Question 1

On which of the following must the landlord pay interest when collecting first month, last month, and security deposit?

Options :

A : Only if they are deposited in an interest-bearing account

B : Security deposit and last month

C : First month only

D : Last month only

Answer: B

Question 2

A client makes an offer on a residential property and provides a check for $2,000 as earnest money. The client instructs his buyer agent to hold the check for five days so it will clear the bank. What should the agent do with the check?

Options :

A : Provide the check to his broker immediately with the client's instruction to hold it for five days before depositing it in the escrow account.

B : Inform the client that the offer will be presented without any earnest money since the agent is required to submit all offers.

C : Hold it for five days before submitting the check to his broker for deposit in the escrow account.

D : Refuse to present the offer to the seller's agent until the earnest money can be deposited.

Answer: A

Question 3

When lending standards are tightened, lenders typically require

Options :

A : a higher loan-to-value ratio.

B : a lower loan-to-value ratio.

C : a balloon payment after 5 years.

D : a waiver of the Equal Credit Opportunity Act.

Answer: B

Question 4

While inspecting a tenant-occupied property, the buyer was told by the seller that the microwave oven would be included in the sale price. Upon possession, the buyer learned that the microwave oven belonged to the tenant and not the seller. Is the buyer entitled to the microwave oven?

Options :

A : Yes, because the buyers offer to purchase included all real property.

B : Yes, because all oral contracts for the sale of real property are enforceable.

C : No, because the microwave was the real property of the tenant.

D : No, because the seller did not have the right to include the microwave in the sale.

Answer: D

Question 5

Which type of deed provides the purchaser of real estate the greatest protection?

Options :

A : quitclaim deed

B : trustees deed

C : general warranty deed

D : deed in trust

Answer: C

Online Massachusetts-Real-Estate-Salesperson Practice Test - Free Sample Exam Questions

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