Real Estate Principles Latest Exam
2024
1. Zoning is under the control of:
a. private parties.
b. government agencies.
c. the Bureau of Real Estate.
d. none of the above. - ANSWER b. government agencies.
2. Easements appurtenant are for the benefit of:
a. homesteaded landowners.
b. adjoining (neighboring) landowners.
c. the general public.
d. government use only. - ANSWER b. adjoining (neighboring) landowners.
3. A contract that is binding and enforceable in a court of law is said to be:
a. proprietary.
b. illusory.
c. valid.
d. all of the above. - ANSWER c. valid.
4. Who makes an offer on a property that is for sale?
a. Seller's agent
b. Offeree (Seller)
c. Offeror (Buyer)
d. All oft he above - ANSWER c. Offeror (Buyer)
5. Escrows base monthly prorations on how many days?
,Real Estate Principles Latest Exam
2024
a. 28
b. 29
c. 30
d. 31 - ANSWER c. 30
6. The process of proportionally dividing rents, property taxes, and fire insurance is called:
a. subdividing.
b. title splitting.
c. proration.
d. escrow debiting - ANSWER c. proration.
7. The area of a rectangular lot that is 50 feet wide by 100 feet deep is:
a. 2,500 sq. ft.
b. 500 sq. ft.
c. 5,000 sq. ft.
d. 50,000 sq. ft - ANSWER c. 5,000 sq. ft.
8. If the Internal Revenue Service is using a minimum of 39 years for straight-line depreciation on
commercial properties, what would be the annual depreciation on a newly constructed apartment
that cost $1,950,000 and had an original land cost of $585,000?
a. $35,000
b. $15,000
c. $3,500
d. $50,000 - ANSWER a. $35,000
9 For how much assessed value is the Homeowner's Property Tax Exemption:
,Real Estate Principles Latest Exam
2024
a. $1,000
b. $7,000
c. $2,000
d. $200 - ANSWER b. $7,000
10. The difference between property taxes and special assessments is that:
a. special assessments are levied for the cost of specific local improvement
while property tax revenue goes into the general fund.
b. assessment liens can only be levied by local improvement districts.
c. foreclosure of assessment liens can only be achieved by court foreclosure
d. assessment liens are always subordinate to property tax liens - ANSWER a. special
assessments are levied for the cost of specific local improvement while property tax revenue goes
into the general fund
11. Misuse of the real estate appraisal report or coercion of the appraiser are now:
a. misdemeanors.
b. federal felonies.
c. infractions.
d. none of the above. - ANSWER b. federal felonies.
12. Which of the following is TRUE concerning the Cap Rate?
a. The greater the risk, the greater the Cap Rate.
b. Appraised value increases when the Cap decreases.
c. Finding the Cap Rate is the most difficult step in the income approach.
d. All of the above. - ANSWER d. All of the above
, Real Estate Principles Latest Exam
2024
13. A person who is authorized by the Secretary of State to witness the acknowledgment of
documents is known as a(n):
a. administrator.
b. librarian.
c. document doctor.
d. notary public. - ANSWER d. notary public.
14. An estate for years is an example of a:
a. life estate.
b. fee estate.
c. freehold estate.
d. less-than-freehold estate for a fixed period of time. - ANSWER d. less-than-freehold
estate for a fixed period of time.
15. A broker who mixes personal funds with his or her principal's funds is guilty of:
a. false promise.
b. commingling.
c. divided agency.
d. conversion. - ANSWER b. commingling.
16. The Real Estate Commissioner enforces provisions of the:
a. Civil Law.
b. Commercial Law.
c. Property Law.
d. Real Estate Law. - ANSWER d. Real Estate Law.
2024
1. Zoning is under the control of:
a. private parties.
b. government agencies.
c. the Bureau of Real Estate.
d. none of the above. - ANSWER b. government agencies.
2. Easements appurtenant are for the benefit of:
a. homesteaded landowners.
b. adjoining (neighboring) landowners.
c. the general public.
d. government use only. - ANSWER b. adjoining (neighboring) landowners.
3. A contract that is binding and enforceable in a court of law is said to be:
a. proprietary.
b. illusory.
c. valid.
d. all of the above. - ANSWER c. valid.
4. Who makes an offer on a property that is for sale?
a. Seller's agent
b. Offeree (Seller)
c. Offeror (Buyer)
d. All oft he above - ANSWER c. Offeror (Buyer)
5. Escrows base monthly prorations on how many days?
,Real Estate Principles Latest Exam
2024
a. 28
b. 29
c. 30
d. 31 - ANSWER c. 30
6. The process of proportionally dividing rents, property taxes, and fire insurance is called:
a. subdividing.
b. title splitting.
c. proration.
d. escrow debiting - ANSWER c. proration.
7. The area of a rectangular lot that is 50 feet wide by 100 feet deep is:
a. 2,500 sq. ft.
b. 500 sq. ft.
c. 5,000 sq. ft.
d. 50,000 sq. ft - ANSWER c. 5,000 sq. ft.
8. If the Internal Revenue Service is using a minimum of 39 years for straight-line depreciation on
commercial properties, what would be the annual depreciation on a newly constructed apartment
that cost $1,950,000 and had an original land cost of $585,000?
a. $35,000
b. $15,000
c. $3,500
d. $50,000 - ANSWER a. $35,000
9 For how much assessed value is the Homeowner's Property Tax Exemption:
,Real Estate Principles Latest Exam
2024
a. $1,000
b. $7,000
c. $2,000
d. $200 - ANSWER b. $7,000
10. The difference between property taxes and special assessments is that:
a. special assessments are levied for the cost of specific local improvement
while property tax revenue goes into the general fund.
b. assessment liens can only be levied by local improvement districts.
c. foreclosure of assessment liens can only be achieved by court foreclosure
d. assessment liens are always subordinate to property tax liens - ANSWER a. special
assessments are levied for the cost of specific local improvement while property tax revenue goes
into the general fund
11. Misuse of the real estate appraisal report or coercion of the appraiser are now:
a. misdemeanors.
b. federal felonies.
c. infractions.
d. none of the above. - ANSWER b. federal felonies.
12. Which of the following is TRUE concerning the Cap Rate?
a. The greater the risk, the greater the Cap Rate.
b. Appraised value increases when the Cap decreases.
c. Finding the Cap Rate is the most difficult step in the income approach.
d. All of the above. - ANSWER d. All of the above
, Real Estate Principles Latest Exam
2024
13. A person who is authorized by the Secretary of State to witness the acknowledgment of
documents is known as a(n):
a. administrator.
b. librarian.
c. document doctor.
d. notary public. - ANSWER d. notary public.
14. An estate for years is an example of a:
a. life estate.
b. fee estate.
c. freehold estate.
d. less-than-freehold estate for a fixed period of time. - ANSWER d. less-than-freehold
estate for a fixed period of time.
15. A broker who mixes personal funds with his or her principal's funds is guilty of:
a. false promise.
b. commingling.
c. divided agency.
d. conversion. - ANSWER b. commingling.
16. The Real Estate Commissioner enforces provisions of the:
a. Civil Law.
b. Commercial Law.
c. Property Law.
d. Real Estate Law. - ANSWER d. Real Estate Law.
