2ND REAL ESTATE TEST 2026 PRACTICE
QUESTIONS AND CORRECT ANSWERS
DETAILED EXPLANATIONS COMPLETE
REAL ESTATE STUDY GUIDE
Prepayment - CORRECT ANSWER-Although rare, which penalty clause
warns borrowers they may be responsible for additional interest if they
repay their mortgage before a specified date
Easement appurtenant - CORRECT ANSWER-What describes a neighbor's
permanent right to use another's land for their own benefit
Do Not Call Implementation Act of 2003 - CORRECT ANSWER-Evan has
his home and cell number on the Do Not Call Registry. He received an
unwanted solicitation call from a new real estate licensee in the city. He told
the licensee his number is on the Do Not Call Registry and that he does not
wish to do business with the licensee. A few days later, he got another
unwanted call from the licensee. What federal act is the licensee possibly
violating
Benchmark - CORRECT ANSWER-What's the permanent marker used
primarily for marking datums when measuring elevation?
Property owners and property managers - CORRECT ANSWER-Who is
responsible for ensuring accessibility requirements for a commercial
property are met?
,$208,000 - CORRECT ANSWER-Your buyer client Heather just signed a
purchase agreement for a $520,000 home. The LTVR is 60%. How much is
Heather putting down on the purchase
Percentage - CORRECT ANSWER-Tyra owns a nail salon. Her salon is
located in a strip mall, and her rent every month includes an $1,800 base
and 10% of her gross sales. What kind of lease does Tyra have?
This is an accrued expense and will appear as a seller debit and a buyer
credit. - CORRECT ANSWER-Danette hasn't paid the first quarter water
bill on her property that was due on April 1. She's closing with her buyer,
Jason, on April 1. What type of expense is this and how will it appear on the
settlement statement
1,600 - CORRECT ANSWER-A property appraises at $320,000. If the
assessment rate is 100% and the tax rate is $1 per $100, what are the semi-
annual property taxes
$1.74 - CORRECT ANSWER-The market value of your client's property is
$280,000. Taxes in the area are assessed at 60% of market value. Your
client's semi-annual tax bill was $1,461. What's the tax rate per 100?
Positive means intentional; inadvertent means it wasn't intentional. -
CORRECT ANSWER-What is the difference between positive
misrepresentation and inadvertent misrepresentation
, Debit - CORRECT ANSWER-What's the term for a charge that either party
has to pay at closing
Effective gross income - CORRECT ANSWER-Income after losses from
vacancies and credit losses are deducted from potential gross income
encroachment - CORRECT ANSWER-The neighbor installed a basketball
hoop next to his driveway, six inches over the property line.
Point of beginning - CORRECT ANSWER-Key consideration and starting
reference for a metes and bounds description?
Review purchase agreement with an attorney - CORRECT ANSWER-
Reggie has thoroughly reviewed the purchase agreement with his clients,
the Arnolds, and has ensured that they understand all of the terms and
provisions. What should Reggie do next?
Gross - CORRECT ANSWER-Charlie, who owns and leases out a
commercial building, pays taxes, maintenance, and insurance on the
building. What type of lease agreement does Charlie have with his tenants
Elements and units - CORRECT ANSWER-What are the two categories of
comparison when evaluating comparables to a subject property in
the market comparison approach?
QUESTIONS AND CORRECT ANSWERS
DETAILED EXPLANATIONS COMPLETE
REAL ESTATE STUDY GUIDE
Prepayment - CORRECT ANSWER-Although rare, which penalty clause
warns borrowers they may be responsible for additional interest if they
repay their mortgage before a specified date
Easement appurtenant - CORRECT ANSWER-What describes a neighbor's
permanent right to use another's land for their own benefit
Do Not Call Implementation Act of 2003 - CORRECT ANSWER-Evan has
his home and cell number on the Do Not Call Registry. He received an
unwanted solicitation call from a new real estate licensee in the city. He told
the licensee his number is on the Do Not Call Registry and that he does not
wish to do business with the licensee. A few days later, he got another
unwanted call from the licensee. What federal act is the licensee possibly
violating
Benchmark - CORRECT ANSWER-What's the permanent marker used
primarily for marking datums when measuring elevation?
Property owners and property managers - CORRECT ANSWER-Who is
responsible for ensuring accessibility requirements for a commercial
property are met?
,$208,000 - CORRECT ANSWER-Your buyer client Heather just signed a
purchase agreement for a $520,000 home. The LTVR is 60%. How much is
Heather putting down on the purchase
Percentage - CORRECT ANSWER-Tyra owns a nail salon. Her salon is
located in a strip mall, and her rent every month includes an $1,800 base
and 10% of her gross sales. What kind of lease does Tyra have?
This is an accrued expense and will appear as a seller debit and a buyer
credit. - CORRECT ANSWER-Danette hasn't paid the first quarter water
bill on her property that was due on April 1. She's closing with her buyer,
Jason, on April 1. What type of expense is this and how will it appear on the
settlement statement
1,600 - CORRECT ANSWER-A property appraises at $320,000. If the
assessment rate is 100% and the tax rate is $1 per $100, what are the semi-
annual property taxes
$1.74 - CORRECT ANSWER-The market value of your client's property is
$280,000. Taxes in the area are assessed at 60% of market value. Your
client's semi-annual tax bill was $1,461. What's the tax rate per 100?
Positive means intentional; inadvertent means it wasn't intentional. -
CORRECT ANSWER-What is the difference between positive
misrepresentation and inadvertent misrepresentation
, Debit - CORRECT ANSWER-What's the term for a charge that either party
has to pay at closing
Effective gross income - CORRECT ANSWER-Income after losses from
vacancies and credit losses are deducted from potential gross income
encroachment - CORRECT ANSWER-The neighbor installed a basketball
hoop next to his driveway, six inches over the property line.
Point of beginning - CORRECT ANSWER-Key consideration and starting
reference for a metes and bounds description?
Review purchase agreement with an attorney - CORRECT ANSWER-
Reggie has thoroughly reviewed the purchase agreement with his clients,
the Arnolds, and has ensured that they understand all of the terms and
provisions. What should Reggie do next?
Gross - CORRECT ANSWER-Charlie, who owns and leases out a
commercial building, pays taxes, maintenance, and insurance on the
building. What type of lease agreement does Charlie have with his tenants
Elements and units - CORRECT ANSWER-What are the two categories of
comparison when evaluating comparables to a subject property in
the market comparison approach?
