Barney Fletcher Real Estate Exam correctly answered 2024, Exams of Real Estate Management

Download Barney Fletcher Real Estate Exam correctly answered 2024 and more Exams Real Estate Management in PDF only on Docsity! Barney Fletcher Real Estate Exam correctly answered 2024 False - correct answer Surface rights consist of only the right to control, occupy, and use the surface area of a parcel of real estate. T/F? Mineral rights are: A. Always considered to be personal property B. Always pass with the land C. Cannot be sold separately from the land D. Pass with the land, unless otherwise specified in the deed Which of the following is NOT an improvement of land? A. Building B. Sidewalk C. Corn crop D. Flower bed Six months after Brady bought his home, he installed custom made storm windows and doors throughout the house. Later, when he sells his property, will these storm windows and doors automatically convey with the house? A. Yes, unless in advance of the sale, Brady clearly specifies that they will be removed. B. Yes, if he lived in the property at least a year before the sale. C. No, because they were not part of the original structure D. No, because they can be removed, if they are taken off carefully David owns property along the banks of the Little Big Horn River. Scott owns property adjoining David's, and has access to the highway, but not to the river. Scott and David grant each other appurtenant easements to cross each others property to get to the road and the river respectively. The riparian rights associated with property ownership belong to: A. David because his property borders the river B. Scott, because he has an easement to cross David's land C. Both David and Scott D. Neither Which of the following is NOT a test of a fixture? A. Manner of attachment B. An agreement between the parties C. Time of attachment D. Manner of adaptation Which of the following best describes a parcel of land? A. The surface of the earth including control of all minerals and substances beneath B. The surface of the earth extending down to the center and upward to the sky C. The earth's surface closely marked by certain boundaries D. The surface of the earth extending down a reasonable distance and up into the air a reasonable distance False - Littoral rights is a term referring to all water rights T/F? Each of the following is a test of whether or not something is a fixture, EXCEPT: A. Method of attachment B. Adaptability C. Cost D. Relationship of the parties D. Cattle and horses E. an easement trade - correct answer a ______ fixture can be affixed to real property without becoming legal part of the property False - correct answer Trade fixtures may not be removed from leased premises once they are affixed. T/F? True - correct answer Trade fixtures do not include replacement fixtures. T/F? emblements - correct answer Fructus industriales is another term for: Chattel - correct answer all property other than real property is known as _____ True - correct answer A bill of sale is to personal property as a deed is to real property. T/F? Price - correct answer The actual amount of money paid for a particular parcel of real estate is said to be that property's: False - correct answer In an ideal market, the forces of supply and demand are always chaotic. T/F? his or her broker-employer - correct answer A licensed real estate salesperson may legally accept an extra commission for a difficult sale from: Owner Kelly is leaving the area for a one year period. She asks salesperson Boren to manage her rental house for $45/mo while she is gone. Which of the following is true in this situation? A. Boren must work through her broker B. Boren must put the $45 in an interest bearing escrow account C. This is OK because the compensation is less than $1,000 D. This is OK because the time element is not more than one year Broker - correct answer A salesperson represents the _____ Which of the following is required to hold a real estate license? A. A person who, for compensation, helps sell his neighbor's home B. A government employee selling land owned by the government C. A property manager leasing property in the course of his employment for the owner. D. All of these choices False - correct answer Our free enterprise system is free from government economic controls. T/F? the general public - correct answer The purpose of a state real estate regulatory board is to protect: False - correct answer A mushroom farm is industrial property. T/F? Special purpose properties include all of the following EXCEPT: A. Churches B. Hospitals C. Industrial park D. Nursing homes Commercial property includes all but which of the following? A. horse ranch B. office buildings C. restaurants D. vacant land suitable for commercial development False - correct answer A hospital is a commercial property. T/F? False - correct answer An industrial park is commercial property. T/F? Which of the following is not considered a legal description? A. Metes and bounds B. Lot and block C. Government method of survey