(1) PART I - QUESTIONS PDF.pdf

PAST YEARS RES EXAM MCQ (2011 – 2015)

Past Years’ RES Examination MCQ Questions

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January 2011 Building A enjoys an easement of light over Building B, which means that there is a height limit imposed on Building B by the owner of Building A. What is the land which enjoys the easement known as? (a) Easement appurtenant (b) Servient tenement (c) Dominant tenement (d) Burdened tenement Answer: ( ) Which of the following is an example of restrictive covenants? (a) Planning authority imposing a height limitation (b) To perform a contractual obligation (c) Owner of Land A is allowed to enter Land B to ‘fish in the pond’ (d) None of the above Answer: ( ) A person who purchases a lot in a development with restrictive covenants is legally bound by the limitation, such as zoning, because such rights are said to (a) last in perpetuity (b) subject to contract (c) run with the land (d) create a binding contract Answer: ( ) What is the unique feature of a joint tenancy? (a) It confers the right of survivorship (b) It confers co-ownership of land in equal share (c) It cannot be sold or broken up while the joint tenants are still alive (d) A joint tenant can give away his ownership right upon his death by a valid will Answer: ( ) A joint tenancy can be broken up in a joint tenant’s lifetime by way of (a) Alienation (b) Partition (c) Unilateral declaration (d) All of the above Answer: ( ) Which of the following items does not come under the definition of land rights? (a) Overhead bridge (b) Underpass (c) Container office in a construction site (d) All of the above Answer: ( ) A mortgagor is entitled to the right of (a) Redemption (b) Foreclosure (c) Re-entry (d) Reversion Answer: ( ) Which of the following is/are right(s) of a mortgagee? (a) Right of foreclosure (b) Right to appoint a receiver (c) Right to lease or sell the property (d) All of the above Answer: ( ) 1


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Mr A bought a private condo unit on 15 January 2011 for $750,000; and he exercised the Option to Purchase on 28 January 2011. He intends to sell the property the following month. What is the amount of Seller’s Stamp Duty (SSD) payable by Mr A? (a) $120,000 (b) $90,000 (c) $60,000 (d) $17,100 Answer: ( ) Under the Residential Property Act, how soon must an ex-citizen or ex-permanent resident of Singapore dispose of a restricted property? (a) 10 years (b) 5 years (c) 3 years (d) 6 months Answer: ( ) Despite the lack of deed, the lender of an equitable mortgage may register the memorandum to secure (a) Third party interests (b) Right of foreclosure (c) Priority over other unregistered interests (d) All of the above Answer: ( ) Equitable mortgages may be created informally: (a) by deposit of title deeds (b) by the property owner entering into a mortgage agreement with the lender (c) by naming a beneficiary in a will (d) only answers (a) and (b) are correct Answer: ( ) Beside estate in ‘fee simple’, another form of freehold estate is known as _________________. The sources of business law in Singapore come from (a) The English Common law (b) Principles of equity (c) Statutes (d) All of the above Answer: ( ) Which of the following landed properties do/does not require the special approval from the Singapore government before a foreigner can own it? [i] A unit in a cluster housing project [ii] A town house [iii] A semi-detached house [iv] A terrace house (a) Only [i] (b) Only [ii] (c) All of the above (d) None of the above Answer: ( ) Which of the following properties do/does not come with a land title? [i] A unit in a cluster housing project [ii] A town house [iii] A semi-detached house [iv] A terrace house (a) [i] (b) [ii] 2


(c) [i] and [ii] (d) None of the above 17

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Answer: ( ) Which of the following clauses is an exception to the right of ‘exclusive possession’ in a room rental tenancy agreement? (a) The right of the landlord to conduct ‘surprise check’ (b) The right of the landlord to gain access to the room to carry out urgent repair (c) The right of the landlord to inspect travel documents of the tenant (d) All of the above Answer: ( ) Which of the following is not the correct procedure in ‘handing over’ of a rental property upon lease expiry? (a) The tenant ‘revert’ the property to its original condition (b) The tenant service the air-conditioner as per the tenancy agreement (c) The tenant packed up and mail the key back to the landlord (d) All of the above Answer: ( ) Which of the following is not future interest in land? (a) Buying over a property with 10 years tenancy agreement (b) Aunt’s will that her property will be given to Peter (c) A beneficiary (d) All of the above Answer: ( ) Rental review is described in which part of the contract? (a) Rent review clause (b) Escalation clause (c) Constructive eviction clause (d) The ‘Reddendum’ clause Answer: ( ) What does the ‘habendum clause’ in a tenancy agreement describe? (a) The rent amount (b) The commencement date (c) The landlord must not disturb the quiet enjoyment of the tenant (d) The landlord must bear all property taxes Answer: ( ) How is a real estate contract formed? (a) By the buyer exercising the Option to Purchase (b) By the buyer executing the Sale and Purchase Agreement (c) By the buyer attending a resale appointment (d) Only answers (a) and (b) are correct Answer: ( ) What is the largest size of the flyer to be pasted at a bus stop notice board? (a) B5 (b) B6 (c) A5 (d) A4 Answer: ( ) February 2011 All taxes in Singapore are collected by .

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The Administration of Muslim Law Act gives power to Muslim Singaporeans.

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are titles for subsidiary proprietor who owns air space exclusively and has a undivided share of common property. 3

Court to deal with divorce of


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There are no two identical properties though they can be in the same location and having the same size. Such a characteristic of property is called .

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A salesperson selling a property has to make sure that the property is free from A collective sale of two rows of terrace house must get a requisite consent of In Singapore, or SLG are freehold estates. A salesperson is more considered as an employee of seller in term of control test and intention of parties.

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A replaces the existing tenancy agreement by the new agreement with third party. The new tenancy agreement will now bind the third party and landlord.

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The common way used to determine causation is test. In a joint tenancy, there must not be “words of .” A caveat is valid for years. Height restriction falls under the category of covenants. The principle of estoppels protects: (a) The property seller against fraud (b) The prospective buyer or third party against mistakes made by the seller (c) The agent or real estate salesperson (d) None of the above

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Answer: ( ) The owner of a landed property is renovating his house and is told by the neighbour to shore up the shared wall. The land which carries such a burden is called the ____________________ (a) Dominant tenement (b) Servient tenement (c) Dominant hereditament (d) Servient hereditament Answer: ( ) Peter bought a private residential property on 13 January 2011. When is the earliest date he could resell the property so as to avoid paying the Seller’s Stamp Duty? (a) 13 January 2012 (b) 13 January 2013 (c) 13 January 2014 (d) 13 January 2015 Answer: ( ) Which one is not the characteristic of joint tenancy? (a) Unity of survivorship (b) Unity of interest (c) Unity of title (d) Unity of possession Answer: ( ) Tom went to visit his friend’s house, a 165 sq m property with boundary walls adjacent to neighbours. Tom wants to buy a house similar to this one. As a salesperson, which property would you show to Tom? (a) Bungalow (b) Linked bungalow (c) Terrace house (d) Semi-detached house Answer: ( ) Which zone does not control the type and use of property? (a) White zone (white site) (b) Utility zone (c) Commercial zone (d) Industrial zone Answer: ( ) 4


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Jason has a tenancy in common of a shop with James in 50% shares. Jason died in an accident and he did not have any will. (a) Jason’s wife will inherit the 50% shares (b) James will become the sole owner of the shop (c) Jason’s 50% share will be vested in the Chief Justice (d) None of the above Answer: ( ) Which of the properties below does not require an ‘Approval-in-principle’ (AIP) from LDAU for foreign buyers? (a) Good class bungalow (b) Terrace house (c) A bungalow in Sentosa Cove (d) All but one unit apartment in a development Answer: ( ) The rent is subject to 5% increase every 3 years. This clause is stated in: (a) Habendum (b) Reddendum (c) Covenant (d) Prohibitions Answer: ( ) A tenant rented a property from Oct to Dec 2009. He did not pay the rent for this period until January 2010. The landlord: (a) Does not need to declare the rent at all (b) Needs to declare in YA 2010 as the rent was due in 2009 (c) Needs to inform the Comptroller of Property Tax of the rental void (d) Needs to declare in YA 2011 as the rent was received in 2010 Answer: ( ) Which property that has the least restriction from Government? (a) A 9-year old HDB flat at 9 storey (b) A 9-year old leasehold landed property (c) A 9-year old Executive Condo at 9 storey (d) A 9-year old hotel on a white site Answer: ( ) The advantages of Torrens System over Registration of Deeds: (a) it has record of all interests affecting the land (b) it records all legal transactions affecting the land (c) it simplifies real estate conveyance (d) all of the above Answer: ( ) The price of a terrace shop house is affected by: (a) Changing the zone from B1 to Business Park (b) A MRT station will be built near the shop (c) The traffic condition (d) The rents it can attract Answer: ( ) A car park lot is considered: (a) a corporeal hereditament (b) an incorporeal hereditament (c) chattel (d) personal property Answer: ( ) XYZ Holding Company owns a property and put it under REIT. XYZ has changed which characteristic of real estate? (a) Immobility 5


(b) Indivisibility (c) Durability (d) illiquidity 52

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Answer: ( ) Sam, an American stationed in Singapore, rented a bungalow for 8 years. Six months later the landlord was declared bankrupt and the mortgagee foreclosed the property and evicted him. Will Sam be able to enforce his rights under the lease? (a) Yes, as a tenancy binds the third party as well (b) Yes, the property must be sold with tenancy intact (c) No, as the mortgagee’s interests supersedes those of the tenants (d) No, the 8-year lease he had entered was an illegal contract Answer: ( ) Mia grants her property to Nick for his lifetime and thereafter Olive will own the property in fee simple. Which of the following statements is correct? (a) Mia gives away her property to Nick as a lessee for his lifespan and entitles Olive with reversion interest in fee simple (b) Mia gives away her property, Nick owns it in fee simple and Olive has a leasehold (c) Mia merely gives all the other parties a leasehold interest without real ownership (d) Mia enjoys reversionary right at the moment Answer: ( ) Amy went to view a penthouse unit and noticed that it has a roof terrace and an awning. She asked the salesperson whether the roof terrace and awning are approved. The salesperson confirmed and said it would not be a problem to get the approval. Amy bought the penthouse but her application to retain the awning was rejected. (a) The salesperson did not do anything wrong as Amy should check with the relevant authority herself (b) It is the salesperson’s negligent misrepresentation as the salesperson has the duty to check with the building authority (c) As these are matters to be dealt with by building professionals, the salesperson at worst had committee innocent misrepresentation (d) The salesperson committed fraudulent misrepresentation Answer: ( ) David grants Tom an OTP which will be due three days later. Tom has paid $5,000 as deposit to buy his property at $500,000. David is approached by Ken who offers to buy at $550,000. What can David do? (a) David can grant another OTP to Ken subject to Tom approval (b) David can revoke the OTP and return the $5,000 to Tom (c) David can ignore Tom’s acceptance as Tom’s offer is lower than Ken (d) David can only grant OTP to Ken if Tom does not exercise his OTP in three days. Answer: ( ) Peter bought a terrace house where NPark prohibits the tree to be more than 2 m tall. This prohibition by NPark is known as (a) A positive easement that runs with the land (b) a negative easement that runs with the land (c) a restrictive covenant that runs with the land (d) encumbrance Answer: ( ) A father gifted his bungalow to his son. After a year, he filed for bankruptcy as he was heavily in debt from his gambling. His wife also divorced him. Can the father take back the house from his son? (a) No a gift is irrevocable and creditors cannot force him to take it back after a year of the gift (b) Yes, he can take the bungalow back as he was assumed to have done it to avoid his creditors (c) Yes, there is no consideration between the father and son (d) Yes, as any agreement struck between father and son is considered to be non-binding Answer: ( ) 6


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You are required to apply for change of use for a shop house if: (a) There is a change from one use class to another use class (b) There is a change from one use class to another use that is not classified in the use classification (c) There is a change from one use to another use in the same class (d) There is a change from a betting shop to a food establishment Answer: ( ) April 2011 2 Susan bought a property with no shared boundary walls, 2,500m in size, and her agent told her there's a height restriction of 2 storeys. Her property is most likely in a _______________ area. Estates in _________________________ or SLG are estates in perpetuity granted by the state. Industrial properties from JTC and HDB are _____________________ estates with leases lasting 30 - 60 years A property has a height limit of 35m. This limit is an example of a _____________________ covenant The computation of the differential premium is based on the _____________________ rates. Under the Torrens System, the _______________ of __________ is used to record material facts about the land. Private property owners are responsible for monthly payments to 2 different funds, these are the ______________________ fund and the _____________________ fund Under Registration of Deeds, a title search needs to be performed for ______________ years A court order which prevents property owner A from blocking the road so that property owner B has access to it is called a/an _______________________ Unless the contract of sale is prescribed by the authority e.g. HDB option, other sale contracts used in private property transactions are governed by the principle of _____________________________________. HDB and URA property transactions data is updated _________________________. Real estate salespersons must execute a ______________________________________ before submitting the HDB resale checklist (sic) “during first HDB appointment’ Foreign worker housing must meet fire safety regulations stipulated by the Singapore __________________________________________________ . When did the current SSD take effect? (dd/mm/yyyy) ____________________________ After a property buyer has paid the Option Money, he exercises the Option and pays another Option Exercise Fee. Together, what are the two payments known as? ___________________________ A quality of real estate which makes it different from other assets is its: (a) heterogeneity (b) liquidity (c) spontaneity (d) profitability Answer: ( ) A financial loss occurs in a collective sale when (a) difference between net sale proceeds & original purchase price before signing CSA is negative (b) difference between net sale proceeds & original purchase price after signing CSA is negative (c) difference between gross sale price & original purchase price before signing CSA is negative (d) difference between gross sale price & original purchase price after signing CSA is negative Answer: ( ) Ann bought a landed property which has shared boundary walls on the left and right. She has a view of the pool, tennis courts, and BBQ pits within the private estate. Ann most likely lives in a: (a) semi-D 7


(b) condo (c) cluster house (d) terrace house Answer: (

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Answer: ( A client rented a property for 3 years with an option to renew for 3 years. This is example of: (a) fixed term lease (b) periodic lease (c) licence (d) service tenancy Answer: ( Which of the following is incorrect concerning joint tenancy? (a) right of survivorship (b) own land in equal shares (c) can grant the interest in a will (d) all of the above Answer: ( A car park is considered a: (a) hereditament (b) chattel fixture (c) accessory lot (d) trade fixture Answer: ( A has a right of view over B’s land (a) A’s land is the dominant tenement, and B’s is the servient tenement (b) A’s land is the servient tenement, and B’s is the dominant tenement (c) A’s land is the dominant hereditament, and B is the servient hereditament (d) A’s land is the servient hereditament, and B is the dominant hereditament Answer: ( Which of the following, if breached, can cause a contract to be rescinded? (a) Condition (b) Term (c) Warranty (d) Covenant Answer: ( Caveats last for how many years? (a) 1 (b) 3

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Which is considered 'land'? [i] Temasek Boulevard [ii] overhead bridge linking 2 buildings [iii] multistorey carpark at Suntec City [iv] Civil War Memorial Park (a) All of the above except item [ii] (b) All of the above except item [iii] (c) All of the above except item [iv] (d) All of the above

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Which of the following is not future interest in land? (a) Testate Succession (b) Remainder in fee simple (c) Life estate (d) beneficiary interest in a trust

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Answer: ( ) Joint tenancy and Tenancy in common share this unity of joint ownership of land (a) Unity of Time (b) Unity of Title (c) Unity of Interest (d) Unity of Possession Answer: ( ) Mr A paid 70% of the purchase price, while Mr B paid the rest of the price. What type of ownership will they most likely be holding the property? (a) Joint Tenancy (b) Tenancy in common (c) Tenancy-in-common coupled with joint tenancy (d) sole ownership with license to use land Answer: ( ) Which mode of land holding is perpetual except liable to pay statutory charges? (a) Life estate (b) Remainder in leasehold (c) Land in perpetuity (d) fee simple absolute estate Answer: ( ) Habendum clause refers to: [i] Date of contract [ii]Date of commencement & terms of contract [iii] rent amount [iv] security deposit [v] rent review [vi] when to pay rent (a) only [i] (b) only [ii] (c) [ii] and [iii] (d) all but [i] and [ii] Answer: ( ) Reddendum clause refers to: (same as above [i] to [vi]) (a) only [i] (b) only [ii] (c) [ii] and [iii] (d) all but [i] and [ii] Answer: ( ) An expatriate tenant rented a property for 6 years. He installed a chandelier, put replica tapestries and a moose head on the wall. Can he remove these items when he moves out? (a) No; the items will improve the value of the land and therefore should be considered fixtures in a residential property which cannot be removed (b) No; items affixed permanently in a residential property and whose removal will cause damage to the property cannot be removed when the owner of the items moved out of the house (c) Yes, only with landlord’s expressed consent (d) Yes, ornamental fixture for domestic purpose and for tenant’s own enjoyment can be removed by tenant without seeking landlord’s permission Answer: ( ) C rents office from B. B sells to A with tenancy. Which kind of real estate transaction is this? (a) Novation 9


(b) Subletting (c) Assignment (d) Sub-contract Answer: ( 92

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A lease cannot be terminated by (a) Constructive Eviction Clause (Sam Gian’s note: it means tenant cancels lease legitimately) (b) Escalation Clause (c) Diplomatic Clause (d) Forfeiture Clause Answer: ( ) Bob bought a property and obtained an interest rate of SIBOR (3 months) + 0.75% pa (a) Bob's interest will increase 0.75% every year (b) Bob's interest is 0.75% above the interbank lending rate (c) The maximum rate of Bob's interest is 0.75% (d) The minimum rate of Bob’s interest is 0.75% Answer: ( ) What can be registered with the Singapore Land Registry? (a) Deed (b) Common law debt (c) Subletting agreement (d) Tenancy agreement Answer: ( ) For there to be a contract, there has to be: [i] intention to create legal relations [ii] invitation to treat [iii] offer [iv] acceptance (a) all but [i] (b) all but [ii] (c) all but [iii] (d) all but [iv] Answer: ( ) Similarity between a 3-year lease and a 3-year licence: (a) both can be assigned (b) both can be sub-let without landlord consent (c) both allow the holder the right to occupy the premises within that 3-year duration (d) both expire when holder dies Answer: ( ) Which of the following is not an offer: (a) client e-mail agent, telling him to offer $10 million on the property (b) client call agent, telling him to offer $5 million for a property (c) owner tells buyer that if he increase offer price to $10 million, owner will sell to him (d) all of the above Answer: ( ) If agent led buyer to believe that the basement car park can be turned into retail space, but in fact, it could not, then agent committed which kind of misrepresentation? (a) negligent (b) fraudulent (c) innocent (d) malicious Answer: ( ) If a real estate salesperson's inaccurate description of the state of repairs of the property induced a buyer to buy the property, the salesperson commits: (a) agent didn't do anything wrong as the principle of caveat emptor applies 10


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(b) fraudulent misrepresentation as he deliberately conceal the defects inside a property and in so doing deceive the buyer into believing that a quality exists when it actually does not (c) negligent misrepresentation as the real estate salesperson ought to provide the most truthful and accurate description of the property to prospective buyers including the defects (d) innocent misrepresentation Answer: ( ) Which of the following is not a common law remedy? (a) restitution (b) revocation (c) rescission (d) injunction Answer: ( ) Principal cancelled agent's exclusive-right-to-sell agreement but continued to refer to him as his agent. This agent continued to introduce prospective buyers to the seller. Eventually, one of the prospective buyers bought the property. The principal now cannot deny that the agent is his agent by a principle called: (a) Estoppels (b) Rectification (c) Injunction (d) Adjudication Answer: ( ) If A hired his sibling B to sell a property without paying him commission (a) B still has to carry out his duties with care & skill even though he is not paid the commission (b) B's level of care should be proportional to the amount of commission (c) Since B is A's brother, he will have to carry out his duties with care and skill (d) When there is no monetary compensation, there is no duty of care involved Answer: ( ) The Neighbour Principle would most likely not be applicable to the relationship between (a) teacher & student (b) a man & his best friend (c) doctor & patient (d) agent & principal Answer: ( ) Bob, an Indonesian, plans to buy a strata-titled unit in an office building. (a) He needs to obtain the approval from Land Dealings (Approval) Unit (b) He needs to have lived in Singapore for 5 years (c) There are no restrictions for foreigners to own non-residential properties (d) He needs to obtain the approval from the management corporation (MC) of the building Answer: ( ) Which of following is regulated under the Residential Property Act? (a) HDB flats (b) HDB shop-houses (c) Private condominiums (d) Industrial building Answer: ( ) If Charlie bought a shophouse with commercial on the ground floor and living quarters on the upper floor today, and sold it 11 months later, what would be the SSD amount payable? (a) 16% of the purchase price of the entire shophouse (b) 16% of the price paid for the living quarters (c) 12% of the purchase price of the entire shophouse (d) 12% of price paid for living quarters Answer: ( ) Jenny rented a furnished apartment for $2,200 per month for a 2-year term. What is the 11


amount of stamp duty payable? (a) $105 (b) $106 (c) $210 (d) $212 108

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Official Assignee (OA) consent is needed by whom: [i] bankrupt Singapore citizen sellers of HDB flats [ii] bankrupt Permanent Resident (SPR) seller of HDB flats [iii] bankrupt buyer buying a 5-room flat [iv] bankrupt buyer buying an executive apartment (a) [i] and [ii] (b) [ii] and [iii] (c) [ii] and [iv] (d) All of the [i], [ii], [iii] and [iv] Check the immigration status of a prospective tenant with: (a) ICA (b) MOM (c) employer (d) ICA & MOM Answer: ( ) Who should pay maintenance fees? An agent should advice his landlord that: (a) Landlord pays; if tenant is late with payments, landlord's unit might be forfeited (b) Landlord pays; but include the maintenance fees in the rent (c) Tenant pays so landlord don't have to worry about it (d) Does not matter who pays Answer: ( ) Property Tax and Income Tax (a) both computed with the net annual value (NAV) (b) both computed with the gross annual value (c) property tax computed with NAV while income tax is computed with gross annual value (d) property tax computed with gross annual value while income tax is computed with NAV Answer: ( ) GST is not payable on: (a) residential property contract (b) shophouse contract (c) factory contract (d) agent's commission Answer: ( ) A give life estate to B, and when B pass away, property goes back to A. What kind of interest does A have? (a) Reversionary (b) Leasehold interest (c) Life estate (d) Universal succession Answer: ( ) A Trust is: (a) private relationship between trustee & beneficiary only (b) contractual relationship between trustee & benenficiary (c) contractual relationship between trustor and trustee (d) contractual relationship between beneficiary and 3rd party buyer Answer: ( ) Which of the following is NOT a type of Master Plan zoning? 12


(a) (b) (c) (d)

open space zoning condominium zoning park zoning beach

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Singapore's real estate market is not characterized by: (a) sub-market divided into property type & location (b) transparency (c) time delay between rolling out of new flats and price (d) all of the above

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District 9, 10, 11 are in which sub-market? (a) Core Central Region (b) Outside Core Region (c) Outer Core Region (d) Rest of Central Region

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Definition of fitting: (a) fitting is a movable property (b) fitting is an immovable property (c) fitting is an item affixed in a property (d) industrial tenants must remove fittings when contract ends

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Which can be taken back? (a) Gift of property (b) Lease of property (c) Licence to use property (d) fee simple Answer: ( ) Tom requests his brother, a real estate salesperson, to sell his house for him. His brother does not get any remuneration in return. Does his brother still have a responsibility to perform to the quality of service of a salesperson who would have received remuneration? (a) Yes, there is a duty of care because of the tort of negligence (b) No, he does not get any remuneration (c) No, as Tom’s brother would very likely be collecting commission from the buyer (d) No, fiduciary duties are directly tied to either a business engagement that has to be binding by way of a written agreement Answer: ( ) What is considered ‘invitation to treat’? (a) Singapore land authority’s sale of land (b) Advertisement of a property launch (c) A property buyer giving a firm offer to buy a property (d) Auctioneer asking for a bid in an auction Answer: ( ) How can an easement be extinguished? (a) By sub-dividing of the lands (b) By constructive eviction (c) By implied release through non-user for 12 years (d) None of the above Answer: ( ) Which of the following is not considered an easement? (a) Neighbour’s right to light (b) Buildings on land that go in accordance with plot ratio 13


(c) Running of cables underneath the land by public utility companies (d) A right to use a driveway 124

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Answer: ( ) A real estate salesperson absconded with the buyer’s option fee of $10,000? (a) The seller is vicariously liable for the missing money and will have to pay the buyer back the money (b) The seller is only liable if he has given the authority to the salesperson to collect the option fee (c) The seller is not liable for the fraud committed by the salesperson especially in the context of Singapore where the salesperson has no actual authority to bind the seller (d) The seller is primarily responsible for any misconduct of the real estate salesperson because the estate agency agreement is binding on the seller Answer: ( ) Which of the following will most likely have strata divided title? (a) Les Offices, a 68-storey office complex (b) Les Resorts, an integrated resort with hotels, casino and theme park (c) Les Residences, a 60-storey service apartment (d) Les Hotel, a 68-storey hotel Answer: ( ) Which of the following can be considered a misrepresentation? (a) Withholding of facts (b) An opinion (c) An advertisement (d) Sales pitch, puffing or exaggeration Answer: ( ) A prospective buyer asked a salesperson, who does not drive, how long it took to drive from the new house to the MRT station. The salesperson replied ’10 minutes’ without clarifying that it was ’10-minute walk’ and not ’10-minute drive’. Is it a fraudulent misrepresentation? (a) No, the salesperson did not misrepresent as he did not say ’10 minute’ drive which would have been inaccurate (b) No, the misrepresentation is not material and there was no inducement involved (c) No, as long as the buyer did not rely on what the salesperson said and buy the property as a result (d) Yes, he misrepresent by giving the wrong impression to the buyer Answer: ( ) What is the time frame between HDB's 1st and 2nd appointment? (a) 4 - 6 weeks (b) 6 - 8 weeks (c) 8 - 10 weeks (d) 10 - 12 weeks Answer: ( ) Joint Singles Citizen (JSS) eligibility conditions are: (a) SC & ≥ 21 years old (b) SC & ≥ 35 years old (c) SPR & ≥ 21 years old (d) SPR & ≥ 35 years old Answer: ( ) From 30/8/2010, the buyer of a new HDB flat should not own another property for ____ months before application (a) 15 (b) 20 (c) 30 (d) 40 Answer: ( ) 14


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After going through the Resale Checklist, how many days later can the seller grant OTP? (a) 3 days (b) 5 days (c) 7 days (d) 9 days Answer: ( ) At an auction, when the auctioneer strikes the gavel, how much does buyer have to pay as down payment? (a) 5% of the purchase price (b) 10% of the purchase price (c) 15% of the purchase price (d) 20% of the purchase price Answer: ( ) For HDB's main upgrading programme (MUP) that has been finalized before the flat was sold, who and when to pay? (a) buyer after 1st appointment (b) seller after 1st appointment and before legal completion (c) seller, 3 months after legal completion (d) seller, 6 months after legal completion Answer: ( ) If a foreigner wants to buy a landed property and it's currently tenanted, (a) foreign buyer cannot extend the tenancy (b) foreign buyer can extend the tenancy (c) foreign buyer won't be able to obtain an AIP if there is an option for lease extension (d) foreign buyer will be granted special permission on a case-by-case basis Answer: ( ) The Approval In-principle (AIP) granted by the Land Dealings (Approval) Unit for a foreigner to own a restricted property is valid for (a) 3 months, not renewable (b) 6 months, renewable (c) 6 months, not renewable (d) 12 months, renewable Answer: ( ) Valuation limit refers to: (a) higher of purchase price or market valuation (b) lower of purchase price or market valuation (c) the lowest quote of three valuation reports (d) either the purchase price or market valuation Answer: ( ) For divorce, if matrimonial flat was bought from the open market without grant, then the 5 years from date of divorce made absolute will not apply if: (a) divorcee buys the next flat with parents or new spouse without housing grant (b) divorcee buys the next flat with siblings with housing grant (c) divorcee buys the next flat as a single with housing grant (d) divorcee buys the next flat with new spouse with housing grant Answer: ( ) Eligibility conditions regarding HDB's Studio Apartments (SA): (a) SA cannot be sold in the open market (b) no subletting allowed (c) SA owner can buy a private residential property, but with restrictions (d) all of the above Answer: ( ) The similarities between Design, Building and Sell Scheme (DBSS) and Executive Condo 15


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are: (a) DBSS and EC are designed, marketed and sold by private developers (b) Buyers of both DBSS (after 30 August 2010) and EC are eligible to apply for CPF Housing Grant (c) Buyers who have sold their first HDB flat and apply to purchase either a DBSS flat or an EC is not required to pay the resale levy (d) all of the above Answer: ( ) For an executive apartment, the maximum number of rooms that can be sublet and the maximum number of subtenants are: (a) 2 & 8 (b) 2 & 9 (c) 3 & 8 (d) 3 & 9 Answer: ( ) Quantum of 2nd concessionary loan from HDB is reduced by: (a) full CPF proceeds & greater of 1/2 cash proceeds or $25K (b) full CPF proceeds & lesser of 1/2 cash proceeds or $25K (c) 1/2 CPF proceeds & 1/2 cash proceeds (d) 1/2 CPF proceeds & $25K Answer: ( ) Before a buyer can exercise the OTP, he must (a) apply for Letter of Offer (LO) from bank (b) obtain Letter of Offer (LO) from bank (c) exercise Letter of Offer (LO) from bank (d) after obtaining letter of in-principle-approval from the bank Answer: ( ) If the cash portion is 15% of purchase price, 10% must be paid by when? (a) 10 days after 1st appointment (b) 14 days after 1st appointment (c) at legal completion (d) two weeks prior to legal completion Answer: ( ) If the owner of a bungalow wants to tear it down to build 2 semi-detached houses in a mixed landed housing area, and the plot width of the original bungalow land is 12 metres, can he do it? (a) No, not allowed to tear down 1 bungalow to build 2 semi-D houses in mixed landed housing area (b) Yes, plot width is wide enough (c) No, plot width is not wide enough (d) Yes, there is no requirement of plot width Answer: ( ) Which of the following properties is not strata-titled? (a) Condo (b) Town House (c) Link House (d) Cluster House Answer: ( ) What is not considered common property in a condo? (a) playground (b) car park (c) guard house (d) pipes serving 2 strata lots Answer: ( ) 16


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Bob bought a condo unit of 110 m2, if it has a per share value of $40, how much maintenance fee does he have to pay? (a) $160 (b) $200 (c) $240 (d) $280 Answer: ( ) When buying a warehouse, which consideration is not important? (a) floor loading (b) loading and unloading bays (c) proximity to residential areas (d) access to seaport & airport Answer: ( ) An area zoned for light industry rather than heavy industry uses which also allowed office buildings is generally known as the: (a) industrial park (b) commerce park (c) business park (d) commercial park Answer: ( ) Once a developer has obtained the 'Sale licence’, he can (a) market the property before receiving the Temporary Occupation Permit (TOP) (b) market the property after receiving the Temporary Occupation Permit (TOP) (c) cannot market the property until receiving the Temporary Occupation Permit (TOP) (d) cannot market the property until the architect certificate has been issued Answer: ( ) How much is the refund for a residential and a commercial property under construction, if a buyer does not exercise the Option to Purchase (OTP)? (a) 75% & 50% (b) 50% & 75% (c) 50% & 50% (d) 75% & 75% Answer: ( ) HDB's standard Option to Purchase (OTP) (a) can be assigned to another buyer (b) cannot be assigned at all (c) can only be assigned after it has been exercised (d) can only be assigned with HDB’s approval Answer: ( ) Which of the following is a correct statement on sub-sale? (a) developers do not have to honor a sub-sale contract (b) developer can do a sub-sale with the original purchaser paying some fees to the developer (c) the rights and obligations of the subsequent purchasers are different from the original purchasers (d) the developer is allowed to charge the subsequent purchasers the difference between the original sale price and the market valuation in a sub-sale Answer: ( ) Progress payments are based on: (a) progress of construction (b) passage of time (c) developer’s discretion (d) monthly basis Answer: ( ) Short messaging services (SMS), brochures, flyers, invitation to viewings of new 17


condos are part of ______? (a) process (b) promotion (c) product (d) place 156

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Answer: ( ) A consumer with a complaint against a salesperson can seek recourse through mediation through: (a) Consumer Association of Singapore (CASE) (b) Community Mediation Centre (c) Singapore Mediation Centre (d) all of the above Answer: ( ) The Consumer Protection (Fair Trading) Act does not cover which part of real estate salesperson’s work in Singapore? (a) sale of residential properties (b) renting and leasing of residential properties (c) sale of goods that are considered ‘real’ properties under the act (d) sale and purchase of vacant land Answer: ( ) Which of the following does not come under the purview of the Consumer Protection (Fair Trading) Act? (a) sale of non-residential property (b) lease of residential property (c) salesperson's services (d) all of the above Answer: ( ) If a dispute between parties in a real estate transaction cannot be settle through mediation, the next step would be? (a) arbitration (b) adjudication (c) further negotiation (d) admonition by Council for Estate Agencies Answer: ( ) Professional Indemnity Insurance should be: (a) cost exclusive (b) cost inclusive (c) negligent based & cost inclusive (d) negligent based & cost exclusive Answer: ( ) If a salesperson practice without a licence, (a) fine $25,000 (b) 1 year imprisonment (c) fine $25,000 or imprisonment of 6 months (d) fine not exceeding $25,000 or imprisonment of one year or both Answer: ( ) If the KEO of an agency resigns, how long does the agency have to hire a new KEO? (a) 1 week (b) 2 weeks (c) 1 month (d) 2 months Answer: ( ) A person who is 'fit & proper' is: (a) ≥ 18 years old and possess qualifications 18


