Common Real Estate Calculations Chapter Exam

Exam Instructions:

Choose your answers to the questions and click 'Next' to see the next set of questions. You can skip questions if you would like and come back to them later with the yellow "Go To First Skipped Question" button. When you have completed the practice exam, a green submit button will appear. Click it to see your results. Good luck!

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Question 1 1. How are real estate agents paid for their services?

Question 2 2. Who writes the check that pays the real estate commission fee at closing?

Question 3 3. A property sells for $100,000. The brokers agree to split the 6% commission evenly. The seller's agent splits the commission with his broker 50/50. The buyer's agent is a broker. What amount the buyer's agent receive at closing?

Question 4 4. Who is not entitled to a split of the real estate commission?

Question 5 5. The total transfer fees that must be disclosed prior to, and paid for at a real estate closing, are most often determined by:

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Question 6 6. Most real estate transfer fees are extremely _____ in nature.

Question 7 7. Although it is legal to charge either the buyer or seller or both in a real estate closing, payment for all of the applicable fees, transfers and taxes must be clarified prior to _____.

Question 8 8. The conveyance fees or transfer tax associated with a real estate purchase or sale is usually paid for by the _____

Question 9 9. Who determines the appraised value of a home in real estate?

Question 10 10. What is loan-to-value ratio in real estate?

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Question 11 11. How does a down payment affect the loan-to-value ratio?

Question 12 12. How does sales contract price affect a loan-to-value ratio?

Question 13 13. In home loans, _____ is the prepaid interest used to make up a difference in the interest rate charged and the interest rate the lender requires to make the loan.

Question 14 14. A charge of 2 discount points on a $450,000 loan is:

Question 15 15. Prepayment penalties are:

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Question 16 16. The cost of processing an application for a home loan is passed from the lender to the buyer and called a/an:

Question 17 17. What is one factor that may affect the amount needed for a down payment?

Question 18 18. What is a down payment on a home?

Question 19 19. What is the home equity calculation?

Question 20 20. What is home equity?

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Question 21 21. CFPB is an acronym for

Question 22 22. Buyer's and seller's expenses in a real estate transaction are called

Question 23 23. Anna's loan requires that she escrow seven months of her annual property tax bill of $2,439. How much money will be collected at the time of closing?

Question 24 24. Brian's closing date is June 15th. His loan amount is $80,000 and his interest rate is 5%. How much prepaid interest will he pay at the time of closing?

Question 25 25. Which of the following is the correct formula for the total cash flow statement?

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Question 26 26. Which of the following is the correct formula for rate of return?

Question 27 27. Which of the following conditions will change the cap rate?

Question 28 28. If a property is worth $200,000 and an investor expects to be able to earn a net operating income of $15,000 a year, what is the cap rate?

Question 29 29. A property is listed for $212,000 and sells for $219,000 because it is caught in a bidding war. The commission is set at 6% and split evenly between the buyer's and seller's brokers. The selling agent has an agreement with his broker to receive 75% of the split paid to the broker. What is the amount the seller's agent receives after closing?

Question 30 30. The tax whose name is derived from actual ink markings and is required to be placed on a deed prior to its recording is called the _____

Common Real Estate Calculations Chapter Exam Instructions

Choose your answers to the questions and click 'Next' to see the next set of questions. You can skip questions if you would like and come back to them later with the yellow "Go To First Skipped Question" button. When you have completed the practice exam, a green submit button will appear. Click it to see your results. Good luck!

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