Use LEFT and RIGHT arrow keys to navigate between flashcards;
Use UP and DOWN arrow keys to flip the card;
H to show hint;
A reads text to speech;
109 Cards in this Set
- Front
- Back
- 3rd side (hint)
|
What best describes a parcel of land |
The surface of the Earth extending down to the center and upward to Infinity |
Pie |
|
|
In determining whether an item is a fixture which of the following would not be considered? A. Method of attachment B. Adaption to the real estate C. Value of the item D. Legal interest of the annexing party |
C. The value of the item |
|
|
|
The characteristic which distinguishes personal property from real property is: A. Mobility B. Scarcity C. Durability D. Flexibility |
A. Mobility |
|
|
|
Crops planted and harvested each year are: A. Realty B. Emblements C. Fructis naturales D. Chattels real |
B. Elements |
|
|
|
All of the following items are personal property except: A. Trade fixtures B. A privacy fence C. Patio furniture D. Portable dishwasher |
B. A privacy fence |
|
|
|
Water rights along a large, navigable lake or ocean are known as: A. Title rights B. Shore rights C. Correlative rights D. Littoral rights |
D. Littoral rights |
|
|
|
All of the following are appurtenances except: A. Riparian rights B. A garage C. An apple orchard D. Trade fixtures |
D. Trade fixtures |
|
|
|
Real property is changed into personal property by: A. The right of appropriation B. Severance C. The law of capture D. Fructus naturales |
B. Severance |
|
|
|
Inadequate metes and Bounds description will have all of the following except: A. A definite point of beginning B. Four sides C. Closure D. Linear measurements and Compass directions |
B. Four sides |
|
|
|
The right of a landowner to take water from a river flowing through the property is: A. Littoral B. Right of correlative use C. Riparian D. Right of Prior appropriation |
C. Riparian |
|
|
|
When property borders on a non navigable stream, the owner owns the land: A. To the high-water mark B. To the low-water mark C. To the center of the Stream D. To the mean low water table |
C. To the center of the Stream |
|
|
|
A " legal description" of land must: A. Be sufficient to identify the property B. Carry measurements to the nearest inch C. Show the area of land being described D. Must contain an informal reference |
A. Be sufficient to identify the property |
|
|
|
One of the following is not a test of a fixture. Which is it? A. Manner of attachment B. Intent of the person who put it there C. Time of attachment D. Manner of adaptation |
C. Time of attachment |
|
|
|
Which of the following is not an " Improvement" to land? A. Building B. Sidewalk C. Corn crop D. Flower bed |
C. Corn crop |
|
|
|
Which of the following is real property? A. Wheat in a field. The wheat is under a sales contract. B. Apple trees in an orchard C. Trade fixtures D. The apples on the trees in an orchard |
B. Apple trees in an orchard |
|
|
|
Which of the following is exempt from the licensing requirement? A. A broker B. A salesperson C. An attorney D. A friend selling a neighbor's house for no compensation |
D. A friend selling a neighbor's house for no compensation |
|
|
|
A real estate salesperson may not: A. Buy or sell real estate as a principal B. Accept a commission from another broker C. Show property on which her office has no listing D. Represent both buyer and seller in a transaction |
B. Accept a commission from another broker |
|
|
|
A salesperson may be compensated for Real Estate Services by: A. The owner B. Another broker C. His or her own broker D. Another sales person |
C. His or her own broker |
|
|
|
A licensed salesperson. You may receive a commission for selling a neighbor's property: A. Directly through the neighborB. Only through your employing brokerC. At the time our neighbor closesD. When you find a buyer ready, willing, and able. |
B. Only through your employing broker |
|
|
|
If a salesperson acts as an independent contractor, then: A. He is responsible to his broker as how his work is performedB. He controls his own working hoursC. All of his listings belong to himD. His broker must withhold income tax from his commission checks |
B. He controls his own working hours |
|
|
|
A person must be licensed as a real estate broker or salesperson to: A. Appraise real propertyB. Negotiate a mortgage loanC. Buy a house from a homeownerD. Receive compensation for services |
D. Receive compensation for services |
|
|
|
