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North Carolina Real Estate Commission NC Real Estate Broker National Sample Questions (Q11-Q16):

NEW QUESTION # 11
A property is selling for $690,000, and the seller's estimated closing expenses amount to $8,000. If the seller originally purchased the property for $410,000 and paid $3,000 in closing expenses, what is the seller's estimated profit on the sale?

A. $275,000
B. $291,000
C. $285,000
D. $269,000

Answer: D

Explanation:
Seller's estimated profit = Sale Price - Seller's Closing Costs - (Original Purchase Price + Original Closing Costs)
= $690,000 - $8,000 - ($410,000 + $3,000)
= $690,000 - $8,000 - $413,000 = $269,000
Correct answer: A
-

NEW QUESTION # 12
An investor bought a small office building for $500,000. They sold it 10 years later for $480,000. What is their percentage of loss?

A. 9.6%
B. 4%
C. 10.4%
D. 4.2%

Answer: B

Explanation:
To calculate the percentage of loss:
Loss = Original Price # Sale Price = $500,000 # $480,000 = $20,000
Percentage loss = ($20,000 ÷ $500,000) × 100 = 4%
Correct answer: A
-

NEW QUESTION # 13
A listing broker receives a signed offer from a buyer. Although the broker must present the offer to the seller as soon as possible, under the North Carolina Real Estate Commission Rules, the broker must present the offer:

A. within 2 days.
B. within 24 hours.
C. before the end of the next business day.
D. within 3 days.

Answer: C

Explanation:
NCREC rules require brokers to present all written offers to their client "immediately, but in no event later than three days." However, standard practice and Commission guidance emphasize that brokers must present offers no later than the end of the next business day after receipt. This ensures timely communication and allows the seller to respond promptly, especially in a competitive market. Therefore, the correct answer is B.
-

NEW QUESTION # 14
For which appraisal assignment is the gross rent multiplier (GRM) method MOST appropriate?

A. 10-unit apartment building
B. Warehouse complex
C. Residential duplex
D. Retail establishment

Answer: C

Explanation:
The Gross Rent Multiplier (GRM) is best suited for valuing small residential income properties, typically 1-4 units, where monthly rental income is a primary valuation factor. Among the options, a residential duplex (two units) fits this criteria perfectly. Larger multi-unit properties and commercial properties typically require more complex income capitalization approaches.
Reference:
NCREC Appraisal Study Guide - Income Approach
Uniform Standards of Professional Appraisal Practice (USPAP) Guidelines on GRM Use

NEW QUESTION # 15
A property manager receives a request from a prospective tenant to install grab bars in the showers and a handrail by the toilet to assist the tenant with their disability. According to the Fair Housing Act, what is the property manager required to do?

A. Ask the tenant to provide proof from a doctor or physical therapist of their need
B. Allow the tenant to make the modifications at their expense
C. Raise the amount of the tenant's security deposit to pay for the modifications
D. Make the requested modifications at the property owner's own expense

Answer: B

Explanation:
Under the Fair Housing Act, individuals with disabilities are permitted to make reasonable modifications to their rental unit at their own expense if the changes are necessary to afford them full enjoyment of the premises. The landlord or property manager must allow these modifications unless the property is government- subsidized housing, where the owner may be required to pay. Requiring medical proof or charging extra deposits beyond the cost of restoring the property (if applicable) is not allowed. Therefore, the correct answer is A.

NEW QUESTION # 16
......

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