Download BRANDNEW!!! TEXAS REAL ESTATE BROKERAGE SAE FINAL &PRACTICE EXAM/REAL 450+Qs&As| GRADED A+ and more Exams Real Estate Management in PDF only on Docsity!
BRANDNEW!!!
TEXAS REAL ESTATE BROKERAGE SAE
FINAL &PRACTICE EXAM/REAL 450+Qs&As| GRADED
A+|NEW 2025- 2026
- The 3% category of entrepreneurs earns 10x as much as the other 97% of the entrepreneurs. - ANSWER : • The 3% category of entrepreneurs earn 10x as much as the other 97% of the entrepreneurs. 6 months to 2 years' worth - ANSWER : How much cash reserves do industry experts recommend new brokerages have available for operating expenses? A sales agent shall not maintain a trust account. Any trust money received by a sales agent must be immediately delivered to the sales agent's sponsoring broker. - ANSWER: A sales agent shall not maintain a trust account. Any trust money received by a sales agent must be immediately delivered to the sales agent's sponsoring broker. A state law that applies to unfair competition - ANSWER: A state law that applies to unfair competition is the Texas Free Enterprise and Antitrust Act, which is enforced by the Texas Attorney General.
ABR Accredited Buyer's Representative - ANSWER: Accredited Buyer's Representative (ABR) Designation Show your buyers that you are an expert in the field with the designation that is solely dedicated to the buyer's representative. According to the Harvard Business School, 3% of entrepreneurs have handwritten goals, 13% have goals, but do not write them down. 84% have not ventured into the realm of goals.
- ANSWER: According to the Harvard Business School, 3% of entrepreneurs have handwritten goals, 13% have goals, but do not write them down. 84% have not ventured into the realm of goals. According to the U.S. Census Bureau , the largest age demographic in the country is those over years of age. This demographic, by and large, will continue to have significant influence in all industries and markets. That said, those in the Millennial Generation are poised to take over as the leaders ofindustry. - ANSWER: 65 action plan - ANSWER : The written action plan will outline the steps, approaches and resources that will be used to fulfill the objectives. AGENCY AND REPRESENTATION - ANSWER: AGENCY AND
AMERICANS WITH DISABILITIES ACT
The ADA - ANSWER : Because violation of the law is considered a civil offense, there are no criminal penalties for violations of fair housing laws. AMERICANS WITH DISABILITIES ACT The ADA - ANSWER : REQUIREMENTS FOR NEW BUILDINGS In buildings that are ready for first occupancy after March 13, 1991, and have an elevator and four or more units: Americans With Disabilities Act (ADA) - ANSWER : prohibits discrimination against those with disabilities by denying them the full and equal enjoyment of goods, facilities, accommodations, services and privileges. Analytics - ANSWER : Collect and track digital data from websites, apps and offline repositories Artificial Intelligence - ANSWER : intelligence exhibited by machines ARTIFICIAL INTELLIGENCE - ANSWER: The concept of artificial
intelligence (A.I.), at its most basic, is a way of describing intelligence exhibited by machines. Assignability: - ANSWER : Assignability: Neither party may assign this Listing without the written consent of the other party. assumed name - ANSWER : If the business is conducted under an assumed name, the business owners must file an assumed name certificate and obtain an employer identification number from the IRS. Augmented Reality - ANSWER : Enhances the user's current perception and experience of reality AUGMENTED REALITY - ANSWER : Like virtual reality, augmented reality (AR) provides a modified view of reality for the user. BENEFITS OF BUYER-AGENCY RELATIONSHIPS - ANSWER: The benefits of buyer representation include:
- Access to market data. • Investment analysis. •Assistance in "culling" unsuitable properties • Assistance in obtaining financing. • Assistance with negotiations. • Assistance in preparing offers and negotiating strategies • Assistance with surveys, inspections, repairs.
