AYPO Real Estate Law of Contracts
Exam 2026 Questions and Answers
An advantage to buyers in a lease-purchase option is which of the following? -
Correct answer-It can be easier for a difficult to qualify buyer to purchase a home
with a lower down payments.
Eminent domain in Texas MAY NOT be used for which of these purposes? -
Correct answer-Private party uses.
Graduated and index leases are what types of leases? - Correct answer-Variable.
A "mirror" will is a : - Correct answer-Reciprocal will.
Under a land sales contract which of the following statements is accurate? (Best
answer.) - Correct answer-All of these are accurate.
Which type of listing agreement is the only one to guarantee the broker a
commission in the event of a successful sale? - Correct answer-Exclusive-right-to-
sell
A Deed of Trust allows for what type of foreclosure? - Correct answer-Non-
judicial
©COPYRIGHT 2025, ALL RIGHTS RESERVED 1
,Once the offer to purchase and all details and contingencies are agreed upon, and
all parties are signed, which of these should happen next? - Correct answer-All of
these.
A title search includes a searching of public records to determine these issues,
except for: - Correct answer-Credit history of the potential buyer.
Which of these might a certificate of title include? - Correct answer-Any of these
Contingencies are best described by which of the following? - Correct answer-
Specific events of conditions that must occur or be removed for the offer/purchase
agreement to be valid.
Oral agreements in relation to business purchases or hiring of services can be
enforceable under which of these circumstances? - Correct answer-If the words
used can be proven and the intent reasonably discerned from those words.
A non-exclusive/not for compensation buyer- broker agreement: - Correct answer-
all of these
For leases lasting less than ____, oral agreements can be enforceable. - Correct
answer-One year
Which of these provides the broadest definition of land, property, and ownership
rights? - Correct answer-Real Property.
©COPYRIGHT 2025, ALL RIGHTS RESERVED 2
, For a valid contractual offer, the offer must do all except which of the following? -
Correct answer-Provide terms for an acceptable counter offer.
Which of these would NOT be a requirement to create a valid lease agreement? -
Correct answer-Financing disclosure
Fee simple determinable and fee simple subject to a condition subsequent are the
two forms of: - Correct answer-Fee simple defeasible estates
_________________ is a form of ownership held by one party. - Correct answer-
Severalty
Which of these IS NOT listed among the special inspections? - Correct answer-
Home appliances
Earnest money is a prospective buyer's demonstration of which of the following? -
Correct answer-Both of these.
An encumbrance is a(n) ________ real property. - Correct answer-All of these
Once signed by borrowers, the note is which of the following? - Correct answer-A
fully enforceable and negotiable instrument of debt.
Providing basic information regarding various standard aspects of real estate law
is: - Correct answer-An important piece of the fiduciary duty to protect the client's
best interests.
©COPYRIGHT 2025, ALL RIGHTS RESERVED 3
Exam 2026 Questions and Answers
An advantage to buyers in a lease-purchase option is which of the following? -
Correct answer-It can be easier for a difficult to qualify buyer to purchase a home
with a lower down payments.
Eminent domain in Texas MAY NOT be used for which of these purposes? -
Correct answer-Private party uses.
Graduated and index leases are what types of leases? - Correct answer-Variable.
A "mirror" will is a : - Correct answer-Reciprocal will.
Under a land sales contract which of the following statements is accurate? (Best
answer.) - Correct answer-All of these are accurate.
Which type of listing agreement is the only one to guarantee the broker a
commission in the event of a successful sale? - Correct answer-Exclusive-right-to-
sell
A Deed of Trust allows for what type of foreclosure? - Correct answer-Non-
judicial
©COPYRIGHT 2025, ALL RIGHTS RESERVED 1
,Once the offer to purchase and all details and contingencies are agreed upon, and
all parties are signed, which of these should happen next? - Correct answer-All of
these.
A title search includes a searching of public records to determine these issues,
except for: - Correct answer-Credit history of the potential buyer.
Which of these might a certificate of title include? - Correct answer-Any of these
Contingencies are best described by which of the following? - Correct answer-
Specific events of conditions that must occur or be removed for the offer/purchase
agreement to be valid.
Oral agreements in relation to business purchases or hiring of services can be
enforceable under which of these circumstances? - Correct answer-If the words
used can be proven and the intent reasonably discerned from those words.
A non-exclusive/not for compensation buyer- broker agreement: - Correct answer-
all of these
For leases lasting less than ____, oral agreements can be enforceable. - Correct
answer-One year
Which of these provides the broadest definition of land, property, and ownership
rights? - Correct answer-Real Property.
©COPYRIGHT 2025, ALL RIGHTS RESERVED 2
, For a valid contractual offer, the offer must do all except which of the following? -
Correct answer-Provide terms for an acceptable counter offer.
Which of these would NOT be a requirement to create a valid lease agreement? -
Correct answer-Financing disclosure
Fee simple determinable and fee simple subject to a condition subsequent are the
two forms of: - Correct answer-Fee simple defeasible estates
_________________ is a form of ownership held by one party. - Correct answer-
Severalty
Which of these IS NOT listed among the special inspections? - Correct answer-
Home appliances
Earnest money is a prospective buyer's demonstration of which of the following? -
Correct answer-Both of these.
An encumbrance is a(n) ________ real property. - Correct answer-All of these
Once signed by borrowers, the note is which of the following? - Correct answer-A
fully enforceable and negotiable instrument of debt.
Providing basic information regarding various standard aspects of real estate law
is: - Correct answer-An important piece of the fiduciary duty to protect the client's
best interests.
©COPYRIGHT 2025, ALL RIGHTS RESERVED 3