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(b) ≥ 21 years old and possess relevant qualifications (c) ≥ 21 years old and possess a degree on real estate (d) ≥ 21 years old and possess at least three years of sales experience in real estate industry Answer: ( ) If your exclusive client told you to rent out his unit, which form would you use? (a) Exclusive Agreement for Sale of residential property (b) Exclusive Agreement for Purchase of residential property (c) Exclusive Agreement for Lease of residential property by Landlord (d) Exclusive Agreement for Lease of residential property by Tenant Answer: ( ) A salesperson's registration with the CEA shall not exceed ______ years and must have ____ hours of continuing professional development CPD training hours (a) 2 & 2 (b) 3 & 3 (c) 2 & 3 (d) 3 & 6 Answer: ( ) If your client is short on cash, (a) it is ok to refer him to a moneylender as long as the client is told the truth (b) it is not ok to refer him to a moneylender (c) it is ok to refer him to a bank, which will give you an ‘ang bao’ for the introduction (d) it is ok to refer him to a moneylender as long as the real estate salesperson can prove that he did not benefit financially from the introduction Answer: ( ) Which of the following is not shown on the Estate Agent Card? (a) Expiry date of the card (b) IC name (c) registration number (d) phone number of the salesperson Answer: ( ) Estate agents have how long to make a report on complaints against their salespersons? (a) 1 week (b) 2 weeks (c) 3 weeks (d) 4 weeks Answer: ( ) Which offence cannot be compounded? (a) not displaying estate agent card while doing estate agency work (b) using CEA symbols (c) holding transaction money (d) none of the above Answer: ( ) For a loan of $500,000, with a 30 year fixed interest rate of 3.75% pa, what will be the monthly instalment amount? (a) $2,200 (b) $2,300 (c) $3,000 (d) $3,300 Answer: ( ) If a salesperson is no longer associated with an agency, that agency has how long to notify CEA? (a) 5 days (b) 7 days 19


(c) 14 days (d) 21 days Answer: ( 172

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How many members does a disciplinary committee comprise? (a) Not less than 3 members (b) Not less than 5 members (c) Not less than 7 members (d) Not less than 19 members Answer: ( ) If the licence or registration of a real estate agent or salesperson has been suspended or revoked, can the fees already paid for the licence or registration be refunded? (a) Yes, under the Estate Agents Act 2010, such fees shall be refunded to the individual agent or salesperson as a matter of right (b) Yes, however, refund will be considered on a case-by-case basis (c) Yes, only when the revocation is due to the real estate agent winding up his operation (d) No, there will be strictly no refund Answer: ( ) To consider and determine an appeal under the Estate Agents Act, the quorum of the Appeals Board and any committee of the Appeals Board shall be: (a) 15 and one of them must be the Chairman or the Vice Chairman (b) 7 and one of them must be the Chairman or the Vice Chairman (c) 5 and one of them must be the Chairman or Vice Chairman (d) 3 and one of them must be the Chairman or Vice Chairman Answer: ( ) What is the application and registration fee for salespersons? (a) $50 & $230 (b) $100 & $230 (c) $230 & $100 (d) $230 & $50 Answer: ( ) How many designated landed property area are there in Singapore? (a) 38 (b) 69 (c) 58 (d) 87 Answer: ( ) Which part of the marketing strategy does ‘target promotion’ come under? (a) Budgeting (b) Marketing mix (c) Market segmentation (d) Market penetration Answer: ( ) What is the most important marketing mix in selling a house in Singapore? (a) Product (b) Price (c) Place (d) Promotion Answer: ( ) What is the most important factor in renting your commercial premises? (a) Product (b) Market rent (c) Location of the property (d) Business environment Answer: ( ) 20


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What does the 4P stand for? (a) Product – flat price, advertising fee, place – the location of the property, sales procedures (b) Product – the tangible property itself, price, place – location of the property, promotion – personal sales and advertising (c) Product – the quality and design of the property, price, place – the distribution channel, programme (d) Product – service provided by the salesperson, price – commission charged by the salesperson, place – location of the property, processes of the sale Answer: ( ) John is looking for a place to run his winery business. He needs a place for his 6-tier rack. (a) The place needs to have column in the unit (b) The trade mix (c) The place needs to have large loading/unloading bay (d) The place needs to have cargo lift Answer: ( ) The Urban Redevelopment Authority (URA) monitors the transactions of (a) HDB resale flats (b) Industrial premises (c) Private residential properties (d) Commercial properties Answer: ( ) What is the maximum amount of the Special CPF Housing Grant meant for the lower income families? (a) $20,000 (b) $25,000 (c) $30,000 (d) $40,000 Answer: ( ) What will be the maximum penalty for salespersons providing false and misleading information or statement to the Council for Estate Agencies (CEA) while applying for registration? (a) $20,000 or to imprisonment for a term not exceeding 1 year or to both (b) $30,000 or to imprisonment for a term not exceeding 1 year or to both (c) $40,000 or to imprisonment for a term not exceeding 2 years or to both (d) $50,000 or to imprisonment for a term not exceeding 3 years or to both Answer: ( ) Mr John Tay has just been registered as a real estate salesperson with the Council for Estate Agencies (CEA). How long will be the validity period of the registration and how often must he pay the registration fees? (a) The registration is valid for one year and the fee is payable annually (b) The registration is valid for two years and the fee is payable bi-annually (c) The registration is valid for three year and the fee is payable tri-annually (d) The registration is valid for three year and the fee is payable annually Answer: ( ) A year after Mr John Tay’s registration as a real estate salesperson with the Council for Estate Agencies (CEA), he switches agency. Must he make the application to register with CEA again? And how much does Mr Tay need to pay fees? (a) Yes. He needs to pay $50 for the application and $230 (exclude GST) for the registration (b) Yes. He needs to pay $100 for the application and $230 (exclude GST) for the registration (c) No. He does not need to apply again and he only need to renew his registration annually (d) No. He need not pay anything as the registration is valid for 3 years Answer: ( ) What is the validity period of a HDB market valuation report? (a) 1 month 21


(b) 2½ months (c) 3 months (d) 6 months Answer: ( 188

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Liquor that are placed in a warehouse must have the following: (a) Loading and unloading bay (b) Column space (c) Fixed rack (d) Cargo lift Answer: ( ) You have helped Mr A to buy a flat and he was very pleased with your service. He recommended his friend to get you as his salesperson. This is known as (a) Referral (b) Word of mouth advertisement (c) Target marketing (d) Viral marketing Answer: ( ) In an exclusive listing, the following applies: (a) The salesperson is not entitled to the commission when the owner sells the property himself (b) The salesperson is entitled to the commission even though the owner sells the property himself (c) The owner is now bound by the exclusive and whatever sale contract he enters is null and void (d) The salesperson will enjoy a lower commission if the owner sells the property himself Answer: ( ) If the landlord is overseas, the monies paid by a prospective tenant should be (a) Crossed cheque made in favour of landlord (b) Crossed cheque made in favour of the agent (c) Strictly in cash to be held by the salesperson as this is allowed by the Council for Estate Agencies (d) Wired to wherever the landlord is via electronic transfer so that the salesperson will not handle the transaction money Answer: ( ) The Appeal Board provides an appeal process which is independent of the Council for Estate Agencies (CEA). Which of the following statements of the Appeal Board is incorrect? (a) The Appeal Board’s decisions are final (b) The Appeal Board may confirm or modify the decisions of CEA (c) The members of the Appeal Board are appointed by CEA (d) To apply to the Appeal Board to review CEA’s judgement, the appellant must pay $1,000 in application fee Answer: ( ) If the buyer of a non-subsidised resale flat also owns a private residential property, what must he do after taking vacant possession of the flat? (a) He must sell his private property immediately (b) He must sell his private property within 6 months of obtaining the vacant possession of the flat (c) He must rent out his private property and live in the flat (d) He may decide to rent out his flat later and continue to keep the private property Answer: ( ) What does Resale Price Index do? (a) It shows the overall price movements of the public residential market (b) It shows the monthly records of HDB resale prices (c) It shows resale transactions registered across various towns 22


(d) It shows the resale volume of public flats 195

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Answer: ( ) Your seller would like to sell his house without the neighbours noticing. Which of the following modes would you adopt? (a) Closed tender (b) Open tender (c) Sale by private treaty (d) Sale by auction Answer: ( ) URA land sale is by which of the following sales modes? (a) Sale by Tender (b) Sale by Auction (c) Sale by private treaty (d) Sale by a two-bid tender Answer: ( ) A salesperson sold a property and charged the seller a commission equivalent to 1% of the sale price. However, he told the co-broke agent that the seller only paid him 0.5%. The co-broke agent then invoiced the listing agent 50% of the 0.5% commission. Did the listing agent do anything wrong? (a) No, co-broking commission between agents is freely negotiable (b) No, co-broking is a privilege and the buying agent is not entitled to a high commission (c) Yes, the listing agent is being unethical and the buying agent is entitled to recover the balance payment from the listing agent (d) Yes, the listing agent has committed a tort of deceit and shall be dealt with by the law Answer: ( ) May 2011 Differential premium is payable on of . The phrase that describes that there is no third party claim/charge against the property title is ‘this property is from . A caveat is usually valid for years. When a person dies without leaving a valid will, he is said to have died . Mukim is a Malay word for . There are statutory provision to allow public authorities to enter property to lay, install and main sewerage, water & gas pipes, drainage and electric cables. This kind of rights is called _______________. The (i) of a covenant is on the party who makes the promise to perform the legally binding promise while the (ii) of the same covenant is the right of the same covenant is the right of the other party to enforce the promises. system is a system of land title by registration with the State. Stamp Duty is a tax on executed documents relating to sales and purchases of immovable properties basing on the higher of their or . A & B co-owned a property. When A died, B became the sole owner. Which mode of coownership is this? ( ) Under the Property Tax Act, tax is levied on properties. The Residential Property Act restricted land and landed property ownership by ________________. A new lease is substituted for an existing lease by agreement of the original parties concerned. This is called . The owner of the property wants to sell his house for $1 million. The salesperson brought a purchaser who is willing to pay $1 million. The owner changed his mind and wants to sell his house for $2 million. This is of offer. Construction, Marine & Process workers are allowed to be housed in Temporary workers quarters on sites. What is the security deposit (sic banker’s guarantee) required by the Land Dealings (Approval) Unit from a foreigner applying for the special approval to own restricted property in Singapore? 23


(a) (b) (c) (d)

$100,000 $75,000 $50,000 $25,000

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What information does the URA Private Property Index contain? (a) Resale HDB flat transaction data (b) Commercial property transaction data (c) JTC facilities transaction data (d) Developers new home sale data

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Which of the following item is not considered a land? (a) MRT signboard (b) MRT Train (c) MRT station platform (d) MRT track

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Answer: ( ) In an en-bloc case, the management and sinking fund of the Management Corporation can be used to pay for: (a) Annual General Meeting (b) Application for Sale Order to Strata Titles Board (c) Lawyer’s Fee (d) Court’s Fee Answer: ( ) Annie rented an apartment for $4,200 for 2 years. What is the stamp duty payable? (a) $201 (b) $202 (c) $403 (d) $404 Answer: ( ) Mr A bought a condominium unit on 20 Feb 2011. In what year can he sell the condominium so that he needs not pay any stamp duty: (a) 20 Feb 2013 (b) 20 Feb 2014 (c) 20 Feb 2015 (d) 20 Feb 2016 Answer: ( ) st URA has released the statistics on the prices and rents for the 1 quarter of 2011 for the following sectors. Which is the least performing sector? (a) Residential (b) Office (c) Shop (d) Industrial Answer: ( ) Which of the following have strata divided title: (a) An integrated resort with hotels, casino and theme park (b) A 60-storey serviced apartment (c) A 68-storey hotel (d) An estate with 20 bungalows Answer: ( ) In a condominium, the car park lot is identified by (a) TS1 – U10 (b) MK1 – U10 (c) MK1 – A10 24


(d) MCST1 – A10 222

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Answer: ( ) Land in Singapore is divided into 64 survey districts. Each district is further divided into: (a) Mukims (b) Districts (c) Lots (d) Towns Answer: ( ) HDB leases out its factory for a 3-year term with an option to renew for another 3 years. What sort of least is this? (a) Periodic (b) Fixed term (c) Legal (d) State grant Answer: ( ) Which type of housing cannot be found on landed residential area? (a) Terrace house (b) Shop house (c) Cluster house (d) Town house Answer: ( ) What are the characteristics of a good class bungalow? (a) It occupies an area of 1,400 sq ft (b) It can be built up to 3 storey (c) The bungalow must occupy at least 35% of the land area (d) All of the above Answer: ( ) The prices and rents of HDB can be found in the following website (a) URA (b) HDB (c) URA and HDB (d) MND and URA Answer: ( ) For a salesperson, the standard of care means (a) To have expert knowledge and skills (b) To have very deep expert knowledge and skills (c) To have good knowledge and skills (d) To have ordinary knowledge and skills Answer: ( ) Which of the licences below does not require licence fee? (a) Bare licence (b) Temporary occupation licence (c) Contractual licence (d) All of the above Answer: ( ) What is the legal term to describe the escalator in a shopping centre? (a) Hereditament (b) Fitting (c) Fixture (d) accessory Answer: ( ) Which of the following properties is likely to have strata title? (a) Basil hospital with 200 rooms 25


(b) Basil theme park (c) Basil serviced apartment with 200 units (d) Basil estate with 20 bungalows 231

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Answer: ( What is the minimum qualification acceptable for a real estate salesperson if he does not have 4 O levels? (a) 6 ‘N’ levels passed (b) 5 ‘N’ levels passed (c) WPLN level 6 (d) WPLN level 5 Answer: ( A salesperson makes telephone calls to owners of properties in the hope to secure property listings. The process is called (a) Direct sales method (b) Cold calling (c) House-to-house canvassing (d) Prospecting Answer: ( What is the minimum occupation period (MOP) for resale flats bought on 5 May 2009 if the owner has not taken a loan from the HDB? (a) No MOP requirement (b) 6 months (c) One year (d) Three years Answer: ( When a salesperson wishes to advertise another salesperson’s exclusive listing, (a) He needs to seek the consent of the owner (b) He does not need to seek the consent of the owner (c) He needs to seek the consent of the listing agent (d) He is not allowed to advertise other salesperson’s listing Answer: ( What is the amount of commission payable on the sale of HDB resale flat? (a) 1% (b) 1.5% (c) 2% (d) Commission amount is negotiable between customers and agents Answer: ( If Kate wants to get information on the latest HDB resale prices, where can she check: (a) Price index and statistics on HDB website (b) Price index and statistics on URA website (c) Price index and statistics on MND website (d) None of the above Answer: ( Good class bungalows can be found in (a) Exclusive good class bungalow areas (b) Exclusive detached housing areas (c) Mixed landed housing area (d) Among cluster housing Answer: ( CPD requirements for renewal of estate agent's licence stipulate that (a) only KEOs are to comply with the required CPD credit hours (b) practicing and non-practicing directors including the KEOs (c) only the practicing directors of the agency (d) KEO is exempted from acquiring the CPD credit hours 26

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Answer: ( ) The person conducting the investigation into the complaint as instructed by the CEA is known as (a) Inspector (b) Investigator (c) Conductor (d) detective Answer: ( ) Which of the following is the correct order of dispute resolution mechanism? (a) negotiation, mediation and arbitration (b) mediation, adjudication and arbitration (c) independent expert, negotiation and mediation (d) mediation, independent expert and arbitration Answer: ( ) In a newspaper advertisement, the salesperson is required to list his/her name on (a) 3-line run-on advertisement (b) Column (?) (c) Display ad (d) All of the above Answer: ( ) Real estate salespersons are to use agreements in respect of estate agency work. Which statement is correct? (a) They can use their own agency form instead of prescribed form by the authority (b) They can use their own format of the prescribed form (c) It is not compulsory for real agents to adhere to the wordings of the prescribed form by the authority (d) If they want to, estate agents can print their company’s name and logo on the prescribed form Answer: ( ) A consumer can seek recourse against salespersons through (a) Consumer Association of Singapore (CASE) (b) Community Mediation Centre (c) Singapore Mediation Centre (d) All of the above Answer: ( ) What is the maximum subletting period for HDB industrial warehouse? (a) 1 year (b) 2 years (c) 3 years (d) Subletting is not allowed Answer: ( ) Which of the following factory types have two floors (including a mezzanine floor) and a built up area of between 2,400sq meters and 4,200 sq meters? (a) T9 (b) C9, D9, E9 (c) E8, D8, C8 (d) All 8 series factories Answer: ( ) John has an existing service agreement with a landlord. At the lapse of the tenancy agreement the landlord told John that he would not be paying John any commission for finding the next tenant as John will continue to enjoy the service agreement fee on a monthly basis. Can John then collect commission from the incoming tenant since the landlord is not paying him commission? (a) Yes, there is no conflict of interest as the service agreement is not for estate agency work (b) No, that would amount to dual representation 27


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(c) No, John is already getting paid by the landlord on a monthly basis (d) No, as a real estate salesperson John can only be paid by one party regardless of the nature of work he is rendering Answer: ( ) What is the maximum amount of CPF housing grant for family a Singapore Citizen household is entitled to? (a) $15,000 (b) $20,000 (c) $30,000 (d) $35,000 Answer: ( ) The similarity between foreigners owning restricted properties in main island Singapore and Sentosa island is: (a) A foreigner owning a restricted property either in Sentosa Cove or main island Singapore needs to be a permanent resident (SPR) of Singapore (b) A foreigner owning a restricted property either in Sentosa Cove or main island Singapore is subject to a minimum occupation period (MOP) of 3 years (c) Foreigners who intend to own restricted properties either in Sentosa Cove or main island Singapore must obtain ‘Approval-in-principle’ from the Land Dealings Unit before committing the option fee (d) A foreigner owning a restricted property either in Sentosa Cove or main island Singapore must self-occupy the property as own home Answer: ( ) In order to sublet a room in a HDB flat, the HDB flat must be a ________________ or larger flat. (a) 2-room flat (b) 3-room flat (c) 4-room flat (d) 5-room flat Answer: ( ) In sub-letting a HDB flat, what is the maximum sub-tenants allowed in a flat: (a) 4 persons (b) 6 persons (c) 8 persons (d) 9 persons Answer: ( ) What is the resale levy for an executive flat? (a) $30,000 (b) $40,000 (c) $45,000 (d) $50,000 Answer: ( ) What is the floor area of a 4-room HDB flat? (a) 110 sq m to 120 sq m (b) 90 sq m to 104 sq m (c) 75 sq m to 90 sq m (d) 60 sq m to 75 sq m Answer: ( ) What is the minimum cash down payment a first-time buyer must pay if he is getting a mortgage loan from a private commercial bank? (a) 5% (b) 10% (c) 15% (d) 20% Answer: ( ) 28


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HDB advertise its factories through which website? (a) Space2lease.com (b) Place2lease.com (c) Factories2lease.com (d) Hdb.gov.sg Answer: ( ) Owners are allowed to sublet their HDB flats if they meet certain conditions. Which of the following statements is incorrect? (a) Owners living in quarters provided by the employer (b) Owners living in commercial properties with living quarter to tend to their businesses (c) Owners hospitalized for 6 months and thereafter is very healthy (d) Owners going overseas to work and bringing their family along Answer: ( ) Which of the following statements about Studio Apartment is incorrect? (a) Applicants must be at least 62 years old (b) The apartment cannot be sold in the open market (c) Owners are not allowed to sublet their room or the whole flat (d) Owners may be allowed to invest in private property after 5 years of self-occupation but will have to continue living in the studio apartment Answer: ( ) What is a touch-down office space? (a) A one-person sitting position at the corner of an enclosed work space (b) An open work space for one person to process paperwork in standing position (c) A small semi-enclosed space for one person to process paperwork in a sitting position (d) Another term for open cubicle Answer: ( ) A ‘forfeiture clause’ in a lease entitles (a) the landlord to keep the tenant’s security deposit (b) the landlord to repossess the premises and extinguish the tenant’s interests (c) the tenant to force the landlord to carry out repairs (d) the tenant to terminate the lease giving sufficient notice Answer: ( ) Valuation limit refers to (a) higher of purchase price or market valuation (b) lower of purchase price or market valuation (c) the lowest quote of three valuation reports (d) either the purchase price of market valuation Answer: ( ) Which of the following is considered ‘transaction money’? (a) out of pocket expenses (b) stamp duty (c) valuation fee (d) agent’s commission Answer: ( ) When a 35-year-old purchaser intends to utilize his CPF savings to purchase a leasehold property, what is the minimum lease period the subject property must have? (a) 30 years (b) 35 years (c) 40 years (d) 45 years Answer: ( ) Housing developers cannot withdraw monies from the project account of buildings under construction to pay for: (a) Interests on the construction loan 29


(b) Stamp duty and legal fees (c) Electricity and water supplies (d) Development charge Answer: ( 263

264

265 266 267 268 269 270 271 272 273 274 275 276 277

278

279

)

The defects liability period for properties under construction is for: (a) 6 months from the issuing of the Temporary Occupation Permit (TOP) (b) 6 months from the issuing of the Notice of Vacant Possession (c) 12 months from the issuing of the Temporary Occupation Permit (TOP) (d) 12 months from the issuing of the Notice of Vacant Possession Answer: ( ) What is the recommended Mortgage Servicing Ratio for borrowers taking a housing loan from a private bank? (a) 30% (b) 35% (c) 40% (d) 50% Answer: ( ) July 2011 GST is a broad-based tax levied on the _______ of goods and services in Singapore and goods imported into Singapore. The four unities of co-ownership of land include the unity of possession, ______________, interest, and _____________________. Any private property owned by a bankrupt will be vested in the ___________________. _________________ is based on case law and judicial precedents to guide judges in their decision. HDB flats cannot be used as _________________ to secure business loans. ____________ is a clause that describes rent review, security deposit and advance rent to be paid. Stamp duty for mortgage agreement is capped at $________. A ____________ licence is granted for personal right where consideration is paid, e.g. entering a cinema to watch a movie. When renting a property, except for __________________, the tenant must otherwise make good any damages done to the demised premises. Unless invited by the property owner, any person entering a property without permission is considered a _______________. If a condition in a contract is not met, there is a _______________ of contract. In a real estate transaction, the property seller must deliver a title that is ____________________. Residences from XXX residences have been allowed to use the lifts /escalators in YY shopping mall as a short cut access to Hardy road/Orchard for the last 30 years. This is known as (a) statutory injunction (b) express reservation (c) positive easement (d) restrictive covenant Answer: ( ) Which one of following numbers is that of a freehold landed property? (a) MK 23 - Lot 99279M (b) MK17 – A227 (c) MK18 – U 3654D (d) MK 18 – U3359Y Answer: ( ) In a proposed collective sale, there will be a ______ waiting time requirement for extraordinary general meetings (EOGMs) to obtain the quorum to begin the meeting, starting from the stated time of the EOGM. If the quorum is not met within the time 30


period, the EOGM will be dissolved. (a) Three-hour (b) Two-hour (c) One-hour (d) Half-hour 280

281

282

283

284

285

Answer: ( ) An act of parliament may expressly grant a right in favour of a public utility company to have access into residential land to lay cable. What is this right known as? (a) positive covenant (b) negative covenants (c) easement by necessity (d) statutory easement Answer: ( ) Mr Tan gifted his house to his son and six months after that he was upset with his son’s behaviour and demanded for the return of the house. In the meantime, Mr Tan was being sued for credit card companies and was at the brink of bankruptcy. (a) A gift of real property is irrevocable without any exception; as such, the two incidents should not bother his son (b) A gift of real property may be revocable by the Official Assignee (OA) within two years of the gift if the donor is deemed to have given away the property to avoid creditor’s suit (c) A gift is irrevocable and does not attract any stamp fee if it is carried out legally with a ‘deed of gift’ however a gift done verbally is always revocable (d) A gift is still subjected to various different taxes including goods and services tax, stamp duty and estate duty without exception Answer: ( ) While viewing a 25-year old detached house at Bukit Timah area, Annie enquired about the gross floor area from the marketing agent, Bobby who said it was approximately 5,000 sq ft. Relying on the information, Annie paid $5.5 million for the house. However, the subsequent survey done after the legal completion on Annie’s arrangement showed the floor area of the house to be 4,400 sq ft excluding the car porch and turf at the front yard. Annie sued Bobby for ______________ misrepresentation. (a) Innocent misrepresentation (b) Negligent misrepresentation (c) Fraudulent misrepresentation (d) Wilful misrepresentation Answer: ( ) Jenny rented her condo unit to Johnny, an expatriate tenant from the United States. Jenny who is afraid of dogs had earlier inserted a clause in the tenancy agreement to prohibit ‘all kinds of pets’ to be brought into her unit by the tenants. Six months into the tenancy, Jenny’s neighbour complained to her about the incessant barking of a dog which the neighbour claimed belong to Johnny, who was at that particular moment, away on an overseas trip. What is the remedy available to Jenny the landlord? (a) Forfeit the lease forthwith as Johnny had breached a covenant (b) Enter the house to remove the dog as it had caused nuisance to the neighbor, but she cannot terminate the lease (c) Wait for Johnny to return to Singapore and seek compensation from him as he had breached a warranty (d) Call the Singapore Prevention of Cruelty Association (SPCA) to deal with Johnny and forward the complain to the Management Corporation (MC) to deal with the tenant Answer: ( ) Without _______, a contract will be void. (a) consideration (b) condition (c) term (d) representation Answer: ( ) After the Strata Titles Board (STB) has issued a ‘stop order’ against a strata-titled project 31


286

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which is proposing to undergo a collective sale, the affected parties may take one of the following actions: (a) File an application to the Appeal Board (b) Proceed to arbitration of which the decision of the arbitrator will be binding and final with no further appeal available (c) Apply to the Courts for further adjudication. (d) The Sale Committee will be time-barred for 24 months before it can initiate another round of collective sale proposal Answer: ( ) The Sale Committee of a proposed collective sale has ____________ to obtain the first signature for Collective Sale Agreement or it will be _________________. (a) 2 year, resolved automatically (b) 1 year, resolved automatically (c) 2 year, resolved by the ‘stop order’ issued by the Strata Titles Board (d) 1 year, resolved by a simple majority at a general meeting Answer: ( ) Under the State Lands Act, the burden of the covenants shall ‘run with the land’, which means the covenants shall (a) be enforceable against the original lessee or grantee and shall not have any effect on subsequent land owners (b) expire once the original lessee dies (c) have no expiry date (d) bind all successors in title Answer: ( ) Two weeks after taking the Option to Purchase (OTP) granted by property seller David, Simon decided to proceed with the purchase; but as he was running short of time before the OTP expired in an hour’s time, Simon sent David a short message service (SMS) message through his iPhone to inform David of the decision to exercise the th Option. However, the next day (15 day after the date written on the OTP) David served a notice of termination to Simon claiming that the Option has lapsed as he did not receive any consideration from the buyer. Can Simon sue David for breach of contract? (a) Yes, Simon has performed his part of the contract by informing David of his intention to go ahead with the purchase (b) Yes, an electronic means of communication constitutes an act of acceptance of the contractual terms (c) Though his intention was conveyed via electronic means, Simon must still meet all the ingredients of a contract including providing the consideration before the Option lapsed (d) No, Singapore courts do not accept electronic means of communication as act of acceptance Answer: ( ) Under the Administration of Muslim Law Act, if Singaporean Muslims pass away, he can will _____________ of his property to his other next-of-kin who are not joint owners of the property. (a) 25% (b) One-third (c) 50% (d) None of the above Answer: ( ) In the forfeiture clause of the tenancy agreement, the landlord has the right to: (a) Take the keys and re-occupy the premises (b) Evict the tenant, by force if necessary (c) Serve termination notice to tenant (d) All of the above Answer: ( ) An owner of a 2-storey condo unit wants to build a mezzanine staircase in between the floors. Will he be allowed to do it? 32


292

293

294

295

296

(a) Yes, he only needs to seek approval from the Management Corporation (MC) (b) Yes, he only needs to seek approval from the Urban Redevelopment Authority (URA) (c) No, the Building and Construction Authority (BCA) forbids addition and alteration (A&A) to be done inside a condo project (d) No, the added structure will enhance the gross floor area (GFA) of the unit and disrupt the share value apportionment in the condo project and will not be approved by the authority Answer: ( ) Mr Chan owns an orchid farm in Seletar area on a 30-year state lease. The authority has recently informed him that the lease of the farm would be terminated early due to rezoning; and Mr Chan would have until the end of the month to decide whether to take up the offer to relocate to another plot of land for a shorter 10-year lease. Which authority would that be and what is the zoning of the farm land? (a) Urban Redevelopment Authority (URA) and land zoned for general rural purposes (b) National Environment Agency (NEA) and land zoned for conservation purposes (c) National Park Authority (NPark) and land zoned as green belt (d) Singapore Land Authority (SLA) and land zoned for agricultural uses Answer: ( ) Jack and Jill are ‘next door’ neighbours of a pair of semi-detached houses. Jack loves to invite his friends to his friends for barbecue over the weekends; while Jill loves gardening. Over a period of time, the smoke from the weekends’ barbecues caused the leaves of a tree Jill had planted very near to Jack’s barbecue pit to turn bad. What rights does Jill have as the land owner against Jack for causing damage to her tree? (a) Jill can go to the court to apply for an injunction against Jack’s frequent barbecues at his own house (b) Jill can go to the court to apply for a restrictive covenant to be imposed upon Jack’s land against smokes from blowing out of his land into Jill’s land (c) Jill can complain to the National Park authority for action to be taken against Jack for causing damage to the natural flora (d) None of the above Answer: ( ) Vince Ng, a real estate salesperson was recommended by Mr Tan’s father to sell Mr Tan’s (Patrick’s) property. The senior Tan advised his son Patrick to not sign any exclusive agreement with Vince only if he could be certain that Vince could do a good job. However, after Vince had brought a buyer to view the house, he realized that another salesperson has already sold the property. Can Vince sue the senior Tan for breach of contract? (a) Yes, senior Tan had held himself out as the agent of his son and as such is bound by a verbal agreement under the Law of Agency (b) Yes, even an oral agreement is binding in such an agency relationship (c) No, senior Tan is not the property seller; nor is he a registered agent is not a party to any agency agreement (d) No, no action can be brought against any customer if no estate agency agreement had been executed properly Answer: ( ) Tommy sold his condo unit to Sonny in July this year with 12 weeks to legally complete the deal. In the meantime, due to financial hardship Tommy rented the same property to Kenny for 12 months as he could not resist the high rent offered by Kenny. Sonny was furious when he found out about the rental deal and threatened to throw Kenny out as he firmly believe Tommy has no right to commit him to a 12-month lease having already sold the condo. What should Tommy do in order not to disrupt Kenny’s tenancy? (a) Use a novation contract to sell to Sonny (b) Use an assignment contract to sell to Sonny (c) Compensate Sonny on the loss of stay (d) There is nothing Tommy could do legally as he had entered into an illegal contract that would have no binding effect on Sonny Answer: ( ) A person’s right to use land is known as: 33


(a) (b) (c) (d)

Right of enjoyment Right of possession Right of control Right of way Answer: (

297

298

299

300

301

302

303

)

What is/are the characteristic(s) of a periodic lease? (a) Contract verbally made for two years (b) Rent is paid monthly (c) Tenant giving adequate notice to quit before quitting (d) All of the above Answer: ( ) A tenant found out that the house he has rented was infected with bed bugs and insects. Under which clause in the tenancy agreement can he seek legal recourse? (a) Constructive eviction clause (b) Escalation clause (c) Indemnity clause (d) Security deposit clause Answer: ( ) Mr Tan and his wife bought a house in joint tenancy. Mr Tan has willed his house to his son Jack. A few years later, Mr Tan passed away and Jack inherited the house. Jack wanted to sell the house but his mother objected to it. Can Jack sell the house? (a) Yes, but he can only sell his share which he has inherited from his late father (b) Yes, Jack is now considered the head of household and he can make the decision on his own (c) No, Jack must respect his mother’s wish and hold back the sale (d) No, Jack’s mother is the sole owner of the house due to the rule of survivorship in a joint tenancy Answer: ( ) If a salesperson wants to ascertain a semi-detached property area, he should consult: (a) E-litho (b) Masterplan (c) Concept plan (d) Register of booking Answer: ( ) A subsidiary proprietor should receive which of the following real estate title? (a) Certificate of title (b) Subsidiary certificate of title (c) Subsidiary strata certificate of title (d) Strata certificate of title Answer: ( ) The property has a lease period of 60 years. Which of the following is a lease grant under the State Lands Act? (a) Estate in fee simple (b) Estate in Perpetuity (c) Statutory Land Grant (d) Leasehold estate Answer: ( ) Mary, a real estate salesperson told a prospective buyer that the house would be sold with an awning which was providing the shade for the garden. Mary assured the buyer that the awning had official approval. The seller confirmed that the awning would be sold with the house but said nothing about official approval from the authority. The buyer bought the house but was later ordered by the building authority to take the awning down. Can the buyer sue the seller even though he did not make any statement about the awning? (a) Yes, the rule of proximity in the tort law states that there is always a special relationship 34