D. Street address, city, state and zip code Monuments method - correct answer The least accurate method of legal description is the: 640 - correct answer If a person owns a square parcel of land that is 1 mile on each side, the person owns how many acres? True - correct answer The government survey method is used in the majority of states in the US. T/F? A - correct answer In a real estate contract, the legal description of the property describes the: A. Land only B. Land and improvements C. land, improvements and all rights pertaining to the land D. Land, improvements, rights and rights of easement D. Metes and bounds - correct answer Of the given choices, the best way to describe an irregularly shaped parcel is: A. Government survey B. Geodetic survey C. Constant survey D. Metes and bounds B. the right to obtain ownership to property when title is held in another's name C. proof of ownership D. statement of opinion of the title's status color of title - correct answer the legal process of "tacking" relates to an adverse possession claim under ______ State recording act - correct answer The system which provides notification of ownership rights and claims by certain creditors against real property is created by either a quitclaim deed or a quiet title action - correct answer A cloud on title can be removed by C - correct answer Which of the following is NOT a type of title? A. bare legal title B. naked title C. full title D. equitable title True - correct answer Inquiry notice is legal notice presumed by law False - correct answer An acknowledgement means that you agree to what you signed C - correct answer What is the legal process, used by the government, to acquire property from a private citizen? A. eminent domain B. escheat C. condemnation D. taxation D - correct answer An abstract of title would contain: A. The name of the original owner B. a record of all encumbrances, liens, mortgages and court actions C. a record of any transfer of title by devise D. all of these choices Inquiry notice - correct answer Fred is considering purchasing a vacant lot. He inspects the property and finds a well-worn path across one side of the property. Fred would have what type of notice regarding a possible easement across the property? False - correct answer Constructive notice means that an individual has seen or been given actual information or documents. T/F? A - correct answer Each of the following entities has the power of eminent domain, EXCEPT: A. Religious schools B. Railroads C. Public utilities D. School districts the state - correct answer When the last heir of a property owner dies, absent a provision in a will devising the property, title will revert to _____ Intestate - correct answer A person who died without leaving a will is said to have died ______ False. Taxes become liens when they are assessed - correct answer Taxes do not become liens until the due date for payment has passed. T/F? police power - correct answer A city zones an area for residential use. This is an example of the use of its: False - correct answer An easement is just another form of encroachment. T/F? D - correct answer Which of the following are encumbrances on real property? A. easements B. liens C. deed restrictions D. all of these choices B - correct answer If a fence or wall is built on the property line between two adjoining properties, who owns the fence or wall? A. the person that paid to have it installed B. The owners of the adjoining properties own it together C. The county because it is on the line D. the neighborhood owners association False - correct answer Restrictive covenants are not encumbrances against property deed restriction - correct answer a subdivider puts a requirement in all of the deeds to properties in a subdivision requiring specified setback requirements stating how close the improvements can be built to each side of the property. This would be an example of a _____. true - correct answer community property is a statutory estate. T/F? A - correct answer After buying and settling into her new home, Joanne discovered that the fence of her neighbor, Gloria, encroached ten feet on Joanne's side of the property line. Which of the following is true? A. Joanne may sue Gloria to have the fence removed if there has not been enough time for Gloria to get an easement by prescription B. Joanne has legal recourse in the courts only if she did not inspect the property before she bought it C. Joanne has to own the property for at least three months before she may take any action on getting her land back D. Joanne really doesn't have any legal recourse since the fence was there before she bought the property D - correct answer The unities of time, title, interest and possession are required in order to create: A. an undivided interest in the property as a whole B. separate ownership C. concurrent ownership D. the right of survivorship D - correct answer Three people bought a property together as joint tenants. Two of them have died. The surviving owner now owns the property: