is voidable at the election of the minor.

An executor always has the power to buy and sell real property on behalf of an estate.

A real estate broker can only have express authority.

The measure of monetary damages for breach of a real estate contract is computed as follows:

Introduction to the Law of Real Property

Concurrent Ownership

Surveys and Land Descriptions 1

Encumbrances Easements and Licenses

Deeds

Legal Aspects of Real Estate Finance

Title Examinations

Title Insurance

Real Estate Closings

Condominiums and Cooperatives

Leases

Filters

Exam 5: Contracts

A real estate broker's implied authority is that authority given to the broker in the listing agreement by the owner of the property.

An agreement under contract which provides that in an event of default, the purchaser is entitled to $10,000.00 from the seller is known as a:

Most states do not recognize the validity of the electronic signatures of notaries.

The law of a state where the contract is signed generally controls enforcement of a real estate contract.

A short sale is a real estate sale that must take place quickly.

The remedy for breach of a real estate contract which requires that the defaulting party perform their obligations under the contract is known as:

Liquidated damage provisions contained in contracts are always enforceable.

Which of the following is not a requirement for a valid contract?

Most states recognize the validity of the electronic signature of:

A real estate broker may be able to place a lien against an owner's property to secure unpaid real estate commissions.

Seller enters into a contract with purchaser to sell real property for $100,000.00. Purchaser defaults on the contract, and at the time of default the fair market value of the property is $90,000.00. Seller shall be entitled to recover from purchaser the following money damages:

An executor has limited power to buy and sell real property on behalf of the estate.

An agreement whereby an owner of real property hires a real estate broker to help sell the property is known as:

It is not necessary for a contract to state consideration flowing from one party to another.

Title that a prudent purchaser with full knowledge of all the facts would accept is known as marketable title.

A minor's contract is voidable at the election of the minor.

An executor always has the power to buy and sell real property on behalf of an estate.

A real estate broker can only have express authority.

The measure of monetary damages for breach of a real estate contract is computed as follows:

Introduction to the Law of Real Property

Concurrent Ownership

Surveys and Land Descriptions 1

Encumbrances Easements and Licenses

Deeds

Legal Aspects of Real Estate Finance

Title Examinations

Title Insurance

Real Estate Closings

Condominiums and Cooperatives

Leases

Filters