NATIONAL REAL ESTATE EXAM WITH
QUESTIONS AND ANSWERS|| GUARANTEED
PASS|| ALREADY GRADED A+|| LATEST
UPDATE 2026
A practice of trying to induce homeowners to sell by convincing them that a
minority group is moving into the area causing property values to drop is -
ANSWER-blockbusting
The main goal of the ADA is the removal of barriers. All of the following are
required under ADA except: - ANSWER-levered door handles
According to Regulation Z, which of the following is not a trigger term? -
ANSWER-APR
Which of the following is false regarding the Civil Rights Act of 1968 -
ANSWER-A FSBO who owns no more than four homes can discriminate when
selling a home
Which of the following loans would not have a 3 day right of recession? -
ANSWER-A loan to purchase a vacation property
What form replacing the HUD-1 must be provided to the consumer and when
must it be provided? - ANSWER-The CD at least three days before closing
Which of the following does NOT pledge property as security for a debt? -
ANSWER-note
,Which of the following instruments is the promise to repay a debt? - ANSWER-
note
What is the advantage to the borrower of a VA loan? - ANSWER-the guarantee
on the VA loan is free
John has a loan with equal regular payments of principal and interest. Long
before the debt is satisfied, the balance is due in a payment substantially larger
than all the others. This is best described as a: - ANSWER-Partial Amortization
Loan
For what group of buyers would the ARM be the least desirable? - ANSWER-
those on a fixed income
Where can you expect to find MIP? - ANSWER-On an FHA loan
What is a point? - ANSWER-1% of the loan amount
Where does the secondary market get its funds? - ANSWER-From investors
The property management agreement creates what kind of agency? - ANSWER-
General agency
Who would use the remedy of Forcible Entry and Detainer? - ANSWER-the
landlord
The landlord pays the expenses of the property. The tenants pay rent plus
utilities. What type of lease is this? - ANSWER-net lease
When a landlord allows the property condition to deteriorate so much that the
tenants are forced to leave it is called: - ANSWER-constructive eviction
,A couple is moving to a new city and they would like time to learn the city
before they purchase a home. What type of lease should their agent
recommend? - ANSWER-a periodic tenancy
A young couple leases an apartment in an apartment complex for one year.
During the year, they become concerned about crime in the area and ask for
permission to install an alarm system in the apartment. The landlord grants
permission. When the lease is up, what happens to the alarm system? -
ANSWER-the system stays as it is now a fixture
What type of verbal lease agreement would be enforceable? - ANSWER-a lease
for one year or less
John has a three year lease on office space. In the second year the landlord dies.
His heirs inherit the property. They do not want it and they sell it. The new
owner wants John to move out. Does John have to leave? - ANSWER-No,
because he has a lease
What type of business entity is owned by shareholders, but avoids "double
taxation"? - ANSWER-An S corporation
What is the difference between a general partner and a limited partner? -
ANSWER-a general partner has full liability and a limited partner has limited
liability
A one on one relationship between a broker and a client is called - ANSWER-
agency
A license holder sponsored by a broker must have a written agreement -
ANSWER-to work as an independent contractor
, A broker has a trust account set up to hold client funds. He has earnest money
deposits from several clients in the account at the same time. This is: -
ANSWER-acceptable as long as he has written records
Which of the following actions of a broker could jeopardize the independent
contractor status of the license holders he sponsors? - ANSWER-Requiring his
license holders to work scheduled hours
A buyer's agent is working with a buyer to purchase a property. The buyer is
concerned about the location of the fence as it appears to be encroaching. What
should the buyer's agent do? - ANSWER-Recommend a survey
A couple is purchasing a home and ask their agent how they should take title so
that if one spouse dies, immediately the surviving spouse will be the sole owner
of the property. The license holder should: - ANSWER-Tell them to talk to an
attorney, because the license holder is not permitted to give advice on how to
take title
A license holder is representing a young couple purchasing their first home. She
shows them many properties and finally they find one to buy. They have some
concerns about the contract and ask to speak an attorney. the agent should... -
ANSWER-Send the clients to an attorney of their choice before they sign
A license holder advertises a listed property as having the most beautiful
landscaping in the neighborhood. This is an example of... - ANSWER-Puffing
A license holder is showing her own listing to a buyer customer. While showing
the property she notices that there is a serious slope to the porch floor. What
should she do? - ANSWER-She must point it out to the buyer
A retired couple is on a fixed income. They own their own home. They are
having a hard time making ends meet, yet they do not want to sell their home.
