Real Estate Express Course Practice Exam

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