Free Virginia-Real-Estate-Salesperson Exam Braindumps
Virginia Real Estate Salesperson Questions 36–40 (page: 9)

Updated On: 10-Feb-2026

Rosa is trying to get approved for a loan so she can purchase a new home.
What type of value will the lender use to determine whether or not to approve Rosa's loan?

  1. market value
  2. insurable value
  3. appraised value
  4. assessed value

Answer(s): C

Explanation:

When approving a loan, the lender relies on the appraised value, which is the value determined by a licensed appraiser.

This ensures that the property is sufficient collateral for the loan.

Other options:

(A) Market value ­ what a buyer is willing to pay, but lenders require a professional appraisal.

(B) Insurable value ­ amount insurance would cover, not relevant for loan approval.

(D) Assessed value ­ used by tax authorities for property taxes, not lending.


Reference:

Virginia Real Estate Finance Principles ­ Loan underwriting & appraisal role

Fannie Mae Selling Guide (Collateral requirements)



Clarence owns three rental homes he doesn't have time to oversee himself. He decides to hire George to take care of his rental units in the hopes of maximizing the return on his investment.
What role is George filling?

  1. sponsoring broker
  2. appraisal manager
  3. broker's agent
  4. property manager

Answer(s): D

Explanation:

A property manager is hired by an owner to manage rental property, maintain operations, and maximize return on investment.

Other options:

(A) Sponsoring broker ­ oversees real estate salespersons, not rentals.

(B) Appraisal manager ­ not a real estate role.

(C) Broker's agent ­ represents broker in brokerage activities, not property management.


Reference:

Code of Virginia §54.1-2100 (definition includes property management as brokerage services)

Virginia Real Estate Principles & Practices ­ Property Management



All of the following are examples of legal descriptions of property EXCEPT:

  1. SW 1/4 of NW 1/4 of NE 1/2 of T3N R4E of Meridian 16
  2. 8647 Notting Hill Drive, Berkshire, Colorado 52467
  3. Lot A, Block 2 of Shady Tree Subdivision, Madison County, Wisconsin
  4. Lot E, Block 14 of West Lake Village, Orange County, Texas

Answer(s): B

Explanation:

Legal descriptions must be precise and unique so land can be located without confusion.

Accepted forms:

Metes and bounds

Rectangular (government) survey (e.g., "SW 1/4 of NW 1/4...")

Lot and block (e.g., subdivision plats)

A street address (Option B) is not a legal description--too general and can change.


Reference:

Virginia Real Estate Principles & Practices ­ Legal Descriptions

Virginia Exam Outline ­ Land and Property Descriptions



Which of these is likely to be the lien with the highest priority?

  1. mortgage
  2. tax lien
  3. attachment lien
  4. mechanic's lien

Answer(s): B

Explanation:

Real estate tax liens (property taxes and special assessments) take highest priority over all other liens, regardless of recording date.

Priority order:

Property tax liens

Special assessments

Mortgages (by recording date)

Mechanic's liens (priority may vary but generally after taxes/mortgages)

Other options:

(A) Mortgage ­ common lien but lower than tax lien.

(C) Attachment lien ­ granted by court, lower priority.

(D) Mechanic's lien ­ priority can date back to start of work, but still after tax liens.


Reference:

Code of Virginia §58.1-3340 et seq. (Real estate tax liens)

Virginia Real Estate Principles & Practices ­ Liens and Priority



A deed in lieu of foreclosure is often referred to as a "friendly foreclosure" because:

  1. This alternative to foreclosure is an option only available to friends or family of the lender.
  2. This alternative to foreclosure requires the agreement and cooperation of both lender and borrower.
  3. This alternative to foreclosure is handled by legal representatives known as "friends of the court."
  4. This alternative to foreclosure only takes place when the foreclosure sale buyer is a friend or family member.

Answer(s): B

Explanation:

A deed in lieu of foreclosure is when a borrower voluntarily conveys the property title back to the lender to avoid foreclosure.

It is called a "friendly foreclosure" because it requires mutual consent between borrower and lender, avoiding the formal court-ordered process.

Other options:

(A) Wrong ­ not limited to friends/family.

(C) Wrong ­ not related to "friends of the court."

(D) Wrong ­ buyer's relationship irrelevant.


Reference:

Virginia Real Estate Principles & Practices ­ Foreclosure Alternatives



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