EOC test for gold coast real estate course|Questions and Answers, 100% Verified| Newly upd, Exams of Real Estate Management

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EOC test for gold coast real estate course| Questions and Answers, 100% Verified| Newly updated version 2023/2024 what are the 3 areas that a licensee are required to have expert knowledge? property transfer, valuation, marketing when a developer acquires a large tract of land and records a subdivision play map, and uses a model center from which sales are made is called? tract building focusing on one type or style of property or a particular neighborhood farming/farm area sales associate who wishes to apply to be a broker must have 24 months under one or more actively licensed brokers within the preceding 5 years an applicant for a broker license may choose to continue employment in a sales associate capacity with a current employer is called broker associate if a broker associate become inactive, their license status will be changed to inactive broker license an applicant for a florida real estate is not required to be a resident of florida or a citizen of the U.S. if application is denied, the applicant will be notified in writing and it will identify what? reasons for denial and state that they have 21 days to request a formal hearing brokers are _________ and __________ with the department registered, licensed an owner-developer may register with the department but does not receive a ? license sales associate must complete hour many hour post license course 45 hour if failure to complete 45-hour post license course there is __ _______ ________. no grace period all active or inactive licensees must complete 14 hours of continued education and pay a renewal fee persons who are granted authority under a power of attorney to act for others in some capacity attorneys-in-fact a tenant of an apartment community may receive up to 50$ cash, personal property or credit toward rent for ? a referral of a new tenant procuring of cause broker who first produces a purchaser person can receive compensation for referrals if they have a license or a part of transaction broker is required to have a ____ on it about the entrance to the office and all branch offices sign all legal advertising must be in the name and under the supervision of the broker sales associate or broker associates name may appear in the ad in addition to the name of the brokerage but must include first and last name as registered with the commission internet advertising any advertisement that is placed online any real estate advertisement that DOES NOT contain the registered or trade name of the broker blind ad Default by the buyer usually requires the deposit to be forfeited in favor of the seller to compensate for having removed the property from the market, this is called: liquidated damages post dated checks are considered to be _________ _____ and can be accepted as earnest money with the sellers approval. promissory notes escrow account or trust accounts may be held in a commercial bank or title company escrow account cannot be held in a stock or bond brokerage house depositing the personal funds of any person with funds being held in escrow, trust, or on condition commingle A broker is authorized to place and maintain up to _____ of personal or business funds in a sales escrow account and up to _______ of personal or business funds in a property management escrow account for the purposes of opening the account, keeping the account open and paying for ordinary service charges $1000; $5000 escrowed funds must be maintained separately from the brokers ___________ and __________ funds business, personal The misuse of, commingling or intermingling of or failure to account for funds or property entrusted to any licensee is known as ________ conversion a sales associate or broker associate who receives an earnest money deposit on behalf of their employer must deliver to the employer no later than the end of the next business day following receipt A broker must "immediately" place the earnest money deposit in an escrow account. What is immediately defined as? No later than the third business day following receipt. a brokers books and records must be preserved for a period of not less than five years conflicting requests in which both the buyer and seller demand that the broker release escrowed funds is called an escrow dispute If the broker has good faith doubt as to which person is entitled to the escrowed property, the broker must give a written notice to FREC within how many days from the date the last party's demand? 15 days A suit in court that can be used to resolve an escrow dispute in known as a ____ litigation (court action) concealment occurs if a broker operates in a reckless as negligent manner (ex: forget to collect escrow deposit) culpable negligence the misstatement or omission of facts that can lead to fraud if statements are intentional and relied upon; exaggeration in an opinion of value misrepresentation broker must inform a prospective buyer of such conditions prior to the payment of any portion of the sales price (property is in-merchantable) properties with liens to get an appeal court of appeal a broker who uses ________ or trading schemes that involve the selling of certificates or chances to induce any person to buy real estate is guilty of fraud. lotteries Maximum administrative fine for violation of FS 475 is $___________ $5,000 a complaint analyst reviews the complaint form or letter that describes the alleged violation to determine if the complaint is legally sufficient a respondent may request that an administrative law judge __________ a witness subpoena if the licensee does not agree with the final order of the