Modern Real Estate Practices in NC 10th
Edition Exam Questions and CORRECT
Answers
Broker - CORRECT ANSWER One who acts as an intermediary on behalf of others
for a fee or commission. One who is licensed to list, lease, buy, exchange, auction, negotiate
or sell intrest in real estate for others for a fee.
Business cycle - CORRECT ANSWER The upward and downward fluctuations in
business activities generally characterized by four stages: expansion, recession, depression,
and revival.
Chattel - CORRECT ANSWER Movable objects. Examples would include furniture,
clothing, jewelry, money, vehicles, eat cetera.
Demand - CORRECT ANSWER The amount of goods people are willing and able to
buy at a given price; often coupled with supply.
Hereditaments - CORRECT ANSWER Any intrests in real estate capable of being
inherited.
Heterogeneity - CORRECT ANSWER The uniqueness of the land; AKA
nonhomogeneity
Highest and Best Use - CORRECT ANSWER The use that will give the owners the
grestest return on their investments.
Land - CORRECT ANSWER The earths sruface, extending downward to the center of
the earth & upwards infinitely into space, including permanent natuee such as tress & water.
,Market - CORRECT ANSWER A place where goods can be bought & sold & value
established
Nonhomogeneity - CORRECT ANSWER A lack of uniformity; dissimilarity;
heterogeneity. Because no two parcels of land are exactly alike, real estate is said to be
nonhomogeneic.
Nonprovisional Broker - CORRECT ANSWER A NC real estate licensee that has
completed the 90 hour post licensing education to remove the provisional license status; a full
broker.
Personal Property - CORRECT ANSWER Items, called chattels, that do not fit into the
definition of real property; movable objects.
Personalty - CORRECT ANSWER personal property
Provisional Broker - CORRECT ANSWER a real estate licensee who performs real
estate activities under the supervision of a licensed broker-in-charger (BIC). To remove the
provisional status, post-licensing courses must be completed.
Real Estate - CORRECT ANSWER Land; a portion of the earth's surface extending
downward to the center of the earth and upward infinitely into space, including all things
permanently attached to it, whether naturally or artificially.
Real Property - CORRECT ANSWER The land plus permanent improvements and the
interests, benefits, and rights inherent in real estate ownership.
Situs - CORRECT ANSWER The personal preference of perople for ene location over
another; not necessarily based on objective facts & knowledge.
Supply - CORRECT ANSWER The amount of goods available in the market to be sold
at a given price.
, Tenements - CORRECT ANSWER Any structures attached to the land.
Accretion - CORRECT ANSWER The increase or addition of land by the deposit of
sand or soil washed up naturally from a river, lake, or sea.
Agricultural Fixtures - CORRECT ANSWER In North Carolina, a fixture attached to
leased property by a tenant farmer is considered the landowner's real property rather than the
tenant's personal property.
Air Rights - CORRECT ANSWER The right to use the open space above a property,
usually allowing the surface to be used for another purpose.
Appurtenance - CORRECT ANSWER A right, privilege, or improvement belonging to,
and passing with, the land.
Avulsion - CORRECT ANSWER The sudden tearing away of land, as by earthquake,
flood, volcanic action, or the sudden change in the course of a stream. The loss of land may
not result in loss of title.
Bundle of Legal Rights - CORRECT ANSWER The concept of land ownership that
includes ownership of all legal rights to the land—possession, control within the law,
enjoyment, exclusion, and disposition.
Common Elements - CORRECT ANSWER Parts of a property that are necessary or
convenient to the existence, maintenance, and safety of a condominium or are normally in
common use by all of the condominium residents. Each condominium owner has an
undivided ownership interest in the common elements.
common interest community (hybrid) ownership - CORRECT ANSWER Ownership
that contains elements of both ownership in severalty and concurrent ownership.
Edition Exam Questions and CORRECT
Answers
Broker - CORRECT ANSWER One who acts as an intermediary on behalf of others
for a fee or commission. One who is licensed to list, lease, buy, exchange, auction, negotiate
or sell intrest in real estate for others for a fee.
Business cycle - CORRECT ANSWER The upward and downward fluctuations in
business activities generally characterized by four stages: expansion, recession, depression,
and revival.
Chattel - CORRECT ANSWER Movable objects. Examples would include furniture,
clothing, jewelry, money, vehicles, eat cetera.
Demand - CORRECT ANSWER The amount of goods people are willing and able to
buy at a given price; often coupled with supply.
Hereditaments - CORRECT ANSWER Any intrests in real estate capable of being
inherited.
Heterogeneity - CORRECT ANSWER The uniqueness of the land; AKA
nonhomogeneity
Highest and Best Use - CORRECT ANSWER The use that will give the owners the
grestest return on their investments.
Land - CORRECT ANSWER The earths sruface, extending downward to the center of
the earth & upwards infinitely into space, including permanent natuee such as tress & water.
,Market - CORRECT ANSWER A place where goods can be bought & sold & value
established
Nonhomogeneity - CORRECT ANSWER A lack of uniformity; dissimilarity;
heterogeneity. Because no two parcels of land are exactly alike, real estate is said to be
nonhomogeneic.
Nonprovisional Broker - CORRECT ANSWER A NC real estate licensee that has
completed the 90 hour post licensing education to remove the provisional license status; a full
broker.
Personal Property - CORRECT ANSWER Items, called chattels, that do not fit into the
definition of real property; movable objects.
Personalty - CORRECT ANSWER personal property
Provisional Broker - CORRECT ANSWER a real estate licensee who performs real
estate activities under the supervision of a licensed broker-in-charger (BIC). To remove the
provisional status, post-licensing courses must be completed.
Real Estate - CORRECT ANSWER Land; a portion of the earth's surface extending
downward to the center of the earth and upward infinitely into space, including all things
permanently attached to it, whether naturally or artificially.
Real Property - CORRECT ANSWER The land plus permanent improvements and the
interests, benefits, and rights inherent in real estate ownership.
Situs - CORRECT ANSWER The personal preference of perople for ene location over
another; not necessarily based on objective facts & knowledge.
Supply - CORRECT ANSWER The amount of goods available in the market to be sold
at a given price.
, Tenements - CORRECT ANSWER Any structures attached to the land.
Accretion - CORRECT ANSWER The increase or addition of land by the deposit of
sand or soil washed up naturally from a river, lake, or sea.
Agricultural Fixtures - CORRECT ANSWER In North Carolina, a fixture attached to
leased property by a tenant farmer is considered the landowner's real property rather than the
tenant's personal property.
Air Rights - CORRECT ANSWER The right to use the open space above a property,
usually allowing the surface to be used for another purpose.
Appurtenance - CORRECT ANSWER A right, privilege, or improvement belonging to,
and passing with, the land.
Avulsion - CORRECT ANSWER The sudden tearing away of land, as by earthquake,
flood, volcanic action, or the sudden change in the course of a stream. The loss of land may
not result in loss of title.
Bundle of Legal Rights - CORRECT ANSWER The concept of land ownership that
includes ownership of all legal rights to the land—possession, control within the law,
enjoyment, exclusion, and disposition.
Common Elements - CORRECT ANSWER Parts of a property that are necessary or
convenient to the existence, maintenance, and safety of a condominium or are normally in
common use by all of the condominium residents. Each condominium owner has an
undivided ownership interest in the common elements.
common interest community (hybrid) ownership - CORRECT ANSWER Ownership
that contains elements of both ownership in severalty and concurrent ownership.
