Real Estate Express Course Practice Exam

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• Trade fixtures are best described as
• Which statement best describes an executory contract?
• Which statement best describes the NOT a determinant of value?
• Two important concerns of retail property users are
• Which entity insures FHA loans?
• What distinguishes a pur autre vie life estate from an ordinary life estate?
• Encumbrances and police powers are:
• Two witnesses are present when someone expresses a desire that her estate pass to her husband; one witness signs the statement. This is an example of
• A Bilateral Contract is defined as:
• The purpose of the recovery fund is to
• A town has a rapidly growing population, but there are no longer any vacant lots around the lake to build more houses. In this case, it is likely that the price of existing homes on the lake
• In the foreclosure scenario, what is the amount of deficiency after the sale?
• A property owner can avert the danger of losing title by adverse possession by
• Which statement best describes the focus of developers?
• Which type of contract is typically enforceable because it is in writing and formally executed?
• At which point are the buyer's obligations to pay determined by their debits and credits?
• An Implied Contract is defined as:
• Real property includes ownership of a bundle of rights. Which statement is true?
• Which event terminates an offer due to time expiration?
• In an easement scenario, the burdened property is referred to as the servient estate.
• Which lien arises when a property owner is not paid for labor or materials used in improving the property?
• A defaulting borrower may avoid foreclosure by giving the mortgagee
• If a landlord dies during a one-year lease, the tenant must
• A landlord and tenant complete a one-year lease. The following week, the landlord dies. Which of the following is true?
• What is the primary purpose of the Statute of Frauds?
• Which of the following best describes who is entitled to a commission in an Open Listing?
• What is meant by a 'lien-theory' state?
• How many acres would 1/4 section be?
• Upon the death of the owner, a life estate passes to
• Constructive notice of ownership is primarily demonstrated through
• Which professionals are most concerned with procuring buyers and sellers for clients?
• A property survey reveals that a new driveway extends one foot onto a neighbor's property. This is an example of
• In an estate in trust, who is the party who creates the trust?
• Which statement describes an informal contract?
• Mutual rescission means what?
• What is the starting point in a Metes and Bounds description?
• If a lumber yard is unpaid after a contractor's work, what potential problem may the homeowner face?
• Who holds ultimate authority over water resources under the doctrine described?
• What does ECOA ensure?
• To be marketable, title must be
• What is emblement?
• What is the fundamental purpose of recording instruments that affect real property?
• Informal Contract is:
• Which of the following happens when a leased property is sold?
• Which statement best describes a leasehold estate?
• A local government could stimulate the real estate market by
• Discount points in a mortgage are best described as fees paid to:
• Which lien is typically placed to secure payment for current-year real estate taxes?
• The primary distinction between the legal concepts of real estate and real property is that
• Novation means what?
• What does 'Time is of the Essence' mean in contract terms?
• A mortgage that is subordinate to another mortgage is called a?
• Which statement best describes a formal contract?
• The regulator responsible for brokerage practices is empowered by state law to
• Which of the following terms refers to the rights of a property that abuts a stream or river?
• A person wishes to convey any and all interests in a property without assurances as to encumbrances. Which deed is appropriate?
• A veteran with full entitlement allows another veteran to assume his VA loan without VA approval. Can he immediately obtain another VA loan?
• A one-year lease on a house has expired, but the tenant continues sending monthly rent checks to the owner, and the owner accepts them. What kind of leasehold estate exists?
• An Expressed Contract is defined as:
• Under RESPA, the uniform settlement statement is required for which type of loan transaction?
• Escheat is the process by which the government claims ownership when there are no heirs or a valid will. Which entity takes the property in this scenario?
• In an Exclusive Agency listing, if the owner sells the property without using the broker, what happens to the broker's commission?
• Rectangular Government Survey: In this form, principal meridians run in which direction?
• A defeasible fee simple estate may revert to the grantor if
• Which statement is true about a cooperative?
• What is the Internal Revenue Service's Form 1099-S?
• A brick fence straddling the property line of two neighbors, with an agreement not to damage it, is an example of what legal concept?
• Who is responsible for managing portfolios of properties?
• A grocer temporarily installs special fruit and vegetable coolers in leased grocery store to prevent spoilage. The coolers would be considered
• What describes a counteroffer?
• Which of the following is considered real property?
• Which organization has the public mission to help more families achieve the American Dream of homeownership?
• Under the Mirror Image rule in real estate contracts, which statement describes when a contract is formed?
• Unlike tenants in common, joint tenants
• For a deed to convey title, it is necessary for the deed to be
• When a single individual or entity owns a fee or life estate in real property, the type of ownership is
• When a property with an existing lease is sold, the buyer takes title
• Which document is used to document the payment of transfer tax?
• How should a legal description be written?
