Ct Real Estate Practice exam general
1. Two lots of the same size are sold on a street. The lot on the corner sells for $20,000 more than the lot in the middle of the street. Which of
the following characteristics MOST likely explains the price difference?: Situs
2. How does a creditor who has obtained a judgment get satisfaction against a debtor who will not pay?: Writ of execution
3. What type of map is MOST useful for describing the terrain of a very hilly lot?: Contour map
4. 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?: Tenancy at will
5. A major difference between freehold and nonfreehold estates is that all freehold estates: are of indeterminable duration
6. Real property can be converted to personal property by: Severance
7. A lawsuit for inverse condemnation may be brought by: a homeowner
8. A deed restriction is applicable to the activities of: present and future owners. 9. If conditions for purchase are included in a deed and
these conditions are violated, what is the penalty?: Return of the property to the original owner. 10. The terms "littoral," "riparian," and
"appropriative" refer to: water rights.
11. Which of the following BEST illustrates the concept and intent of a buffer zone?: Garden apartments located between a single-family
residential neighborhood and a shopping center.
12. A property owner died, having willed his real property to his two daughters. There is still a chance that they could lose the land for a
variety of reasons, but it CANNOT be taken through: escheat
13. An environmental impact statement typically describes the effects of a proposed project on factors such as: public health and safety
14. All of the following are methods to calculate the reproduction or replacement cost of a building EXCEPT the: straight-line method
15. Which of the following approaches MOST reliably estimates the sales price of a single-family residence?: Market data
16. A formal appraisal will ALWAYS be REQUIRED when the: lender wants to sell the mortgage to the secondary market.
17. 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: most homes are larger than the sale home.
18. An appraiser MUST be licensed or certified to handle Federally related work on residential property valued at more than: $250,000
19. A competitive market analysis is MOST often used for: setting a listing price
20. Which rule-of-thumb version is being offered to an investor who is told that a house renting for $900 a month should sell for about
$90,000?: GRM
21. When a property owner uses his home as collateral for a loan and creates a lien in favor of the lender, title is held by the: mortgagor
22. When the sellers are lending part of the purchase price, they may secure the debt either with a deed of trust or a mortgage. For the
seller, one benefit of the deed of trust is that: foreclosure is usually simpler and faster
23. Regulation Z requires that the borrower be fully informed of all of the following EXCEPT: the total interest
24. The FHA functions MOST like: an insurance company
25. The purpose of usury laws is to regulate: interest rates charged by lenders 26. Which of the following statements about discount
points is FALSE?: They are computed as a percentage of the selling price
27. A borrower has defaulted on the mortgage. The mortgage contains an acceleration clause. This permits the lender to: demand
immediate payment of the entire note
1/8
, Ct Real Estate Practice exam general
28. A loan which requires the borrower to pay interest only until the maturity date (or due date), and then to pay the entire principal on
the maturity date, is called a: term loan
29. An example of a fiduciary relationship is one which exists between the listing broker and: her client
30. A broker has brought a ready, willing, and able buyer to a seller. In MOST listing contracts, the broker has earned his commission
when: the seller accepts the offer
31. One common method for controlling the problems created by conflict of interest in dual representation is: allowing a broker to
designate separate salespeople within the company as legal representatives of each of the clients. 32. The day after a broker's listing
on a house expired, it was listed with another broker and offered in the MLS. Several days later, a third licensee called the first broker and
asked for the key to show the home. The broker should inform the caller that: he is no longer the listing agent
33. When a principal authorizes an agent to perform a particular act or transaction, it is an example of a: special agency
34. A broker supplies the financing for a project to build condominiums with the stipulation that he has the exclusive right to sell the
completed condos. Which of the following BEST describes this relationship?: Agency coupled with an interest.