A seller gave a friend a power of attorney to consummate the sale of his personal residence. Which of the following is true about the friend? A. He must have a Brokers licenseB. He must have a law degreeC. He's not need be licensedD. He not need to be licensed if he does not get paid |
C. He need not be licensed |
|
|
|
Which of the following would be required to hold a real estate license? A. An individual who for compensation help sell his brother's homeB. A government employee selling land for the governmentC. An Auctioneer selling real estate at public auctionD. And administrator of an estate |
A. And individuals who for compensation help sell his brother's home. |
|
|
|
Which of the following would be required to obtain a license as a real estate broker or salesperson? A. An appraiserB. An auctioneerC. An attorney at lawD. An individual handling property for a friend overseas in exchange for reduced rent on an apartment |
D. An individual handling property for a friend overseas exchange for reduced rent on an apartment |
|
|
|
A non-resident would have to do which of the following to obtain a real estate salesperson license? A. Final and irrevocable consent to suits and servicesB. Post a $5,000 BondC. Be a US citizenD. Be a high school graduate |
A. File an irrevocable consent to suits and services |
|
|
|
What is the number of tests that must be met in order for the IRS to consider a sales person as an independent contractor? A. 1 B. 2 C. 3 D. 4 |
C. 3 |
|
|
|
In order to be classified as an independent contractor, how much of an individual's income must come from commissions? A. 51%B. 75%C. 90%D. 100% |
C. 90% |
|
|
|
What IRS form does a salesperson receives from his or her employing broker? A. 1455B. 1099C. 1099-miscD. 1098-INT |
C. 1099-misc |
|
|
|
Which of the following best describes a parcel of land? A. The surface of the Earth including control of all the mineral and substances beneath.B. The surface of the Earth extending down to the center and upward to Infinity.C. The other 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. |
B. The surface of the Earth extending down to the center and upward to Infinity. |
|
|
|
In determining whether an item is a fixture which of the following would not be considered? A. method ofB. Adaptation to theC. Value of the itemD. Legal interest of the annexing party |
C. Value of the item |
|
|
|
The characteristic which distinguishes personal property from real property is: A. MobilityB. ScarcityC. DurabilityD. Flexibility |
A. Mobility |
|
|
|
Cross planted and harvested each year are: A. RealtyB. EmblementC. Fructus naturalesD. Chattels real |
B. Emblements |
|
|
|
All of the following items are personal property except: A. Trade fixturesB. A privacy fenceC. patio furnitureD. Portable dishwasher |
B. A privacy fence |
|
|
|
Water rights along a large, navigable lake or ocean are known as: A. title rightsB. Shore rightsC. Correlative rightsD. Littoral rights |
D. Littoral rights |
|
|
|
All all of the following are appurtenances accept: A. Riparian rightsB. A garageC. An apple orchardD. Trade fixtures |
D. Trade fixtures |
|
|
|
Real property is changed into personal property by: A. The right of appropriationB. SeveranceC. The law of captureD. Fructus naturales |
B. Severance |
|
|
|
An adequate metes and Bounds description will have all of the following except: A. A definite point of beginningB. Four sidesC. ClosureD. Linear measurements and Compass directions |
B. 4 size |
|
|
|
The right of the landowner to take water from a river flowing through his property is: A. LiteralB. Right of correlative useC. RiparianD. Right of Prior appropriation |
C. Riparian |
|
|
|
When property boundaries are on non navigable stream, the owner owns the land: A. To the high-water markB. To the low-water markC. To the center of the StreamD. To the mean low water table |
C. To the center of the Stream |
|
|
|
A "legal description" of land Must: A. Be sufficient to identify the propertyB. Carrie measurements to the nearest inchC. Show the area of land being describedD. Must contain and informal reference |
A. Be sufficient to identify the property |
|
|
|
One of the following is not a test of a fixture. Which is it? A. Manner of attachmentB. Intent of the person who put it thereC. Time of attachmentD. Manner of adaptation |
C. Time of attachment |
|
|
|
Which of the following is not an "improvement" to land? A. BuildingB. SidewalkC. Corn cropD. Flower bed |
C. Corn crop |
|
|
|
