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BARNEY FLETCHER POST LICENSE COURSE
EXAM 2025 | QUESTIONS AND CORRECT
ANSWERS | VERIFIED ANSWERS | GRADED A+
What is the impact of the "strict liability" standard for cleanup of environmental contamination? Select one: a. It means that the current and all past owners of a property must share in the clean-up costs of any contamination. b. It means that only the owner which caused the contamination is liable for the clean-up costs of any contamination. c. It means that the current owner is responsible for the clean-up costs of any contamination regardless of which owner caused the contamination. d. It means that no owner is responsible for the clean-up costs of any contamination unless it can be determined who was responsible for the contamination. ---------CORRECT ANSWER-----------------c. It means that the current owner is responsible for the clean-up costs of any contamination regardless of which owner caused the contamination. The most common type of industrial property in the United States is: Select one: a. Distribution centers; b. Warehouses; c. Light industrial; d. Flex buildings. Feedback The most common type of industrial property in the United States is light industrial. The correct answer is: Light industrial; ---------CORRECT ANSWER----------- ------c. Light industrial;
A subject property has 1,500 square feet of living space. A nearby comparable sale has 1,650 square feet of living space. The appropriate adjustment would be $5,000. This adjustment would be: Select one: a. Added to the sale price of the subject property. b. Subtracted from the sale price of the subject property. c. Added to the sale price of the comparable sale. d. Subtracted from the sale price of the comparable sale. ---------CORRECT ANSWER-----------------d. Subtracted from the sale price of the comparable sale. After an appraiser has made the appropriate adjustments when using the sales comparison approach, the appraiser will: Select one: a. Reconcile the indicated values. b. Average the indicated values. c. Stabilize the indicated values. d. Find the mean of the indicated values. ---------CORRECT ANSWER------- ----------a. Reconcile the indicated values. Which of the following types of retail centers would draw its customers from the population within 3 miles of the store? Select one: a. Strip center; b. Neighborhood center; c. Community center; d. Regional mall. ---------CORRECT ANSWER-----------------b. Neighborhood center; What is subtracted from potential gross income to arrive at the effective gross income in a commercial building? Select one: a. Vacancy losses only. b. Collection losses only.
c. Unit in place. d. Quantity survey. ---------CORRECT ANSWER-----------------c. Unit in place. A strip center is also known as a: Select one: a. Neighborhood center; b. Community center; c. Regional mall; d. Convenience center; ---------CORRECT ANSWER-----------------d. Convenience center; When is it especially important to "stabilize" the net operating income when using the capitalization approach to appraisal? Select one: a. When valuing a new building. b. When the net operating income has had wide variations over the past several years. c. When net operating income is below expectations. d. When expenses have been lower than expected for the past several years. ---------CORRECT ANSWER-----------------Stabilizing the net operating income is especially important when it has had wide variations over the past several years. The correct answer is: When the net operating income has had wide variations over the past several years. A subject property has four bedrooms while a comparable sale has only three bedrooms. The extra bedroom adds $7,500 to the value of a property in this neighborhood. The $7,500 adjustment would be: Select one: a. Added to the sale price of the subject property. b. Subtracted from the sale price of the subject property. c. Added to the sale price of the comparable sale.