35. A broker, acting as agent for the seller, presents an offer to buy from the broker's former college roommate. The broker knows that
the buyer will increase the amount of the offer if the seller turns down the offer. When presenting the offer, the broker should: tell the seller
that the buyer will pay more 36. During the listing presentation, the seller questions the amount of commission to be paid and is told: the
amount of commission is negotiable
37. Which of the following events would AUTOMATICALLY cancel a listing agreement?: Property owner's death
38. Under the terms of their listing contract, the owners may sell their house themselves and pay no commission. If their agent sells it, a
commission will be due. What kind of listing contract do the owners have?: Exclusive agency listing
39. A seller tells the listing agent that her home was treated for termites 10 years ago, so there are no termites now. Before listing the
property, the agent should: tell the seller to disclose the termite treatment on the property disclosure.
40. Which of the following is the first action to take when mold problems are found?: Identify and remedy the cause of the problems
41. Without checking the facts, a broker who is the seller's agent tells a buyer that the property taxes in a particular neighborhood are
among the lowest in the area. The buyer relies on the broker's statement and makes an offer on a house in the neighborhood. Before closing, it
is determined that the taxes are actually among the highest in the area. The buyer could seek to rescind the contract on the basis of:
misrepresentation
42. The real estate broker who is listing a house for sale should personally verify: the number of square feet in the building
43. At the time of listing, the seller tells the listing agent they are moving because the neighbor has loud parties every weekend. The agent
should: tell potential buyers about the parties
44. The Department of Housing and Urban Development estimates that most private homes built before 1978 contain potentially
dangerous levels of lead. Because of this, some Federal agencies, such as FHA: require the buyer to acknowledge disclosure of the
presence of any known lead paint
45. A buyer was negotiating the purchase of a house for himself. During a conversation with the seller, the seller agreed to include all
kitchen appliances in the sale, and this fact was included in the sales contract. In this situation, if the seller takes the appliances with him, what
recourse does the buyer have?: The buyer may sue the seller for specific performance
46. The document used in a real estate sale that establishes the legal rights of the buyer and seller is the: purchase contract
47. While an agent is showing a listed property, the seller and the buyer enter into an oral agreement for the purchase of the home. If a
dispute over the terms arises later, the agreement may be unenforceable because: the agreement does not comply with the Statute of
Frauds
48. A written agreement in which a purchaser agrees to buy and a seller agrees to sell is called: a contract
2/8
1. Two lots of the same size are sold on a street. The lot on the corner sells for $20,000 more than the lot in the middle of the street. Which of
the following characteristics MOST likely explains the price difference?: Situs
2. How does a creditor who has obtained a judgment get satisfaction against a debtor who will not pay?: Writ of execution
3. What type of map is MOST useful for describing the terrain of a very hilly lot?: Contour map
4. 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?: Tenancy at will
5. A major difference between freehold and nonfreehold estates is that all freehold estates: are of indeterminable duration
6. Real property can be converted to personal property by: Severance
7. A lawsuit for inverse condemnation may be brought by: a homeowner
8. A deed restriction is applicable to the activities of: present and future owners. 9. If conditions for purchase are included in a deed and
these conditions are violated, what is the penalty?: Return of the property to the original owner. 10. The terms "littoral," "riparian," and
"appropriative" refer to: water rights.
11. Which of the following BEST illustrates the concept and intent of a buffer zone?: Garden apartments located between a single-family
residential neighborhood and a shopping center.
12. A property owner died, having willed his real property to his two daughters. There is still a chance that they could lose the land for a
variety of reasons, but it CANNOT be taken through: escheat
13. An environmental impact statement typically describes the effects of a proposed project on factors such as: public health and safety
14. All of the following are methods to calculate the reproduction or replacement cost of a building EXCEPT the: straight-line method
15. Which of the following approaches MOST reliably estimates the sales price of a single-family residence?: Market data
16. A formal appraisal will ALWAYS be REQUIRED when the: lender wants to sell the mortgage to the secondary market.
17. 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: most homes are larger than the sale home.