• In a scenario where liens were recorded at different times and a current-year tax lien exists, which lien would generally take priority after the tax lien?
• In a bilateral contract, both parties are obligated to perform because:
• Owner's equity is best described as?
• Which of the following is a form of a legal description?
• The level of government most active in regulating real estate licensees is?
• Three people have identical rights but unequal shares in a property, share an indivisible interest, and may sell or transfer their interest without consent of the others. This type of ownership is
• The period after acceptance but before closing is characterized as:
• Which term describes a form of ownership that is not a co-ownership?
• Which term describes an intrusion of a structure or extension onto a neighbor's property?
• Under the littoral rights doctrine, who owns the land beneath a navigable lake?
• Volume of a triangular prism is calculated using which formula?
• How many square miles is a township?
• Surface rights, air rights and subsurface rights are
• What part of a non-navigable waterway does the owner of an abutting property own?
• Which is the best evidence of marketable title in a non-Torrens system?
• Lot and Block on a plat map is a form of legal description that uses lot and block designations.
• The Department of Housing and Urban Development (HUD) was created to:
• 1 cubic yard equals how many cubic feet?
• Which infrastructure improvement is listed as a potential way to stimulate real estate markets?
• When an owner leases her property, she temporarily relinquishes the right to
• Which unit is commonly used for describing parcel areas on a plat map for small residential lots?
• Which of the following is included in the bundle of rights inherent in ownership?
• In a scenario where a hermit secretly occupies a 200-acre property for 20 years and then asserts ownership, the claim will likely be
• The major sources of real estate law are legislation at federal, state and local level, and
• If a buyer requests discount points to below-market interest rate, which statement describes this arrangement?
• An item can be converted from real to personal property and vice versa by means of which processes?
• Which of the following is the best definition of real estate?
• Area of a triangle is calculated using which formula?
• A clause in a mortgage releasing the indebtedness once the loan is paid off is called?
• In an Exclusive Right to Sell contract, who is entitled to a commission?
• Who is primarily responsible for the day-to-day leasing and maintenance of rental properties?
• HUD's mission includes expanding opportunities for home ownership and what else?
• A construction boom in a market is an indication that prices (Rephrased)
• Which scenario illustrates the legal concept of elective share?
• In a cooperative, which form of ownership do residents typically hold?
• Which term describes the buyer's interest in a property between acceptance and closing?
• Earnest money deposit is best described as:
• Another name for a Lender Policy is
• With the exception of a Torrens certificate, the best evidence of marketable title is
• A blanket mortgage is commonly used to finance what?
• Marketable title must be free of undisclosed defects and encumbrances. Which statement about this is true?
• Which element is explicitly required in a typical deed's conveyance clause?
• Which of the following items are paid in arrears?
• How many sections are in a township?
• A unique feature of a land trust is that
• If a person dies intestate with several heirs, the property will
• Dower refers to a wife's life estate in her husband's property.
• Impossibility of performance arises when?
• Formal Contract is:
• Which term describes a will made orally before witnesses that is typically unenforceable?
• Which is the oldest form of legal description?
• Which tax is levied at the time of recording a deed or similar transaction?
• Datum is defined as what?
• If a license applicant signs up to take the state exam but has not obtained an employer, what license status may they receive?
• A person claims ownership of a parcel by living on it for five years and showing a deed to a prospective buyer. The legal basis of this claim is referred to as
• Common method of specializing in real estate brokerage is by?
• If the amount realized at foreclosure sale is more than the indebtedness, the excess belongs to?
• What is the basic difference between an FHA loan and a VA loan?
• Volume of a rectangular solid is calculated using which formula?
• ________ guaranty allows mortgage lenders to obtain a better price for their mortgage loans available.
• What is the name of the one-time tax levied on recording a property transaction?
• Which statement about land's characteristics is accurate?
• The term commercial property generally refers to which types?
• How many acres are in a section?
• Is an offer to purchase a contract?
• A promissory note would usually contain all of the following EXCEPT?
• The 'four unities' required to create a joint tenancy include which of the following conditions?
• Area is typically expressed in which units?
• What guarantees the right of private ownership of real estate in the United States?
• A property owner who is selling her land wants to control how it is used in the future. She might accomplish her aim by means of
• One acre equals how many square feet?
• What is the term for a final payment that is larger than the monthly payments because the loan was not fully amortized?
• The primary distinction between the legal concepts of land and real estate is that
• Who are the essential parties involved in an estate in trust?
• In an Exclusive Agency listing, which is true?
• The right to use real property is limited by
• In retail property planning, which two factors are important concerns?
• The VA benefit from the department of Veteran's Affairs for a veteran approved home loan guarantees that:
• The foremost factor contributing to commercial and residential demand in a market is
• A broker operating near a state line has a buyer from an adjoining state who wants to see homes on both sides. What is the rule?
