NC Real Estate Exam Test with 100% Verified Answers
land - -Earth's surface extending downward to the center of the earth and upward to
infinity, including things permanently attached by nature, such as trees and water.
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real estate - -Land at, above, and below the earth's surface, including all things
permanently attached to it (natural or artificial)
real property - -The land itself, the improvements thereon, and the interests,
benefits, and rights inherent in the ownership of real estate (i.e. the legal relationship).
chattels - -Items of personal property, an item of movable personal property. Also
known as personalty.
improved land - -Land with man-made alterations such as streets, utilities, sewers.
personal property - -All property that does not fit the definition of real property. It is
property that is movable.
Economic Characteristics of Real Estate - -Scarcity, Location, Improvements,
Permanence of Investment
Physical Characteristics of Real Estate - -Immobility, Industructibility, Uniqueness
highest and best Use - -The use that will give the owners the greatest actual return on
their investment.
, Factors that affect demand - -Population, demographics, employment and wage
levels.
Page | 2 Factors that affect supply - -Labor force, construction costs, government controls,
and monetary or financial policies.
broker - -An agent who negotiates the sale, purchase, or rental of property on behalf
of others for a fee or commission
business cycle - -The upward and downward fluctuations in business activities
generally characterized by four stages: expansion, recession, depression, and revival.
demand - -The amount of goods people are willing and able to buy at a given price.
market - -A place where goods can be bought and sold and value established.
nonhomogeneity - -A lack of uniformity; dissimilarity; heterogeneity. Because no two
parcels of land are exactly alike, real estate is said to be this.
provisional broker - -A real estate licensee who performs real estate activities under
the supervision of a licensed real estate broker-in-charge.
situs - -The personal preference of people for one location over another, not
necessarily based on objective facts and knowledge.
supply - -The amount of goods available in the market to be sold at a given price.
, improved land - -Land with man-made alterations such as streets, utilities, sewers.
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appurtenance - -A right, a privilege, or an improvement belonging to, and passing
with, the land.
surface rights - -The rights to use the surface of the earth
air rights - -The rights to use the air above the land.
water rights - -The right to use adjacent bodies of water.
riparian rights - -Unrestricted rights granted to owners of land located along the
course of a river, stream, or lake.
littoral rights - -Unrestricted rights granted to owners whose land borders oceans
and large, navigable lakes that have a tide.
accretion - -An increase in land resulting from the deposit of soil by the water.
lateral support - -The right to have adjacent property support the natural boundaries
of the land.
manufactured home - -A home that is built according to the United States
Department of Housing and Urban Develpment (HUD) construction standards. Also known
as a mobile home or house trailer.
, modular home - -Units that are constructed in factories off-site according to state
building codes. Once assembled on the home site, it is immediately considered to be real
property.
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fructus naturales - -Fruits of nature.
emblements (fructus industriales) - -Growing crops, such as grapes and corn, that
are produced annually through labor and industry. Usually considered to be personal
property.
fixture - -An item that was once personal property but has been affixed to land or
building.
trade fixture - -An article owned by a tenant and attached to a rented space or
building for use in conducting a business.
agricultural fixtures - -Fixtures used in farming operations. They are considered real
property.
fee simple absolute - -Ownership on which there are no limitations, the highest form
of land ownership.
fee simple defeasible - -An estate which may be lost on the occurrence or
nonoccurrence of a specified event.
land - -Earth's surface extending downward to the center of the earth and upward to
infinity, including things permanently attached by nature, such as trees and water.
Page | 1
real estate - -Land at, above, and below the earth's surface, including all things
permanently attached to it (natural or artificial)
real property - -The land itself, the improvements thereon, and the interests,
benefits, and rights inherent in the ownership of real estate (i.e. the legal relationship).
chattels - -Items of personal property, an item of movable personal property. Also
known as personalty.
improved land - -Land with man-made alterations such as streets, utilities, sewers.
personal property - -All property that does not fit the definition of real property. It is
property that is movable.
Economic Characteristics of Real Estate - -Scarcity, Location, Improvements,
Permanence of Investment
Physical Characteristics of Real Estate - -Immobility, Industructibility, Uniqueness
highest and best Use - -The use that will give the owners the greatest actual return on
their investment.
, Factors that affect demand - -Population, demographics, employment and wage
levels.
Page | 2 Factors that affect supply - -Labor force, construction costs, government controls,
and monetary or financial policies.
broker - -An agent who negotiates the sale, purchase, or rental of property on behalf
of others for a fee or commission
business cycle - -The upward and downward fluctuations in business activities
generally characterized by four stages: expansion, recession, depression, and revival.
demand - -The amount of goods people are willing and able to buy at a given price.
market - -A place where goods can be bought and sold and value established.
nonhomogeneity - -A lack of uniformity; dissimilarity; heterogeneity. Because no two
parcels of land are exactly alike, real estate is said to be this.
provisional broker - -A real estate licensee who performs real estate activities under
the supervision of a licensed real estate broker-in-charge.
situs - -The personal preference of people for one location over another, not
necessarily based on objective facts and knowledge.
supply - -The amount of goods available in the market to be sold at a given price.
, improved land - -Land with man-made alterations such as streets, utilities, sewers.
Page | 3
appurtenance - -A right, a privilege, or an improvement belonging to, and passing
with, the land.
surface rights - -The rights to use the surface of the earth
air rights - -The rights to use the air above the land.
water rights - -The right to use adjacent bodies of water.
riparian rights - -Unrestricted rights granted to owners of land located along the
course of a river, stream, or lake.
littoral rights - -Unrestricted rights granted to owners whose land borders oceans
and large, navigable lakes that have a tide.
accretion - -An increase in land resulting from the deposit of soil by the water.
lateral support - -The right to have adjacent property support the natural boundaries
of the land.
manufactured home - -A home that is built according to the United States
Department of Housing and Urban Develpment (HUD) construction standards. Also known
as a mobile home or house trailer.
, modular home - -Units that are constructed in factories off-site according to state
building codes. Once assembled on the home site, it is immediately considered to be real
property.
Page | 4
fructus naturales - -Fruits of nature.
emblements (fructus industriales) - -Growing crops, such as grapes and corn, that
are produced annually through labor and industry. Usually considered to be personal
property.
fixture - -An item that was once personal property but has been affixed to land or
building.
trade fixture - -An article owned by a tenant and attached to a rented space or
building for use in conducting a business.
agricultural fixtures - -Fixtures used in farming operations. They are considered real
property.
fee simple absolute - -Ownership on which there are no limitations, the highest form
of land ownership.
fee simple defeasible - -An estate which may be lost on the occurrence or
nonoccurrence of a specified event.