d. Subtracted from the sale price of the comparable sale. ---------CORRECT ANSWER-----------------Appraisers never adjust the subject property. The comp is "poor" in terms of bedrooms so the $7,500 would be added to the sale price of the comp. The correct answer is: Added to the sale price of the comparable sale. Which of the following types of retail centers would draw its customers from the population within 3 to 6 miles of the store? Select one: a. Strip center; b. Neighborhood center; c. Community center; d. Regional mall. ---------CORRECT ANSWER-----------------c. Community center; The Environmental Protection Agency estimates that what percentage of dry cleaners currently in operation have contamination issues? Select one: a. 45%. b. 55%. c. 65%. d. 75%. ---------CORRECT ANSWER-----------------d. 75%. A young couple comes into a Georgia real estate brokerage office and tells an agent that they are looking for a home in a particular price range. Both spouses are 25 years old. The agent who greeted them at the door tells them that the firm normally doesn't work with people of their age group, but in this case the agent will make an exception. This scenario is an example of: Select one: a. Overt evidence of disparate treatment; b. Comparative evidence of disparate treatment; c. Evidence of disparate impact;
If a seller is held liable for the actions of a real estate licensee representing that seller, that would be an example of: Select one: a. Vicarious liability; b. Indirect liability; c. Subsidiary liability; d. Employment liability. ---------CORRECT ANSWER-----------------a. Vicarious liability; What is the next step if a lawsuit shows conclusive evidence that a particular policy of a lender or municipal government has had a disparate impact on a protected class? Select one: a. The judge then determines the monetary damages to be paid to the plaintiffs. b. The case is then referred to HUD or the DOJ for criminal prosecution; c. The plaintiff will then have to show that the policy is illegal; d. The defendant will then have to show that the policy serves some business necessity ---------CORRECT ANSWER-----------------d. The defendant will then have to show that the policy serves some business necessity A disabled tenant makes a request for a reasonable accommodation which the property owner believes to be unreasonable. What further obligation does the owner have to the tenant at that point? Select one: a. To investigate the possibility of a different accommodation that would achieve the same objective but create less burden for the property owner; b. To submit to mediation; c. To submit the request to a court for further consideration; d. None whatsoever. Feedback ---------CORRECT ANSWER-----------------a. To investigate the possibility of a different accommodation that would achieve the same objective but create less burden for the property owner;
In today's economy, which of the following factors have most frequently been involved in fair housing complaints against insurance companies? Select one: a. Insurance companies have denied coverage or charged higher premiums to property owners who accept housing choice vouchers; b. Connecticut law which requires property owners to accept housing choice vouchers; c. Both of the above; d. None of the above. ---------CORRECT ANSWER-----------------c. Both of the above; Which of the following words or phrases in an advertisement would be considered a violation of the Fair Housing Act? Select one: a. Walking distance to public transit; b. Exclusive neighborhood; c. Desirable neighborhood; d. Mother-in-law suite. ---------CORRECT ANSWER-----------------b. Exclusive neighborhood; In 1968 the Supreme court ruled in the Jones vs. Mayer Co. case. The courts' decision upheld the law which provides protection on the basis of: Select one: a. Sexual discrimination; b. Racial discrimination; c. Discrimination on the basis of national origin d. Religious discrimination ---------CORRECT ANSWER-----------------b. Racial discrimination; Which of the following phrases in a rental advertisement would be deemed discriminatory against the disabled? Select one: a. Attractive independent living;
c. 150 square feet; d. 210 square feet. ---------CORRECT ANSWER-----------------c. 150 square feet; The Fair Housing Act is part of what larger law? Select one: a. The Civil Rights Act of 1964; b. The Civil Rights Act of 1866; c. The Civil Rights Act of 1968; d. The Civil Rights Act of 1974. ---------CORRECT ANSWER-----------------c. The Civil Rights Act of 1968; An apartment complex owner has a rule regarding the use of the pool which states "Children must leave the pool by 6:30 pm and must be supervised by a resident relative at all times when using the pool." Which of the following statements is correct about whether this policy would constitute discrimination on the basis of familial status? Select one: a. Since safety is a valid concern, this policy would be permissible. b. This policy would be a violation, solely because of the requirement that the supervising adult must be a relative; c. This policy would be a violation, solely because of the time restriction; d. This policy would be a violation because of both the time restriction and the requirement that the supervising adult must be a relative. Feedback ---------CORRECT ANSWER-----------------his policy would be a violation because of both the time restriction and the requirement that the supervising adult must be a relative. The law that states that it is illegal to refuse to sign a contract because the other party is not a Caucasian is: Select one: a. The Civil Rights Act of 1866; b. The Fair Housing Act; c. The Fair Housing Amendments Act of 1988;
d. The Gramm-Leach-Bliley Act. ---------CORRECT ANSWER----------------- a. The Civil Rights Act of 1866; Which of the following property owners would be exempt from the prohibition against discrimination in the Civil Rights Act of 1866? Select one: a. The owner of a single-family residence who owns 3 or less such residences and does not use a licensed real estate agent; b. A religious organization that gives housing preferences to its members; c. Both of these choices; d. None of these choices. ---------CORRECT ANSWER-----------------d. None of these choices. What is the recommended practice for a licensee to follow when asked about the local school districts? Select one: a. Act as a resource rather than an advisor; b. Give an honest opinion about each school district; c. Give no information about school districts; d. Recommend the best school district in the area. ---------CORRECT ANSWER-----------------a. Act as a resource rather than an advisor; In today's economy, what is the most common type of discrimination complaint filed against municipalities? Select one: a. Restrictive zoning that attempts to exclude African-American people from moving into the city; b. Unreasonable building codes; c. Unreasonable occupancy limits; d. Restrictions against group homes for the disabled in residential neighborhoods. ---------CORRECT ANSWER-----------------Restrictions against group homes for the disabled in residential neighborhoods.
