RECA RESIDENTIAL EXAM
QUESTIONS WITH 100%
CORRECT DETAILED ANSWERS
Environmental Risks - Answer- - are situations in which a property and/or its occupants
are exposed to danger
- only limited exposure is possibly before irreparable damage
- becomes risk only if a conduit to facilitate the transaction is present
Environmental Hazard
- could cause harm to health or safety with exposure
Professionals Sanctions - Answer- Advisory Note - measures property but makes
mistake (math error, data entry error) - not technically a sanction
Letter of Reprimand - measures property but makes error (failing to maintain diagram,
failing to use correct methods, not discussing RMS with client, measuring outside of
knowledge)
Administrative Penalties - fails to measure or disregards process (not measuring
properly, disregarding advice, choosing to not discuss with client)
Property Defects - Answer- Patent Defects - obvious flaws discovered upon reasonable
inspection. Buyer is responsible to discover and makes steps to satisfy.
Latent Defects - not known to the seller or buyer at time of sale. Physical deficiencies
that are not dangerous. Liability is an issue - common law doctrine of Caveat Emptor
(buyer beware - protect own interests)
Material Latent Defects - not visible upon ordinary inspection. Affects use or value.
Seller must disclose
- sellers may decide whether or not to disclose if has been remedied
Flooding - Answer- Floodways - deepest fastest, highest risk (red)
Flood Fringes - shallower, slower (pink)
Found on flood hazard map
Disaster Recovery Program - provides funding for uninsured property damage. registers
on property title, can only qualify every 100 years.
- administered by Alberta Municipal Affairs
, Secondary Suites - Answer- Not usually permitted in duplexes, semi-detached or
attached.
- must have seperate entrance with direct access to outside
- at least one window in each bedroom
- fire protection between suite and dwelloing
- interconnected smoke alarm, carbon monoxide
- enclosed furnace room
- independent heating, ventilation and electrical
Property Inspectors - Answer- exclude alarm system, smoke alarm, sprinkler,
telephone, wood burning, underground items, outbuildings
Land Use - urban population growth - Answer- Subdivision - division of larger lot into
two or more smaller lots
Intensification- change in intensity of use within the same land use classification.
involves development of higher occupancy than what currently exists.
Assmblage - involves purchase of continuous lots to create a larger single lot.
Densification - increased concentration of residents, increase in the maximum allowable
occupants. usually involves land use change
Types of Estates in Land - on certificate of title - Answer- Fee Simple(freehold
ownership) - highest form of ownership with the most rights. closest to absolute
ownership. owns property until they sell it or pass away, can control who inherits
through the will.
Leasehold - right to exclusive use of property for set period of time. may obtain
leasehold title if more than three years.
Life Estate - right to exclusive possession for period of time (typically lifetime). after land
reverts to fee simple or to assignee. Dower Act applies
Types of Ownerships/rights - found on certificate of title - Answer- Sole ownership - only
one name appears, Dower Act may apply (creates interest for unnamed spouse) can
prevent disposal of property by spouse.
Joint Tenancy - equal interest, interest passes down to surviving owners upon death. All
receive interests at the same time, obtain titles from same document, all have same
interest, undivided interest.
Tenancy in Common - equal or unequal shares. no right of survivorship (can give to
anyone), ownership can be sold, all tenants must agree to dispose
QUESTIONS WITH 100%
CORRECT DETAILED ANSWERS
Environmental Risks - Answer- - are situations in which a property and/or its occupants
are exposed to danger
- only limited exposure is possibly before irreparable damage
- becomes risk only if a conduit to facilitate the transaction is present
Environmental Hazard
- could cause harm to health or safety with exposure
Professionals Sanctions - Answer- Advisory Note - measures property but makes
mistake (math error, data entry error) - not technically a sanction
Letter of Reprimand - measures property but makes error (failing to maintain diagram,
failing to use correct methods, not discussing RMS with client, measuring outside of
knowledge)
Administrative Penalties - fails to measure or disregards process (not measuring
properly, disregarding advice, choosing to not discuss with client)
Property Defects - Answer- Patent Defects - obvious flaws discovered upon reasonable
inspection. Buyer is responsible to discover and makes steps to satisfy.
Latent Defects - not known to the seller or buyer at time of sale. Physical deficiencies
that are not dangerous. Liability is an issue - common law doctrine of Caveat Emptor
(buyer beware - protect own interests)
Material Latent Defects - not visible upon ordinary inspection. Affects use or value.
Seller must disclose
- sellers may decide whether or not to disclose if has been remedied
Flooding - Answer- Floodways - deepest fastest, highest risk (red)
Flood Fringes - shallower, slower (pink)
Found on flood hazard map
Disaster Recovery Program - provides funding for uninsured property damage. registers
on property title, can only qualify every 100 years.
- administered by Alberta Municipal Affairs
, Secondary Suites - Answer- Not usually permitted in duplexes, semi-detached or
attached.
- must have seperate entrance with direct access to outside
- at least one window in each bedroom
- fire protection between suite and dwelloing
- interconnected smoke alarm, carbon monoxide
- enclosed furnace room
- independent heating, ventilation and electrical
Property Inspectors - Answer- exclude alarm system, smoke alarm, sprinkler,
telephone, wood burning, underground items, outbuildings
Land Use - urban population growth - Answer- Subdivision - division of larger lot into
two or more smaller lots
Intensification- change in intensity of use within the same land use classification.
involves development of higher occupancy than what currently exists.
Assmblage - involves purchase of continuous lots to create a larger single lot.
Densification - increased concentration of residents, increase in the maximum allowable
occupants. usually involves land use change
Types of Estates in Land - on certificate of title - Answer- Fee Simple(freehold
ownership) - highest form of ownership with the most rights. closest to absolute
ownership. owns property until they sell it or pass away, can control who inherits
through the will.
Leasehold - right to exclusive use of property for set period of time. may obtain
leasehold title if more than three years.
Life Estate - right to exclusive possession for period of time (typically lifetime). after land
reverts to fee simple or to assignee. Dower Act applies
Types of Ownerships/rights - found on certificate of title - Answer- Sole ownership - only
one name appears, Dower Act may apply (creates interest for unnamed spouse) can
prevent disposal of property by spouse.
Joint Tenancy - equal interest, interest passes down to surviving owners upon death. All
receive interests at the same time, obtain titles from same document, all have same
interest, undivided interest.
Tenancy in Common - equal or unequal shares. no right of survivorship (can give to
anyone), ownership can be sold, all tenants must agree to dispose