QUESTIONS AND ANSWERS|| GUARANTEED
PASS|| ALREADY GRADED A+|| LATEST
UPDATE 2026
A practice of trying to induce homeowners to sell by convincing them that a
minority group is moving into the area causing property values to drop is -
ANSWER-blockbusting
The main goal of the ADA is the removal of barriers. All of the following are
required under ADA except: - ANSWER-levered door handles
According to Regulation Z, which of the following is not a trigger term? -
ANSWER-APR
Which of the following is false regarding the Civil Rights Act of 1968 -
ANSWER-A FSBO who owns no more than four homes can discriminate when
selling a home
Which of the following loans would not have a 3 day right of recession? -
ANSWER-A loan to purchase a vacation property
What form replacing the HUD-1 must be provided to the consumer and when
must it be provided? - ANSWER-The CD at least three days before closing
Which of the following does NOT pledge property as security for a debt? -
ANSWER-note
,Which of the following instruments is the promise to repay a debt? - ANSWER-
note
What is the advantage to the borrower of a VA loan? - ANSWER-the guarantee
on the VA loan is free
John has a loan with equal regular payments of principal and interest. Long
before the debt is satisfied, the balance is due in a payment substantially larger
than all the others. This is best described as a: - ANSWER-Partial Amortization
Loan
For what group of buyers would the ARM be the least desirable? - ANSWER-
those on a fixed income
Where can you expect to find MIP? - ANSWER-On an FHA loan
What is a point? - ANSWER-1% of the loan amount
Where does the secondary market get its funds? - ANSWER-From investors
The property management agreement creates what kind of agency? - ANSWER-
General agency
Who would use the remedy of Forcible Entry and Detainer? - ANSWER-the
landlord
The landlord pays the expenses of the property. The tenants pay rent plus
utilities. What type of lease is this? - ANSWER-net lease
When a landlord allows the property condition to deteriorate so much that the
tenants are forced to leave it is called: - ANSWER-constructive eviction
,A couple is moving to a new city and they would like time to learn the city
before they purchase a home. What type of lease should their agent
recommend? - ANSWER-a periodic tenancy
A young couple leases an apartment in an apartment complex for one year.
During the year, they become concerned about crime in the area and ask for
permission to install an alarm system in the apartment. The landlord grants
permission. When the lease is up, what happens to the alarm system? -
ANSWER-the system stays as it is now a fixture
What type of verbal lease agreement would be enforceable? - ANSWER-a lease
for one year or less
John has a three year lease on office space. In the second year the landlord dies.
His heirs inherit the property. They do not want it and they sell it. The new
owner wants John to move out. Does John have to leave? - ANSWER-No,
because he has a lease
What type of business entity is owned by shareholders, but avoids "double
taxation"? - ANSWER-An S corporation
What is the difference between a general partner and a limited partner? -
ANSWER-a general partner has full liability and a limited partner has limited
liability
A one on one relationship between a broker and a client is called - ANSWER-
agency
A license holder sponsored by a broker must have a written agreement -
ANSWER-to work as an independent contractor
, A broker has a trust account set up to hold client funds. He has earnest money
deposits from several clients in the account at the same time. This is: -
ANSWER-acceptable as long as he has written records
Which of the following actions of a broker could jeopardize the independent
contractor status of the license holders he sponsors? - ANSWER-Requiring his
license holders to work scheduled hours
A buyer's agent is working with a buyer to purchase a property. The buyer is
concerned about the location of the fence as it appears to be encroaching. What
should the buyer's agent do? - ANSWER-Recommend a survey
A couple is purchasing a home and ask their agent how they should take title so
that if one spouse dies, immediately the surviving spouse will be the sole owner
of the property. The license holder should: - ANSWER-Tell them to talk to an
attorney, because the license holder is not permitted to give advice on how to
take title
A license holder is representing a young couple purchasing their first home. She
shows them many properties and finally they find one to buy. They have some
concerns about the contract and ask to speak an attorney. the agent should... -
ANSWER-Send the clients to an attorney of their choice before they sign
A license holder advertises a listed property as having the most beautiful
landscaping in the neighborhood. This is an example of... - ANSWER-Puffing
A license holder is showing her own listing to a buyer customer. While showing
the property she notices that there is a serious slope to the porch floor. What
should she do? - ANSWER-She must point it out to the buyer
A retired couple is on a fixed income. They own their own home. They are
having a hard time making ends meet, yet they do not want to sell their home.