Budget - ANSWER: According to the text, the three main categories that should be addressed during the planning phase are: operational planning, , and time planning Business plan - ANSWER: Business plan - the major determinants of the real estate industry BUYER REPRESENTATION AGREEMENTS - ANSWER: Elements of a buyer representation file should include the following:
- General characteristics of the property search (market area)
- Buyer's and broker's obligations
- Term of the agreement
- Broker's duties to clients and customers
- Compensation agreement
- Consent for broker to represent other buyers
- Fair-Housing language
- Signatures of the parties
- Intermediary consent BUYER REPRESENTATION AGREEMENTS - ANSWER: The agreement that buyers sign allowing a broker to represent them is called a Buyer/Tenant Representation Agreement. Like the listing agreement with a seller, this should be
in writing CAN SPAM ACT OF 2003 The Can Spam Act (Public Law No. 108-187) - ANSWER: CAN SPAM ACT OF 2003 The Can Spam Act (Public Law No. 108-187) of 2003 is a commonly used name for the Federal law more formally known as the "Controlling the Assault of Non-Solicited Pornography and Marketing Act of 2003." The law took effect on January 1, 2004. CBA - ANSWER: certified business appraiser CHMS Certified Home Marketing Specialist Designation - ANSWER: Certified Home Marketing Specialist (CHMS) Designation Help your clients prepare their homes for sale with this designation dedicated to marketing dialogue and staging technique. Commissions - ANSWER: All commissions are negotiable between the broker and his or her client, and are not set by any Board of REALTORS® or between competitors, or by TREC.
Conduct for real estate license holders - ANSWER: The Texas Real Estate Commission has included the Canons of Professional Ethics and Conduct for real estate license holders in the Rules of the Commission. CONSUMER INFORMATION - ANSWER: CONSUMER INFORMATION Each real estate inspector or active real estate broker licensed by the Texas Real Estate Commission shall display Consumer Protection Notice CN 1-2 in a prominent location in each place of business the broker maintains. CONSUMER INFORMATION - ANSWER: Consumer Protection Notice, labeled "Texas Real Estate Commission Consumer Protection Notice on your business website homepage, in a readily noticeable place in at least 10 - point font. corporate officers - ANSWER: Officers who are responsible for the overall management of business operations corporation - ANSWER: The corporation is responsible for its debts and torts, not the shareholders. The individual assets of the shareholders may not be used to satisfy the judgment of a creditor
CoStar - ANSWER: Commercial real estate website similar to a residential MLS DAMAGES - ANSWER: DAMAGES When a real estate license holder is sued, it tends to be due to an action under the DTPA. A lawsuit brought about under DTPA has the potential for treble damages if the trier of fact, whether judge or jury, believes that the agent knowingly or intentionally meant to deceive the consumer. DBA - ANSWER: DBAs must be registered in the county in which the business is located as well as the state DBA - ANSWER: Doing Business As DECEPTIVE TRADE PRACTICES AND CONSUMER PROTECTION - ANSWER: DECEPTIVE TRADE PRACTICES AND CONSUMER PROTECTION The Deceptive Trade Practices Act (DTPA) is a Texas law that was passed in 1973. It allows an aggrieved consumer to sue a seller of goods for damages. DECEPTIVE TRADE PRACTICES AND CONSUMER PROTECTION DTPA
Services — means work, labor, or repair of goods. Brokerage is a service.
Consumer — an individual, corporation, partnership, or government source who seeks to acquire or purchase the goods or services. DEFENSES - ANSWER: DEFENSES The State of Texas requires that most sellers of residential property provide a Seller's Disclosure of Condition of Property to a potential buyer. DISCLOSURE OF RELATIONSHIP WITH RESIDENTIAL SERVICE COMPANY - ANSWER: DISCLOSURE OF RELATIONSHIP WITH RESIDENTIAL SERVICE COMPANY Many brokerages have relationships with Residential Service Companies. TREC Form RSC- 2 should be used in any instance where your brokerage has a relationship with such acompany, to meet disclosure requirements and avoid creating liability. Residential Service Companies are commonly referred to as home warranty companies. Buyers DISCLOSURE OF REPRESENTATION - ANSWER: DISCLOSURE OF REPRESENTATION At the first contact with a party to a potential transaction, a license holder must
disclose to that party whom he or she represents. Disruption of business, in the conventional sense, has been perceived to be a negative occurrence, often resulting in lost sales and profits. - ANSWER: "disruption". DO-NOT-CALL IMPLEMENTATION ACT OF 2003 - ANSWER: DO- NOT- CALL IMPLEMENTATION ACT OF 2003 The United States Congress passed the Do Not Call Implementation Act (Public Law No. 108 - 10) in 2003 to protect consumers from unwanted phone calls from telemarketers. Do-Not-Call Improvement Act of 2007 - ANSWER: Telephone numbers placed on the National Do Not Call Registry will remain on it permanently due to the Do-Not-Call Improvement Act of 2007, which became law in February
Do-Not-Call Registry - ANSWER: Do-Not-Call Registry The registry is nationwide in scope, applies to all telemarketers (with the exception of certain nonprofit organizations), and covers both interstate and intrastate telemarketing calls.