304

305

306

307

308

309

310

between buyer and seller (b) Yes, the salesperson has made the misrepresentation within the scope of her authority and as such the principle is responsible for it (c) No, unless the seller made the representation himself (d) No, unless the seller was present when Mary made the misrepresentation Answer: ( ) Under the caveat emptor rules: (a) Property sellers are not obligated to disclose any of the default in the house to prospective buyers (b) Property sellers are obligated to disclose defaults in the house to prospective buyers (c) Property sellers including property developers must provide a 12-month defect liability period to all purchasers (d) Property sellers must truthfully reveal the reasons for selling the house Answer: ( ) Foreigners buying another restricted property must dispose of the current restricted property within: (a) Three months from TOP, CSC, whichever earlier if the property is still under construction (b) Three months from legal completion (c) Six months from taking vacant possession of the new restricted property if TOP or CSC has been issued but not legal title (d) Six months from accepting the Option to purchase Answer: ( ) A property was passed to a minor (a son) through the operation of a valid will, in which his mother is to look after the property on the son’s behalf until he attains the legal age. In this case, the mother is the ________ and the son is the _____________. (a) Executor, beneficiary (b) Probate, beneficiary (c) Trustee, beneficiary (d) Trustee, trustor Answer: ( ) [i] A gift of property is a condition; [ii] a gift is irrevocable and cannot be taken away (a) [i] is correct (b) [ii] is correct (c) Both [i] and [ii] are correct (d) Both [i] and [ii] are incorrect Answer: ( ) A property was due for legal completion on 15 May 2011, which means: (a) The seller pays property tax until 14 May 2011, and the buyer will take over the rest of the tax payment from the day of legal completion (b) The seller pays property tax until 15 May 2011, and the buyer will take over the rest of the tax payment from the day of legal completion (c) The seller would have paid the property tax in advance in January every year; and the buyer will pay the equivalent amount of property tax for the rest of the year as a refund to the seller (d) The buyer will make full refund of property tax for the entire year to the seller Answer: ( ) Which of the following is not a master plan zoning? (a) White site (b) Condominium zoning (c) Park (d) beach Answer: ( ) Units at an executive condominium project (EC) can be sold in the open market starting from the beginning of the ____ year. th (a) 4 35

PAST YEARS RES EXAM MCQ (2011 – 2015) th

(b) 5 th (c) 10 th (d) 11 311

312

313

314

315

316

317

318

Answer: ( ) Your client, a locally incorporated company intends to invest in a residential property. What is the maximum loan-to-value ratio? (a) 40% (b) 50% (c) 60% (d) 80% Answer: ( ) The definition of conflict management is: (a) acquiring skills to manage conflict (b) for benefit of the seller (c) for benefit of the buyer (d) the application of strategies to resolve incompatible objectives in a positive manner Answer: ( ) In a HDB resale deal, the buyer has already paid $5,000 in option and Option exercise fees but the seller insists on the maximum deposit. What can the agent do? (a) Convince the buyer to give the entire Cash-over-valuation sum to the seller since the money is meant for the seller anyway (b) Convince the seller that he should abide by the HDB’s rule or the resale application would be cancelled (c) Abort the deal and bring the buyer to buy another flat (d) None of the above Answer: ( ) Who is the ‘vendor’ under the Estate Agency Agreement? (a) Buyer (b) Seller (c) Landlord (d) tenant Answer: ( ) In a disciplinary hearing, the appellant would mean _____ and the respondent would mean _____________ (a) Salesperson, customer (b) Salesperson, CEA (c) Customer, salesperson (d) CEA, salesperson Answer: ( ) In the event that the appellant did not show up at the hearing, the complaint will be considered withdrawn by the absentee, but the hearing (a) Can proceed without the appellant with the available evidence (b) Cannot proceed without the appellant (c) Can be rescheduled (d) Cannot be rescheduled Answer: ( ) Valuation Limit refers to the (a) Higher of the purchase price or market valuation (b) Lower of the purchase price or market valuation (c) Prevailing market valuation (d) Median purchase price compiled by the HDB Answer: ( ) The buyer is 56 years old and he intends to utilise his CPF savings to purchase a leasehold property with less than 60 years’ lease. What will be the minimum lease period of the property below which no CPF savings can be used? 36


(a) (b) (c) (d)

24 years 34 years 44 years 54 years Answer: (

319

320

321

322

323

324

325

)

What is the resale levy for a 3-room HDB flat? (a) $15,000 (b) $20,000 (c) $22,500 (d) $30,000 Answer: ( ) What is the income ceiling for an applicant who intends to apply for a 3-room flat in the non-matured estate under the Build-to-order scheme? (a) $2,000 in household income (b) $3,000 in household income (c) $5,000 in household income (d) $8,000 in household income Answer: ( ) URA launched a Government Land Sale (GLS) for the second phase at Jurong Lake district. Which method of sale did it use? (a) Private tender (b) Public tender (c) Auction (d) Sale by private treaty Answer: ( ) Mr Tan bought a commercial property. How much loan is he entitled to take? (a) 60% (b) 50% (c) 80% (d) 90% Answer: ( ) A couple with a combined household income of $8,000 bought a HDB resale flat within 2 km of their parent’s private house. How much additional CPF housing grant are they entitled to over the normal Family grant? (a) $20,000 (b) $30,000 (c) $40,000 (d) No grant at all Answer: ( ) The difference between a ‘sale by private treaty’ Option to purchase and the Controller of Housing Option to Purchase. (a) No amendment is allowed for the COH Option while the private Option is free to negotiate (b) Only the stakeholding clause is different as the COH Option stipulates that the stakeholder is the Singapore Academy of Law while the private Option allows lawyers to be stakeholders (c) There is no seller’s warranty for private Option while the COH Option provides for 12-month defect liability warranty. (d) All of the above Answer: ( ) [i] Under the Sole Agency, the listing is marketed by only one salesperson. [ii] If other salesperson sells the property, the sole agency salesperson is not entitled to the commission. (a) [i] is correct (b) [ii] is correct (c) Both are correct 37


(d) Both are incorrect Answer: ( 326

327

328

329

330

331

332

333

)

On the average, what is the size of an executive flat? (a) 120 sq m to 130 sq m (b) 130 sq m to 145 sq m (c) 145 sq m to 160 sq m (d) 150 sq m to 160 sq m Answer: ( ) Mr Bay wants the highest price for his property and which method should the salesperson adopt for him? (a) Sale by tender (b) Sale by auction (c) Sale by close treaty (d) None of the above Answer: ( ) From 1 August 2011 onwards, lawyers will not be allowed to receive and hold conveyancing money except in a new type of bank of account called: (a) Client’s account (b) Project account (c) Conveyancing account (d) Stakeholding account Answer: ( ) A letter of intent is: (a) Another word for Tenancy agreement (b) A letter accompanying tenant’s rent to the landlord (c) An expression of interest from the prospective tenant to rent from the landlord but without any intention to bind the offeror (d) A formal written offer to landlord from the prospective tenant accompanied by a good-faith deposit Answer: ( ) Samuel bought a terrace house for $1.2 million and he sold at $1.5 million after a few months. What is the stamp duty he has to pay? (a) $25,000 (b) $240,000 (c) $39,600 (d) $19,800 Answer: ( ) Following the above scenario, if Samuel has to pay $75,000 in commission to the salesperson, does he make a profit or a loss on the terrace house? (a) Profit of $275,000 (b) Profit of $260,400 (c) Loss of $15,000 (d) No loss Answer: ( ) Under the Consumer Protection (Fair Trading) Act, there are: [i] land transactions come under this purview; [ii] relevant to salesperson in general because rentals of residential property and services provided by salespersons come under this purview. (a) [i] is true (b) [ii] is true (c) [i] is true and [ii] is untrue (d) [i] is untrue and [i] is true Answer: ( ) In marketing mix, ‘Place’ does not refer to: (a) Property address (b) Distribution channels 38


(c) The channel by which a product or services is sold (d) All of the above 334

335

Answer: ( ) [i] Marketing is selling and promotions only. [ii] Price is the least important in marketing (a) [i] is true and [ii] is untrue (b) Both are untrue (c) Both are true (d) [i] is untrue and [ii] is true Answer: ( ) August 2011 Oei Tiong Ham Park, King Albert Park, Victoria Park etc are 39 _______________ areas in Singapore.

336

______________ Act is concerned with private landed property

337

Singapore is divided into 64 survey districts of which 30 are ___________________ and 34 are _______________.

338 339

Leases exceeding ______ years are to be registered. If you have an objection against the annual value of your property, you can file your objection within _______ days. You have invited your friend for BBQ at your condo and you BBQ party exceeded the stipulated time. The stipulated time is set by Management Corporation ____________.

340 341

________of annexation and ______________ of annexation is to determine whether the property is a fixture or can be removed without causing significant damage to the property.

342

In an en bloc sale, two monetary issues are very important. They are the sale price and the method of ____________ the sale proceeds according to share value of respective units.

343 344

Co-ownership of common property in a strata-titled property is by _______________. _______________ is a transaction where a new contract is substituted for an existing contract by agreement of the parties.

345

Freehold estate of ____________________ (SLG) is under the State Lands Act.

346

Relationship between one road user to another, employer to employee, lawyer to client are examples of ____________________.

347

____________________ is a right enjoyed by another land owner over someone’s land.

348

A salesperson should avoid conflict about ________________ of all potential conflict.

349

Agreement _________________ to ______________ is not legally binding until the terms are finalised. What is the Goods and Service Tax (GST) amount Alan has to pay for a furnished rental of $6,500 monthly with an annual value of $60,000 of his property? (a) $105 (b) $35.0 (c) $455 (d) $126 Answer: ( ) What is the right Alan has as a new HDB flat owner? (a) Park his car at the multi-storey car park (b) Occupy the corridor and common area (c) Sublet his unit during MOP (d) Sell off his flat after meeting the MOP Answer: ( ) Which does not appear in a contract but give rise to remedial actions if it is not fulfilled? (a) Warranty (b) Representation (c) Covenant

350

351

352

39

money

and

interests

by

way

of

a


(d) Disclaimer 353

354

355

356

357

358

359

360

361

Answer: (

)

Answer: (

)

HDB transaction data is updated (a) Weekly (b) Monthly (c) Quarterly (d) Daily Which of the following is incorrect? (a) Salesperson can become a money lender (b) Salesperson can ask client to get loan from money lender (c) Salesperson can lend the money to his friends who need it and charge interests (d) All of the above Answer: ( ) Which of the following does not have a land title? (a) Bungalow (b) Semi Detached (c) Terrace House (d) Cluster bungalow Answer: ( ) Father gifted his property to his son. After two year the father went bankrupt. (a) Father can take back the property to pay his debt (b) Son’s property is secure, as no one can take the property (c) Son’s property is insecure, as the Official Assignee may take action to claim the property (d) None of the above Answer: ( ) Income tax is paid in advance (a) On the first of January every year (b) By 31 January of every year (c) On the first of July every year (d) All of the above Answer: ( ) Advantages of Torrens system over registration of deeds (a) Registration under the system validate the transfer of title (b) Contains records of all relevant transactions affecting land (c) No required to conduct retrospective title inspection (d) All of the above Answer: ( ) Which of the following about HDB Studio Apartment is incorrect? (a) Can sublet a room in the Studio Apartment (b) Cannot sell at open market (c) Can pay by CPF (d) All of the above Answer: ( ) The four unities of co-ownership of land include Unity of time, interest, title and (a) Reversion (b) possession (c) enjoyment (d) control Answer: ( ) A prospective buyer of a detached house told the salesperson marketing the house that he had plans to add another floor to the existing 2-storey structure. The salesperson replied that he could do it as long as there was an approval from the competent authority. After the buyer had purchased the house, he found out that there is a height restriction of 2-storey in his estate. 40


362

363

364

365

366

367

(a) Sales person is liable for negligent misrepresentation as he has the duty of care to verify height limit with the Master Plan before marketing the property (b) Salesperson did not do anything wrong, as seller cannot depend on the information from salespersons who are not trained in land matters (c) As the matters are dealt with by the authority, the salesperson committed an innocent misrepresentation (d) The principle of caveat emptor applies in this situation Answer: ( ) For sub-sale of properties still under construction, who need to pay stamp duty, and how much? [i] Purchaser, stamp duty as project price [ii] Purchaser, stamp duty as sub-sale price [iii] Sub-sale purchaser, stamp duty at sub-sale price [iv] Sub-sale purchaser, stamp duty at project price (a) Only [iii] (b) [i] and [iii] (c) Only [iv] (d) [i], [ii] and [iii] Answer: ( ) Due to negligence, salesperson did not include cable TV charges in the tenancy agreement. However, the landlord having read the tenancy agreement did not notice the mistake and signed it. In the end, the tenant refused to pay the monthly TV charge, claiming that it was not mentioned in the contract. (a) The salesperson is solely responsible for the mistake and must give compensation to landlord (b) Landlord solely wrong and cannot expect compensate from anyone (c) The tenant must pay all charges due to him even though such charges or fees may not be stated in the tenancy agreement (d) The salesperson will pay the damages from his own professional indemnity insurance Answer: ( ) The sale of a property cannot go on if (a) Seller is dead (b) Seller has found a new buyer who is willing to pay a higher price (c) Buyer is dead (d) All of the above Answer: ( ) When the lease of a commercial property expires, what will happen to the premises which had been renovated by the tenant when he first moved in? (a) The tenant should leave the premises as it is (b) The tenant must revert the premises to its original condition (c) The tenant can sell the fixtures and fittings back to the landlord (d) The tenant can charge the incoming tenant for the renovation Answer: ( ) Subsidiary proprietors of a strata-titled property are not allowed to do the following which will enhance the gross floor area. Which of the following statements is correct? (a) Build awning at every window (b) Top floor owner carrying out interior renovation to include a loft (c) Seal up the balcony to become part of the interior of the unit (d) All of the above Answer: ( ) A Temporary Occupation License (TOL) is issued for all the works mentioned below except for (a) Road works done on public road (b) Leasing of a huge track of land adjacent to a MRT construction project (c) minor encroachments on state land (d) PUB sewerage works on private property 41


Answer: ( 368

369

370

371

372

373

374

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)

Which of the following is not a requirement in a valid contract? (a) Invitation to treat (b) Offer (c) Consideration (d) Intention to create legal relations Answer: ( ) A developer just bought a land which has a 999,999 years lease. He built a condo and sold the units for 99 years. Which of the following applies? (a) The property will be reverted to the developer after 99 years (b) The developer is giving up his right for 9,999 for the immediate 99 years (c) The condo project has a life estate for 99 years (d) All of the above Answer: ( ) Tenant’s implied covenant include: i. Payment of rent promptly ii. To allow landlord to view the premises iii. Keep the rented premises clean iv. To ensure own immigration status remain valid (a) [i], [ii] and [iii] (b) [i], [ii], [iii] and [iv] (c) [i], [iii] and [iv] (d) [i] and [iv] Answer: ( ) Who can lodge a caveat against a landed property owner? (a) The main building contractor claiming unpaid construction costs (b) The beneficiary of a trust in respect of the landed property (c) The bank which receive a charge in respect of the landed property (d) All of the above Answer: ( ) A salesperson can (a) operate as a moneylender as long as he has a valid license (b) be a moneylender only if it is on a part-time basis (c) recommend client to a moneylender only when the latter has a valid licensed (d) lend money to his friend who is in urgent need of money and only when no interest is charged on the loan Answer: ( ) Under the Residential Property Act, a foreigner who intends to own a vacant residential land in Singapore must: (a) not be a permanent resident but must apply to the Land Dealings (Approval) Unit (b) be a permanent resident and must apply to the Land Dealings (Approval) Unit (c) become a citizen (d) prove that he has the financial means to support the investment Answer: ( ) The following are common clause in lease agreement except: (a) Premises (b) Habendum clause (c) Diplomatic clause (d) ‘owner to stay’ clause Answer: ( ) What cannot be deducted from rent when the property owner files his income tax? i. Interest on mortgage ii. Rental of furniture iii. Monthly maintenance fee iv. Property tax 42


v. Depreciation vi. General repairs (a) [i], [ii], and [iii] (b) [i], [ii], [iii] and [iv] (c) [ii], [iv] and [v] (d) [iii], [v] and [vi] 376

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Answer: ( ) You are the trustee of Mary’s property for the benefit of your baby niece. Now, someone would like to buy over Mary’s house. As a trustee, can you sell it? (a) No. You cannot sell, as it belong to Mary’s niece (except you get Mary’s prior permission) (b) Yes. You can sell, as long as Mary’s niece agrees (21 years old) (c) Yes. You can sell as you are the trustee of Mary’s niece and you do not profit from the proceeds. (d) It depends on the instruction of the trust deed Answer: ( ) Which of the following properties has the shortest leasehold period? (a) HDB flats (b) Shophouse at a HDB flat (c) JTC flatted factory (d) None of the above Answer: ( ) Salesperson is liable to disclose all relevant facts about a shophouse to prospective buyers when marketing it. Which of the following term best describe a salesperson’s duty while marketing the shophouse? (a) privity of contract (b) caveat emptor (c) caveat vendor (d) privity of estate Answer: ( ) The tenant has installed a wall-mounted amplifier on the wall, can he take it out after his tenancy? (a) Yes, it is a fitting and can be removed after tenancy (b) No, it is a fixtures, cannot be removed after tenancy (c) Yes, but the tenant has to compensate the landlord (d) No, the landlord must give consent before the tenant can take it with him Answer: ( ) Fittings are __________ property? (a) Movable therefore personal (b) immovable (c) real (d) personal and therefore removable Answer: ( ) Which of the following is an invitation to treat? (a) display advertisement (b) Property Auction (c) Call for tender (d) All of the above Answer: ( ) What does “and/or” nominee mean? (a) only the option holder can exercise the option (b) the option holder or another person who has been nominated by the current option holder can exercise the option on his behalf (c) the option holder must exercise the option together with the person who has been nominated (d) it means the option is not assignable 43


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Answer: ( ) Upon legal completion, __________ will inform the chief assessor and within ______ days. (a) buyer, 15 days (b) seller, 15 days (c) buyer, 30 days (d) seller, 30 days Answer: ( ) Sam Gian’s note: The Property Tax Act stipulates that the ‘property owner’ must inform the authority of changes in status after the property title has been transferred You have built a factory on a 30-year leasehold land which you had leased from JTC Corp. You have brought in and installed your own machinery, air-conditioner and production line, etc for your factory. Upon expiry of lease, you should: (a) Remove the machinery, air-conditioner and production line and return the land and the building to JTC (b) Remove the machinery, air-conditioner and production line and return only the land to JTC but JTC will have to buy over the building from you (c) Find an owner to take over the machinery and return land to JTC (d) Return land to JTC corporation with all improvements remaining and untouched Answer: ( ) In the long term, real estate has an __________ supply (a) Elastic (b) Inelastic (c) Infinite (d) finite Answer: ( ) If a house is within the same zoning as the Botanic gardens, the trees inside the house will have to be kept at 2-metre height as stipulated by the Npark. Such restriction will (a) pass on to subsequent owners as it is a private restrictive covenant (b) pass on to subsequent owners as it is a negative covenant (c) pass on to subsequent owners as it is a scenic easement (d) cannot pass on as the rule is on tree and not houses Answer: ( ) The latest cooling-off measures are meant to curb speculation by making it tough for (a) prospective buyers buying a new home nd (b) prospective buyers buying a 2 home with bank financing (c) prospective buyers buying commercial property and taking loan from private bank (d) all of the above Answer: ( ) There are no two identical properties in Singapore though they can be : (a) In the same location and having the same size (b) In different location and having different sizes (c) In the same location and having different designs (d) In different locations and having different designs Answer: ( ) Ratification is an agency relationship which occurs ______________ the contract brought by a salesperson who in the first place did not have any authority to act for the property owner and the third party. (a) before the principal has signed (b) when the principal is signing (c) after the principal has signed (d) after the principal has agreed to sign Answer: ( ) En bloc sales owner has ______ days for mediation. (a) 30 44


(b) 60 (c) 90 (d) 120 391

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Answer: ( ) Equitable interests are enforceable against the world at large except for ________ (a) the competent authority (b) bona fide purchaser without notice of the claim (c) any third party interested in the land (d) the State Answer: ( ) Your client owns a condominium unit and he has some misgivings about the Management Corporation (MC). He should seek help from: (a) Building Maintenance (unit) under the Building and Construction Authority (BCA) (b) Building Management Department under the Building and Construction Authority (BCA) (c) Commissioner of Buildings under the Building and Construction Authority (BCA) (d) Controller of Housing under the Ministry of National Development Answer: ( ) Interests in land are (a) attached to land, running with the land and irrevocable (b) assignable (c) binding on third party (d) all of the above Answer: ( ) A undischarged bankrupt who is a Singaporean can: (a) Sell his executive flat and buy a HDB 5-room flat without seeking the prior approval of the Official Assignee (OA) (b) Sell his 5 room flat and buy a executive flat without seeking the prior approval of the Official Assignee (OA) (c) Cannot sell his HDB flat at all until he or she is discharged (d) Cannot buy any HDB flat at all until he or she is discharged Answer: ( ) Alan told you that he co-owned a property with his friend Alex. This means that (a) He is the joint tenant with Alex (b) Alex can have the keys to Alex’s house (c) He will become the sole owner of the house if Alex dies (d) All of the above Answer: ( ) A condo unit was sold with tenancy to new landlord Alfred who later renewed the tenancy with the existing tenant Mr Choy. Is the salesperson Bernard who sold the condo to Alfred entitled to the commission of the renewed tenancy? (a) Yes, as he is the effective cause of the sale which include the tenancy (b) Yes, as without Bernard, Alfred would not be owning the condo (c) Yes, the commission is paid to the first point of contact in the transaction (d) No, Bernard is not the effective cause of the renewed tenancy Answer: ( ) Mr A is ordered by the high court of Singapore to provide the right of way for Mr B to use Mr A’s land as a driveway to B’s house. This is an example of (a) positive covenant (b) restrictive or negative covenant (c) positive easement (d) negative easement Answer: ( ) Minority owners in an estate undergoing en bloc sale [i] must withdraw from the sale committee if there is an 80% consent; [ii] pay a portion of the sale proceeds due to them to the majority owners when the sale is completed. 45


(a) (b) (c) (d) 399

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[i] is correct [ii] is correct Both [i] and [ii] are correct Both [i] and [ii] are incorrect

Answer: ( ) Alan bought a parcel of land with a plot ratio of 2.1 a decade ago. The authority has just increased the plot ratio of Alan’s land to 2.8. What can Alan do? He can [i] apply to Singapore Land authority (SLA) to change the plot ratio of his land to 2.8; or [ii] apply to URA to get approval to develop the land based on the new plot ratio. (a) [i] is correct (b) [ii] is incorrect (c) Both [i] and [ii] are incorrect (d) [ii] is correct Answer: ( ) In sub-let transactions, who pays the stamp duty when it is due and how much? (a) Original tenant pays stamp duty based on original rent (b) Original tenant pays stamp duty based on sub-let rent (c) Sub-tenant pays stamp duty based on original rent (d) Sub-tenant pays stamp duty based on sub-let rent Answer: ( ) In which of the following case does the salesperson get full commission though all are aborted sales? (a) The seller defaulted on the promise to grant Option to Purchase to the buyer (b) The seller defaulted on sale contract (c) The buyer did not exercise the Option to Purchase (d) All of the above Answer: ( ) A & B are good friends who co-own a property and B has approached you to market and sell it. What can you conclude about the co-ownership? (a) A & B own the property in equal share (b) A & B are joint tenants to each other (c) A & B both have access to the property (d) All of the above Answer: ( ) B has the ‘right to light’ against A. This means that (a) A must give way to B’s car (b) A has the right to restrict the property height of B’s house (c) B cannot block the light to A’s property (d) A cannot block the light to B’s property Answer: ( ) Under the Residential Property Act, foreign owners who illegally dispose of the ‘restricted property’ owned by them during the non-disposal period of ____ years will face a maximum fine of $200,000. In addition, the Controller of Residential Property will be empowered to lodge a _______________ against the restricted property. (a) 3, complaint (b) 5, injunction (c) 6, charge (d) 3, caveat Answer: ( ) Henry was a prospective buyer of a detached house. He offered to pay $5 million for the house and gave the seller a $50,000 cheque, being the 1% option fee. In return, the seller granted him an Option to Purchase (OTP). After that, Henry did his own enquiry on the seller’s land and discovered a road line reserve in the land, which was sufficient ground for contract rescission. He told the seller what he had discovered and asked for the refund of $50,000 option fee. The seller refused to return the money citing lack of contract. Did Henry have the right under the Option to rescind? 46


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(a) No, because there was no contract. Option to Purchase is only an offer from the seller. Henry would have to exercise the OTP before he had the right to demand the refund of the $50,000 (b) Yes, an Option is an unilateral contract that binds the seller. The seller’s refusal to return the option fee to Henry would amount to unjust enrichment on the seller’s part (c) No, because Henry required an architect to certify that that was grand for rescission (d) Yes, because the seller ought to have disclosed the title defect upfrond when Henry gave him the offer. Answer: ( ) September 2011 2 2 Share value of properties are allotted in groups of ______ m . A property of 220 m will have a share value of ________. Different Premium is computed based on the difference between __________ and ________________ in the provisional planning permission. The __________ Act is used to acquire private properties for public interests. The ___________________ Is where the court rules on maintenance issues, children welfare and all matters concerning a divorce action for Muslims. Mary intends to set up a trust so that the rental income from her property can provide for her infant son, John, in the future. Therefore, Mary is known as the _______________ and John will be the _____________________. When an agent enters into a contract with a third party on behalf of the principal, both the principal and the third party are said to have ______. A Tenancy in Common has the unity of _______ and it contains words of __________. ManiBank is now offering a _______ interest rate package at SIBOR + 0.68% to their best customers. _______________ interest in a property is valid against the whole world except a bona fide purchaser without notice. The ________________ list in a tenancy agreement is a list of furniture and items which the landlord provides to the tenant for their enjoyment. The ________________ index published by HDB shows the price movement and trend of HDB Flats. HDB owners are not allowed to use the whole of their HDB flats or ______of HDB as _______ for loans from moneylenders. [blank] [blank] [blank] 80% loan on the ‘Valuation Limit’ of a property means (a) Purchase price or property’s valuation whichever is the higher (b) Purchase price or property’s valuation whichever is the lower (c) Purchase price or property’s valuation whichever is the same (d) Property’s valuation Answer: ( ) According to URA’s latest quarterly statistics, which of the following sector showed the highest vacancy rate? (a) Residential (b) Office (c) Industrial (d) Retail shops Answer: ( ) Personal property means (a) Real property (b) Immovable property (c) Corporeal hereditament (can be inherited) (d) Movable property Answer: ( ) A cinema has been sold and the seller plans to remove a row of chairs as a memento for himself. 47


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(a) The chairs can be removed as they were paid by the sellers (b) The chairs cannot be removed as they are fixtures and essential to the running of the cinema (c) The buyer should pay for the chairs as they have gotten the property at a good price (d) The seller should not offer the chairs as part of the deal Answer: ( ) A Terrace House will have a (i) a certificate of title, (ii) a strata certificate of title, and the property can be of a (iii) 99 years leasehold or (iv) freehold tenure. (a) (i) is correct (b) (ii) is correct (c) (i), (iii), (iv) are correct (d) (ii), (iii), (iv) are correct Answer: ( ) Which of the following mode of holding has the most right and is not subject to state covenants? (a) Fee simple absolute (b) Statutory land grant (c) Leasehold 99 years (d) Leasehold 60 years Answer: ( ) What does an owner of a fee simple estate need to do? (a) Needs to pay annual ground rent to the state (b) Not required to pay any statutory rent (c) Needs to pay statutory rent after 99 years (d) Needs to pay nominal land rent Answer: ( ) A developer of an industrial project has 120 years lease over the property. He intends to sell the individual units at 60 years lease. (a) The developer has the reversionary interest after 60 years (b) The buyer has the reversionary interest after 60 years (c) The state has the reversionary interest after 60 years (d) No one has the reversionary interest after 60 years Answer: ( ) Which of the following statement is not an essential for a tenancy or lease: (a) The document must be created in a deed and must be registered with SLA (b) The document must be in English (c) The agreement should clearly identify the lease terms (d) Both parties must clearly understand how the arrangement is to be ended Answer: ( ) Alfred owns the freehold estate of a bungalow and he grants his nephew Barry a life estate. (a) Alfred owns the property during his lifetime and when he dies Barry assume the reversionary interest (b) Barry owns the property during his lifetime and when he dies Alfred assume the reversionary interest (c) Alfred owns the property during Barry’s lifetime and when Barry dies Alfred needs to sell the bungalow (d) Barry owns a leasehold interest that need to be reverted to the state when he dies Answer: ( ) Mr Ong gave a property to his girlfriend, Amanda, sometime last year as an affirmation of his love to her. However, he is now facing financial difficulty and wants to take back the property from Amanda so he can put it for sale. (a) Yes, Mr Ong can claim back the property as he is the owner (b) No, Mr Ong cannot claim back the property as a gift is irrevocable. (c) Yes, Mr Ong can claim back the property as Amanda had provided no consideration for the property 48


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(d) No, Mr Ong cannot claim back the property as Amanda has rented the property to a tenant. Answer: ( ) Which of the following example is not a Licence? (a) A professional singer who is performing at the Esplanade Concert Hall has the right to use the Artists Room during the week of her performance (b) Nancy who went to her boss’ condominium to collect his mail and her boss’ permission to use the swimming pool in the condo (c) Robert has the right to park his car in a HDB multi storey car park when he visits his friend at his HDB flat (d) Alan has the right to use his neighbour’s driveway to reach his home as it is the only way for him to access his property Answer: ( ) A Temporary Occupation Licence (TOL) is renewable with which of the authorities below? (a) Singapore Land Authority (SLA) (b) Housing and Development Board (HDB) (c) Urban Redevelopment Authority (URA) (d) Jurong Town Corporation (JTC) Answer: ( ) To apply for approval to construct a dormitory for construction workers on a Temporary Occupation Licence (TOL) site, the construction company needs to apply to: (a) Jurong Town Corporation (JTC) (b) Singapore Land Authority (SLA) (c) Urban Redevelopment Authority (URA) (d) Housing and Development Board (HDB) Answer: ( ) A Temporary Occupation Licence (TOL) is a registrable interest with the land registry: (a) Yes, all forms of land uses once granted by the state must be registered (b) No, TOL is not registrable (c) Yes, it is registrable because it is for long term uses (d) No, all TOL sites are for a maximum term of 3 years, renewable for another 3 years Answer: ( ) Under the Residential Property Act, a ‘foreigner’ is defined as: (a) A company which has at least one member who is a non-citizen (b) A company which has more than 50% of their share capitals being owned by non-citizens (c) A company which has more than 50% of the shareholders who are non-citizens (d) A company which is registered in Singapore and all of whose members and directors are Singapore citizen Answer: ( ) Picture of 2 houses on uneven ground, one house (House A) is on a higher elevation sharing a boundary retaining wall with a neighbouring property (House B) on a lower ground. When owner of House B redevelop his property to include a swimming pool built next to the retaining wall, he must take care to ensure the interest of his neighbour is protected. This is called the (a) Right of support (b) Right to light (c) Right of view (d) Right of way Answer: ( ) A restrictive covenant can be extinguished after _______ years (a) 5 (b) 10 (c) 15 (d) 20 Answer: ( ) An Easement can be extinguished 49


(a) (b) (c) (d) 440

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Continuous non user for 20 years Court order By mutual agreement By mediation

Answer: ( ) Cobbler Ah Seng has been occupying the ground floor corridor of a shopping centre for 12 years until recently when the shopping centre was sold to a new investor. What is Cobbler Seng’s right to remain in the building? (a) Yes, he can remain operating in the shopping centre as he has acquired a right after being there for 12 years (b) No, the new Owner need not recognize Cobber Seng as there was no contract between him and the new Owner (c) Yes, Ah Seng has acquired what is known as the equitable lease of the ground floor which is enforceable against the new Owner (d) No, the doctrine of adverse possession has been abolished in Singapore Answer: ( ) Which of the following is an example of positive covenant? (a) A has the right to use his neighbour’s land as it is the only access to A’s property (b) A who is the landlord has to ensure that he does not miss the payment of maintenance fee of the condo unit which he has rented out to B. (c) A cannot rebuilt his house to 3 storey tall as B has the right to prevent A to do so (d) A has to conform to the usage set by the zoning authority for his shop-house Answer: ( ) Tony and his friend Sharon are joint tenants of a property. When Tony dies, who has the right to his share in the property? (a) Tony’s wife (b) Tony’s wife and his adult son (c) Sharon (d) Tony’s wife, his adult son, his parents Answer: ( ) An expatriate tenant who is exercising his right under the Diplomatic clause of a tenancy agreement needs to show: (a) His foreign domicile (b) Letter from his employer confirming his transfer (c) Give notice to the landlord (d) All the above Answer: ( ) In a tenancy where the Tenant exercised the diplomatic clause and vacates the property, the agent’s commission is refundable to the landlord: (a) Yes, as the commission is calculated based on the proportion of the lease term (b) No, agent can keep all the commission as he has done the work (c) Yes, it is the agent’s duty to ensure that the tenant must see through the entire lease (d) No, commission is earned when the lease was successfully executed and the demised property properly handed over to the tenant Answer: ( ) Paul is looking to buy a house and asked his agent Andy whether the 3,400 sq ft floor area quoted by Andy included the patio. Andy said that based on his estimation the patio can easily add another 300 sq ft to the floor area. Paul subsequently bought the property but found that the area of 3,400 sq ft includes the patio area. Andy has made a (a) Negligent misrepresentation (b) Fraudulent misrepresentation (c) No misrepresentation (d) Innocent misrepresentation Answer: ( ) In the above example, if Paul has engaged a surveyor to ascertain the floor area prior to him confirming the deal, and discovered that the 3,400 sq ft indeed included the patio 50