Which of the following is real property? A. Wheat in a field. The wheat is under a sales contract.B. Apple trees in an orchard.C. Trade fixtures.D. The apples on the trees in an orchard |
B. Apple trees in an orchard |
|
|
|
The government's right to make laws and regulations for general welfare is known as: A. Eminent domainB. Police power C. EscheatD. The bundle of Rights |
B. Police power |
|
|
|
A private landowner has a right to: A. Reject claim for taxes. B. Repudiate as owning ordinance C. Disinherit his heirs D. Refused to sell his property or otherwise prevent the city from taking it for use as a street. |
C. Disinherit his heirs |
|
|
|
In real estate law, the word feet is closest in meaning to: A. Possession B. An estate of inheritance C. A tax or assessment on land D. A real estate commission |
B. An estate of inheritance |
|
|
|
Except for tax liens, and in some cases a mechanic's lien at, priority of a lien is determined by: A. Amount of the debt B. Date of default C. Date of recording D. Court at time of foreclosure |
C. Date of recording |
|
|
|
Private restriction cannot: A. Be based on aesthetic considerationsB. Restrict the owners lawful use of the landC. Take precedence over zoning ordinancesD. Restrict the grantees conveyance of the property |
D. Restrict the grantees conveyance of the property |
|
|
|
All the following can be characteristics of an easement except: A. An easement creates an interest which may be protected from the third party interferenceB. An easement can be created by conveyanceC. An easement is a incorporeal right in the land of another.D. An easement may be revoked at will by the servient land owner. |
D. An easement may be revoked at will by the servient land owner. |
|
|
|
Jones on 50 acres with Frontage on Slater Mill Road. He sold the 30 front Acres 2 Smith preserve the easement for the right of access to the back twenty Acres. Which of the following is incorrect: A. Jones has a dominant estateB. Smith has a servient estateC. Smith's estate is subject to Jones interestD. Jones estate in the 20 acres is subject to Smith's interest. |
D. Jones estate in the 20 acres is subject to Smith's interest. |
|
|
|
All of the following can be acceptable methods of terminating an easement except: A. Abandonment of the easement by the owner of the dominant estate B. The owner of the Serbian estate openly and continuously prevents the easement owner from exercising his right of use for a statutory period of time. C. Express released to the owner of the serving estate by the grantee of the easement D. Revocation of the easement by the owner of the servient estate. |
D. Revocation of the easement by the owner of the servient estate. |
|
|
|
Which of the following is incorrect concerning a conventional life estate? A. The owner is called a leftenant B. The owner does not have to die for the estate to end C. Life estates may be sold, lease, or mortgage D. Life Estates always pass to the remainder man. |
D. Life Estates always pass to the remainderman |
|
|
|
For 10 years Jones has verbal permission to park his car in Smith's driveway. Smith sold to Johnson. A. Jones Harry license from Smith; Johnson may continue it or discontinued as he chooses B. Jones continuous use over 10 years has probably created an easement by prescription, leaving Johnson powerless to revoke Jones's right to continue parking in the driveway. C. Smith's permission to Jones to use a portion of his land for the specific purpose created an easement appurtenant which runs with the land. Therefore, Johnson must allow Jones to continue parking in the driveway. D. Jones's use of the driveway was a personal easement in Gross, which ended when Smith sold to Johnson. |
A. Jones had a license from Smith; Johnson may continue it or discontinued as he chooses. |
|
|
|
Permission granted to hunt on another's land is an example of: A. An incorporeal easement B. A license C. An easement by prescription D. An easement appurtenant |
B. A license. |
|
|
|
Which of the following would be a less than Freehold estate? A. Life estateB. Leasehold estateC. Fee simple estateD. Fee simple determinable estate |
B. Leasehold estate |
|
|
|
The grantor of a life estate May retain a: A. Reversionary interestB. Less than Freehold estateC. Remainder estateD. Fee simple determinable estate |
A. Reversionary interest |
|
|
|
If the city wishes to take property for public improvements, it may acquire title for Action based on: A. Attachment proceedingsB. Right of eminent domainC. Suit to quiet titleD. Adverse possession rights |
B. Right of eminent domain |