A. as sole joint tenant B. together with the heirs of the deceased owners C. in tenancy by the entireties D. as tenant in severalty B - correct answer Two unrelated persons own a property together. These owners could will their ownership share to their heirs if title was held in: A. Joint tenancy only B. Tenancy in common only C. Both joint tenancy and tenancy in common D. Neither joint tenancy nor tenancy in common True - correct answer It is possible for the creator of the trust, the truster, and the beneficiary to be the same person. T/F? C - correct answer Jones, Smith, and Williams own a property as joint tenants. Which of the following is true? A. If Jones dies, Smith and Williams will own property as tenants by the entireties. B. If Jones dies, Smith and Williams will own the property as tenants in common. C. If Jones and Smith die, Williams will own the property in severalty. D. If any one of the owners die, the property goes to the heirs of the deceased owner B - correct answer What is the most common form of ownership between two or more individuals? A. Joint tenancy B. Tenancy in common C. Community property D. Tenancy by the entireties C - correct answer Bob, Carol, Ted and Alice bought a property as joint tenants many years ago. Alice is now the sole survivor of this group. How does Alice own this property? A. As sole joint tenant B. As a tenant in common C. In severalty D. As a devisee D - correct answer Francoise is awarded a judgment lien against Gerald. Gerald's only asset is his real property worth approximately $20,000. This property already has a tax lien, a mortgage lien and a recorded mechanic's lien. If the property is sold at a foreclosure or trustee's sale, Francoise can expect to collect on the judgment lien, before which of the following? A. The mortgage B. tax lien c. mechanic's lien d. none of above C - correct answer A landscaper has not been paid for landscaping a homeowner's yard. A friend tells him the house is for sale. What should the landscaper do? A. Sue the listing agent B. File an injunction C. File for a mechanic's lien D. Write a letter to the owners demanding immediate payment A - correct answer An easement appurtenant can be terminated by all of the following EXCEPT A. the owner of the servient tenement, by executing a deed releasing his easement interest B. the owner of the dominant tenement, by executing a deed releasing his easement interest C. The dominant and servient tenements are merged D. The owner of the dominant tenement abandons his easement interest D - correct answer Jones buys a lot that has no access by way of a public road. He can gain access to his land by way of his neighbor's land that has public road access A. only if the grantor of the property caused the lot to be landlocked B. only if his neighbor agrees to give him an easement C. only by establishing an easement by prescription D. Either if the grantor of the property caused the lot to be landlocked or if his neighbor agrees to give him an easement D - correct answer All of the following are encumbrances on real property EXCEPT: A. easements B. liens C. deed restrictions D. a license D - correct answer Which of the following statements about liens is ALWAYS true? A. a lien is an encumbrance on title B. a lien arises from a debt C. a lien creates a cloud on title when recorded D. All of these choices A - correct answer Jerry Jones buys a piece of land that has no access to a public road. He can access his land: A. Because the law guarantees all landowners egress and ingress B. only if one of his neighbors grants him an easement A. a recorded property tax lien B. a mechanics lien C. a judgment lien D. a mortgage lien B - correct answer Which of the following would have priority at a foreclosure sale ordered by a court? A. 1st mortgage B. real estate tax lien C. judgment lien D. mechanics lien an easement - correct answer the right or privilege that one person has to use property that belongs to another person is referred to as False - correct answer An easement by implication is one created by operation of law. T/F? A - correct answer The creation of an easement by prescription is most similar to? A. adverse possession B. unlawful detainer action C. accretion D. police power False - correct answer Suppliers can get a mechanic's lien only if they have an express, written contract for the material supplied. T/F? B - correct answer An appurtenant easement can be terminated in each of the following ways, EXCEPT: A. by the holder of the dominant tenement B. by the holder of the servient tenement C. by abandonment D. by court True - correct answer An IRS lien is a general lien. T/F? D - correct answer A lien established by the state legislature is A. a statutory lien B. a legislative lien C. an involuntary lien D. both a statutory lien and an involuntary lien True - correct answer An easement may be accomplished by operation of law through the government's power of eminent domain in condemnation proceedings. T/F? C - correct answer A local government