• What does the Parol Evidence Rule state?
• The purpose of a covenant clause in a deed of conveyance is to
• In a community property state, which statement correctly describes property acquired during marriage vs before?
• Under an installment land contract, the seller retains which type of title until completion of payments?
• The term that describes the public record of ownership and interests in real estate that can affect title is
• Volume is typically expressed in which units?
• Which pair of items is paid in advance?
• The Statute of Frauds is best described as which of the following?
• What kind of a loan would be fully paid out over the life of the loan?
• Which of the following is an example of intangible property?
• Which type of mortgage is typically available to veterans with no required down payment?
• The term for an item that becomes real property when affixed to land is
• When an exclusive right to sell has been signed, what describes the type and status of this contract?
• Foreclosure would terminate which right?
• A court renders a judgment that authorizes a lien against the defendant's house, car, and personal belongings. This is an example of a
• Which case would likely require a real estate license?
• Which statement describes what occurs if the seller makes changes to the buyer's offer?
• A mortgage clause that cancels the debt when it is paid is known as?
• The distinguishing features of a condominium estate are
• The remedy to recover the unpaid balance after foreclosure is called a?
• Metes and Bounds relies on monuments and what starting point?
• How is a conventional life estate created?
• A prorated expense on the settlement statement is
• Which term describes land rights alongside a lake or sea?
• One difference between a cooperative estate and a condominium estate is that
• Which statement about a freehold estate is true?
• To obtain a VA loan, a veteran must obtain what document from the VA?
• Which statement best describes proration at closing?
• Price is best described as
• Documentary stamps are used to
• The only required clause in a deed of conveyance is one that
• Which act constitutes termination of a contract by operation of law?
• Which of the following items are examples of closing items not prorated between buyer and seller?
• Assignment of a contract means what?
• If someone dies with no legal heirs or relatives and leaves no valid will, what happens to real property?
• In office property considerations, which two factors are noted as important?
• A document used to itemize closing costs and credits in a federally related mortgage loan is the
• What does loan-to-value ratio measure?
• The retained interest of the owner after granting a lease is called
• The undersupply scenario is an example of the market tending toward what state?
• A property owner has an easement appurtenant on her property. When the property is sold to another party, the easement
• What is the "Doctrine of Prior Appropriation"?
• The Equal Credit Opportunity Act (ECOA) ensures that all consumers are given an equal chance to obtain credit. This doesn't mean all consumers who apply for credit get it; factors such as income, expenses, debt, and credit history are considerations for creditworthiness.
• If an offer to purchase real property has been presented to a seller, but not accepted, the offer may be withdrawn by the buyer at any time.
• Which statement best describes the secondary mortgage market?
• What are the three unique physical characteristics of land?
• A mortgage that ranks below another lien on the same property is called a?
• What is the primary danger of allowing an encroachment?
• Which is NOT an agency that buys loans in the secondary market?
• Executed Contract means:
• An affirmative easement gives the benefited party
• Which deed type provides protection against title defects arising during the entire history of the property?
• License regulators may take punitive actions against which behavior?
• Which agency primarily insures or guarantees loans rather than purchasing them in the secondary market?
• In a land trust, which statement is true?
• A lease contract is best described as
• An important difference between a judicial foreclosure and a non-judicial foreclosure is
• A prefabricated shed not yet assembled on a parcel is most accurately described as
• If a broker's license is suspended for violating license law, the licenses of her salespeople are
• The way to determine the identity of a property is called
• Which of the following describes a situation in which an easement might be created against the wishes of the property owner?
• Which form of financing would be the greatest risk to the buyer?
• Which of the following is an important economic characteristic of real estate?
• Executory Contract means:
• Under RESPA, a uniform settlement statement must be used whenever
• Which statement is true about Rectangular Government Survey?
• In a foreclosure, which lien is paid first?
• What is the primary purpose of the covenant clause in a deed?
• Under a Torrens system, title transfer occurs
• Bench marks are what?
• A typical township measures 36 square miles. Which statement is true?
• Which statement best describes the purpose of fixture analysis in real estate transactions?
• At closing, which statement is true?
• The principal role of the real estate commission is to
• 1 square yard equals how many square feet?
• The purpose of the closing event is to
• Area of a rectangle is calculated using which formula?
• If a sale contract indicates that the day of closing is 'the seller's day,' this means that
• In an installment land contract, what type of title did the seller retain until the loan is paid?
• What is the primary thrust of federal involvement in real estate law?
• An interest in real estate is best defined as ownership of
• The secondary mortgage market is best described as a system that primarily serves as what?
• The bench mark is described as what kind of marker?
• Which of the following items are paid in advance?
• The Statute of Frauds originated as part of which legal tradition?
• What distinguishes a freehold estate from a leasehold estate?
