NYS REAL ESTATE TEST BANK
EXAMINATION TEST QUESTIONS AND
SOLUTIONS 2026 GRADED A+.
⫸ Bill is building himself a new house. Bill decided to make sure the
first floor joists are completely covered with sub-flooring upon which
exterior walls and interior partitions are erected. What type of frame
construction did Bill select? Answer: platform-frame
construction.Platform-frame construction is the type of construction
most generally used in home building
⫸ person who has the entire bundle of rights in a parcel of real estate
unencumbered by deed conditions is said to own a Answer: fee simple
absolute estate.
⫸ The amount of a loan expressed as a percentage of the value of the
real estate offered as collateral is the Answer: Loan to vlaue ratio.
⫸ It is necessary to calculate a dollar value for depreciation when
using which of the following? Answer: the cost approach value. The
cost approach is used most often when a building has unusual
properties or doesn't generate income, such as a library. Because
direct income and expense information isn't available, "passive"
aspects, such as depreciation, become more important.
⫸ The government's right to make laws and regulations for the
general welfare of the public is known as Answer: police power.
,"Police power" refers not just to criminal law enforcement, but all
powers of federal, state and local governments to enact and enforce
laws for everything from parking to where, what and for what
purposes people may construct buildings.
⫸ 1 acre= Answer: 43560
⫸ which of the following will not affect supply, population,
construction costs, government controls, the labor force Answer:
population. Population has no bearing on supply. Factors that tend to
affect the "supply" of the real estate market's supply and demand
balance include the labor force, construction and material costs,
government controls and financial policies.
⫸ which of the following types of tenancies refers to ownership of
real property? tenancy in common, tenancy at will, tenancy at
sufferance, tenancy for years. Answer: tenancy in common. As
indicated above, tenancy in common is a form of ownership, while
tenancy at will, at sufferance and for years are various forms of rental
arrangements..
⫸ Which of the following would not be a part of the development
cost of a lot? installing curbs, installing storm sewers, installing street
lights, constructing a building Answer: constructing a building
Subdivisions typically consist of two parts: the "improved building
lot" and the structures themselves
⫸ Most homeowners insurance policies contain which of the
following clauses? a property depreciation clause, a coinsurance
,clause, a co-ownership clause, a property devaluation clause. Answer:
a coinsurance clause. Although often used to describe "an insurance
policy on an insurance policy" to spread risk among multiple insurers,
when applied to a homeowner's policy, the co-insurance clause
stipulates that the homeowner maintain coverage equal to at least 80%
of his home's replacement cost.
⫸ In order to determine exactly what portion of a mortgage loan the
VA will guarantee on behalf of a qualified veteran, the borrower must
apply for a Answer: certificate of eligibility There are strict
requirements for obtaining a VA loan and the first step is obtaining a
certificate of eligibility. It can be obtained from VA centers, online or
from many lenders.
⫸ The law that requires real estate contracts to be in writing to be
enforceable is the Answer: statute of frauds. Under the Statute of
Frauds, contracts for sale of real property must be in writing to be
enforceable. This is to prevent FRAUD from occurring
⫸ An item which was personal property but has been attached to and
becomes part of the real property is known as Answer: a fixture.
There's a degree of subtlety here. A fixture is anything attached to a
property. For example, a new cooktop is personal property until it's
installed, at which point it becomes a fixture. A trade fixture is similar,
but refers to commercial properties.
⫸ A husband and wife own property as tenants by the entireties.
Which of the following is NOT true concerning tenancy by the
entirety? both must consent to sell, each may individually file a
, partition suit, both are liable for a debt secured by such property, the
tenancy by entirety could be ended by divorce or death. Answer: each
may individually file a partition suit. Partition suits occur when one
co-owner of a property wants to sell and the other co-owners are
unwilling to either sell the property or buy the other's interest. It's not
relevant to married couples as they're viewed as a unit--unless it
involves a property still jointly held after divorce, in which case they
are no longer a couple
⫸ Title held by a husband and wife may include all of the following
forms of ownership EXCEPT Answer: severalty. Severalty means sole
ownership and, other than forming a corporation, spouses can only
hold property in common through some form of joint ownership.
⫸ Which of the following is true of external obsolescence? Answer:
It is generally incurable because it results from factors that the owner
of the subject property cannot control.
⫸ the title to real property is conveyed by deed when the deed is
Answer: delivered to and accepted by the grantee
⫸ The type of real estate loan that allows the lender to increase the
outstanding balance of a loan up to the original sum in the note while
advancing additional funds is the Answer: open end mortgage. An
"Open End Mortgage" is an expandable loan in which the borrower is
given a limit up to which he or she may borrow, with each
incremental advance to be secured by the same mortgage.