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area as certified by the surveyor, would Andy still be responsible for what he said? (a) No, as Paul did not rely on Andy’s statement but has engaged a surveyor to ascertain the correct floor area (b) Yes, Andy is responsible as he had misled the buyer (c) No, as Paul did not trust Andy (d) Yes, as Andy is a licensed real estate agent Answer: ( ) In a periodic tenancy, the following element is important: (a) Notice to quit (b) Rent escalation clause must be included (c) Rent review subject to CPI (d) Diplomatic clause, in the event that the Tenant’s business failed Answer: ( ) B who is buying the property from A requests to move in to the property, rent free, before completion. A, the owner has agreed. A tenancy is now created by: (a) Tenancy at will (b) Tenancy by estoppels (c) Periodic tenancy (d) No tenancy Answer: ( ) The Reddendum clause in a tenancy agreement describe: (a) Commencement of the tenancy (b) Term of the tenancy period (c) Rental payable, security deposit, rent review (d) Diplomatic clause Answer: ( ) When the tenant exercised the diplomatic clause, his security deposit will be forfeited. (a) Yes, as he has not fulfilled the entire tenancy period (b) No, he is allowed to recover his security deposit under the tenancy agreement and the diplomatic clause provides that, as long as he can show documentary proof (c) Yes, as the Landlord will need to pay the agent to advertise to find another Tenant (d) No, because a Diplomat has special rights under the Diplomatic Clause Answer: ( ) Security deposit can be used to pay for: (a) Offset against reinstatement works not done by tenant (b) Property tax (c) Rental arrears outstanding and unpaid by the Tenant (d) Damage by natural wear and tear Answer: ( ) If a property is rented unfurnished, the following term is likely not to be included in the tenancy agreement: (a) Minor repair clause (b) Not to commit waste clause (c) Not to store goods or use as a warehouse clause (d) Goods and Services Tax being payable Answer: ( ) In the event of Mortgagor’s default on a loan, the Mortgagee has the right to _______ to recover the sum owing under the loan document. (a) Sell (b) Rent (c) To occupy (d) Leave it vacant Answer: ( ) The benefits of the Torrens systems versus the Deeds system is that: (a) Title is indefeasible 51


(b) Conveyancing is not needed anymore (c) Electronic means of proving title is acceptable (d) Title is now irreplaceable if it is lost 455

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Answer: ( ) Sally has sold her property to Ben, but she is now changing her mind and refusing to sell. Ben discovered that he will have to pay more than 20% of the price he has agreed with Sally to buy another property in the same development. Ben can sue Sally for: (a) Specific performance (b) Liquidated damages (c) Breach of covenants (d) Frustration Answer: ( ) Which of the following is an example of statutory law? (a) Registration of Deeds Act (b) State Lands Act (c) Land Acquisition Act (d) All the above Answer: ( ) Which of the following statement is an example of a valid offer? (a) Joyce, the buyer, informed the seller’s agent that she will not offer above $550,000 to buy the property (b) Seller told her agent that she will not sell below $600,000 (c) Seller instructed her real estate agent to quote an asking price of $600,000 (d) Joyce, the buyer, informed the seller’s agent that the sale price of $550,000 must be supported by bank’s valuation Answer: ( ) Which scenario below will cause the termination of a tenancy agreement? (a) Death of tenant (b) Death of landlord (c) Landlord became a bankrupt (d) Tenant needs to travel overseas for work Answer: ( ) Brian followed the advice of his colleague, bought his first property at a low price and within 3 months managed to sell it at a gain of $500,000. Is Brian liable to pay income tax on the profit? (a) Yes, as the gain of $500,000 exceeded his ordinary income (b) No, as Brian cannot be considered as a property trader or property investor (c) Yes, as Brian belongs to the high income earner as defined by the inland revenue authority (d) No, as it was a reluctant sale and Brian regretted selling Answer: ( ) In a certificate of title, a property is described as “Lot 12345X, Mukim 31”. “Mukim” 31 means: (a) Rural survey district (b) Kampong area in Kembangan (c) Town area in Tanjong Pagar (d) Sub-division District in Town Answer: ( ) What is the difference between a Misrepresentation and a Condition in a contract of sale and purchase of real estate? (a) A Misrepresentation does not appear in the contract whereas a Condition is a key term of contract (b) Both Misrepresentation and Condition are key terms of a contract (c) A condition does not appear in the contract whereas a Misrepresentation will appear in the contract provided both parties agree (d) Misrepresentations are not key terms to a contract 52


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Answer: ( ) Agent’s disclaimer. (i) not responsible for death or personal injury caused by the agent’s action. (ii) not responsible for loss or damages arising out of the agents action. (a) Agent can avoid (i) but not (ii) (b) Agent cannot avoid both situations (c) Agent can avoid both if he can disclaim responsibility and had provided reasonable notice to his clients (d) Agent can avoid (ii) but not (i) Answer: ( ) Which of the following example is not a failed attempt in a collective sale? (a) Owners raised objections with the Strata Title Board on sale order (b) Owners refused to accept the highest tender or offer (c) Collective sale committee was unable to persuade the buyer to increase his offer (d) Sale committee reported that the tender closed with no offer received Answer: ( ) In a breach of contract situation where the seller has forfeited the deposit paid by the buyer, and has decided not to sue the buyer, is the agent able to claim his commission from the seller? (a) Yes, if there is a agreement between seller and agent on commission in such a scenario (b) No, the agent is not entitled to commission if the deal is not successfully completed (c) Yes, by the principle of equity the agent must be rewarded for his hard work (d) No, the contract is between the buyer and seller and not binding for the agent Answer: ( ) What is the similarity between a HDB Studio Apartment and a private Studio Apartment? (a) Both buyers are allowed to use his CPF fund towards the purchase (b) Both buyers are not allowed to take out a bank loan (c) Both buyers must pay cash (d) Both buyers are not allowed to resell the apartment Answer: ( ) John’s private apartment became vacant on 1 Sept 2010 and after a very long period of marketing it was finally tenanted on 1 Oct 2011. When should John file his claim for a property tax refund? (a) By 15 Nov 2011 (b) By 1 Dec 2011 (c) By 31 Jan 2012 (d) By 1 Jan 2012 Sam Gian notes: vacancy rebate has been abolished Answer: ( ) When a sale and purchase is cancelled, will the buyer be able to claim a refund on the stamp duty paid? (a) Yes, refund of stamp duty is allowed for all cancelled transactions (b) No, this is because stamp duty is chargeable on commercial documents not the transactions (c) Yes, refund of stamp duty is allowed for cancelled transactions in sale and leases, except sub-sale (d) No, stamp duty once paid is not refundable Answer: ( ) Which type of property below when sold will not be subject to GST on the sale price? (a) Serviced apartments (b) Chalets (c) Boarding house (d) Hotel Answer: ( ) Which statement about ‘interest in land’ is not true? (a) Interest in land is assignable 53


(b) Interest in land is irrevocable (c) Interest in land is binding on all future contracting parties (d) Registration of interests validate all interests in land Answer: ( 470

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)

A real estate salesperson would have breached his duties if he: (a) Is unable to find a buyer who is able to pay the seller’s asking price (b) Do nothing with an open listing except advertising (c) Do nothing after securing an exclusive listing (d) Finds himself in a conflict of interest situation with his client Answer: ( ) Paul has a shop in retail business. The REIT sends out invoice in the start of every month. Paul business is not doing too well, and had made late payment. Please find out if Paul needs to pay 7% GST and when must he pay his rent? (a) No, Paul can write in to REIT to tell them that his business is poor (b) No, Paul do not need to pay GST as his business is not GST registered (c) Yes, Paul must pay the 7% GST when he pays his rent (d) Yes, Paul needs to pay the 7% GST at the beginning of every month Answer: ( ) Which of the items is not part of the land? i. Garden Chair ii. Kitchen Cabinets iii. Carpark Porch iv. Koi in the pond (a) only (ii & iii) (b) only (i & iv) (c) only (i, ii & iv) (d) All the above Answer: ( ) Which is not a master plan zoning? (a) A white zone (b) A Condominium zone (c) A Park Zone (d) A Hotel Zone Answer: ( ) How did URA sell the recent Serangoon Garden site for the price of $105million? (a) Public tender (b) Closed tender (c) Auction (d) Sale by private treaty Answer: ( ) Peter who is the buyer of John’s private condo unit has requested for an ‘early move-in’ a month before legal completion. John gave his consent and the one-month stay will be on a ‘rent free’ basis. Which of the following concept best describes the situation? (a) Tenancy-in-common (b) Tenancy-at-sufferance (c) Tenancy-at-will (d) habendum Answer: ( ) October 2011 A property speculator makes a pile from buying and selling of properties in very short time. He may be subject to ______ tax? _________________________ is a title instrument for landed property registration under the Torrens systems. Singapore, including small islands is divided into ____ survey districts. 54


479

480

If the buyer paid higher price for shopping centre because the seller has misled him to believe that the basement car park could be converted to retail space, this would constitute _________________________ misrepresentation. In a mortgage, the real property is used as _____________ for the repayment of the debt.

481

An ____________ bankrupt can't sell his HDB 5-room flat and buy an Executive condominium.

482

Under the Syariah law of inherence, a Muslim can, by way of a will, give _____ of his/her estate to persons not already entitled to inherence. A salesperson occupies a position of trust and confidence and has to display good faith in the discharge of his duties towards his client. This is a character of a _____________ relationship. If Harry wants to ensure succession by his children after he dies, he can write a ___________.

483 484 485 486 487 488 489 490 491

492

493

494

495

How often does URA/HDB provide updates of statistics on property prices and rental? Every ______________. If the tenancy has expired and the landlord allows the tenant to stay on for a week without charging rent, this is considered a tenancy ______________. No to commit _________ is not to do things that can cause the value of the rented property to diminish. Advertising billboards, notices of tender of the land sites are examples of ________________________ which lead to the making of an offer and are not legally binding. Norman bought a condo on 18/1/2011. To avoid paying SSD, he should sell on/after___________________. If the property is transacted through sale by __________________, the terms and conditions are negotiated and mutually agreed between the buyer and seller. Subject to____________ a buyer can seek full refund of his deposit and dissolve obligations in an OTP if the condition is not met? (a) Satisfactory replies to legal requisitions (b) contract (c) encumbrances (d) final approval Answer: ( ) What is the likely factor that could affect the office rents in Central Business District (CBD)? (a) hiring less expatriates (b) fall in the supplies of office unit in CBD (c) fall in the rentals of residential units in CBD (d) fall in the rental of office unit in the suburban area Answer: ( ) Amy lives in an apartment unit directly above Benny’s. As she did not maintain the sink and it led to leakage in the ceiling of Benny’s apartment. Sally is the salesperson who managed to sell Benny's unit to Jenifer and she did not notice the leakage because Sally asked Benny to coat paint over the ceiling tell-tale patches. Under the Neighbour principal who can Jenifer sue? (a) Only Amy (b) Amy and Sally (c) Amy, Benny and Sally (d) Benny and Sally Answer: ( ) Salesperson must exercise______ duty of care for an illiterate client compare to a literate client. (a) lower standard (b) same standard (c) higher standard (d) no duty of care Answer: ( ) Simon wants to buy an office unit with a commercial loan (a) he should expect to pay minimum 5% down-payment 55


(b) expect the loan to value quantum at 50% (c) pay cash above the valuation (d) all the above 496

497

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500

501

Answer: ( ) Your client owns a semi-detached house with double volume ceiling and he wants to add a mezzanine floor. You advise him as follows: (a) Go ahead with the work because it is only interior renovation (b) Get approval from relevant authority before proceeding with the work (c) As long as it is done and approved by professionals, it’s ok (d) Cannot do it at all Answer: ( ) Mr Lim wanted to sell his property at $1 million at 1% commission to the salesperson. However he promised that if the selling price is higher than $1 million, the salesperson will be given additional rewards. The property was eventually sold at $1.3 million; and Mr Lim gave the salesperson a $50 Formula One Grand Prix entry ticket as his reward. Can the salesperson lodge a claim for higher commission? (a) Yes, for the extra effort he put into marketing the property (b) Yes, he can claim more as $50 is not appropriate for the effort he put in (c) No, the consideration was in the past (d) No, the F1 ticket is the additional consideration Answer: ( ) Sam Gian’s Note: Question unclear about whether the F1 ticket was the original reward for selling the house or the ticket was meant for the additional reward. Tom is a Singapore Citizen (SC) and his Canadian wife is on a long term visit visa. They are first time owners and they intend to buy a HDB resale flat. Which sources of financing can they use : [i] HDB Concessionary loan [ii] CPF housing grant for family [iii] CPF savings from the Ordinary Account (OA) [iv] Commercial bank loan (a) All except [i] (b) All except [ii] (c) All except [iv] (d) All of the above Answer: ( ) Subject to _____ gives the buyer the right to get refund of his deposit and be discharged from his obligation in an OTP if the condition is not met. (a) satisfactory replies to legal requisitions (b) contract (c) final survey (d) encumbrances Answer: ( ) Which of the following description about an equitable interest is incorrect? (a) a valid and binding contract for the sale of land gives the purchaser an equitable interest in the land before legal completion (b) in a legal mortgage, the right of redemption beyond the contract date is an equitable interest in the land (c) a contractual License gives rise to an equitable interest to occupy the land (d) an agreement for a lease give rise to an equitable lease Answer: ( ) Title deed is deposited with the lender but the title is not conveyed to the lender : (a) it's only an equitable interest (b) it is not legally binding on the borrow (c) it needs to be registered to make it legal (d) it's an illegal mortgage Answer: ( ) 56


502

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509

In what way is the Torren's System better than Common Law system: (a) it can legalize all the interests that affect the players (b) It can provide conclusive ownership without the need for title investigations (c) it can establish priority of interests (d) it has been in use longer than the Common Law System Answer: ( ) A Subsidiary Strata Certificate of Title (SSCT) will reveal the following information about the projects except : (a) the nature of the estate (b) the share value (c) the land owner(s) (d) the management charge/fee payable Answer: ( ) What is not present in a tenancy agreement? (a) implied terms (b) warranties (c) Easements (d) covenants Answer: ( ) A tenant rented a property for seven years. He hung a crystal chandelier and nailed a black forest cuckoo clock onto the wall. Can he remove these items without the landlord’s permission? (a) Yes, because ornamental fixture for domestic purpose and for tenant’s own enjoyment is considered personal property (b) No; the items were permanently affixed to the property and are therefore considered fixtures (c) Yes, only if the removal has been provided for in the original agreement (d) No; removal of the items will cause damage to the property and as such they are fixtures Answer: () A warehouse owner wants to build a mezzanine floor within the building. (a) Salesperson gave advice that he can go ahead as it’s in the internal of the building (b) As it is considered ‘addition and alteration’, the owner needs to seek approval from the authorities (c) It is considered minor renovation; so only need to apply for renovation permit (d) Have to pay differential premium now that additional floor areas will be added Answer: ( ) Who is the ‘vendor’ under the Estate Agency Agreement? (a) buyer (b) seller (c) landlord (d) tenant Answer: ( ) A letter of intent – is it a binding document between landlord and tenant? (a) Yes, after accepting the LOI none of the parties can refuse to sign the Tenancy Agreement (b) No, LOI is in effect an offer to rent at a certain price and on certain terms; the lease terms are still negotiable at this point (c) Yes, it is a contract and signing the tenancy agreement is only a formality (d) No, LOI is similar to inventory list Answer: ( ) The tenant has done some damages to the house and the landlord wants to repossess the property. This is an act of: (a) Distress (b) Surrendering of lease (c) Forfeiture of lease (d) Liquidated damages Answer: ( ) 57


510

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Picture of 2 houses on uneven ground, one house (A) is on higher elevation sharing a boundary retaining wall with a neighbouring property (B) on a lower ground. 2-3 questions on the picture, regarding right of light, way, etc No answer Stamp duty for mortgage agreement is capped at (a) $100 (b) $200 (c) $500 (d) $300 Answer: ( ) Property in Tanglin district – which is the sub-market? (a) Core Central Region (CCR) (b) Orchard sub-region (OSR) (c) Outside Central Region (OCR) (d) Rest of Central Region (RCR) Answer: ( ) A foreigner who owes a Sentosa Cove landed property (a) need to observe a 1 yr MOP (b) need to observe a 3 yr MOP before they can sell (c) no MOP required to sell (d) none of the above Answer: ( ) Tom gets his salesperson, Dick, to sell his private property. Dick co-brokes with another salesperson Harry. (a) need the consent of the owner to perform a co-broke (b) need the consent of the owner for every appointment made with a co-broking salesperson before viewing the property (c) owner to pay all the commission , including the additional co-broker’s portion (d) Dick cannot co-broke with one particular pre-determined salesperson but must open up the co-broking arrangement with any salesperson with buyers Answer: ( ) What is the ‘debt-income ratio’ (DIR) a mortagee bank will consider? (DIR is now called MSR) (a) annual income, mortgage loan (b) monthly income, mortgage loan + other debts (c) annual income, mortgage loan + other debts (d) monthly income, mortgage Answer: ( ) If one were to get Lease Buyback Scheme (LBS) approval, he/she can stay in his existing for _____years and _____ sublet his/her room: (a) 30, can (b) 30, cannot (c) 35, can (d) 35, cannot Answer: ( ) One of KEO's key duties is to: (a) supervise S/P but can also work with clients in the selling/buying of property (b) supervise S/Ps but can not participate In the selling or buying of properties with clients (c) be reachable by all S/Ps in a reasonable time frame of the day (d) supervise S/Ps in one estate agent and work for another estate agent Answer: ( ) The Appeal Board when making a judgment (a) must communicate the decision to the salesperson personally or through writing by the secretary of the Appeal Board (b) when effective 5 days after the decision is communicated 58


(c) will publish the decision openly (d) will publish the decision in the government Gazzette

526

Answer: ( ) Every salesperson must complete ____ hours of CPD training on core subjects and another ____ hours for non core subjects (a) 3, 3 (b) 3, 6 (c) 6, 6 (d) 6, 3 Answer: ( ) All new EC projects must reserve ___ % of the units for sales to first-time home buyers: (a) 70% (b) 85% (c) 90% (d) 95% Answer: ( ) The third schedule of the Estate Agents Act consists of how many documents? (a) 2 (b) 4 (c) 8 (d) 12 Answer: ( ) In granting the housing loan eligibility letter (HLE), HDB will not consider the following source of income: (a) Bonus (b) Overtime pay (c) Interests earned from bank loan (d) None of the above Answer: ( ) 'Product' in real estate marketing refers to: [i] the property; [ii] the service of the salesperson; [iii] reputation of the developer (a) [i] and [ii] (b) [i] and [iii] (c) [ii] and [iii] (d) All of the above Answer: ( ) [i] Land interest and rights can be transferred from seller to buyer without the physical act of doing so; [ii] the physical properties must be transferred from seller to buyer (a) [i] & [ii] true (b) [I] true,[ii] untrue (c) [I] and [ii] untrue (d) [I] untrue, [ii] true Answer: ( ) Which of the following is a CEA approved mediation and arbitration centre? (a) CASE (b) Singapore Mediation Centre (c) Institute of Arbitrators (d) Institute of Surveyor Answer: ( ) November 2011 A ______ misrepresentation is made knowingly and recklessly

527

___________ terms in a tenancy agreement can be implied by statute or by custom.

519

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521

522

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525

59


528

A remedy to restrain someone from his act is called ___________________.

529

Besides the Immigration and Checkpoint Authority (ICA), where can a real estate salesperson verify immigration details of a foreigner Transaction data used in HDB’s resale price index are classified into 5 different regions. Name any two regions. A breach of _______________ does not lead to lease forfeiture Rosie and Jasmine buy a shop unit for investment in equal shares. To create a tenancy-incommon holding, the title document must indicate ___________.

530 531 532 533

Name a type of land interest that lasts as long as ‘fee simple absolute

534

Rose has an outstanding mortgage loan with ABC bank. She rents her house to Jasmine on a 3-year tenancy. Through ________________ of the tenancy to the bank, the bank receives the rent directly from Jasmine (as loan instalments) while Rose retains her obligations as landlord. Lodging of ____________ is to notify others of a non-registrable interest in land which is transitional or equitable in nature; and it lasts for _______ years. Mr Ong conveyed a terrace house to his son a year ago by way of a gift. He is now a bankrupt. The gift is ________ as the__________ of the house has not passed. It is important for a buyer to ascertain if a SOHO unit’s _________ is residential or office. A _______________ is a transaction where a new contract is substituted for an existing contract by agreement of the parties. TOL stands for ______________ . [blank] Amy and Benny are salespersons. Amy has ‘O’ level qualification but has years of experience as a salesperson. Benny is a fresh graduate with degree in real estate. Standard of Care required of them: (a) The same (b) Higher for Amy (c) Higher for Benny (d) Depends on the commissions charged Answer: ( ) What is the common physical attribute of a land and a personal property for example a car? (a) Heterogeneity (b) Indivisibility (c) Immobility (d) Scarcity Answer: ( ) Which of the following is a contractual licence? (a) Win a lucky draw for free hotel stay for one night (b) Gift by employer for appreciation to stay in hotel VIP room (c) Pay a room to stay in hotel for a week (d) All of the above Answer: ( ) For the past 10 years, which is the region that had the most price appreciation? (a) Core Central Region (CCR) (b) Outside Central Region (OCR) (c) Rest of Central Region (RCR) (d) Offshore island region Answer: ( ) ___________ interests have priority over _________________ interests. (a) Unregistered legal, registered equitable (b) Registered equitable, unregistered legal (c) Unregistered equitable, registered legal (d) None of the above Answer: ( )

535 536 537 538 539 540 541

542

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60


546

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549

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554

Assuming you were negligent but your client was also to be blamed equally for selling at a lower price. Your liability for his loss will (a) not be reduced (b) be reduced less than 50% (c) be reduced by 50% (d) be reduced by more than 50% Answer: ( ) You brokered the lease of your client’s condo. Would you advise him to ask the tenant to pay the maintenance and sinking funds directly to the management corporation? (a) Yes, this will save the client the hassle (b) Yes, this will result in lower rent (c) No, this is to prevent my client from being charged penalty payments by the management corporation in the event the tenant defaults in payment (d) No, payment would allow my client to earn some interest on the money Answer: ( ) A foreign person must dispose of his landed property if (a) he inherits it (b) he gives up his Singapore permanent resident status or citizenship (c) he intends to buy another one (d) when either answer (a), (b) or (c) occurs Answer: ( ) When was the Seller’s Stamp Duty (SSD) imposed? (a) 1 January 2011 (b) 11 January 2011 (c) 14 January 2011 (d) 30 January 2011 Answer: ( ) What do CT and SSCT stand for? (a) Certificate of Title and Singapore Strata Certificate of Title (b) Certificate of Title and Subsidiary Strata Certificate of Title (c) Certificate of Title and Singapore Subsidiary Certificate of Title (d) Certified Title and Strata Subsidiary Certified Title Answer: ( ) A lease cannot be terminated by (a) Constructive eviction clause (b) Escalation clause (c) Diplomatic clause (d) Forfeiture clause Answer: ( ) A SIBOR rate table was shown (a) Fixed interest (b) Floating interest rate (c) After the third year interest rate will be higher (d) After the third year interest rate will be lower No Answer Which of the following persons has a future interest in land? (a) Mary’s parents will the house to Mary (b) Mary’s grandparents will their house to Mary’s parent (c) Mary lease the house to Ray for 5 years (d) Mary joking said she will sell the house to Ray after 5 years Answer: ( ) Who issues the Letter of Intent? (a) Landlord (b) Landlord’s salesperson 61


(c) Tenant (d) Tenant’s salesperson 555

556

557

558

559

560

561

562

Answer: ( ) Your foreigner friend wants to buy a house. Which of the following properties will you recommend? (a) A HDB flat (b) A condominium (c) A house in Sentosa Cove (d) A Landed property Answer: ( ) Mr A purchased a condo in February this year (2011) at $1.3 million. As he was in need of money, he sold the condo last month (October) for $1.5 million. What is the Seller’s Stamp duty payable? (a) $180,000 (b) $240,000 (c) $39,600 (d) $120,000 Answer: ( ) When doing a ‘road show’ for an Australian project, what is the most important marketing mix factor to consider? (a) Price, place, product (b) Product, promotion (c) Price, personal selling, product (d) Promotion, price, place Answer: ( ) Salespersons are allowed to use certain title(s) on flyers and pamphlets in their marketing campaign. Which of the following is correct? (a) ‘Specialist’ of this estate (b) ‘Expert’ of this estate (c) ‘King’ of this estate (d) ‘All are sold by me’ Answer: ( ) What can be included in flyers? (a) ‘Confirm can sell $25,000 above COV’ (b) ‘Confirm 100% good price’ (c) ‘Selling Cash over valuation’ (d) None of the above Answer: ( ) After working for years as experienced salesperson, you want to be a KEO of an estate agent. What do you need? (a) Have at least 3 years of working experience as a salesperson (b) Have completed at least 30 property transactions with 3 years experience in managing the business as executive director or chief executive (c) Must not be registered as a salesperson or be an existing KEO of another estate agent (d) All of the above Answer: ( ) Under CEA’s new regulatory framework, all existing estate agents and salespersons have to undertake mandatory continuing professional development (CPD) of _______ hours a year of which ____ hours are for CPF core subjects. (a) 6, 3 (b) 6, 1 (c) 12 , 3 (d) 12, 1 Answer: ( ) If Mr A advertised the sale of property online, what is the marketing mix? 62


(a) (b) (c) (d) 563

564

565

566

567

568

569

Price Promotion Place Process

Answer: ( ) Mr A wants to appoint salesperson Kurt to market his property. What can we make out of Mr A’s intention? [i] To sell the property or expose it through Kurt’s network [ii] He wants his property to be taken care of by a professional salesperson [iii] He wants Kurt to help him determine and fetch the right / best price for the property (a) Only [i] is correct (b) Only [ii] is correct (c) Only [iii] is correct (d) All of the above Answer: ( ) HDB flats that are of similar size and command more or less similar resale prices are known as (a) Differentiated products (b) Undifferentiated products (c) Segmented products (d) Non-segmented products Answer: ( ) The Consumer Protection (Fair Trading) Act is to (a) address unfair customer service and trade practices (b) empower consumers to give them recourse and civil remedies against errant traders (c) reduce legal costs on the part of the aggrieved party (d) all of the above Answer: ( ) A seller is unable to deliver vacant possession on the legal completion date. As the seller’s salesperson, you must not advise the seller to: (a) Sign a tenancy agreement with the buyer so as to legalize the extended stay (b) To locate temporary accommodation (c) To delay the legal completion date (d) None of the above Answer: ( ) Mr A rented out a property for two years for $4,000 a month with the help of a real estate salesperson. The agency is a GST registered company. How much commission does he need to pay the salesperson? (a) $2,000 (b) $2,140 (c) $4,000 (d) $4,280 Answer: ( ) Mr Ong is having a dispute with his tenant on a ‘fitting-out’ period. All other items have been agreed upon. Which mechanism should they seek to resolve the dispute? (a) Negotiation followed by arbitration (b) Mediation followed by arbitration (c) Mediation followed by adjudication (d) Third party professional appraisal Answer: ( ) What are the requirements to be a salesperson? [i] At least 18 years old [ii] Pass RES examination or equivalent exam [iii] Not a salesperson of any other licensed estate agency 63


[iv] Do not hold a moneylender license (a) [i] and [iii] are correct (b) [ii], [iii] and [iv] are correct (c) [i], [iii] and [iv] are correct (d) All of the above 570

571

572

573

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575

Answer: ( ) Salespersons must obtain seller’s consent before advertising the seller’s property on the newspaper. The consent can be: [i] In writing [ii] Via e-mail [iii]Via SMS [iv] Via verbal agreement (a) Only [i] is correct (b) [i] and [ii] are correct (c) [i], [iii] and [iv] are correct (d) All of the above Answer: ( ) Henry is engaged by a seller to sell a property. A prospective buyer tried to get Henry’s help to do all the documentation and pay Henry $500. What should Henry do? (a) Henry can recommend another salesperson Jimmy to assist the buyer (b) Henry should not accept and should advise the buyer to look for other salespersons to help with the transaction or advise the buyer to do it himself (c) Henry should not accept and should recommend Jenny another salesperson to help the buyer for the $500 (d) As the negotiation is already done, Henry is allowed to help the buyer with the documentation and take the $500 fee Answer: ( ) Which of the following is a private residential property? [i] Executive condominium [ii] HUDC flat (a) [i] is correct (b) [ii]is correct (c) [i] and [ii] are both correct (d) [i] and [ii] are both incorrect Answer: ( ) Which of the following HDB flats is eligible for subletting of additional rooms? (a) 1-room flat (b) 2-room flat (c) 3-room flat (d) All of the above Answer: ( ) Ben had bought a private property and needed to pay $10,000 for down-payment. What can the salesperson advise him? (a) The salesperson can lend Ben some money and collect a small interest (b) Refer to licensed moneylender (c) Refer to licensed bank to obtain a housing loan (d) None of the above Answer: ( ) What is the Minimum Occupation Period (MOP) for foreigner owning a private property in Singapore? (a) 3 years (b) 2 years (c) 1 year (d) 0 year Answer: ( ) 64


576

581

A foreigner Mr M had engaged Ken to source for a rental property. Ken highlighted Mrs M’s request for a washing machine with dryer in the Letter of Intent. However, when Ken assisted the couple in the moving-in, he did not notice that the washing machine did not come with a dryer as per the inventory list. Mrs M was very upset about the lack of the dryer when she subsequently found out. Is Ken responsible for the slip-up? (a) Yes, he hid the fact after noticing his mistake on the inventory list (b) No, Mr M had gone through the inventory list himself (c) No, this is not Ken’s responsibility (d) Yes, the salesperson’s responsibility is to ensure that all the client’s legitimate requests are met during the transaction Answer: ( ) January 2012 One of the deductibles for the purpose of computing personal income tax from rent is: __________. A periodic lease continues to run until it is terminated by either the landlord or tenant by serving a __________________ to the other party. The mode of co-ownership that confers the right of survivorship is __________________________. A _______ is a mechanism under the Torrens System for parties having legitimate interests on land to notify the State of such interests. Property tax is payable by ______ (day) of _____________(month).

582

A freehold estate similar to Statutory Land Grant (SLG) is known as _____________.

583

The ______________ is an official URA index that tracks the price trend of the private residential property in Singapore. ______________ is payable for lifting of title restriction.

