PSI REAL ESTATE EXAM 2 COMPLETE GUIDE WITH 100% RATED
300+ QUESTIONS AND CORRECT ANSWERS| GRADED A+ | 2025
LATEST VERSION
A grantor wishes to convey title to a grantee in a deed that creates the least protection for the
grantee. The grantor should give the grantee a - (CORRECT ANSWER)quitclaim deed
Of the following liens, which generally would be given the highest priority? - (CORRECT
ANSWER)A special assessment
You are showing a property described as being in the "nicest neighborhood in town" when, in
fact, other neighborhoods are arguably as nice. A statement such as this is MOST likely to be
categorized as - (CORRECT ANSWER)puffing
You are a chairperson of the Democratic party in your state, and you also own an eight-unit
apartment building you currently rent out. You are taking a rental application from a prospective
tenant when she informs you that she works for the Republican party of your state. You inform
her that all the apartments have been rented even though you know they have not been rented.
Which of the following statements correctly describes this unethical situation? - (CORRECT
ANSWER)you have exercised your rights as an owner of private property to discriminate
When a listing agreement includes a broker protection clause, the clause - (CORRECT
ANSWER)states that the owner will pay a commission to the listing broker if the property is sold
to a buyer with whom the broker negotiated during the listing term within a specific time after
the listing expires
Which of the following would NOT be considered to be real property?
-trees
-buildings
-trade fixtures
-water rights - (CORRECT ANSWER)-trade fixtures
,A sale is to be closed on June 23. Real estate taxes of $3,760 for the current year have not been
paid. What is the amount of real estate tax proration to be credited to the buyer? - (CORRECT
ANSWER)$1,806.86
$3, months = $313.33 per month
$313.33 30 days = $10.444 per day
$313.33 ☓ 5 months = $1,566.65
$10.444 ☓ 23 = $240.21
$1,566.65 + $240.21 = $1,806.86
The giver of an opinion is called the - (CORRECT ANSWER)optionor
Which of the following types of depreciation is generally incurable? - (CORRECT
ANSWER)economic or external obsolescence
Three investors decided to pool their savings and buy a motel for $330,000. If one invested
$90,000 and the second contributed $50,000, what percentage of ownership was left for the third
investor? - (CORRECT ANSWER)57.6%
90,000 (first investor) + 50,000 (second investor) = 140,000
330,000 - $140,000 = $190,000, third investor's contribution
part total = percent
$190,000 $330,000 = 0.5757 or 57.6%
,Which of the clauses gives a lender the right to declare the entire debt due and payable if the
mortgaged property is either assumed without lender approval or sold with a contract for deed
without lender approval - (CORRECT ANSWER)alienation clause
A woman owns a tract of land that also is a servient tenement. The easement over, through, or
under the tract is a(n) - (CORRECT ANSWER)encumbrance
In an exclusive-right-to-sell agreement, how many brokers are involved? - (CORRECT
ANSWER)one
The broker has listed an owner's home. This agreement will be terminated by all of the following
Except
-death of a listing salesman
-death of the owner
-death of the broker
-bankruptcy of the broker - (CORRECT ANSWER)-death of a listing salesman
A drunken man signed an offer to purchase. The contract that he signed is. - (CORRECT
ANSWER)voidable
The contract requires that the seller replace You sign an agreement to purchase a home the
damaged living room carpet. The carpet have chosen costs $18.95 per square you yard plus $5.50
per square yard for installation. If the living room dimensions are as illustrated below, how much
will the seller for the job? have to pay for the job
11' across the top
12' down the left side
, 14' across the bottom - (CORRECT ANSWER)11' across the top
12' down the left side
12' down the right side
14' across the bottom
$407.48
11' x 12' = 132' =132' sq ft of a rectangle 3'
1/2(3' x 12') = 1/2(36') = 18 sq ft, area of a triangle
132 + 18 =150 sq ft
to convert sq ft to sq yards, divide the number of sq ft by 9
150 9 = 16.666 sq yards
$18.95 = $5.50 = $24.45, cost per sq yard
$24.45 x 16.666 sq yards = $407.48
All of the following agency relationships could be used to describe a cooperating broker in a real
estate transaction EXCEPT
-a subagent
300+ QUESTIONS AND CORRECT ANSWERS| GRADED A+ | 2025
LATEST VERSION
A grantor wishes to convey title to a grantee in a deed that creates the least protection for the
grantee. The grantor should give the grantee a - (CORRECT ANSWER)quitclaim deed
Of the following liens, which generally would be given the highest priority? - (CORRECT
ANSWER)A special assessment
You are showing a property described as being in the "nicest neighborhood in town" when, in
fact, other neighborhoods are arguably as nice. A statement such as this is MOST likely to be
categorized as - (CORRECT ANSWER)puffing
You are a chairperson of the Democratic party in your state, and you also own an eight-unit
apartment building you currently rent out. You are taking a rental application from a prospective
tenant when she informs you that she works for the Republican party of your state. You inform
her that all the apartments have been rented even though you know they have not been rented.
