Answers:

Sales:

1. Answer c. Common Law.

It is common law that dictates that no instruction can be subcontracted to another agent without permission from the client.

2. Answer b. The concept of best practice.

No law dictates that Business Terms and Conditions must be signed. However, as proof of acceptance, it is ‘best practice’ that they be signed.

3. Answer b. £2,400

Properties between £125,001 and £250,000 would pay stamp duty land tax at a rate of 2% on the amount above the £125,000 threshold ie 2% of £120,000 = £2,400.

4. Answer b. Crumbling plaster

Condensation wets the plaster and over time causes it to soften and lose strength so it begins to crumble apart. If condensation occurs on timber, for example window frames, they will deteriorate with wet rot. Dry and brittle timbers is a sign of dry rot not wet rot. Roof leaks come from elsewhere and would not be caused by condensation, nor would condensation cause diagonal cracking.

Lettings:

1 Answer d. Permitted occupier.

The fifth person is a permitted occupier having joint and several liability with the four tenants.

2. Answer d. 14

Legislation states that a 14-day cooling off period needs to be given.

3. Answer b. The legislation says it must be given within 21 days

4. Answer d. Once both agreements have been signed and returned to your agency

If both the landlord and tenant are in agreement then the tenancy can be renewed for a further fixed term. Once the agreements have been drawn up a copy is sent to both the landlord and tenant for signing. Once the agreements are returned the letting agent would execute the document to make it binding by adding the new tenancy start date.