Colibri Real Estate (Real Estate Express) 2025 ACTUAL
EXAM QUESTIONS WITH COMPLETE SOLUTION
GUIDE) (MULTIPLE CHOICES) (A+ GRADED 100%
VERIFIED) LATEST VERSION 2025/2026
Coverage of key exam domains, such as:
Real Property, Ownership & Land Use
Laws of Agency & Fiduciary Duties
Property Valuation & Financing
Real Estate Contracts & Disclosures
Calculation problems (e.g., prorations, commissions, LTV ratios)
State-specific licensing rules
1. Which of the following is considered real property rather than personal
property?
A) A dining room set
B) Curtains
✅ C) A built-in fireplace
D) A refrigerator
📖 Rationale: Real property includes land and things permanently attached, like
built-ins. Furniture and movable appliances are personal property.
2. An agent owes their client all of the following fiduciary duties EXCEPT:
A) Loyalty
B) Disclosure
C) Obedience
✅ D) Compensation
,📖 Rationale: Agents owe fiduciary duties such as loyalty, obedience, care,
confidentiality, and disclosure. Compensation is not a duty—it’s a contractual
agreement.
3. A legal description using metes and bounds always begins and ends at the:
A) Section corner
B) Township line
✅ C) Point of beginning
D) Base line
📖 Rationale: Metes and bounds descriptions must have a point of beginning
(POB) that is also the ending point.
4. If a borrower pays 3 discount points on a $200,000 loan, how much is paid?
A) $4,000
✅ B) $6,000
C) $5,500
D) $2,000
📖 Rationale: One discount point = 1% of the loan. 3% × $200,000 = $6,000.
5. A seller tells their agent they want to sell “as is.” The agent discovers a
serious roof leak. What must the agent do?
A) Keep silent to honor loyalty
✅ B) Disclose the defect to potential buyers
C) Tell only the broker
D) Ignore since “as is” covers it
📖 Rationale: Known material defects must always be disclosed, regardless of “as
is” sales.
6. The bundle of rights includes all EXCEPT:
,A) Right to possess
B) Right to control
C) Right to exclude
✅ D) Right to tax
📖 Rationale: Bundle of rights covers possession, control, exclusion, enjoyment,
and disposition. Taxation belongs to the government.
7. Which lien takes highest priority?
✅ A) Property tax lien
B) Mechanic’s lien
C) Mortgage lien
D) Judgment lien
📖 Rationale: Property tax liens and special assessments take priority over all
other liens.
8. A buyer makes an offer that is accepted by the seller. Before closing, the
house burns down. Who bears the risk if no insurance is in place?
A) The seller
✅ B) The buyer
C) The broker
D) Both equally
📖 Rationale: Under equitable title, risk of loss transfers to the buyer once the
contract is executed, unless the contract states otherwise.
9. Which of the following is an example of police power?
A) A mortgage foreclosure
✅ B) Zoning laws
C) Eminent domain
D) Escheat
, 📖 Rationale: Police power is the state’s authority to regulate for health, safety,
and welfare, including zoning. Eminent domain is the power to take property with
compensation.
10. Which approach to value is MOST often used for single-family residential
properties?
A) Income approach
B) Cost approach
✅ C) Sales comparison approach
D) Capitalization approach
📖 Rationale: The sales comparison approach is most reliable for valuing
residential properties when there are sufficient comparable sales.
11. Which of the following best describes eminent domain?
A) Government seizure of property without compensation
✅ B) Government’s right to take private property for public use with just
compensation
C) A private developer’s right to purchase land
D) The right of reversion in leases
📖 Rationale: Eminent domain allows government to take private property for
public use with fair compensation under the Fifth Amendment.
12. A special assessment tax is usually levied for:
A) Income taxes
✅ B) Local improvements like sidewalks and sewers
C) School district funding
D) State sales tax
📖 Rationale: Special assessments are charges to property owners for specific
local improvements that benefit their property.
