TENNESSEE REAL ESTATE PRACTICE EXAMS QUESTIONS
AND ANSWERS GUARANTEE A+ 2025/2026
✔✔police power - ✔✔states ability to regulate for the betterment of the health, safety,
morals, and general welfare of community
✔✔zoning - ✔✔police power that divides and into areas for designated uses
✔✔variance - ✔✔exception to the roll
✔✔down zoning - ✔✔commercial to residential
✔✔grandfather clause - ✔✔exempt from new rule
✔✔nonconforming use - ✔✔a type of zoning variance where a parcel of land may be
given an exception from current zoning ordinances due to improvements made by a
prior owner or before the current zoning ordinances made the desired use non-forming
under local law
✔✔building codes - ✔✔protect public health, safety and general welfare
✔✔escheat - ✔✔reversion of property to the state when the owner dies without heirs
✔✔intestate - ✔✔no will
✔✔testate - ✔✔has a will
✔✔probate - ✔✔executor for the estate of a deceased person sells property in order to
divide the property among the beneficiaries
✔✔holographic will - ✔✔written by hand
✔✔taxation - ✔✔financial charge by a state to fund various public expenditures
✔✔marginal tax rate - ✔✔percentage taken from your next dollar of taxable income
✔✔1031 tax deferred exchanged - ✔✔- defer taxes
- identify 45 days, acquire within 180 days of closing previous property
✔✔boot - ✔✔fair market value of other property received in an exchange
✔✔ad valorem - ✔✔latin for according to value
✔✔eminent domain - ✔✔government ability to take private property for public use
, ✔✔condemnation - ✔✔process of compensating a person when property is taken by
eminent domain
✔✔inverse condemnation - ✔✔sueing the government for just compensation properly is
taken
✔✔encroachment - ✔✔when a structure is built in part on a neighbor's property
✔✔liens - ✔✔money owned
✔✔general liens - ✔✔lien against all personal property
✔✔specific liens - ✔✔lien that is on a single property
✔✔voluntary lien - ✔✔lien that exists because of an action taken by a debtor
✔✔involuntary lien - ✔✔liens that were imposed on a individual. i.e. .. taxes and
judgment liens
✔✔mechanics lien - ✔✔lien on behalf of those who have supplied labor or materials
that improve the property
✔✔judgement lien - ✔✔lien placed by the court
✔✔lis pendis - ✔✔lawsuit pending involving either the title to the property or a claimed
ownership interest in it
✔✔injunctions - ✔✔court order that compels a party to do or refrain from specific acts
✔✔constructive notice - ✔✔signifies that a person should have known as a reasonable
person would have
✔✔actual notice - ✔✔personally given to somebody
✔✔escrow - ✔✔neutral third party
✔✔debit - ✔✔money owed
✔✔credit - ✔✔money received
✔✔short rate - ✔✔a higher periodic rate for a shorter term than what was originally
contracted
AND ANSWERS GUARANTEE A+ 2025/2026
✔✔police power - ✔✔states ability to regulate for the betterment of the health, safety,
morals, and general welfare of community
✔✔zoning - ✔✔police power that divides and into areas for designated uses
✔✔variance - ✔✔exception to the roll
✔✔down zoning - ✔✔commercial to residential
✔✔grandfather clause - ✔✔exempt from new rule
✔✔nonconforming use - ✔✔a type of zoning variance where a parcel of land may be
given an exception from current zoning ordinances due to improvements made by a
prior owner or before the current zoning ordinances made the desired use non-forming
under local law
✔✔building codes - ✔✔protect public health, safety and general welfare
✔✔escheat - ✔✔reversion of property to the state when the owner dies without heirs
✔✔intestate - ✔✔no will
✔✔testate - ✔✔has a will
✔✔probate - ✔✔executor for the estate of a deceased person sells property in order to
divide the property among the beneficiaries
✔✔holographic will - ✔✔written by hand
✔✔taxation - ✔✔financial charge by a state to fund various public expenditures
✔✔marginal tax rate - ✔✔percentage taken from your next dollar of taxable income
✔✔1031 tax deferred exchanged - ✔✔- defer taxes
- identify 45 days, acquire within 180 days of closing previous property
✔✔boot - ✔✔fair market value of other property received in an exchange
✔✔ad valorem - ✔✔latin for according to value
✔✔eminent domain - ✔✔government ability to take private property for public use
, ✔✔condemnation - ✔✔process of compensating a person when property is taken by
eminent domain
✔✔inverse condemnation - ✔✔sueing the government for just compensation properly is
taken
✔✔encroachment - ✔✔when a structure is built in part on a neighbor's property
✔✔liens - ✔✔money owned
✔✔general liens - ✔✔lien against all personal property
✔✔specific liens - ✔✔lien that is on a single property
✔✔voluntary lien - ✔✔lien that exists because of an action taken by a debtor
✔✔involuntary lien - ✔✔liens that were imposed on a individual. i.e. .. taxes and
judgment liens
✔✔mechanics lien - ✔✔lien on behalf of those who have supplied labor or materials
that improve the property
✔✔judgement lien - ✔✔lien placed by the court
✔✔lis pendis - ✔✔lawsuit pending involving either the title to the property or a claimed
ownership interest in it
✔✔injunctions - ✔✔court order that compels a party to do or refrain from specific acts
✔✔constructive notice - ✔✔signifies that a person should have known as a reasonable
person would have
✔✔actual notice - ✔✔personally given to somebody
✔✔escrow - ✔✔neutral third party
✔✔debit - ✔✔money owed
✔✔credit - ✔✔money received
✔✔short rate - ✔✔a higher periodic rate for a shorter term than what was originally
contracted