577 578 579 580

584 585 586 587 588 589 590

591 592

593

594

An enterprise owns a land for 999 years but has sold it to a developer for 99 years. After 99 years, the enterprise will enjoy ________________ of the land. Regardless of the mode of holding, all co-owners of a property enjoy the _________________. When a property owner dies without a will, his property will be passed to his successor according to the process of ___________________. A ____________ is a mutual agreement among all concerned parties to substitute a new contract in place of an existing agreement. A caution in a qualified title is valid for _____________ years. Sue wants to purchase a property of 160 sq m land which has party walls adjoining its neighbour’s unit and the house has a car porch. This type of housing is known as a ___________________. Privity of ________ means that the interest runs with the land and will bind subsequent owners of the land. A tenant cannot be discharged from the lease as a result of (a) Forfeiture by the landlord (b) Constructive eviction (c) Diplomatic clause (d) Breach of warranty Answer: ( ) Ann received from her dad his house as a gift 6 months ago. Ann got married to Bob and her dad is unhappy. He: (a) can revoke the gift giving justification that he did not approve of Ann’s marriage (b) can revoke the gift as Ann did not pay for the house (c) cannot do anything as a gift is irrevocable (d) Dad can only revoke the gift if he had not handed over the title deed physically Answer: ( ) Which of the following statements about joint tenancy is/are correct? (a) In law, each co-owner owns or co-owns the whole of the property (b) When one joint tenant dies, his or her undivided share is extinguished and the survivor becomes the sole owner 65


595

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(c) For succession purposes, it is unnecessary for one co-owner to make any testamentary gift of his or her share to the other (d) All of the above Answer: ( ) A woman slipped and fell while walking down a staircase at the Lakeside Residences show flat and hurt her face. She sued the develop Keppel Land (Mayfair) for failing to provide sufficient protection by installing handrails and for breaching common duties of care to visitors to the premises. She is suing the developer for (a) Tort of negligence (b) fraudulent misrepresentation (c) negligent misrepresentation (d) making a mistake Answer: ( ) Referring to the same case scenario above. The developer defended that they should not be held responsible since the woman by using the staircase on the sandy path shows her consent. She could have used another path with a handrail provided. Such a defence is based on which of the following legal principles? (a) ‘Res ipsa loquitur’ which means ‘the thing speaks for itself’ - an inference that the defendant has exclusive control of the situation but was herself negligent. (b) ‘volenti non fit injuria’ which means the injured party had voluntarily assumed the risk. (c) ‘Jus Terti’ which means the developer did not possess the showroom but it was the contractor that is answerable for the injury. (d) ‘Contributory negligence’ which means the injured party has through her own negligence contributed to the harm she suffered. Answer: ( ) Mr and Mrs Smith Wong live in an old terrace house in a matured housing estate for more than 60 years. They bought the property under the old common law system and have not converted the title to the new Torrens System. Is there a difference between the old and new titles? (a) Such title is known as qualified title which means it is subject to pre-existing claims or encumbrances. (b) The State does not guarantee qualified titles to be free from encumbrance and buyer must still investigate the pre-existing common law deeds. (c) Under the present law, cautions contained in qualified titles will automatically lapse 10 years after the title has been converted. (d) All of the above Answer: ( ) Which of the following statements about Torrens System and bankruptcy is correct? (a) Even though the State guarantees the title under the Torrens system, the system cannot be relied upon for validating whether a property owner is a bankrupt (b) The Official Assignee (OA) can lodge a caveat to show that the land is vested in him because the owner is a bankrupt (c) Under the Bankruptcy Act, when a landowner is made bankrupt his property will automatically vest in the Official Assignee. (d) All of the above Answer: ( ) ABC Tower is an industrial building built 3 years ago. Its neighbouring land has started construction a month ago. For the past week, huge cracks had appeared on the ground of ABC Tower and some of the cracks measure about 1-metre wide. What right does the owner of ABC Tower have against the neighbouring land? (a) Right of easement after 20 years of ABC Tower’s construction (b) Right of support which is attached to land (c) Third party’s right which automatically arises (d) Restrictive covenant that is implied Answer: ( ) A freehold property was left to Albert for life, with remainder to Benny for life, remainder to Charles in fee simple. However, Albert is already 80 years old and the 56-year old 66


601

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Benny is suffering from terminal illness. Charles is a 10-month old baby. Which of the following statements is correct? (a) Life estate is a form of concurrent co-ownership (b) Both Albert and Benny have the same life interest in possession (c) Charles’ interest will cease upon the death of Benny before Albert as the succession would have been broken (d) A trustee would have been identified to hold the legal estate in the property for the benefit of the 10-month old baby in the event that the previous interests passed on before the baby reaches legal age Answer: ( ) Bernard, his fiancée Bernice and her sister Barbara jointly purchased a condominium unit for investment. They signed all relevant papers together, went for legal completion together, they all own the property in fee simple, their financial contributions to the acquisition are equal, and when they receive the monthly rent the trio split the income equally among themselves. What is the mode of holding of this property? (a) Since all the unities of co-ownership exist, i.e. unity of time, title, interest and possession, the mode of holding must be joint tenancy (b) Despite the fact that all four unities are present, the mode of holding can still be tenancy-incommon as the ownership of the condo is commercial in nature (c) Regardless of the unities, the mode of holding is tenancy-in-common as the co-owners are not related to each other (d) It is joint tenancy because all three owners own everything equally Answer: ( ) A married couple Zach and Yvonne, together with Zach’s father Xavier, jointly purchased a private condominium for investment. Xavier had contributed the entire cash down-payment while the young couple take up the home loan. As Xavier is bound by the public housing rules the property is registered only in Zach’s and Yvonne’s names in joint tenancy. A year later, the young couple sold the condo without Xavier’s consent. What kind of interest did Xavier have in the condo in the first place? (a) Tenancy-in-common as a minor share holder (b) Beneficial interest which is not registered (c) Absolutely no interest (d) A creditor in a common law debt Answer: ( ) A shop-house yields a monthly rent of $8,000. Housing and retail ratio of the property is 5:3. How much of the Goods and Services Tax (GST) does the monthly rent attract? (a) $0 (b) $210 (c) $280 (d) $560 Answer: ( ) Sam Gian notes: if the landlord is a non GST person, there is no GST payable. A contract cannot be formed when (a) The buyer does not exercise the option to purchase (b) The sale contract is not signed (c) The buyer does not turn up at HDB resale appointment (d) All of the above Answer: ( ) A real estate salesperson who has been authorised by a property seller can create contract with a purchaser on behalf of the principal. Consequent to that, even though the principal does not contract directly with the purchaser, the principal is bound by the contract created on his behalf. This principle of agency is known as (a) Privity of estate (b) Privity of contract (c) Privity of third party (d) Restrictive covenant Answer: ( ) 67


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A Temporary Occupation License (TOL) for a worker’s dormitory at a construction site expires in (a) 1 year (b) 2 years (c) 3 years (d) 5 years Answer: ( ) Which of the following scenarios is most likely during an upswing of the property cycle? (a) High transaction volume and customer sentiments are low (b) High transaction volume and prices are high (c) Low transaction volume and customer sentiments are low (d) Low transaction volume and prices of property are high Answer: ( ) Under the Land Title Act, a restrictive covenant will last for ________ years for registered lands. (a) 5 (b) 7 (c) 20 (d) Forever Answer: ( ) Mr Tan’s family has been living in a single-story terrace house in Serangoon Garden area since the end of World War II. The Tan family had purchased the land during the early 1900s and the family has kept the property until today. Before the WWII, the neighbour made the Tan family promise not to build any extension to the house for superstitious reason. However, today the permitted height is three storeys. Will this restrictive covenant created before the war continue to bind the Tan family today? (a) Yes, for lands registered under common law, a restrictive covenant can last forever unless the Tan family apply for an order of court to extinguish it (b) No, under current law, restrictive covenants created at common law will be extinguished automatically after the expiration of 20 years from the date of its creation (c) Yes, private restrictive covenants continue to bind the servient land as long as the subject matter of the restrictions ‘touch and concern’ the land (d) No, if the Tan family had notified the authority of the restrictive covenant, it will be extinguished after 20 years Answer: ( ) ‘The premises shall be for no other uses except for residential use’ is a clause found in the _______ section of a lease document. (a) premise (b) reddendum (c) habendum (d) covenants Answer: ( ) A foreigner without a special approval to own a restricted property in Singapore when inherits a landed property must dispose of it within ____________ years. (a) 2 (b) 5 (c) 10 (d) 20 Answer: ( ) nd Bob, a SPR, bought a 2 private condo for $1 million on 9 Dec 2011 and he exercised the option to purchase within 2 weeks. How much is the total stamp duty payable? (a) $24,600 (b) $54,600 (c) $96,000 (d) $124,600 Answer: ( ) 68


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619

How many pairs of semi-d houses can the owner of a plot of land of 10,746 sq m develop? (a) 15 (b) 25 (c) 50 (d) 60 Answer: ( ) Mary despite hearing from everyone on how the cooling measures would affect her selling of her property insisted on selling it. Her house was bought in March 2009, and she sold her property at $5 million. Calculate her sales proceeds if: Legal fees = $3,000 / Agent's commission = $50,000 / Outstanding mortgage (after accrued interest): $3 million CPF with accrued interest back to account: $240,000 (a) $1.5624 million (b) $1.6106 million (c) $1.6588 million (d) $1.707 million Answer: ( ) When is the Additional Buyer Stamp Duty effective? (a) 8 January 2011 (b) 8 August 2011 (c) 8 November 2011 (d) 8 December 2011 Answer: ( ) Ben, a Singapore citizen, wants to purchase a total of 10 residential apartments. He has not owned any residential property before. What can you tell him about the ABSD? (a) He has to pay ABSD on each of the apartments from the second apartment onwards (b) He has to pay ABSD on the third apartment and thereafter each and every apartment he subsequently purchased (c) He has to pay ABSD on any 8 of his apartments (d) There is no ABSD for Singapore citizens Answer: ( ) Joe brought a client Mr Tan to view an apartment. He told the prospective buyer that the asking price was $1.65 million and Mr Tan subsequently bought the apartment at that price. However, Joe deliberately omitted the fact that the price included the loft area. Did Joe do anything wrong in his dealings with his client? (a) Yes, Joe should inform Mr Tan everything about the property including the loft area (b) No, Mr Tan was not induced by any material statements said by Joe that were untrue (c) Yes, there was a deliberate omission of fact when Joe showed the apartment to his client whether or not it induced the client to buy (d) No, since Mr Tan did not ask Joe specifically about the loft Joe need not say anything Answer: ( ) Which of the following in a warehouse is/are removable property/properties? (a) Cargo lift (b) Service elevators (c) Forklifts (d) All of the above Answer: ( ) The minimum font size to be used in printed advertisements (excluding classified ads) is: (a) 3 (b) 5 (c) 8 (d) 10 Answer: ( ) 69


620

Any telemarketing phone calls (or cold calls) cannot be made between: (a) 9 pm - 9 am (b) 10 pm - 9 am (c) 7 pm – 7 am (d) 11pm – 9 am

621

CEA's prescribed dispute resolution scheme involves: (a) negotiation (b) negotiation then adjudication (c) mediation then arbitration (d) mediation then adjudication

622

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Answer: (

)

Answer: (

)

If an agent chooses to go for arbitration (a) the arbitration centre will be selected by the mediation centre which the disputing parties went to earlier (b) the arbitration centre is mutually agreed by both parties (c) the arbitration centre is decided by the agent (d) the arbitration centre is decided by the client Answer: ( ) A family living in a 2 room flat under Public Rental Scheme, with a monthly income of $800 pays ____________ a month? (a) $44 - $75 (b) $123 - $165 (c) $165 - $204 (d) $205 - $275 Answer: ( ) A family living in a 2 room flat under Public Rental Scheme, with a monthly income of $801-$1,500 pays ____________ a month? (a) $44 - $75 (b) $123 - $165 (c) $165 - $204 (d) $205 - $275 Answer: ( ) Under the Selective En-bloc Redevelopment Scheme (SERS), owners are compensated according to (a) original purchase price of flat (b) prevailing market rate (c) original purchase price after inflation and ‘cost of living’ adjustments (d) prevailing market rate after inflation and ‘cost of living’ adjustments Answer: ( ) Under the Selective En-bloc Redevelopment Scheme SERS, affected residents can: (a) relocate to a new flat at the designated site or in other towns/estate under the public sales schemes (b) relocate to a rental flat temporarily (c) relocate to a resale flat at the choice matured estate (d) relocate to a resale flat within the same town/estate Answer: ( ) Who can vote for the LUP scheme? (a) Singaporean flat owners (b) Singaporean permanent resident flat owners (c) Singaporean flat owners and occupiers (d) All of the above Answer: ( ) With the recent “marriage child policy” to encourage young couples to live near their 70


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parents, priority will be given when couples buying _________ from developer. (a) Private apartment (b) DBSS flat (c) Executive condo (d) None of the above Answer: ( ) CPD of 6 hours is required of which 3 hours must come from core units. Which of the topics is considered a core unit: (a) Marketing skills and technique (b) Financial service (c) Professional ethics (d) Management and supervisory skills Answer: ( ) Bob & Ann are twins and are 23 years old Singaporean permanent resident (SPR). Their parents are staying in Australia. Which HDB scheme of purchase qualifies them to own a resale flat? (a) Siblings Scheme (b) Non Citizen Family Scheme (c) Joint Singles Scheme (d) None of the above Answer: ( ) [i] Good-faith deposit is a sum of money that is given to landlord and later to be used as security deposit when the lease is finalised. (ii) Good-faith deposit is meant for emergency repairs and compensate landlord for fair wear-and-tear of fittings. (a) Only (i) is correct (b) Only (ii) is correct (c) Both are correct (d) Both are incorrect Answer: ( ) In marketing mix, “Place” refers to: (a) Location of the property on sale (b) Channel used to sell the property (c) Distribution channels, i.e. the place where customers can be found and the listings can be sold (d) Choice of publicity tools Answer: ( ) Target marketing used by most estate agency is: (a) Undifferentiated, Differentiated, Concentrated Marketing (b) Focused Marketing, Differentiated, Defined group of customers (c) Niche Marketing, Undifferentiated, Mass Marketing (d) Specialised, focused and aiming for the affluent segment of the market Answer: ( ) To observe fiduciary duties, Mary, a real estate salesperson, should not: (a) buy a seller’s unit and disclose to the seller about the purchase (b) discourage the property seller from accepting a low offer and promising that she can fetch a higher offer (c) encourage the property seller to accept an offer which in her professional view is a good offer even though the seller disagrees (d) inform a seller of all offers regardless of whether the offers are high or low Answer: ( ) An estate agency that has been granted sole agency means they can: (a) Engage a public relation company to market for them (b) Engage an advertising firm to come up with designs of marketing materials (c) Engage tele-marketers to promote the listing (d) All of the above 71


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Answer: ( ) Mrs Bee bought a property through a real estate salesperson A. She was very satisfied with salesperson A’s service and told Mrs Tan about salesperson A. Mrs Tan then look for salesperson A to market her property. What type of marketing is this called? (a) Social (b) Viral (c) Referral (d) Networking Answer: ( ) There are a total of ___ CEA’s prescribed non-exclusive estate agency forms for sales of residential property. (a) 2 (b) 4 (c) 6 (d) 8 Answer: ( ) Any person who contravenes the Estate Agents Act may be liable for a fine up to: (a) $15,000 (b) $25,000 (c) $50,000 (d) $75,000 Answer: ( ) Studio apartment cannot be sold in the open market. When it is returned to HDB, HDB will pay pro-rate sum based on: (a) Current market value (b) Market valuation, based on the remaining lease (c) Original selling price based on the remaining lease (d) Original selling price after taking into consideration the median COV of resale flats Answer: ( ) What does AIDA mean? (a) Advertisement, Intention, Desire, Activity (b) Attention, Intention, Desire and Action (c) Association of International Design and Advertisement (d) Auction, Investment, Diversification and Acquisition Answer: ( ) Under Public Rental Scheme, an eligible TWO-persons household may rent a/an (a) 1 room flat (b) 2 room flat (c) 3 room flat (d) 4 room flat Answer: ( ) The mandatory insurance policy under the HDB’s Fire Insurance Scheme is valid for (a) 3 years (b) 4 years (c) 5 years (d) 6 years Answer: ( ) In a sub-sale of a residential property under construction, the developer shall enter a new agreement under the exact same terms as original within _____ week with the assignee and rescind the original agreement. (a) 1 week (b) 2 weeks (c) 3 weeks (d) 4 weeks 72


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Answer: ( ) If selling price is to be stated in the advertisement, which of the statement can be used? (a) Asking price : $20,000 to $30,000 above valuation (b) Selling price : a minimum of $10,000 cost on valuation (c) Asking price : $500,000 or nearest offer (d) all of the above Answer: ( ) Under the HDB’s Sitting Tenants Scheme, existing tenants of ____-room flats and ____room flats are eligible to purchase the flat from HDB at a subsidised price when their flats have been selected for sale under the Scheme. (a) 1-room, 1-room (b) 2-room. 3-room (c) 3-room only (d) all of the above Answer: ( ) To encourage the lower income Singaporeans to own assets, the HDB’s Sitting Tenants Scheme provides existing tenants the opportunity to purchase their rental flats with the following benefits: (a) Price of flat greatly discounted from the current market valuation (b) For every year of tenancy, the tenants are given additional discount of 3% off the selling price subject to a maximum of 30% or $15,000 whichever is lower (c) Prospective buyers can apply for Additional CPF Housing Grant (d) all of the above Answer: ( ) February 2012 To which government agency do you submit the application for Temporary Occupation License (TOL)? From which government agency can landlords verify the work permit of incoming tenants? Immigration and ______________ Authority. How can Tenancy-in-Common be created? By words of _____________________. Land lot ‘Mk’ 12 Lot 18233 - What does ‘Mk’ mean? ______________. ______________________________ (in short SSCT) refers to the legal document that provides the proof of ownership held by sole proprietor of a condominium unit. What is the legal term the lender of capital in a property transaction known as? ______________. In a tort of negligence suit, the court often tries to ascertain if a certain injury or loss was reasonably ______________. The replacement of an existing lease with a new lease is known as _________________.

659

The private property of a bankrupt is vested in the ____________________. An easement to view translated into _________________ limit. A lease which is longer than 7 years must be written in a deed and the deed must be registered with the _______________. Professionally, once a registered real estate salesperson has entered into an estate agency agreement with a property seller, the salesperson is considered to be owing ______________ duties towards the principal. An injunction to enforce a restrictive covenant is a/an ________________ remedy.

660

A ‘Change of Use’ application must be submitted to __________________ for approval.

661

The __________________ which comprises 330 map sheets provides statutory power to the planning authority under the Planning Act.

662

Which of the following statements is correct for easement? (a) Easement is the right to use other’s land (b) Easement is the right to use another’s land (c) Answer (a) is correct if it refers to statutory easement (d) All of the above

658

Answer: ( 73

)


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Which of the following statements about property tax is correct? (a) Property tax rate of 20% is applicable to un-occupied owner (b) Property tax rate of 10%-16% is applicable to non-occupying owner (c) Property tax rate of 0%-4%-6% is applicable to self-occupying owner (d) Property tax rate of 0%-16% is applicable to self-occupying owner Answer: ( ) Which of the following statements about bankruptcy is correct? (a) Undischarged bankrupts can sell their executive condominium (EC) unit and buy a 5-room flat without first obtaining the consent of the Official Assignee (OA) (b) Undischarged Singaporean bankrupts can sell their executive condominium (EC) unit and buy a 5-room flat without first obtaining the consent of the Official Assignee (OA) (c) Undischarge bankrupts cannot sell their executive condominium (EC) and cannot own a 5room flat without first obtaining the consent of the Official Assignee (OA) (d) Undischarge bankrupts cannot sell their executive condominium (EC) but can own a 5room flat without first obtaining the consent of the Official Assignee (OA) Answer: ( ) The minimum size of a non-residential strata unit is (a) 150 sq m of Net Lettable Area (NLA) (b) 150 sq m of Net Floor Area (NFA) (c) 150 sq m of Gross Floor Area (GFA) (d) 150 sq m of land area Answer: ( ) Which of the following is/are considered strata-titled property/properties? (a) A block of HDB flats (b) A three storeys detached house (c) a three-storey terrace house in a cluster housing project (d) A conservation shop-house Answer: ( ) When a property seller becomes insane, can the salesperson who had earlier been appointed as the exclusive agent continue to market the property? (a) Yes, as long as the property seller has a Lasting Power of Attorneys (LPAs) before they lose their mental capacity (b) Yes, as long as the next-of-kin agrees that the property should be sold (c) No, the exclusive agency agreement is considered null and void due to the principal’s diminished decision-making capacity (d) Yes, as long as there is spouse’s consent and the spouse can execute all the necessary documents Answer: ( ) When a property buyer does not have a cheque account, what can he do? (a) Deposit the money into the salesperson’s account first (b) Hand over the cash directly to the seller (c) Deposit the money into an escrow account with the seller’s lawyer (d) Exchange cash for the salesperson’s personal cheque Answer: ( ) Title investigations for instruments registered in the old deed registry will date back _____ years into the title history. (a) 15 (b) 12 (c) 8 (d) 4 Answer: ( ) Which of the following is not the way to extinguish a privately acquired easement? (a) Through application to the Court (b) Through application to the relevant land planning authority (c) Through implied release by the owner of the beneficial land 74


(d) None of the above Answer: ( 671

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)

Who can apply to live in Singapore (a) S Pass holders (b) Work permit holders (c) Dependant pass holders (d) All of the above Answer: ( ) Mary and Jessica bought a condo in joint tenancy. When Mary dies, who will be the rightful owner of the condo? (a) Mary’s husband (b) Jessica (c) Mary’s child (d) Whoever was named by Mary as her successor in Mary’s last will have the right to claim 50% of the condo Answer: ( ) Alan is keen on a very old landed property which was registered under the old deed registration system. What are the factors which Alan must consider before buying? (a) Alan should consider whether the title is free from encumbrances (b) Alan should consider whether there is/are caution(s) registered against the property (c) Alan should consider the legal costs as such transactions are more costly due to the more tedious title investigations (d) All of the above Answer: ( ) Which of the following property owners can sell his/her property to a Singapore permanent resident (SPR) who is a single? (a) A private condo which its owner has already occupied for more than 5 years (b) HDB executive flat (c) Landed property (d) Executive condo (EC) Answer: ( ) John, a Singaporean, bought his landed house at $990,000 some nine months ago. He sold it to Jimmy who is also a Singaporean at $1 million. What are the stamp duties payable for this current transaction by the respective parties? (a) John is to pay the Seller’s Stamp Duty (SSD) for $1 million; while Jimmy is to pay buyer’s stamp duty on the purchase price of $1 million (b) John is to pay the Seller’s Stamp Duty (SSD) on the original purchase price of $990,000; while Jimmy is to pay buyer’s stamp duty on the purchase price of $1 million (c) John is to pay the Seller’s Stamp Duty (SSD) for $1 million; while Jimmy is to pay buyer’s stamp duty on the original purchase price of $990,000 (d) Both parties being citizens of Singapore are not required to pay any stamp duty Answer: ( ) How many types of laws are being practiced in Singapore? (a) Written laws and unwritten laws (b) Common law, statute laws, Syariah law (c) Common law, statute law, principle of equity (d) Legislation, statute law, common law Answer: ( ) Which of the following is not the right of a mortgagee? (a) Right of redemption (b) Right of foreclosure (c) Right to appoint a receiver (d) Right to grant an occupier lease Answer: ( ) [i] A Temporary Occupation Licence (TOL) issued by the Singapore Land Authority 75


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(SLA) is renewable either on a monthly or yearly basis depending on the usage. [ii] State tenancy for conserved landed residential property is renewable either on monthly or yearly basis. (a) [i] is correct and [ii] is incorrect (b) [i] is incorrect and [ii] is correct (c) Both are correct (d) Both are incorrect Answer: ( ) When a prospective buyer asked a salesperson about the prospect of rental yield of a newly launched property, the salesperson gave a general reply that Singapore being a vibrant and open economy will only see higher rents in the future and if the prospective buyer did not take the opportunity now, he would certainly regret his indecisiveness later. The property market crashed shortly after the customer booked a unit. Did the salesperson commit misrepresentation? (a) Yes, all real estate salespersons must be truthful and not say things that are baseless (b) Yes, as long as a statement turns out to be false it is considered misrepresentation (c) No, a promise of future gains does not constitute misrepresentation (d) No, a real estate salesperson cannot be held liable for statement made with regards to larger economic issues Answer: ( ) [i] A property owner’s gross income from rent is subject to income tax; [ii] Property sellers who dispose of their private property within one year of its acquisition may be subject to capital gain (a) [i] is correct; [ii] is incorrect (b) [i] is incorrect; [ii] is correct (c) Both answers are incorrect (d) Both answers are correct Answer: ( ) Strata sub-division of an industrial development is not allowed in the first _____ years of the project. (a) 5 (b) 10 (c) 15 (d) 30 Answer: ( ) Is stamp duty payable for a joint tenant of a residential property to break up the joint tenancy via a unilateral declaration? (a) No, stamp duty is charged on transfer of ownership but not breaking of joint tenancy (b) Yes, as the property is now held in shares and if he were to sell the property the deposit will have to be split between the two tenants-in-common (c) Yes, the status of the co-owners is now different (d) Yes, the mode of holding is now different Answer: ( ) March 2012 Owners of a strata-titled property co-own the common property with other residents in the same project. They are ___________________ at the common property. Goods and supplies of services which are exempted from the Goods and Services Tax (GST) are termed exempt supplies or ___________________-rated supplies.

685

A prospective buyer of a condominium unit can check with ____________ to ascertain whether there are any arrears for maintenance fees or any other fees levied by the management.

686 687 688 689

A ______________ clause is usually included in a tenancy agreement with expatriate tenant. ________________ is the remedy for innocent misrepresentation. HDB resale price index is updated by HDB on a ______________ basis. Between themselves, tenants-in-common enjoy the unity of ____________ in their joint ownership of property. 76


690

The portion of the purchase price of a resale HDB flat which cannot be financed by CPF or housing loan is called ______________.

691

When an existing landlord transfer his or her rights in a tenancy agreement to the new owner who has purchased the property subject to tenancy, the document they sign is called a ________________________.

692

Your exclusive client has asked you to source for accommodation for his non-Malaysian foreign workers. What kind of housing will you advise your client to rent? ____________________. When a purchaser of a new private home unit under construction fails to continue with his progressive payment, the situation is known as _______________.

693 694

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Mr Wijaya, an Indonesian businessman, intends to purchase a property at $3.8 million. What is the total stamp duty payable? (a) $108,600 (b) $222,600 (c) $488,600 (d) $494,000 Answer: ( ) Who should pay the Additional Buyer’s Stamp Duty (ABSD)? (a) A Singaporean selling his second residential property (b) A Singapore Permanent Resident selling his second property (c) A foreigner buying his first residential property in Singapore (d) A Singaporean buying his second residential property Answer: ( ) Land Titles Act and the Registration of Deeds Act belong to which type of laws? (a) Principles of equity (b) Common law (c) Statutory law or legislation (d) Case law Answer: ( ) An offer is considered approved and agreed upon if [i] the seller remained silent; and [ii] the seller receives qualifications made to the offer. (a) [i] is correct (b) [ii] is correct (c) Both are correct (d) Both are incorrect Answer: ( ) Which of the following is a fitting? (a) Escalator in a shopping mall (b) Lift in a condo project (c) Moose head hung on the wall of a rented house (d) A window-unit air-conditioner in a HDB flat Answer: ( ) A prospective bungalow buyer enquired from a salesperson about the differences between bungalows in Good Class Bungalow areas and other landed housing areas: (a) Foreigners can own bungalows in other landed housing areas but not in GCB areas (b) The minimum plot size of bungalow is 1,400 m2 in GCB areas but 400 m2 in other landed housing areas (c) Subdivision of bungalow lands is strictly prohibited in GCB areas while it may be allowed in other landed housing areas, subject to URA approval (d) All of the above Answer: ( ) Which of the following components in rental income is/are not exempted from personal income tax computation: (a) Interests on mortgage loan taken to buy the particular investment property 77


(b) Property tax incurred during the tenancy period (c) Principal repayment on mortgage amount and penalties for late payment (d) Repairs done to restore the property to its original state Answer: ( 701

702

Which of the following is not proprietary interest in land? (a) licence (b) lease (c) tenancy (d) trust Answer: ( ) Which of the property segments has the highest percentage increase in the property price index? TYPE OF PROPERTY RESIDENTIAL LANDED PROPERTY NON-LANDED PROPERTY ALL COMMERCIAL OFFICE SHOP ALL INDUSTRIAL MULTI-USER FACTORY MULTI-USER WAREHOUSE (a) Residential (b) Shop (c) warehouse (d) office

703

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705

706 707

)

PRICE INDEX Q3 2011 Q4 2011 205.7 206.2 234.5 234.8 197.8 198.4 123.3 120.6 139.1 139.3 137.8

124.5 120.8 144.7 144.6 145.8

Answer: ( ) Prospective buyers who reject the offer of a new flat by HDB under the BTO exercise will be barred from using CPF housing grant for _________ if they switch to purchasing a resale flat. (a) 12 months (b) 6 months (c) 3 months (d) 30 months Answer: ( ) HDB has increased the second-timer allocation of new Executive Condo (EC) units in a project from 5% to ________ from 2 March 2012 onwards. (a) 30% (b) 25% (c) 20% (d) 15% Answer: ( ) The income ceiling for purchase of a 2-room HDB flats in matured estates/town has been raised from $2,000 a month to _______________. (a) $3,000 (b) $4,000 (c) $5,000 (d) $8,000 Answer: ( ) April 2012 A deed is a ________instrument (document) which must be ___________, sealed and delivered. A promise in the deed is called __________________. 78


708 709 710 711 712 713

A mortgage is different from a sale as the mortgagor has the right of __________as he can still retain the title of the property. With higher interest rates, ___________for property will decrease. An agent and his principal have a ____________ relationship based on good faith and trust. Right of way is a ____________easement and right to light is a ___________easement. Property can be identified by its ___________or its legal description MK-12345A.

714

Property owners who are not entitled to the owner-occupier concession has to pay 10% of ________________ as property tax. A strata title has an undivided share in _____________but a divided share in _______________.

715

Terrace houses can be built on land zoned residential or _____________landed housing areas

716

Under the State Lands Act, the State grants land on leasehold 99-year status as well as in _______________ called SLG. The current title registration in Singapore is known as the ______________ system.

717 718 719 720 721

722

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A _____________ allows other parties to use land but it does not bind third party and is different from a lease which grants exclusive possession. When a tenant assigns his lease to another person and both parties proceed to sign a replacement agreement with the landlord, such an arrangement is known as ______________. All Singaporeans are entitled to the freedom of ________________, except Muslims who are subject to Syariah law in the matter of distribution of estates. Which of the following remedies is/are equitable in nature? (a) Injunction (b) Specific performance (c) restitution (d) all of the above Answer: ( ) A landowner intends to develop a land which is subject to State covenant prohibiting building of houses (a) He can apply to have the covenant removed by paying a Differential Premium (DP) (b) He can apply to have the covenant removed by paying a Development Charge (DC) (c) Option (a) and (b) are not possible and he can only wait for the next updated Master Plan 2013 to see if the land will be rezoned (d) He can apply to URA for rezoning of the land Answer: ( ) The information of an easement that users in a housing estate enjoy can be found in the (a) Approved sub-division plan (b) Title document (c) (a) and (b) (d) Sale and purchase agreement Answer: ( ) A lessor who intends to terminate the lease in the event of a serious breach of covenant by the lessee has to consider the following: (a) There must be a forfeiture clause in the tenancy agreement if landlord were to forfeit the lease (b) The landlord is entitled to forfeiture action even if there is no forfeiture clause (c) The landlord can only institute legal actions against the errant tenant and apply for court’s eviction order (d) None of the above Answer: ( ) The Singapore government has given a new property tax rebate to owners of owneroccupied HDB flats for 2012. What is the rebate amount? (a) $50 (b) $55 (c) $125 (d) $240 Answer: ( ) 79


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Under Syariah Law, a Muslim person is allowed to give away by Will a maximum of ____ of his total assets. (a) 1/4 (b) 50% (c) One-third (d) Two-thirds Answer: ( ) A foreign person who has received an inheritance of Singapore landed residential property must dispose of the restricted property within _______________ of the inheritance. (a) 1 year (b) 2 years (c) 5 years (d) 10 years Answer: ( ) The most important factor to consider in determining whether a co-ownership is Joint Tenancy or Tenancy-in-common is (a) The lack of four unities (b) Word of severance (c) Intention of co-owners (d) All of the above Answer: ( ) When Mr Albert secures a housing loan to finance the purchase of a condominium unit under construction, the mortgage is known as (a) Legal mortgage as Mr Albert is the legal owner of the condo (b) Equitable mortgage as Mr Albert is not yet the legal owner of the condo until the transaction is legally completed in 3 to 3-and-a-half years later (c) A third party mortgage as the first mortgagee is the lender of money to the developer not any other purchasers (d) A constructive trust Answer: ( ) A cobbler does not require a license to practise his trade anywhere in Singapore. If he continues to ply his business outside a HDB shop-house without any interference from anybody, including the authority, he is said to have: (a) An equitable interest in the space his is using for his business (b) A contractual licence (c) A temporary occupation licence (d) None of the above Answer: ( ) The real estate salespersons himself is represented by ____________ in the marketing mix. (a) Product (b) Price (c) Place (d) Promotion Answer: ( ) Flyers, promotional brochures are examples of _________________ in the marketing mix. (a) Product (b) Price (c) Place (d) Promotion Answer: ( ) As a new real estate salesperson, one of the effective ways to secure property listings is through (a) Referral (b) Personal contacts (c) Cold calls 80


(d) Existing ‘for sale by owner’ listings 734

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Answer: ( ) A real estate with multiple marketing salespersons is known as _______________ (a) Exclusive agency (b) Multiple agency (c) Sole agency (d) Open listing Answer: ( ) A plot of land with a plot ratio of 2.8 can be developed into a residential building of (a) More than 36 storey (b) 36 storey (c) 28 storey (d) 24 storey Answer: ( ) If the spouse is not listed as the applicant in the HDB flat record, when the flat is sold: (a) She need to execute a Statutory Declaration to state her consent (b) She must endorse the resale application (c) She need not be present at the HDB interviews (d) She need not give her consent to sell Answer: ( ) The deposit a purchaser of a private commercial property under construction must pay is (a) Any amount up to 10% of the agreed sale price (b) 5% to 10% (c) 5% (d) Up to the developer to decide Answer: ( ) Mr X, a real estate salesperson with ABC Real Estate Agency which is GST registered enters into a Estate Agency Agreement with Mr Y. The clause for commission stipulates commission of $19,260 (GST exclusive). What is the commission Mr Y must pay eventually? (a) $16,800 (b) $18,000 (c) $20,608 (d) $20,700 Answer: ( ) A prospective purchaser of a private apartment with a remaining lease of 50 years is now 45 years old. What is the formula the CPF board will use to assess his eligibility to utilise his CPF savings in this purchase? (a) His age of withdrawal plus remaining lease of leasehold property must not be below 70 years (b) His age of withdrawal plus remaining lease of leasehold property must not be below 80 years (c) His age of withdrawal plus remaining lease of leasehold property must not be below 90 years (d) He is not allowed to withdraw his CPF savings for this purchase as the property to be purchased with CPF savings must have at least 60 years’ lease remaining Answer: ( ) Mr Alfred wants to apply for his second HDB concessionary loan. What is his maximum loan quantum based on the following: Purchase price of flat was $580,000 CPF savings $100,000 Proceeds to be refunded to CPF account from sale of first flat $180,000 (a) $300,000 (b) $380,000 (c) $460,000 (d) $522,000

