#2646 When we speak of confidentiality we consider it to be part of the fiduciary duty of care from the five common-law  fiduciary duties of care, obedience, accounting, loyalty and disclosure. True or false ? Please take your time. The solution is posted below the wildlife photo. A. False Confidentiality is a characteristic of the fiduciary duty of loyalty. 04/07/2014

#2645 The owner decides to abandon the property he has listed with a brokerage. This will terminate the relationship that the broker has with the owner. True or false ? Take your time. The solution is posted below the wildlife photo. A. False  Abandoning the property will not terminate a broker-seller agreement. If the seller / owner declares bankruptcy the relationship could be terminated. 04/07/2014

   #2643 In a real estate transactionn, when one speaks of a fiduciary relationship their typically referring to a relationship that will allow another person to act on behalf of another with the additional privilege and grant of legal power  for the other persons affairs. Is this true or false ? Take your time. The solution is below the wildlife photograph. A. False A fiduciary relationship is one which represents an agents reloationship to the principal or the one that hires the agent. 04/07/2014

   #2642 A house was built on top a pile of manure. The ceilings of the home we're also poorly constructed and poorly attached to any supporting members or beams. This would be considerd an example of a stigmatized property ? True or false ? A. False If the house was constructed on top of a pile of manure and the ceiling construction was garbage, this would be considered an example of latent defects in the property. 04/07/2014

    #2641 A buyer inquired as to whether or not a city landfill was going to be constructed on an adjacent lot in a new subdivision. The seller's agent replied that she didn't know even though the agent was fully aware of the fact and failed to disclose this to the prospective buyer. If the seller's agent had disclosed this fact to the potential; buyer it would have been considerd to be representative of an uneccessary disclosure. True or false ? A. False Failure to disclose the fact that a new city landfill is going to be constructed on the adjacent property is an example of fraudulent misrepresentation. 04/07/2014

#2640 A buyer paid $460,000 for the house. The lot was valued at $65,000. The mortgage was for $200,000. After all is said and done, how much equity does the homeowner have in the place ? A. $260,000 First of all, the value of the lot has nothing to do with the calculation, so let's hope you don't figure it with eithyer a simple mathematical addition or subtractioin. Therefore, let's just subtract the value of the loan from the cost of the home (460k-200k) and we see that we've got $260,000 in equity in the house. Remember, the market value of the house minus the amount remaining on the mortgage is the equity. Or mv-dbt=equity. 03/31/2014

#2639 Homeowner's purchase homeowner's insurance because they know that homeowner's insurance will replace old furniture and roofs when these things need replacing. True or false ? A. False Homeowner's insurance doesn't cover replacement because of age, although it does cover financial losses created because of fire, vandalism or burglary. There are many different varieties to the formula when considering underwriting an homeowner's insurance policy. In some cases, supplemental policies which cover appliances and HVAC may be considered. 03/31/2014

    #2638 A homeowner's house was constructed in such a way so that the floor of the house was built nearly two feet above a one hundred year old flood mark. The homeowner wants to apply for a federally related home loan. The lender must require flood insurance. True or false ? A. False The lender could exempt the homeowner from any flood insurance requirement because of the level of the flood mark and the it's age. 03/31/2014

   #2637 A mortgage broker told a homeowner that he could deduct the appraisal fee from his annual gross income for income tax purposes. Is this true or false ? A. False It could be considered a fraudulent misrepresentation of facts regarding the loan from the beginning of the loan process. Loan discount points may be deducted from a homeowners income, however, for income tax purposes.  The most important thing to remember about points being 100 percent deductible is that points are paid to obtain a specific type of loan. The loan has to be a loan to build, buy or improve (example : add a room) your principal residence. 03/31/2014

#2636 A homeowner insurance policy contained a provision for coinsurance along with coverage that insured the home for total replacement cost. The home burned down and the homeowner had to settle for the present cash value of property damaged in the fire. True or false ? A. False Because the homeowner policy insured the home for total replacement cost, the homeowner can make a claim which covers the full costs of replacement or repairs resulting from any damages to the property whatsoever. No deduction for depreciation is taken into consideraration because the home is insured for total replacement cost. 03/31/2014

#2635 A developer built a highrise building in the greater Memphis metropolitan area. This highrise includes residential units, office space and retail stores and is considered to be a planned unit development. True or false ? A. False A highrise building that combines the best asp[ects of residential property, office accomadations and retail shopping is a mixed-use development because of the assortment or commercial and residential applications assembled under one roof. 03/31/2014

  #2634 When we talk about equity we're considering the fact that the neighbors yard is equal to the size of our yard. True or false ? A. False When the subject of equity is discussed when considering the matter of real estate or real estate financing equity refers to the difference between the amount of money that the property owner owes on the property  and the current market value of the property. In simple mathematical terms : Property Market Value - Property Debt = Equity 03/31/2014

  #2633 A seller confronted a real estate agent about the prospect of drawing up various documents pertaining to real estate financing. The seller even asked the agent if he would consider creating documents so that the seller might proceed with seller financing options. When something like this occurs what should the agent do ? A. Advise the seller to contact an attorney. The documents related to seller financing represent legal liability and issues that are best discussed with an attorney. Agent assisted seller financing documents could create some problems for both the seller and the agent, which could possibly include RESPA violations. 03/31/2014

#2632 The owner of a new parcel of land was granted the right to drive across his neighbor's driveway to reach his home. What is this right considered to be an example of ? A. An appurtenance. An appurtenance is considered a supplementary component of the land rights which is a right granted by the neighbor. It improves the new owners ability to gain access to the land. 03/31/2014

   #2631 What is generally consdidered to be the most important economic characterisitic of any parcel of land ? Remember, accessibility is also something that figures prominently into the equation when you consider this particular characterisitic of land. Take your time. The solution can be found below the wildlife photo. A. Location Maximizing land's potential for best and highest use is a priority, and more so when value is considered. 03/31/2014

  #2630 When we consider the right to control or use property or real estate, and to freely dispose of the property as we see to it at will or through a deed, these rights are incorporated into what system ? Take your time. The solution is posted below the wildlife photo. A. The bundle of legal rights .... ....which include possession, control, dispostion, enjoyment and exclusion. 03/24/2014

#2629 When we describe something as unique it's considered to be scarce ? Think of dissimilar and anything marked by dissimilarity. True or false ? Take your time. The solution is posted below the wildlife photo. A. False If it's considered unique it's considered non-homogenous, or unlike other aspects of the parcel in question. 03/24/2014

  #2628 If a tenant farmer decides to build a hen house and a building for his tractor, who do these buildings belong to ? Take you time. The solution is posted below the wildlife photo. A. The tenant. If the tenant constructs a building on the property he owns it, unless other arrangements are made with the property owner. 03/24/2014

#2627 If the buildings were blown to smithereens, vaporized, bombed, imploded or torn to pieces and the land is still there, what example has been established by recognizing that the land still in place ?   A. The indestructability of the land. This is one of the most prominent aspects of land. Land, essentially, cannot be destroyed. It can be moved and displaced from the surface, but it extends top the center of the earth. 03/24/2014

#2626 If a landowner has posted a "no trespassing" or "no hunting"  sign on his or her property, what stick in the bundle of legal rights is this person exercising ? A. The right of exclusion. The right of exclusion gives the landowner the right to say who or what has a right to be on their property. The other rights included in the bubdle of legal rights are the rights of "control", "enjoyment" and "disposition". 03/24/2014