Real Estate Law Exam Questions & Detailed Answers
2026–2027 Complete Review Guide
A house is under contract for sale; it has a built-in bookcase and a chandelier. The buyer has also agreed
to purchase a dinette set and a table lamp from the seller as well. Which is most correct? - correct
answers -The built-in bookcase and chandelier are included in the real estate contract, because they are
part of the real estate. The dinette and table lamp are chattels and would be sold separately.
All laws - state, county, municipal, private - must fit within the constraints of this document: - correct
answers -US CONSTITUTION
An item of personalty that is affixed to the realty so as to be used as part of it is: - correct answers -A
FIXTURE
Bob owns a bakery in Maplecrest, NJ. Business is not going well, and he is already a few payments
behind on his mortgage. The income from the bakery is not enough to repay his debt -- he owes Bank of
America $100,000 on his mortgage and the Maplecrest Credit Union $25,000 for a loan he took out to
buy his high-end baking oven. If BofA forecloses on his mortgage, will they be able to access the oven as
well as the property as security for the loan, since the oven has been attached to the floor of the
kitchen? - correct answers -No, as long as the credit union filed a UCC lien protecting its security interest
on the oven, the credit union gets the oven.
One of these is an example of a Federal Agency, empowered to enforce federal law: - correct answers -
environmental protection agency
One of these is an example of Federal Legislative Enactments: - correct answers -Comprehensive
Environmental Response, Compensation, and Liability Act (CERCLA)
1
,In In re North Carolina Swine Farm Nuisance Litigation, the court dealt with the issue of whether
plaintiffs possessed sufficient property interest to maintain a nuisance action. What did the court
decide? - correct answers -Yes, because they have shown that they are lawfully occupying the property
The following are examples of private laws - correct answers -. A Purchase and Sale Agreement
. Rules adopted by a Homeowner's Association
In Kelo v. City of New London, a redevelopment was challenged by homeowners whose homes would be
razed to make room for the new development. The homeowners challenged the government's ability to
take their homes. This case went all the way to the U.S. Supreme Court. What was the primary issue in
the case before the Supreme Court? - correct answers -Whether the City's redevelopment plan served a
"public purpose"
What is Case Precedent? - correct answers -1. Reliance on common law and prior court decisions to
resolve a dispute
2. Other parties can use and rely on a court's interpretation of similar facts or similar issues
3. Can be used as a guideline for contracts and transactions after a judicial decision
Real estate is best defined as... - correct answers -land and all permanent attachments
Should the is US Supreme Court hear challenges to changes in laws impacting climate change and the
environment, which of the following outcomes is likely with a more conservative court: - correct
answers -Environmental regulations could be loosened or rescinded, resulting in lower carbon emissions
standards, more national parkland becoming available for development, fewer wetlands subject to use
restrictions.
Susan Hewitt is a licensed broker in the State of NJ. She is confused as to her role in dealing with both
buyers and sellers in the same transaction. What sources of law would help her clarify her role with both
buyers and sellers? Select all that apply. - correct answers -- State laws on broker relationships
2
, -State brokerage licensing regulation
-The listing contract for the property
-Case law dealing with this issue
The state court system mimics the federal - trial level, appellate level and top level. In NJ, the Trial Court
is called: - correct answers -the superior court
This Amendment was added to the Constitution following the Civil War, and was necessary in order to
ensure that the southern states complied with the new federal laws providing citizenship status and
"equal protection of the laws" to former slaves. - correct answers -fourteenth amendment
What is the name of the Federal Agency responsible for management and conservation of federal lands
and natural resources? - correct answers -Department of the Interior
Which constitutional amendment requires that the federal government cannot take private property
and convert it to public use without due process and just compensation? - correct answers -fifth
amendment
Which government branches have laws that impact real estate transactions? - correct answers -Federal
State
County
Correct! City and/or Borough
Which is not considered a permanent attachment to land? - correct answers -chattels
Which of the following is not real property? - correct answers -monthly rent
3
2026–2027 Complete Review Guide
A house is under contract for sale; it has a built-in bookcase and a chandelier. The buyer has also agreed
to purchase a dinette set and a table lamp from the seller as well. Which is most correct? - correct
answers -The built-in bookcase and chandelier are included in the real estate contract, because they are
part of the real estate. The dinette and table lamp are chattels and would be sold separately.
