RE Broker Exam

RE BROKER EXAM 2024 WITH 100% CORRECT ANSWERS Bundle of rights - correct answer PUTEE - Possession, Use, Transfer, Exclusion, Encumbrance Real property - correct answer Real estate (land + manmade attachments) + bundle of rights Legal Title - correct answer Full ownership of property + bundle of rights Equitable Title - correct answer Interest that gives the buyer the right to acquire legal title to a property if certain contractual conditions occur. Homestead - correct answer Rights to principal residence Fee simple - correct answer Highest form of ownership interest - not limited by lifetime, defeasible [freehold] Life Estate - correct answer Passes to another (remainderman) upon death of named party. [freehold] Conventional Life Estate - correct answer Limited to the lifetime of a tenant, pur autre vie [freehold] Legal Life Estate - correct answer Statutory, designated to protect family survivors. [freehold] Estate for years - correct answer Specific, stated duration. No renewal [leasehold] Estate from Period to Period (periodic) - correct answer Renews automatically upon acceptance of rent; isn't terminated unless specific action is taken [leasehold] Estate at Will - correct answer Indefinite estate created by will [leasehold] Estate at Sufferance - correct answer Tenancy against Landlord's will without agreement [leasehold] Tenancy in Severalty - correct answer Possession 100% Ownership Individual, Corporation or Ltd Partnership Tenancy in Common - correct answer Each owner can use the entire property (undivided interest, can be unequal shares) No right to survivorship (is inheritable) Can happen by accident Joint Tenancy - correct answer Each owner can use the entire property - equal ownership shares with undivided interest Acquired at the same time by the same document Right of survivorship - if one owner dies, remaining owners inherit their ownership (not inheritable) Tenancy by the Entirety - correct answer Marriage Needs both signatures Right of survivorship Community Property - correct answer Joint property ownership of unmarried tenants Acquired by gift or inheritance No right of survivorship PITT - correct answer Possession, Interest, Time, Title Needed to create joint tenancy. Condominium (definition) - correct answer Ownership of a unit of airspace and an undivided interest in the common elements as a tenant in common with other tenants. How is a condominium created? - correct answer Developer's declaration Condominium (features) - correct answer May be sold, encumbered or foreclosed without affecting other unit owners Co-operatives - correct answer Ownership of shares in owning corporation, plus proprietary lease in a unit. The corporation has sole, undivided ownership. Easement Appurtenant - correct answer Dominant tenant's right to use or restrict adjacent servient tenant by necessity to landlocked owners. (Attaches to the real estate) Easement in Gross - correct answer Personal easement, non-transferable and ends with the death of the easement holder. Commercial easements in gross are transferable, granted to the business. License - correct answer Personal, doesn't attach (ends with death or contract), non-transferable, revocable Lien theory state - correct answer Lender of mortgaged property holds equitable title rather than legal title; borrower holds legal title. Title theory state - correct answer Lender holds legal title to the mortgaged property until the mortgagor satisfies the terms and obligations of the loan. Superior liens - correct answer By rank: 1) real estate taxes 2) special assessments 3) federal estate tax 4) state inheritance Junior liens - correct answer By date of recording: Federal income tax Judgment Mortgage Vendor's Mechanics Mortgage Lien - correct answer Liquidation of collateral property Judicial mortgage lien - correct answer Court ordered, deficiency judgments, redemption rights Non-judicial mortgage lien - correct answer "Power of sale" granted to lender, no deficiency or redemption rights. Strict mortgage lien - correct answer Court orders legal transfer of title directly to the