Manny has a client who wants to purchase a commercial building. Manny doesn’t have any experience negotiating commercial purchases. Which action should Manny take to demonstrate his good faith and most ethical behavior toward his client?
Continue to work with the client, but not tell the client about his lack of experience.
Continue to work with the client, but secretly consult with a commercial broker when he has questions.
Decide to no longer represent the client.
Tell the client about his inexperience, but say that he’d like to continue the relationship and will consult with a professional commercial broker throughout the transaction.
What are emblements considered to be?
A subsurface right
Land
Personal property
Real property
Which of the following closing activities occurs on the day of closing?
A pre-approval letter is provided to the seller.
A preliminary title report is issued.
Funds are transferred.
The buyer receives loan approval.
Which option is defined as the type of hearing that is held in front of an administrative law judge to oversee a disputed complaint?
Arbitration
Formal
Informal
Stipulation
What else may the DBPR do as a part of its investigative process?
Impose prison sentences of up to three years.
Investigate commission disputes between licensees and consumers.
Investigate licensees in states other than Florida.
Issue a notice of non-compliance or a summary suspension.
A borrower makes the same monthly mortgage payment for the entire term of the loan. At the end of the loan period, all of the interest and principal is paid off. What type of loan is this?
Fully amortized
Growing equity
Negative amortization
Reverse annuity
When assigning a contract, what should the assignor ensure is permitted in the purchase contract?
Acceleration
A due-on-sale clause
Assignability
Termination
Property ownership for an indeterminable length of time is an example of what form of estate?
Freehold
Homestead
Leasehold
Periodic
What is eminent domain?
The authority to enact legislation to protect the welfare of the public
The power of the government to claim interest in a property due to the owner’s failure to pay taxes
The power of the government to take private land for public use
The process for transferring ownership of private property when the owner dies without a will, heirs, or creditors
A radon problem has been discovered in one of your listings. Radon is ______.
An odorless and invisible gas that is caused by a breakdown of uranium in soil
Caused by wood rot
Emitted by mold
Produced by furnaces
A buyer purchased the right to use a resort unit for two weeks every year, although he doesn’t own the property itself. What kind of timeshare is this?
Divided timeshare
Right-to-use timeshare
Timeshare estate
Timeshare in perpetuity
What’s a brownfield?
An abandoned or unused commercial or industrial site with suspected contaminants
A partially restored residential area
A special use landfill
A wild space saved from development
Which of these is a colorless, odorless, radioactive gas that is released when uranium decays?
Carbon monoxide
Chlorofluorocarbons
Polychlorinated biphenyls
Radon
A negotiable instrument must contain an order to pay or a ________.
Flexible sum of money
Hand written signature
Notary stamp
Promise to pay
Unlike a condominium, what type of property is a cooperative considered to be?
Borrowed property
Personal property
Real property
Temporary property
From whom or what entity do licensees receive compensation for brokerage services once a transaction is closed?
Each receives a separate check at closing—the licensee representing the buyer receives a check from the buyer, and the licensee representing the seller receives a check from the seller.
The brokerages for both sides receive their share of brokerage fees and disburse licensee shares to them.
The buyer’s attorney provides a cashier’s check for the buyer’s agent; the seller’s attorney provides a cashier’s check for the seller’s agent.
The seller pays the seller’s agent directly at closing; the buyer’s agent receives a check from the closing agent at closing.
Which of the following is a true statement about options and option fees?
An option fee may be for any amount agreed to by the parties.
Neither party is obligated to perform with an option.
Once the option fee is paid, both parties are obligated to exercise the option.
The option is a bilateral contract.