Property Taxes National Exam – Real Estate
The key terms in this Real Estate License course include Property Taxes.
Governments like property taxes as a revenue source because ______.
Everyone has to pay property taxes
Because Property owners are easy to find
Property taxes always increase, creating ever greater revenue
Property values, and therefore taxes, tend to remain stable
Your client, Ray, is worried about title issues that may arise after closing. Remind Ray of his secret protection: ______.
Buyer Trust Fund
Litigation
Seller guarantees
Title insurance
The question, “What’s the purpose of this appraisal?” can be answered by this first step of the appraisal process.
Determine highest and best use.
Estimate land value.
Identify data needed.
State the problem.
Which of the following is defined as what it would take to recreate that property if it disappeared off the face of the earth today?
Cost
Insurance
Price
Value
As interest rates fall, the number of buyers in the market is likely to ______.
Act independently from interest rate changes
Decrease
Increase
Remain steady
Lily is considering signing a buyer representation agreement with you, but she’s unconvinced. “What’s in it for me?” she asks. What’s one major benefit to her when she signs the buyer representation agreement?
It guarantees you’ll get a commission.
Because It makes her look more serious in the seller’s eyes.
It means you’re representing her and not the seller.
It’s less time-consuming to you.
Which of the following could be an indication of a foundation problem?
Crack in a basement wall
Doors that open and close easily
Lack of moisture in the basement
Windows that open and close properly
Property Taxes National Exam – Real Estate
What does the metes and bounds system use to develop a property’s legal description?
Compass headings and directions
Plat references
Principal meridians and base lines
Townships and sections
Henry is Monica’s listing agent. As Monica’s agent, Henry has a duty to account for and properly handle her funds and ______.
Financial investments
Paperwork
Personal savings
Property taxes
A buyer is purchasing a property for $400,000. His loan-to-value ratio is 80%. The lender also charges a 1% loan origination fee. How much is the loan origination fee?
$3,200
$3,600
$4,000
$800
Margaret has an L-shaped living room. How would you calculate the area of this room?
Divide the room into two rectangles, calculate the area of each, and add those together.
Measure the room as if it were a single rectangle and compute the total square footage.
Measure the room as if it were a single rectangle, compute the total square footage, and divide by two.
Select the larger of the two rectangles that form this room, calculate its area, and multiply by two.
Everything in your office is potentially at risk from thieves and other criminals. Because of this, what should you never do?
Invite clients to the office.
Leave clients unattended in the office.
Lock your computer.
Use a computer.
Which of the following is the best example of a tie-in arrangement?
A business offers add-on services for its best customers.
A business requires its clients to also purchase services from another business.
Competing businesses agree to similar pricing strategies.
Competing companies agree to not do business with a third.
Lorena and Julio purchased a home for $205,950. Their loan amount was $164,760, and the assessed value is now $201,500. Their tax rate is 0.63%. How much will their monthly taxes be?
$105.79
$111.04
$191.37
$86.49