Detailed California Broker Real Estate Exam
Questions with Correct Answers-Graded A.
Broker A receives two offers on Seller B's house, which is listed
for sale at $250,000. The first offer is for all cash at $200,000.
The second offer is for 20% down with 80% financing for the
full price. What should the broker do with respect to both offers?
- Correct Answer-Present both offers to the seller as soon as
possible.
The two primary documents dealing with payment of a loan are
the mortgage or deed of trust and a - Correct Answer-promissory
note.
The term that best describes a continuous urban corridor joining
at least two cities is - Correct Answer-megalopolis.
The term real property can also be described as - Correct
Answer-the bundle of rights.
The rights of a landowner to a river bordering her property are
known as - Correct Answer-riparian rights.
In the case of a transfer of ownership of a piece of real
estate, a fixture is normally - Correct Answer-assumed to be
included in the transfer.
A tenant who operates a jewelry store wants to take his jewelry
cases with him at the expiration of the lease. What is the best
solution? - Correct Answer-He may take the cases if removal will
not cause substantial damage.
A legal description of property is not adequate unless - Correct
Answer-land boundaries are defined.
The lot and block system of property description is not also
known as the - Correct Answer-rectangular survey system.
,What best describes the interests of the holder of a life estate?
- Correct Answer-possession, use, and ownership
How many acres does a section of land contain? - Correct
Answer-640 acres
The requirement that multiple owners take title to property at the
same time is a characteristic of - Correct Answer-joint tenancy.
The type of ownership that provides the most complete bundle of
rights is - Correct Answer-fee simple absolute.
Which are most similar to each other with respect to inheriting
property? - Correct Answer-joint tenancy and community property with
right of survivorship (both allow for reversion to remaining owners)
A statement of the goals and policies regarding growth of a
community is a good definition of the - Correct Answer-general
plan.
The primary difference between a common interest subdivision and
a standard subdivision is - Correct Answer-ownership of common
areas.
Which of the following is a generic term for a group of people
joining together to invest in real estate? - Correct Answer-syndicate
The proper way for a landowner who has physical difficulty in
developing his property to get relief is to obtain a - Correct
Answer-variance.
When is a landowner entitled to compensation for a change in
zoning? - Correct Answer-when the landowner is denied all practical
economic use of the property
At which lot does the Subdivided Lands Law take effect? -
Correct Answer-the fifth lot
,The state has enacted legislation providing special consideration or
control for development of - Correct Answer-rangeland, earthquake
areas & coastal areas
The land that benefits from an easement is referred to as the
- Correct Answer-dominant tenement.
All liens are encumbrances. All encumbrances are - Correct
Answer-limitations.
A deed restriction prohibiting the sale of property to certain ethnic
groups - Correct Answer-is illegal and unenforceable.
A mechanic's lien creates - Correct Answer-a cloud on title.
A private deed restriction that places a restraint on alienation -
Correct Answer-is void, restricts the sale of property and is
unenforceable.
An easement is an encumbrance - Correct Answer-always.
The seller of a one-family house is required to disclose to
buyers - Correct Answer-the structural and mechanical condition of
the property.
The process by which eminent domain occurs is called - Correct
Answer-police power.
An agent represents a - Correct Answer-principal.
Which of the following types of easement does not run with the
land? - Correct Answer-the electric company's easement to cross
over your land with their power lines
What is another term for an agent entrusted to act on
someone's behalf? - Correct Answer-fiduciary
, The agent who brings a ready, willing, and able buyer to a
seller is commonly called the - Correct Answer-procuring cause.
Broker A agrees to represent Seller B in the sale of her
house. Seller B agrees to pay Broker A a commission if he
successfully sells the house. What do we know for certain based
on these facts? - Correct Answer-A bilateral express contract exists
between Broker A and Seller B
Broker A has a listing agreement to sell Seller B's house.
Broker A brings an offer to Seller B on behalf of Buyer C.
Seller B rejects the offer and a week later attempts to negotiate
directly with Buyer C. Seller B has violated - Correct Answer-the
duty of care.
Seller A wants to walk away with $200,000 after the sale of
her house and all expenses are paid. She agrees that Broker B
can keep, as his fee, anything he gets above that. What type
of agreement have they made? - Correct Answer-a net listing
Seller A has signed a listing agreement with Broker B. Without
the assistance of Broker B, Seller A sells her property and
under the terms of the listing agreement owes no commission to
Broker B. What type of listing agreement did Seller A sign? -
Correct Answer-an exclusive agency listing
A cooperating broker may represent - Correct Answer-the buyer or
the seller or the listing broker
This is not a type of listing agreement? - Correct Answer-multiple
listing
Broker A has a listing to market Seller B's house. He also has
a buyer's agency agreement to find a house for Buyer C. If
Buyer C becomes interested in Seller B's house what might the
danger be, if any, to Broker A? - Correct Answer-the creation of
a dual agency (this can be taken care of by disclosing to both
parties)
Questions with Correct Answers-Graded A.
