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California Real Estate Test

Instructions:

Answer 50 questions in 15 minutes.
If you are not ready to take this test, you can study here.
Match each statement with the correct term.
Don't refresh. All questions and answers are randomly picked and ordered every time you load a test.

This is a study tool. The 3 wrong answers for each question are randomly chosen from answers to other questions. So, you might find at times the answers obvious, but you will see it re-enforces your understanding as you take the test each time.

1. HUD
Some paper signed and delivered by one person to another - transferring the title to - or giving a lien on - property or giving a right to a debt or duty
Department of Housing and Urban Development
A prejudgment lien that can be obtained to ensure the availability of property for execution after a judgment is obtained.
One broker

2. 3 years - broker documents
Joint tenants have: unity of time - unity of title - unity of interest - unity of possession
Inducing panic selling based on fear of the entry of persons of another race - color - religion - or ancestry into the area.
Copies of all listings - deposit receipts - canceled checks - and trust records must be retained by a licensed real estate broker
Person holding title to real property in severalty

3. REMT
Real Estate Mortgage Trust
Time tested model used in writing ads - Attention - Interest - Desire - Action
Grid of vertical lines (US Government and township)
Notice that has been expressly given and is known to a party

4. Anticipatory breach
Department of Housing and Urban Development
Act of a party that can be treated as a breach of contract because it makes performance by that party impossible.
Loss in value from any cause? is a common definition
real estate

5. Ad valorum taxes
The Fiduciary Duty owed to a principal (seller) by the Agent (broker) obedience - loyalty - disclosure - confidentiality - accountability - reasonable use of (skill - training - experience - competency)
Multiple Listing Service
Taxes based on value - such as property tax. ( Latin - according to value )
Principal + Interest + Monthly taxes and insurance + homeowners assoc. fee = 25% - 30% gross monthly income

6. Real property is synonymous with...
Single car garage but market desire is for a double car garage - home has only 1 bathroom but market desires two - floor plan is an older outdated layout
Fund of last resort for a member of the public who has obtained a final civil judgment or criminal restitution order against a real estate licensee based on fraud or certain other grounds and who has been unable to satisfy the judgment through the no
Multiple Listing Service
real estate

7. Salesperson can only work for...
Created in 1934 to provide mortgage insurance on loans made by FHA - approved lenders - part of HUD
A procedural act that must be complied with prior to revocation - suspension - or denial of a real estate license.
One broker
Real Estate Educators Association

8. Ademption
The revocation of a specific property grant in a will by disposing of said property prior to death.
The gradual buildup of land by natural causes ( generally by action of water )
Property owned by husband and wife
Transfer of all interest in a contract or lease.

9. Social obsolescence
National Association of Independent Fee Appraisers
Horizontal in the township and section system
Any loss of value due to conditions outside of the property itself. aka economic obsolescence
All persons within the jurisdiction of this State are free and equal - and no matter what their sex - race - color - religion - ancestry - national origin or disability are entitled to the full and equal accommodations - advantages - facilities - pri

10. CMA
Competitive Market Analysis
that he is acting as an optionor
Joint ownership of real property by two or more persons - each of whom has an undivided interest (not necessarily equal) without right of survivorship
Within 3 days from acceptance of the offer (this must happen)

11. Appurtenance
Copies of all listings - deposit receipts - canceled checks - and trust records must be retained by a licensed real estate broker
A method to acquire title. It requires five-year - open - notorious - uninterrupted use under some claim of right - and the payment of taxes.
Something that belongs to and goes with a property - such as structure and easement rights
A quitclaim deed conveys only the present right - title and interest of the

12. Administrative agency
A government agency that makes rules and regulations to carry out the law.
The buyer's agreeing to be primarily liable on the loan while the seller has secondary liability
A person appointed by the court to administer the estate of a deceased person.
Real Estate Educators Association

13. Instrument
An acknowledgment of the grantor's signature
Some paper signed and delivered by one person to another - transferring the title to - or giving a lien on - property or giving a right to a debt or duty
The revocation of a specific property grant in a will by disposing of said property prior to death.
A contract based on an illegal consideration

14. 1 square mile =
For Sale By Owners
ALTA - The association that developed an extended-coverage policy of title insurance for lenders ( same coverage available to buyers )
43560 square feet
Simultaneous ownership of a given piece of property by two or more persons - Tenancy in common; Joint tenancy; and Community property.

