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Real Estate Licensing Virginia Real Estate Salesperson Sample Questions:

1. Ernest is a third-party trustee who is holding a title for the lender of a home loan that is secured by a trust deed. The title gives Ernest limited rights sufficient to carry out the terms of the trust. What kind of title does Ernest hold?

A) clean title
B) dirty title
C) naked title
D) skinny title

2. A form of insurance that protects the policyholder by covering any losses they might incur as a result of theft or fraud by specified individuals is:

A) a liability bond
B) a fidelity bond
C) a security bond
D) a risk management bond

3. The EGI of a building is $300,000. The operating costs are $30,000.
What is the NOI of the building?

A) $270,000
B) $332,000
C) $264,000
D) $215,000

4. Which of these is an example of a deed restriction?

A) A restriction in one subdivision development specifies that no boats or recreational vehicles may be kept on the street, driveway, or lot.
B) The city denies Darren a permit to open a pawn shop in a residential area.
C) Donald is required by the municipal government to have a certain number of bathrooms in his business.
D) Demi is required to file an environmental impact statement with the city before building a new subdivision.

5. Which of the following provides the BEST explanation for why disclosure of material facts is required?

A) The material a property is made of can influence its value.
B) Not all material facts are readily discernible.
C) If known, they could cause a buyer or seller to take a different course of action.
D) All facts related to a real estate transaction must be disclosed.

Solutions: