Real Estate Sales Exam Multiple Choice Questions 2

Question 1

A buyer's agent has a fiduciary duty to act in whose best interest?

Accepted Answer

The buyer

Answer

A buyer's agent owes fiduciary duties—including loyalty and confidentiality—exclusively to the buyer.

Question 2

Which clause in a purchase contract allows the buyer to cancel if they cannot obtain financing?

Accepted Answer

Mortgage contingency clause

Answer

A mortgage contingency clause lets the buyer void the contract and recover their earnest money if they fail to secure a loan.

Question 3

Under the Truth in Lending Act (TILA), the Annual Percentage Rate (APR) must be disclosed within how many business days of a loan application?

Accepted Answer

3 days

Answer

TILA requires lenders to provide the APR disclosure within 3 business days of receiving a completed loan application.

Question 4

A property sold for $320,000 and the commission rate is 5.5%. The listing broker and selling broker split the commission equally. How much does each broker receive?

Accepted Answer

$8,800

Answer

$320,000 × 5.5% = $17,600 total commission; split equally = $8,800 each.

Question 5

Which type of easement is attached to the land and transfers automatically with the property?

Accepted Answer

Easement appurtenant

Answer

An easement appurtenant runs with the land and automatically transfers to new owners when either parcel is sold.

Real Estate Sales Exam Practice Test

Real Estate Sales Exam Practice Test

Real Estate Sales Exam Multiple Choice Questions 2