|
|
|
Which of the following is not a specific lien? A. An unrecorded property tax lienB. A mechanic's lienC. A judgement lienD. A mortgage lien |
C. A judgement lien |
|
|
|
Which of the following is not a leasehold estate? A. Estate at willB. Life estateC. Estate at sufferanceD. Estate for years |
B. A Life Estate |
|
|
|
Which of the following is not a freehold estate? A. Fee simpleB. QualifiedC. Estate for yearsD. Life estate |
C. Estate for years |
|
|
|
A tenant who continues to occupy the premises after his lease rights have expired, without consent of the landlord creates: A. Estate atB. Estate at sufferanceC. Estate from period to periodD. Estate for years |
B. Estate at sufferance |
|
|
|
The words and the deed "to B for the life of C" creates in a state known as: A. Non-freeholdB. "Pur autre vie"C. Fee simple determinableD. Condition subsequent fee |
B. "Pur autre vie" |
|
|
|
In the VA loan transaction, to whom are the discount points (if any) paid? A. VA B. Lender C. Broker D. Buyer |
B. Lender |
|
|
|
In a VA loan transaction comma who pays discount points if any? A. BuyerB. SellerC. Negotiated between buyer and sellerD. None of the above |
C. Negotiated between buyer and seller |
|
|
|
Native amortization is a loan feature which: A. Allows more of each monthly payment to be applied than the previous month.B. Allow the principal balance to be paid off early.C. Allow the principal balance to increase because payments are insufficient to pay the interest owed.D. Allows the interest rate to increase. |
C. Allows the principal balance to increase because payments are insufficient to pay the interest owed. |
|
|
|
In order to determine exactly what portion of the mortgage loan the VA will guarantee on behalf of qualified veteran, he must apply for a: A. Certificate of reasonable valueB. Release of liabilityC. Statement of entitlementD. Certificate of Eligibility |
A. Certificate of reasonable value |
|
|
|
Which of the following characteristics applies to VA guaranteed loans? A. Veteran is entitled to only one VA guaranteed loan.B. Interest rates are subject to state usury lawsC. A veteran borrow is always automatically release of liability if any veteran assumes the loan.D. None of the above |
D. None of the above |
|
|
|
Broke her back she was asked by a purchaser to explain a budget mortgage. His best answer would have been: A. One you can afford.B. A mortgage with graduated payments.C. A mortgage with interest-only paymentsD. A mortgage with payments including interest and taxes |
D. A mortgage with payments including interest and taxes. |
|
|
|
The money for making FHA Loans is provided by: A. Qualified lending institutionsB. Any government agencyC. The federal housing AdministrationD. The Federal Deposit Insurance Corp. |
A. Qualified lending institutions |
|
|
|
What a mortgage we can secure additional amount up to but not exceeding the original amount, it is known as: A. Escalating mortgageB. Construction mortgageC. An open-end mortgageD. An FHA mortgage |
C. An open-end mortgage |
|
|
|
A mortgage which is subordinate to other mortgages but includes the amount of the other mortgage is: A. A subordinate loanB. A wrap-around mortgageC. A purchase money mortgageD. An open-end mortgage |
B. A wrap around mortgage |
|
|
|
A seller wishes to sell his home to an individual cannot pay him his entire Equity at the time of sale. If the sellers desire to sell to this individual, he would best be protected by accepting a: A. Combination mortgageB. A wrap-around mortgageC. A purchase money mortgageD. Release mortgage |
C. A purchase money mortgage |
|
|
|
A mortgage that allows for future advances to the mortgagor up to a certain maximum is called: A. A package mortgageB. A wrap around mortgageC. A purchase money mortgageD. An open-end mortgage |
D. An open-end mortgage |
|
|
|
In mortgages held on three separate Parcels of land. If one parcel may be released from a lien while the lien continues to cover the remaining Parcels, this mortgage is known as a/an: A. Package mortgageB. Blanket mortgageC. Wrap-around mortgageD. Open-end mortgage |
A. Package mortgage |
|
|
|
A release Clause would be of most important in what type of mortgage? A. Package mortgageB. Wrap-around mortgageC. Blanket mortgageD. Purchase money mortgage |
C. Blanket mortgage |
|
|
|
A mortgage loan that includes fixtures and appliances located on the property is known as: A. Wrap-around mortgageB. A package mortgageC. An open-end mortgageD. A balloon mortgage |
