Texas Real Estate Principles 1
Questions and Answers | Latest
Version | 2025/2026 | Correct & Verified
What is the definition of real property in Texas?
✔✔Land and anything permanently attached to it, including improvements.
What is personal property in real estate?
✔✔Movable items that are not permanently attached to land.
What is the difference between a freehold estate and a leasehold estate?
✔✔A freehold estate lasts indefinitely while a leasehold estate lasts for a specified term.
What is a life estate?
✔✔An ownership interest that lasts for the lifetime of a specified person.
What is a fee simple estate?
✔✔The highest form of ownership with complete control and indefinite duration.
What is a defeasible fee estate?
✔✔Ownership that may be voided if certain conditions are not met.
What is community property in Texas?
1
,✔✔Property acquired during marriage that is owned equally by both spouses.
What is separate property in Texas?
✔✔Property owned by one spouse before marriage or acquired by gift or inheritance.
What is a joint tenancy?
✔✔An ownership form where co-owners have equal shares and rights of survivorship.
What is tenancy in common?
✔✔An ownership form where co-owners have separate interests that can be sold or inherited.
What is real estate appraisal?
✔✔The process of estimating the market value of real property.
What is market value?
✔✔The most probable price a property should bring in a competitive and open market.
What is an easement?
✔✔A legal right to use another person’s land for a specific purpose.
What is an easement appurtenant?
✔✔An easement that benefits a specific piece of land and transfers with the property.
2
,What is an easement in gross?
✔✔An easement that benefits a person or entity rather than a specific property.
What is a lien?
✔✔A legal claim against property to secure payment of a debt or obligation.
What is a mortgage lien?
✔✔A lien placed by a lender as security for a loan on real property.
What is a mechanic’s lien?
✔✔A lien filed by a contractor, laborer, or supplier for unpaid work or materials.
What is a judgment lien?
✔✔A lien arising from a court judgment against a property owner.
What is a property tax lien?
✔✔A lien imposed by the government for unpaid property taxes.
What is the purpose of zoning?
✔✔To regulate land use and control development within a municipality.
3
, What is a variance in zoning?
✔✔A legal exception allowing property use that differs from current zoning laws.
What is a special use permit?
✔✔Authorization to use land for a purpose not normally allowed under zoning.
What is a restrictive covenant?
✔✔Private restrictions placed on a property to control its use or appearance.
What is a deed?
✔✔A legal document that transfers ownership of real property from seller to buyer.
What is a warranty deed?
✔✔A deed that guarantees the title is clear of defects and the seller has the right to sell.
What is a quitclaim deed?
✔✔A deed that transfers any ownership interest the grantor may have without guarantees.
What is an option contract in real estate?
✔✔A contract giving a buyer the right to purchase property within a specified time for a
specified price.
4
Questions and Answers | Latest
Version | 2025/2026 | Correct & Verified
What is the definition of real property in Texas?
✔✔Land and anything permanently attached to it, including improvements.
What is personal property in real estate?
✔✔Movable items that are not permanently attached to land.
What is the difference between a freehold estate and a leasehold estate?
✔✔A freehold estate lasts indefinitely while a leasehold estate lasts for a specified term.
What is a life estate?
✔✔An ownership interest that lasts for the lifetime of a specified person.
What is a fee simple estate?
✔✔The highest form of ownership with complete control and indefinite duration.
What is a defeasible fee estate?
✔✔Ownership that may be voided if certain conditions are not met.
What is community property in Texas?
1
,✔✔Property acquired during marriage that is owned equally by both spouses.
What is separate property in Texas?
✔✔Property owned by one spouse before marriage or acquired by gift or inheritance.
What is a joint tenancy?
✔✔An ownership form where co-owners have equal shares and rights of survivorship.
What is tenancy in common?
✔✔An ownership form where co-owners have separate interests that can be sold or inherited.
What is real estate appraisal?
✔✔The process of estimating the market value of real property.
What is market value?
✔✔The most probable price a property should bring in a competitive and open market.
What is an easement?
✔✔A legal right to use another person’s land for a specific purpose.
What is an easement appurtenant?
✔✔An easement that benefits a specific piece of land and transfers with the property.
2
,What is an easement in gross?
✔✔An easement that benefits a person or entity rather than a specific property.
What is a lien?
✔✔A legal claim against property to secure payment of a debt or obligation.
What is a mortgage lien?
✔✔A lien placed by a lender as security for a loan on real property.
What is a mechanic’s lien?
✔✔A lien filed by a contractor, laborer, or supplier for unpaid work or materials.
What is a judgment lien?
✔✔A lien arising from a court judgment against a property owner.
What is a property tax lien?
✔✔A lien imposed by the government for unpaid property taxes.
What is the purpose of zoning?
✔✔To regulate land use and control development within a municipality.
3
, What is a variance in zoning?
✔✔A legal exception allowing property use that differs from current zoning laws.
What is a special use permit?
✔✔Authorization to use land for a purpose not normally allowed under zoning.
What is a restrictive covenant?
✔✔Private restrictions placed on a property to control its use or appearance.
What is a deed?
✔✔A legal document that transfers ownership of real property from seller to buyer.
What is a warranty deed?
✔✔A deed that guarantees the title is clear of defects and the seller has the right to sell.
What is a quitclaim deed?
✔✔A deed that transfers any ownership interest the grantor may have without guarantees.
What is an option contract in real estate?
✔✔A contract giving a buyer the right to purchase property within a specified time for a
specified price.
4
