Real Estate Broker Exam — National Portion
Disclosures and environmental issues: practice questions
Our Real Estate Broker (National) bank has 33 questions on this topic. Here are 5 of them with answers; the full mock exam draws from every topic, like the real one.
Question 1
An environmental impact statement is usually required for:
- Major federal projects
- Every home sale
- Residential leases
- Refinances
Show the answer
A. Major federal projects — Environmental impact statements are prepared for major federal actions; the outline lists them with site assessments.
Question 2
A buyer of commercial land wants to qualify for CERCLA's innocent landowner or bona fide prospective purchaser defense. The buyer should first:
- Obtain a zoning variance
- Buy title insurance
- Do all appropriate inquiries (Phase I)
- Get a standard residential home inspection
Show the answer
C. Do all appropriate inquiries (Phase I) — 42 U.S.C. 9601(35) requires all appropriate inquiries into previous ownership and uses before acquisition.
Question 3
Unless the parties agree otherwise in writing, a buyer of target housing gets how long to conduct a lead inspection or risk assessment?
- 30 days
- 10 days
- 3 days
- 60 days
Show the answer
B. 10 days — Section 745.110 gives a 10-day opportunity, which the buyer may waive in writing or the parties may change by agreement.
Question 4
A property in a special flood hazard area (100-year floodplain) has:
- A 1% chance of flooding in any given year
- No risk of flooding
- A flood every 100 years exactly
- A 50% chance of flooding each year
Show the answer
A. A 1% chance of flooding in any given year — 44 CFR 59.1 defines the area of special flood hazard as land subject to a 1 percent or greater chance of flooding in any given year.
Question 5
A leaking underground storage tank is mainly a concern because it can:
- Increase the lot size
- Contaminate soil and groundwater
- Cause radon
- Lower the property tax rate
Show the answer
B. Contaminate soil and groundwater — Leaking USTs, often holding petroleum, are a major source of groundwater contamination.