commission, a ________ _____ ________ may be filed with the Florida District Court of Appeals within __ days or the final order. petition for review, 30 days Payment From the Recovery Fund will not be made to the spouse of a judgement debtor or to any licensee who operated as a licensee in the transaction but who can? licensee who acted in capacity of a buyer or seller only the commission requires the holder of the judgement to assign the judgement to the commission as a condition of reimbursement from the Recovery Fund the real estate recovery fund is maintained by fees and fines paid by licensees what consists of inducing an owner to list or sell on the basis that the neighborhood is deteriorating or becoming transitional due to an influx of minority persons ? blockbusting Steering or channeling an individual, directly or indirectly, into or away from a neighborhood or location in a multi-unit building on the basis of race, color, religion, sex or national origin the refusal by a lender to approve a mortgage loan based on a property location in a certain geographical area, age or the property, income level of the residents, or the racial composition of the area redlining Owners of properties open to the public are required to _______ in order to comply with the ADA Remove barriers that limit access or utility to individuals with disabilities the ADA mandates ______ ________ for multi family dwelling units to provide accessible and usable area for people with disabilities design specificications for existing properties that do not comply with the ADA, the owners are required to make necessary modifications to give access to individuals with disabilities part II of the Florida Residential Landlord and Tenant Act regulates what residential tenancies hold the total amount of the security deposit or advance rent in a noninterest-bearing escrow account hold the total amount of the security deposit or advance rent in an opposite of erosion accretion not permanently attached to the land or buildings on the land personal property an item that was once personal property but has been installed or attached to the land or building in a permanent qay fixture personal property that have been attached to real estate that is rented or leased by a tenant and used in the conduct of business (can be removed during or at termination of lease) trade fixtures the four tests used by courts to distinguish between real and personal property (IRMA) intent, relationship, method of annexation, adaptation an owner has a right to possess or occupy the property possession an owner generally has the right to sell the property, give it away, or leave it in a will disposition owners have the right to prevent others from entering or using their property exclusion an owner has the right to determine how to property will be used control DEEP C Disposition, Enjoyment, Exclusion, Possession, Control without the right to survivorship tenancy in common can be owner at same or different time tenancy in common 2 or more people and right if survivorship and get possession at same time joint tenancy sole ownership of the entire bundle of rights in a fee simple state estate in severally a few estate held by two or more persons tenancy in common (estate in common) the owner of a tenancy in common interest may sell their interest during their lifetime without the consent of the other owners and without affecting any other owner's rights a few estate shared by two or more persons who must have equal and undivided interests joint tenancy (joint estate) a joint tenancy can be created only when the four unities of ___ ____ ___ and ____ are present possession, interest, time and title tenancy in common has ____ or _______ shares of ownership equal or unequal clause that specifies what estate you are receiving habendum (life or fee) signature of grantee is not required to sign a deed best from the grantors standpoint quitclaim deed joint tenancy must have equal rights of use and possession and interests the distinctive characteristic of a joint tenancy is the right of survivorship joint tenancy passes on to surviving joint tenants (no will or kids) an estate for a husband and wife only tenancy by the entireties when an individual dies without a wull intestate probate laws provide for the passing of property to legal heirs under the law of descent and distribution any real property owned by the head of household who resides there in homestead (homestead property) homestead can be sold at foreclosure for nonpayment of any lien except a judgement lien against the head of household the homestead property may be left in fee simple to the surviving spouse if there are no minor children homestead rights are a provision of the Florida State Constitution and take precedence over the law of descent and distribution and elective share what is achieved by recording documents in the public records? constructive notice or legal notice enables an owner to hold it in peace or sell it to a person of reasonable prudence for its fair market value marketable, merchantable, or clear title to real property title this is free from litigation and defects extends back 30 years from the recording of the claim root of title created by a search of the public records that results in a timeline of recorded documents that links all past owners of a parcel of land from the root of title to present day chain of title Transfer by Voluntary Alienation deed and will willful disposition or gift of real property is called a ______ and the recipient is the ________. devise, devisee the disposition or gift of personal property is called a _______ and the recipient is called the __________. bequest, beneficiary Transfer by Involuntary Alienation descent and distribution, escheat, eminent