Broker A receives two offers on Seller B's house, which is listed
for sale at $250,000. The first offer is for all cash at $200,000.
The second offer is for 20% down with 80% financing for the
full price. What should the broker do with respect to both offers?
- Correct Answer-Present both offers to the seller as soon as
possible.
The two primary documents dealing with payment of a loan are
the mortgage or deed of trust and a - Correct Answer-promissory
note.
The term that best describes a continuous urban corridor joining
at least two cities is - Correct Answer-megalopolis.
The term real property can also be described as - Correct
Answer-the bundle of rights.
The rights of a landowner to a river bordering her property are
known as - Correct Answer-riparian rights.
In the case of a transfer of ownership of a piece of real
estate, a fixture is normally - Correct Answer-assumed to be
included in the transfer.
A tenant who operates a jewelry store wants to take his jewelry
cases with him at the expiration of the lease. What is the best
solution? - Correct Answer-He may take the cases if removal will
not cause substantial damage.
A legal description of property is not adequate unless - Correct
Answer-land boundaries are defined.
The lot and block system of property description is not also
known as the - Correct Answer-rectangular survey system.
,What best describes the interests of the holder of a life estate?
- Correct Answer-possession, use, and ownership
How many acres does a section of land contain? - Correct
Answer-640 acres
The requirement that multiple owners take title to property at the
same time is a characteristic of - Correct Answer-joint tenancy.
The type of ownership that provides the most complete bundle of
rights is - Correct Answer-fee simple absolute.
Which are most similar to each other with respect to inheriting
property? - Correct Answer-joint tenancy and community property with
right of survivorship (both allow for reversion to remaining owners)
A statement of the goals and policies regarding growth of a
community is a good definition of the - Correct Answer-general
plan.
The primary difference between a common interest subdivision and
a standard subdivision is - Correct Answer-ownership of common
areas.
Which of the following is a generic term for a group of people
joining together to invest in real estate? - Correct Answer-syndicate
The proper way for a landowner who has physical difficulty in
developing his property to get relief is to obtain a - Correct
Answer-variance.
When is a landowner entitled to compensation for a change in
zoning? - Correct Answer-when the landowner is denied all practical
economic use of the property
At which lot does the Subdivided Lands Law take effect? -
Correct Answer-the fifth lot
,The state has enacted legislation providing special consideration or
control for development of - Correct Answer-rangeland, earthquake
areas & coastal areas
The land that benefits from an easement is referred to as the
- Correct Answer-dominant tenement.
All liens are encumbrances. All encumbrances are - Correct
Answer-limitations.
A deed restriction prohibiting the sale of property to certain ethnic
groups - Correct Answer-is illegal and unenforceable.
A mechanic's lien creates - Correct Answer-a cloud on title.
A private deed restriction that places a restraint on alienation -
Correct Answer-is void, restricts the sale of property and is
unenforceable.
An easement is an encumbrance - Correct Answer-always.
The seller of a one-family house is required to disclose to
buyers - Correct Answer-the structural and mechanical condition of
the property.
The process by which eminent domain occurs is called - Correct
Answer-police power.
An agent represents a - Correct Answer-principal.
Which of the following types of easement does not run with the
land? - Correct Answer-the electric company's easement to cross
over your land with their power lines
What is another term for an agent entrusted to act on
someone's behalf? - Correct Answer-fiduciary
, The agent who brings a ready, willing, and able buyer to a
seller is commonly called the - Correct Answer-procuring cause.
Broker A agrees to represent Seller B in the sale of her
house. Seller B agrees to pay Broker A a commission if he
successfully sells the house. What do we know for certain based
on these facts? - Correct Answer-A bilateral express contract exists
between Broker A and Seller B
Broker A has a listing agreement to sell Seller B's house.
Broker A brings an offer to Seller B on behalf of Buyer C.
Seller B rejects the offer and a week later attempts to negotiate
directly with Buyer C. Seller B has violated - Correct Answer-the
duty of care.
Seller A wants to walk away with $200,000 after the sale of
her house and all expenses are paid. She agrees that Broker B
can keep, as his fee, anything he gets above that. What type
of agreement have they made? - Correct Answer-a net listing
Seller A has signed a listing agreement with Broker B. Without
the assistance of Broker B, Seller A sells her property and
under the terms of the listing agreement owes no commission to
Broker B. What type of listing agreement did Seller A sign? -
Correct Answer-an exclusive agency listing
A cooperating broker may represent - Correct Answer-the buyer or
the seller or the listing broker
This is not a type of listing agreement? - Correct Answer-multiple
listing
Broker A has a listing to market Seller B's house. He also has
a buyer's agency agreement to find a house for Buyer C. If
Buyer C becomes interested in Seller B's house what might the
danger be, if any, to Broker A? - Correct Answer-the creation of
a dual agency (this can be taken care of by disclosing to both
parties)