Which of the following statements is/are true regarding the addition of sexual orientation and the gender identity as members of a protected class? Select one: a. It is based on a Supreme Court decision and a Presidential Executive Order; b. It is based on the protected class of sex; c. Both of the above; d. None of the above. ---------CORRECT ANSWER-----------------c. Both of the above; A fair housing complaint on the basis of excluding those with a record of criminal conviction may be based on allegations of: Select one: a. Disparate impact; b. Disparate treatment; c. Either of the above; d. None of the above. ---------CORRECT ANSWER-----------------c. Either of the above; A lawsuit has been filed alleging discrimination in housing against a person based on a disability. The defendant has argued that the plaintiff is not disabled under the definition of a disability in the Fair Housing Act. The court considered this argument and issued an order stating that the individual is indeed disabled under the definition of a disability in the Act. This court order is an example of: Select one: a. Injunctive relief; b. Punitive relief; c. Consequential relief; d. Declaratory relief. ---------CORRECT ANSWER-----------------d. Declaratory relief.
Which of the following choices would be an example of a member of the "familial status" protected class under the Fair Housing Amendments Act? Select one: a. Any married couple; b. A single mother with a 19-year old child; c. A married couple with two grown children; d. A pregnant woman. ---------CORRECT ANSWER-----------------d. A pregnant woman. If a landlord or property manager treats Caucasian tenants better than Latino tenants, that would be an example of: Select one: a. Overt evidence of disparate treatment; b. Comparative evidence of disparate treatment; c. Evidence of disparate impact; d. Both A and B above. ---------CORRECT ANSWER-----------------b. Comparative evidence of disparate treatment; One of the recommended fair housing practices is that real estate brokerage firms should review and evaluate the location of homes shown and sold. What is the fair housing purpose for doing this? Select one: a. To determine if steering is going on; b. To comply with the requirement to report this data to the federal government; c. Both of the above; d. None of the above. Feedback ---------CORRECT ANSWER-----------------a. To determine if steering is going on; Information gathered because of the Home Mortgage Disclosure Act would most likely be used for which type of discrimination lawsuit? Select one: a. Overt evidence of disparate treatment;
Feedback ---------CORRECT ANSWER-----------------d. Targeting. One of the most common forms of Mortgage Fraud in the US. is equity skimming. It includes all of the following, EXCEPT: Select one: a. Homeowners who are behind on payments being targeted by criminals; b. Homeowners facing foreclosure that need to sell their homes quickly c. A promise made by skimmer that will take over payments, but never pays; d. Homeowners buying less house than they can afford ---------CORRECT ANSWER-----------------Equity skimming involves getting a homeowner to sign over his or her current home, not buying a new home. The correct answer is: Homeowners buying less house than they can afford _____ is the process of attempting to make money earned illegally appear to be legitimate. Select one: a. Money laundering; b. Misrepresentation; c. Duress; d. Flipping. ---------CORRECT ANSWER-----------------a. Money laundering; If a lender advertised a loan with an exceptionally low teaser rate without disclosing that the rate only applies for the first month of the loan, the advertisement: Select one: a. Would be legal, but unethical as bait and switch advertising; b. Would be both illegal and unethical as bait and switch advertising; c. Would be legal, but unethical; d. Would be ethical, but not legal. ---------CORRECT ANSWER----------------- The correct answer is: Would be both illegal and unethical as bait and switch advertising;