18. An appraiser MUST be licensed or certified to handle Federally related work on residential property valued at more than: $250,000
19. A competitive market analysis is MOST often used for: setting a listing price
20. Which rule-of-thumb version is being offered to an investor who is told that a house renting for $900 a month should sell for about
$90,000?: GRM
21. When a property owner uses his home as collateral for a loan and creates a lien in favor of the lender, title is held by the: mortgagor
22. When the sellers are lending part of the purchase price, they may secure the debt either with a deed of trust or a mortgage. For the
seller, one benefit of the deed of trust is that: foreclosure is usually simpler and faster
23. Regulation Z requires that the borrower be fully informed of all of the following EXCEPT: the total interest
24. The FHA functions MOST like: an insurance company
25. The purpose of usury laws is to regulate: interest rates charged by lenders 26. Which of the following statements about discount
points is FALSE?: They are computed as a percentage of the selling price
27. A borrower has defaulted on the mortgage. The mortgage contains an acceleration clause. This permits the lender to: demand
immediate payment of the entire note
1/8
, Ct Real Estate Practice exam general
28. A loan which requires the borrower to pay interest only until the maturity date (or due date), and then to pay the entire principal on
the maturity date, is called a: term loan
29. An example of a fiduciary relationship is one which exists between the listing broker and: her client
30. A broker has brought a ready, willing, and able buyer to a seller. In MOST listing contracts, the broker has earned his commission
when: the seller accepts the offer
31. One common method for controlling the problems created by conflict of interest in dual representation is: allowing a broker to
designate separate salespeople within the company as legal representatives of each of the clients. 32. The day after a broker's listing
on a house expired, it was listed with another broker and offered in the MLS. Several days later, a third licensee called the first broker and
asked for the key to show the home. The broker should inform the caller that: he is no longer the listing agent
33. When a principal authorizes an agent to perform a particular act or transaction, it is an example of a: special agency
34. A broker supplies the financing for a project to build condominiums with the stipulation that he has the exclusive right to sell the
completed condos. Which of the following BEST describes this relationship?: Agency coupled with an interest.
35. A broker, acting as agent for the seller, presents an offer to buy from the broker's former college roommate. The broker knows that
the buyer will increase the amount of the offer if the seller turns down the offer. When presenting the offer, the broker should: tell the seller
that the buyer will pay more 36. During the listing presentation, the seller questions the amount of commission to be paid and is told: the
amount of commission is negotiable
37. Which of the following events would AUTOMATICALLY cancel a listing agreement?: Property owner's death
38. Under the terms of their listing contract, the owners may sell their house themselves and pay no commission. If their agent sells it, a
commission will be due. What kind of listing contract do the owners have?: Exclusive agency listing
39. A seller tells the listing agent that her home was treated for termites 10 years ago, so there are no termites now. Before listing the
property, the agent should: tell the seller to disclose the termite treatment on the property disclosure.
40. Which of the following is the first action to take when mold problems are found?: Identify and remedy the cause of the problems
41. Without checking the facts, a broker who is the seller's agent tells a buyer that the property taxes in a particular neighborhood are
among the lowest in the area. The buyer relies on the broker's statement and makes an offer on a house in the neighborhood. Before closing, it
is determined that the taxes are actually among the highest in the area. The buyer could seek to rescind the contract on the basis of:
misrepresentation
42. The real estate broker who is listing a house for sale should personally verify: the number of square feet in the building
43. At the time of listing, the seller tells the listing agent they are moving because the neighbor has loud parties every weekend. The agent
should: tell potential buyers about the parties
44. The Department of Housing and Urban Development estimates that most private homes built before 1978 contain potentially
dangerous levels of lead. Because of this, some Federal agencies, such as FHA: require the buyer to acknowledge disclosure of the
presence of any known lead paint
45. A buyer was negotiating the purchase of a house for himself. During a conversation with the seller, the seller agreed to include all
kitchen appliances in the sale, and this fact was included in the sales contract. In this situation, if the seller takes the appliances with him, what
recourse does the buyer have?: The buyer may sue the seller for specific performance
46. The document used in a real estate sale that establishes the legal rights of the buyer and seller is the: purchase contract
47. While an agent is showing a listed property, the seller and the buyer enter into an oral agreement for the purchase of the home. If a
dispute over the terms arises later, the agreement may be unenforceable because: the agreement does not comply with the Statute of
Frauds
48. A written agreement in which a purchaser agrees to buy and a seller agrees to sell is called: a contract
2/8