741

Answer: ( ) Mr Albert earns $5,000 a month. What is the maximum monthly loan repayment allowed by 81


HDB for his HDB concessionary loan? (a) $1,500 (b) $2,000 (c) $2,500 (d) $4,000

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Answer: ( ) May 2012 Which are the authorities that issue Temporary Occupation Licence (TOL) e.g. Housing & Development Board (HDB), Urban Redevelopment Authority (URA) & __________. The meaning of Caveat Emptor is: ‘let the __________. The tax rate for __________ Tax is 7% . What is GFA? __________ A __________ title confers undivided shares in land but divided shares in air-space to all unit owners in the same housing project. Any forms of landed housing can be built in land zoned __________ and within mixed landed housing area. __________ in interest rate is likely to cause a fall in the demand for property. In Singapore, __________ is to track quarterly movements of property prices from caveats lodged against property sellers. Due to the uncertainty of a periodic lease, the landlord and tenant must agree on how to end the lease by stipulating the serving of Notice to __________. When all subsidiary proprietors agree to sell their strata units en bloc, they must sign the __________ agreement. In a tenancy, all conditions and covenants are often expressly written in the agreement after negotiation. Those terms that are not written in the contract but nonetheless binding upon both landlord and tenant are called __________. When a tenant sublets a room, the landlord can get a court __________ to evict him in case of breach of covenants, instead of claiming damages. A real estate salesperson has the duty of __________ to ensure that none of the contracting parties will breach the contract. The replacement of an existing lease by a fresh lease is called __________. A property given away by its owner as a __________ to another person is irrevocable. Under Syariah Law, a Muslim is allowed to give away by Will a maximum of ____ of his total assets. (a) 1/4 (b) 50% (c) One-third (d) Two-thirds Answer: ( ) An act of parliament may expressly grant a right in favour of a public utility company to have access into residential land to lay cable. What is this right known as? (a) positive covenant (b) negative covenants (c) easement by necessity (d) statutory easement Answer: ( ) Alfred was unable to sustain the rent of his office and found Albert to ‘take over’ the remaining lease. Albert, the assignee, subsequently signed a fresh tenancy agreement with the landlord and allowed Alfred to drop out of the original lease totally. Such an arrangement is called (a) Assignment (b) surrendering of lease (c) habendum (d) Repudiation of lease Answer: ( ) Landlords are not supposed to come back to the demise property to check on the tenants as the tenants enjoy the Right of _________________ in a lease. (a) Quiet enjoyment 82


(b) Absolute control (c) Exclusive possession (d) Unlimited usage Answer: ( 761

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Which of the following is a fixture? (a) Seats in the cinema (b) Car seats (c) Chairs in a meeting room (d) Chairs rented for use in a garden Answer: ( ) When talking about property, one often heard people say ‘location, location, location’. Which attribute of real estate is this related to (a) indivisibility (b) heterogeneity (c) immobility (d) durability Answer: ( ) What is the Seller’s Stamp Duty (SSD) payable for a property that was purchased in February 2011 and sold now for $950,000? (a) $950,000 @ 16% (b) $950,000 @ 12% (c) $950,000 @ 8% (d) $950,000 @ 4% Answer: ( ) Rose, Rachel, and Rosalind are 3 best friends and Rebecca is the sibling of Rose. Together, the four of them purchased a private condominium for investment. They signed all documents together and took up a mortgage with equal percentage in financing. They indicated to their lawyers that they intend to hold the property in joint tenancy. What would be the mode of holding? (a) Joint tenancy as they own everything in equal percentage (b) Tenancy-in-common coupled with joint tenancy as Rose and Rebecca are siblings and shall automatically become joint tenants because of their relationship (c) Tenancy-in-common because the financing is in equal percentage (d) Joint tenancy Answer: ( ) A resale transaction was completed on 30 May. What is the amount of property tax to be reimbursed to the seller if the seller had already paid $168 in January that year? (a) $70 (b) $98 (c) $168 (d) No need to pay Answer: ( ) What will reduce the demand for HDB resale flats? (a) More Built-to-order (BTO) flats (b) Raise income ceiling for application of BTO flats (c) Increasing the Minimum Occupation Period (MOP) for non-subsidised flats from 3 to 5 years (d) Introducing Additional Buyer Stamp Duty (ABSD) for private residential property Answer: ( ) Which of the following cannot be built in a land that is zoned for semi-detached houses? (a) cluster housing project with strata-titled semi-detached houses and detached houses (b) Strata-titled bungalows (c) Detached houses (d) a condominium project with low-rise apartments and strata-titled semi-detached houses in it Answer: ( ) What is not considered to be ‘part of the land’ in a shopping mall? 83


(a) (b) (c) (d) 769

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Push carts for rent on monthly basis to budding entrepreneurs Security service Information counter Signboard at the lift lobby

Answer: ( ) John signed a 2-year tenancy agreement with David, the landlord. After a year, the landlord sold the apartment to Daisy. (a) John can continue to stay in the apartment as the tenancy binds any subsequent owner (b) John can continue to stay in the apartment only if the new landlord agrees to let him stay on (c) John and David can mutually agree to terminate the lease early (d) Answers (a) and (c) are correct Answer: ( ) Ann bought a property for $750,000 and sold it to Betty for $900,000 in a sub-sale. Which of the following statements is correct? (a) Ann pays the Seller’s Stamp Duty on $750,000 and Betty pays nothing (b) Betty pays the Stamp Duty based on $900,000 and Ann pays nothing (c) Ann pays the Seller’s Stamp Duty based on $900,000 and Betty pays buyer’s stamp duty based on $900,000 (d) All statements are incorrect Answer: ( ) Price is the consideration for buying a property. _________ is the consideration for mortgage of property. (a) Loan amount (b) Interest on loan (c) Property title (d) Equity Answer: ( ) Mary put up a ‘for sale’ sign outside her property for more than one-and-a-half years to no avail. Can she claim property tax refund? (a) Yes, this is because her property has been vacant for more than a month (b) No, property tax refunds are not meant for properties that are not sold (c) No, property tax refunds are for investment properties that cannot find tenants; properties for sale are not eligible (d) Answers (b) and (c) are correct Answer: ( ) Alan asked a salesperson to rent the whole unit of his HDB flat which he has not fulfilled the minimum occupation period (MOP). Which of the following statements is correct? (a) The contract is illegal (b) Alan cannot authorise a salesperson to do something which he himself cannot do (c) Alan can ask any salesperson to do something that he himself cannot do (d) Answer (a) and (b) are correct Answer: ( ) Which is the most flexible element of the marketing mix? (a) Product (b) Price (c) Place (d) Promotion Answer: ( ) John attended a full-day training on taxation and a half-day training on marketing. He has earned (a) 1.5 CPD hours (b) 2 CPD hours (c) 3 CPD hours (d) 4 CPD hours Answer: ( ) Which of the following is an analysis on a company’s strength, weakness, opportunity and 84


threat? (a) Merger with another company (b) Undifferentiated marketing strategy (c) Competition from others (d) Specialised marketing skills 777

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Answer: ( ) An old and frail old lady rented out her apartment on a 2-year lease. The salesperson charged her 3 months’ commission. Did the salesperson do anything wrong? (a) Yes, the old lady cannot protect her own interest and the salesperson took advantage of this and over-charged her (b) No, commission is negotiable (c) No, the salesperson may have done more work for her to deserve the high commission (d) No, as long as the salesperson did not mislead the customer into believing that it was a standard commission rate and that the customer agrees without being coerced or deceived Answer: ( ) Which of the following scenarios complies with HDB rules and regulations? (a) Alan rents out one room in his flat and notifies HDB the next day (b) Alan rents out his flat on a month-to-month basis (c) Alan rents out his 3-room flat to 9 persons without seeking approval from HDB (d) Alan rents out his 3-room flat without seeking approval from HDB Answer: ( ) Your client wants to rent out the whole unit of her HDB flat. Which of the following potential tenants would you recommend? (a) Foreign student who has just been admitted into a local polytechnic (b) A tourist with 2-week social visit visa (c) An owner of an executive condominium unit (d) An owner of another HDB flat Answer: ( ) A couple with a combined monthly household income of $13,000 wants to buy a property. What would you recommend them? (a) An executive condominium (b) A private residential property (c) A new HDB flat (d) Any of the above Answer: ( ) Who among the following is eligible to purchase a HDB resale flat? (a) A couple whose combined income is $12,000 (b) A couple who owns a residential property in Australia (c) A couple who has just sold their private property (d) All of the above Answer: ( ) How many floor levels can be built on a land with the plot ratio of 1.4? (a) 4 (b) 5 (c) 10 (d) 12 Answer: ( ) Bee wants to sell his property which he bought in February 2011 for $1.68 million. Calculate the proceeds of sale using the information below. Outstanding loan: $1.21mil CPF withdrawal plus accrued interest $240,000 Salesperson commission: 2% of sale price (a) Bee will lose $106,000 after considering the outstanding loan, CPF refund and other costs, if the sale price is $1.68 million (b) Bee will lose $136,000 after considering the outstanding loan, CPF refund, two-third of seller’s stamp duty and other costs, if the sale price is $1.68 million 85


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(c) Bee will lose $5,200 after considering the outstanding loan, CPF refund, seller’s stamp duty at 12% of the sale price and other costs, if the sale price is $1.68 million (d) Bee will lose $302,200 if the sale price is $1.68 million Answer: ( ) June 2012 __________succession happens when a person dies without having a valid will and his immovable property will eventually be vested in the State if there is no next-of-kin. When a property is sold with a clean title and no other legitimate claims are made against the title holder other than the buyer, the title is considered to be ‘free from __________’. Estate in __________ is a type of freehold estate in Singapore. In a tenancy, a fixture belongs to the __________ unless it is attached by the tenant for selfenjoyment or ornamental purposes. Caveat __________ means ‘let the buyer beware’. The main difference between a lessee and a licensee is that a licensee does not hold an ______________ in land. ‘______________’ as applied to a tenant means that the tenant can exclude anyone, including the landlord from the premises. Name one of the actions a mortgagee can take if a mortgagor defaults on mortgage payment. ______________ The new system of title registration is known as the _________ System. An agreement without ______________ to create legal relations is not a contract. The tort of ______________ is based on the principles of duty of care imposed by law and does not arise from contract. No caveats can be lodged against ______________ flats for payment of debt. A salesperson renting out a property to a foreign worker must carry out due diligence checks with ______________ and the employer of the foreign worker. The Administration of Muslim Law Act empowers the __________ Court to deal with Muslim matrimonial and inheritance matters. Rental income is subject to income tax. When a person owns a second residential property that is not let out, he is still liable to pay income tax on the ______________ of the property. When a real estate lease expires and the property is surrendered to the landlord, this would mean the landlord has the __________ and also the __________ in land. (a) reversionary interest; equitable interest (b) equitable interest; future interest (c) reversionary interest; future interest (d) equitable interest; estate interest Answer: ( ) Which of the following is not a fixture in an office? (a) Cleaning service (b) Signboard (c) Cupboards (d) tiles Answer: ( ) Which of the following does not describe a car park lot appropriately? (a) It is an accessory lot that is attached and sold along with the apartment unit (b) It is part of the common property in a strata-titled development (c) It is an accessory lot that can be detached and sold separately from its apartment unit (d) Allotment of a car park lot is according to the share values entitlement of the subsidiary proprietors Answer: ( ) A couple voluntarily decided to pay for their father’s mortgage repayments, after a few years of doing so, their father promised to give the house to them one day. Five years later, the capital value of the house appreciated greatly, but the father changed his mind. Can the couple enforce their rights given under the early promise by the father? (a) Yes, this is because in the absence of monetary consideration, the promise itself is a consideration 86


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(b) No, agreements made in a domestic situation among family members are always deemed not to be legally binding among them (c) No, a promise made in the past is a past consideration and is invalid now and unenforceable (d) Yes, the father has been bound by a real estate covenant and will have to make good his promise to his children Answer: ( ) Assuming there is a report on the effect of the recent government cooling-off measures against property speculation and the report stated that first-timer home loans had increased from 53% from the previous year to 56.4% while second-timer home loans (those with at least one existing home loan from a private bank) has dropped from 47% from the previous year to 44% presently. What can be said of the effectiveness of the measures? (a) It has limited effectiveness (b) It has been very effective (c) It is not effective at all (d) Unable to ascertain the effectiveness for now and more time is needed to gauge the effectiveness Answer: ( ) A salesperson wrote in an Option to Purchase (OTP) that all furniture would be transferred to the buyer. The seller read it hurriedly and signed the OTP without noticing the particular clause. Eventually, when the buyer made demand for all the furniture to remain in the house upon legal completion, the seller refused and proceeded to sue the salesperson for negligence. What would be the outcome of the suit? (a) The salesperson and the seller are likely to share the legal costs as, on his part, the seller was negligent in not reading the contents of the contract carefully (b) The salesperson and the seller are likely to share the legal costs as the mistake was inconsequential as movable properties cannot be conveyed through a sale contract (c) The salesperson and the seller are likely to share the legal costs as the seller is ordinarily bound by the salesperson’s negligence as long as the mistake arose from works that had been authorized by the principal (d) All of the above Answer: ( ) In a scenario when property prices drop drastically and cause a surge in demand but property developers are unable to increase the supply quickly to meet buyer’s demand, which characteristic of short-term real estate supply is illustrated? (a) Short-term supply volatility (b) Short-term supply paralysis (c) Short-term supply inelasticity (d) Short-term supply elasticity Answer: ( ) The State grants land to the Housing & Development Board (HDB) to develop public flats for sale to eligible Singaporeans for a 99-year lease term. Which of the following statements is most appropriate to describe the flat owner’s interest? (a) The flat owner enjoys a State lease of 99 years on land (b) The flat owner enjoys a leasehold estate of the flat for 99 years with no interest in land (c) The flat owner enjoys freehold estate as the State land is of freehold tenure (d) The flat owner enjoys the freehold estate while HDB owns the land on leasehold estate Answer: ( ) You had already obtained the signature of a prospective foreign tenant of yours on the Tenancy Agreement of a 1-year term; but due to the landlord’s refusal to grant the ‘Diplomatic clause’ the deal eventually fell through. Your foreign client was furious as he had given the landlord a ‘good-faith’ deposit together with the Letter of Intent. What legal actions are available to him? (a) The prospective tenant can sue the landlord for damages by causing unnecessary delays (b) There is nothing the prospective tenant can do as the Letter of Intent is understood to be ‘subject to contract’ and as such there was no acceptance from the landlord (c) The prospective tenant has an equitable interest in the property as he had already performed his part of the contract by handing over the deposit (d) The prospective tenant can sue the landlord for specific performance as the landlord has already 87


accepted the consideration in the form of a ‘good-faith’ deposit 808

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Answer: ( ) Mr Leonard the landlord rented his condo unit to Tom the tenant. Without the knowledge and approval of the landlord, Tom assigned the unit to Sam. The assignee damaged the structure of the unit and now the landlord is facing legal actions brought by the condo management. What action can the landlord bring against Tom and Sam? (a) The landlord can only claim damages from Tom the tenant as the assignee would not be bound by an invalid assignment which has no prior approval by the landlord (b) The landlord can only claim damages from Sam the assignee as there is ‘privity of estate’ between them as a result of the assignment by Tom who by now is no longer bound by the original lease (c) The landlord may sue Tom for breach of covenant and may also forfeit the lease because Tom remains liable in contract to the landlord even after an assignment (d) Answers (a) and (c) are correct Answer: ( ) When a mortgagee exercises the power of sale, he is expected to (a) sell the property through a public auction (b) sell the property at a price adequate to settle in full the outstanding loan owed to the mortgagee (c) exercise reasonable care to sell the property at the highest and best price (d) claim the ownership of the property and use it himself Answer: ( ) Andy Lau was viewing a resale condominium unit when he noticed that the air conditioner was cranky; and he enquired about its condition from salesperson Ah Bee. Ah Bee replied that the air-con was in tip-top condition and there was no problem with it. Andy was not convinced and brought his own contractor to carry out some checks on another visit. The contractor told Andy that the air-con required major overhaul. But nonetheless, Andy went ahead to buy the condo unit. Upon taking over vacant possession, the air-con broke down. Can Andy sue Ah Bee for negligent representation? (a) Yes, the salesperson in the course of his work said something that eventually turned out to be false (b) Yes, because an air conditioner is an essential fixture of a residential property and therefore any representation of the working condition forms the essential term of the contract (c) No, because Ah Bee’s negligent misrepresentation did not induce Andy to enter the contract (d) No, Ah Bee only exaggerated at the point of Andy’s enquiry and when he said that there was ‘no problem with it’ he was referring to the air-conditioner in working condition at that moment which was factual. Answer: ( ) Which of the follow properties are allowed to be build in exclusive semi-detached house areas? (a) Good Class bungalows and detached houses only (b) Semi-detached houses and strata-titled semi-detached houses only (c) Detached houses and semi-detached houses, as well as strata bungalows and strata-titled semidetached houses (d) Detached houses, semi-detached houses, as well as strata-bungalows and strata-titled semidetached houses and terrace houses Answer: ( ) When a principal terminates the salesperson, he will notify all 3rd parties. This is because (a) To legalize the termination (b) To safeguard self-interest (c) To prevent third parties from being misled by the salesperson (d) So as not to be bound by ‘agency of estoppel’ Answer: ( ) When must the Resale checklist be submitted? (a) Together with resale application and on 1st appointment (b) At the 1st resale appointment (c) Within a week after the 1st resale appointment (d) A week before the 1st resale appointment 88


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Answer: ( ) If the option for a new property is not exercised, the developer has to return the documents and refund 75% of the option fee within what period? (a) 7 days; 2 weeks (b) 10 days; 2 weeks (c) 7 days; 4 weeks (d) 10 days; 4 weeks Answer: ( ) You have a Singaporean client who is 50 years old and single. Which type of housing would you, as a real estate salesperson, recommend him to buy? (a) Studio Apartment (b) Resale HDB only (c) private residential condominium only (d) Resale and New HDB flat Answer: ( ) John wants to buy a HDB flat with concessionary housing loan rate and also with the CPF Housing Grant. The maximum quantum of his monthly instalments is $2,600, so his gross monthly income would be at least (a) $5,000 (b) $6,000 (c) $7,000 (d) $8,000 Answer: ( ) When assessing the eligibility of the buyers for HDB flats, a real estate salesperson would ascertain the following: (a) Citizenship, gender and family nucleus (b) Citizenship, gender, age and family nucleus (c) Citizenship, age, family nucleus and special conditions (d) Nationality, age and family nucleus Answer: ( ) What would be the maximum option fee a HDB resale flat buyer need to pay to obtain the Option to Purchase from the seller? (a) 1% of the selling price (b) $1,000 (c) 5% of the selling price (d) $5,000 Answer: ( ) Which one of these is not under the framework of CEA’s functional role: (a) printing of the RES display card (b) registrations of the RES applications (c) channel for mediation, dispute resolution of estate agency works (d) regulation of all estate agency works in Singapore Answer: ( ) Which mode of payment is correct when you are dealing with an absentee seller who is overseas when a buyer were to pay the option exercise fees (a) crossed cheque with payee’s name clearly written (b) cashier’s order cheque in favour of the seller’s bank (c) accept cash and later transfer to seller (d) cash cheque Answer: ( ) When you are representing a tenant and at the same time managing the property for the landlord for the upkeep and maintenance. Which of the following is true? (a) No dual representation, no conflict of interest (b) No dual representation, but conflict of interest (c) Dual representation, but no conflict of interest 89


(d) Dual representation, conflict of interest Answer: ( 822

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831 832 833 834 835 836

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To broker a leasing deal, the agent must first prepare: (a) Tenancy Agreement (b) Letter of Intent (c) Expression of Interest (d) Option to Lease Answer: ( ) Daniel, 40 years old, intends to use CPF to finance the purchase of a residential property with 60 years remaining lease. How much of CPF Ordinary Account savings can be used? (a) 70% (b) 100% (c) 80% (d) 75% Answer: ( ) John has an outstanding housing loan. How much cash down-payment must he place when he buys another residential property? (a) 10% (b) 15% (c) 20% (d) 25% Answer: ( ) July 2012 Torrens system registers __________ instead of deeds. Owners of private landed residential properties will show their certificate of __________as proofs of ownership. Salesperson's __________relationship with principal is based on trust. Flat owners cannot use their HDB flat as __________for the loans from licensed moneylender. Give an example of easement. Right of __________. An landed property owner has two large lion statues in front of his house as he believes they bring him good luck. He plans to sell the property. The buyer insisted the statues are fixtures. What test can be used to determine this? ________ The borrower of a bank loan is the __________. The latest measure that the government took to restrict foreigners from buying property to push up property prices is __________. In a written negotiation, the words __________ should be included to protect the buyer and seller's rights. Property owners need to pay __________ based on the annual value of their property. To create a contract, there must be offer, acceptance, consideration and __________________. A shop owner extended the back of his shophouse in 2005. Recently the Comptroller of Property Tax found out about this extension and adjusted the Annual Value (AV) of the property from S$46,000 to S$54,000. What do you think the Property Tax department should do? (a) Have the shop owner pay back the tax using $54,000 as the Annual Value from 2005 (b) Have the shop owner pay the new property tax from January 2012 (c) Have the shop owner pay the new property tax from January 2013 (d) Have the shop owner pay the difference of the two Annual Value and backdate the payment to 2005 Answer: ( ) What is the main difference between Real Property and Personal Property? (a) Real property is intangible while personal property is tangible (b) Real property is attached to land while personal property is not (c) Real property refers to land only while personal property is anything that is affixed to the structure (d) Real property include everything that is attached to land regardless of whether it is intangible or tangible while real property only refers to tangible items 90


Answer: ( 838

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Real property refers to things that are (a) immovable (b) movable (c) can be immovable and movable (d) None of the above Answer: ( ) In an en bloc sale campaign, an apartment developed about 20 years ago had 80% consent level. What should be used to calculate the share values or should be included in the calculations. (a) Unit shares include car park accessory lot (b) Unit shares exclude car park accessory lot (c) Unit shares and floor areas (d) Unit shares, floor areas and market valuation Answer: ( ) In the case of a property developer completing the final product that deviates from the original plan, which of the following conditions will allow the buyer to terminate the contract? (a) The study room became part of the kitchen (b) A crack line on the floor (c) The wardrobe door was dislodged (d) The en suite bathroom of the master bedroom became a common toilet Answer: ( ) A property holding company bought a shophouse which it sold for S$3.4m. 35% of the unit is a flat. What is the GST payable by the buyer? (a) $0 (b) $500 (c) $154,700 (d) $238,000 Answer: ( ) The father told the son and daughter in law that he will give them the house to them as a gift if they take over the monthly mortgage repayment completely. When the property prices went up, the father told them that he is not giving the property. As a salesperson, what should you advise the couple about paying the mortgage repayment for their parent? (a) continue to pay the mortgage until the father changes his mind again (b) stop paying the mortgage since the father has already revoked the last offer when the mortgage is still on (c) stop paying the mortgage as the court will treat promises made among family members as not intended to create legal relationship (d) continue to pay the mortgage as the young couple will be considered have a resulting trust in the property Answer: ( ) To avoid paying too much in stamp duties, the buyer and seller agreed to declare the selling price as S$300,000 instead of S$500,000. However, after the sale has been completed, the buyer refused to pay the difference to the seller. What cause of actions does the seller have? (a) An illegal contract may still be enforceable if all the elements of the contract are present (b) An illegal contract will not be enforceable in court because the purpose of the contract is to achieve an illegal end. As such the seller will have no recourse (c) If an act is illegal, then even though the contract was properly executed it will still be null and void (d) The contract price is binding on both party and since both parties are equally at fault the court will not intervene and the party holding on to the benefit will continue to do so. Answer: ( ) Jane owns a property in the Core Central Region (CCR) whilst John owns a property in the Rest of Central Region (RCR). What does this tell you? (a) Jane’s property has a higher market value than John’s (b) Jane’s property is nearer to Orchard Road than John’s (c) Jane’s property will fetch a higher rent than John’s, everything being equal 91


(d) All of the above 845

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Answer: ( ) A foreigner owns a Sentosa Cove bungalow and bought another restricted property in the main land. When does he need to dispose of his Sentosa Cove property? (a) within 3 months from the date when the seller delivers vacant possession of the new property if TOP has been issued upon the purchase (b) within 3 months from the date of TOP or CSC, whichever is earlier, if the restricted property is under construction (c) on or before legal completion of the new purchase (d) all of the above Answer: ( ) When a tenant damaged the property beyond repair, what did he commit? (a) tort of waste but the tenant does not need to do the repair as it is not included in the lease as covenant (b) tort of waste and the tenant is liable to be sued by the landlord in a Singapore court for breach of the duty of care (c) tort of negligence causing economic loss to the landlord (d) breach of contractual term and may have to pay damages to the landlord Answer: ( ) In the event of a forced sale, what is the responsibility of the mortgagee? (a) sell the property through a public auction (b) sell the property at a price adequate to settle in full the outstanding loan owed to the mortgagee (c) exercise reasonable care to sell the property at the highest and best price (d) buy back the property at the market price and use it himself Answer: ( ) Lily decided to pay cash-over-valuation (COV) for an apartment as she noticed that the rent paid by the tenant was higher than the prevailing market rate. She verified the fact with the salesperson Benny and Benny confirmed it. But while Benny was negotiating with the seller on behalf of Lily, he learned from the seller that the tenant had fallen behind the rent for many months but he did not reveal the latest information to Lily as he did not want Lily to back out from the deal. Did Benny commit a misrepresentation? (a) Yes, to prove misrepresentation, the plaintiff need not prove that the defendant has the intention to mislead. A consciously ignorant statement such as that made by Benny can land him in trouble with the law (b) Yes, when a salesperson selling a product make a statement of facts, no matter how innocently the statement was made, if it concerns the character or quality of that product and the statement is not true, he is liable for misrepresentation. (c) No, the material fact was not available to Benny when he made the statement and in all intents and purposes he did not commit misrepresentation (d) Yes, whether Benny learned the truth later or the statement became false later, he is obligated to amend the original statement Answer: ( ) A buyer saw a property which the salesperson said was 150 sq m. After she has bought it, she found out that the actual size is 130 sq m. What can she do? (a) caveat emptor principle applies (b) seller is responsible and should compensate the buyer for the difference (c) She will sue the salesperson for negligent misrepresentation and seek damages (d) She will sue the salesperson for fraudulent misrepresentation and seek damages Answer: ( ) Which is not an easement? (a) using the golf course in the adjacent land as a passageway to go to the main road (b) Using neighbouring plot as car park (c) tapping on the source of water in an adjacent land (d) Using an adjacent land as a driveway Answer: ( ) An imperfect market is 92


(a) A market with high transaction volume (b) Buyers and sellers have no control over the market (c) Buyers and sellers have limited information about the market (d) Buyers and sellers know each other’s reserve position and trade fairly 852

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Answer: ( ) An owner of a good class bungalow (GCB) wishes to sell his property. To ensure his buyer know that he has given his neighbour the right to use his land as driveway, he can create an easement by an (a) implied grant (b) restrictive covenant (c) express grant (d) Act of parliament Answer: ( ) There are three joint tenants. One died, what happens to the joint tenancy? (a) Surviving 2 tenants must buy over deceased's share and remain as joint tenants (b) Joint tenancy ceased and become tenancy-in-common (c) The deceased's shares are automatically transferred to the remaining two joint tenants and they remain as joint tenants (d) The deceased’s shares are transferred to his estate and the next-of-kin will become one of the joint tenants Answer: ( ) An agency is a relationship between (a) Principal and third party (b) Principal and agent (c) Agent and third party (d) Principal, agent and third party Answer: ( ) An apartment that is not classified as a condo development has ____ title. (a) land (b) leasehold (c) Subsidiary strata certificate of title (d) Subsidiary certificate of title Answer: ( ) A buyer exercises an option using two cheques. The second cheque (balance of the option exercise fee) was issued a week later after exercising the option. (a) Buyer has made a counter-offer so no binding contract (b) Past consideration is no consideration (c) Insofar as the seller accepts the new arrangement and did not void the contract the deal is good (d) Once the deposit is not fully paid by the stipulated ‘option exercise’ date, the deal is off Answer: ( ) Two friends stayed together in a rented apartment. One pays monthly rent to the property owner for 16 months. There is no tenancy agreement. What type of agreement is this? (a) Licence (b) Month-to-month tenancy (c) Fixed term tenancy (d) Tenancy-at-will Answer: ( ) Following the above question, the landlord wanted the friend who did not pay to leave the place. She got a sheriff to try to make the friend leave. Given answer options (a) The sheriff will seize the goods, and make an inventory and a valuation (b) The tenant may pay the rent and stop the sheriff’s proceeding (c) The sheriff must file a police report first before proceeding to evict the tenant (d) Only [a] and [b] are correct Answer: ( ) W has a 99-year old leasehold property. W leases out his property to X for 3 years. Who 93


among the following parties holds the lesser lease? (a) W (b) X who holds a 3 year lease (c) Y signed up with X for a 2 year lease (d) Z has a lease with X for 1 year 860

861

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Answer: ( ) A foreigner currently owns a unit at Sentosa Cove and wishes to buy another restricted property that is under construction. He must dispose his Sentosa Cove unit within: (a) 3 months from date of vacant possession (b) 3 months from date of issue of TOP or CSC of the next restricted property, whichever is earlier (c) On or before the legal completion of the purchase of the new property (d) 3 months from the legal completion of the purchase of the new property Answer: ( ) Ex Singapore citizens are required to dispose of their restricted residential property within (a) 2 years (b) 3 years (c) 5 years (d) 10 years Answer: ( ) A private property owner wishes to buy a new HDB flat. He (a) must dispose of his private property within 30 months before he can apply for a new flat (b) must dispose of his private property within 6 months before he can apply for a new flat (c) must dispose of his private property within 6 months after taking vacant possession of the new flat (d) is not eligible to buy a new HDB flat at all Answer: ( ) An owner of an executive condo cannot sell his flat, after 5 years, to (a) A couple with a combined income of $10,000 (b) Mr Ang, a single man, 30 years old (c) A foreigner (d) Only [b] and [c] Answer: ( ) A young couple plans to buy their first new HDB flat. They invited their parents to live with them. The young couple are eligible for a grant amount of (a) $30,000 (b) $40,000 (c) $50,000 (d) $60,000 Answer: ( ) Mr Lee rented an office for his business. As his business is poor, he found another tenant to take over the remaining lease. But the office rental rate started to increase. Mr Lee should opt for (a) Assignment (b) Subletting (c) Novation (d) All of the above Answer: ( ) James takes care of a block of apartments for Michael. One unit in the block was rented out by James and the tenant paid a commission to James. Which of the following is true? (a) No dual representation and no conflict of interest (b) No dual representation but conflict of interest (c) Dual representation and conflict of interest (d) Dual representation but no conflict of interest Answer: ( ) For 'white' site sale, which would be the best method? 94


(a) Sale by tender (b) Sale by private treaty (c) Sale by auction (d) Sale by closed tender 868

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Answer: ( ) In an auction, how much should the successful bidder pay as deposit for a residential property? (a) 5% (b) 10% (c) 20% (d) 50% Answer: ( ) Which is beyond the scope of work for an estate agent? (a) Sale by private treaty (b) Sale by tender (c) Sale by auction (d) None of the above Answer: ( ) In a recent announcement, to prevent the wrongful use of the industrial units, (a) the buyer needs to acknowledge the intended use of the industrial unit before accepting the option to purchase (b) the contract will be voided if the business does not conform to the intended use (c) salespersons shall advertise the use of the property as approved by URA (d) all of the above Answer: ( ) When a complaint is lodged against a real estate salesperson to the Council for Estate Agencies, who should first carry out the investigation and how long should it be completed? (a) Estate Agent should investigate within 7 days (b) Estate Agent should investigate within 14 days (c) CEA should carry out investigation within 7 days (d) CEA should carry out investigation within 14 days Answer: ( ) An owner sold his subsidized HDB flat and is buying his second flat in another location. He does not need to pay Resale levy if he buys: (a) New executive condo (EC) units only (b) DBSS, EC, HDB resale flat (c) DBSS and EC only (d) DBSS only Answer: ( ) What is the maximum CPF housing grant a young married couple can obtain if they are buying a resale HDB flat and their parents are occupying the unit with them? (a) $30,000 (b) $40,000 (c) $60,000 (d) $70,000 Answer: ( ) Can two Single Singapore Citizens jointly own a brand new Executive condo (EC)? (a) Absolutely cannot (b) Can, but both of them must attain the age of 35 years old (c) Can, but both of them must meet the age, income and nationality requirements (d) Can, but both must be unmarried siblings meeting the age, income and nationality requirements Answer: ( ) August 2012 When CPF funds are being utilised in the purchase of a residential property, the CPF Board will require 95


876 877 878 879 880

the borrower to create a ____________ in favour of the Board. A promise in the deed is called __________________. A mortgage is different from a sale as the mortgagor has the right of __________as he can still retain the title of the property. To ascertain whether an item in a property on sale is a fitting or a fixture, it is important to carry out a test of __________________ An agent and his principal have a ____________ relationship based on good faith and trust.

