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TEXAS REAL ESTATE PRACTICE EXAM QUESTIONS AND 100% CORRECT ANSWERS|LATEST 2025/2026|GRADED A+|2025/2026|VERIFIED

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TEXAS REAL ESTATE PRACTICE EXAM QUESTIONS AND 100% CORRECT ANSWERS|LATEST 2025/2026|GRADED A+|2025/2026|VERIFIED

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QUESTIONS AND 100% CORRECT
ANSWERS|LATEST 2025/2026|GRADED


A farmer temporarily installs produce coolers in a leased farm stand in order to prevent spoila
B B B B B B B B B B B B B B B



ge. The coolers would be considered which of the following?
B B B B B B B B B




a) Trade fixtures that are real property.
B B B B B B




b) Trade fixtures that are personal property.
B B B B B B




c) Temporary real property.
B B B




d) Emblements. - ANSWER
B B B b) Trade fixtures that are personal property.
B B B B B B




Property can be converted from real to personal property and from personal property to real
B B B B B B B B B B B B B B B



property by means of which processes respectively?
B B B B B B




a) Assemblage and plottage.
B B B




b) Application and dissolution.
B B B




c) Severance and affixing.
B B B




d) Planting and harvesting. - ANSWER
B B B B B c) Severance and affixing.
B B B




The highest form of ownership interest one can acquire in real estate is the:
B B B B B B B B B B B B B




a) legal life estate.
B B B




b) Conventional life estate.
B B B




c) Defeasible fee simple estate.
B B B B




d) Absolute fee simple estate. - ANSWER
B B B B B B d) Absolute fee simple estate.
B B B B




The distinguishing feature of a defeasible fee simple estate is that:
B B B B B B B B B B




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,a) It could be passed onto heirs.
B B B B B B




b) It has no restrictions on use.
B B B B B B




c) The estate may revert to a grantor or heirs if the prescribed use changes.
B B B B B B B B B B B B B B




d) It is of unlimited duration. -
B B B B B B



B ANSWER c) The estate may revert to a grantor or heirs if the prescribed use changes.
B B B B B B B B B B B B B B




Maria acquires a property from her uncle Alfonso. When Maria dies the estate will pass to Alfo
B B B B B B B B B B B B B B B B



nso's other niece Serena. The type of
B B B B B B B




estate that Maria has in the property is:
B B B B B B B




a) conventional life estate.
B B B




b) Legal life estate.
B B B




c) Fee simple defeasible estate.
B B B B




d) Tenancy by the entirety's. - ANSWER
B B B B B B a) conventional life estate.
B B B




One difference between a cooperative estate and a condominium estate is that:
B B B B B B B B B B B




a) a condominium owner owns a unit of air space whereas the co-
B B B B B B B B B B B B



op owner owns a proprietary lease.
B B B B B




b) A condominium sale adversely affects other unit owners.
B B B B B B B B




c) The co-
B B



op owner owns stock and a freehold real estate interest whereas the condominium owner sim
B B B B B B B B B B B B B B



ply a proprietary lease.
B B B




d) The condominium owner owns the common elements and the air space whereas the co-
B B B B B B B B B B B B B B



op owner only owns the apartment. -
B B B B B B



ANSWER
B a) a condominium owner owns a unit of air space whereas the co- B B B B B B B B B B B B



op owner owns a proprietary lease.
B B B B B




Who are the essential parties involved in an estate and trust?
B B B B B B B B B B




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,a) Owner trustor, and lawyer.
B B B B




b) Owner, trustor, and trustee.
B B B B




c) Trustee, title company, and beneficiary.
B B B B B




d) Trustor, trustee, and beneficiary. - ANSWER
B B B B B B d) Trustor, trustee, and beneficiary.
B B B B




A condominium owner enjoys a:
B B B B




a) share in an association that owns one's apartment.
B B B B B B B B




b) Tenancy in common interest in air space and common areas of the property.
B B B B B B B B B B B B B




c) Fee simple ownership of the airspace in a unit and an undivided share of the entire property
B B B B B B B B B B B B B B B B B



's common areas.
B B




d) The simple ownership of a pro rata share of the entire property. -
B B B B B B B B B B B B B



ANSWER
B c) Fee simple ownership of the airspace in a unit and an undivided share of th
B B B B B B B B B B B B B B B



e entire property's common areas.
B B B B




With various types of junior liens, the order of payment priority is generally established accor
B B B B B B B B B B B B B B



ding to: B




a) the date of recordation.
B B B B




b) What form of tax is in question.
B B B B B B B




c) The order of disbursement.
B B B B




d) Whether the lien was subordinated. - ANSWER
B B B B B B B a) the date of recordation.
B B B B




What is a lien theory state in contrast to a title theory state?
B B B B B B B B B B B B




a) A state in which liens are given priority over other encumbrances
B B B B B B B B B B B




b) A state in which a mortgage retains title to the property when a mortgage lien is created.
B B B B B B B B B B B B B B B B B




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, c) A state in which the holder of a mortgage lien receives title to the mortgage and property u
B B B B B B B B B B B B B B B B B B



ntil the debt is satisfied.
B B B B




d) A state in which liens must be recorded to be enforceable. -
B B B B B B B B B B B B



ANSWER
B b) A state in which a mortgage retains title to the property when a mortgage li
B B B B B B B B B B B B B B B



en is created. B B




A property owner has an easement appurtenant on her property. One day the property is sold
B B B B B B B B B B B B B B B B



to another party who is opposed to the easement. Following the closing, this particular form o
B B B B B B B B B B B B B B B



f easement:
B




a) terminates.
B




b) Transfers with the property.
B B B B




c) Transfers with the owner to a new property.
B B B B B B B B




d) Becomes a license on the property. - ANSWER
B B B B B B B B b) Transfers with the property.
B B B B




What fundamental legal purpose is fulfilled by title records?
B B B B B B B B




a) Keeping the county apprised of tax payments.
B B B B B B B




b) Preventing identity theft.
B B B




c) Giving constructive notice of one's rights and interests in the property.
B B B B B B B B B B B




d) Assembling all relevant documents in a single place. -
B B B B B B B B B



B ANSWER c) Giving constructive notice of one's rights and interests in the property.
B B B B B B B B B B B




What is chain of title? B B B B




a) The list of all parties who have ever owned real estate.
B B B B B B B B B B B




b) The bundle of rights linked to the recorded title to a parcel.
B B B B B B B B B B B B




c) A chronology of successive owners of record of a parcel of real estate.
B B B B B B B B B B B B B




d) Involuntary conveyance of title by statutory roles of descent. -
B B B B B B B B B B



B ANSWER c) A chronology of successive owners of record of a parcel of real estate.
B B B B B B B B B B B B B




4
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