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Nevada Pre-Licensing Completion Certificate

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  1. Current
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  1. Question 1 of 120
    1. Question

    The rights of ownership of real property include all of the following EXCEPT

    Correct
    Incorrect
  2. Question 2 of 120
    2. Question

    An important characteristic of land is that it may be modified or improved at some point in time. An improvement may increase the value of real estate greatly. All of the following are considered to be improvements EXCEPT

    Correct
    Incorrect
  3. Question 3 of 120
    3. Question

    A business owner leases a space to open a restaurant and installs ovens, booths, counters, and other equipment. When would these items become real property?

    Correct
    Incorrect
  4. Question 4 of 120
    4. Question

    A house has been listed for sale for more than one year and the owner is very anxious to move into a retirement community. A real estate professional, who is a subagent of the seller, tells a prospective buyer to make a low offer because the seller is likely to accept it. Regarding the real estate professional’s conduct in giving that advice to the buyer, which of the following is FALSE?

    Correct
    Incorrect
  5. Question 5 of 120
    5. Question

    A real estate professional who represents the seller is showing a house to a prospective buyer-customer. The real estate professional knows that the house has water problems in the basement. Which of the following is TRUE?

    Correct
    Incorrect
  6. Question 6 of 120
    6. Question

    What is a commission of 5% on a sales price of $250,000?

    Correct
    Incorrect
  7. Question 7 of 120
    7. Question

    A broker’s newest sales associate brings in a listing for the sale of a condominium. In this transaction, the sales associate

    Correct
    Incorrect
  8. Question 8 of 120
    8. Question

    The commission on the sale of a house is $9,410, and 30% of that amount goes to the broker who listed the property. Of the remainder, the broker whose sales associate who brought a buyer to the transaction gets 45%, and the sales associate receives the balance. How much does the sales associate receive?

    Correct
    Incorrect
  9. Question 9 of 120
    9. Question

    The type of real estate ownership that is MOST inclusive is a

    Correct
    Incorrect
  10. Question 10 of 120
    10. Question

    A father conveyed the family home to his daughter by will as a life estate pur autre vie for the life of her mother. If the daughter should die before the mother, who gains possession of the property?

    Correct
    Incorrect
  11. Question 11 of 120
    11. Question

    The owner of two acres of land sold one acre to a neighbor and reserved an appurtenant easement over that acre for ingress and egress to the remaining acre. The acre retained by the property owner

    Correct
    Incorrect
  12. Question 12 of 120
    12. Question

    The owner of 50 acres of land with 500 feet of frontage on a desirable recreational lake wishes to subdivide the parcel into salable lots, but wants to retain control over the lake frontage while allowing lot owners to have access to the lake. Which of the following types of access rights would provide the greatest protection for a prospective lot purchaser?

    Correct
    Incorrect
  13. Question 13 of 120
    13. Question

    A homestead exemption protects against judgments

    Correct
    Incorrect
  14. Question 14 of 120
    14. Question

    The owner of oceanfront property noticed that people from town walked along the shore behind the house on the property. The owner learned that the local citizens always walked along the beach, but the owner went to court to try to stop people from walking along the water’s edge behind the home. The owner is likely to be

    Correct
    Incorrect
  15. Question 15 of 120
    15. Question

    “Beginning at the SE corner of the NE¼ of section 14, then due west 5,280 feet more or less to the SW corner of the NW¼ of section 14, then north along the west line of section 14 2,640 feet, more or less, to the NW corner of said NW¼, then in a straight line to the point of beginning.” How many acres does this parcel contain?

    Correct
    Incorrect
  16. Question 16 of 120
    16. Question

    This year’s property taxes on a parcel are $1,743.25 and have not been paid. If a sale of the property is to be closed on August 12, what is the approximate tax proration that will be charged to the seller based on a 360-day year?

    Correct
    Incorrect
  17. Question 17 of 120
    17. Question

    A suburban home with four bedrooms and only one bathroom suffers from what condition?

    Correct
    Incorrect
  18. Question 18 of 120
    18. Question

    A house sold for $180,000 and the buyer obtained an FHA-insured mortgage loan for $120,000. If the lender charged two discount points, the buyer would pay

    Correct
    Incorrect
  19. Question 19 of 120
    19. Question

    A buyer bought a house for $125,000. The house, which had originally sold for $118,250, appraised for $122,500. Based on these facts, if the buyer applies for an 80% mortgage, what will be the amount of the loan?

