State: Florida | Category: Real Estate | All tests in this Category:
Practice Test 1 Practice Test 21. Florida licensure requires which level of education?
Applicants must have a high school diploma or its equivalent to qualify for licensure.
2. Which loan is paid first in a foreclosure sale?
In foreclosure, loans are paid in order of priority. The first trust deed (senior loan) is paid before junior liens or second trust deeds.
3. Which type of fee estate automatically terminates on the occurrence of a specified event and reverts to the grantor?
A fee simple determinable ends automatically when the specified condition occurs, and the property reverts to the grantor without action.
4. The main purpose of a real estate appraisal is to determine:
The primary goal of a real estate appraisal is to determine the property's market value, which reflects the price it would likely sell for under typical market conditions.
5. Which entity is responsible for maintaining Florida's official assessment roll?
The County Property Appraiser maintains the official assessment roll and determines values used to calculate property taxes.
6. Which lease type is commonly used in Florida shopping centers where the tenant pays base rent plus a percentage of gross sales?
A percentage lease places rental emphasis on base rent plus a percentage of gross sales, a structure frequently used in shopping centers and malls.
7. A property’s highest and best use is defined as:
Highest and best use refers to the use that is legally permissible, physically possible, financially feasible, and most productive, producing the maximum value for the property.
8. What document best evidences the buyer’s protection of title after closing in Florida?
An Owner’s Title Insurance Policy protects the buyer’s interest in the title after closing.
9. Florida real estate licensing is primarily governed by which statutes?
The core licensing framework is in Florida Statutes Chapter 475 (Real Estate) and Chapter 455 (Regulation of professions).
10. Which of the following best describes a 'writ of attachment' in Florida?
A writ of attachment is a court order that attaches and sometimes freezes property to secure a potential future judgment.
11. Which adjustment is made when a comparable has fewer bathrooms than the subject?
Since the comparable is inferior (fewer bathrooms), value is added to it to equate it to the subject property's features.
12. Which of the following is considered a physical component of real property?
Soil is a tangible part of the land, whereas rights like water or minerals are interests, not physical components.
13. Which of the following statements best describes the relationship between market value, assessed value, and taxable value?
Market or just value is used to determine assessed value; taxable value is the assessed value minus exemptions.
14. Which of the following is primarily a residential mortgage lender in the U.S.?
Savings and loan associations (S&Ls) historically focus on residential mortgages, whereas commercial banks have broader lending portfolios.
15. Under Florida law, if a landlord collects a security deposit for a residential lease, the deposit must be placed in a separate escrow account in a Florida financial institution, and the landlord must notify the tenant in writing of the bank's name and address within 30 days of receipt.
Florida Statutes on security deposits require the deposit to be placed in a separate escrow/trust account in a Florida financial institution and to provide the name and address of the bank within 30 days of receipt.
16. A landlord who withholds all or part of the security deposit for damages must provide the tenant with an itemized list of deductions within 30 days after the tenant vacates.
Florida law requires an itemized deduction statement within 30 days if the landlord withholds any portion of the security deposit for damages.
17. A junior mortgage is usually:
A junior mortgage is secondary to the primary mortgage and is repaid after the first lien in case of default.
18. Which party typically prepares and provides the Closing Disclosure/Settlement Statement to the buyer and seller?
The closing agent or title company prepares the settlement statement detailing all charges and credits.
19. Which Florida brokerage relationship provides representation to both seller and buyer with limited duties, and does not create fiduciary obligations?
Transaction Broker offers limited representation to both sides, with duties shorter than traditional fiduciary duties.
20. How soon should earnest money be deposited into escrow after a binding Florida real estate contract is ratified?
Florida license law generally requires timely deposit of escrow funds into a trust account, typically within 3 business days after receipt.
21. If the seller responds to an offer with a counteroffer, which statement is true under Florida contract law?
A counteroffer operates as a rejection of the original offer and creates a new offer, thereby terminating the initial offer.