1|Page
2026/2027 Real Estate Sales Person Exam
Prep (California) with COMPLETE
SOLUTION (Complete And Verified Study
material)
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
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x 0.08 Capitalization Rate
=$8,000 Net Income
$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
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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
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
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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
When a lender on a graduated payment mortgage is making
disclosures that are required under the Truth-in-Lending Law
concerning advertising he must disclose
the:......ANSWER.......Lender's Name
2026/2027 Real Estate Sales Person Exam
Prep (California) with COMPLETE
SOLUTION (Complete And Verified Study
material)
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
,2|Page
x 0.08 Capitalization Rate
=$8,000 Net Income
$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
,3|Page
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
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
, 4|Page
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
When a lender on a graduated payment mortgage is making
disclosures that are required under the Truth-in-Lending Law
concerning advertising he must disclose
the:......ANSWER.......Lender's Name
