NATIONAL REAL ESTATE PRACTICE EXAM V2
1. Annexation is: the act of bringing something or putting something on the land. When
determining annexation, value of the item is RARELY considered. TheRELATIONSHIP if the
parties is more important.
2. Doctrine of Emblements: says that a TENANT farmer may return to pick the1st crop after
the land has been sold.
3. Fixtures: Man made attachments
4. Bundle of Rights: 1) Right of use
2) Right of enjoyment
3) Right of disposal
5. Riparian Rights: Rights of the landowner ADJACENT to a riverRemember "R" -
riparian/river
6. Littoral Rights: rights of a landowner adjacent to a lakeRemember "L" - Littoral/Lake
7. Appurtenances are rights that go along with real estate and include:: AirRights, Water
Rights, & Mineral rights to name a few.
8. Fee Simple (also called Fee Absolute): The best interest in real estate recog-nized by law;
it represents the most complete ownership.
9. Life Estate: The estate CANNOT be passed on to the life estate holder's heirs.
10. Pur Autre Vie: A life estate that is dependent up the life of another.
11. Estate for Years is a type of leasehold that:: Has a specific expiration date orspecific term.
12. Period to Period is a type of leasehold that:: Has no specific expiration butthe length is
specified (like a month to month lease)
13. Joint Tenancy: 2 or more ownership holders own a fraction of UNDIVIDEDinterest.
Rights of survivorship apply.
14. The types of deeds are:: 1) Warranty Deed
2) Special (or limited) Warranty Deed
3) Quitclaim Deed
4) Special Purpose Deed
5) Transfer on Death Deed.
15. Warranty Deed: Offers the greatest protection that a deed can give.
, 16. Special Warranty Deed (Limited warranty deed): 1) Owner warrants only thathe has not
done harm to the title
2) Covers only the period of time when the sellers owner the property.
17. Quitclaim Deed: The seller agrees to convey whatever interest, IF ANY, theyhave in the
property.
18. The reason a deed is recorded is: for protection against a third party.
19. Unilateral Contract: Contract containing ONE promise given in exchange forcompleting
an act. NO obligation to act.
20. Bilateral Contract: Contract containing TWO promises. Example: A listing agree-ment is a
bilateral contract
21. Client/Principal: A person who has entered into an agency relationship w/ alicensee &
with whom there is a written contract
22. Customer: Any 3rd party w/ whom a licensee works
23. In-Company Transaction: Transaction in which the buyer and seller are bothrepresented
by the same brokerage.
24. Management-Level License: A licensee who is employed by or affiliated w/ abrokerage
who has supervisory responsibility over other licensees.
25. Statute of Frauds requires the following:: 1) Certain contracts be in writing to be
enforceable, 2) All real estate contracts for the sale of LAND & ALL LEASES for more than
one year, options for more than 6 months, must be in writing & signed byall parties.
26. Novation: Substituting a new obligation for an old one. Also, a transfer of rights and/or
duties under contract.
27. If the original party to an agreement is replaced due to novation, are theyliable?: No
28. Mailbox Rule: Acceptance that becomes effective as soon as it is sent in themail, unless
the contract specified a certain means for delivery.
29. Grantor is the: Owner
30. Grantee is the: Buyer
31. Optionor is the: Seller
32. Optionee is the: Buyer
33. Lessor is the: Landlord
34. Lessee is the: Tenant
35. Vendor is the: Seller
36. Vendee is the: Buyer
37. Mortgagor is the: Buyer
1. Annexation is: the act of bringing something or putting something on the land. When
determining annexation, value of the item is RARELY considered. TheRELATIONSHIP if the
parties is more important.
2. Doctrine of Emblements: says that a TENANT farmer may return to pick the1st crop after
the land has been sold.
3. Fixtures: Man made attachments
4. Bundle of Rights: 1) Right of use
2) Right of enjoyment
3) Right of disposal
5. Riparian Rights: Rights of the landowner ADJACENT to a riverRemember "R" -
riparian/river
6. Littoral Rights: rights of a landowner adjacent to a lakeRemember "L" - Littoral/Lake
7. Appurtenances are rights that go along with real estate and include:: AirRights, Water
Rights, & Mineral rights to name a few.
8. Fee Simple (also called Fee Absolute): The best interest in real estate recog-nized by law;
it represents the most complete ownership.
9. Life Estate: The estate CANNOT be passed on to the life estate holder's heirs.
10. Pur Autre Vie: A life estate that is dependent up the life of another.
11. Estate for Years is a type of leasehold that:: Has a specific expiration date orspecific term.
12. Period to Period is a type of leasehold that:: Has no specific expiration butthe length is
specified (like a month to month lease)
13. Joint Tenancy: 2 or more ownership holders own a fraction of UNDIVIDEDinterest.
Rights of survivorship apply.
14. The types of deeds are:: 1) Warranty Deed
2) Special (or limited) Warranty Deed
3) Quitclaim Deed
4) Special Purpose Deed
5) Transfer on Death Deed.
15. Warranty Deed: Offers the greatest protection that a deed can give.
, 16. Special Warranty Deed (Limited warranty deed): 1) Owner warrants only thathe has not
done harm to the title
2) Covers only the period of time when the sellers owner the property.
17. Quitclaim Deed: The seller agrees to convey whatever interest, IF ANY, theyhave in the
property.
18. The reason a deed is recorded is: for protection against a third party.
19. Unilateral Contract: Contract containing ONE promise given in exchange forcompleting
an act. NO obligation to act.
20. Bilateral Contract: Contract containing TWO promises. Example: A listing agree-ment is a
bilateral contract
21. Client/Principal: A person who has entered into an agency relationship w/ alicensee &
with whom there is a written contract
22. Customer: Any 3rd party w/ whom a licensee works
23. In-Company Transaction: Transaction in which the buyer and seller are bothrepresented
by the same brokerage.
24. Management-Level License: A licensee who is employed by or affiliated w/ abrokerage
who has supervisory responsibility over other licensees.
25. Statute of Frauds requires the following:: 1) Certain contracts be in writing to be
enforceable, 2) All real estate contracts for the sale of LAND & ALL LEASES for more than
one year, options for more than 6 months, must be in writing & signed byall parties.
26. Novation: Substituting a new obligation for an old one. Also, a transfer of rights and/or
duties under contract.
27. If the original party to an agreement is replaced due to novation, are theyliable?: No
28. Mailbox Rule: Acceptance that becomes effective as soon as it is sent in themail, unless
the contract specified a certain means for delivery.
29. Grantor is the: Owner
30. Grantee is the: Buyer
31. Optionor is the: Seller
32. Optionee is the: Buyer
33. Lessor is the: Landlord
34. Lessee is the: Tenant
35. Vendor is the: Seller
36. Vendee is the: Buyer
37. Mortgagor is the: Buyer
