Principles of Real Estate II Final Exam Study Guide
Questions &Answers | Certified
/. 1. The ______________ is the most active in the regulation of real estate licensees. -
Answer-) state government
/.2. Which of the following is necessary for a deed of conveyance to be valid? - Answer-
) The deed must be in writing
/.3. The primary distinction between the legal concepts of real estate and real property
is that - Answer-) real property includes ownership of a bundle of rights.
/.4. An applicant for a salesperson license must - Answer-) have a finger printing and
background check prior to receiving a license.
/.5. TRELA makes provisions for - Answer-) a prerequisite of a minimum of 15
classroom hours counted toward license renewal every two years.
/.6. A(n) ______________ is a freehold estate that is limited to the duration of the life of
the owner. - Answer-) life estate
/.7. What distinguishes a lien from other types of encumbrance? - Answer-) It involves a
monetary claim against the value of a property.
/.8. What type of conventional life estate ends with the death of the life estate owner? -
Answer-) Ordinary life estate
/.9. When speaking of real estate market dynamics, the amount of available properties
that becomes occupied over a period of time is called - Answer-) absorption.
/.10. What is the primary danger of allowing an encroachment? - Answer-) Over time,
the encroachment may become an easement by prescription that damages the
property's market value.
/.11. What statement is TRUE of payment that is made from the real estate recovery
fund on account of a licensee's acts? - Answer-) The license is suspended immediately,
but will be reissued upon reimbursement of the fund, with interest.
/.12. A salesperson listed a home and then transferred his license to another broker.
Which of the following is true? - Answer-) The listing will stay with the original broker.
, /.13. A licensee is required to keep the Commission updated with - Answer-) her current
email address.
/.14. When an owner leases her property, she temporarily relinquishes the right to -
Answer-) occupy the property.
/.15. Which education requirement can a person leave out when applying for a
salesperson license? - Answer-) Evidence of a degree in some form of postsecondary
education.
/.16. Which of the following is an expense which would be listed on the HUD-1 Uniform
Settlement Statement? - Answer-) Title insurance fees
/.17. Listing, marketing, facilitating transactions and managing information summarizes
the critical skills in which of the following? - Answer-) Real estate brokerage
/.18. Which of the following happens when a leased property is sold? - Answer-) The
buyer acquires title subject to the lease.
/.19. Which of the following is a valid distinction between a corporation and a
proprietorship? - Answer-) A corporation has perpetual existence; a proprietorship
terminates upon the owner's death.
/.20. What type of property is abstract, having no physical existence in itself, other than
as evidence of one's ownership interest? - Answer-) Intangible
/.21. In an economic system, supply is defined as - Answer-) the quantity of a product or
service available for sale, lease, or trade at any given time.
/.22. Which is NOT included in the ownership bundle of rights? - Answer-) Taxation
/.23. Which of the following items are paid in arrears? - Answer-) Taxes and interest
/.24. Which of the following laws or rulings extended discrimination to include gender,
handicapped status, and family status? - Answer-) The Fair Housing Amendments Act
of 1988.
/.25. What type of seller financing allows the seller to receive a junior mortgage from the
buyer to use to make the payments on the original first mortgage? - Answer-)
Wraparound mortgage
/.26. All of the following are ways of specializing in the real estate brokerage business
except? - Answer-) By area
/.27. Who are the essential parties involved in an estate in trust? - Answer-) Trustor,
trustee, and beneficiary.
Questions &Answers | Certified
/. 1. The ______________ is the most active in the regulation of real estate licensees. -
Answer-) state government
/.2. Which of the following is necessary for a deed of conveyance to be valid? - Answer-
) The deed must be in writing
/.3. The primary distinction between the legal concepts of real estate and real property
is that - Answer-) real property includes ownership of a bundle of rights.
/.4. An applicant for a salesperson license must - Answer-) have a finger printing and
background check prior to receiving a license.
/.5. TRELA makes provisions for - Answer-) a prerequisite of a minimum of 15
classroom hours counted toward license renewal every two years.
/.6. A(n) ______________ is a freehold estate that is limited to the duration of the life of
the owner. - Answer-) life estate
/.7. What distinguishes a lien from other types of encumbrance? - Answer-) It involves a
monetary claim against the value of a property.
/.8. What type of conventional life estate ends with the death of the life estate owner? -
Answer-) Ordinary life estate
/.9. When speaking of real estate market dynamics, the amount of available properties
that becomes occupied over a period of time is called - Answer-) absorption.
/.10. What is the primary danger of allowing an encroachment? - Answer-) Over time,
the encroachment may become an easement by prescription that damages the
property's market value.
/.11. What statement is TRUE of payment that is made from the real estate recovery
fund on account of a licensee's acts? - Answer-) The license is suspended immediately,
but will be reissued upon reimbursement of the fund, with interest.
/.12. A salesperson listed a home and then transferred his license to another broker.
Which of the following is true? - Answer-) The listing will stay with the original broker.
, /.13. A licensee is required to keep the Commission updated with - Answer-) her current
email address.
/.14. When an owner leases her property, she temporarily relinquishes the right to -
Answer-) occupy the property.
/.15. Which education requirement can a person leave out when applying for a
salesperson license? - Answer-) Evidence of a degree in some form of postsecondary
education.
/.16. Which of the following is an expense which would be listed on the HUD-1 Uniform
Settlement Statement? - Answer-) Title insurance fees
/.17. Listing, marketing, facilitating transactions and managing information summarizes
the critical skills in which of the following? - Answer-) Real estate brokerage
/.18. Which of the following happens when a leased property is sold? - Answer-) The
buyer acquires title subject to the lease.
/.19. Which of the following is a valid distinction between a corporation and a
proprietorship? - Answer-) A corporation has perpetual existence; a proprietorship
terminates upon the owner's death.
/.20. What type of property is abstract, having no physical existence in itself, other than
as evidence of one's ownership interest? - Answer-) Intangible
/.21. In an economic system, supply is defined as - Answer-) the quantity of a product or
service available for sale, lease, or trade at any given time.
/.22. Which is NOT included in the ownership bundle of rights? - Answer-) Taxation
/.23. Which of the following items are paid in arrears? - Answer-) Taxes and interest
/.24. Which of the following laws or rulings extended discrimination to include gender,
handicapped status, and family status? - Answer-) The Fair Housing Amendments Act
of 1988.
/.25. What type of seller financing allows the seller to receive a junior mortgage from the
buyer to use to make the payments on the original first mortgage? - Answer-)
Wraparound mortgage
/.26. All of the following are ways of specializing in the real estate brokerage business
except? - Answer-) By area
/.27. Who are the essential parties involved in an estate in trust? - Answer-) Trustor,
trustee, and beneficiary.
