End of Year California Real Estate Exam Test
Questions with Answers.
In reference to Property Taxes, "basis" or "cost" is - Correct Answer-Purchase price of
prop plus cost of improvements.
How is a condominium unit owned? - Correct Answer-Separate interest
How are common interests in a condo owned? - Correct Answer-Equally in undivided
interest
Subdivided Land Laws refer to - Correct Answer-Subdivisions of 5+ parcels on 160 acres,
regulated marketing & financing, and requires disclosures in public report.
How long is a disclosure in public report for Subdivided Land Laws good for? - Correct
Answer-5 Years
When does a tax year run? - Correct Answer-July 1-June 30
Legally combining smaller, adjacent parcels of land to form a larger parcel. - Correct
Answer-Plottage or assemblage
Separating large parcels into smaller lots - Correct Answer-Subdividing or separating
Amount or size of land being increased by natural forces such as deposits by wind or
water. - Correct Answer-Accretion
Gradual uncovering of land previously covered by water such as when a stream changes
course. - Correct Answer-Reliction
The Statute of Limitations in the state of California allows how long to take action? -
Correct Answer-4 years
The process by which the court may seize real or personal property as security for a
satisfaction of monetary judgement. - Correct Answer-Attachment
,When is a 20-day preliminary notice of a mechanics lien need to be issued? - Correct
Answer-20-days after the claimant (contractor) has first furnished labor, services,
equipment, or materials.
What is the purpose of issuing a preliminary notice of a mechanics lien to a claimant? -
Correct Answer-To inform concerned parties that the property may be subject to liens
arising out of contract.
What is the brokers relationship to the customer? - Correct Answer-The broker is the
agent to the customer (customer employs the broker).
What is the agents (salesperson) relationship to the broker? - Correct Answer-The
salesperson is the agent to the broker (the broker gives the salesperson authority to act on
his/her behalf).
A Home Equity Line of Credit is - Correct Answer-An Open Ended Mortgage
An Open Ended Mortgage is - Correct Answer-A type of note that permits the borrower to
obtain more money at a future date under the same deed of trust.
Zoning is an example of - Correct Answer-Police power
Local jurisdictions have the authority to divide land into districts and impose land use
regulations to promote health, safety, and welfare of the public--this is known as - Correct
Answer-Zoning
When can restrictions placed on a deed be removed? - Correct Answer-Never
What is the only restriction placed on a deed that is considered illegal? - Correct Answer-
Race restrictions
Is an option contract bilateral or unilateral? - Correct Answer-Unilateral
What does an option contract NOT do? - Correct Answer-Create a legal interest in a
property
, If a buyer has defaulted on on an original land contract which had been recorded, this
would result in a defective title, requiring legal action to clear the title. This is called -
Correct Answer-a Quiet Title Action.
A promise is also known as a - Correct Answer-Covenant
A court action is mandatory to evict a delinquent tenant. This process is called - Correct
Answer-Unlawful Detainer
A verbal contract is considered - Correct Answer-Valid
California Statute of Frauds require a real estate agreement to be - Correct Answer-In
writing
What kind of listing agreement offers a listing broker to receive a commission regardless
of who is the "procuring" cause? Is also considered the greatest protection for the agent. -
Correct Answer-Exclusive right to sell
What does a deed NOT need to be considered valid? - Correct Answer-A date
A valid deed must have 3 components - Correct Answer-Be in writing, be signed by the
grantor, and delivered to the grantee
For a deed to be recorded, it must - Correct Answer-Be acknowledged (notarized)
A chattel - Correct Answer-Is most accurately described as personal property
Which is NOT corporeal property? A fee simple estate, a leasehold, an easement, or a
fixture? - Correct Answer-An easement
What is a visible or tangible right in real estate such as the right of occupancy under a
lease? - Correct Answer-Corporeal
What time of estate does one hold when it along exists with you for the duration of your life
or someone else's life? - Correct Answer-Life Estate
Questions with Answers.