All laws - state, county, municipal, private - must fit within the constraints of this document: - correct
answers -US CONSTITUTION
An item of personalty that is affixed to the realty so as to be used as part of it is: - correct answers -A
FIXTURE
Bob owns a bakery in Maplecrest, NJ. Business is not going well, and he is already a few payments
behind on his mortgage. The income from the bakery is not enough to repay his debt -- he owes Bank of
America $100,000 on his mortgage and the Maplecrest Credit Union $25,000 for a loan he took out to
buy his high-end baking oven. If BofA forecloses on his mortgage, will they be able to access the oven as
well as the property as security for the loan, since the oven has been attached to the floor of the
kitchen? - correct answers -No, as long as the credit union filed a UCC lien protecting its security interest
on the oven, the credit union gets the oven.
One of these is an example of a Federal Agency, empowered to enforce federal law: - correct answers -
environmental protection agency
One of these is an example of Federal Legislative Enactments: - correct answers -Comprehensive
Environmental Response, Compensation, and Liability Act (CERCLA)
1
,In In re North Carolina Swine Farm Nuisance Litigation, the court dealt with the issue of whether
plaintiffs possessed sufficient property interest to maintain a nuisance action. What did the court
decide? - correct answers -Yes, because they have shown that they are lawfully occupying the property
The following are examples of private laws - correct answers -. A Purchase and Sale Agreement
. Rules adopted by a Homeowner's Association
In Kelo v. City of New London, a redevelopment was challenged by homeowners whose homes would be
razed to make room for the new development. The homeowners challenged the government's ability to
take their homes. This case went all the way to the U.S. Supreme Court. What was the primary issue in
the case before the Supreme Court? - correct answers -Whether the City's redevelopment plan served a
"public purpose"
What is Case Precedent? - correct answers -1. Reliance on common law and prior court decisions to
resolve a dispute
2. Other parties can use and rely on a court's interpretation of similar facts or similar issues
3. Can be used as a guideline for contracts and transactions after a judicial decision
Real estate is best defined as... - correct answers -land and all permanent attachments
Should the is US Supreme Court hear challenges to changes in laws impacting climate change and the
environment, which of the following outcomes is likely with a more conservative court: - correct
answers -Environmental regulations could be loosened or rescinded, resulting in lower carbon emissions
standards, more national parkland becoming available for development, fewer wetlands subject to use
restrictions.
Susan Hewitt is a licensed broker in the State of NJ. She is confused as to her role in dealing with both
buyers and sellers in the same transaction. What sources of law would help her clarify her role with both
buyers and sellers? Select all that apply. - correct answers -- State laws on broker relationships
2
, -State brokerage licensing regulation
-The listing contract for the property
-Case law dealing with this issue
The state court system mimics the federal - trial level, appellate level and top level. In NJ, the Trial Court
is called: - correct answers -the superior court
This Amendment was added to the Constitution following the Civil War, and was necessary in order to
ensure that the southern states complied with the new federal laws providing citizenship status and
"equal protection of the laws" to former slaves. - correct answers -fourteenth amendment
What is the name of the Federal Agency responsible for management and conservation of federal lands
and natural resources? - correct answers -Department of the Interior
Which constitutional amendment requires that the federal government cannot take private property
and convert it to public use without due process and just compensation? - correct answers -fifth
amendment
Which government branches have laws that impact real estate transactions? - correct answers -Federal
State
County
Correct! City and/or Borough
Which is not considered a permanent attachment to land? - correct answers -chattels
Which of the following is not real property? - correct answers -monthly rent
3