Which of the following statements correctly describes this unethical situation? - (CORRECT
ANSWER)you have exercised your rights as an owner of private property to discriminate
When a listing agreement includes a broker protection clause, the clause - (CORRECT
ANSWER)states that the owner will pay a commission to the listing broker if the property is sold
to a buyer with whom the broker negotiated during the listing term within a specific time after
the listing expires
Which of the following would NOT be considered to be real property?
-trees
-buildings
-trade fixtures
-water rights - (CORRECT ANSWER)-trade fixtures
,A sale is to be closed on June 23. Real estate taxes of $3,760 for the current year have not been
paid. What is the amount of real estate tax proration to be credited to the buyer? - (CORRECT
ANSWER)$1,806.86
$3, months = $313.33 per month
$313.33 30 days = $10.444 per day
$313.33 ☓ 5 months = $1,566.65
$10.444 ☓ 23 = $240.21
$1,566.65 + $240.21 = $1,806.86
The giver of an opinion is called the - (CORRECT ANSWER)optionor
Which of the following types of depreciation is generally incurable? - (CORRECT
ANSWER)economic or external obsolescence
Three investors decided to pool their savings and buy a motel for $330,000. If one invested
$90,000 and the second contributed $50,000, what percentage of ownership was left for the third
investor? - (CORRECT ANSWER)57.6%
90,000 (first investor) + 50,000 (second investor) = 140,000
330,000 - $140,000 = $190,000, third investor's contribution
part total = percent
$190,000 $330,000 = 0.5757 or 57.6%
,Which of the clauses gives a lender the right to declare the entire debt due and payable if the
mortgaged property is either assumed without lender approval or sold with a contract for deed
without lender approval - (CORRECT ANSWER)alienation clause
A woman owns a tract of land that also is a servient tenement. The easement over, through, or
under the tract is a(n) - (CORRECT ANSWER)encumbrance
In an exclusive-right-to-sell agreement, how many brokers are involved? - (CORRECT
ANSWER)one
The broker has listed an owner's home. This agreement will be terminated by all of the following
Except
-death of a listing salesman
-death of the owner
-death of the broker
-bankruptcy of the broker - (CORRECT ANSWER)-death of a listing salesman
A drunken man signed an offer to purchase. The contract that he signed is. - (CORRECT
ANSWER)voidable
The contract requires that the seller replace You sign an agreement to purchase a home the
damaged living room carpet. The carpet have chosen costs $18.95 per square you yard plus $5.50
per square yard for installation. If the living room dimensions are as illustrated below, how much
will the seller for the job? have to pay for the job
11' across the top
12' down the left side
, 14' across the bottom - (CORRECT ANSWER)11' across the top
12' down the left side
12' down the right side
14' across the bottom
$407.48
11' x 12' = 132' =132' sq ft of a rectangle 3'
1/2(3' x 12') = 1/2(36') = 18 sq ft, area of a triangle
132 + 18 =150 sq ft
to convert sq ft to sq yards, divide the number of sq ft by 9
150 9 = 16.666 sq yards
$18.95 = $5.50 = $24.45, cost per sq yard
$24.45 x 16.666 sq yards = $407.48
All of the following agency relationships could be used to describe a cooperating broker in a real
estate transaction EXCEPT
-a subagent