What is the primary method by which the SAFE Act promotes ethical mortgage lending and origination practices? Select one: a. By requiring a license, which can be suspended or revoked; b. By giving clear ethical guidancel c. By specifying underwriting standards; d. By requiring HUD-approved loan counseling. ---------CORRECT ANSWER-----------------a. By requiring a license, which can be suspended or revoked; Which statement is FALSE regarding duress? Duress: Select one: a. Can take any number of forms; b. May force a person to do something against his or her will; c. Duress is caused by a party who benefits under the contract; d. Covers situations of forcing someone's assent by legal means --------- CORRECT ANSWER-----------------d. Covers situations of forcing someone's assent by legal means Which of the following statements is the most accurate statement regarding the difference between ethical standards and legal standards: Select one: a. Ethical standards guide us on what we should (or should not) do; b. Legal standards guide us on what we should (or should not) do; c. There is no relationship between legal standards and ethical standards; d. Legal standards and ethical standards are the same. ---------CORRECT ANSWER-----------------a. Ethical standards guide us on what we should (or should not) do; Each of the following items on a loan application is a possible red flag for mortgage fraud, EXCEPT: Select one: a. The employer's address is a PO Box;
Select one: a. Fraud for property; b. Equity skimming; c. Property flipping; d. Cash back on closing. ---------CORRECT ANSWER-----------------c. Property flipping; Mr. Jones owns a house worth $150,000, on which he owes $100,000. He also owes an additional $150,000 to various creditors, including credit card companies and other unsecured lines of credit. He sells the home to his daughter for $110,000 and shortly thereafter files for bankruptcy. The bankruptcy court is likely to view this sale to his daughter as: Select one: a. A prudent business move; b. A fraudulent transfer; c. An unethical, but not illegal transaction; d. None of these choices. ---------CORRECT ANSWER-----------------Since the property was sold for less than fair market value shortly before the bankruptcy filing, it will most likely be viewed as a fraudulent transfer. The fact that the sale was to a family member reinforces this likelihood. The correct answer is: A fraudulent transfer; Which of the following statements is NOT true of mortgage fraud-for- property? Select one: a. The applicant might overstate his or her income; b. The applicant often has no intention of ever repaying the loan; c. The transaction might involve a "silent second;" d. The applicant often makes significant misrepresentations on the application. ---------CORRECT ANSWER-----------------In a fraud-for-property scheme, the applicant usually fully intends to repay the loan. The applicant is lying in order to get a loan for which the applicant would not otherwise qualify. They typically intend to live in the property and intend to make the required payments. The correct answer is: The transaction might involve a "silent second;"
The "ability to repay" test of the Dodd-Frank Act was designed to address: Select one: a. The foreclosure crisis; b. Abuses in the subprime mortgage market; c. High interest rates; d. Excess competition. ---------CORRECT ANSWER-----------------b. Abuses in the subprime mortgage market; Charlie is paid $10,000 to pretend to be the purchaser of a home. He fills out the loan application and attends the closing, but the property is actually owned by someone else. Charlie has acted as a: Select one: a. Straw buyer; b. Property flipper; c. Holder of a throw-away second; d. Intermediary buyer. ---------CORRECT ANSWER-----------------a. Straw buyer; The practice of purchasing a home not from any rational economic analysis but from purely speculative expectations regarding future appreciation relates to which of the following theories: Select one: a. Greater Fool Theory; b. Hot Potato Theory; c. Constant Appreciation Theory; d. Rapid Appreciation Theory; Feedback ---------CORRECT ANSWER-----------------The greater fool theory is expressed by the idea that there will always be some fool willing to pay an even higher price later. It is based on a speculative fever rather than a rational economic analysis. The correct answer is: Greater Fool Theory;