changed the zoning on a large parcel of property. As a result of the zoning change, the property has decreased in value. The government: A. is required to compensate the owners an amount equal to the appraised value of the property prior to the rezoning B. must pay the owners the difference between the present value and value prior to rezoning C. is not required to pay anything D. is exercising it's power of eminent domain B - correct answer Zoning laws are created and enforced by: A. city governments only B. city and county governments only C. city, county snd state governments only D. city, county, state and federal governments D - correct answer Zelda wants to move into a subdivision with her giraffe. Which of the following would determine whether or not she could move into a home and keep her giraffe on the property? A. Police power because police determine which pets are allowed in residential properties B. building codes C. urban planning with a restriction on regulating pets D. zoning ordinances B - correct answer Which of the following would NOT be a proper exercise of police power by a county? A. restricting land use B. restricting occupancy to single women only C. requiring building permits D. requiring setback distances from property boundaries C - correct answer What is the difference between a building that has a conditional use permit and a building that is a (legally) nonconforming use but has no variance or conditional use permit? A. the nature of the structure B. the size of the structures C. whether the use pre-dated a zoning change D. None of these choices-there is no difference A - correct answer The purpose of a zoning ordinance is to: A. promote the health, safety and general welfare of the public B. promote building conformity C. comply with federal regulations D. assure higher resale values B - correct answer The zoning in a particular area requires minimum lot sizes of at least 7,500 square feet. Sally owns a vacant lot in the corner of the tract that contains only 7,000 square feet. In order to build a home on that lot, Sally would need: A. No special approval B. A variance C. A spot zoning change D. A change to the zoning ordinance which governs this entire tract True - correct answer Bulk zoning controls industrial construction. T/F? A - correct answer The owner of a cooperative apartment unit: A. owns stock in a non-profit corporation B. Holds fee simple title that may be sold, mortgages or leased C. owns the unit in fee simple with an undivided interest in the common elements D. holds title in partnership with unit owners B - correct answer Property taxes on cooperative units are assessed in the form of: A. individual tax bills for each unit B. a single tax bill prorated among individual units C. annual tax bills based on the type of unit D. biannual tax bills based on the type of unit B - correct answer Which of the following best describes a condominium? A. personal property B. air lot C. stock ownership D. interval ownership D - correct answer Which of the following does NOT describe a cooperative form of ownership? A. a corporation owns the land and improvements B. taxes are general liens against a corporation C. unit owners are stockholders D. unit owners hold a real property interest in the land and improvements C - correct answer In terms of ownership, PUDs most clearly resemble A. leasing B. cooperative ownership C. condominium ownership D. time-share ownership A - correct answer the costs associated with routine maintenance of the common area in a condominium complex, such as mowing the lawn or snow removal, are financed through: A. payment of homeowners association dues B. payment of special assessments C. pro-rata billing among the unit owners D. none of these choices True - correct answer Common areas are owned as tenants-in-common with other condominium owners. T/F? C - correct answer A condominium advertises a pool and tennis court, but they have not yet been completed. Which is correct? A. this is illegal advertising B. it is allowed so long as the advertising states "not yet completed" C. this is allowed if they are labeled not yet completed and a completion date is specified D. this is allowed since the rule of caveat emptor reigns B - correct answer The owner of a unit in a cooperative gains the right to occupy the unit through a: A. stock certificate B. proprietary lease C. rental agreement D. standard lease agreement D - correct answer Title to a property passes when: A. the deed is signed B. the deed is notarized C. the deed is recorded D. the deed is delivered and accepted A - correct answer Which of the following is NOT a form of involuntary transfer of property? A. Dedication B. Adverse possession C. sherriffs sale D. Eminent domain grantor - correct answer A quitclaim deed conveys only the interest of the D - correct answer After the statutory period has elapsed, what would a person have to do to formally establish clear title through adverse possession? A. file an estoppel certificate B. file a warranty deed