due diligence - ANSWER: Due diligence is an absolute necessity. The more potential business owners can learn about an existing business, the more they will be positioned to make informed decisions. during periods of declining economic activity or rising interest rates, the amount of work for brokers and agents will - ANSWER: slow and employment may decline. ELEMENTS OF A LISTING AGREEMENT - ANSWER: • Agency relationships
- Brokerage fees
- Property condition
- Relationships with buyers
- Market value of the property being listed
- Local market conditions Entire Agreement - ANSWER: Entire Agreement: This Listing is the entire agreement of the parties and may not be changed except by written agreement. Errors and Omissions insurance - ANSWER: Errors and Omissions insurance - contract between an insurance company and the broker
EXCLUSIVE AGENCY - ANSWER: EXCLUSIVE AGENCY
In an exclusive agency listing, the seller agrees to list the property with only one broker during the listing term, with the provision that the seller can sell the property himself or herself, without payment of a commission. EXCLUSIVE AGENCY - ANSWER: Exclusive agency agreements are often used with builders who list their properties with a broker, primarily to expose their properties through the multiple listing service. EXCLUSIVE AGENCY - ANSWER: TAR® does not have an exclusive agency listing agreement in full, and such an agreement is not preferred by most brokers EXCLUSIVE RIGHT TO SELL - ANSWER: EXCLUSIVE RIGHT TO SELL Real estate brokers recommend this listing which grants an exclusive right to sell the property during the listing term. A commission is paid even if the property is sold by the owner EXCLUSIVE RIGHT TO SELL - ANSWER: Most brokers prefer the
FACTA is enforced by the Federal Trade Commission (FTC) - ANSWER: FACTA is enforced by the Federal Trade Commission (FTC) Fair Housing Act - ANSWER: Fair Housing Act - If an individual feels he or she has been discriminated against, the individual may file a complaint with the Texas Workforce Commission Civil Rights Division, HUD, the courts, or with the U.S. Attorney General. The complaint must be filed within two years of the alleged act. Fair Housing Act - ANSWER: Fair Housing Act. No one may take any of the following actions based on race, color, national origin, religion, sex, familial status or handicap in the sale or rental of housing Fair Housing Act - ANSWER: PENALTIES Penalties for violation of the act are up to $75,000 for the first violation, and up to $150,000 for subsequent violations. FAIR HOUSING LAWS - ANSWER: FAIR HOUSING LAWS It prohibits discrimination on the basis of race, religion and national origin. Gender was added as a protected class in 1974, followed by physical
handicap and familial status in 1988. Familial status protection - ANSWER: Familial status protection also applies to pregnant women and anyone securing legal custody of a child under 18. Housing for older persons is exempt from the prohibition against familial status discrimination if:
- HUD has determined that it is specifically designed for and occupied by elderly persons under a federal, state or local government program or
- It is occupied solely by persons who are 62 or older
- It houses at least one person who is 55 or older in at least 80 percent of the occupied units, and adheres to a policy that demonstrates an intent to house persons who are 55 or older. FBN - ANSWER: Fictitious Business Name FEDERAL FAIR HOUSING LAWS - ANSWER: FEDERAL FAIR HOUSING LAWS The first federal fair housing law was the Civil Rights Act of 1866, which
