Exampromax - Stuvia US 2025/2026
1
Aceable Agent - Level 1 - Property Ownership
- Chapters 1-4 Questions and Answers and
Graded
What is land?
Correct Answer
Land refers to more than just a tract of earth.
Land not only includes the natural resources on the sur face
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of the land, but the minerals below the surface and the air
Exampromax - Stuvia US
above the surface.
The official definition is:
The surface of the earth, including all permanently attached
natural features, extending downwards to the center of the
earth and upwards towards infinity.
When a person acquires land, they acquire all that is above
and below as well.
What is real estate?
Correct Answer
Real estate is the land PLUS all improvements made by
man or nature.
, Exampromax - Stuvia US 2025/2026
2
Examples of said improvements include buildings, sheds,
fences, sewers, etc.
Real estate is also referred to as realty.
What constitutes an improvement?
Correct Answer
An improvement is any non-natural structure built on or
affixed to land.
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Exampromax - Stuvia US
Buildings fences, decks, and roads are all examples of
improvements.
Improvements must be permanently attached to land, and
are therefore considered real estate.
What is land without improvements?
Correct Answer
Exactly that; just land.
For example, an empty field with no buildings on it is just
land.
To describe the land and improvements as one package, we
use the term "real estate"
, Exampromax - Stuvia US 2025/2026
3
What is real property?
Correct Answer
While real estate refers to the land and the improvements
on it, real property refers to all that PLUS the set of rights
associated with real estate ownership.
However, it's important to note that there is technically a
distinction between real estate and real property, but it's
not THAT important.
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In fact, it's probably alright to use the terms
Exampromax - Stuvia US
interchangeably.
What are people REALLY buying when they buy real estate?
Correct Answer
An asset, or an item of value.
They make the purchase of this asset in hopes that it will
increase in value, earning them equity.
What is equity?
Correct Answer
Equity is the portion of the property's total value owned
outright by the holder to title, equal to the difference
between the market value and all outstanding debts on the
property.
, Exampromax - Stuvia US 2025/2026
4
In other words, equity is all the value of a property above
what an owner owes their lender or other debt holders.
For example, if I put a $20,000 down payment on a
$200,000 house, I, therefore, have 10% equity in that house.
What is a deed?
Correct Answer
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It is a written instrument or legal agreement that conveys
Exampromax - Stuvia US
real property.
The deed gives the deed-holder legal title, or complete
legal ownership of real property and the bund le of rights
associated.
What are you doing when you "assume title"?
Correct Answer
You are officially assuming ownership of a property.
What is the most basic title transfer method?
Correct Answer
Using a deed.
1
Aceable Agent - Level 1 - Property Ownership
- Chapters 1-4 Questions and Answers and
Graded
What is land?
Correct Answer
Land refers to more than just a tract of earth.
Land not only includes the natural resources on the sur face
© 2025 Assignment Expert
of the land, but the minerals below the surface and the air
Exampromax - Stuvia US
above the surface.
The official definition is:
The surface of the earth, including all permanently attached
natural features, extending downwards to the center of the
earth and upwards towards infinity.
When a person acquires land, they acquire all that is above
and below as well.
What is real estate?
Correct Answer
Real estate is the land PLUS all improvements made by
man or nature.
, Exampromax - Stuvia US 2025/2026
2
Examples of said improvements include buildings, sheds,
fences, sewers, etc.
Real estate is also referred to as realty.
What constitutes an improvement?
Correct Answer
An improvement is any non-natural structure built on or
affixed to land.
© 2025 Assignment Expert
Exampromax - Stuvia US
Buildings fences, decks, and roads are all examples of
improvements.
Improvements must be permanently attached to land, and
are therefore considered real estate.
What is land without improvements?
Correct Answer
Exactly that; just land.
For example, an empty field with no buildings on it is just
land.
To describe the land and improvements as one package, we
use the term "real estate"
, Exampromax - Stuvia US 2025/2026
3
What is real property?
Correct Answer
While real estate refers to the land and the improvements
on it, real property refers to all that PLUS the set of rights
associated with real estate ownership.
However, it's important to note that there is technically a
distinction between real estate and real property, but it's
not THAT important.
© 2025 Assignment Expert
In fact, it's probably alright to use the terms
Exampromax - Stuvia US
interchangeably.
What are people REALLY buying when they buy real estate?
Correct Answer
An asset, or an item of value.
They make the purchase of this asset in hopes that it will
increase in value, earning them equity.
What is equity?
Correct Answer
Equity is the portion of the property's total value owned
outright by the holder to title, equal to the difference
between the market value and all outstanding debts on the
property.
, Exampromax - Stuvia US 2025/2026
4
In other words, equity is all the value of a property above
what an owner owes their lender or other debt holders.
For example, if I put a $20,000 down payment on a
$200,000 house, I, therefore, have 10% equity in that house.
What is a deed?
Correct Answer
© 2025 Assignment Expert
It is a written instrument or legal agreement that conveys
Exampromax - Stuvia US
real property.
The deed gives the deed-holder legal title, or complete
legal ownership of real property and the bund le of rights
associated.
What are you doing when you "assume title"?
Correct Answer
You are officially assuming ownership of a property.
What is the most basic title transfer method?
Correct Answer
Using a deed.
