California Real Estate Exam 2025
Questions and Answers
An insurance policy which combines personal liability insurance and hazard insurance coverage for
a dwelling and its contents is called - Correct Answer✔️✔️-Homeowners insurance
What is the status of a contract when all the terms have been fulfilled and the transaction has been
closed? - Correct Answer✔️✔️-Fully executed
Surface rights, air, rights, and subsurface rights are all rights that can be sold by a property owner
while still retaining the property itself. These rights are known as: - Correct Answer✔️✔️-Several
rights
When an easement allows the use of a neighboring property which automatically transfers upon the
sale of either dominant or servient property. It is called what type of easement - Correct
Answer✔️✔️-Easement appurtenant
Linda purchased a fee simple interest for the private use of a residential property for one week every
single year. What did Linda purchase? - Correct Answer✔️✔️-Resort timeshare
What is the highest form of landownership which includes the full and complete bundle of property
rights? - Correct Answer✔️✔️-Fee simple absolute
FOR STUDY PURPOSES ONLY COPYRIGHT © 2025 ALL RIGHTS RESERVED 1
, What type of ownership would allow two or more owners to have various unequal percentages of
ownership? - Correct Answer✔️✔️-Tenancy in common
Tendency in severalty is best described as - Correct Answer✔️✔️-One property owner
Which of the following is not one of the four land use controls? - Correct Answer✔️✔️-intestate
What is the general purpose for cities to require building permits? - Correct Answer✔️✔️-To
require a minimum level of construction standards
The interest rate bank charge to their preferred customers is called - Correct Answer✔️✔️-The
prime rate
The city of Brownwood plants to build a new water treatment facility, but the land that is required is
privately owned. Eminent domain allows the city to - Correct Answer✔️✔️-Take possession of the
land against the owners wishes yet the owner must be compensated
When the appraised value of a property is given, it is based on - Correct Answer✔️✔️-Comparable
sales
Agent Brooke is preparing for a listing appointment and has gathered information to prepare a
report of recent market data for the seller to review. The report agents reconcile to obtain a
reasonable list price for a property based on current listings, recent sales and expireds would be
called. - Correct Answer✔️✔️-Comparative market analysis (CMA)
Paul owns an older residential property in an area now zone for commercial use. Paul decides to
renovate the home into a laundromat. The change in the properties functionality for Paul's financial
gain is an example of what - Correct Answer✔️✔️-Highest and best use
FOR STUDY PURPOSES ONLY COPYRIGHT © 2025 ALL RIGHTS RESERVED 2
Questions and Answers
An insurance policy which combines personal liability insurance and hazard insurance coverage for
a dwelling and its contents is called - Correct Answer✔️✔️-Homeowners insurance
What is the status of a contract when all the terms have been fulfilled and the transaction has been
closed? - Correct Answer✔️✔️-Fully executed
Surface rights, air, rights, and subsurface rights are all rights that can be sold by a property owner
while still retaining the property itself. These rights are known as: - Correct Answer✔️✔️-Several
rights
When an easement allows the use of a neighboring property which automatically transfers upon the
sale of either dominant or servient property. It is called what type of easement - Correct
Answer✔️✔️-Easement appurtenant
Linda purchased a fee simple interest for the private use of a residential property for one week every
single year. What did Linda purchase? - Correct Answer✔️✔️-Resort timeshare
What is the highest form of landownership which includes the full and complete bundle of property
rights? - Correct Answer✔️✔️-Fee simple absolute
FOR STUDY PURPOSES ONLY COPYRIGHT © 2025 ALL RIGHTS RESERVED 1
, What type of ownership would allow two or more owners to have various unequal percentages of
ownership? - Correct Answer✔️✔️-Tenancy in common
Tendency in severalty is best described as - Correct Answer✔️✔️-One property owner
Which of the following is not one of the four land use controls? - Correct Answer✔️✔️-intestate
What is the general purpose for cities to require building permits? - Correct Answer✔️✔️-To
require a minimum level of construction standards
The interest rate bank charge to their preferred customers is called - Correct Answer✔️✔️-The
prime rate
The city of Brownwood plants to build a new water treatment facility, but the land that is required is
privately owned. Eminent domain allows the city to - Correct Answer✔️✔️-Take possession of the
land against the owners wishes yet the owner must be compensated
When the appraised value of a property is given, it is based on - Correct Answer✔️✔️-Comparable
sales
Agent Brooke is preparing for a listing appointment and has gathered information to prepare a
report of recent market data for the seller to review. The report agents reconcile to obtain a
reasonable list price for a property based on current listings, recent sales and expireds would be
called. - Correct Answer✔️✔️-Comparative market analysis (CMA)
Paul owns an older residential property in an area now zone for commercial use. Paul decides to
renovate the home into a laundromat. The change in the properties functionality for Paul's financial
gain is an example of what - Correct Answer✔️✔️-Highest and best use
FOR STUDY PURPOSES ONLY COPYRIGHT © 2025 ALL RIGHTS RESERVED 2
