PSI National Real Estate Exam 2027 Final Complete Questions
and 100% Correct Answers (Ultimate Pass Guide)
Question 1.
What is the main difference between tendency in common and joint tendency is that
with tendency in common, when a co-owner dies?
Correct Answer: the undivided interest passes to his heirs
Question 2.
A tenant rented an apartment signing a 15 month lease. After the lease expired, the
tenant paid 1 month's rent and got a receipt. What kind of leasehold does this tenant
have?
Correct Answer: Tenancy at will
Question 3.
Although states make specific laws governing water rights and the rights in land that
borders water, most states generally follow one of two basic doctrines regarding water
rights. Either riparian and littoral rights are automatically conveyed with property, or all
water rights are controlled by the state under the doctrine of?
Correct Answer: prior appropriation
Question 4.
Legal description using the government survey system are not generally used in?
Correct Answer: the original 13 states
Question 5.
An owner hired a construction company to build a swimming pool at a new home. The
owner failed to pay the bill once the work was completed and the construction company
filed a lien to obtain payment of the debt. The encumbrance created is called?
Correct Answer: a mechanic's lien
Question 6.
Building codes are?
Correct Answer: ordinances that specify construction standards
Question 7.
An environmental impact statement (IES)
Correct Answer: projects the impact on environment or proposed project
,Question 8.
A lawsuit for inverse condemnation may be brought by
Correct Answer: the homeowner
Question 9.
A deed restriction is applicable to the activities of?
Correct Answer: all owners present and future
Question 10.
A land owner wishes to build a neighborhood grocery store on a busy street in an area
zoned for residential use. What would most likely be used to obtain permission for this
store?
Correct Answer: Conditional use permit or zoning variance
Question 11.
When preparing a market data estimate of value, what category of adjustment is NOT
essential?
Correct Answer: the original cost of the building
Question 12.
Depreciation is calculated based on the?
Correct Answer: cost of the building only
• A competitive market analysis is MOST often used for? -✓✓setting a listing
price
Question 13.
A prospective seller asks a salesperson to recommend a listing price for a property. The
salesperson should suggest?
Correct Answer: a competitive market analysis to determine the property's
value
Question 14.
A couple owns an older home in a neighborhood that is becoming a commercial area.
Because of the change in the use of the land, the couple can expect the value of their
parcel to increase at some future time. This is an example of the principle of
Correct Answer: anticipation
, Question 15.
A formal appraisal will ALWAYS be REQUIRED when the
Correct Answer: lender wants to sell the mortgage to the secondary market
Question 16.
If all other factors are equal, in which location is a parking lot likely to bring the highest
sales price?
Correct Answer: Business district zoned for a six-story office building
Question 17.
Federal Truth-in-lending laws are also known as?
Correct Answer: regulation z.
Question 18.
Which of the following consumers would be able to derive the most benefit from a
reverse mortgage?
Correct Answer: A couple in their late 60's who need to tap their home equity
to help cover their expenses but do not want to sell their house.
Question 19.
The FHA functions MOST like?
Correct Answer: an insurance company
Question 20.
According to the Truth-in-lending act, if any "trigger terms" are used in an ad, all of the
following disclosures MUST appear in the ad EXCEPT the
Correct Answer: prepayment penalties and rebates
Question 21.
A borrower has defaulted on the mortgage. The mortgage contains an acceleration
clause. This permits the lender to?
Correct Answer: demand immediate payment of the entire note
Question 22.
In helping a buyer to select a lender, if the buyer believes he has good credit and his
income is documentable as a salary and by tax returns, the licensee might recommend
a mortgage banker, instead of a mortgage broker, for all of the following reasons
EXCEPT?
and 100% Correct Answers (Ultimate Pass Guide)
Question 1.
What is the main difference between tendency in common and joint tendency is that
with tendency in common, when a co-owner dies?
Correct Answer: the undivided interest passes to his heirs
Question 2.
A tenant rented an apartment signing a 15 month lease. After the lease expired, the
tenant paid 1 month's rent and got a receipt. What kind of leasehold does this tenant
have?
Correct Answer: Tenancy at will
Question 3.
Although states make specific laws governing water rights and the rights in land that
borders water, most states generally follow one of two basic doctrines regarding water
rights. Either riparian and littoral rights are automatically conveyed with property, or all
water rights are controlled by the state under the doctrine of?
Correct Answer: prior appropriation
Question 4.
Legal description using the government survey system are not generally used in?
Correct Answer: the original 13 states
Question 5.
An owner hired a construction company to build a swimming pool at a new home. The
owner failed to pay the bill once the work was completed and the construction company
filed a lien to obtain payment of the debt. The encumbrance created is called?
Correct Answer: a mechanic's lien
Question 6.
Building codes are?
Correct Answer: ordinances that specify construction standards
Question 7.
An environmental impact statement (IES)
Correct Answer: projects the impact on environment or proposed project
,Question 8.
A lawsuit for inverse condemnation may be brought by
Correct Answer: the homeowner
Question 9.
A deed restriction is applicable to the activities of?
Correct Answer: all owners present and future
Question 10.
A land owner wishes to build a neighborhood grocery store on a busy street in an area
zoned for residential use. What would most likely be used to obtain permission for this
store?
Correct Answer: Conditional use permit or zoning variance
Question 11.
When preparing a market data estimate of value, what category of adjustment is NOT
essential?
Correct Answer: the original cost of the building
Question 12.
Depreciation is calculated based on the?
Correct Answer: cost of the building only
• A competitive market analysis is MOST often used for? -✓✓setting a listing
price
Question 13.
A prospective seller asks a salesperson to recommend a listing price for a property. The
salesperson should suggest?
Correct Answer: a competitive market analysis to determine the property's
value
Question 14.
A couple owns an older home in a neighborhood that is becoming a commercial area.
Because of the change in the use of the land, the couple can expect the value of their
parcel to increase at some future time. This is an example of the principle of
Correct Answer: anticipation
, Question 15.
A formal appraisal will ALWAYS be REQUIRED when the
Correct Answer: lender wants to sell the mortgage to the secondary market
Question 16.
If all other factors are equal, in which location is a parking lot likely to bring the highest
sales price?
Correct Answer: Business district zoned for a six-story office building
Question 17.
Federal Truth-in-lending laws are also known as?
Correct Answer: regulation z.
Question 18.
Which of the following consumers would be able to derive the most benefit from a
reverse mortgage?
Correct Answer: A couple in their late 60's who need to tap their home equity
to help cover their expenses but do not want to sell their house.
Question 19.
The FHA functions MOST like?
Correct Answer: an insurance company
Question 20.
According to the Truth-in-lending act, if any "trigger terms" are used in an ad, all of the
following disclosures MUST appear in the ad EXCEPT the
Correct Answer: prepayment penalties and rebates
Question 21.
A borrower has defaulted on the mortgage. The mortgage contains an acceleration
clause. This permits the lender to?
Correct Answer: demand immediate payment of the entire note
Question 22.
In helping a buyer to select a lender, if the buyer believes he has good credit and his
income is documentable as a salary and by tax returns, the licensee might recommend
a mortgage banker, instead of a mortgage broker, for all of the following reasons
EXCEPT?