EXAMINATION TEST QUESTIONS AND
SOLUTIONS 2026 GRADED A+.
⫸ Bill is building himself a new house. Bill decided to make sure the
first floor joists are completely covered with sub-flooring upon which
exterior walls and interior partitions are erected. What type of frame
construction did Bill select? Answer: platform-frame
construction.Platform-frame construction is the type of construction
most generally used in home building
⫸ person who has the entire bundle of rights in a parcel of real estate
unencumbered by deed conditions is said to own a Answer: fee simple
absolute estate.
⫸ The amount of a loan expressed as a percentage of the value of the
real estate offered as collateral is the Answer: Loan to vlaue ratio.
⫸ It is necessary to calculate a dollar value for depreciation when
using which of the following? Answer: the cost approach value. The
cost approach is used most often when a building has unusual
properties or doesn't generate income, such as a library. Because
direct income and expense information isn't available, "passive"
aspects, such as depreciation, become more important.
⫸ The government's right to make laws and regulations for the
general welfare of the public is known as Answer: police power.
,"Police power" refers not just to criminal law enforcement, but all
powers of federal, state and local governments to enact and enforce
laws for everything from parking to where, what and for what
purposes people may construct buildings.
⫸ 1 acre= Answer: 43560
⫸ which of the following will not affect supply, population,
construction costs, government controls, the labor force Answer:
population. Population has no bearing on supply. Factors that tend to
affect the "supply" of the real estate market's supply and demand
balance include the labor force, construction and material costs,
government controls and financial policies.
⫸ which of the following types of tenancies refers to ownership of
real property? tenancy in common, tenancy at will, tenancy at
sufferance, tenancy for years. Answer: tenancy in common. As
indicated above, tenancy in common is a form of ownership, while
tenancy at will, at sufferance and for years are various forms of rental
arrangements..
⫸ Which of the following would not be a part of the development
cost of a lot? installing curbs, installing storm sewers, installing street
lights, constructing a building Answer: constructing a building
Subdivisions typically consist of two parts: the "improved building
lot" and the structures themselves
⫸ Most homeowners insurance policies contain which of the
following clauses? a property depreciation clause, a coinsurance
,clause, a co-ownership clause, a property devaluation clause. Answer:
a coinsurance clause. Although often used to describe "an insurance
policy on an insurance policy" to spread risk among multiple insurers,
when applied to a homeowner's policy, the co-insurance clause
stipulates that the homeowner maintain coverage equal to at least 80%
of his home's replacement cost.
⫸ In order to determine exactly what portion of a mortgage loan the
VA will guarantee on behalf of a qualified veteran, the borrower must
apply for a Answer: certificate of eligibility There are strict
requirements for obtaining a VA loan and the first step is obtaining a
certificate of eligibility. It can be obtained from VA centers, online or
from many lenders.
⫸ The law that requires real estate contracts to be in writing to be
enforceable is the Answer: statute of frauds. Under the Statute of
Frauds, contracts for sale of real property must be in writing to be
enforceable. This is to prevent FRAUD from occurring
⫸ An item which was personal property but has been attached to and
becomes part of the real property is known as Answer: a fixture.
There's a degree of subtlety here. A fixture is anything attached to a
property. For example, a new cooktop is personal property until it's
installed, at which point it becomes a fixture. A trade fixture is similar,
but refers to commercial properties.
⫸ A husband and wife own property as tenants by the entireties.
Which of the following is NOT true concerning tenancy by the
entirety? both must consent to sell, each may individually file a
, partition suit, both are liable for a debt secured by such property, the
tenancy by entirety could be ended by divorce or death. Answer: each
may individually file a partition suit. Partition suits occur when one
co-owner of a property wants to sell and the other co-owners are
unwilling to either sell the property or buy the other's interest. It's not
relevant to married couples as they're viewed as a unit--unless it
involves a property still jointly held after divorce, in which case they
are no longer a couple
⫸ Title held by a husband and wife may include all of the following
forms of ownership EXCEPT Answer: severalty. Severalty means sole
ownership and, other than forming a corporation, spouses can only
hold property in common through some form of joint ownership.
⫸ Which of the following is true of external obsolescence? Answer:
It is generally incurable because it results from factors that the owner
of the subject property cannot control.
⫸ the title to real property is conveyed by deed when the deed is
Answer: delivered to and accepted by the grantee
⫸ The type of real estate loan that allows the lender to increase the
outstanding balance of a loan up to the original sum in the note while
advancing additional funds is the Answer: open end mortgage. An
"Open End Mortgage" is an expandable loan in which the borrower is
given a limit up to which he or she may borrow, with each
incremental advance to be secured by the same mortgage.
