Download Real Estate Final Exam Questions and Answers and more Exams Real Estate Management in PDF only on Docsity!
REAL ESTATE FINAL EXAM QUESTIONS WITH 100% CORRECT
ANSWERS
"For about how much assessed value is the Homeowner's Property Tax Exemption? - CORRECT
ANSWER $7,000"
"Misuse of the real estate appraisal report or coercion of the appraiser are now: - CORRECT
ANSWER federal felonies."
"A person who is authorized by the Secretary of State to witness the acknowledgement of
documents is known as a(n): - CORRECT ANSWER notary public."
"A broker who mixes personal funds with his or her principal's funds is guilty of: - CORRECT
ANSWER commingling."
"Which of the following is NOT one of the forces that affect the value of a neighborhood? -
CORRECT ANSWER Past sales considerations"
"The federal civil rights law that applies to people with disabilities and protects them from
discrimination is the: - CORRECT ANSWER Americans with Disabilities Act"
"When prices rise due to shortages of available properties, it is known as a: - CORRECT
ANSWER seller's market."
"Other than the initial small deposit to open the account, when are money deposits the personal
property of the broker? - CORRECT ANSWER Never"
"Which "American" title insurance is usually requested by lenders? - CORRECT ANSWER ALTA
policy"
"Which of the following is a requirement of a lease? - CORRECT ANSWER length of lease
amount of rent names of parties"
"Which of the following is NOT an essential element of a real estate contract? - CORRECT
ANSWER Cash"
"The California Department of Veteran's Affairs loan program is commonly known as the: -
CORRECT ANSWER CalVet Program."
"The market data method (comparison approach) is the most common approach for: -
CORRECT ANSWER houses
condos vacant land"
"Which of the following is FALSE concerning a grant deed? - CORRECT ANSWER It is signed
only by the grantee."
"Which of the following is NOT a type of property lot? - CORRECT ANSWER Curb lot."
"The rate the borrower is actually paying (including interest, points, and loan fees) is called: -
CORRECT ANSWER the effective interest rate."
"The Real Estate Commissioner: - CORRECT ANSWER enforces the Real Estate Law."
"When an improvement is permanently attached to real property it becomes: - CORRECT
ANSWER real property."
"If the "exact" terms of the listing agreement are met, the listing broker is entitled to a
commission, even if the: - CORRECT ANSWER owner refuses to sell to the buyer."
"Which advisory form reminds the buyer and seller of the importance of investigating a property
before the sale? - CORRECT ANSWER Statewide Buyer and Seller Advisory"
"The term "EER" is used to measure: - CORRECT ANSWER energy efficiency (the higher the
better)"
"A lien placed on more than one parcel, all parcels having the same owner, is known as a: -
CORRECT ANSWER blanket encumbrance."
"If a rental property is sold, the rents of the tenants are: - CORRECT ANSWER prorated in
escrow."
"An incompetent person: - CORRECT ANSWER is of unsound mind
cannot individually contract must have court approval to contract"
"An "REIT" is a: - CORRECT ANSWER real estate investment trust."
"The cost of approach is most effective: - CORRECT ANSWER with new, unique, or public
buildings."
"In real estate, the person who acts for and with the authority of another is called a(n): -
CORRECT ANSWER agent."
"To be valid, a lease need NOT include the: - CORRECT ANSWER words "let or demise""
"Which of the following is an example of a voluntary lien? - CORRECT ANSWER Trust deed."
"Which word best describes the effects of income taxes as your income increases? - CORRECT
ANSWER Progressive"
"If a property is to be returned to the grantor after a life estate is terminated, it is referred to as
a(n): - CORRECT ANSWER estate in reversion."
"An information booth is called a(n): - CORRECT ANSWER kiosk."
"In a trust deed, the beneficiary is the: - CORRECT ANSWER lender."
"The original housing law in California that deals with discrimination in business is called the: -
CORRECT ANSWER Unruh Civil Rights Act."
"How many square feet are in an acre? - CORRECT ANSWER 43,560"
"Which of the following is an important tax date to remember? - CORRECT ANSWER
November 1 December 10 February 1" "A document given to a tenant stating that he or she must pay past due rent or vacate is known as
a(n): - CORRECT ANSWER three-day notice to pay"
"Which of the following would best describe an open listing? - CORRECT ANSWER
nonexclusive"
"Depreciation can be: - CORRECT ANSWER curable
incurable loss in value from any cause" "A mechanic's lien can be filed against a property by someone who has furnished which of the
following services? - CORRECT ANSWER landscaping
roofing plumbing" "You enter a hardware store where you have an account, pick up a pair of $5.00 pliers, and wave
them at the manager as you leave the store. This would be an example of a(n): - CORRECT
ANSWER implied contract."
