NATIONAL REAL ESTATE EXAM PRACTICE
QUESTIONS WITH CORRECT SOLUTIONS
1. A seller is attending the closing on his property. The title company has discovered
an unsatisfied M&M lien on the property. Which of the following is the most likely
reason for the lien? - ANS☑☑---plumbing work that was completed but never
paid for
2. A listing agent went to inspect a seller's property hoping to list it for sale. The
seller told the listing agent that his neighbor's satellite dish trespasses on his
property. This is an example of... - ANS☑☑---encroachment
3. A father gives his son a life estate on a property. The son leases the property. The
tenant dies. What happens to the property? - ANS☑☑---it goes back to the son
until he dies
4. A man leaves his second wife a life estate in their home after which the property
goes to his children from his first marriage. The children... - ANS☑☑---are
remaindermen
5. A property owner has decided to do some landscaping work on his yard. He has
planted a tree surrounded by some flowering shrubs. The tree and shrubs are an
example of... - ANS☑☑---improvements
6. A property owner has a waterfront lot on a stream. He has the right to use the
water from the stream. What is this right called? - ANS☑☑---riparian
7. A tenant is aware that his lease will expire at the end of the month. He has begun
to disassemble his display cabinets and shelves. Which of the following
, statements about this is true - ANS☑☑---the tenant can take these as they are
trade fixtures
8. Which of the following statements about an easement is true? - ANS☑☑---an
easement is a benefit to the dominant property owner
9. P, Q and R are joint tenants. P wants to sell the property, but Q and R do not. What
can P do? - ANS☑☑---file a suit for partition
10. A, B and C are joint tenants. C dies. B sells his share to D. What type of ownership
do A and D have? - ANS☑☑---tenants in common
11. Under what right can the government change property use from commercial to
residential only? - ANS☑☑---police power
12. Ownership of the common areas of condominiums is most likely to be: -
ANS☑☑---tenancy in common
13. What should a buyer do to ensure that his is getting the best title to real property?
- ANS☑☑---get a general warranty deed
14. Which covenant in a deed guarantees that the owners will not suffer or be
disturbed by any claims on the property? - ANS☑☑---the covenant of quiet
enjoyment
15. Excess money at a foreclosure sale goes to... - ANS☑☑---the borrower
, 16. After defaulting on a real estate loan, a borrower is able to pay off the loan prior
to the foreclosure sale. This is called: - ANS☑☑---right of redemption
17. The required distance between buildings and a federally protected endangered
species wetlands is an example of... - ANS☑☑---a buffer zone
18. A couple purchased a condominium. The complex has an exercise room for all
residents. The couple does not use the exercise room and does not want to pay
the monthly fee for the use of the facility. What can they do to avoid this fee? -
ANS☑☑---they must pay the fee as they have a tenancy in common interest in
all common areas
19. Which of the following is personal property? - ANS☑☑---a lease
20. A landlord leased space in his new retail property to an inexperienced business
person. Based on location and the type of business, the landlord believes it will be
a great success. What type of lease can he enter into with the tenant that will
allow the landlord to benefit from the tenant's success? - ANS☑☑---a
percentage lease
21. A buyer has purchased a property and after closing the seller will continue to
occupy the property. This is an example of... - ANS☑☑---sale and leaseback
22. Your client will be able to qualify for a property they wish to purchase in about 6
months, after they had an opportunity to reduce their consumer debt. They have
found a property that they would like to purchase now. What type of agreement
can they enter into with a seller that will allow them to occupy the property now
and purchase it within the 6 months? - ANS☑☑---lease with an option to buy
QUESTIONS WITH CORRECT SOLUTIONS
1. A seller is attending the closing on his property. The title company has discovered
an unsatisfied M&M lien on the property. Which of the following is the most likely
reason for the lien? - ANS☑☑---plumbing work that was completed but never
paid for
2. A listing agent went to inspect a seller's property hoping to list it for sale. The
seller told the listing agent that his neighbor's satellite dish trespasses on his
property. This is an example of... - ANS☑☑---encroachment
3. A father gives his son a life estate on a property. The son leases the property. The
tenant dies. What happens to the property? - ANS☑☑---it goes back to the son
until he dies
4. A man leaves his second wife a life estate in their home after which the property
goes to his children from his first marriage. The children... - ANS☑☑---are
remaindermen
5. A property owner has decided to do some landscaping work on his yard. He has
planted a tree surrounded by some flowering shrubs. The tree and shrubs are an
example of... - ANS☑☑---improvements
6. A property owner has a waterfront lot on a stream. He has the right to use the
water from the stream. What is this right called? - ANS☑☑---riparian
7. A tenant is aware that his lease will expire at the end of the month. He has begun
to disassemble his display cabinets and shelves. Which of the following
, statements about this is true - ANS☑☑---the tenant can take these as they are
trade fixtures
8. Which of the following statements about an easement is true? - ANS☑☑---an
easement is a benefit to the dominant property owner
9. P, Q and R are joint tenants. P wants to sell the property, but Q and R do not. What
can P do? - ANS☑☑---file a suit for partition
10. A, B and C are joint tenants. C dies. B sells his share to D. What type of ownership
do A and D have? - ANS☑☑---tenants in common
11. Under what right can the government change property use from commercial to
residential only? - ANS☑☑---police power
12. Ownership of the common areas of condominiums is most likely to be: -
ANS☑☑---tenancy in common
13. What should a buyer do to ensure that his is getting the best title to real property?
- ANS☑☑---get a general warranty deed
14. Which covenant in a deed guarantees that the owners will not suffer or be
disturbed by any claims on the property? - ANS☑☑---the covenant of quiet
enjoyment
15. Excess money at a foreclosure sale goes to... - ANS☑☑---the borrower
, 16. After defaulting on a real estate loan, a borrower is able to pay off the loan prior
to the foreclosure sale. This is called: - ANS☑☑---right of redemption
17. The required distance between buildings and a federally protected endangered
species wetlands is an example of... - ANS☑☑---a buffer zone
18. A couple purchased a condominium. The complex has an exercise room for all
residents. The couple does not use the exercise room and does not want to pay
the monthly fee for the use of the facility. What can they do to avoid this fee? -
ANS☑☑---they must pay the fee as they have a tenancy in common interest in
all common areas
19. Which of the following is personal property? - ANS☑☑---a lease
20. A landlord leased space in his new retail property to an inexperienced business
person. Based on location and the type of business, the landlord believes it will be
a great success. What type of lease can he enter into with the tenant that will
allow the landlord to benefit from the tenant's success? - ANS☑☑---a
percentage lease
21. A buyer has purchased a property and after closing the seller will continue to
occupy the property. This is an example of... - ANS☑☑---sale and leaseback
22. Your client will be able to qualify for a property they wish to purchase in about 6
months, after they had an opportunity to reduce their consumer debt. They have
found a property that they would like to purchase now. What type of agreement
can they enter into with a seller that will allow them to occupy the property now
and purchase it within the 6 months? - ANS☑☑---lease with an option to buy