• Which statement describes the transfer of title under the Torrens system?
• Which description best describes 'legal title' to real estate?
• Which statement characterizes an Open Listing?
• Which deed offers the most complete protection for the grantee?
• Which level of government controls zoning laws?
• The amount a buyer owes at closing is equal to the excess of the buyer's debits over the buyer's credits.
• Liquidated damages refer to which of the following?
• Which statement best describes the relationship between surface, air, and subsurface rights?
• Which of the following is true of a homestead?
• Which of the following life estates is created by someone other than the owner?
• In a joint tenancy, what happens to the deceased owner's interest?
• The distinguishing feature of a defeasible fee simple estate is that
• Four principal determinants of value underlying the price for a product are
• Which types are included in commercial property?
• Which pair of items is paid in arrears and typically prorated between buyer and seller?
• What must the lender do to recover the $11,000 deficiency after foreclosure sale where the sale price is $29,000 and the loan balance is $40,000?
• What determines whether an item is a fixture or personal property?
• Degrees in Metes and Bounds are compass headings based on which circle?
• A loan of $60,000 with 2.5 discount points results in how much cash paid at closing?
• Area and volume share what type of measurement distinction?
• Which statement accurately describes HUD's purpose in stabilizing mortgage markets?
• Actual Title is defined as:
• A construction boom in a market is an indication that prices
• Which factor is not typically considered by a lender when evaluating a mortgage loan application?
• Which statement best describes the concept of legal title?
• If a sale contract states that a buyer is to pay the seller's title insurance expenses and this is not customary in the area, the buyer must
• In a community property state, a basic distinction is made between
• Who owns the property in a time-share estate?
• Which of the following is included in the legal concept of land?
• If both parties breach, what may occur?
• Which instrument is used by a borrower to avoid foreclosure by transferring ownership to the lender?
• The amount of a loan expressed as a percentage of the value of the property offered as security is called what?
• Which instrument allows the holder to transfer the easement back to the grantor?
• The process of enforcing a lien by forcing sale of the lienee's property is called
• If a quarter section equals 160 acres, what is a half section in acres?
• There are two adjoining properties. An easement allows property A to use the access road that belongs to property B. In this situation, property A is said to be which of the following in relation to property B?
• A pur autre vie life estate ends when the life of which person?
• ________ mission is to increase home ownership, support community development, and increase access to affordable housing free from discrimination.
• When a tenant acquires a leasehold estate through a lease, what does the property owner acquire?
• Why should an Exclusive Right to Sell contract be in writing?
• How many acres are in one square mile?
• Which deed conveys an interest in real estate without promising to defend the title against any defects?
• People in real estate who primarily focus on creating new properties are called?
• Under the Statute of Frauds, leases longer than how many years must be in writing to be enforceable?
• A property owner allows a neighbor to cross his property as a shortcut to her school bus. If the owner dies, what best describes the nature of that right and its fate?
• Under the doctrine of littoral rights, an owner claims ownership of all of the land underlying a lake where there are three other abutting property owners. Which of the following is true?
• What is the primary distinction between property management and asset management?
• What is the instrument that records the history of the property?
• An advisory service provider is defined as?
• A Unilateral Contract is defined as:
• What distinguishes a lien from other types of encumbrance?
• How many feet in a mile?
• An instrument evidencing one person owing another money is a?
• How many miles long and how many miles wide is a section?
• The lien priority of junior liens can be changed by a lienor's agreement to
• Discount points are paid to do what?
• Dower refers to
• Which statement describes the leasehold estate?
• Which term describes sole ownership of real property by one owner?
• Easements and encroachments are types of
• If rental prices in a market are falling, what market condition is most likely? (Rephrased)
• Among junior liens, the order of priority is generally established according to
• If a person dies intestate, his property would pass according to
• Which statement accurately describes a license as used in real estate rights?
• A developer building a new subdivision would most likely obtain which type of mortgage to cover multiple parcels?
• Which encumbrance is defined by a monetary claim against the property's value?
• Which of the following is a recognized remedy for breach of contract?
• Which statement correctly distinguishes a unilateral listing contract from a bilateral listing contract?
• Two important concerns of office property users are
• Which term describes a contract that has been fully performed?
• What does a counteroffer do to the original offer?
• Plat Map describes legal descriptions in residential lots of less than what size?
• If there is a significant undersupply of homes in a market, construction will tend to increase. This is an example of
• An owner transfers title to a property to a buyer in exchange for a consideration. This is an example of
• What is chain of title?
• If rental prices in a commercial real estate market are falling, what market condition is most likely?
• The Statute of Limitations provides what type of time frame?
• In an Exclusive Agency listing, if the owner sells the property personally, what happens to the broker's commission?
• The highest form of ownership interest one can acquire in real estate is the
• A buyer's financing arrangements are often concluded at closing because