Ontario Real Estate Essentials Test 07

Real Estate Essentials - Test 07

Taking the Ontario Real Estate Essentials Test can be an intimidating experience for some individuals. However, with the availability of these free practice tests on this online site, one can feel more confident and prepared to pass the test on the first attempt. The Ontario Real Estate Essentials Test is a comprehensive exam that covers essential topics such as property law, real estate mathematics, and real estate practices and procedures. By taking advantage of these free practice tests, one can ensure that they are fully equipped with the knowledge necessary to succeed. It is important to note that passing this exam is a crucial step towards obtaining a real estate license in Ontario. Therefore, investing time and effort in preparing for the Ontario Real Estate Essentials Test is crucial.

Real Estate Essentials - Practice Test 07

Ontario Real Estate Essentials - Course 1

1 / 20

To qualify as a principal residence (subject to certain exceptions), a property must sit on an area of land that does not exceed…?

1.24 acres

2.24 acres

0.24 acres

3.24 acres

2 / 20

The warranty for new homes and condominiums in Ontario is provided by whom?

The builder of the home

Tarion Warranty Corporation

The seller of the home

The Ontario government

3 / 20

The Ontario warranty scheme for new homes does not cover which of these types of property?

Homes that have been previously occupied/rented by the builder or vendor

Homes converted from existing rental residential buildings

Any of them

Homes in which the homeowner undertook the interior construction

4 / 20

How many phases are there of the Environmental Site Assessment for land for development?

5 / 20

Under what circumstances is it permissible for one brokerage to refuse to cooperate/deal with another because they are offering lower rates of commission?

If the rate is more than 2% lower

None

If the rate is more than 2.5% lower

If the rate is more than 1.5% lower

6 / 20

Which of these factors might make the authorities decide that business tax applies to the profit from selling a property?

If the taxpayer is an expert property renovator

If the taxpayer is a real estate salesperson

All of them

If the taxpayer frequently buys and sells properties

7 / 20

R2000 homes typically have an energy efficiency rating above…?

8 / 20

Registrants should be familiar with the Greenbelt Act 2005 and disclose to potential buyers if they want to buy land that comes under its purview because…?

It may be more difficult to transport building materials to such land

It may be more difficult to sell buildings built on such land

Land development work may incur higher taxes

Land development work may be curtailed or disallowed

9 / 20

What is a key factor for deciding whether Capital Gains tax applies?

How many other properties the taxpayer owns

The intention of the taxpayer at the time of purchase

The size of the profit being made by the taxpayer

The reason the taxpayer has decided to sell

10 / 20

Non-compliance with the federal Competition Act by a real estate brokerage may result in criminal penalties of up to…?

$25 million

$15 million

$30 million

$20 million

11 / 20

The fine for having a building or making alterations that do not comply with the Ontario Building Code and Fire Code can be up to how much for a first offence?

$100,000

$50,000

$10,000

$25,000

12 / 20

An unlawful agreement between competitors to fix prices and manipulate the market is a conspiracy in law if it is agreed…?

In a written contract

In an exchange of emails

In any of these ways

In a telephone call

13 / 20

A typical home will be rated for energy efficiency under the EnerGuide program as falling within what range?

65-75

45-55

75-80

55-65

14 / 20

Capital Gains tax is applied to what percentage of the profit/gain from the sale of a capital item?

100%

75%

25%

50%

15 / 20

If a non-resident seller has not paid the tax liability on a property when the sale has closed with full payment being received, who is liable to pay the tax owing?

The broker

The seller

The buyer

The brokerage

16 / 20

What is the maximum warranty available for new freehold homes and condominium units under the Ontario warranty scheme?

$500,000

$200,000

$300,000

$400,000

17 / 20

The Ontario two-year warranty scheme for new homes does not cover damage caused by what?

Natural disasters

Water leakage, seepage or penetration

Workmanship defects

Major structural defects

18 / 20

A taxpayer's principal residence, which is exempt from taxation when sold, is the one…?

Which is the least expensive of the properties they own

Which is the most expensive of the properties they own

That they have previously nominated as such

Where they live for most of the year

19 / 20

Which of these is it not permitted for a representative of a brokerage to describe themselves as when sending Commercial Electronic Messages?

Broker

Sales agent

Salesperson

Broker of Record

20 / 20

Which of these types of property might be not subject to Capital Gains tax when sold?

A condominium which is the seller's main residence

An inherited property that the seller has never lived in

A seafront holiday home

A commercial property that is leased to tenants

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