domain, adverse possession when transferring title, grantor must sign and witnessed by _ persons 2 persons title does not transfer until the deed is voluntarily delivered to, and voluntary accepted by, the grantee (buyer) who is not required to sign the deed (title) to the new property? grantee (the buyer) the only legally necessary clause required in a deed premises (granting) clause Premises (granting) clause names the parties, contains words of conveyance, states a consideration, includes the date of transfer, and provides legal description of the property clause that specifies the legal rights being conveyed habendum clause (to-have-and-to-hold-clause) what deed contains no warrants of any kind quitclaim deed Quitclaim deeds are most often used to cure defects in title what deed is the most common general warranty deed grantee buyer grantor seller if a real estate sales contract does not specify the type of deed to be given a general warranty deed must be used Baseline east-west lines separating townships RANGE LINES RUN north and south TIER LINES RUN EAST AND WEST OF BASELINE A township is how many square miles? 36 square miles the intersection of guide meridians and correction lines forms a 24-mile-square area called a check each section of a township is 640 acres a method of legal description used to identify small parcels of property in subdivided areas and cities play (or recorded plat) method, aka lot and block method smaller parcels of land lot and block a number that is assigned to a parcel of real property by a county property assessor to uniquely identify that property within the jurisdiction assessor's parcel number (APN) one acre contains 43,560 square feet one acre that is a perfect square measures 208.710ft x 20&.710ft one section is one mike square and contains one square mile a mutual understanding of the terms of the contract is reached when an offer made by one party is accepted by another party offer and acceptance, agreement, or meeting of the minds either valuable or good consideration may be sufficient consideration (love or affection) money or anything if value that can be converted to money valuable consideration requires a contract for the transfer of a right or interest in lane to be in writing in order to be enforceable statue of frauds provides time limits during which parties are allowed to bring legal action to enforce their rights under a contract the statue of limitations if a contract is entirely ____, action must be brought within 4 years oral written contract may be enforced if action is brought within _ years 5 exists when some or all of the terms and conditions can be assumed by the nature of the agreement or the words and actions of the parties implied contracts only one party expressly agrees to perform and act unilateral contract both of the parties to the contract mutually agree to be bound to performance of the the terms and conditions specified bilateral contracf executed contract signed/ finalized a contract is considered what if any term or condition remains to be performed? executory contract a contract that is inherently unenforceable voice contract ways in which an offer can be terminated (WILD CARD) buyer promissory note is evidence of personal debt, and contains the name of the parties, the rate of interest, the amount of money borrowed and the loan repayment terms mortgagee lender/bank When money is borrowed to purchase real estate, the lender requires the borrower to sign a ______ promissory note (aka note or bond) mortgagor buyer/borrower when a loan has been paid in full in a lien theory state, the mortgagor should receive a letter of satisfaction from the mortgages within 60 days of the loan payoff what clause provides protection for the borrower as it requires the lender to acknowledge performance by the borrower? defeasance clause what is the only legally necessary clause in a mortgage? defeasance clause if the balance of the promissory note has not been paid in full from the proceeds of the sale, the lender cannot obtain a deficiency judgement for the unsatisfied amount nonrecourse financing (no recourse against the buyer) 1 point is equal to...? 1/8% yield Lenders cannot discriminate based on....this is called the Equal Credit Opportunity Act (ECOA) age, gender, race, or marital status to qualify for an FHA loan, a borrower must not exceed a housing expense ratio of ___ and a total obligations ratio of ____. 31% and 43% LTV ratio loan amount/purchase price or appraised value The right of a borrower to cure a default prior to foreclosure is called the _____ _____ _____. Equity of redemption If all lien holders have been paid from the proceeds of the foreclosure sale, any excess remaining is paid to the ______ Mortgagor/borrower FHA has a max loan and insures VA approved lenders for owner-occupied residences veteran's eligibility for the mortgage loan program is shown in a certificate of eligibility For VA loans, a veteran must serve a specified minimum amount of time to be eligible and be honorably discharged federal lending regulators usually require this insurance when the loan amount exceeds 80% of the value of the property Private Mortgage Insurance (PMI) changes in which of the 3 control devices used by the Federal Reserve is the most abrupt ? Reserve Requirement considered to be the least effective of the Federal Reserves three tooks Discount rate considered to be the most effective tool available to be the most effective tool available to the Federal Reserve for controlling the money supply Open Market operations third section of the closing statement involves expenses that are owned by either the seller or buyer to parties involved with the transaction including attorneys, the state, title