881

Easement is considered as a ____________ at common law and is recognised by the court in most countries. Property can be identified by its ___________or its legal description MK-12345A.

882

________________ is granted for temporary use of state land.

883

A strata title has an undivided share in _____________but a divided share in _______________.

884

HDB flat cannot be used as a _____________ to secure a private loan from licensed moneylenders.

885

Under the State Lands Act, the State grants land on leasehold 99-year status as well as in _______________ called SLG. Except for __________, the tenant is responsible to foot the repair cost of the rental apartment.

886 887 888 889 890

891

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A _____________ allows other parties to use land but it does not bind third party and is different from a lease which grants exclusive possession. When a tenant assigns his lease to another person and both parties proceed to sign a replacement agreement with the landlord, such an arrangement is known as ______________. All Singaporeans are entitled to the freedom of ________________, except Muslims who are subject to Syariah law in the matter of distribution of estates. When a property owner alleges that his exclusive agent had failed to observe the fiduciary duties by wrongfully enriching himself in a deal and wants the agent to give up the wrongful gain to the owner, such a remedy is called (a) Injunction (b) restitution (c) Specific performance (d) all of the above Answer: ( ) Which of the following is not an equitable remedy? (a) Injunction (b) Rescission (c) Liquidated damages (d) Estoppels Answer: ( ) Which are the two main equitable remedies in real estate disputes? (a) Injunction and restitution (b) Restitution and liquidated damages (c) Specific performance & injunction (d) Estoppels and injunction Answer: ( ) The information of an easement that users in a housing estate enjoy can be found in the (a) Approved sub-division plan (b) Title document (c) (a) and (b) (d) Sale and purchase agreement Answer: ( ) The principal is liable for the wrongdoing of the agent he has appointed provided the agent has committed the wrongdoing while under the ________ of the principal. (a) Instruction (b) employment (c) influence (d) inducement 96


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901 902 903 904

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Answer: ( ) Under Syariah Law, a Muslim person is not allowed to give away by Will one-third of his assets to which of the following parties? (a) Someone who will be the beneficiary of his estate (b) A friend who is a non-Muslim (c) His own siblings when other beneficiaries agree (d) MUIS Answer: ( ) A foreign person who has received an inheritance of Singapore landed residential property must dispose of the restricted property within _______________ of the inheritance. (a) 1 year (b) 3 years (c) 5 years (d) 10 years Answer: ( ) The most important factor to consider in determining whether a co-ownership is Joint Tenancy or Tenancy-in-common is (a) The lack of four unities (b) Word of severance (c) Intention of co-owners (d) All of the above Answer: ( ) The Urban Redevelopment Authority (URA) has acted to manage the proportion of shoebox units in suburban areas. It is seeking to cap the number of homes in new developments, based on an average unit size of ____ sq metres gross floor area. (a) 30 (b) 50 (c) 70 (d) 100 Answer: ( ) A guideline on the maximum number of homes based on an average size of 100 sq m, introduced in November 2011 in Telok Kurau Estate, will be extended to which areas from 4th November 2012. (a) Kovan (hougang area) (b) Joo Chiat (c) Jalan Eunos (d) All of the above Answer: ( ) If a developer intends to redevelop a row of 6 terrace houses (each with 200 sq metre land) with 1.4 plot ratio in Kovan area into apartment units with a combined total gross floor area (GFA) of 1,400 sq metres, how many apartment units can be built? (a) 14 apartment units of all 100 sq m in size (b) 14 apartments units but there is no stipulation of the size of each unit (c) 7 apartment units can be larger than 100 sq m and the other 7 can be smaller than 100 sq m (d) 28 apartment units of 35 sq m in size Answer: ( ) September 2012 ‘Except from fair wear and tear’ is a term commonly seen in the ____________ clause of a tenancy agreement. All real estate sold in Singapore is subject to a _________ that they must be free from encumbrances. Estate in __________ is a freehold estate granted under the State Lands Act. Mr Xavier a foreigner tenant installed a fixture onto his shop and affixed an item for __________ purpose in his rented apartment. When he leaves both the premises upon expiry of the lease, he is allowed to remove both the items. The tax rate is 0% for the first $6,000 in annual value (AV) of the residential property, 4% for the next 97


906 907 908 909 910 911

912 913

914 915 916

917

918

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920

$59,000 in AV and 6% for the rest of AV. This progressive owner-occupier’s tax rate is known as the ____________ property tax rate. A planning consideration of 1.4 in density control is imposed on a plot of land which can be built into a multi-storey private housing project. This planning consideration is called _____ ratio. A landlord rented his apartment for a 2-year term and he also grants the tenant an option to renew the tenancy for another year. Such tenancy is known as _____________ tenancy. Both joint tenancy and tenancy-in-common are joint ownership of property, except in tenancy-in-common there are ______________ to indicate ownership by share holding. An individual who is an undischarged bankrupt is not considered a ___________ person to be registered as a real estate salesperson. When a property sale contract is cancelled due to the property being destroyed in a natural calamity, it is known as a legal _____________. Before a house owner commences rebuilding of his own house, he must take precautions to ensure that the construction work will not cause damage to neighbouring house or injuries to any neighbours. Such precautions are legally required under common _______________. In Singapore, notification of interests in land, even for interests that are equitable in nature, is through lodgement of ______ at the land registry. Before introducing prospective tenants who are foreigners to a landlord, salespersons are required to conduct __________ checks with ICA and MOM regarding the validity of the entry status of the prospective tenants. Only lease which exceed _____ years need to be written in the English language and registered with the ____________________ Authority (SLA). Rental income enjoyed by individual landlords is subjected to __________ tax; but profits from the disposal of a real estate by individual owners are generally not taxed under _______ tax. When the property auction is not successful in fetching the highest price, what will happen to the property on auction? (a) There will be a one-year time bar against the property and it cannot be marketed in any other methods for the one-year period (b) The seller can put the property back on the next auction with or without changing the price (c) Continue to be marketed openly and can accept offers from purchasers as though it is ‘sale by private treaty’ (d) Answer (b) and (c) are correct Answer: ( ) When a salesperson of a GST registered agency provides a service, his or her commission will attract GST. Let say the commission is $8,000 inclusive of GST, which of the following is correct? (a) $8,000 x 7% (b) $7,476.66 + $523.4 = $8,000 (c) $7,476.66 (d) $7,300 Answer: ( ) Which of the following characteristics best describe Real Estate Investment Trusts (REIT)? (a) Illiquid investment (b) Liquid investment (c) Indivisible product (d) Heterogeneous product Answer: ( ) Under the Planning (Use Classes) Rules (Revised) 2007, how many use classes are there? (a) 15 (b) 16 (c) 17 (d) 30 Answer: ( ) Mr Wijaya, an Indonesian businessman purchased a detached house in Singapore. Some of his family members are interested to own a similar property here. Who are eligible to own such properties in Singapore? (a) His parents 98


(b) His married children (c) His unmarried children (d) His unmarried siblings 921

922

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927

Answer: ( ) [i] Property cycles are more volatile and are generally shorter than business cycles. [ii] Property cycles experience higher and lower points more frequently than business cycles. (a) [i] is correct (b) [ii] is correct (c) [i] and [ii] are correct (d) [i] and [ii] are incorrect Answer: ( ) Mr A sold his house for $1.5 million. Does he need to register for GST? (a) Yes, as he will be treated as if he is a company dealing in property transactions (b) Yes, as he has a business turn-over of more than $1 million (c) No, this is a one-off transaction (d) No, a residential property does not attract GST Answer: ( ) [i] By the end of 2011, all flats within old double-storey or 3-storey shop-houses have been converted to Torren System where a Subsidiary Strata Certificate of Title has been issued to each of the flat owner or lessee. [ii] All properties registered under the Torren System have the guarantee from the State that they possess a clean title and are free from any bankruptcy judgement against the owners or lessees. (a) [i] is correct; [ii] is incorrect (b) [i] is incorrect; [ii] is correct (c) Both [i] and [ii] are correct (d) Both [i] and [ii] are incorrect Answer: ( ) Tom, Dick and Harry own a property in tenancy-in-common. Harry had a fight with both Tom and Dick and decided to quit his share of the property. He can (a) sell his share to anyone without the consent of Tom and Dick (b) sell his share to anyone but he must first obtain consent from Tom and Dick (c) give away his share via a will (d) all of the above Answer: ( ) From 11 July 2012 onwards, HDB flat owners who are Singapore permanent residents (SPR) are allowed to sublet the entire flat for a maximum term of ___________ in the first instance; and upon expiry of the sub-letting, extension of the sub-letting for another term is generally _______. (a) 1 year; approved automatically (b) 2 years; based on a case-by-case basis (c) 1 years; not allowed (d) 2 years; allowed Answer: ( ) From 11 July 2012 onwards, the total period of subletting during the flat owner’s entire duration of the flat ownership is capped at _______ for Singapore permanent residents (SPR) flat owners. (a) 1 year (b) 2 years (c) 3 years (d) 5 years Answer: ( ) [i] Eligible owners of HDB flats who also own private residential property are allowed to live in the private property and sub-let the HDB flat subject to fulfilment of the Minimum Occupation Period (MOP). [ii] With effect from 30 August 2010, private property owners who intend to purchase a HDB resale flat will have to dispose of their current private home units within 3 months of becoming a HDB flat owner. (a) [i] is correct; [ii] is incorrect 99


(b) [i] is incorrect; [ii] is correct (c) Both [i] and [ii] are correct (d) Both [i] and [ii] are incorrect 928

929

930

931

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933

Answer: ( ) Purchasers and sellers who do not engage the services of real estate salespersons _________ submit the resale checklist, but: (a) need not… … / they must execute the statutory declaration affirming that they do not engage the service of any real estate salespersons (b) need not … … / they are advised by HDB to go through the checklist to ensure that they are aware of the key resale policies and procedures (c) need to … … / they must attend a briefing at the HDB brand office (d) need to … … / they must execute a statutory declaration affirming that they do not falsely declare the transacted price Answer: ( ) What is the commission rate chargeable on the successful sale of HDB resale flats? (a) 1% (b) 1.5% (c) 2% (d) Commission rate or amount is negotiable between real estate salespersons and their principals Answer: ( ) Which of the following information must be included in an outdoor banner pertaining to the marketing of a residential property? [i]Salesperson’s name [ii]Salesperson’s registration number [iii]Estate agent’s name & Licence number [iv]Official Reference number given by BCA to the specific banner (a) [i] and [iii] (b) [i] and [ii] (c) [i], [ii] & [iii] (d) All of the above Answer: ( ) [i] An outdoor advertisement banner must display the words ‘Estate Agent Licence Number’ and ‘Salesperson Registration Number’ followed by the relevant numbers. [ii] An outdoor advertisement banner must display the words ‘CEA Licence Number’ and ‘CEA Registration Number’ followed by the relevant numbers. (a) [i] is correct; [ii] is incorrect (b) [i] is incorrect; [ii] is correct (c) Both [i] and [ii] are correct (d) Both [i] and [ii] are incorrect Answer: ( ) For a new development, if the developer did not fulfil the sale and purchase (S&P) agreement and tear down the wall of the unit, can the purchaser revoke the agreement? (a) Yes, that would amount to breach of contract and the purchaser is entitled to annul the contract and obtain a full refund from the developer (b) No, but the purchaser can demand that the developer make good the damage within 30 days of the notice of demand (c) Yes, under the new amendments made to the Housing Developers Rule on 18 May 2012, purchasers now enjoy the right to annul the contract and seek monetary compensation (d) No, there is a clause in the sale and purchase agreement that grant the developer the right to alter and change the physical layout of the unit without the purchaser’s prior consent as long as the alterations do not result in any shortfall in the gross floor area of the unit Answer: ( ) When a 35 year old purchaser intends to utilise his CPF savings to purchase a leasehold property, what is the minimum lease period the subject property must have? (a) 30 years (b) 35 years 100


(c) 40 years (d) 45 years 934

Answer: ( ) When a 55-year old purchaser intends to purchase a flat from HDB under the Build-to-Order scheme, what is the maximum loan term, if he is eligible to use the HDB concessionary home loan? (a) 10 years (b) 20 years (c) 30 years (d) 35 years

935

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938

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Answer: ( ) Does a commercial property developer need a licence before/after they can sell the units he develops? (a) When the commercial property developer has obtained the Temporary Occupation Permit (TOP) for the building, he no longer needs a licence (b) When the commercial property developer has obtained the Temporary Occupation Permit (TOP) for the building, but he has not obtained the Certificate of Statutory Completion (CSC), he is still required to obtain the housing developer’s licence before he is allowed to market any of the units within (c) The commercial property developer needs only obtain Building Plan approval in order to market the units before obtaining the Temporary Occupation Permit (TOP) (d) The commercial property developer is subject to the same stringent licensing requirements as residential property developers Answer: ( ) John wants to buy a HDB flat with concessionary housing loan rate and also with the CPF Housing Grant. The maximum quantum of his monthly instalments is $2,600, so his gross monthly income would be at least (a) $5,000 (b) $6,000 (c) $7,000 (d) $8,000 Answer: ( ) Which mode of payment is correct when you are dealing with an absentee seller who is overseas when a purchaser were to pay the option exercise fees (a) crossed cheque with account payee’s name clearly written (b) cashier’s order cheque in favour of the seller’s bank (c) accept cash and later transfer to seller (d) cash cheque Answer: ( ) When you are representing a tenant and at the same time managing the property for the landlord for the upkeep and maintenance. Which of the following is true? (a) No dual representation, no conflict of interest (b) No dual representation, but conflict of interest (c) Dual representation, but no conflict of interest (d) Dual representation, conflict of interest Answer: ( ) Daniel, 40 years old, intends to use CPF to finance the purchase of a residential property with 60 years remaining lease. How much of CPF Ordinary Account savings can be used? (a) 70% (b) 100% (c) 80% (d) 75% Answer: ( ) When the quality of product is unchanged but the price can be raised when involving the other 4Ps in marketing. Which of the following is correct? (a) Branding 101


(b) Repackaging (c) Bundling with other products (d) Changing the distribution channel Answer: ( 941

942

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944

945

946

947

)

Does an auctioneer require a CEA license to practice his trade? (a) Yes, under the relevant Singapore law property auctioneers are no different from real estate agents and salespersons (b) No, an auctioneer does not carry out estate agency work (c) Yes, the licensing of auctioneers have been transferred from IRAS to CEA (d) No, an auctioneer requires a trade licence from MTI not CEA Answer: ( ) In a sub-sale, the developer shall, if so required by the assignee by notice in writing, enter into a new agreement with the assignee for the sale and purchase of the unit (a) within 3 weeks after receipt of the assignee’s notice (b) within 2 weeks after receipt of the assignee’s notice (c) within 1 weeks after receipt of the assignee’s notice (d) within 10 days after receipt of the assignee’s notice Answer: ( ) In a sub-sale, the developer is entitled to be reimbursed by the assignee for the following sums: (a) Up to $200 for developer’s administrative fees and up to $200 in cost for developer’s solicitor (b) Up to $200 for developer’s administrative fees and up to $400 in cost for developer’s solicitor (c) Up to a total of $400 for developer’s administrative fees and legal cost for preparation of the fresh Sale and Purchase (S&P) Agreement (d) The developer is not allowed to charge the assignee any fees Answer: ( ) If the intending purchaser of a new private home unit is a non-Singapore citizen, he must make an application to the Minister of Law for approval to make the purchase within _______ weeks after the date of exercising the Option to Purchase; and the duration is called ____________. (a) 3; cooling-off period (b) 6; approval period (c) 9; submission period (d) 12; application period Answer: ( ) Following the above question, the foreign person who is unable to obtain the approval from the Minister of Law to purchase a new home unit after he has exercised the Option to Purchase must furnish the evidence of the Minister’s refusal to the developer within ___ weeks after the expiry of the application period in order to obtain the FULL REFUND of the Booking fee; and the developer shall make the refund within ______ weeks. (a) 1; 4 (b) 2; 4 (c) 2; 8 (d) 2; 12 Answer: ( ) A foreign person who for whatever reasons is unable to obtain the approval from the Minister of Law to purchase a new home unit after he has exercise the Option to Purchase, and is unable to furnish proof of the Minister’s refusal will be able to obtain a refund of the Booking fee less _____ of the Booking Fee from the developer. (a) 15% (b) 25% (c) 50% (d) 75% Answer: ( ) October 2012 Before a foreign worker rents a room from the landlord, the salesperson must check his _____________ status. 102


948

According to the Doctrine of __________ , all land belongs to the State.

949

A home owner wants to pay his agent Amy $20,000 over and above her commission as she had sold the property higher than the asking price. But he is not obliged to do that as Amy has the ______________ to secure the highest possible price for her principal. What is the restriction on land near airport?

950 951 952 953 954 955 956

957 958 959 960 961 962

963

964

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966

All land belongs to the State. The most an individual can have over a piece of land is an ________. Mr Tan applied to the court for an _________ to forbid his neighbour from building a fence to obstruct a right of way. When the actual start date of a tenancy is not certain, it is assumed that the start date occurred when the tenant take __________ of the demised property. Warranties and conditions are both ______ in a contract. Property is classified into personal property and ___________ property which includes freehold estate in land. A salesperson was promised $20,000 if she can sell at higher price. This is not legally binding because getting higher price is part of the salesperson’s duty and it is not a valuable ______________. Real estate salesperson’s duty is to help client buy and sell properties. They are not to advise customers on ___________ matters. When the landlord is responsible for repairs, there is an _____________ on the tenant to allow the landlord to enter the premises for carrying out the necessary repairs. In real estate transactions, the offeree must state his intention to __________ in words and sign the letter of offer. The owner of an interest in land is known as the registered _______________. The Sale Committee must be properly appointed by a simple majority at a general meeting convened by the ___________________ (MC) for the purpose of initiating the en bloc sale. What is the fastest way for the government to contain a property bubble? (a) Reducing demand by enhancing property taxes (b) Increasing supply of land through government land sale program (c) Imposing income tax on capital gains from property sale (d) Allowing more foreign construction workers to be employed in Singapore Answer: ( ) A tenant signed a one-year tenancy for an apartment unit at Seafront Apartment. The landlord is a GST registered company. The monthly rent was $4,000 and the annual value of the property was $37,200. The landlord absorbs the monthly maintenance fee of $300. How much is the GST payable by the tenant very month? (a) $280 every month (b) $42.00 every month (c) $63.00 every month (d) No GST payable Answer: ( ) Although there is often no implied term to bind the tenant on major repair in most of the fixed term tenancies, the tenant is affected by the common law doctrine of ____________ which makes the tenant liable for all his acts that alter the premises, such as tearing down a wall. (a) Care (b) Negligence (c) Repair (d) Waste Answer: ( ) What is the first step for en bloc sale at an old condominium project? (a) Appoint the marketing agent (b) Sign the Collective Sale Agreement (c) Elect the Sale Committee (d) Hold Extraordinary General Meeting to gather at least 80% consent level Answer: ( ) Mr A paid 50% of a shop while B and C paid equally the other 50%. What is the mode of holding of the property? 103


(a) Joint tenancy (b) Tenancy in common in unequal shares (c) Tenancy in common coupled with joint tenancy (d) None of the above 967

968

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Answer: ( ) Mr and Mrs Soh gave their only son George a house as a gift as matrimonial home. However, George died in a car accident and intestate. Can his widowed wife Susan chase her parents-inlaw out of the house? (a) Yes, as a gift of immovable property is irrevocable and as the next-of-kin Susan will be the sole owner (b) No, the gift was meant for George and not for Susan and as such the donor is able to revoke the gift (c) No, once the beneficiary of a gift of immovable property passes away the gift will automatically be returned to the donor (d) No, this is because as George died intestate his wife loses the right to claim inheritance of the house Answer: ( ) The scarcity of land has led to technological advancement and creative to tackle it, for example, building high-rise building. What characteristics of land is this relating to (a) Immobility (b) Indivisibility (c) Durability (d) Capability for improvements Answer: ( ) After signing the tenancy agreement, the tenant faced unbearable noise and dust from nearby construction site, what recourse does she have? (a) Legal frustration (b) Claim breach of the ‘quiet enjoyment’ covenant (c) Caveat emptor (d) Constructive eviction Answer: ( ) Which of the following properties can be purchased by a foreign person without special approval from the Singapore government? (a) A shop-house with a residential unit on the second floor (b) A terrace house (c) All but one unit in a condominium project (d) A strata landed housing unit Answer: ( ) Mary the land has refused to repair the rented premises as the tenant, John has owed rent for 2 months. Does Mary have the contractual rights not to carry out the repair due to the tenant’s delinquency? (a) Yes, Mary does not have to fulfill her part of the bargain because the tenant’s breach extinguish Mary’s obligations (b) Yes, Mary’s contract obligations are dependent on the tenant performing his, i.e. to pay the rent. (c) Yes, because owing rent is a serious breach of covenants (d) No, because paying rent by the tenant and carrying out repairs by the landlord are two independent covenants Answer: ( ) Other than trade fixtures, what is the name of other types of fixtures known as, for example, blinds, locks, cabinets etc? (a) Chattels (b) Fittings (c) Accessories (d) annexes Answer: ( ) Which are the sources of laws in Singapore? (a) Common law 104


(b) Statutory legislation (c) Principle of equity (d) All of the above Answer: ( 974

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978

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)

What is the doctrine for land in Singapore? (a) Doctrine of freehold land (b) Doctrine of estate in land (c) Doctrine of Soloman (d) Doctrine of fee simple Answer: ( ) When a house owner goes to a bank to seek financing, he must offer the title of his house to the lender as ______ for the loan. (a) Warranty (b) Collateral (c) deposit (d) bond Answer: ( ) Andy wants to build a basement in his semi-detached house. He is shoring up the support of the retaining wall so that the neighbour property will not suffer any damage due to the work. What right will be created as a result? (a) Right of mutual support (b) Right of vertical support (c) Right of lateral support (d) Duty of care Answer: ( ) When a real estate salesperson wants to confirm the usage of a particular piece of land in Singapore, he will consult the Master Plan for the ___________ of the land? (a) Classification (b) Zoning (c) Planning (d) forecast Answer: ( ) Jason and Jade are lovers and they live in an East Coast condo unit which they own in joint tenancy. Jason was declared a bankrupt one day. What will happen to the condo unit he coowns with Jade? (a) The property will be vested in the Official Assignee (OA) as Jade being the lover will be jointly liable for Jason’s debt (b) The joint tenancy will be severed as Jason’s share will be vested in the OA (c) Jade will become the sole owner of the condo as Jason has become a bankrupt (d) The condo will have to be sold to satisfy the debts Answer: ( ) Ah Hock and Ah Huey are siblings and they are joint tenants of a Geylang apartment. Ah Hock sold his interest to Ah Huat who is his brother. Ah Huat is now a ________ of the apartment. (a) Joint tenant (b) Tenant in common (c) Assignee (d) Beneficiary Answer: ( ) A corporeal hereditament refers to: (a) Air right (b) A satellite dish (c) Car porch in the house (d) An easement Answer: ( ) When a couple owns a house in joint tenancy, how much will each of them get when they sell the property? (a) 50-50 (b) All sums will go to the husband 105


(c) The full sum of the sale proceed shall be in one cheque payable in both names (d) The proceeds shall be paid strictly in cash Answer: ( ) The Additional Buyer’s Stamp Duty (ABSD) applies to: (a) All residential properties (b) All residential properties and non-residential properties with partial residential use, such as a shophouse (c) All properties (d) Only residential properties Answer: ( ) 983 The balance conveyance money is kept by who? (a) Seller’s lawyer in his conveyancing or CVY account (b) Buyer’s lawyer in his client’s account (c) Compulsory by Singapore Academy of Law and no other places (d) Escrow account Answer: ( ) 984 When the tenant covenants to keep the premises in good repair it is understood that such a covenant does not include damage resulting from (a) Act of god (b) Fair wear and tear (c) Unintentional damage (d) Accidental damage Answer: ( ) November 2012 985 When a property is sold, property tax is apportioned __________. 986 Stamp duty is imposed on the __________ of a transaction rather than on the transaction itself. 987 GST is __________ tax. 988 An offer must be distinguished from __________ as this tends to invite offers. 989 An __________ can be in the form of corporeal or incorporeal hereditaments. 990 An owner can claim property tax refund for vacant house if the house was intended for __________. 991 There are three types of law in Singapore , including __________, statutes and principles of equity. 992 There are 30 town-subdivisions [T.S.] and 34 __________ in Singapore. 993 A plumber quoted a job at $300. However the actual cost came up to be $600. The plumber still has to complete the job because $300 is considered a valuable ________ under the law. 994 A Muslim can will away __________ of his estate. 995 In a tenancy, the fixture belongs to the landlord while fixtures that is used by the tenant for his trade is considered personal and is called the __________ fixture. 996 __________ refers to the duration and mode of holding land. 997 A tenant can exclude the landlord from disturbing his peaceful enjoyment. This concept is called the right of __________ . 998 An agreement that has the intention to create legal relationship is a __________. 999 The latest news report shows that HDB’s __________ indicated that there is a price increase of 0.6% in the resale price. 1000 Tiong Bahru falls under ___________________. (a) Core Central Region (b) Outside Central Region (c) East Planning Region (d) Central Region Answer: [ ] 1001 REIT is preferred over direct property investment because of its ________________. (a) Immobility and divisibility (b) Liquidity and divisibility (c) Illiquidity and divisibility (d) Mobility and indivisibility Answer: [ ] 1002 Who should inform Chief Assessor upon legal completion of a sale and purchase of a house? 982

106


(a) Buyer, within 15 days (b) Buyer, within 30 days (c) Seller, within 15 days (d) Seller, within 1 month Answer: [ 1003

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Which one of the following is considered an incorporeal hereditament? (a) Satellite dish (b) License (c) Car parking lot (d) easement Answer: [ ] Joe sold his shophouse. The ground floor of the property – which is zoned ‘commercial & residential’ – is a shop and its upper level is an approved dwelling unit. Joe had purchased this property 15 months ago. The Seller’s Stamp Duty (SSD) Joe is liable to pay is: (a) 12% of selling price of the shophouse (b) 12% of selling price of the shophouse excluding ground level (c) 12% of the original purchase price of the shophouse (d) 12% of selling price of the shophouse excluding the upper level unit Answer: [ ] A foreign person, other than being restricted from owning landed property in Singapore, is also not allowed to lease a property for __________ years, excluding Option to renew. (a) 3 (b) 5 (c) 7 (d) 10 Answer: [ ] Which of the following can be considered a strata-titled property? (a) A 4-star hotel (b) Shopping mall with various shops (c) Integrated resort (d) Serviced apartments Answer: [ ] Before an owner of an office building can sell his office building level by level, he has to obtain (a) Strata Certificate of Title (b) Subsidiary Strata Certificate of Title (c) Certificate of Title (d) Certificate of Statutory Completion from Building and Construction Authority Answer: [ ] In a yearly tenancy agreement, if the agreement is silent on re-entry, which of the following does not bind the tenant? (a) pay rent (b) maintain the house and make sure it does not get into an irreparable condition (c) allow landlord to enter house to see state of repair (d) notice to quit advised by landlord Answer: [ ] Nuisance, disturbance and interference are examples of right of: (a) possession (b) enjoyment (c) exclusivity (d) disposal Answer: [ ] ___________ can be deducted from the Annual Value (AV) in the computation of property tax. (a) initial repairs (b) repairs done to reverted property to original state 107


(c) repairs done after tenancy period (d) repairs to make the property habitable 1011

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Answer: [ ] Which of the following is misrepresentation? (a) A real estate salesperson told seller to paint the house in ‘beige’ because it will fetch higher price (b) A real estate salesperson told a prospective buyer that the property is at the ‘hot spot’ and will have no problem finding tenants (c) A real estate salesperson told a prospective buyer that the property price will increase up to 30% in a few years’ time. (d) A real estate salesperson told the seller that the buyer’s application to URA failed previously but there should be no problem this time. Answer: [ ] Claire has a fee simple estate of a property. She willed it to Dean for life. [i] Dean has right to property in his lifetime if Claire passes away [ii] If Claire does not have children or spouse, after Dean dies, the property will be given to the State (a) [i] is correct (b) Both [i] & [ii] are correct (c) Both [i] & [ii] are incorrect (d) [i] is correct but [ii] is incorrect Answer: [ ] Which of the following needs the consent and approval of the Official Assignee (OA)? (a) Singaporean bankrupt wants to sell his property (b) Singapore Permanent Resident who is a bankrupt wants to sell his property (c) Singaporean bankrupt wants to buy HDB executive apartment (d) Singaporean bankrupt wants to buy a 5-room HDB flat Answer: [ ] A property owner told a real estate salesperson to give approval to tenant for assignment if the tenant pays his arrears in rent. The tenant paid all arrears in a cheque. The real estate salesperson then conveyed the landlord’s approval for the assignment. However, the cheque by the tenant bounced. Which of the following is correct? [i] This is a situation where the salesperson needed to exercise duty of care [ii] The real estate salesperson has breached the duty of care to the landlord [iii] The landlord’s loss is not too unrelated to the salesperson’s breach of duty (a) Only [i] and [ii] are correct (b) Only [i] and [iii] are correct (c) All are correct (d) All are incorrect Answer: [ ] The US Quantitative Easing (QE) measure will have _________ on Singapore property market. (a) No effect as the US and Singapore are too far apart (b) Will have effect on our country’s liquidity but not so much on property because the funds will not be used on property (c) Will not have much effect on property because the funds will have other planned uses (d) Moderate effect as the liquidity situation will create the inflation and wealth effect which will continue to fuel property prices Answer: [ ] Mickey owns two adjoining residential units – A and B. He installed solar panels on the roof top of Unit A and both units enjoy the solar energy. Subsequently, he sold Unit B to Nancy. Can Nancy claim the right to use the solar energy? (a) No, because Mickey installed the solar panels when he was owner of both units (b) No, because Unit B has its own source of energy (c) Yes, because both units have right to use the solar energy (d) Yes, the unit was sold on an ‘as it’ basis Answer: [ ] Pertaining to the above question, if Mickey sold Unit A to Joe and Joe dismantles the solar 108


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panel and build a rooftop garden, Nancy will have no choice but to ______________ her claim. (a) Abandon (b) Express release (c) Implied release (d) Constructive eviction Answer: [ ] A foreign person can rent a landed property, i.e. a restricted property, for a period not exceeding __________ years. (a) 3 (b) 5 (c) 7 (d) 10 Answer: [ ] No two parcels of lands or properties are identical. This characteristic of land is known as ________. (a) Homogeneity (b) Heterogeneity (c) Indivisibility (d) Uncommonality Answer: [ ] Salesperson Susan had a corporate tenant who is interested in renting a property. She prepared the tenancy agreement signed by the tenant and a deposit for the landlord whose advertisement state ‘no agent please’. However, the landlord agreed to the offer and signed the tenancy agreement. This is a contract by _____________. (a) [i] agreement; [ii] intention of both parties to create legal relationship (b) [i] ratification; [ii] equity will recognise the agency relationship (c) [i] estoppel; [ii] implied by conduct and behaviours of both parties (d) [i] mistake; [ii] as the principal has no intention to engage an agent Answer: [ ] From the above scenario, if the landlord refused to sign the tenancy agreement, what can the tenant do? (a) Sue the landlord (b) Sue the salesperson for misrepresentation (c) Sue the salesperson for breach of duty of care (d) There is nothing the tenant can do as the situation was at best ‘subject to contract’ Answer: [ ] Café Triple X is a tenant at a small shopping centre which is suffering from poor business. The landlord intends to sell the property. What will happen to the Café which still have a two-year lease to go? (a) When landlord sold a commercial property, all the commercial lease will automatically end (b) When the lease has a provision for reconstruction after a loss, the new landlord can invoke the right (c) All sales of commercial properties are subject to tenancy (d) The new landlord can evict all tenants citing poor business Answer: [ ] From the above scenario, another Café is interested to buy over the business of Café Triple X. What is the best way if the landlord agreed to it? (a) A fresh lease (b) Assignment (c) Novation (d) Distress action Answer: [ ] Mary has paid for the Option fee of a property on sale but the owner Mr A has found another buyer offer a higher price after accepting Mary’s money. What can Mr A do? (a) Refund the Option fee to Mary and accept the new offer 109


(b) Wait out for the 14-day option period (c) Buy Mary to redeem the Option (d) Engage a lawyer to rectify the situation 1025