C. apply for a writ of attachment D. file suit for quiet title C - correct answer A special warranty deed would include which of the following covenants? A. a covenant of warranty B. a covenant of quiet enjoyment C. a covenant against grantor's acts D. All of these choices A - correct answer A buyer purchased a tract of land at a tax sale to satisfy the claim for delinquent taxes. if no one redeems the property during the statutory time period, the purchaser would most likely receive which of the following as evidence of ownership? A. tax deed B. sheriff's deed C. certificate of title D. statutory warrant deed D. all of these choices are required B - correct answer Three people own a piece of property as tenants in common. Two of the owners want to sell the property, but the third party does not. The two owners that want to sell could file a suit, against the third, for: A. foreclosure B. partition C. detachment D. severance True - correct answer Title by accession is involuntary alienation. T/F? B - correct answer The act of recording a deed in the public record's office designated for that purpose, results in which of the following? A. title will pass to the new owner on the date of recording B. serves as constructive notice to the public C. it protects the buyer from encumbrances D. serves as actual notice of ownership Grantee - correct answer When the property is conveyed by deed, the buyer is referred to as the: C - correct answer The covenant in a deed which guarantees to the grantee that no one has any other interest in the property , that will disturb the grantee's possession of the property, is known as the: A. the covenant of further assistance B. covenant against encumbrances C. covenant of quiet enjoyment D. covenant of seizen False - correct answer Descent and distribution is a form of voluntary alienation. T/F? C - correct answer A special warranty deed would include which of the following covenants? A. a covenant of warranty B. a covenant of quiet enjoyment C. a covenant against grantor's acts D. All of these choices B - correct answer Which of the following do NOT need to be recorded? A. a document affecting title to land B. month to month lease C. an easement for a fence D. a deed of trust special warranty deed - correct answer a deed in which the grantor protects the grantee only against claims that arise during the time that the grantor owned the property is referred to as a A - correct answer Each of the following is an involuntary method of conveying property EXCEPT A. quitclaim deed B. escheat C. condemnation D. adverse possession C - correct answer Title to real property is conveyed by deed when: A. signed by the grantor B. recorded by the grantee C. delivered and accepted D. signed by the grantee C - correct answer When would title be transferred by the laws of intestate succession? A. testator has living heirs B. voluntary alienation C. pursuant to descent and distribution D. there is a will D - correct answer In order to examine a recorded deed, which of the following is necessary? A. written permission of the owner B. an inquiry notice C. a court order D. none of these choices D - correct answer If a seller deposits the deed with an escrow agent but the seller dies before it is delivered to the purchaser, the transfer of title becomes effective on the date the deed was deposited into escrow due to the: A. parties' consent B. law of contracts C. the parol evidence rule D. the doctrine of relation-back C - correct answer All of the following would be considered an involuntary alienation of property EXCEPT: A. Foreclosure B. Eminent domain C. devise D. adverse possession B - correct answer Under which of the following conditions would a buyer most likely sue for specific performance? A. if the seller did not inform the buyer that the property being purchased is a servient estate (easement placed upon it) B. If the seller defaulted on the contract before closing C. if the broker lied about the location of the schools False - correct answer It is necessary to prove that money damages were suffered in order to rescind a contract. T/F? A - correct answer Licensee Lenny shows a home to Prospect Paul. Lenny tells Paul that this house has the best view of the lake. Paul buys the house and later discovers that a neighbor down the street has a view that in Paul's opinion is a better view than his own. This is an example of: A. puffing B. mistake C. misrepresentation D. fraud D - correct answer Which of the following real estate documents must be in writing in order to be enforced by the courts? A. option B. real estate sales contract C. lease for more than one year D. all of these choices C - correct answer During the period of time after a real estate contract is ratified, but before title actually passes to the buyer, the status of the contract is: A. voidable B. executed C. executory D. implied specific performance - correct answer court action taken to require the parties to a contract to carry out the terms and ovations of a contract is known