    Correct
    Incorrect
  20. Question 20 of 120
    20. Question

    A developer is planning a warehouse that will contain 103,000 square feet. Construction costs are estimated to be $62 per square foot. Ninety-five percent financing is available for the structure. How much money must the developer put up to complete the project?

    Correct
    Incorrect
  21. Question 21 of 120
    21. Question

    In what way does a deed of trust differ from a mortgage?

    Correct
    Incorrect
  22. Question 22 of 120
    22. Question

    A document that protects against hidden risks such as forgeries and loss due to defects in the title, subject to specific exceptions, is called

    Correct
    Incorrect
  23. Question 23 of 120
    23. Question

    The type of title insurance that will protect the owner and heirs is called

    Correct
    Incorrect
  24. Question 24 of 120
    24. Question

    The clause in a deed that defines the ownership right received by the grantee is the

    Correct
    Incorrect
  25. Question 25 of 120
    25. Question

    A property owner bought acreage but never saw it and did not use it. The owner regularly paid the real estate taxes on the acreage. Without the owner’s knowledge, a stranger moved a mobile home onto the property, drilled a well for water, and lived there for many years. This person may become the owner of the acreage if there has been compliance with state laws regarding

    Correct
    Incorrect
  26. Question 26 of 120
    26. Question

    A grantor does NOT wish to convey certain property rights. The grantor may note the exceptions in

    Correct
    Incorrect
  27. Question 27 of 120
    27. Question

    In which of the following situations could a quitclaim deed NOT be used?

    Correct
    Incorrect
  28. Question 28 of 120
    28. Question

    Under the terms of a trust established by a will, the trustee is required to sell the real estate the trust holds. The deed that will be delivered at settlement of such a sale is a

    Correct
    Incorrect
  29. Question 29 of 120
    29. Question

    An option is granted when an owner gives the potential purchaser the right to purchase the property

    Correct
    Incorrect
  30. Question 30 of 120
    30. Question

    A broker receives an earnest money deposit with a written offer to purchase that includes a 10-day acceptance clause. On the fifth day, before the offer is accepted, the buyer notifies the broker that the offer is being withdrawn and demands the return of the earnest money deposit. In this situation, the

    Correct
    Incorrect
  31. Question 31 of 120
    31. Question

    The law that requires real estate contracts to be in writing to be enforceable is the

    Correct
    Incorrect
  32. Question 32 of 120
    32. Question

    Which of the following is not generally exempt from paying real estate taxes?

    Correct
    Incorrect
  33. Question 33 of 120
    33. Question

    Taxes levied on a property owner to pay for installation of sidewalks or sewers are called

    Correct
    Incorrect
  34. Question 34 of 120
    34. Question

    General real estate taxes are also called

    Correct
    Incorrect
  35. Question 35 of 120
    35. Question

    All of these are examples of government policies that can affect the real estate market EXCEPT

    Correct
    Incorrect
  36. Question 36 of 120
    36. Question

    A property owner who does not want to deal with the everyday tasks of managing a rental property can hire

    Correct
    Incorrect
  37. Question 37 of 120
    37. Question

    Which of these is an example of an economic characteristic of land?

    Correct
    Incorrect
  38. Question 38 of 120
    38. Question

    Another word for uniqueness is

    Correct
    Incorrect
  39. Question 39 of 120
    39. Question

    Which of these laws prohibits housing discrimination only on the basis of race?

    Correct
    Incorrect
  40. Question 40 of 120
    40. Question

    The Fair Housing Act is administered by the

    Correct
    Incorrect
  41. Question 41 of 120
    41. Question

    The Fair Housing Act does NOT prohibit discrimination on the basis of

    Correct
    Incorrect
  42. Question 42 of 120
    42. Question

    If the government acquires privately owned real estate through a condemnation suit, it is exercising its power of

    Correct
    Incorrect
  43. Question 43 of 120
    43. Question

    Three siblings bought a farm together, and the deed listed only each of their names. What form of ownership are they presumed to have taken?

    Correct
    Incorrect
  44. Question 44 of 120
    44. Question

    The grantor is conveying an interest that is less than fee simple absolute. This explanation of the extent of ownership will be found in the

    Correct
    Incorrect
  45. Question 45 of 120
    45. Question

    A title insurance policy that protects the interests of a mortgagee is called

    Correct
    Incorrect
  46. Question 46 of 120
    46. Question

    In real estate, a sales associate is always

    Correct
    Incorrect
  47. Question 47 of 120
    47. Question

    An individual who is authorized and consents to represent the interests of another person is

    Correct
    Incorrect
  48. Question 48 of 120
    48. Question

    Who are the parties to a listing agreement?

    Correct
    Incorrect
  49. Question 49 of 120
    49. Question

    A buyer and a seller enter into a sales contract for the sale of a home. The seller backs out of the deal at the last minute, and the buyer suffers a financial loss of $1,500 and must rent a home in which to live. Unless the contract provides otherwise, all of these are legal actions that are likely to succeed EXCEPT

    Correct
    Incorrect
  50. Question 50 of 120
    50. Question

    Which of these would permit a law enforcement officer to seize and sell a debtor’s property?

    Correct
    Incorrect
  51. Question 51 of 120
    51. Question

    Which of these is a general, statutory, and involuntary lien on both real and personal property?

    Correct
    Incorrect
  52. Question 52 of 120
    52. Question

    A deed of trust involves all of these terms EXCEPT

    Correct
    Incorrect
  53. Question 53 of 120
    53. Question

    The primary mortgage market lenders that have most recently branched out into making mortgage loans are

    Correct
    Incorrect
  54. Question 54 of 120
    54. Question

    A loss in the value of a property improvement for any reason is

    Correct
    Incorrect
  55. Question 55 of 120
    55. Question

    Rights or privileges that are connected with real property are

    Correct
    Incorrect
  56. Question 56 of 120
    56. Question

    Which of the following is NOT a test to identify a fixture?

    Correct
    Incorrect
  57. Question 57 of 120
    57. Question

    Which of the following BEST defines the law of agency?

    Correct
    Incorrect
  58. Question 58 of 120
    58. Question

    A licensed real estate sales associate has a written agreement with the employing broker indicating that the sales associate will not be treated as an employee. The sales associate’s income is solely from commissions. The IRS will MOST likely consider the sales associate

    Correct
    Incorrect
  59. Question 59 of 120
    59. Question

    Which of the following is NOT a type of listing contract?

    Correct
    Incorrect
  60. Question 60 of 120
    60. Question

    The process by which government can acquire ownership of private land for public use is

    Correct
    Incorrect
  61. Question 61 of 120
    61. Question

    A real estate buyer want to ensure that the property can be willed to her family members. Which form of ownership would the buyer want?

    Correct
    Incorrect
  62. Question 62 of 120
    62. Question

    A tax lien on property can hinder its sale because it is

    Correct
    Incorrect
  63. Question 63 of 120
    63. Question

    Which of the following is the BEST way to ensure that there are no encroachments and verify the boundaries of a parcel of land?

    Correct
    Incorrect
  64. Question 64 of 120
    64. Question

    A primary feature of property held in joint tenancy is that

    Correct
    Incorrect
  65. Question 65 of 120
    65. Question

    A trust that is established after the death of the owner is called a

    Correct
    Incorrect
  66. Question 66 of 120
    66. Question

    A standard rectangular survey system section contains

    Correct
    Incorrect
  67. Question 67 of 120
    67. Question

    After real estate has been sold by the state or county to satisfy a delinquent tax lien, defaulted owners usually have a right to

    Correct
    Incorrect
  68. Question 68 of 120
    68. Question

    Which of the following is a lien on real estate?

    Correct
    Incorrect
  69. Question 69 of 120
    69. Question

    The statute of frauds requires real estate contracts to be

    Correct
    Incorrect
  70. Question 70 of 120
    70. Question

    When a prospective buyer makes a written purchase offer that the seller accepts, the

    Correct
    Incorrect
  71. Question 71 of 120
    71. Question

    On Monday, the seller offers to sell a vacant lot to the buyer for $42,000. On Tuesday, the buyer counteroffers to buy for $40,500. On Friday, the buyer learns that several other prospects may be making offers on the property, so the buyer withdraws the counteroffer and agrees to the original asking price of $42,000. Under these conditions, there is

    Correct
    Incorrect
  72. Question 72 of 120
    72. Question

    The seller conveyed a quitclaim deed to the buyer. Upon receipt of the deed, the buyer may be certain that

    Correct
    Incorrect
  73. Question 73 of 120
    73. Question

    Which of the following is a voluntary alienation of the property?

    Correct
    Incorrect
  74. Question 74 of 120
    74. Question

    Which of the following is an involuntary alienation of property?

    Correct
    Incorrect
  75. Question 75 of 120
    75. Question

    A suit to quiet title refers to

    Correct
    Incorrect
  76. Question 76 of 120
    76. Question

    When a mortgage loan has been paid in full, it is important for the borrower to be sure that

    Correct
    Incorrect
  77. Question 77 of 120
    77. Question

    Any of the following clauses in a loan agreement enable the lender to demand the entire remaining debt be paid immediately EXCEPT

    Correct
    Incorrect
  78. Question 78 of 120
    78. Question

    What would it cost to put new carpeting in a room measuring 18 feet by 20 feet if the carpet costs $16.95 per square yard, plus a $250 installation charge? (Hint: 1 yard = 3 feet; 1 square yard = 9 square feet)

    Correct
    Incorrect
  79. Question 79 of 120
    79. Question

    A proration of any prepaid utility charges is reflected at closing in which of the following ways?

    Correct
    Incorrect
  80. Question 80 of 120
    80. Question

    A house sells for $215,000. The listing brokerage receives a 6% commission on the sale. How much does the listing brokerage receive?

    Correct
    Incorrect
  81. Question 81 of 120
    81. Question

    NEXT 40 QUESTIONS PERTAIN TO NEVADA STATE LAW PORTION:

    Upon obtaining a listing, a broker or licensed salesperson is obligated to

    Correct
    Incorrect
  82. Question 82 of 120
    82. Question

    A licensed salesperson may hold concurrent licenses with more than one Nevada broker under which of the following circumstances?

    Correct
    Incorrect
  83. Question 83 of 120
    83. Question

    In Nevada, in order to successfully sue for a commission, under an exclusive-right-to-sell listing, all of the following are necessary for a listing broker to be entitled to a commission EXCEPT

    Correct
    Incorrect
  84. Question 84 of 120
    84. Question

    An airline pilot told a broker about some friends who were looking for a new home. The broker contacted the friends and eventually sold them a house. When may the broker pay the airline pilot for this valuable lead?

    Correct
    Incorrect
  85. Question 85 of 120
    85. Question

    The owner of a home, who does not have a real estate license, wants to sell that home. The owner

    Correct
    Incorrect
  86. Question 86 of 120
    86. Question

    A salesperson who wants to place a For Sale sign on a listed property must

    Correct
    Incorrect
  87. Question 87 of 120
    87. Question

    A salesperson has developed a website. What information, if anything, must the salesperson include on the website?

    Correct
    Incorrect
  88. Question 88 of 120
    88. Question

    Commissions earned by a broker in a real estate sales transaction

    Correct
    Incorrect
  89. Question 89 of 120
    89. Question

    If a broker establishes an account to hold money belonging to others, which of the following is correct?

    Correct
    Incorrect
  90. Question 90 of 120
    90. Question

    Nevada’s time-share sales law does NOT apply to which of the following?

    Correct
    Incorrect
  91. Question 91 of 120
    91. Question

    Listings based on a net proceeds received by the seller are

    Correct
    Incorrect
  92. Question 92 of 120
    92. Question

    Nevada law requires that the

    Correct
    Incorrect
  93. Question 93 of 120
    93. Question

    A real estate agent does not have to include the brokerage name on a For Sale sign if the brokerage phone number is already included on the sign.

    Correct
    Incorrect
  94. Question 94 of 120
    94. Question

    Upon obtaining a listing, a broker or licensed salesperson is obligated to

    Correct
    Incorrect
  95. Question 95 of 120
    95. Question

    In Nevada, all of the following are requirements for a broker-salesperson’s license EXCEPT

    Correct
    Incorrect
  96. Question 96 of 120
    96. Question

    The sale of a property for less than the amount of the liens encumbering the property is called a

    Correct
    Incorrect
  97. Question 97 of 120
    97. Question

    Which of the following is a requirement to obtain a real estate salesperson’s license in Nevada?

    Correct
    Incorrect
  98. Question 98 of 120
    98. Question

    Every Nevada real estate office is required to

    Correct
    Incorrect
  99. Question 99 of 120
    99. Question

    Kimberly obtained her original real estate salesperson’s license on March 25, 2013. Her license, if not renewed, will expire on

    Correct
    Incorrect
  100. Question 100 of 120
    100. Question

    Betty is a real estate broker with a small office. She does not have a property management permit. Can her office still legally engage in property management activities?

    Correct
    Incorrect
  101. Question 101 of 120
    101. Question

    The limits on recovery from the Education Research and Recovery Fund are _____ per judgment and _____ per licensee.

    Correct
    Incorrect
  102. Question 102 of 120
    102. Question

    The Real Estate Division’s disclosure document for subdivided land being offered for sale in Nevada is called the

    Correct
    Incorrect
  103. Question 103 of 120
    103. Question

    A broker is convicted on May 1 of felony possession and distribution of a controlled substance. Both the crime and the conviction took place out of state. On June 15, the broker calls the Nevada Real Estate Division and leaves a message informing the Real Estate Division of the conviction. Based on these facts, which of the following is TRUE?

    Correct
    Incorrect
  104. Question 104 of 120
    104. Question

    To be enforceable, all of the following agreements must be in writing EXCEPT

    Correct
    Incorrect
  105. Question 105 of 120
    105. Question

    Which warning message is on the cover of a public offering statement?

    Correct
    Incorrect
  106. Question 106 of 120
    106. Question

    Which of the following is a protected class under Nevada’s Fair Housing Law but not a protected class under the federal Fair Housing Act?

    Correct
    Incorrect
  107. Question 107 of 120
    107. Question

    A broker is licensed in Montana only. The broker wants to sell lots in Nevada as mobile-home sites to Montana clients as winter homes. The broker may do this if the broker

    Correct
    Incorrect
  108. Question 108 of 120
    108. Question

    Regarding a salesperson setting up a corporation or LLC, NRS 645 allows

    Correct
    Incorrect
  109. Question 109 of 120
    109. Question

    Commission hearings may result in

    Correct
    Incorrect
  110. Question 110 of 120
    110. Question

    Regarding an office location, an active broker in Reno, Nevada,

    Correct
    Incorrect
  111. Question 111 of 120
    111. Question

    All of the following are grounds for disciplinary action EXCEPT

    Correct
    Incorrect
  112. Question 112 of 120
    112. Question

    A new licensee is not yet a member of the National Association of REALTORS® but has already put the REALTOR® designation on the business card. Can the licensee be disciplined for this?

    Correct
    Incorrect
  113. Question 113 of 120
    113. Question

    What is the active experience requirement for a licensee to become a broker or a branch manager as managing broker-salesperson?

    Correct
    Incorrect
  114. Question 114 of 120
    114. Question

    A Nevada broker entered an exclusive buyer representation agreement with a client. The agreement, by its terms, was to expire on November 2, 2006. However, the broker and the client both agreed that if suitable property was not found by then, the agreement would automatically extend to January 5, 2007, unless either party gave notice that the extension was not desired. Suitable property was found and purchased on October 15, 2006, but the buyer refused to pay the agreed fee to the broker. Which of the following is MOST likely to happen in court if the broker sues to recover the agreed fee?

    Correct
    Incorrect
  115. Question 115 of 120
    115. Question

    A broker collected a commission for a house that sold after the expiration of the listing agreement with the seller. This would MOST likely be the result of a

    Correct
    Incorrect
  116. Question 116 of 120
    116. Question

    Nevada real estate license law (NRS 645) is administered by the

    Correct
    Incorrect
  117. Question 117 of 120
    117. Question

    Don has agreed to help his brother Robert sell his house. Don has disclosed his lack of a license to Robert, so they agree that Don will receive only $500 for his efforts. Which of the following is TRUE?

    Correct
    Incorrect
  118. Question 118 of 120
    118. Question

    How much active experience is required to obtain a real estate broker’s license?

    Correct
    Incorrect
  119. Question 119 of 120
    119. Question

    A person is applying for a license as a broker. The applicant must show proof of liquid assets sufficient to maintain an office for at LEAST how many days?

    Correct
    Incorrect
  120. Question 120 of 120
    120. Question

    A salesperson is showing a listing to a very interested buyer. The asking price is $148,000. The salesperson suggests that the buyer make an offer of $138,000 to “get some action on the listing.” Has the salesperson violated NRS 645?

    Correct
    Incorrect

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