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Massachusetts-Real-Estate-Salesperson New Dumps Questions | New Massachusetts-Real-Estate-Salesperson Braindumps Pdf

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Real Estate Massachusetts Real Estate Salesperson Exam Sample Questions (Q33-Q38):

NEW QUESTION # 33
To avoid triggering full disclosure under TILA when advertising financing availability on a listed property, which of the following statements must a real estate licensee avoid using?

A. FHA and VA financing available
B. assumable loan
C. owner willing to finance
D. buy for less than $650 per month

Answer: D

Explanation:
The Truth in Lending Act (TILA, Regulation Z) regulates advertising of credit terms. If an advertisement contains a triggering term such as the amount of down payment, monthly payment, interest rate, or repayment period, then full disclosure of all financing terms must be provided.
"Buy for less than $650 per month" (D) is a triggering term because it states a specific monthly payment. This requires full disclosure of the APR, down payment, term, and total cost of financing.
"Assumable loan" (A), "owner willing to finance" (B), and "FHA and VA financing available" (C) are general financing terms that do not trigger mandatory disclosure.
Thus, the correct answer is D.
Reference: Federal TILA (Regulation Z), 12 C.F.R.1026; Massachusetts Real Estate Salesperson Candidate Handbook - Financing.

NEW QUESTION # 34
To be legally binding, a listing agreement can be signed for the owner by the

A. owner's heirs apparent.
B. trust beneficiary acting under a valid trust.
C. broker, upon telephone instructions from the owner.
D. attorney-in-fact.

Answer: D

Explanation:
Comprehensive and Detailed Explanation (150-250 words):
A listing agreement must be signed by the legal owner or someone who has proper legal authority to act on the owner's behalf. That authority is established through a written power of attorney; the person acting is called the attorney-in-fact.
A: A broker cannot sign on behalf of an owner without written power of attorney; telephone instructions are not sufficient.
B: A trust beneficiary has no signing authority unless also appointed as trustee.
C: Heirs apparent have no legal rights until the owner passes away and probate is complete.
Thus, only an attorney-in-fact can legally bind the owner in a listing agreement.
Reference: Massachusetts Real Estate Salesperson Candidate Handbook - Contracts; M.G.L. c.190B (Powers of Attorney).

NEW QUESTION # 35
A subordination agreement is used to

A. assign rents to the lender in case of borrower default.
B. initiate foreclosure proceedings.
C. pledge property for a loan without giving up possession.
D. change the priority of mortgages.

Answer: D

Explanation:
Comprehensive and Detailed Explanation (150-250 words):
Lien priority generally follows the rule of "first in time, first in right," meaning liens are paid in the order they are recorded. A subordination agreement is a legal document where a lienholder agrees to give up its normal priority position in favor of another lienholder. This often occurs when refinancing: a first mortgage lender will only agree to refinance if its lien remains in first position, so the holder of a second mortgage (or other lien) must sign a subordination agreement to remain subordinate.
This agreement does not initiate foreclosure (B), does not pledge property for collateral (C-that's the function of the mortgage itself), and does not assign rents (D-that would be an "assignment of rents" clause).
Massachusetts exam content emphasizes lien priority and the use of subordination agreements as key in refinancing scenarios. Thus, the correct answer is A.
Reference: Massachusetts Real Estate Salesperson Candidate Handbook - Financing Instruments; M.G.L. c.
183 (Mortgages).

NEW QUESTION # 36
An appraisal made by a certified appraiser is required

A. before real property can transfer from one owner to another.
B. when the buyer is using an FHA loan to purchase.
C. before any property settlement in a divorce.
D. when heirs receive property.

Answer: B

Explanation:
Comprehensive and Detailed Explanation (150-250 words):
Federal law (FIRREA, 1989) and HUD regulations require that FHA and VA loans be supported by an appraisal from a state-licensed or certified appraiser. The purpose is to determine whether the property meets minimum standards and supports the loan amount.
A: Appraisals are not required for all property transfers, only certain financed ones.
B: Inheritances may require valuations for estate tax purposes, but not necessarily certified appraisals.
D: Divorce settlements may require appraisals for division of assets, but this is not federally mandated.
Thus, the correct answer is C.
Reference: HUD Handbook 4000.1; Massachusetts Real Estate Salesperson Candidate Handbook - Appraisal
/Financing.

NEW QUESTION # 37
Which of the following will NOT be considered relevant if HUD investigates a prospective home buyer's allegation of discriminatory treatment by a licensee in a brokerage office?

A. the reports of undercover testers who visited the office
B. whether or not the HUD Equal Housing Opportunity poster is displayed in the office
C. whether the licensee believed they were acting in the best interests of the prospective buyer
D. records of the houses shown and properties suggested to the prospective buyer

Answer: C

Explanation:
Comprehensive and Detailed Explanation (150-250 words):
HUD enforces the Fair Housing Act, investigating allegations of discrimination in housing. Relevant evidence in such investigations includes objective records such as listings shown, properties suggested, office policies, whether the HUD Fair Housing poster is displayed, and even reports from undercover testers.
The licensee's personal belief or intent (C) is irrelevant. The law focuses on the effect of the action, not the subjective intent of the broker. Even if the broker believes they were "acting in the client's best interest," if the conduct results in steering, blockbusting, or other discriminatory practices, it is still a violation.
Therefore, the only irrelevant factor is the licensee's personal belief, making C the correct answer.
Reference: Fair Housing Act, 42 U.S.C. 3600; HUD Fair Housing Investigative Procedures; Massachusetts Real Estate Salesperson Candidate Handbook - Fair Housing.

NEW QUESTION # 38
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