SALESPERSON REVISION PAST EXAM 2025/2026
QUESTIONS AND SOLUTIONS GRADED A+ TIP
✔✔Accretion - ✔✔Natural Causes (river deposit soil to expand property)
✔✔Avulsion - ✔✔Dam Breaks (Violent change)
✔✔Probate Sale - ✔✔Commission set by Court
✔✔Intestate Succession - ✔✔No Will
✔✔Deeds Purpose - ✔✔Transfer of Interest
✔✔Grant Deed - ✔✔Executed when signed by Grantor (owner), not necessary to
Record
✔✔Quitclaim Deed - ✔✔Conveys right of Grantor, No covenants
✔✔Deed Essentials - ✔✔Granting Clause, Legal Competence of Grantor, Not
Acknowledged (Notarized), Delivered and Accepted
✔✔Recording - ✔✔record documentation
✔✔Constructive Notice - ✔✔Given by recording, First to record or first to possess has
title of property
✔✔Acknowledgement - ✔✔Authorized Employee without interest in
✔✔Encumbrances - ✔✔Limits Title
✔✔Easements - ✔✔Encumbered
✔✔Prescriptive Easements - ✔✔No Confrontation with owner can easily be terminated
for Non use
✔✔Termination of Easements - ✔✔Dominant Tenant records quite claim deed to
release easement to servient Tenant
✔✔Appurtenant Easement (connected) - ✔✔Buyer has same rights
✔✔Confirmed by - ✔✔Quiet Title Suit
✔✔Restrictions - ✔✔The More Restrictive Restricts
,✔✔Private Restrictions - ✔✔Grantor or Developer
✔✔Condition - ✔✔Penalties are more sever
✔✔Public Restrictions - ✔✔Public Health, Safety, Morals, and General Welfare, One
lot=variance
✔✔Changes can be initiated by - ✔✔Owner, sub-divider, government
✔✔Commercial to Residential - ✔✔Down Zoning
✔✔Encroachments - ✔✔Sue Neighbor for trespass
✔✔Liens - ✔✔A charge imposed, trust deed, Mortgage
✔✔Specific Liens - ✔✔Trust Deed
✔✔General Liens - ✔✔All Property
✔✔Promissory Notes - ✔✔Evidence of Debt
✔✔Amortization - ✔✔Liquidation
✔✔Level Payment - ✔✔Payment applied to principal increases
✔✔Negative amortization - ✔✔payments do not cover interest
✔✔GPAM Loan - ✔✔Defers some principal payments
✔✔Interest Rates Affected by - ✔✔NOT unemployment
✔✔Variable Interest (Adjustable Rate Mortgage) - ✔✔Rate can increase or decrease
✔✔Effective Interest - ✔✔Rate Paid
✔✔Nominal Interest - ✔✔Rate Specified in Note
✔✔Negotiable Instruments - ✔✔NOT a mortgage
✔✔Straight Note (Interest Only) - ✔✔No principal payments paid
✔✔Balloon Loan (Partially Amortized) - ✔✔Entire Balance Due
, ✔✔Holder in Due course - ✔✔No Knowledge of defects
✔✔Discounting - ✔✔Selling for Less
✔✔Default - ✔✔Foreclose for $15,000
✔✔More than one borrower - ✔✔Jointly and Severally
✔✔Trust Deeds (Trustor) - ✔✔Signs the Note (borrower for a mortgage)
✔✔Beneficiary (Money) - ✔✔Loans Money (Bank for Mortgage), Consent for
consolidation and new restrictions (Boundary Lines)
✔✔Right to Sell - ✔✔Trustor to Trustee
✔✔Terminated - ✔✔Reconveyance Deed
✔✔Foreclosure (Court Sale) - ✔✔One year redemption period, Trustor possess
property
✔✔Foreclosure (Trustee Sale) - ✔✔Three months before publishing, most expedient
✔✔Deed in lieu of Foreclosure - ✔✔Lender assumes junior liens
✔✔Request for Notice Protects - ✔✔Beneficiary of second loan
✔✔Lender's basic protection - ✔✔Borrower's equity
✔✔Priority - ✔✔Recorded First
✔✔Blanket Mortgages - ✔✔more than one property
✔✔Release Clause - ✔✔Releases portions of the property
✔✔Trust Deed and Mortgage Clauses (assume) - ✔✔Relieves seller
✔✔subordination clause - ✔✔Future loans have priority
✔✔Open end - ✔✔Borrow additional money
✔✔Beneficiary Statement - ✔✔Gives current balance
✔✔Prepayment Penalty - ✔✔Trustor making advanced payments