EXAM QUESTIONS WITH COMPLETE SOLUTION
GUIDE) (MULTIPLE CHOICES) (A+ GRADED 100%
VERIFIED) LATEST VERSION 2025/2026
Coverage of key exam domains, such as:
Real Property, Ownership & Land Use
Laws of Agency & Fiduciary Duties
Property Valuation & Financing
Real Estate Contracts & Disclosures
Calculation problems (e.g., prorations, commissions, LTV ratios)
State-specific licensing rules
1. Which of the following is considered real property rather than personal
property?
A) A dining room set
B) Curtains
✅ C) A built-in fireplace
D) A refrigerator
📖 Rationale: Real property includes land and things permanently attached, like
built-ins. Furniture and movable appliances are personal property.
2. An agent owes their client all of the following fiduciary duties EXCEPT:
A) Loyalty
B) Disclosure
C) Obedience
✅ D) Compensation
,📖 Rationale: Agents owe fiduciary duties such as loyalty, obedience, care,
confidentiality, and disclosure. Compensation is not a duty—it’s a contractual
agreement.
3. A legal description using metes and bounds always begins and ends at the:
A) Section corner
B) Township line
✅ C) Point of beginning
D) Base line
📖 Rationale: Metes and bounds descriptions must have a point of beginning
(POB) that is also the ending point.
4. If a borrower pays 3 discount points on a $200,000 loan, how much is paid?
A) $4,000
✅ B) $6,000
C) $5,500
D) $2,000
📖 Rationale: One discount point = 1% of the loan. 3% × $200,000 = $6,000.
5. A seller tells their agent they want to sell “as is.” The agent discovers a
serious roof leak. What must the agent do?
A) Keep silent to honor loyalty
✅ B) Disclose the defect to potential buyers
C) Tell only the broker
D) Ignore since “as is” covers it
📖 Rationale: Known material defects must always be disclosed, regardless of “as
is” sales.
6. The bundle of rights includes all EXCEPT:
,A) Right to possess
B) Right to control
C) Right to exclude
✅ D) Right to tax
📖 Rationale: Bundle of rights covers possession, control, exclusion, enjoyment,
and disposition. Taxation belongs to the government.
7. Which lien takes highest priority?
✅ A) Property tax lien
B) Mechanic’s lien
C) Mortgage lien
D) Judgment lien
📖 Rationale: Property tax liens and special assessments take priority over all
other liens.
8. A buyer makes an offer that is accepted by the seller. Before closing, the
house burns down. Who bears the risk if no insurance is in place?
A) The seller
✅ B) The buyer
C) The broker
D) Both equally
📖 Rationale: Under equitable title, risk of loss transfers to the buyer once the
contract is executed, unless the contract states otherwise.
9. Which of the following is an example of police power?
A) A mortgage foreclosure
✅ B) Zoning laws
C) Eminent domain
D) Escheat
, 📖 Rationale: Police power is the state’s authority to regulate for health, safety,
and welfare, including zoning. Eminent domain is the power to take property with
compensation.
10. Which approach to value is MOST often used for single-family residential
properties?
A) Income approach
B) Cost approach
✅ C) Sales comparison approach
D) Capitalization approach
📖 Rationale: The sales comparison approach is most reliable for valuing
residential properties when there are sufficient comparable sales.
11. Which of the following best describes eminent domain?
A) Government seizure of property without compensation
✅ B) Government’s right to take private property for public use with just
compensation
C) A private developer’s right to purchase land
D) The right of reversion in leases
📖 Rationale: Eminent domain allows government to take private property for
public use with fair compensation under the Fifth Amendment.
12. A special assessment tax is usually levied for:
A) Income taxes
✅ B) Local improvements like sidewalks and sewers
C) School district funding
D) State sales tax
📖 Rationale: Special assessments are charges to property owners for specific
local improvements that benefit their property.
