ARIZONA REAL ESTATE REVISION EXAM QUESTIONS WITH
ANSWERS GUARANTEE A
✔✔Neutral Third Party is (Deed of Trust Situation): - ✔✔Trustee
✔✔Trustee holds (Deed of Trust Situation): - ✔✔Bare Legal Title
✔✔Bare Naked Title refers to: - ✔✔Power of Sale
✔✔Security agreement is (Deed of Trust Situation): - ✔✔Deed of Trust
✔✔Seller/Lender is the (Seller Financing Situation): - ✔✔Vendor
✔✔Buyer is the (Seller Financing Situation): - ✔✔Vendee
✔✔Names of Seller Financing (Seller Financing Situation): - ✔✔Land Contract,
agreement for sale, contract for deed.
✔✔Buyer doesn't make payments (Seller Financing Situation): - ✔✔Default
✔✔Defeasance Clause - ✔✔Debt has been satisfied/Lien not valid
✔✔Acceleration Clause - ✔✔Buyer Default, entire loan balance due
✔✔Deed in lieu of foreclosure - ✔✔No foreclosure process; buyer signs property to
lender. (Friendly Foreclosure)
✔✔Junior Loan - ✔✔Loan not in first position of priority.
✔✔Hypothecation - ✔✔Pledging property as security but retaining possession.
✔✔Forebearance - ✔✔Refraining from taking legal action.
✔✔Allodial - ✔✔Estate holding the potential of existing indefinitely, with free and full
ownership rights in the land by individuals (freehold).
✔✔Feudal - ✔✔Ancient system of land ownership where the king held title to all lands.
✔✔Bundle of Rights - ✔✔Ownership concept describing all legal rights that attach to the
ownership of property.
✔✔Fee Simple - ✔✔Maximum possible estate that one can possess.
, ✔✔Fee Tail - ✔✔Freehold estate that has potential of continuing forever but will
necessarily cease when first fee tail tenants lineal descendants die out.
✔✔Life estate - ✔✔Estate in real property that is limited to life of owner or life of
designee.
✔✔Life Tenant - ✔✔Individual possessing a life estate.
✔✔Dower - ✔✔Legal right/interest recognized in some states that wife acquires from
husband (acquired during marriage).
✔✔Curtesy - ✔✔The interest, recognized in some states, of a husband in property
owned by his wife at time of death.
✔✔Inchoat - ✔✔Incomplete, imperfect interest, begin but not completed.
✔✔Homestead - ✔✔Portion of value of primary residence protected from general
creditors.
✔✔Prior Appropriation - ✔✔Theory of water law based on, "first in time, first in right."
✔✔Water Table - ✔✔Natural level where water is found.
✔✔Accretion - ✔✔Gradual addition of land through natural causes.
✔✔Alluvion - ✔✔Material that constitutes the increase of soil on a shore or riverbank.
✔✔Erosion - ✔✔Loss of land due to being washed away by sudden/violent act of
nature.
✔✔Reliction - ✔✔Gradual recession of water from usual watermark, therefore increase
of land.
✔✔Littoral - ✔✔Rights of landowners on the shore of sea or ocean.
✔✔Riparian - ✔✔Rights of landowners on flowing waters.
✔✔Navigable Waters - ✔✔Body of water capable of carrying a commercial vessel.
✔✔Alienation Clause - ✔✔Requires borrower to pay off the loan when title transfers.
✔✔Acceleration Clause - ✔✔When buyer is declared in default; lender requires the
entire debt to be paid immediately,
ANSWERS GUARANTEE A
✔✔Neutral Third Party is (Deed of Trust Situation): - ✔✔Trustee
✔✔Trustee holds (Deed of Trust Situation): - ✔✔Bare Legal Title
✔✔Bare Naked Title refers to: - ✔✔Power of Sale
✔✔Security agreement is (Deed of Trust Situation): - ✔✔Deed of Trust
✔✔Seller/Lender is the (Seller Financing Situation): - ✔✔Vendor
✔✔Buyer is the (Seller Financing Situation): - ✔✔Vendee
✔✔Names of Seller Financing (Seller Financing Situation): - ✔✔Land Contract,
agreement for sale, contract for deed.
✔✔Buyer doesn't make payments (Seller Financing Situation): - ✔✔Default
✔✔Defeasance Clause - ✔✔Debt has been satisfied/Lien not valid
✔✔Acceleration Clause - ✔✔Buyer Default, entire loan balance due
✔✔Deed in lieu of foreclosure - ✔✔No foreclosure process; buyer signs property to
lender. (Friendly Foreclosure)
✔✔Junior Loan - ✔✔Loan not in first position of priority.
✔✔Hypothecation - ✔✔Pledging property as security but retaining possession.
✔✔Forebearance - ✔✔Refraining from taking legal action.
✔✔Allodial - ✔✔Estate holding the potential of existing indefinitely, with free and full
ownership rights in the land by individuals (freehold).
✔✔Feudal - ✔✔Ancient system of land ownership where the king held title to all lands.
✔✔Bundle of Rights - ✔✔Ownership concept describing all legal rights that attach to the
ownership of property.
✔✔Fee Simple - ✔✔Maximum possible estate that one can possess.
, ✔✔Fee Tail - ✔✔Freehold estate that has potential of continuing forever but will
necessarily cease when first fee tail tenants lineal descendants die out.
✔✔Life estate - ✔✔Estate in real property that is limited to life of owner or life of
designee.
✔✔Life Tenant - ✔✔Individual possessing a life estate.
✔✔Dower - ✔✔Legal right/interest recognized in some states that wife acquires from
husband (acquired during marriage).
✔✔Curtesy - ✔✔The interest, recognized in some states, of a husband in property
owned by his wife at time of death.
✔✔Inchoat - ✔✔Incomplete, imperfect interest, begin but not completed.
✔✔Homestead - ✔✔Portion of value of primary residence protected from general
creditors.
✔✔Prior Appropriation - ✔✔Theory of water law based on, "first in time, first in right."
✔✔Water Table - ✔✔Natural level where water is found.
✔✔Accretion - ✔✔Gradual addition of land through natural causes.
✔✔Alluvion - ✔✔Material that constitutes the increase of soil on a shore or riverbank.
✔✔Erosion - ✔✔Loss of land due to being washed away by sudden/violent act of
nature.
✔✔Reliction - ✔✔Gradual recession of water from usual watermark, therefore increase
of land.
✔✔Littoral - ✔✔Rights of landowners on the shore of sea or ocean.
✔✔Riparian - ✔✔Rights of landowners on flowing waters.
✔✔Navigable Waters - ✔✔Body of water capable of carrying a commercial vessel.
✔✔Alienation Clause - ✔✔Requires borrower to pay off the loan when title transfers.
✔✔Acceleration Clause - ✔✔When buyer is declared in default; lender requires the
entire debt to be paid immediately,
