ACEABLE REAL ESTATE PRINCIPALS 1
EXAM PRACTICE TEST Questions And
Complete Answers
What is the word used to describe something valuable that each party exchanges in order to
demonstrate that they agree to the contract's terms? consideration
In which type of residential property does a resident hold no actual ownership in the property,
but instead holds a proprietary lease as a stockholder? co-op
Where do the funds in the Real Estate Recovery Trust Account come from? license
holders
When a broker signs a listing agreement with a seller, under what classification of agency are
they operating? special agency
What does the ADA do? Prohibits discrimination against people with disabilities
For which of following things can an agent NOT discriminate? national origin
, ACEABLE REAL ESTATE PRINCIPALS 1
EXAM PRACTICE TEST Questions And
Complete Answers
According to the Equal Credit Opportunity Act (ECOA), which of these factors can a lender
NOT take into consideration when approving or denying a loan? whether or not a person
uses public assistance
According the Rectangular Survey system, what is the acreage of an area of land identified as the
N 1/2 of the S/W 1/4 of the NE 1/4? 20 acres
In Texas, mandatory membership to an HOA must be: disclosed
Which of the following best describes when a broker might act as an intermediary in Texas?
when both the seller and the buyer are clients of the same broker
What is the term for a rejection of an offer to buy or sell made with the simultaneous substitution
of a new offer? counteroffer
, ACEABLE REAL ESTATE PRINCIPALS 1
EXAM PRACTICE TEST Questions And
Complete Answers
The primary difference between an executory and an executed contract has to do with :
whether or not the terms of the contract have been completely fulfilled by all parties
When land is in short supply and in high demand: it will be more valuable
What is required for a broker to act as an intermediary in a real estate transaction? written
consent from both parties
Which of these events is least likely to be covered by standard hazard (homeowners) insurance?
Jason's basement flooded in a hurricane
What type of property rights are limited to 10 acres of contiguous parcels (for urban property) or
up to 200 acres of rural property? homestead rights
Which of these would create constructive notice that you owned a property? recording the
deed with the county
, ACEABLE REAL ESTATE PRINCIPALS 1
EXAM PRACTICE TEST Questions And
Complete Answers
Who does a listing agent usually represent? seller
Molly is part of a limited partnership. She does not handle the day-to-day business of the
partnership, and she is liable only for the money she has invested in the partnership. Based on
this description, what kind of partner is Molly most likely to be? limited partner
The starting point for a metes and bounds legal description is called a: point of beginning
Oswald's home was foreclosed on. A contractor put a $5,000 mechanic's lien on the property on
January 22, 2019. He owed $187,000 on his mortgage, originally taken out on May 1, 2015. He
also owed $18,000 on a second mortgage, taken out September 13, 2017. He also owed $12,000
in property taxes. When the house is sold, in what order will these debts most likely be paid?
taxes, mortgage, second mortgage, mechanic's lien
EXAM PRACTICE TEST Questions And
Complete Answers
What is the word used to describe something valuable that each party exchanges in order to
demonstrate that they agree to the contract's terms? consideration
In which type of residential property does a resident hold no actual ownership in the property,
but instead holds a proprietary lease as a stockholder? co-op
Where do the funds in the Real Estate Recovery Trust Account come from? license
holders
When a broker signs a listing agreement with a seller, under what classification of agency are
they operating? special agency
What does the ADA do? Prohibits discrimination against people with disabilities
For which of following things can an agent NOT discriminate? national origin
, ACEABLE REAL ESTATE PRINCIPALS 1
EXAM PRACTICE TEST Questions And
Complete Answers
According to the Equal Credit Opportunity Act (ECOA), which of these factors can a lender
NOT take into consideration when approving or denying a loan? whether or not a person
uses public assistance
According the Rectangular Survey system, what is the acreage of an area of land identified as the
N 1/2 of the S/W 1/4 of the NE 1/4? 20 acres
In Texas, mandatory membership to an HOA must be: disclosed
Which of the following best describes when a broker might act as an intermediary in Texas?
when both the seller and the buyer are clients of the same broker
What is the term for a rejection of an offer to buy or sell made with the simultaneous substitution
of a new offer? counteroffer
, ACEABLE REAL ESTATE PRINCIPALS 1
EXAM PRACTICE TEST Questions And
Complete Answers
The primary difference between an executory and an executed contract has to do with :
whether or not the terms of the contract have been completely fulfilled by all parties
When land is in short supply and in high demand: it will be more valuable
What is required for a broker to act as an intermediary in a real estate transaction? written
consent from both parties
Which of these events is least likely to be covered by standard hazard (homeowners) insurance?
Jason's basement flooded in a hurricane
What type of property rights are limited to 10 acres of contiguous parcels (for urban property) or
up to 200 acres of rural property? homestead rights
Which of these would create constructive notice that you owned a property? recording the
deed with the county
, ACEABLE REAL ESTATE PRINCIPALS 1
EXAM PRACTICE TEST Questions And
Complete Answers
Who does a listing agent usually represent? seller
Molly is part of a limited partnership. She does not handle the day-to-day business of the
partnership, and she is liable only for the money she has invested in the partnership. Based on
this description, what kind of partner is Molly most likely to be? limited partner
The starting point for a metes and bounds legal description is called a: point of beginning
Oswald's home was foreclosed on. A contractor put a $5,000 mechanic's lien on the property on
January 22, 2019. He owed $187,000 on his mortgage, originally taken out on May 1, 2015. He
also owed $18,000 on a second mortgage, taken out September 13, 2017. He also owed $12,000
in property taxes. When the house is sold, in what order will these debts most likely be paid?
taxes, mortgage, second mortgage, mechanic's lien
