COLORADO LAW AND PRACTICE - PSI REAL ESTATE EXAM QUESTIONS AND 100% CORRECT ANSWERS|LATEST 2025/2026|GUARANTEED A+

Abandonment - ANSWER- B B Non-payment of taxes B B




Abstract of title - ANSWER-
B B B B



A history of the ownership of parcel of land which lists transfers of title, rights, and liabi
B B B B B B B B B B B B B B B B



lities.



Acceleration Clause - ANSWER- B B B



Upon default, all the principal installments come due to immediately
B B B B B B B B B




Accesion - ANSWER- B B



owner of land is entitled to all the soil produces or all that is added to the land either int
B B B B B B B B B B B B B B B B B B B



entionally or by mistake. Trade fixtures not removed are "assessed" by the owner of the prope
B B B B B B B B B B B B B B B



rty.



Accretion - ANSWER- B B



Refers to land which is accumulated by the gradual washing or motion of water
B B B B B B B B B B B B B




Accrued - ANSWER- B B An accumulation
B




Acknowledgement - ANSWER- B B



A formal declaration made by the grantor conveying the property to the grantee -
B B B B B B B B B B B B B



B a necessary element for validity of a deed.
B B B B B B B




Acre - ANSWER-
B B A measure of land equal to 43,560 square feet
B B B B B B B B




Action to quiet Title - ANSWER-
B B B B B



The lawsuit filed by a person to remove or clear the claims against property.
B B B B B B B B B B B B B




1
Wicky

,Actual Notice - ANSWER- B B B



The actual knowledge that a person has about the existence of a particular fact.
B B B B B B B B B B B B B




Ad Valorem - ANSWER-
B B B



A prefix meaning "based on value". Most local governments levy this type of tax on pro
B B B B B B B B B B B B B B B



perty.



Adverse Possession - ANSWER- B B B



A method of acquiring original title to property by open, notorious, and hostile possessi
B B B B B B B B B B B B B



on for a statutory period of time; also referred to as prescription. POACH
B B B B B B B B B B B B




Agency - ANSWER- B B



A relationship in which one party (the principle) authorizes another party (the agent) th
B B B B B B B B B B B B B



e act as the principle's representative in dealing with third parties
B B B B B B B B B B




Agent - ANSWER- B B



One who acts for and in place of a principle for the purpose of affecting the principle's l
B B B B B B B B B B B B B B B B B



egal relations with third persons.
B B B B




Air rights - ANSWER-
B B B



The eight to use, control and occupy the space above a particular parcel of land
B B B B B B B B B B B B B B




Alienation Clause - ANSWER- B B B



A provision in a mortgage requiring full payment of the debt upon the transfer of the tit
B B B B B B B B B B B B B B B B



le to the property, due on sale. Prevents loan assumptions.
B B B B B B B B B




Allodial - ANSWER- B B



The free and full ownership of rights in land by individuals, which is the basis of real pro
B B B B B B B B B B B B B B B B B



perty in the united states
B B B B




2
Wicky

,Amortization - ANSWER- B B



The repayment of a financial obligation over a period of time in a series of periodic inst
B B B B B B B B B B B B B B B B



allments. In a level- B B B



payment mortgage, this is the portion of the debt service that reduces the principle.
B B B B B B B B B B B B B




Amortized Loan - ANSWER- B B B



A financial debt that is paid off over a period of time by a series of periodic payments. A
B B B B B B B B B B B B B B B B B B



loan can be fully amortized of partially amortized requiring a balloon payment to satisfy the d
B B B B B B B B B B B B B B B B



ebt at the end of the term.
B B B B B B




Annual Percentage Rate (APR) - ANSWER-
B B B B B



The yearly cost of credit. interest rate plus finance charge.
B B B B B B B B B




Appraisal - ANSWER- B B



An opinion or estimate of value performed by a person licensed to do so.
B B B B B B B B B B B B B




Appreciation - ANSWER- B B An increase in Value
B B B




Appurtenance - ANSWER- B B Any right of privilege which belongs to and passes with land.
B B B B B B B B B B




Arms-Length Transaction - ANSWER- B B B



Transaction which occurs between willing buyer and willing seller with each party com
B B B B B B B B B B B B



pletely knowledgeable about the market. Not a purchase of a property between relatives (fat
B B B B B B B B B B B B B



her & Son)
B B




Arrears - ANSWER- B B



Not on time; Late in making payments or completing work. Interest can be paid like this
B B B B B B B B B B B B B B B



.



As is - ANSWER-
B B B



A phrase which disclaims any promises or warranties. A person purchasing real estate i
B B B B B B B B B B B B B




3
Wicky

, n this form, takes it in exactly the condition in which it is found. Seller cannot hide latent defec
B B B B B B B B B B B B B B B B B B



ts.



Assembledge - ANSWER- B B Bringing two or more lots together under one ownership.
B B B B B B B B




Assessed Value - ANSWER- B B B



The value placed on property, by tax assessor, for the purpose of determining the prop
B B B B B B B B B B B B B B



erty tax. B




Assignment - ANSWER- B B



1) the means by which a person transfers contract rights; 2) occurs when the lessee par
B B B B B B B B B B B B B B B



ts with the entire estate, retaining no interest
B B B B B B B




Attachment - ANSWER- B B



The process of taking a person's property into legal custody by a court order call writ of
B B B B B B B B B B B B B B B B B



attachment. Property is Frozen. B B B




Attestation - ANSWER- B B



The act of witnessing a person's signing of an instrument by a notary public.
B B B B B B B B B B B B B




Attorney in Fact - ANSWER- B B B B



A person given the authority to act on behalf of another under a power of attorney.
B B B B B B B B B B B B B B B




Attorney's Opinion of Title - ANSWER-
B B B B B



A statement issued by an attorney after analyzing an abstract as to quality of title.
B B B B B B B B B B B B B B




Avulsion - ANSWER- B B



Occurs in cases where there is sudden loss of land through natural influences; i.e Storm
B B B B B B B B B B B B B B



s



Bad Title - ANSWER-
B B B Title with defects making it unmarketable
B B B B B




4
Wicky