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Answer: [ ] From the above scenario, Mary exercised the Option on the due date and signed the acceptance copy of the Option. But after she had handed the cheque to the salesperson, Mary had cold feet and stopped the cheque. What can Mr A do? (a) Sue Mary for breach of contract if Mr A wants the deal to go through (b) Rescind the contract and sell the property to the buyer who offered a higher price (c) There is nothing Mr A can do as Mary’s action only meant that the contract cannot be formed (d) Sue Mary for specific performance Answer: [ ] A sold his flat to B. Upon legal completion, A request B to let him stay on for a while longer as his flat is still not ready. B agreed and will not be charging him any rental. This arrangement is ______________. (a) Fixed-term tenancy (b) Periodic tenancy (c) Tenancy at will (d) Tenancy at sufferance Answer: [ ] After Freddy has sublet one of the rooms to a foreign student, the property tax of his flat will be based on (a) 10% of the annual value of the flat which includes the rent payable by the room tenant (b) The owner-occupier concession will still be applicable to Freddy (c) The owner-occupier concession is generally applicable but the difference in rent collected from the tenant will be charged at 10% per annum and paid separately (d) Freddy will no longer be entitled to the 0% for the first $6,000 annual value; but he is still entitled to the 4% tax rate Answer: [ ] While marketing condominium in district 9 to high net worth individuals, what type of market campaign is most suitable? (a) High list price, renowned agency, personal invitations (b) Reasonable list price, agency with big international branding, with personal invites only (c) Mass market price, normal agency, open house method (d) High list price, celebrity salespersons, guarantee high capital appreciation Answer: [ ] You have a buyer who likes to entertain clients at home. What type of house would you recommend him to buy? (a) A house with a big garden (b) A house with a big kitchen and dining area (c) A house with ample parking space (d) A house with a guest room Answer: [ ] Xing, Ying and Zing are good friends. Xing wants to sell her house and Ying is interested to buy. Zing is the salesperson and both of them would like to engage her service. What should Zing do? (a) Represent only Xing and inform Ying that she can only protect Xing interest as a friend (b) Represent both of them as they are all good friends (c) Inform CEA of the unique circumstance and apply for approval to represent both (d) Represent only Ying as buyer needs more protection Answer: [ ] John is interested to buy a private Studio Apartment for $700,000. He is getting a bank loan. With the following information available to you, advise how much upfront cash he has to come up with. CPF Ordinary Account = $50,000 Stamp Duty $15,6000 110


Agent Commission 1% (a) $70,600 (b) $90,000 (c) $110,600 (d) $112,600 1032

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Answer: [ ] A real estate developer is targeting high-net-worth-individual customers. Should they (a) Send out flyers (b) Send out individual invites (c) Banner advertisements (d) Cold calls Answer: [ ] Real estate agencies should apply to ____________ for approval to hang outdoor banners for marketing of properties. [i] Building and Construction Authority (BCA) [ii] Land Transport Authority (LTA) [iii] Council for Estate Agencies (CEA) [iv] All of the above (a) Only [i] (b) [i] and [ii] (c) [ii] and [iii] (d) Only [iv] Answer: [ ] A prospective buyer was introduced to a developer and when will the agent get his commission should be buyer purchase the new property? (a) When TOP (b) When conveyancing is done (c) When buyer signs agreement (d) When developer issues Sale and Purchase Agreement Answer: [ ] A GST registered company sold a property that costs $700,000. What will be the cheque amount of the commission if the agent charged 1% of the transacted price? (a) $7,000 (b) $7,490 (c) $6,300 (d) $6,790 Answer: [ ] Which of the following persons is not eligible to own a resale HDB flat? [i] A private property owner who sold his home one month ago [ii] A couple whose combined income is $11,800 a month [iii] A Singapore permanent resident couple [iv] A Singaporean occupier of a flat owned by his spouse intending to apply for the next flat with one of his unmarried children who is below the age of 35 years (a) Only [i] (b) [i] and [iv] (c) Only [iv] (d) [i], [ii], [iii] and [iv] Answer: [ ] A young man intends to purchase a new private condo unit of $700,000. His CPF savings in the Ordinary Account is $30,000 and the Stamp Duty payable is $15,600. How much cash is needed? (a) Only $35,000, being the 5% booking fee which must be cash (b) $50,6000, being booking fee plus stamp duty (c) $140,000 111


(d) $125,600, being 20% down-payment plus stamp duty less $30,000 CPF savings 1038

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Answer: [ ] Which of the following complaints can be lodged under the Consumer Protection (Fair Trading) Act? (a) An abusive real estate salesperson handling the brokerage of a vacant industrial land (b) A dishonest real estate salesperson who charged the tenant of a shop space at Lucky Plaza a much higher commission than the market rate (c) A real estate salesperson who promises better service than other competitors (d) A real estate salesperson who misrepresented the floor area of a condo for sale Answer: [ ] As a good leasing agent, one should listen to the needs of his customer. This couple loves to entertain, so the agent should look out for (a) a house with big balcony (b) with big kitchen and large dining area (c) a nice sauna (d) A huge garage that can park three cars Answer: [ ] Which of the following situations is considered ‘dual representation’? (a) A real estate salesperson introduced a client to a property developer and collects commission from the developer (b) Two colleagues from the same real estate agency representing buyer and seller respectively (c) One salesperson represent an absentee landlord and the tenant (d) A real estate salesperson provides property management services to a foreigner landlord and collect commission from the tenant who he introduced to the landlord Answer: [ ] The most recent MAS ruling on loan-to-value (LTV) ratio is applicable to ______________. [i] Non-residential properties [ii] HDB resale flats [iii] Non-individual buying residential properties (a) [i] & [ii] (b) [i] & [iii] (c) [ii] & [iii] (d) All of the above Answer: [ ] The formula to ensure there is no mushrooming of shoebox apartment outside the central business district, the minimum size of a condo is based on ________. (a) Maximum number of dwelling units based on total gross floor area allowable in the gross plot ratio over a denominator of 60 sq m (b) Maximum number of dwelling units based on total gross floor area allowable in the gross plot ratio over a denominator of 70 sq m (c) Maximum number of dwelling units based on total gross floor area allowable in the gross plot ratio over a denominator of 100 sq m (d) 70 sq m Answer: [ ] Price war falls under which part of S.W.O.T? (a) Threat (b) Opportunity (c) Strength (d) Weakness Answer: [ ] SWOT analyses external and internal factors of a market or a company. The internal factors refer to (a) Strength and weakness (b) Opportunity and threat (c) Strength and opportunity 112


(d) Weakness and threat 1045

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Answer: [ ] Due to confidentiality, a salesperson cannot inform his principal of a potential conflict of interest. What should he do? (a) Disregard the confidentiality rule and inform the principal (b) Continue to act for the client as though nothing has taken place (c) Decline taking the appointment citing conflict of interest (d) Declare to CEA while continue to act for the client Answer: [ ] What is the validity period of the RES exam result? (a) One year after the date of result (b) Two year after the date of result (c) Three year after the date of result (d) No limit Answer: [ ] Which of the following publicity method will ensure that a salesperson will reach maximum number of target audience? (a) Local media interview (b) Free property seminar (c) Web advertisement (d) Newspaper article Answer: [ ] Under the current MAS rule on housing loan, if the borrower has an outstanding housing loan, the maximum loan terms __________ years, with the loan-to-value (LTV) ratio at _______. (a) Cannot exceed 35 years or beyond the borrower’s retirement age of 65 years old; 70% (b) Cannot exceed 35 years or beyond the borrower’s retirement age of 65 years old; 60% (c) Cannot exceed 30 years or beyond the borrower’s retirement age of 65 years old; 70% (d) Cannot exceed 30 years or beyond the borrower’s retirement age of 65 years old; 60% Answer: [ ] What is the additional information which a housing developer must provide to a purchaser? [i] Approved building plan [ii] Drawn-to-scale site plan and floor plan [iii] One previous completed project [iv] Land area including individual space e.g. air-conditioner ledges (a) Only [i] (b) [i], [ii], [iii], [iv] (c) [ii], [iii], [iv] (d) Only [iv] Answer: [ ] A common misunderstanding of car parking lots is (a) It is a common property (b) It is an accessory lot that can be sold separately (c) It is attached to the residential strata lot and must be sold when the strata lot is sold (d) It contributes to share values Answer: [ ] After subletting rooms in a HDB flat, how soon must the lessee inform the authority? (a) 7 days after sublet (b) 14 days after sublet (c) 30 days after sublet (d) 7 days before sublet Answer: [ ] January 2013 A purchaser buys a property for immediate owner occupation which means that he requires the property to be sold with __________. 113


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1059 1060 1061 1062 1063 1064 1065 1066

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__________ is a breach of a civil duty owed to someone else. If a developer plans to build a dormitory on a worksite, he can apply for __________ from Singapore Land Authority. If the contract between buyer and seller was rescinded, the deal will be pronounced null and __________. One of the conditions in a sale contract is that the property must be free from __________. In a lease, the tenant must make an advance payment to the landlord to serve as a __________. If a transaction is cancelled by the authority, the property seller would have to refund the buyer all the money that the buyer had paid without __________and compensation. The following is a phrase commonly seen in the Option to Purchase: “in __________ sum of Singapore Dollar $8,000, the seller hereby grants the buyer the option to purchase the aforesaid property.” Purchasers of __________ property does not need to pay GST. Purchase of property in Singapore is subject to satisfactory replies to __________ and interpretation of __________. To exercise this option, the purchaser shall sign at the portion marked __________. The Agency Agreement is a __________ contract between RES and Seller. No two parcels of land are exactly identical. Such a characteristic of real estate is called __________. A real estate salesperson must exercise __________ when transacting a tenancy deal. An easement is a __________ in land and is binding on third party. What is the meaning of "investment property sale" in advertisement? (a) There is lease hold period at least 1year (b) There is lease hold period at least 3 year (c) Transaction amount is more than $1 million (d) Transaction amount is more than $10 million Answer: [ ] The third quarter of 2012 property price index was 208.3, and the fourth quarter’s was 209.9. What is the correct understanding of the above statement? (a) Increase is 209.9-208.3 (b) Increase is (209.9-208.3)/208.3 (c) Increase is (209.9-208.3)/209.9 (d) Decrease is 208.3 – 209.9 / 12 Answer: [ ] A is salesperson, B is seller. C is buyer. If B terminate A's service, but C doesn't know about that, and if C pays the deposit to A, what will happen to this deal? Does B have to sell the property through A? (a) Yes, this is called Agency by Estoppel, as B is stopped from disclaiming the agency. (b) Yes, this is called Agency by Ratification, as A is considered the agent from day one (c) No. Though the seller may be bound by an Agency by Estoppel at this juncture, he is not bound to sell the property as there is still room for price negotiation (d) No, as A is no longer the salesperson Answer: [ ] Alan is fond of collecting wine. He built a shelf and kept all his wines inside. If Alan is the landlord, which of the following is correct? (a) The wine shelf is a fitting; and the wines are fixture. (b) The wine shelf is a fixture; and the wines are fitting (c) Both of them are fitting. (d) Both of them are fixtures. Answer: [ ] From the above question, if Alan is the tenant, and the wine and the shelf is for his enjoyment, which of the following statement is correct? (a) He can remove the shelf and the wines on expiry of tenancy as they are placed there by him for his own enjoyment (b) He cannot remove the shelf but can only remove the wines upon expiry of the tenancy period (c) Both of the shelf and the wines are fixtures. 114


(d) If he intends to remove the shelf he must compensate the landlord 1071

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Answer: [ ] Landlord A lets out an apartment to tenant B and the first year rent is $6,000 per month, the second year rent is $5,000 per month. The rent for furniture is $2,000 per month. What is the stamp duty payable? (a) $720 (b) $528 (c) $264 (d) $192 Answer: [ ] Mr A owns a HDB flat and a private condo. He is living in the HDB flat and letting out the condo. The annual value (AV) of the condo is $24,000 while the AV for the flat is $18,000. What is the amount of property tax payable? (a) $480 for the HDB flat; $720 for the condo (b) $480 for the HDB flat; $2,400 for the condo (c) $1,800 for the HDB flat; $2,400 for the condo (d) $720 for the HDB flat; $2,400 for the condo Answer: [ ] Mr A purchased a residential property with a mortgage. If the interest payable for the mortgage is X in the first year, while the yearly rental income is Y, and the Annual value for the property is Z, what will be the income tax payable if he lets out this units? (a) His tax on income from rent will be calculated at the full sum of Z (b) His tax on income from rent will be calculated at Z less the sum of X divided by Y (c) His tax on income from rent will be calculated at Z less X (d) His tax on income from rent will be calculated at Y less X less (Z X 10%) Answer: [ ] Which is a strata landed house? [i]Townhouse ; [ii] cluster house; [iii] bungalow; [iv] strata titled shophouse; [v] 5-storey conservation shop with SOHO units from the third level onwards (a) [i] only (b) [i] and [ii] (c) [i], [ii], [iv] (d) All of the above Answer: [ ] Which is not a correct description of a Good Class Bungalow? (a) it's one of the 59 private property (b) min land size of 1,400 sq m (c) max height of 2 storeys (d) min building to land ratio of 35% Answer: [ ] Alan, Bob, and Charlie are very close friends and they have jointly purchased a private condo unit. When they met their conveyancing lawyer, they told him that they wanted to own ‘everything equally’. What would be the mode of holding for the condo that they have jointly purchased? (a) Joint tenancy (b) Tenancy-in-common (c) Joint tenancy in equal share (d) Special purpose vehicle Answer: [ ] A foreign person can buy which of the following restricted property without obtaining special approval from LDAU? (a) Shophouse (b) Hotel (c) Bungalow in Sentosa Cove (d) All the units in a strata titled development 115


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Answer: [ ] Alan took a keen interest in a house with a herb garden. He then made an offer to purchase the property. However, upon taking possession of the house, he noticed that the herbs were no longer present. He then questioned whether the herbs should have been included in the sale (a) Yes. The herbs are considered a fixture and thus should have been included in the contract. (b) Yes. The herbs, though fittings, are considered to be included in the contract. (c) Yes. This is because ownership of real estate include mineral rights, plants and underground water etc. As such, the herbs should have been conveyed together with the land (d) No. The herbs are considered to be fittings and thus should be have been included in a separately drawn up inventory list Answer: [ ] Adam and Allen are interested in investing in property and ask you as a RES salesperson for advice. Adam has $10,000 in CPF savings and Allen has $100,000 in cash. What would you suggest to them? [i]Physical Property; [ii] Real Estate Investment Trust; [iii] property stocks (a) Adam: (ii) and (iii), Alan: (iii) (b) Adam: (ii), Alan: (i) and (ii) (c) Adam and Alan: (ii) and (iii) only (d) Adam: (ii) and (iii), Alan: (i), (ii) and (iii) Answer: [ ] No two properties are the same in location and design. This is described by the term: (a) Heterogeneity (b) Duplicity (c) Illiquidity (d) Indivisibility Answer: [ ] Zeke has made the arrangements to leave Singapore on 1st January 2013 and has also made arrangements to complete the sale of his house on 28th January 2013. However, the buyer informs Zeke on 15th January 2013 that he is unable to complete the sale on time and there will be a two week delay as a result. Can Zeke withdraw the contract in this case? (a) Yes. This is always a breach of conditions in all contracts (b) Yes. As time is of utmost importance in this case (c) No. The buyer will still complete the sale, albeit by a slight delay (d) No. As doing so will cause Zeke even more inconvenience to himself Answer: [ ] Government has granted a leasehold estate with lease of 999 years. The property was first acquired in November 1876. What is the unexpired term remaining on the lease? (a) 137 (b) 862 (c) 240 (d) 899 Answer: [ ] Olive and Oxley are married with two children. They have purchased a property under Joint Tenancy. Olive is worried that when she dies, the property will not be passed on to the children. As a Real Estate Salesperson, what can you advise Olive to do? (a) Bequeath the property to the children by writing a Will (b) Sever the Joint Tenancy (c) Make an agreement with Oxley that the property will be passed on to their children (d) There is nothing she can do but hope she dies later then Oxley Answer: [ ] Continuing from Question 33. Olive dies earlier then Oxley and he subsequently remarries. There is no change in the ownership of the property. What can Oxley do to ensure that the property will be passed down to his children upon his death? [i] Bequeath the property to his children [ii]The property will be passed on to his children upon intestate succession 116


(a) Only (i) is correct (b) Only (ii) is correct (c) Both (i) and (ii) are correct (d) Both (i) and (ii) are incorrect 1085

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Answer: [ ] Government Land Sale (GLS) Programmes are administered by government agencies. Which is the main agency responsible for the sale of industrial land? (a) Urban Redevelopment Authority (b) Singapore Land Authority (c) JTC Corporation (d) Housing and Development Board Answer: [ ] Which of the following acts granted/allowed by house owner A to his neighbour B is most likely an easement? (a) Attachment of solar panels to the roof of A's house (b) Hanging of banner on the fence of A's house (c) Allowing neighbour B's plant to creep over the wall to house owner A's property (d) Tapping of water source on house owner A’s property to wash neighbour B's car Answer: [ ] Buyer A intends to purchase a property and has a liking for houses designed by a particular designer. Mary, who is the Real Estate Salesperson, brings Buyer A to view a property which she believed to be designed by that particular designer. After purchasing the property, Buyer A realises that the property is not designed by that particular designer. What applies to this case? (a) Fraudulent misrepresentation (b) Innocent misrepresentation (c) Negligent misrepresentation (d) Caveat emptor principal applies Answer: [ ] A Real Estate Salesperson markets her client's flat as a 3-bedroom flat, when it is more accurately described as a 2-bedroom flat with a study. The buyer only realises this after purchasing the flat at a higher than average cost. The buyer then demands for a reduction in price. Which of the following best describes this case? (a) The Real Estate Salesperson has breached her warranty of trust with the buyer and is thus at fault (b) The Real Estate Salesperson is liable to the principal for her mistakes (c) The principal is liable to the buyer for the actions undertaken by the Real Estate Salesperson (d) No one is at fault Answer: [ ] Andy told a nurse who was tending to him before he died that he would give his terrace house to his youngest son Ben; and wanted the nurse to pass the message to the family members. However, when the family members arrived at the hospital, Andy had passed away. All the family members agreed that the terrace house should be sold and the proceeds distributed equally among the four adult children. The nurse then passed the message to Ben. Is the gift enforceable? (a) No, as there is no witness from the family (b) No, as the four children had agreed that the estate should be sold and proceeds divided equally (c) No, Andy was unable to gift a property verbally (d) Yes, Andy’s instruction is binding and Ben should be the beneficiary Answer: [ ] 3 siblings purchased a property. One owns 1/2 share while the others own 1/4 share each. The youngest paid for renovation. How will the $50,000 renovation costs be split three ways? (a) The big brother will pay all costs (b) borne equally by the 3 (c) The owner with largest share will pay (d) Renovation costs will be divided 2:1:1 Answer: [ ] 117


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A tenant moved out of a rented property on 30.8.10. The landlord was unable to secure a tenant until last month and the new tenancy will commence from 1.3.2013. How will he declare his property tax? (a) Submit for waiver immediately after 30.8.10 (b) Submit for waiver on 1.3.2013. (c) Submit for waiver 31Jan 2011. (d) Submit for waiver in Jan 2011, submit again in Jan 2012, and again in March 2013 Answer: [ ] Arul a foreigner who owned an apartment in Orchard Road area had gone missing for more than a year. The apartment is unattended to and he also chalked up maintenance fees in arrears during his absence. Arul had missed the payment of property tax for two years. What will happen to the apartment? (a) It will be left there until Arul is found & he will have to account for maintenance fees and property tax in arrears (b) The management corporation (MC) may apply for a court order to dispose of Arul’s unit (c) The IRAS may foreclose the property and auction it off to recover the property tax in arrear (d) Arul’s apartment will be vested in the State after 7 years of vacancy Answer: [ ] Collective Sales failed on 13 Jan 2009. When will be the earliest date that the sellers can try again? (a) 14 Jan 2010 (b) 14 Jan 2011 (c) 14 Jan 2012 (d) 14 Jan 2013 Answer: [ ] Mimi and Nana inherited their house from their grandfather. How do they prove their right? (a) Their grandfather death certificate (b) Their grandfather will (c) Grant of Probate (d) Nothing is needed Answer: [ ] What is Mimi’s right in the property? (a) Right of enjoyment (b) Right of possession (c) Right of exclusive possession (d) Right of control Answer: [ ] Salesperson A believes that a certain residential development is designed by a famous architect and informed a buyer who liked the architect very much. However, it is not true. Did the salesperson commit any misrepresentation? (a) Innocent misrepresentation (b) Fraudulent misrepresentation (c) Negligent misrepresentation (d) No misrepresentation as the salesperson believes it himself Answer: [ ] A prospective purchaser told an agent that he would like to purchase a property which is allowed for residential and office usage. The agent brought him to buy a SOHO unit. The customer later discovered that the SOHO unit is not allowed to be used fully as an office. Can he sue the agent? (a) Yes. There is an innocent misrepresentation (b) Yes. There is negligent misrepresentation (c) Yes. The agent should have explained the usage of SOHO to the customer before he bought it (d) No. The principle of Caveat emptor applies in this case Answer: [ ] When a HDB flat owner wants to sublet the whole flat, which of the following prospects will you not recommend to him? 118


(a) construction workers from PRC China (b) Malaysia construction workers (c) Students studying in Polytechnic (d) PR with proper work permit Answer: [ 1099

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Which of the following HDB resale transaction may cause problem in SPR quota? (a) Malaysian PR buys from Singapore Citizen (b) Malaysia PR buys from Non Malaysian PR (c) Non Malaysian PR buys from Malaysian PR (d) Singapore Citizen buy from Malaysian PR Answer: [ ] Some potential customers do not like to visit show house. What would be the next best alternative marketing tool to get their attention? (a) Direct mailing (b) Advertisement on paper (c) Internet Marketing (d) Telemarketing Answer: [ ] Which of the following marketing methods is best suited to attract potential purchasers in age group 50s? (a) Internet (b) Direct mailing (c) Newspaper (d) Magazine Answer: [ ] Under which of the following circumstances can a salesperson handle cash? (a) Option fee for HDB resale flat (b) Option fee for private apartment sale (c) Security deposit for HDB flat (d) Security deposit for private rental apartments Answer: [ ] What is the purpose of buyer checklist? (a) To ensure the buyer can buy the property (b) To ensure the ethic quota ratio (c) To ensure the buyer eligible for HLE (d) All of the above Answer: [ ] A 'fit and proper' person means a person who (a) has no past criminal records (b) Is not an undischarged bankrupt (c) Is not under a bankruptcy proceeding (d) all of the above Answer: [ ] Letter of intent is a document that is (a) prepared by the prospective tenant and submitted to the landlord and it is legal binding (b) prepared by the landlord and offered to the prospective tenant and it is legal binding (c) prepared by the prospective tenant and submitted to the landlord and it is subject to contract (d) prepared by the landlord and offered to the prospective tenant and the prospective tenant has 14 days to exercise it Answer: [ ] Two new launches side by side but one is selling better than the other because: (a) it has more aggressive salespeople (b) it has a bigger marketing budget (c) it meets buyers' needs and wants 119


(d) it has a better facing and unobstructed view 1107

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Answer: [ ] Salespeople should help buyers look for property that meets buyers' profile and lifestyle. Elvis enjoys nightlife and clubs. Which property would suit him best? (a) near pubs, clubs and nightspots. (b) near eateries (c) near MRT (d) near amenities including schools, libraries and markets Answer: [ ] Seller opts for exclusive listing over open listing because (a) he will get the salesperson’s full commitment in selling his property (b) he will be certain that the salesperson is full time professional (c) he will not need to pay the salesperson excessively high commission (d) he will be certain that the salesperson will have a larger marketing budget Answer: [ ] Real Estate Salesperson are not allowed to make cold call or SMS to prospective customers at the following time: (a) 8 am to 8 pm (b) 9 am to 9 pm (c) 10 pm to 9 am (d) 9 am to 10 pm Answer: [ ] If a negotiation of dispute failed, real estate salespersons and their customers can proceed to the following (a) Arbitration (b) Mediation Adjudication (c) Mediation and arbitration (d) Mediation only Answer: [ ] Due to cost saving, developer did not build a wall which is on the floor plan. What recourse do can buyers have? (a) Annul the contract (b) Demand that the developer build the wall (c) Sue the developer for liquidated damages (d) no recourse at all Answer: [ ] A property seller intends to leave Singapore in 4 months’ time. What would be the best method to use so that there is no delay in marketing? (a) Auction (b) Open tender (c) Closed tender (d) Private treaty Answer: [ ] If an auction sale of a property failed to find a buyer, what other options does the seller have? (a) Try another auction again as it is easier now. (b) Try ‘sale by tender’ (c) sale by private treaty (d) Proceed to negotiate with bidders with an attempt to sell the property via ‘sale by private treaty’ Answer: [ ] Showroom is under which part of the marketing mix? (a) product (b) price (c) place (d) promotion 120


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What is the best marketing method to use if seller doesn't want to disclose price? (a) Open tender (b) Auction (c) Closed tender (d) Private treaty Answer: [ ] Singapore Permanent Resident would like to let out their whole resale HDB flat. What would be the longest duration the SPR is allowed to do it? (a) 1 year (b) 2 year (c) 3 year (d) No they cannot rent out Answer: [ ] A salesperson is building her list of clients. Which is the most sustainable way? (a) newspaper advertisement (b) referrals from existing clients (c) mailers (d) cold calling Answer: [ ] March 2013 In order for the bank to grant a home loan, it will require the __________ to be transferred to the bank. URA will publish private property price index every __________. Title searches can be carried out at the __________ of Singapore Land Authority. A guest in a hotel is a __________ and not a lessee of the room. Sam rented a place for 2 years. During his tenancy, his toddler scribbled the wall, and his wife turned the garden into a herb garden. And the garden has attracted pests. (a) Scribbling the walls are voluntary waste while the herbs and pests are permissive waste. (b) Scribbling the walls and the herb garden are voluntary waste while the pests are permissive waste (c) All are voluntary waste (d) All are permissive waste Answer:[ ] List in chronological order the sales of a HDB flat when the owner passed away and has the will to transfer property to a beneficiary. (a) Apply for letter of probate from HDB (b) Apply to HDB directly to inherit the flat (c) Engage a lawyer ; apply for grant of probate; apply to HDB to transfer the flat to the beneficiary (d) Apply to HDB for letter of probate; apply to High Court to transfer the title to the beneficiary Answer:[ ] Which of the following is not strata title? (a) Statutory land grant (b) Fee simple (c) Life estate (d) None of the above Answer:[ ] What will happen when a buyer who has signed the Sale and Purchase Agreement with a property developer but has decided to back out from the deal? (a) He will be sued by the developer (b) He will be sued by the developer and the salesperson who transacted the deal (c) He will be sued by the salesperson (d) No legal can be taken against the buyer at this stage of the transaction Answer:[ ] Mr Soh has gifted his private home to his son as a wedding gift. A year later Mr So went bankrupt. Is the gift revocable? 121


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(a) Yes, the son is now at risk as the gift if recoverable with consideration (b) No, the house is not recoverable as a gift is not revocable by the donor (c) Yes, the gift may be voidable by the Official Assignee is he is of the opinion that Mr So had earlier done so to avoid creditor’s claim (d) Yes, all gifts of properties are automatically null and void when the donor becomes a bankrupt Answer:[ ] If a foreigner tenant believes that he may need to terminate lease early, which contract wording should he be looking out for before signing the tenancy? (a) Constructive eviction clause (b) Non-disturbance clause (c) Forfeiture clause (d) Diplomatic clause Answer:[ ] A bungalow has been divided into 2 houses, A and B. House A is on a higher ground and house B is on a lower ground. Which house may enjoy the easement over which house? (a) House B will enjoy the easement of light against house A (b) House A will have the right of way over house B (c) House A will enjoy the easement of support over house B (d) House A will be able to restrict the building height of house B Answer:[ ] Title search can be carried out at which of the following website? (a) www.mytax.iras.gov.sg (b) www.inlis.gov.sg (c) www.hdb.com.sg (d) Any one of the above Answer:[ ] Mr A has an industrial property which was purchased for $550,000 this month. If he were to sell it at $660,000 to Mr B next month, ignoring all legal costs and commission (a) He would earn $110,000 (b) He would earn $11,000 (c) He would lose $25,000 (d) He would lose $100,000 Answer:[ ] Which of the following statements describes misrepresentation correctly? (a) Sam said that the project under construction will have unblocked view. The buyer purchased and his view was blocked by another development beside it. (b) Mark said the unit will be sold with tenancy. Buyer purchased. Buyer is still unable to rent his unit. (c) Marie informed her client that the condo value will appreciate by 30% next year (d) John told his client that the unit will be able to attract tenants for rental. Answer:[ ] A 12 year-old residential project is going for collective sale. There are 112 units with GFA 112 sq m. At least how many signatures must the project have for the collective sale to go through?? (a) 89 (b) 95 (c) 100 (d) 112 Answer:[ ] What type of title does the ownership of a DBSS flat confer? (a) Land title (b) Strata title (c) Strata lease title (d) Lease title Answer:[ ] Tom purchased a private house with a mortgage from UV Bank. He then rented his house to Lloyd. Title is registered as 122


(a) Transfer to Tom (b) Transfer to Tom, lease to Lloyd (c) Transfer to Tom, mortgage to UV Bank (d) Transfer to Tom, mortgage to UV Bank, lease to Lloyd Answer:[ 1135

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As a salesperson, your client has asked that you provide with the following [i] valuation [ii] legal requisition [iii] advice on loan to value [iv] if the sale/purchase was prudent (a) [iii] and [iv] only (b) [iii] only (c) [i], [ii] and [iii] only (d) All of the above Answer:[ ] Sally runs a florist business in a shop and because business is slow, she rents out part of her shop to a money-changer. This is a _________ of shop. (a) Assignment (b) Subletting (c) subdivision (d) Granting a License Answer:[ ] A Singapore citizen who lost his citizenship status is required to sell his landed property in how many years? (a) 1 (b) 2 (c) 3 (d) 5 Answer:[ ] The demand for resale HDB flats will increase if (a) The income criteria for BTO flats is lowered (b) The income criteria for BTO flats is raised (c) There is an increase in the number of permanent residents (d) None of the above Answer:[ ] The property market is imperfect because: (a) Buyers and sellers can't control the price in the market (b) Buyers are always looking for the lowest price to buy (c) The government often intervene in the market to cause price swing (d) Real estate agencies have strong influence in the property pricing Answer:[ ] Other than 99 year tenures there are [i] 999 and 9,999 years [ii] 100 and1,000 years [iii] 15; 30; 60 years [iv] < 21 years (a) [i] only (b) [i] and [iii] only (c) [ i] and [ii] (d) [i] and [iv] Answer:[ ] Which phase of the property cycle are we currently in? (a) Decline (b) Depression 123


(c) Boom (d) upswing 1142

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Answer:[ ] When a SPR buy a HDB flat, beside the normal stamp duty, what are the additional fees? (a) Buyer’s stamp duty (b) Buyer’s stamp duty with ABSD of 5% (c) Buyer’s stamp duty with ABSD of 7% (d) Buyer’s stamp duty with ABSD of 15% Answer:[ ] Alan intends to take a break from being a real estate salesperson. What does he need to take note? (a) If the break is longer than 2 year, he will need to re-attend the RES course and RES exam (b) If the break is less than 2 year, he has to fulfil 12 CDP hour (c) If the break is less than 1 years, he has to fulfil 6 CDP hours (d) All of the above Answer:[ ] Which one of the following is not a family nucleus? (a) Mr Soh and his wife (b) Danny and his unmarried siblings (c) Lilian, a divorcee and his baby son (d) John and his grand parents (John’s parents have passed away) Answer:[ ] How much is the option fee if the sale price of a private apartment is $800,000? (a) $8,000 (b) $32,000 (c) $40,000 (d) $160,000 Answer:[ ] Mr X has placed an option fee of 5% for a condo under construction, and he has decided not to exercise the option, which of the following statement is correct? (a) The developer will refund 75% of the option fee within 4 weeks (b) The developer will refund 75% of the option fee within 2 weeks (c) The developer will refund 50% of the option fee within 4 weeks (d) The developer will refund 100% of the option fee if Mr X can prove that he was unable to obtain the special approval from the Minister of Law Answer:[ ] Continuing from the above question, Mr X took a liking for another condo and proceeds with the purchase. After exercising the S&P, the developer informed him that the BBQ pit would be built near his unit. He does not like it. What can he do? (a) There is nothing he could do as the BBQ pit is considered part of the common property (b) Mr X should consult a lawyer about his legal right and let the lawyer advise him on the right course of action (c) Mr X should write to the developer to object to the shifting of the BBQ pit and wait for the developer’s reply within 21 days (d) Mr X should wait until after legal completion where the management corporation is formed to lodge the complaint Answer:[ ] Mr B rented an apartment unit from landlord Ms C on a one-year tenancy. Upon expiry of the oneyear tenancy, Mr B started to owe rent but continued to stay in apartment. After 6 months of no payment from Mr B, Ms C sued the illegal tenant in court. What was Mr B’s legal status while continuing to stay in the rented apartment but did not pay rent? (a) Mr B is considered a trespasser and should have been arrested for trespassing on land (b) Mr B is not considered a trespasser but merely a legal tenant who owed the landlord rent (c) Mr B is considered a tenant-at-sufferance as he was originally a legal tenant but now owed rent to the landlord 124


(d) Mr B is considered having a tenant-at-will as he did not commit any act of trespass 1149

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Answer:[ ] Following on the above scenario, what is the difference between tenant-at-sufferance and tenantat-will? (a) A tenant-at-will holds over (i.e. remains on premises) after the expiry of tenancy with the landlord’s consent (b) A tenant-at-will does not pay rent to the landlord after the expiry of tenancy or in a sale situation the buyer moves into the property early for free (c) A tenant-at-sufferance holds over (i.e. remains on premises) without the landlord’s consent (d) All of the above are correct answers Answer:[ ] As part of the legal requisition process, the buyer’s lawyer will write to a few government departments to enquire whether they have any objections to the subject property being transacted. Which government department would answer the query on whether the property is affected by any drainage reserve. (a) Building Construction Authority (BCA) (b) National Environment Agency (NEA) (c) Public Utilities Board (PUB) (d) Public Works Division (PWD) Answer:[ ]

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(1) PART I - QUESTIONS PDF.pdf

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