Real Estate Salesperson California
State Exam 2025 Questions and
Answers
Which of the following is most vital or important in planning a subdivision: - ANSWER✔✔-
Market Analysis
When rent is computed on the gross sales of a business occupying real property, the lease is
correctly termed: - ANSWER✔✔-Percentage Lease
What is not an adequate method of transferring property? - ANSWER✔✔-Executive Sale
What is considered personal property? - ANSWER✔✔-Existing Mortgage
If an income property is valued at $100,000 based on an 8% capitalization rate, what would be the
value of the property if a 10% return is required: - ANSWER✔✔-$80,000
$100,000 Value of Property
x 0.08 Capitalization Rate
=$8,000 Net Income
FOR STUDY PURPOSES ONLY COPYRIGHT © 2025 ALL RIGHTS RESERVED 1
,$8,000 Net Income
÷ 0.10 of Return
=$80,000 Value of Property
The value of the best property in the neighborhood will be adversely affected by the presence of
comparatively substandard property is a statement relating to value and is know as the Principle of: -
ANSWER✔✔-Regression
Which of the following actions or events would result in the termination of a sales escrow: -
ANSWER✔✔-Mutual consent of the parties
The measure of goods and services produced by the nation during any one calendar year is the
definition of which of the following: - ANSWER✔✔-Gross National Product
An easement on real property can be terminated by: - ANSWER✔✔-A release signed by the holder
of the dominant tenement
An appraiser's narrative appraisal report of a single-family residence probably would contain no
reference to: - ANSWER✔✔-The type of financing available
When identical or highly similar properties are offered for sale, the property offered at the lower
price attracts the greatest demand. That statement is an illustration of which of the following
principles of appraising: - ANSWER✔✔-Substitution
FOR STUDY PURPOSES ONLY COPYRIGHT © 2025 ALL RIGHTS RESERVED 2
, When the public records have been examined in order to determine the chain of title to a parcel of
real property, a written summary of that chain of title is known as: - ANSWER✔✔-An abstract of
title
The remedy of unlawful detainer action is used by offended: - ANSWER✔✔-Lessors
Freehold estates would include which of the following: - ANSWER✔✔-A life estate
If a lender accepts a deed in lieu of foreclosure from a trustor, the lender: - ANSWER✔✔-Will
assume any junior liens
Which of the following would usually be true concerning a hard money second trust deed: -
ANSWER✔✔-It's secured by real estate and given to a third party to obtain a cash loan
Betty is beneficiary of a $15,000 deed of trust on a single-family home located in Long Beach, CA.
Trustor Milo made $2,000 in payments, then defaulted. At a trustee's sale, the property sold for
$10,000, resulting in a $3,000 deficiency. In California, a deficiency judgement cannot be obtained: -
ANSWER✔✔-In any of the below situations.
-If the security is a purchase-money trust deed.
-If remedy of trustee's sales is used.
-If fair market value of the property exceeds the amount due on the trust deed.
What state agency would a consumer contact in order to obtain a written report disclosing the
presence of wood destroying organisms? - ANSWER✔✔-Structural Pest Control Board
FOR STUDY PURPOSES ONLY COPYRIGHT © 2025 ALL RIGHTS RESERVED 3
State Exam 2025 Questions and
Answers
Which of the following is most vital or important in planning a subdivision: - ANSWER✔✔-
Market Analysis
When rent is computed on the gross sales of a business occupying real property, the lease is
correctly termed: - ANSWER✔✔-Percentage Lease
What is not an adequate method of transferring property? - ANSWER✔✔-Executive Sale
What is considered personal property? - ANSWER✔✔-Existing Mortgage
If an income property is valued at $100,000 based on an 8% capitalization rate, what would be the
value of the property if a 10% return is required: - ANSWER✔✔-$80,000
$100,000 Value of Property
x 0.08 Capitalization Rate
=$8,000 Net Income
FOR STUDY PURPOSES ONLY COPYRIGHT © 2025 ALL RIGHTS RESERVED 1
,$8,000 Net Income
÷ 0.10 of Return
=$80,000 Value of Property
The value of the best property in the neighborhood will be adversely affected by the presence of
comparatively substandard property is a statement relating to value and is know as the Principle of: -
ANSWER✔✔-Regression
Which of the following actions or events would result in the termination of a sales escrow: -
ANSWER✔✔-Mutual consent of the parties
The measure of goods and services produced by the nation during any one calendar year is the
definition of which of the following: - ANSWER✔✔-Gross National Product
An easement on real property can be terminated by: - ANSWER✔✔-A release signed by the holder
of the dominant tenement
An appraiser's narrative appraisal report of a single-family residence probably would contain no
reference to: - ANSWER✔✔-The type of financing available
When identical or highly similar properties are offered for sale, the property offered at the lower
price attracts the greatest demand. That statement is an illustration of which of the following
principles of appraising: - ANSWER✔✔-Substitution
FOR STUDY PURPOSES ONLY COPYRIGHT © 2025 ALL RIGHTS RESERVED 2
, When the public records have been examined in order to determine the chain of title to a parcel of
real property, a written summary of that chain of title is known as: - ANSWER✔✔-An abstract of
title
The remedy of unlawful detainer action is used by offended: - ANSWER✔✔-Lessors
Freehold estates would include which of the following: - ANSWER✔✔-A life estate
If a lender accepts a deed in lieu of foreclosure from a trustor, the lender: - ANSWER✔✔-Will
assume any junior liens
Which of the following would usually be true concerning a hard money second trust deed: -
ANSWER✔✔-It's secured by real estate and given to a third party to obtain a cash loan
Betty is beneficiary of a $15,000 deed of trust on a single-family home located in Long Beach, CA.
Trustor Milo made $2,000 in payments, then defaulted. At a trustee's sale, the property sold for
$10,000, resulting in a $3,000 deficiency. In California, a deficiency judgement cannot be obtained: -
ANSWER✔✔-In any of the below situations.
-If the security is a purchase-money trust deed.
-If remedy of trustee's sales is used.
-If fair market value of the property exceeds the amount due on the trust deed.
What state agency would a consumer contact in order to obtain a written report disclosing the
presence of wood destroying organisms? - ANSWER✔✔-Structural Pest Control Board
FOR STUDY PURPOSES ONLY COPYRIGHT © 2025 ALL RIGHTS RESERVED 3
