oct 26 2nd test

Get a hint
Maxine is purchasing a small craft shop, including the underlying real estate. She applies for a commercial loan from her federally insured bank to complete the purchase. Is Maxine's transaction covered by the Real Estate Settlement Procedures Act?
Click the card to flip 👆
1 / 33
1 / 33
Terms in this set (33)
Maxine is purchasing a small craft shop, including the underlying real estate. She applies for a commercial loan from her federally insured bank to complete the purchase. Is Maxine's transaction covered by the Real Estate Settlement Procedures Act?
No; commercial and business loans are exempt from RESPA requirements.
While Martha's paying off her loan, her lender is holding on to something that includes her name, property address, the interest rate on her loan, what the late charge amount would be, and the amount and term of the loan. When her loan is paid off, the lender returns it to Mary, marked paid in full. What is this item?
A promissory note
Joanie sees herself as a mover and shaker, a leader, someone who jumps in and gets things done. She likes to be involved and in charge. When she decides to start investing in real estate, which of these choices is she most likely to select as her investment vehicle?
A multi-family residential income property
Jerry is purchasing a condo in a Mello-Roos district. As his agent, where can you advise him to look for information about Mello-Roos taxes assessed on the property?
In the NHD
What does the Federal Trade Commission consider to be an unfair ad?
Any ad or business practice that causes or is likely to cause injury
When Stacy's clients ask her if she can recommend a mortgage broker, she promptly gives them the name of the best mortgage broker she knows, Gary Jones. Later, she always receives a check from Gary as payment for the referral. Is this legal or illegal under the Real Estate Settlement Procedures Act?
This is illegal under RESPA because it's considered a kickback between settlement service providers.
Your client, a builder, is considering buying three adjacent lots. They each have the same depth: 275 feet. Lot A is 35,750 s.f., Lot B 53,900 s.f., and Lot C is 33,000 s.f. If your client buys all three lots, what total street frontage will he have?
The total street frontage is 446 feet. Add up the square footage of the three lots and divide by the lot depth (275) to get the total street frontage. (35,750 + 53,900 + 33,000) ÷ 275 = 446
Jenner purchased his first home, to which he'll have access forever, as far as he knows. Jenner owns ______.
A freehold estate.A freehold estate implies ownership for an unlimited amount of time—the "free" refers to the ownership agreement being free of an end date.
Charles is selling his property to Seth. Charles is financing part of the transaction for Seth, who will make payments to Charles while Charles retains the property title. What is this an example of?
A land contract
In which of the following types of contracts does one or more of the contract's terms still need to be completed?
Executory contract
Which economic principle pertains to how a change in a property affects its value as a whole?
Contribution
If you fail to pay the cost of an audit within 60 days of the commission mailing you a notice of billing, which of the following actions would be outside of the commission's power?
Issue an arrest warrant.
What are the effects on a property if it includes an encumbrance?
It restricts the owner's use or decreases the value.
You're on a planning board that's discussing how to keep the city more livable by reducing building density. The subject of bulk zoning comes up. What is your response?
"That's a great way to meet our objectives."
When Tara is working with a client to sell his mountain cabin, she asks the client to complete the Seller Property Questionnaire and the TDS. The seller says, "But we haven't received any offers yet." What can Tara tell him about the timing required for providing the TDS?
The TDS should be submitted as soon as is practicable.