B. A package mortgage |
|
|
|
A method of financing in which the new mortgage includes both the unpaid principal balance of the first mortgage and additional sums Advanced by the seller is known as: A. Combination mortgageB. Purchase money mortgageC. Contingency mortgageD. Wrap-around mortgage |
D. Wrap around mortgage |
|
|
|
What loan type has changes in payment without any changes in interest rate? A. SAMB. GPMC. VRMD.ARM |
B. GPM |
|
|
|
Which of the following type loans will have an interest rate that will change? A. VAB. FHAC. GPMD. ARM |
D. ARM |
|
|
|
A buyer assumes the seller's loan. The lender for closes. Which of the following is / are responsible for the balance of the debt? A. Buyer onlyB. Seller onlyC. Buyer and cellarD. Mortgagees Title Insurance Company |
C. Buyer and seller |
|
|
|
An owner desires to borrow money using his unencumbered properties as collateral. That this is an example of: A. a blanket mortgageB. A wrap-around mortgageC. A multiple mortgageD. An open-end mortgage |
A. A blanket mortgage |
|
|
|
A seller sells her home to a buyer who purchases the property subject to the existing loan. If the buyer defaults, who is liable for the balance of the debt? A. Seller onlyB. Buyer onlyC. Buyer and seller jointlyD. Buyer and seller jointly and severally |
A. Seller only |
|
|
|
A seller sells your home to a buyer who assumes for existing loan. If the buyer defaults, who is liable for the balance of the debt? A. Seller onlyB. Buyer onlyC. Buyer and seller jointlyD. Buyer and seller jointly and severally |
D. Buyer and seller jointly and severally |
|
|
|
A buyer decides to purchase a home using a VA financing. The purchase price is 2500 more than appraisal. Which of the following is/are true? A. The VA will not allow buyer to pay more than the appraised valueB. The VA will allow the buyer to obtain a second mortgage to finance a difference between the appraised value and the selling price. C. The VA will allow the buyer to pay more than the appraised value if he does so with his own savings or other assets. D. The VA will allow the buyer to borrow the difference between the selling price and the CRV from the relative or close friend. |
C. The VA will allow the buyer to pay more than the appraised value if he does so with his own savings or other Assets. |
|
|
|
Ibarra wishes to pay off his loan prior to maturity. He's required to pay 1% prepayment penalty. As long as most likely a: A. Conventional loanB. FHA 203C. FHA 245D. VA loan |
A. Conventional loan |
|
|
|
A mortgage in which payments are made from the mortgagee to the mortgagor is what type of mortgage? A. Reverse annuityB. AmortizedC. BudgetD. Shared appreciation |
A. Reverse annuity |
|
|
|
Which of the following statements regarding construction loans is true? A. They generally have lower interest rate.B. They are usually paid out in installmentsC. A construction loan is also called a take out loanD. A construction loan is usually a partially amortized loan |
B. There are usually paid out in installments. |
|
|
|
Ivan investor owns three Parcels of land and wishes to use them as a security for a loan on a small office he's purchasing. The mortgage on three Parcels of land would most likely be which of the following? A. BlanketB. PurchaseC. OpenD. Open end |
A. Blanket |
|
|
|
A partial release Clause with most likely be found in which of the following types of mortgages? A. WraparoundB. BlanketC. PackageD. Budget |
B. Blanket |
|
|
|
An owner has five Parcels of land covered by a mortgage. One of these Parcels is released without complete payment of a mortgage. This type of mortgage is a/an: A. Package mortgageB. Blanket mortgageC. Wrap-around mortgageD. Open-end mortgage |
B. Blanket mortgage |
|
|
|
A construction loan is different from a conventional loan or a VA loan on a house because: A. A construction loan cannot be amortized.B. The construction loan never carries any points.C. A construction loan carries the highest risk for a lender.D. Liquor struction loan lender provides the money into the contractor in one lump sum when construction is completed. |
C. A construction loan carries the highest risk for a lender. |
|
|
|
The type of mortgage loan which provides for payment of the total principal amount of the loan by the borrower at the maturity date only would be called a: A. Package loanB. Term LoanC. Fully amortized loanD. All of the above |
B. Term Loan |
|
|
|
