COLIBRI SCHOOL EXAM NJ LATEST 2023-2024 ACTUAL EXAM 100 QUESTIONS AND CORRECT DETAILED ANSWERS WITH RATIONALES (VERIFIED ANSWERS) |AGRADE

COLIBRI SCHOOL EXAM NJ LATEST 2023-2024

ACTUAL EXAM 100 QUESTIONS AND CORRECT

DETAILED ANSWERS WITH RATIONALES (VERIFIED

ANSWERS) |AGRADE

1. A woman purchased a home on a lake. A boat was included in the sale. What is

most likely required at settlement to transfer ownership of that boat to her?

A. bill of sale

B. deed

C. purchase agreement

D. sales contract

A.

2. F signs an exclusive right to sell listing agreement with broker R. Before the

listing expires, F terminates the agreement for no reason. The following day, F

sells the property to a co-worker. Which statement is TRUE?

A. R can sue F to recover only the marketing expenses.

B. R can sue F for the full commission based on the list price.

C. R can sue F for the full commission based on the sales price.

D. R has no right to sue F, since a seller can terminate a listing at any time without

cause.

C.

3. Which statement about lead paint is FALSE?

A. Issues arise when lead-based paint begins to chip or flake.

B. Lead paint disclosure must be made when selling a house built prior to 1982.

C. Lead poisoning occurs via the nose and mouth; it must be breathed in or

ingested.

D. Lead present in water is colorless, odorless, and tasteless.

B.

4. A developer purchases a foreclosed property for $96,000, intending to rehab it.

Instead, he lets it deteriorate and finally sells it a few years later for $84,000.

Calculate his loss.

A. 8.75%

B. 11.4%

C. 12.5%

D. 14.2%

C.

5. A homeowner lists her property at $155,000. Her broker receives an offer from

A for $135,000 cash and a closing in 30 days; another offer from B for $145,000,

subject to the owner taking back a purchase money mortgage; and an offer from C

at $150,000, subject to the buyer obtaining a mortgage. What should the listing

broker do?

A. Present all of the offers to the seller, even if the seller accepts the first offer.

B. Present none of the offers, as they are all below the seller's asking price.

C. Present only the first offer until the seller makes a decision; then present the

next offer.

D. Present whichever offer is the highest and has the most favorable terms for the

seller.

A.

6. K is a transfer student from Korea looking for a one-bedroom apartment. She

asks for something near the university. Her rental agent L shows her apartments

only in an area known as Chinatown, telling her she'd feel more at home there. L

could be guilty of

A. blockbusting.

B. panic peddling.

C. redlining.

D. steering.

D.

7. A lender must provide the Closing Disclosure to a borrower at least

___________ prior to settlement.

A. 1 business day

B. 3 business days

C. 3 calendar days

D. 5 business days

B.

8. An investor is evaluating the performance of his duplex. If he subtracts debt

service from the net operating income, what does he find?

A. cash flow before taxes

B. cash-on-cash return

C. effective gross income

D. reserves for replacement

A.

9. Market value can be defined as the

A. amount a buyer paid to purchase a property.

B. cost in materials and labor necessary to construct property.

C. most probable selling price in a typical transaction.

D. what a property actually sold for. 511 Practice Exam

C.

10. A real estate licensee has actual knowledge of structural damage to the floor

boards of a home he has listed due to termite infestation. He informs the buyer's

agent that there are no termites or termite damage in the home. The buyer signs a

contract to purchase the property. Is the listing agent susceptible to claims of

fraud?

A. No, because the buyer should have discovered the termite damage.

B. No, because the buyer's agent should have been looking out for the buyer. C.

Not as long as there is an as-is clause in the purchase agreement.

D. Yes, because he intentionally withheld a material defect.

D.