S PSI SC LICENSE EXAM SAMPLE TEST
1. A farmer temporarily installs produce coolers in a leased farm stand in order to
prevent spoilage. The coolers would be considered which of the following? - Answers -
Trade fixtures that are personal property
2. Property can be converted from real property to personal property and from personal
to real property by means of which process respectively? - Answers - severance and
affixing
3. The highest form of ownership interest one can acquire in real estate is the - Answers
- absolute fee simple estate
4. Distinguishing feature of a defeasible fee simple estate is - Answers - that the estate
may revert to a grantor or heirs if the prescribed use changes
5. What is a Lien theory state in contrast to a title theory state? - Answers - A state in
which a mortgagor retains the title to property when a mortgage Lien is created
6. A property owner has an easement appurtant on a property. One day the property is
sold to another party who is opposed to the easement. Following the closing this
particular form of easement - Answers - transfers with the property
7. What fundamental legal purpose is fulfilled by a title record? - Answers - Giving
constructive notice of one's rights and interests in the property
8. What is "chain of title"? - Answers - A chronology of successive owners of record of a
parcel of real estate
9. Marie ever acquires a property from her uncle a form so. When Maria dies, the estate
will pass to Alfonzo's other niece, Serena. The type of estate the Marie has in the
property is a - Answers - conventional life estate
10. One difference between a cooperative estate in a condominium estate is that -
Answers - the condominium owner owns the unit of airspace whereas a co-op owner
owns a proprietary lease
11. Who are the essential parties involved in an estate in trust? - Answers - Trust or,
trustee, and beneficiary
12. A condominium owner enjoys a - Answers - fee simple ownership of the airspace in
a unit and an undivided share of the entire property's common areas
13. With various types of junior liens, the order of payment priority is generally
established according to - Answers - the date of recordation
, 14. Which of the following provides the strongest ever as is of marketable title? -
Answers - Title insurance
15. A store owner a enters into a lease that charges rent per square foot, A common
area fee, and a portion of the store owners' gross income from the property. This kind of
lease is a - Answers - percentage lease
16. An owner releases a property to a business in exchange for rent. The tenant is
required to pay all operating expenses as well. This is an example of a - Answers - net
lease
17. A lease automatically terminates under which of the following circumstances? -
Answers - The leased property is foreclosed
18. A county or municipal authority usually grants a certificate of occupancy for new
construction only after - Answers - the construction conforms to building codes
19. A property owner is precluded by deed restriction from developing a 30-foot boat
dock. The limitation prompts owner to sell to another party. The new owner - Answers -
takes title subject to the same restriction
20. Emily sells R a property containing a deed condition. The condition stipulates that
the force a portion of the property must never be raised for development. Three months
later R proceeds to harvest the trees and turn the area into an executive golf course.
What recourse if any does Emily have under the deed condition? - Answers - She has
the right to repossess the property because the grantee has violated the condition
21. What is the essential purpose of legal descriptions of real property? - Answers - To
create a consistent, unchanging standard for uniquely locating a property.
22. Which of the following characterizes metes and bounds descriptions? - Answers -
They identify an enclosed area, beginning and ending at the same point.
23. The buyer agrees to all terms of the seller's offer except the length of time for
contingency to procure financing. The buyer extends the financing period in the offer for
one week, signs the form, and mails it back to the seller. At this point the Seller's offer is
- Answers - void.
24. Real estate contracts that are not personal service contracts - Answers - may be
assigned
25. Which of the following contracts must be in writing to be enforceable? - Answers - A
two-year lease.
1. A farmer temporarily installs produce coolers in a leased farm stand in order to
prevent spoilage. The coolers would be considered which of the following? - Answers -
Trade fixtures that are personal property
2. Property can be converted from real property to personal property and from personal
to real property by means of which process respectively? - Answers - severance and
affixing
3. The highest form of ownership interest one can acquire in real estate is the - Answers
- absolute fee simple estate
4. Distinguishing feature of a defeasible fee simple estate is - Answers - that the estate
may revert to a grantor or heirs if the prescribed use changes
5. What is a Lien theory state in contrast to a title theory state? - Answers - A state in
which a mortgagor retains the title to property when a mortgage Lien is created
6. A property owner has an easement appurtant on a property. One day the property is
sold to another party who is opposed to the easement. Following the closing this
particular form of easement - Answers - transfers with the property
7. What fundamental legal purpose is fulfilled by a title record? - Answers - Giving
constructive notice of one's rights and interests in the property
8. What is "chain of title"? - Answers - A chronology of successive owners of record of a
parcel of real estate
9. Marie ever acquires a property from her uncle a form so. When Maria dies, the estate
will pass to Alfonzo's other niece, Serena. The type of estate the Marie has in the
property is a - Answers - conventional life estate
10. One difference between a cooperative estate in a condominium estate is that -
Answers - the condominium owner owns the unit of airspace whereas a co-op owner
owns a proprietary lease
11. Who are the essential parties involved in an estate in trust? - Answers - Trust or,
trustee, and beneficiary
12. A condominium owner enjoys a - Answers - fee simple ownership of the airspace in
a unit and an undivided share of the entire property's common areas
13. With various types of junior liens, the order of payment priority is generally
established according to - Answers - the date of recordation
, 14. Which of the following provides the strongest ever as is of marketable title? -
Answers - Title insurance
15. A store owner a enters into a lease that charges rent per square foot, A common
area fee, and a portion of the store owners' gross income from the property. This kind of
lease is a - Answers - percentage lease
16. An owner releases a property to a business in exchange for rent. The tenant is
required to pay all operating expenses as well. This is an example of a - Answers - net
lease
17. A lease automatically terminates under which of the following circumstances? -
Answers - The leased property is foreclosed
18. A county or municipal authority usually grants a certificate of occupancy for new
construction only after - Answers - the construction conforms to building codes
19. A property owner is precluded by deed restriction from developing a 30-foot boat
dock. The limitation prompts owner to sell to another party. The new owner - Answers -
takes title subject to the same restriction
20. Emily sells R a property containing a deed condition. The condition stipulates that
the force a portion of the property must never be raised for development. Three months
later R proceeds to harvest the trees and turn the area into an executive golf course.
What recourse if any does Emily have under the deed condition? - Answers - She has
the right to repossess the property because the grantee has violated the condition
21. What is the essential purpose of legal descriptions of real property? - Answers - To
create a consistent, unchanging standard for uniquely locating a property.
22. Which of the following characterizes metes and bounds descriptions? - Answers -
They identify an enclosed area, beginning and ending at the same point.
23. The buyer agrees to all terms of the seller's offer except the length of time for
contingency to procure financing. The buyer extends the financing period in the offer for
one week, signs the form, and mails it back to the seller. At this point the Seller's offer is
- Answers - void.
24. Real estate contracts that are not personal service contracts - Answers - may be
assigned
25. Which of the following contracts must be in writing to be enforceable? - Answers - A
two-year lease.