In reference to Property Taxes, "basis" or "cost" is - Correct Answer-Purchase price of
prop plus cost of improvements.
How is a condominium unit owned? - Correct Answer-Separate interest
How are common interests in a condo owned? - Correct Answer-Equally in undivided
interest
Subdivided Land Laws refer to - Correct Answer-Subdivisions of 5+ parcels on 160 acres,
regulated marketing & financing, and requires disclosures in public report.
How long is a disclosure in public report for Subdivided Land Laws good for? - Correct
Answer-5 Years
When does a tax year run? - Correct Answer-July 1-June 30
Legally combining smaller, adjacent parcels of land to form a larger parcel. - Correct
Answer-Plottage or assemblage
Separating large parcels into smaller lots - Correct Answer-Subdividing or separating
Amount or size of land being increased by natural forces such as deposits by wind or
water. - Correct Answer-Accretion
Gradual uncovering of land previously covered by water such as when a stream changes
course. - Correct Answer-Reliction
The Statute of Limitations in the state of California allows how long to take action? -
Correct Answer-4 years
The process by which the court may seize real or personal property as security for a
satisfaction of monetary judgement. - Correct Answer-Attachment
,When is a 20-day preliminary notice of a mechanics lien need to be issued? - Correct
Answer-20-days after the claimant (contractor) has first furnished labor, services,
equipment, or materials.
What is the purpose of issuing a preliminary notice of a mechanics lien to a claimant? -
Correct Answer-To inform concerned parties that the property may be subject to liens
arising out of contract.
What is the brokers relationship to the customer? - Correct Answer-The broker is the
agent to the customer (customer employs the broker).
What is the agents (salesperson) relationship to the broker? - Correct Answer-The
salesperson is the agent to the broker (the broker gives the salesperson authority to act on
his/her behalf).
A Home Equity Line of Credit is - Correct Answer-An Open Ended Mortgage
An Open Ended Mortgage is - Correct Answer-A type of note that permits the borrower to
obtain more money at a future date under the same deed of trust.
Zoning is an example of - Correct Answer-Police power
Local jurisdictions have the authority to divide land into districts and impose land use
regulations to promote health, safety, and welfare of the public--this is known as - Correct
Answer-Zoning
When can restrictions placed on a deed be removed? - Correct Answer-Never
What is the only restriction placed on a deed that is considered illegal? - Correct Answer-
Race restrictions
Is an option contract bilateral or unilateral? - Correct Answer-Unilateral
What does an option contract NOT do? - Correct Answer-Create a legal interest in a
property
, If a buyer has defaulted on on an original land contract which had been recorded, this
would result in a defective title, requiring legal action to clear the title. This is called -
Correct Answer-a Quiet Title Action.
A promise is also known as a - Correct Answer-Covenant
A court action is mandatory to evict a delinquent tenant. This process is called - Correct
Answer-Unlawful Detainer
A verbal contract is considered - Correct Answer-Valid
California Statute of Frauds require a real estate agreement to be - Correct Answer-In
writing
What kind of listing agreement offers a listing broker to receive a commission regardless
of who is the "procuring" cause? Is also considered the greatest protection for the agent. -
Correct Answer-Exclusive right to sell
What does a deed NOT need to be considered valid? - Correct Answer-A date
A valid deed must have 3 components - Correct Answer-Be in writing, be signed by the
grantor, and delivered to the grantee
For a deed to be recorded, it must - Correct Answer-Be acknowledged (notarized)
A chattel - Correct Answer-Is most accurately described as personal property
Which is NOT corporeal property? A fee simple estate, a leasehold, an easement, or a
fixture? - Correct Answer-An easement
What is a visible or tangible right in real estate such as the right of occupancy under a
lease? - Correct Answer-Corporeal
What time of estate does one hold when it along exists with you for the duration of your life
or someone else's life? - Correct Answer-Life Estate