QUESTIONS AND SOLUTIONS GRADED A+ TIP
✔✔Accretion - ✔✔Natural Causes (river deposit soil to expand property)
✔✔Avulsion - ✔✔Dam Breaks (Violent change)
✔✔Probate Sale - ✔✔Commission set by Court
✔✔Intestate Succession - ✔✔No Will
✔✔Deeds Purpose - ✔✔Transfer of Interest
✔✔Grant Deed - ✔✔Executed when signed by Grantor (owner), not necessary to
Record
✔✔Quitclaim Deed - ✔✔Conveys right of Grantor, No covenants
✔✔Deed Essentials - ✔✔Granting Clause, Legal Competence of Grantor, Not
Acknowledged (Notarized), Delivered and Accepted
✔✔Recording - ✔✔record documentation
✔✔Constructive Notice - ✔✔Given by recording, First to record or first to possess has
title of property
✔✔Acknowledgement - ✔✔Authorized Employee without interest in
✔✔Encumbrances - ✔✔Limits Title
✔✔Easements - ✔✔Encumbered
✔✔Prescriptive Easements - ✔✔No Confrontation with owner can easily be terminated
for Non use
✔✔Termination of Easements - ✔✔Dominant Tenant records quite claim deed to
release easement to servient Tenant
✔✔Appurtenant Easement (connected) - ✔✔Buyer has same rights
✔✔Confirmed by - ✔✔Quiet Title Suit
✔✔Restrictions - ✔✔The More Restrictive Restricts
,✔✔Private Restrictions - ✔✔Grantor or Developer
✔✔Condition - ✔✔Penalties are more sever
✔✔Public Restrictions - ✔✔Public Health, Safety, Morals, and General Welfare, One
lot=variance
✔✔Changes can be initiated by - ✔✔Owner, sub-divider, government
✔✔Commercial to Residential - ✔✔Down Zoning
✔✔Encroachments - ✔✔Sue Neighbor for trespass
✔✔Liens - ✔✔A charge imposed, trust deed, Mortgage
✔✔Specific Liens - ✔✔Trust Deed
✔✔General Liens - ✔✔All Property
✔✔Promissory Notes - ✔✔Evidence of Debt
✔✔Amortization - ✔✔Liquidation
✔✔Level Payment - ✔✔Payment applied to principal increases
✔✔Negative amortization - ✔✔payments do not cover interest
✔✔GPAM Loan - ✔✔Defers some principal payments
✔✔Interest Rates Affected by - ✔✔NOT unemployment
✔✔Variable Interest (Adjustable Rate Mortgage) - ✔✔Rate can increase or decrease
✔✔Effective Interest - ✔✔Rate Paid
✔✔Nominal Interest - ✔✔Rate Specified in Note
✔✔Negotiable Instruments - ✔✔NOT a mortgage
✔✔Straight Note (Interest Only) - ✔✔No principal payments paid
✔✔Balloon Loan (Partially Amortized) - ✔✔Entire Balance Due
, ✔✔Holder in Due course - ✔✔No Knowledge of defects
✔✔Discounting - ✔✔Selling for Less
✔✔Default - ✔✔Foreclose for $15,000
✔✔More than one borrower - ✔✔Jointly and Severally
✔✔Trust Deeds (Trustor) - ✔✔Signs the Note (borrower for a mortgage)
✔✔Beneficiary (Money) - ✔✔Loans Money (Bank for Mortgage), Consent for
consolidation and new restrictions (Boundary Lines)
✔✔Right to Sell - ✔✔Trustor to Trustee
✔✔Terminated - ✔✔Reconveyance Deed
✔✔Foreclosure (Court Sale) - ✔✔One year redemption period, Trustor possess
property
✔✔Foreclosure (Trustee Sale) - ✔✔Three months before publishing, most expedient
✔✔Deed in lieu of Foreclosure - ✔✔Lender assumes junior liens
✔✔Request for Notice Protects - ✔✔Beneficiary of second loan
✔✔Lender's basic protection - ✔✔Borrower's equity
✔✔Priority - ✔✔Recorded First
✔✔Blanket Mortgages - ✔✔more than one property
✔✔Release Clause - ✔✔Releases portions of the property
✔✔Trust Deed and Mortgage Clauses (assume) - ✔✔Relieves seller
✔✔subordination clause - ✔✔Future loans have priority
✔✔Open end - ✔✔Borrow additional money
✔✔Beneficiary Statement - ✔✔Gives current balance
✔✔Prepayment Penalty - ✔✔Trustor making advanced payments
