LOUISIANA REAL ESTATE PRACTICE EXAMS
(NATIONAL)
Real property can be converted to personal property by: - Answers- severance
Legal descriptions using the government survey system are NOT generally used in: -
Answers- the original 13 states
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. In many states, the common law doctrine of riparian and littoral rights dictates
that water rights are automatically conveyed with property. In others, all water rights are
controlled by the state under the doctrine of: - Answers- prior appropriation
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 the tenant
have? - Answers- Tenancy at will
A deed restriction is applicable to the activities of: - Answers- all owners, present and
future
An environmental impact statement typically describes the effects of a proposed project
on factors such as: - Answers- public health and safety
Ordinances that specify construction standards are: - Answers- building codes
Depreciation is calculated based on the: - Answers- cost of the building only
A competitive market analysis is MOST often used for: - Answers- setting a listing price
According to the principle of progression, a three-bedroom, one-story home is MOST
likely to bring the highest sales price if located in a neighborhood in which: - Answers-
most homes are larger than the sale home
A formal appraisal will ALWAYS be REQUIRED when the: - Answers- lender wants to
sell the mortgage to the secondary market
A competitive market analysis takes into consideration: - Answers- square footage of
the subject property
When compiling a competitive market analysis, a broker would look for comparable
properties that: - Answers- were located near the property being listed
, Three identical homes in a neighborhood were listed at the same time in a market
where demand was constant. According to the law of supply and demand, which would
have sold for the lowest price? - Answers- The first sold
A prospective seller asks a salesperson to recommend a listing price for a property. The
salesperson should suggest: - Answers- a competitive market analysis to determine the
property's value
A borrower has defaulted on the mortgage. The mortgage contains an acceleration
clause. This permits the lender to: - Answers- demand immediate payment of the entire
note
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: - Answers- more variety of loan programs available
The FHA functions MOST like: - Answers- an insurance company
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: - Answers- prepayment
penalties and rebates
A homeowner is willing to let his neighbor park an RV in his backyard. He does NOT
want to make the permission permanent in case he dislikes others who might move next
door in the future. What should he give his neighbor? - Answers- A license
A judgment has been properly recorded. Any subsequent purchasers, whether they
have actually examined the record or not, have been given: - Answers- constructive
notice
The main difference between tenancy in common and joint tenancy is that with tenancy
in common, when a co-owner dies, - Answers- his undivided interest passes to his heirs
A landowner wishes to build a neighborhood grocery store on a busy street in an area
zoned for residential use. Which of the following would MOST likely be used to obtain
permission for this store? - Answers- Conditional use permit or zoning variance
An escheat occurs when: - Answers- a property owner dies without heirs or a valid will
Which of the following consumers would be able to derive the most benefit from a
reverse mortgage? - Answers- 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
Federal Truth-in-Lending laws are also known as: - Answers- Regulation Z
(NATIONAL)
Real property can be converted to personal property by: - Answers- severance
Legal descriptions using the government survey system are NOT generally used in: -
Answers- the original 13 states
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. In many states, the common law doctrine of riparian and littoral rights dictates
that water rights are automatically conveyed with property. In others, all water rights are
controlled by the state under the doctrine of: - Answers- prior appropriation
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 the tenant
have? - Answers- Tenancy at will
A deed restriction is applicable to the activities of: - Answers- all owners, present and
future
An environmental impact statement typically describes the effects of a proposed project
on factors such as: - Answers- public health and safety
Ordinances that specify construction standards are: - Answers- building codes
Depreciation is calculated based on the: - Answers- cost of the building only
A competitive market analysis is MOST often used for: - Answers- setting a listing price
According to the principle of progression, a three-bedroom, one-story home is MOST
likely to bring the highest sales price if located in a neighborhood in which: - Answers-
most homes are larger than the sale home
A formal appraisal will ALWAYS be REQUIRED when the: - Answers- lender wants to
sell the mortgage to the secondary market
A competitive market analysis takes into consideration: - Answers- square footage of
the subject property
When compiling a competitive market analysis, a broker would look for comparable
properties that: - Answers- were located near the property being listed
, Three identical homes in a neighborhood were listed at the same time in a market
where demand was constant. According to the law of supply and demand, which would
have sold for the lowest price? - Answers- The first sold
A prospective seller asks a salesperson to recommend a listing price for a property. The
salesperson should suggest: - Answers- a competitive market analysis to determine the
property's value
A borrower has defaulted on the mortgage. The mortgage contains an acceleration
clause. This permits the lender to: - Answers- demand immediate payment of the entire
note
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: - Answers- more variety of loan programs available
The FHA functions MOST like: - Answers- an insurance company
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: - Answers- prepayment
penalties and rebates
A homeowner is willing to let his neighbor park an RV in his backyard. He does NOT
want to make the permission permanent in case he dislikes others who might move next
door in the future. What should he give his neighbor? - Answers- A license
A judgment has been properly recorded. Any subsequent purchasers, whether they
have actually examined the record or not, have been given: - Answers- constructive
notice
The main difference between tenancy in common and joint tenancy is that with tenancy
in common, when a co-owner dies, - Answers- his undivided interest passes to his heirs
A landowner wishes to build a neighborhood grocery store on a busy street in an area
zoned for residential use. Which of the following would MOST likely be used to obtain
permission for this store? - Answers- Conditional use permit or zoning variance
An escheat occurs when: - Answers- a property owner dies without heirs or a valid will
Which of the following consumers would be able to derive the most benefit from a
reverse mortgage? - Answers- 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
Federal Truth-in-Lending laws are also known as: - Answers- Regulation Z
