1.
Every customer must sign the List First Estate Agency Conditions
Correct Answer
B. False
Explanation
The statement says that every customer must sign the List First Estate Agency Conditions, but this is not true. It implies that signing the conditions is a requirement for every customer, which is incorrect. There may be certain customers who are exempted from signing these conditions or have different terms and conditions. Therefore, the correct answer is False.
2.
We currently give the opportunity of an Advance to a customer
Correct Answer
C. After 14 days of listing at our marketing strategy, but might take longer and is subject to the customer meeting our Advance criteria
Explanation
The correct answer suggests that the opportunity of an Advance is given to a customer after 14 days of listing at the company's marketing strategy. However, it is important to note that this timeline might be extended if the customer does not meet the company's Advance criteria.
3.
What is a customer required to sign once they have passed DD and are formally offered an Advance?
Correct Answer
D. 1 document - the Advance Offer Doc
4.
How is the Agency Fee currently calculated in the Estate Agency Conditions
Correct Answer
B. Percentage of whichever is higher of the Advance or the Sale Price
Explanation
The agency fee is currently calculated as a percentage of whichever is higher between the advance and the sale price. This means that the fee will be based on the higher value between the two. For example, if the advance is higher than the sale price, the fee will be calculated based on the advance amount. On the other hand, if the sale price is higher than the advance, the fee will be calculated based on the sale price. This method ensures that the agency fee is fair and reflective of the actual transaction value.
5.
The customer is required to insure the property only until they take the Advance?
Correct Answer
B. False
Explanation
The customer is not required to insure the property only until they take the advance. This implies that the customer is not obligated to have insurance solely during the time they receive the advance. The statement is false because the customer may be required to insure the property for a longer duration, even after taking the advance.
6.
At what stage is the customer able to withdraw from the Advance Offer without paying any of our fees?
Correct Answer
A. Any time before the funds for the Advance are released (drawdown) & before we have sold the property
Explanation
The customer is able to withdraw from the Advance Offer without paying any fees at any time before the funds for the Advance are released (drawdown) and before the property is sold. This means that if the customer changes their mind or decides not to proceed with the offer, they can do so without any financial consequences as long as the funds have not been released and the property has not been sold.
7.
Will & Kate qualified for an Advance and want to use it for their onward purchase of their new home Kensington. The List First Estate Agency Conditions says Will & Kate have to use a Solicitor from the Nested Panel for their onward purchase.
Correct Answer
B. False
Explanation
The explanation for the answer "False" is that the statement mentions that Will & Kate have to use a Solicitor from the Nested Panel for their onward purchase. However, the question does not provide any information about whether or not Will & Kate have used a Solicitor from the Nested Panel. Therefore, we cannot determine whether the answer is true or false based on the information given.
8.
Victoria & David want to drawdown the Advance on 1 April 2019. When are they required to vacate the property?
Correct Answer
C. On or before the date they drawdown the Advance
Explanation
Victoria and David are required to vacate the property on or before the date they drawdown the Advance. This means that they need to move out of the property before they receive the funds from the Advance.
9.
Nested are happy to give an Advance if the Seller's existing mortgage stays in place on the property
Correct Answer
B. False
Explanation
The statement suggests that Nested is willing to provide an advance only if the seller's existing mortgage remains on the property. However, the correct answer is false, indicating that Nested does not require the seller's existing mortgage to stay in place for them to give an advance.
10.
We will reimburse the customer for their bills between drawdown of the Advance and the completion of the sale of their property
Correct Answer
B. False
Explanation
The statement is false because it states that the customer will be reimbursed for their bills between the drawdown of the Advance and the completion of the sale of their property. However, there is no mention of any reimbursement in the given statement. Therefore, the correct answer is false.
11.
Harry & Meghan came to Nested as they really need access to money ASAP. Our DD checks have been signed off and they have been offered an Advance! Will we give Harry & Meghan the Advance to pay for their round-the-world trip?
Correct Answer
D. No, because we only allow drawdown of the Advance if a customer has an onward purchase (or another specified purpose within our discretion which we agree to)
Explanation
The correct answer is that Harry & Meghan will not be given the Advance to pay for their round-the-world trip because Nested only allows drawdown of the Advance if a customer has an onward purchase or another specified purpose within their discretion. Since the purpose of their trip does not fall under the specified purposes, they are not eligible for the Advance.
12.
Why are we required to send the Advance Illustration to customers?
Correct Answer
B. Because the Advance is a regulated mortgage and the Financial Conduct Authority requires us to provide an illustration to customers
Explanation
The correct answer is because the Advance is a regulated mortgage and the Financial Conduct Authority requires us to provide an illustration to customers. This explanation states that the Advance is a regulated mortgage, meaning it is subject to certain rules and regulations set by the Financial Conduct Authority. As a result, it is mandatory for us to provide an illustration to customers, which helps them understand the terms and conditions of the mortgage. This ensures transparency and compliance with regulatory requirements.
13.
Bob & Barbarella are going through the Nested due diligence checks, and want to drawdown the Advance. They are able to request drawdown of the Advance at any time during the DD period by giving 10 working days notice to Nested, via their solicitors.
Correct Answer
B. False
Explanation
The given statement is false. Bob & Barbarella cannot request drawdown of the Advance at any time during the DD period by giving 10 working days notice to Nested, via their solicitors.
14.
If Elton & David are buying their next property before we have sold their current property and the SDLT on their onward purchase is £75,500, how much of this SDLT figure will Nested cover?
Correct Answer
A. The 3% SDLT Surcharge, up to £45,000
Explanation
Nested will cover the 3% SDLT surcharge on the onward purchase, up to a maximum of £45,000. This means that if the SDLT on their onward purchase is £75,500, Nested will cover the portion of the surcharge that is up to £45,000.
15.
In what document is the clause in relation to us paying the SDLT Surcharge?
Correct Answer
B. Estate Agency Conditions
Explanation
The clause in relation to paying the SDLT Surcharge is found in the Estate Agency Conditions document.