RECA Residential Practice Exam Questions With 100% Correct Answers 2024, Exams of Advanced Education

Download RECA Residential Practice Exam Questions With 100% Correct Answers 2024 and more Exams Advanced Education in PDF only on Docsity! RECA Residential Practice Exam Questions With 100% Correct Answers 2024 Which of the following statements describe a competent real estate professional? A) A real estate professional who agrees to provide services they are incapable of performing B) A real estate professional who possesses the necessary ability and knowledge to perform services proficiently C) A real estate professional who places their interests above that of the client's interests D) A real estate professional who performs some due diligence activities for clients as time allows - Correct Answer-B Which of the following statements is an example of clients' confidential information as it relates to the selling or buying of a property? 1. The reason to sell or buy a property 2. The motivation to sell or buy a property pg. 1 professoraxe l 3. The price to accept or pay for a property 4. The offers to receive or submit for a property A) Statements I, II, and III B) Statements II, III, and IV C) Statements I, III, and IV D) All statements apply - Correct Answer-D Which of the following features is applicable to soffits? A) Usually made of wood, metal, vinyl, or stucco B) Located on the underside of the roof overhang C) Provides ventilation for the attic space D) All answers are applicable to soffits - Correct Answer-D What is considered as the minimum amp service required to accommodate the power needs of occupants of today's residential properties? pg. 2 professoraxe l C) Modular construction D) Manufactured construction - Correct Answer-D Which term below refers to a ceiling that follows the building's roofline, forms the underside of the roof, is attached directly to the roof trusses, and has equally sloping sides? A) Vaulted ceiling B) Cathedral ceiling C) Flat ceiling D) Drop ceiling - Correct Answer-B The upper level of a property has a sloped ceiling that at its lowest point measures 7 feet 6 inches. Which of the following is correct in regards to including this level in the RMS area for the property? A) The entire level should be excluded in the RMS area B) Only the part of the level that is above 8 ft should be included C) The entire level should be included in the RMS area pg. 5 professoraxe l D) Only the part of the level that is below 10 ft should be included - Correct Answer-C In regards to RMS, which of the following situations would warrant a Letter of Reprimand? A) Explaining the RMS to clients B) Data entry errors C) Failing to maintain a property diagram in the brokerage file D) All statements apply - Correct Answer-C Which of the following statements are characteristics of attached properties? 1. They are joined by two or more common walls 2. For RMS purposes, they include semi-detached properties 3. They are also known as bare land condominium units 4. Each property has its own separate title, address, and private entrance A) Statements I, II, and IV B) Statements I, II, and III C) Statements II, III, and IV pg. 6 professoraxe l D) All statement apply - Correct Answer-A Which of the following describes a one storey residence which is entirely above grade? A) Bungalow B) Side-split C) Multi-storey D) Back-split - Correct Answer-A When measuring an irregular shaped property, which of the following are approaches real estate professionals can use to arrive at its RMS area? 1. Subtraction approach 2. Addition approach 3. Equilibrium approach 4. Totalitarian approach A) Statements I and II B) Statements II and III C) Statements III and IV D) Statements I and IV - Correct Answer-A pg. 7 professoraxe l B) Statements I, III, and IV C) Statements II, III, and IV D) All statements apply - Correct Answer-B Which of the following statements must real estate professionals communicate to their seller clients to ensure they understand the warranty section of most commonly used residential purchase contracts? 1. All structures and improvements are within the property boundaries 2. All structures must not encroach on a utility right-of-way or easement except where an encroachment agreement is in place 3. All structures must comply with all relevant municipal bylaws and regulations 4. All structures comply with any restrictive covenants registered on the property title A) Statements I, II, and III B) Statements II, III, and IV C) Statements I, III, and IV D) All statements apply - Correct Answer-D pg. 10 professoraxe l Which of the following communications regarding RPRs and Title Insurance should be made by real estate professionals when representing clients? 1. Communicate to clients that RPRs and Title Insurance serve the same purpose 2. Communicate to clients the option to obtain expert advice for property-related matters 3. Communicate to clients the advantages and disadvantages of RPRs and Title Insurance 4. Communicate to clients how Title Insurance may offer protection until an RPR is obtained A) Statements I, II, and III B) Statements I, III, and IV C) Statements II, III, and IV D) All statements apply - Correct Answer-C Which of the following is an encroachment? 1. Eaves that overhang onto an adjoining property 2. A neighbor that parks their motorhome on an adjoining property 3. A shed that was partly built on an adjoining property 4. A deck that extends into the municipal back lane pg. 11 professoraxe l A) Statements I, II, and III B) Statements I, III, IV C) Statements II, III, IV D) All statements apply - Correct Answer-B Which of the following statements is correct regarding residential secondary suites in Alberta? A) The Municipal Government Act states that all municipalities must allow for legal secondary suites B) Each municipality can decide whether or not to develop Land Use Bylaws that allow for legal secondary suites C) The Municipal Government Act states that legal secondary suites are permitted in detached, semi-detached, and attached dwellings D) Each municipality can decide whether or not legal secondary suites can share facilities with the main dwelling - Correct Answer-B Which of the following is NOT considered a key statistic that reflects market activity? A) The average days on market B) The sale price to list price ratio pg. 12 professoraxe l A) Statements I, II and III B) Statement I, III and IV C) Statement II, III and IV D) All statements apply - Correct Answer-D Which of the following statements describes a benefit of mortgage loan insurance for borrowers? A) Borrowers can purchase a property with a minimum down payment of 5% B) If the borrower is unable to work, the mortgage payments are paid by the insurer C) Borrowers are insured for any shortfall in property value and mortgage balance D) If the borrower's property is damaged or destroyed, the borrower is insured against any loss - Correct Answer-A Which of the following describes a mortgage where the seller agrees to provide some or all of the mortgage financing for the property? A) Agreement for sale B) Collateral mortgage C) Wraparound mortgage D) Vendor take-back mortgage - Correct Answer-D pg. 15 professoraxe l Which of the following statements is correct regarding Alberta's Personal Property Security Act? A) The registration of the lender's interest will appear on the Certificate of Title of the property B) The legislation permits a lender to register its interests in the personal property of a borrower C) The registration of a lender's interest guarantees its priority position over all other registered interests D) The registration of the lender's interest in the borrower's personal property is done at the Land Titles Office - Correct Answer-B How often should a septic system be serviced by a certified contractor? A) Every 6 months B) Every year C) Every 4 years D) Every 7 years - Correct Answer-B Real estate professionals representing sellers and buyers of rural residential properties should undertake which of the following activities if a water licence exists for a property? pg. 16 professoraxe l A) They should confirm if the water rights will be included/excluded from the sale/purchase of the property B) They should ensure the offer to purchase accurately reflects how the water rights will be handled in the transaction C) They should document in writing for the brokerage file the information they receive from their clients about the water rights D) All statements apply - Correct Answer-D For brokerages that practice designated agency, which of the following is correct regarding their service agreements with their clients? A) The agreement is with the brokerage and the brokerage represents the client B) The agreement is with the designated agent and the designated agent represents the client C) The agreement is with the brokerage and the designated agent represents the client D) The agreement is with the designated agent and the brokerage represents the client - Correct Answer-C Once a purchase contract receives final acceptance, what must the real estate professional do? pg. 17 professoraxe l