15. Tenancy in partnershipm
Two or more persons - as partners - own property for partnership purposes
Two or more persons are joint and equal owners of the same undivided interest in real property. We regard this as a fourfold unity: interest - title - time - and possession. Joint tenants have one and the same interest - acquired by the same conveyan
One broker
All beneficial rights that go with ownership of real property

16. Major repairs in the past 5 years ( house for sale )...
Must be disclosed to the buyer if
Zoning for beauty or appearance. Appearance of zone may have a pattern in architecture - colors - and styles.
A loan that can be taken over by a purchaser. I new purchaser can assume the old note. Such a loan would not have a due on sale clause.
Deed from trustee to trustor - at the request of the beneficiary of trust (lender) - that returns title to the trustor on payment of indebtedness

17. Beneficiary statement
Statement by beneficiary as to balance due on loan.
1 square mile
8 Ways to terminate an easement Abandonment - Destruction - Adverse Possession - Merger - Express Agreement - Lawsuit - Estoppel - Excessive use
An agency created by a principal's approving an unauthorized act of another.

18. Three most common methods of describing property
By recorded map; by U. S. Government section and township; and by metes and bounds
real estate
ALTA - The association that developed an extended-coverage policy of title insurance for lenders ( same coverage available to buyers )
Part of the Business and Professions Code governing transactions in trust deeds and real property sales contracts

19. Agency by ratification

20. Affirmation
All payments become due upon default of payment. In California - the debtor can cure the default by catching up on payments prior to foreclosure.
The buyer's agreeing to be primarily liable on the loan while the seller has secondary liability
A formal declaration of the truthfulness of a statement - given in lieu of a verification.
ALTA - The association that developed an extended-coverage policy of title insurance for lenders ( same coverage available to buyers )

21. Ranges
The seller's signature
Grid of vertical lines (US Government and township)
Personal property transferred by will
Fund of last resort for a member of the public who has obtained a final civil judgment or criminal restitution order against a real estate licensee based on fraud or certain other grounds and who has been unable to satisfy the judgment through the no

22. Uniform Settlement Statement
Sum of money - agreed to in advance and stated in the contract - that will be paid for not fulfilling a clause or condition in the contract
Statement of the actual settlement costs. Provided by US Dept of HUD.
Separate ownershi and Concurrent ownership; a. Tenancy in common; b. Joint tenancy; and c. Community property.
Department of Housing and Urban Development

23. TILA
Truth in Lending Act - Implemented by Regulation Z set by the Federal Trade Commission
Joint tenants have: unity of time - unity of title - unity of interest - unity of possession
36 individual square miles or 640 acres.
Single car garage but market desire is for a double car garage - home has only 1 bathroom but market desires two - floor plan is an older outdated layout

24. Alquist-Priolo Special Studies Zone Act
Provides for project approval in close proximity to earthquake faults - as well as disclosures to buyers.
Licensed real estate agent who can deal directly with principals and employ licensed real estate salepersons
A statement made before a notary or court officer that the signing of a document was the signer's own free act.
Loss in value from any cause? is a common definition

25. Chattel mortgag
The Broker is the Agent of the seller. The salesperson is the sub-agent of the
Loss in value from any cause? is a common definition
Vertical in the township and section system
Use of personal property to secure or guarantee a promissory note.

26. FIRREA
Horizontal in the township and section system
Real Estate Investment Trust
1 square mile
Financial Institute Reform - Recovery - and Enforcement Act of 1989

27. Burden of proof
All property owned before marriage - All property acquired during marriage by gift or inheritance - All rents - issues and profits of separate property - as well as other property acquired with the proceeds from sale of separate property (separate pr
The party required to prove a fact when an issue is in dispute
Financial Institute Reform - Recovery - and Enforcement Act of 1989
Horizontal in the township and section system

28. Adverse possession
The seller's signature
A method to acquire title. It requires five-year - open - notorious - uninterrupted use under some claim of right - and the payment of taxes.
One broker
A person appointed as an agent under a power of attorney

29. FIRPTA
Real Estate Equity Trust
Prohibits discrimination in a place of public accommodation based on an individual's physical or mental disabilities.
A clause in a mortgage or trust deed that the senior lienholder will retain lien priority in the event of a merger.
Foreign Investments in Real Property Tax Act

30. Attachment
A loan that can be taken over by a purchaser. I new purchaser can assume the old note. Such a loan would not have a due on sale clause.
real estate
Real Estate Investment Trust
A prejudgment lien that can be obtained to ensure the availability of property for execution after a judgment is obtained.

31. Meridians
Right of Possession - Right of enjoyment of the property - Right to control the property's use - Right to exclude others from the property - Right to dispose of the property.
Vertical in the township and section system
Nonjudicial process for resolution of disputes either by agreement or mandated by law.
Commission is only controlled by law under two situations. One being the Real Property Loan Law and...