The secondary mortgage Market is: A. The market for second mortgages B. The market in which existing mortgages are sold C. The market in which Junior mortgages are originated D. The market for older, low interest loan assumptions. |
B. The market and which existing mortgages are sold. |
|
|
|
Which of the following are considered finance charges for purposes of Regulation Z? A. Title InsuranceB. Deed restriction feeC. Monthly paymentD. Prepaid interest |
D. Prepaid interest |
|
|
|
A function of Regulation Z is to A. Determine amount on VA loansB. Set minimum interest rates on mortgage loansC. Allow borrowers repay loans ahead of time without penaltyD. Require that borrowers be informed of the cost of credit |
D. Require the borrowers be informed of the cost of credit |
|
|
|
The developer of low income housing would most likely arrange financing subsidized by A.GNMAB.FHLMCC.FNMAD.FHLB |
A. GNMA |
|
|
|
The illegal practice of Leonard's refusing to make real estate loans in areas of a city designated as minority areas is known as A. BlockbustingB. SteeringC. AccretionD. Redlining |
D. Redlining |
|
|
|
Which of the following advertisements would be in violation of the federal truth in lending laws without or supplying additional information? A. For sale, $5,000 down, payments of $483.20 per monthB. For sale, VA financing availableC. For sale, assume large FHA loanD. For sale, seller will carry |
A. For sale, $5,000 down, payments of $483.20 per month |
|
|
|
Historically, the foremost single source of funds for Residential Mortgage Loans in this country has been A. Savings and Loan AssociationsB. Interest companysC. Mortgage companiesD. Commercial Banks |
A. Savings and loan Associations |
|
|
|
Denying it long to call the borrower entirely on the basis of the neighborhood involved A. Is acceptable lending practice if the rate of foreclosure in the neighborhood is higher than the national averageB. Is not legal unless the practice is racially motivatedC. Is a form of discrimination called redliningD. Is it lending practices will have ended by the federal Equal Credit Opportunity Act |
C. It is a form of discrimination called redlining |
|
|
|
The main purpose of the truth in Lending Act and regulations Z too: A. Set maximum interest rate on loansB. Mandate that old mortgage loans bear the same interest rateC. Require full disclosure of all credit terms, so that a borrower May shop among lendersD. Set a uniform finance charge on all loans |
C. Acquire full disclosure of all credit terms, so that borrower May shop among lenders. |
|
|
|
The truth in Lending Act, implemented by Regulation Z, was passed by Congress in order to A. More clearly disclose cost of borrowing to potential debitors and give them opportunity to compare such costsB. Protect lenders from unscrupulous BorrowersC. Set ceilings for interest ratesD. Ensure that lenders comply with the state usury laws |
A. More clearly disclose costs of borrowing to potential debitors and give them an opportunity to compare such costs |
|
|
|
FNMA is primarily involved in A. Low cost housingB. Secondary financingC. The secondary mortgage MarketD. Government assisted housing |
C. The secondary mortgage Market |
|
|
|
According to the truth in Lending Act comma which of the following is/are not required to be disclosed? A. Prepayment penaltyB. Attorneys feesC. Annual percentage rateD. Total finance charge |
B. Attorneys fees |
|
|
|
Which of the following is involved primarily in the secondary Market? A. VAB. FHAC. FHLMCD. FHLBB |
C. FHLMC |
|
|
|
Fannie Mae is A. The private, profit-making organizationB. The government sponsored organization ensuring mortgagesC. A non-friendly regulated Organization for buying selling mortgagesD. None of the above |
A. A private, profit-making organization |
|
|
|
Which of the following advertisements is are a violation of the truth and lending with no additional information is given? A. Liberal terms availableB. No down paymentC. Assumable loanD. VA financing available |
B. No down payment |
|
|
|
Truth in lending would not apply to which of the following? A. A vacant land lot on which a single family residence will be constructedB. A $20,000 FarmC. A family-owned jewelry storeD. A $250,000 residence |
C. A family-owned jewelry store |
|
|
|
The purpose of truth and lending is to A. Disclose the cost of credit for business loansB. Disclose the cost of credit for Consumer loansC. Limit the cost of credit for Consumer loansD. Establish VA and FHA interest rates |
B. Disclose the cost of credit for Consumer loans |
|
