Page | 1
AYPO REAL ESTATE PRINCIPLES OF REAL
ESTATE I EXAM STUDY GUIDE
QUESTIONS WITH DETAILED VERIFIED
ANSWERS
TREC has the authority under TRELA to suspend or even revoke a
broker's license if: Ans: They conduct the unlawful practice of law
ESAC stands for: Ans: Education Standards Advisory Committee
What refers to a location from an economic rather than a geographic
standpoint? Ans: Situs.
Which amendment guarantees that a citizen will not be deprived of
property without due process of law? Ans: 5th Amendment.
The CFPB is the: Ans: Consumer Financial Protection Bureau
A professional organization or association is usually a not-for-profit
organization that seeks to: Ans: further a particular profession and the
interests of individuals engaged in that profession.
A contraction or generally slowing down of the economy is a: Ans:
Recession.
What is the primary purpose for real estate licensing laws? Ans: 1. To
protect the general public during real estate transactions from dishonest
or incompetent brokers and sales agents.
2. To set out minimum standards and qualifications for licensing brokers
and sales agents.
3. To protect licensed brokers and sales agents from unfair or improper
competition.
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Per 1101.2051(b), information or material prepared or compiled by the
commission in connection with a complaint, investigation, or audit may
be disclosed: Ans: to the respondent of the complaint.
What type of property category includes churches, other places of
worship, schools and colleges, cemeteries and certain government-held
properties? Ans: Special-purpose.
Emblements are best described by which of the following? Ans:
Harvestable plants, trees, and uncultivated vegetation.
A manufactured home can be considered real property if: Ans: 1. both
the Texas Department of Housing and Community Affairs and the home's
county's chief tax appraiser have been notified of the filing
2. a certified copy of the "Statement of ownership and location" for the
home has been filed by the owner in the real property records of the
county where the home is located
3. the owner of the home has elected to treat the home as their real
property
The number one reason that people move is: Ans: Employment
opportunity
How much money can a first time homebuyer draw from his or her own
IRA without tax penalty for the purchase? Ans: $10,000
According to the Texas Department of Insurance, most homeowners
policies in Texas include which of the following coverages? Ans: 1. Loss
of use.
2. Medical payments.
3. Dwelling.
A C.L.U.E. report advises a consumer on: Ans: up to seven years of
claims history on a property
AYPO REAL ESTATE PRINCIPLES OF REAL
ESTATE I EXAM STUDY GUIDE
QUESTIONS WITH DETAILED VERIFIED
ANSWERS
TREC has the authority under TRELA to suspend or even revoke a
broker's license if: Ans: They conduct the unlawful practice of law
ESAC stands for: Ans: Education Standards Advisory Committee
What refers to a location from an economic rather than a geographic
standpoint? Ans: Situs.
Which amendment guarantees that a citizen will not be deprived of
property without due process of law? Ans: 5th Amendment.
The CFPB is the: Ans: Consumer Financial Protection Bureau
A professional organization or association is usually a not-for-profit
organization that seeks to: Ans: further a particular profession and the
interests of individuals engaged in that profession.
A contraction or generally slowing down of the economy is a: Ans:
Recession.
What is the primary purpose for real estate licensing laws? Ans: 1. To
protect the general public during real estate transactions from dishonest
or incompetent brokers and sales agents.
2. To set out minimum standards and qualifications for licensing brokers
and sales agents.
3. To protect licensed brokers and sales agents from unfair or improper
competition.
, Page | 2
Per 1101.2051(b), information or material prepared or compiled by the
commission in connection with a complaint, investigation, or audit may
be disclosed: Ans: to the respondent of the complaint.
What type of property category includes churches, other places of
worship, schools and colleges, cemeteries and certain government-held
properties? Ans: Special-purpose.
Emblements are best described by which of the following? Ans:
Harvestable plants, trees, and uncultivated vegetation.
A manufactured home can be considered real property if: Ans: 1. both
the Texas Department of Housing and Community Affairs and the home's
county's chief tax appraiser have been notified of the filing
2. a certified copy of the "Statement of ownership and location" for the
home has been filed by the owner in the real property records of the
county where the home is located
3. the owner of the home has elected to treat the home as their real
property
The number one reason that people move is: Ans: Employment
opportunity
How much money can a first time homebuyer draw from his or her own
IRA without tax penalty for the purchase? Ans: $10,000
According to the Texas Department of Insurance, most homeowners
policies in Texas include which of the following coverages? Ans: 1. Loss
of use.
2. Medical payments.
3. Dwelling.
A C.L.U.E. report advises a consumer on: Ans: up to seven years of
claims history on a property