as a suit for: A - correct answer A buyer makes an offer to purchase a home for $95,000. The seller makes a counteroffer of $100,000. which of the following statements is true? A. the seller is now the offeror B. if the buyer rejects the counteroffer the seller has the choice to accept the original offer C. the original offer remains open until its expiration date D. the seller must formally reject the original offer before making the counteroffer A. The Parol Evidence Rule states that a written agreement will override any previous oral agreement - correct answer The Parol Evidence Rule controls which of the following: A. an oral agreement leading to a written contract B. a dispute between cooperating brokers C. a settlement which occurs while a licensee is imprisoned D. None of the above A - correct answer A homeowner tells a broker that he would like to sell his house. The broker agrees to sell the house. This agreement would be considered: A. an express contract B. an implied contract C. an illegal contract as it requires a writing D. an equilateral contract D - correct answer Vernon presents an offer to a seller with the provision that it must be accepted within 72 hours. Under which of the following circumstances would the offer terminate? A. seller accepts the offer, but Vernon dies before receiving a copy of the accepted offer. B. the seller resubmits the offer with a minor change as to settlement date C. The seller wants to wait a week before acceptance D. Any of these choices would terminate the offer C - correct answer Which of the following is required for a contract to be valid? A. in writing B. an earnest money deposit C. consideration D. signature and seal of a notary public D - correct answer Which of the following could be recognized as consideration in a valid contract? A. a mortgage note with interest B. a promise to install a cabinet C. a note without interest D. any of these choices C - correct answer Which of the following is an example of a unilateral contract? A. a sales contract for a piece of property B. an appraisal C. a promise of a reward for the return of a lost dog D. a marriage C - correct answer Which of the following does not have to exist for a valid contract to be enforceable in the sale of real estate? A. the contract must be in writing B. an offer and acceptance C. performance D. consideration D - correct answer Bill has a contract in place to purchase Sam's house. Bill later changes his mind and defaults on the contract. Sam would have which of the following remedies? A. rescind the contract B. sue for damages C. sue for specific performance D. any of these choices D - correct answer Lloyd Christmas owns a house which he has decided to rent to Harry Dunne. No written contract exists and there has been no discussion as to lawn care. Harry takes it upon himself to A - correct answer A real estate broker presents an offer to the seller on a property with the provision that the seller has 6 days to accept the offer. At the end of the 3rd day, the buyer withdraws the offer. What should the broker do? A. Return the earnest money deposit to the buyer B. give the earnest money deposit to the seller C. split the deposit with the buyer D. split the deposit with the seller C - correct answer A purchaser submits an offer to a seller with the condition that the property is to be finances by a conventional loan at no more than 10% interest. If the seller agrees but such financing cannot be obtained, which of the following is true? A. The purchaser loses his deposit but is relieved of further liability B. the seller is obligated to return the deposit plus interest C. the purchaser may request his deposit be returned D. the seller can sue for specific performance B - correct answer How does a purchaser obtain equitable title to a property? A. with an abstract B. through a valid contract C. by deed D. by an estoppel certificate Estate in reversion - correct answer What type of estate could be present in both a life estate and a leased-fee estate? A - correct answer A buyer enters into a contract for the purchase of property, agreeing to make a specified down payment, and further agreeing to regular monthly payments to the seller, who is holding legal title, for a specified period of time. This describes what type of contract? A. installment contract B. purchase money mortgage C. option contract D. agreement contract D - correct answer Upon signing a management contract with an owner, a broker becomes a/an: A. trustee B. receiver C. director D. agent C - correct answer Which of the following would cause a deed to be void? A. fraud B. undue influence C. illegal purpose D. duress A - correct answer Which of the following listings is the most advantageous to the broker? A. exclusive right to sell B. exclusive agency C. MLS D. implied D - correct answer When a contract is breached, the injured party A. may not sue for money damages B. may not sue for specific damages C. may rescind the contract bilaterally D. may rescind the contract unilaterally