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Real Estate Massachusetts Real Estate Salesperson Sample Questions:

1. The two clauses in a mortgage which allow the lender to proceed with a foreclosure sale are which of the following?

A) foreclosure clause and alienation clause
B) acceleration clause and power of sale clause
C) escalation clause and power of sale clause
D) escalation clause and alienation clause

2. Which of the following best completes the following metes and bounds description? "Beginning at the intersection of Bunker Hill Road and Munson Avenue, thence 150 feet south; thence 85 feet west; thence 150 feet north; thence"

A) 85 feet east to the Point of Beginning.
B) 85 feet west to the Point of Beginning.
C) 150 feet south to the Point of Beginning.
D) 150 feet west to the Point of Beginning.

3. A broker maintains a trust or escrow account. A $10,000 earnest money deposit is received from a buyer and deposited in the account. Several weeks later and prior to closing, the broker withdraws $7,000 from the account and puts it in an operating account. This transaction is

A) permissible if the seller was informed about the transfer of funds.
B) permissible as long as the broker is entitled to at least $7,000 in commission.
C) an instance of illegal conversion of funds.
D) a violation of federal banking regulations.

4. Quality Supermarkets has taken occupancy of a retail building and has a long-term lease. As part of their fit- up, they bolt to the floor their meat and dairy coolers, shelves, and check-out stands.
When Quality Supermarkets vacates the property at the end of the lease, will Quality Supermarkets be legally entitled to remove these fixtures?

A) No, because they are bolted to the floor.
B) Yes, if removed prior to the end of the lease.
C) Yes, because they are appurtenances.
D) No, because they are trade fixtures.

5. Rules for Truth in Lending and RESPA call for disclosure documents to borrowers. How can a managing broker best prepare associated licensees to manage these disclosures?

A) The managing broker should train licensees to advise borrowers to accept the Loan Estimate right away.
B) Because the lender has primary responsibility to provide these forms, the broker and licensees should be aware of the items required for the lender to comply.
C) The buyer's broker can provide samples so that when the licensee and the borrower prepare the forms they are following a good example.
D) Because the listing broker will be primarily responsible for completing the Loan Estimate to send to the lender, the broker should train associated licensees to collect all the necessary information in a timely fashion.

Solutions: