Real Estate Principles Practice Question
Question
A property owner asks how a rule affects marketability in a Florida real estate transaction involving financing. Which answer best reduces transaction risk? (Item 45)
Answer choices
- A. Recognize mortgage terms, loan types, discount points, amortization, and lending laws.
- B. The salesperson may handle the matter independently without broker involvement when compensation is expected.
- C. Local custom controls even when a statute, regulation, contract, or disclosure rule applies.
- D. The requirement matters only if the buyer uses lender financing.
Correct Answer
A. Recognize mortgage terms, loan types, discount points, amortization, and lending laws.
Explanation
The correct answer is A because financing requires candidates to recognize mortgage terms, loan types, discount points, amortization, and lending laws. The other options rely on unsafe assumptions about custom, oral agreement, escrow, client preference, or independent salesperson authority and do not reflect sound Florida exam practice.
Question details
- Difficulty: easy
- Domain: Real Estate Principles
- Objective: financing