REE3043 EXAM 1 QUESTIONS AND ANSWERS 2026
Which is NOT a method the federal government uses to influence the real estate
market?
through fair housing laws.
by granting housing subsidies
through income tax incentives.
by regulating building codes. - Answers - by regulating building codes.
Real estate markets differ from other asset classes by having all of the following
characteristics except:
High transaction costs.
Integrated market.
Heterogeneous product.
Local market. - Answers - Integrated market.
All of the following statements define the role of Real Estate in our economy except:
Real Estate related industries generate over 25% of the US Gross Domestic Product
(GDP).
Housing alone accounts for almost 18% of U.S. Gross Domestic Product (GDP).
Real Estate related industries create jobs for approximately 9 million Americans.
Real Estate constitutes one-half of the world's wealth.
Real Estate generates only 20% of local government revenue (property tax). - Answers
- Real Estate generates only 20% of local government revenue (property tax).
Land without any improvements is sometimes called:
bad land.
real land.
unwanted land.
,raw land. - Answers - raw land.
Approximately what portion of U.S. households owns their own home?
Approximately one-quarter
Approximately one-half
Approximately one-third
Approximately two-thirds - Answers - Approximately two-thirds
Housing alone represents approximately ______ percent of U.S. household wealth.
46
12
22
57
19 - Answers - 22
Judgment liens against an owner of real estate may be nullified or limited by:
easements of estoppel.
appurtenant easements.
state laws governing homesteads.
easements in gross.
easements by necessity. - Answers - state laws governing homesteads.
Designating a principal residence as a homestead:
usually creates automatic protection of the residence from assessment liens up to some
limit.
usually creates automatic protection of the residence from mechanics liens up to some
limit.
, usually creates automatic protection of the residence from mortgage liens up to some
limit.
usually creates automatic protection of the residence from property tax liens up to some
limit.
usually creates automatic protection of the residence from general liens up to some
limit. - Answers - usually creates automatic protection of the residence from general
liens up to some limit.
Lien Priority in real estate is significant because of:
the fact that creditors are entitled to their fair share of
the proceeds from a property sale, according to their respective proportion of the debts
owed by the property owner.
the implications of easement of estoppel.
the "all or nothing" treatment of creditors in the event of a property sale.
the complications created under the direct co-ownership arrangement of joint tenancy.
the laws which give superiority to property tax liens. - Answers - the "all or nothing"
treatment of creditors in the event of a property sale.
Items that were formerly personal property but have been converted to real property are
called:
accessories.
attachments.
fixtures.
permanent equipment. - Answers - fixtures.
Which of these marriage-related forms of co-ownership gives the surviving spouse
about one-third of all the decedent's personal property and in-state real property?
Joint Tenancy
Dower/Curtesy
Elective Share
Which is NOT a method the federal government uses to influence the real estate
market?
through fair housing laws.
by granting housing subsidies
through income tax incentives.
by regulating building codes. - Answers - by regulating building codes.
Real estate markets differ from other asset classes by having all of the following
characteristics except:
High transaction costs.
Integrated market.
Heterogeneous product.
Local market. - Answers - Integrated market.
All of the following statements define the role of Real Estate in our economy except:
Real Estate related industries generate over 25% of the US Gross Domestic Product
(GDP).
Housing alone accounts for almost 18% of U.S. Gross Domestic Product (GDP).
Real Estate related industries create jobs for approximately 9 million Americans.
Real Estate constitutes one-half of the world's wealth.
Real Estate generates only 20% of local government revenue (property tax). - Answers
- Real Estate generates only 20% of local government revenue (property tax).
Land without any improvements is sometimes called:
bad land.
real land.
unwanted land.
,raw land. - Answers - raw land.
Approximately what portion of U.S. households owns their own home?
Approximately one-quarter
Approximately one-half
Approximately one-third
Approximately two-thirds - Answers - Approximately two-thirds
Housing alone represents approximately ______ percent of U.S. household wealth.
46
12
22
57
19 - Answers - 22
Judgment liens against an owner of real estate may be nullified or limited by:
easements of estoppel.
appurtenant easements.
state laws governing homesteads.
easements in gross.
easements by necessity. - Answers - state laws governing homesteads.
Designating a principal residence as a homestead:
usually creates automatic protection of the residence from assessment liens up to some
limit.
usually creates automatic protection of the residence from mechanics liens up to some
limit.
, usually creates automatic protection of the residence from mortgage liens up to some
limit.
usually creates automatic protection of the residence from property tax liens up to some
limit.
usually creates automatic protection of the residence from general liens up to some
limit. - Answers - usually creates automatic protection of the residence from general
liens up to some limit.
Lien Priority in real estate is significant because of:
the fact that creditors are entitled to their fair share of
the proceeds from a property sale, according to their respective proportion of the debts
owed by the property owner.
the implications of easement of estoppel.
the "all or nothing" treatment of creditors in the event of a property sale.
the complications created under the direct co-ownership arrangement of joint tenancy.
the laws which give superiority to property tax liens. - Answers - the "all or nothing"
treatment of creditors in the event of a property sale.
Items that were formerly personal property but have been converted to real property are
called:
accessories.
attachments.
fixtures.
permanent equipment. - Answers - fixtures.
Which of these marriage-related forms of co-ownership gives the surviving spouse
about one-third of all the decedent's personal property and in-state real property?
Joint Tenancy
Dower/Curtesy
Elective Share