"Which of the following is NOT a test to determine whether an item is a fixture? - CORRECT
ANSWER Date of purchase"
"Which of the following statements is FALSE concerning economic obsolescence? - CORRECT
ANSWER It is due to wear and tear."
"A Federal Estate tax return must be filed for any U.S. resident whose gross estate exceeds: -
CORRECT ANSWER $10,000,000."
"An outdated kitchen would be an example of: - CORRECT ANSWER functional obsolescence"
"The area of a rectangular lot that is 50 feet wide by 100 feet deep is: - CORRECT ANSWER
5,000 sq. ft."
"Real property consists of: - CORRECT ANSWER land and structures on the land
anything incidental to the land anything appurtenant to the land" "What is the section in the Residential Listing Agreement (Exclusive Authorization and Right to
Sell) that can entitle a broker to a commission even after the termination of the listing? -
CORRECT ANSWER Safety Clause"
"How many square feet are in 1 acre? - CORRECT ANSWER 43.560"
"A month-to-month rental agreement is usually a: - CORRECT ANSWER periodic tenancy."
"You are a landlord who discovers that one of your tenants is having new carpet installed in his
apartment without your consent. To protect yourself, you should file a(n): - CORRECT
ANSWER notice of non-responsibility."
"For all practical purposes, discrimination laws evolved from Title VIII of the Civil Rights Act of
1968, 13th Amendment to the U.S. Constitution, and the U.S. Supreme Court Case? - CORRECT
ANSWER Jones v. Mayer"
"The closing date is: - CORRECT ANSWER the date the documents are recorded."
"Which of the following is TRUE concerning negotiable instruments? - CORRECT ANSWER -
They are easily transferable from one person to another. -Promissory notes are considered negotiable instruments. -The most common example of a negotiable instrument is a personal check."
"The seller must provide the buyer of a condominium with: - CORRECT ANSWER the CC&Rs
the bylaws a copy of the most recent financial statement"
"Which of the following is considered the most popular real estate brokerage websites? -
CORRECT ANSWER realtor.com and zillow.com"
"If the prospective investor of real property is most concerned with making money off the
usefulness of the improvements, he or she would be most concerned with: - CORRECT
ANSWER economic life remaining in the improvements."
"An appraiser using the market approach collects many recent comparable sales. If a comparable property has a feature that is NOT present in the subject property, the estimated value of the
feature is: - CORRECT ANSWER subtracted from the sales price of the comparable."
"An oath or affirmation made before a notary public that the content of an instrument is true is
called a(n): - CORRECT ANSWER verification."
"Which of the following statements constitutes and example of progression? - CORRECT
ANSWER A home of lesser value is worth more when located among homes of greater value."
"An agent who intentionally shows minorities homes for sale in a minority neighborhood only and
refuses to communicate the availability of housing in other neighborhoods is guilty of: -
CORRECT ANSWER steering."
"Which of the following forms are included in the "Listing Package?" - CORRECT ANSWER -
Disclosure Regarding Real Estate Agency Relationship -Possible Representation of More than One Buyer or Seller - Disclosure and Consent -Wire Fraud and Electronic Funds Transfer Advisory"
"The acronym "CLTA" stands for: - CORRECT ANSWER California Land Title Association"
"Which of the following is true about the salesperson's exam? - CORRECT ANSWER 150
multiple choice questions lasts three hours and fifteen minutes requires 70% correct score to pass" "If a buyer defaults on a conditional sales purchase contract (land contract), who would file a
quiet title action to remove the cloud on the title? - CORRECT ANSWER Seller."
"The "Purchase Agreement Package" includes which of the following forms? - CORRECT
ANSWER -Disclosure Regarding Real Estate Agency Relationship
-Buyer's Inspection Advisory -Wire Fraud and Electronic Funds Transfer Advisory" "Noninstitutional lenders who usually lend their own money and then sell their loans to others
and service the loans are called: - CORRECT ANSWER mortgage bankers."
"A fee estate that is subject to particular limitations imposed by the grantor of the estate is called:
- CORRECT ANSWER a fee simple defeasible estate"
"Mello-Roos liens: - CORRECT ANSWER -require a seller and/or salesperson to disclose
-are municipal bonds -usually fund street improvements"