32. Amendments to the escrow instructions
Act of a party that can be treated as a breach of contract because it makes performance by that party impossible.
Changes in escrow instructions - which require the agreement of both the buyer and seller.
is deeded to the county
Truth in Lending Act - Implemented by Regulation Z set by the Federal Trade Commission

33. Agency by estoppel

34. AIDA
Prohibits discrimination in a place of public accommodation based on an individual's physical or mental disabilities.
8 Ways to terminate an easement Abandonment - Destruction - Adverse Possession - Merger - Express Agreement - Lawsuit - Estoppel - Excessive use
Real Estate Investment Trust
Time tested model used in writing ads - Attention - Interest - Desire - Action

35. Assuming a loa

36. Acknowledgment

37. Administrative Procedure Act
A procedural act that must be complied with prior to revocation - suspension - or denial of a real estate license.
An acknowledgment of the grantor's signature
Horizontal in the township and section system
Truth in Lending Act - Implemented by Regulation Z set by the Federal Trade Commission

38. Fully amortized loan
A loan to be completely repaid - principal and interest - by a series of regular equal installment payments
1 square mile
A prejudgment lien that can be obtained to ensure the availability of property for execution after a judgment is obtained.
Inducing panic selling based on fear of the entry of persons of another race - color - religion - or ancestry into the area.

39. Arbitration
Real Estate Educators Association
Simultaneous ownership of a given piece of property by two or more persons - Tenancy in common; Joint tenancy; and Community property.
Joint ownership of real property by two or more persons - each of whom has an undivided interest (not necessarily equal) without right of survivorship
Nonjudicial process for resolution of disputes either by agreement or mandated by law.

40. Attorney-in-fact
Finance charge and annual percentage rate - Regulation Z
Transfer of all rights under a contract to a third party. Assignor remains secondarily liability.
Instrument used to secure a loan on personal property is called
A person appointed as an agent under a power of attorney

41. AMT
Created in 1934 to provide mortgage insurance on loans made by FHA - approved lenders - part of HUD
ALTA - The association that developed an extended-coverage policy of title insurance for lenders ( same coverage available to buyers )
An agreement specifying activities for which the agent is to be compensated. It would include provisions for an advance payment of fees.
Alternative Minimum Tax - requires taxpayers - who make above a certain amount of gross income to - to figure taxes twice.

42. After-acquired title
A note that will liquidate itself over its term in equal installments
An owner has a duty to reasonably protect children from injury when the premises are likely to attract children.
Department of Housing and Urban Development
Title or interest acquired by the grantor after property has been conveyed.

43. Monthly house payment (ratio standard)
Practice of advertising where a seller will not sell an item at a price advertised or does not have the item to sell in order to bring in buyers for other items. This conduct is ILLEGAL
Principal + Interest + Monthly taxes and insurance + homeowners assoc. fee = 25% - 30% gross monthly income
Something that belongs to and goes with a property - such as structure and easement rights
Prohibits discriminatory loan practices on the part of financial institutions (banks - savings and - loan associations - or other financial institutions - including mortgage loan brokers - mortgage bankers and public agencies which regularly make - a

44. Township
36 individual square miles or 640 acres.
Provides for project approval in close proximity to earthquake faults - as well as disclosures to buyers.
Character - how a person has handled past debt obligations - Capacity - how much debt a borrower can comfortably handle - Capital - current available assets of the borrower
A final payment that is more than twice the amount of the lowest payment.

45. Bilateral contract - p4p
Promise for a promise.
In a legal sales contract - the seller is often referred to as the
Joint tenants have: unity of time - unity of title - unity of interest - unity of possession
Grid of vertical lines (US Government and township)

46. Assumable loan
Commission is only controlled by law under two situations. One being If property is sold while in probate and...
A loan that can be taken over by a purchaser. I new purchaser can assume the old note. Such a loan would not have a due on sale clause.
Grid horizontal lines (US Government and township)
Sales prices of comparable properties

47. Percentage lease

48. Farm
Multiple Listing Service
A group of people within a geographical area with whom the agent stays in touch monthly - advising each property owner of all real estate activities throughout the year
Advance payments made to an agent to cover expected cash outlays in carrying out the agency.
Person holding title to real property in severalty

49. Beneficiary
The seller's signature
A person appointed by the court to administer the estate of a deceased person.
Lender (or seller) in a trust deed loan situation
Cconsists of all property acquired by a husband and wife - or either - during a valid marriage - other than separate property

50. Bulk zoning
Nonjudicial process for resolution of disputes either by agreement or mandated by law.
Transfer of all rights under a contract to a third party. Assignor remains secondarily liability.
A fee for rental information accepted in advance - or a promotional fee for a sale listing.
Zoning for density with open-space requirements as well as setback - parking - and height restrictions