Real Estate Agent License Exam

Question 1

Tenancy by the entirety is

Accepted Answer

Ownership that's available only to married couples, tenancy by the entirety means that property may not be sold without the agreement of both parties.

Answer

Tenancy by the entirety is a special form of co-ownership exclusively available to married couples in some states. It is characterized by the right of survivorship, meaning the surviving spouse automatically inherits the deceased spouse's interest. Crucially, neither spouse can sell, mortgage, or otherwise encumber their interest in the property without the consent and signature of the other spouse, providing strong protection against unilateral actions.

Question 2

Exclusive agency listing is when

Accepted Answer

agents get paid only if they sell the property. No fee is earned if the owner alone sells the property.

Answer

An exclusive agency listing agreement grants one broker the exclusive right to sell the property, and they earn a commission if they or any other broker finds a buyer. However, a key characteristic is that the seller retains the right to sell the property themselves without owing any commission to the listing broker. This differs from an exclusive right-to-sell listing, where the broker earns a commission regardless of who sells the property.

Question 3

You are trying to price a property. Five years ago it was sold for $145,000, but property value in this particular neighborhood have decreased by an average of 5 percent since then. What is the rough value of this property?

Accepted Answer

$137,750

Answer

To find the current value, first calculate the amount of the decrease: $145,000 * 0.05 = $7,250. Then, subtract this decrease from the original value: $145,000 - $7,250 = $137,750. This calculation shows the property's value after a 5% depreciation.

Question 4

Which types of the following discrimination are prohibited by the Fair Housing Act of 1968? Please select all that apply

Accepted Answer

Number of Children

Answer

The Fair Housing Act of 1968, as amended, prohibits discrimination in housing based on several protected characteristics. These include race, color, religion, national origin, sex, familial status (which includes the number of children), and disability. Therefore, discrimination based on religion, national origin, and the number of children (familial status) is prohibited.

Question 5

A valid real estate contract must contain which of the following elements? Please select all that apply:

Accepted Answer

Competency

Answer

For a real estate contract to be legally valid and enforceable, it must contain several essential elements. These include competent parties (meaning they are of legal age and sound mind), a mutual agreement demonstrated by an offer and acceptance, and a legal object (the purpose of the contract must be legal, such as the sale of a property). While other factors like agent information or title company selection are relevant to a transaction, they are not fundamental requirements for the contract's validity itself.

Real Estate License Practice Test

Real Estate License Practice Test

Real Estate Agent License Exam