PSI PRACTICE EXAM QUESTIONS
# Term Definition
1 A distinguishing characteristic of The identity of the legal owner is kept
owning property by land trust is confidential
that
2 legal descriptions using the The original 13 states
government survey system are
NOT generally used in
3 Although states make specific prior appropriation
laws governing water rights and
the rights in land that borders
water, most states generaly follow
one of two basic doctrines
regarding water rights. In many
states, the common law doctrine
of riparian and littoral rights
dictates that water rights are
automatically conveyed with
property. In others, all water
rights are controlled by the state
under the doctrine of
4 A homeowner is willing to let his A license
neighbor park an RV in his
backyard. He does NOT want to
make the permission permanent
in case he dislikes others who
might move next door in the
future. What should he give his
neighbor?
5 An easment can be terminated by merger of titles
6 A potential buyer is interested in Suggest the buyer check the zoning ordinances
the residential property of your
client. The buyer earns a living by
making crafts and selling them
from home and caring for children
in the late afternoons. In this
situation, you should
7 New sidewalks installed only on a special assessment
one particular street will probably
be paid for by
, PSI PRACTICE EXAM QUESTIONS
# Term Definition
8 If conditions for property use are A court may order the return of the property to
included in a deed and these the original owner
conditions are violated, what is
the most severe potential penalty
9 A broker is showing a buyer one Provide the buyer with contact information for
of his residential listings. The the local planning and zoning office to confirm
buyers says he wants to establish that zoning and determing whether it permits his
a day care center for seniors in the use
property. The property has been
used as a day care center for no
more than 5 children. How should
the broker advise the buyer
10 Three identical homes in a The first sold.
neighborhood were listed at the
same time in a market where
demand was constant. According
to the law of supply and demand,
which would have sold for the
lowest price?
11 A couple owns an older home in a Anticipation
neighborhood that is becoming a
commercial area. Because of the
change in the use of the land, the
couple can expect the value of
their parcel to increase at some
future time. This is an example of
the principle of
12 A competitive market analysis square footage of the subject property
takes into consideration
13 For a buyer, a disadvantage of a At the end of the term, all remaining principal
partially amortized or baloon must be paid in a single large payment
payment loan is that
14 According to the Truth-in-Lending prepayment penalties and rebates.
Act, if any "trigger terms" are used
in an ad, what does not have to
appear in the ad
15 What Federal law regulates the Regulation Z
advertisement of a lenders credit
terms (rates, payment, etc)
# Term Definition
1 A distinguishing characteristic of The identity of the legal owner is kept
owning property by land trust is confidential
that
2 legal descriptions using the The original 13 states
government survey system are
NOT generally used in
3 Although states make specific prior appropriation
laws governing water rights and
the rights in land that borders
water, most states generaly follow
one of two basic doctrines
regarding water rights. In many
states, the common law doctrine
of riparian and littoral rights
dictates that water rights are
automatically conveyed with
property. In others, all water
rights are controlled by the state
under the doctrine of
4 A homeowner is willing to let his A license
neighbor park an RV in his
backyard. He does NOT want to
make the permission permanent
in case he dislikes others who
might move next door in the
future. What should he give his
neighbor?
5 An easment can be terminated by merger of titles
6 A potential buyer is interested in Suggest the buyer check the zoning ordinances
the residential property of your
client. The buyer earns a living by
making crafts and selling them
from home and caring for children
in the late afternoons. In this
situation, you should
7 New sidewalks installed only on a special assessment
one particular street will probably
be paid for by
, PSI PRACTICE EXAM QUESTIONS
# Term Definition
8 If conditions for property use are A court may order the return of the property to
included in a deed and these the original owner
conditions are violated, what is
the most severe potential penalty
9 A broker is showing a buyer one Provide the buyer with contact information for
of his residential listings. The the local planning and zoning office to confirm
buyers says he wants to establish that zoning and determing whether it permits his
a day care center for seniors in the use
property. The property has been
used as a day care center for no
more than 5 children. How should
the broker advise the buyer
10 Three identical homes in a The first sold.
neighborhood were listed at the
same time in a market where
demand was constant. According
to the law of supply and demand,
which would have sold for the
lowest price?
11 A couple owns an older home in a Anticipation
neighborhood that is becoming a
commercial area. Because of the
change in the use of the land, the
couple can expect the value of
their parcel to increase at some
future time. This is an example of
the principle of
12 A competitive market analysis square footage of the subject property
takes into consideration
13 For a buyer, a disadvantage of a At the end of the term, all remaining principal
partially amortized or baloon must be paid in a single large payment
payment loan is that
14 According to the Truth-in-Lending prepayment penalties and rebates.
Act, if any "trigger terms" are used
in an ad, what does not have to
appear in the ad
15 What Federal law regulates the Regulation Z
advertisement of a lenders credit
terms (rates, payment, etc)
