1 of 25 - What needs to happen to an offer in order for it to become a contract?
The offer must be received.
The counteroffer must be made.
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When an offer is accepted it becomes a contract. The acceptance needs to be absolute, meaning the acceptance of all the terms of the offer by all the parties to the offer.
2 of 25 - What provision in a sales contract is the seller's written summary of the property's condition at the time of contracting for sale?
Seller's representations
Right of rescission
Broker's representation and commission
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3 of 25 - What clause in a CAR Residential Purchase Agreement states the agreement is contingent on a written appraisal of the property at no less than the purchase price?
Verification of Loan Payment
All Cash Offer
Buyer Deposit with Agent
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4 of 25 - In a CAR Residential Purchase Agreement,the four sections that follow the confirmation of acceptance are real estate brokers, escrow holder acknowledgement, presentation of offer and
contingencies.
counteroffer.
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In the Rejection of Offer section, if the seller rejects this offer without making a counteroffer, the seller must initial this section and include the date of the rejection.
5 of 25 - What action could a seller take if he or she cannot make a decision regarding an offer?
An acceptance
A rejection
A counteroffer
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6 of 25 - What type of contingency protects the buyer by ensuring that the property is valued at a price that is close to what is being offered by the buyer?
A financing contingency
A kick-out clause
A house sale contingency
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7 of 25 - What paragraph in a CAR Residential Purchase Agreement states the contract represents the final terms of the agreement unless the parties make changes in writing?
Selection of Service Providers
Expiration of Offer
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Time is of the essence means that the terms and times listed in the agreement are vital and cannot be ignored. This paragraph states the contract represents the final terms of the agreement unless the parties make changes in writing.
8 of 25 - What section in a CAR Residential Purchase Agreement includes information regarding the first, second, VA or FHA loans?
Deposit
Financing
Balance of Down Payment
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9 of 25 - What type of contingency can be put in place when a buyer has already accepted an offer on their current home, but has not closed?
A kick-out clause
A financing contingency
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A settlement contingency can be put in place when a buyer has already accepted an offer on their current home, but has not closed. This clause can protect buyers from losing any down payments if their own closing process falls through.
10 of 25 - What clause in a sales contract states under what conditions the buyer can cancel the contract without default and receive a refund of the earnest money?
An escrow clause
A closing clause
You answered incorrectly
A financing contingency clause states under what conditions the buyer can cancel the contract without default and receive a refund of the earnest money.
11 of 25 - What governs the making, interpretation, and enforcement of leases?
Landlord Tenant Law
The Law of Possession
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The Law of Contracts governs the making, interpretation, and enforcement of leases.
12 of 25 - Within how many days after delivery of a disclosure can buyer cancel a CAR Residential Purchase Agreement Contract?
5
10
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A buyer has the right to cancel the contract by written notice within 3 days of delivery in person of any disclosure or amended disclosure discussed in paragraph 10A(1) if the disclosure or notice is provided after the purchase agreement is signed.
13 of 25 - Under Acceptance of Offer in a CAR Residential Purchase Agreement, which section states that brokers are not parties to the agreement?
Escrow Holder Acknowledgement
Presentation of Offer
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The Real Estate Brokers section states the brokers are not parties to the agreement.
14 of 25 - What paragraph in a CAR Residential Purchase Agreement has five sections that outline the joint instructions of the buyer and seller to the escrow holder and defines the roles of the parties in the transaction?
Prorations of Property Taxes and Other Items
Brokers
Representative Capacity
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15 of 25 - What type of clause refers to conditions attached to either an offer to purchase property or a counteroffer to purchase a property?
A release clause
An earnest clause
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A contingency clause refers to conditions attached to either an offer to purchase property or a counteroffer to purchase a property.
16 of 25 - What clause talks about how a landlord is leasing a property and a tenant is taking possession of a property?
A possession clause
A leasehold clause
A regulation clause
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17 of 25 - What financing term in a CAR Residential Purchase Agreement states that the buyer's qualification of the loan is a contingency of the agreement?
Loan Contingency Removal
Lender Limits on
Loan Contingency Buyer Credits
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18 of 25 - How many days does a seller have after acceptance, if not specified, to disclose if the property is a condominium or planned development?
10
21
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The seller has 7 days after acceptance (or another specified number) to disclose if the property is a condominium or planned development.
19 of 25 - What type of contingency gives the buyer the right to have the home inspected within a specified period of time?
A house sale contingency
A specified contingency
An appraised contingency
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20 of 25 - What term refers to a lessee's ownership of a temporary right to exclusively possess land or property?
Specific use
Term of lease
Tenant activity
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21 of 25 - Which section in a CAR Residential Purchase Agreement provides information regarding registered sex offenders and includes a website for the buyer to search?
Buyer's Investigation of Property
Natural and Environmental Hazards
Statutory and Other Disclosures
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22 of 25 - According to the CAR Residential Purchase Agreement, tax bills issued after close of escrow will be handled directly between
seller and broker.
broker and buyer.
lender and seller.
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23 of 25 - When a seller receives an offer on his or her property, what action would free him or her to consider other offers and also frees the buyer to consider other properties or to make another offer on the same property?
A counteroffer
A referral
You answered incorrectly
A rejected offer frees the seller to consider other offers, and it also frees the buyer to consider other properties or to make another offer on the same property.
24 of 25 - What section under the Dispute Resolution provision of a CAR Residential Purchase Agreement states that if mediation does not solve a dispute, the parties agree to use a neutral, binding arbitration to decide the matter?
Additional Mediation and Arbitration Terms
Mediation
Conflict Resolution
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25 of 25 - What is not a primary provision typically found in a residential sale contract?
Parties
Legal description
Price and terms
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