company, the brokerage firm state documentary stamp tax on deeds S= assessed at the rate of .70 for each $100 of the full purchase price or any fraction of $100 purchase price / $100 = number of taxable increments rounded up to a whole number number of increments x .70 = cost of documentary stamps on deeds on normal sales or exchanges, the documentary tax is shown as a debit to the seller on the closing statement State documentary stamp tax on a promissory note N= $.35 per $100 or fractional part thereof, new and assumed (new mortgages) State intangible tax on mortgages I = buyer, new loans only, .002 adjustments are always made to the comparable property, but never the subject property (set the standard for comparison) If a comparable property is superior to the subject property, the comparable sales price is adjusted downward by the value of the superior features superior subtract the the comparable property is inferior to the subject property, the comparable sales price is adjusted upward by the value of the inferior features inferior increase the estimated cost to construct at current prices an exact duplicate or replica of the building that is being appraised by using the same materials, design, and layout as the subject property reproduction cost what is best used to estimate the value of newer properties, property proposed for renovation, insurance purposes, and properties infrequently exchanged or sold in the real estate market ? cost-depreciation approach the cost-depreciation approach may be the only approach available to estimate the value of special-purpose properties (like schools/churches) can be caused by either a deficiency or an over-improvement functional obsolescence or economic obsolescence an investment made to a property that does not make the best use of the property or is excessive in comparison with the improvement of similar properties over-improvement an over-improved property may suffer ___________ ___________ since it will not sell in the market for the amount invested. functional obsolescence a loss in value caused by factors beyond the boundaries of the subject property external obsolescence appraisers use effective age the age of a property appears to be, due to extensive updates, or excessive wear and tear (condition) effective age how to calculate reproduction costs dimensions X construction per sqft operating expenses do not include noncash expense, money is for future use to replace worn out components called short-lived items reserve for replacements operating expense ratio Operating Expenses / Effective Gross Income when the value of all assets is combined, it creates what is known as going concern value (concept of a profitable business is determined by) the estimate of value that is determined by the county property appraiser is called the _______ _____ which by law must be based on the concept of _____ _______. assessed value; just value (fair value) protest the assessment by requesting an informal conference with the county property appraiser property owner by local, state, and federal governments is immune (airports,schools,court houses) government owned property immune; airport, courthouse, schools Highest and Best Use land and improvement to qualify for the homestead tax exemption, the property owner must file for the exemption with the county property appraiser between ______ and ______ of each year. The property must be the owners what? january 1st and march 1st; primary residence; any individual, veteran or not, who is totally and permanently disabled is entitled to 100% exemption from payment of property taxes veterans of military service with at least a 10% military service-related disability receive an additional exemption of $5000 beginning with the calendar year 1995, the assessed value of homestead property is limited as to the amount of increase the county property appraiser may assign to the lesser of 3% or the percentage change in the Consumer Price Index (CMI) when homestead property is sold, this limitation is removed and the new owner will be assessed at the full taxable value tax levies that are used to pay for specific public improvements that add value to the property special assessments (liens that may be for paving a street, street lighting) if the property owner does not pay the property taxes before ________ ___ of the year following the assessment, the tax becomes _________. April 1st; delinquent tax benefits of homeownership real estate property tax deduction and mortgage interest reduction residential zoning based on density density limits the number of dwelling units that are allowed per acre request to vary from the specific or literal interpretation of the ordinance variance a variance may be granted when the ordinance imposed an undue hardship on an owner a property is that predates current zoning and does not conform to current zoning is known as nonconforming use while zoning laws dictate how a property may be used, ____ _____ establish the minimum standards for design and construction of buildings and structures. building codes joint venture temporary business relationship can provide real estate services, separate real estate brokerages, not required to register with DBPR IRMA intent, relationship, method of attachment, adaptation Consideration promise of future money/lovee what is required to create a valid contract offer and acceptance inferred implied ways to terminate an offer withdraw, acceptance, rejection (WAR) contract between seller and broker, best protection for broker exclusive right of sale what is the formula for calculating housing expense PITI ——— GMI seller is normally expected to provide either the title insurance or abstract accompanied by an opinion of title as evidence of marketable title