Explanation: A real estate professional’s responsibility regarding property taxes is to disclose factual information about them to buyers. This includes accurately sharing what the current property taxes are, based on official records, and explaining that they may change after reassessment. The agent does not determine whether the taxes were correctly assessed, as that is the role of the taxing authority. Likewise, the agent does not assist with paying property taxes at closing that is handled by the settlement process and is not responsible for testifying at tax hearings. The duty is simply to provide truthful, factual disclosure so the buyer can make an informed decision.

Explanation: Blanket mortgage is specifically designed to cover two or more properties under a single loan, often used by builders and developers. An oversecured loan isn’t a loan type but simply describes when collateral exceeds the loan amount. A package mortgage includes both real property and personal property (such as appliances) as collateral, not multiple properties. A wrap-around mortgage incorporates an existing loan into new financing but doesn’t allow multiple properties to serve as collateral. Thus, the only loan type fitting this situation is the blanket mortgage.

Explanation: The instruments most commonly used to secure the purchase of real property are a promissory note and a mortgage. The promissory note is the borrower’s written promise to repay the loan, while the mortgage serves as the security instrument giving the lender rights to the property if repayment fails. A deed of trust and promissory note serve the same function in some states but are not used together with a mortgage. A mortgage and deed of trust are alternatives, not combined instruments, and a mortgage and lease have no connection in securing property financing.

Explanation: In Virginia, an individual may own up to four single-family houses and still be exempt from fair housing laws. Owning five exceeds the exemption limit, while two or three understate the actual threshold allowed. This exemption is narrow and comes with conditions, but four is the maximum number permitted.

Explanation: Need $370,000 net; divide by 0.93 ~ $397,849; closest choice is $396,450; others are far too low.