Test your basic knowledge |

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. Assignment
Transfer of all interest in a contract or lease.
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
An agreement specifying activities for which the agent is to be compensated. It would include provisions for an advance payment of fees.
Changes in escrow instructions - which require the agreement of both the buyer and seller.

2. Housing Financial Discrimination Act of 1977 (Holden Act)
Provides for rent as a percentage of the tenants' gross income ( gross sales )
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
Department of Housing and Urban Development
Items used to qualify a buyer for the proper debt:income ratio. Usually 1/3 of gross income. principle - interest - taxes - insurance

3. Monthly house payment (ratio standard)
Principal + Interest + Monthly taxes and insurance + homeowners assoc. fee = 25% - 30% gross monthly income
Owner assigns right to collect rent to another. Usually given to a lienholder when owner is delinquent in rent
All beneficial rights that go with ownership of real property
Real Estate Investment Trust

4. 640 acres =
Owner assigns right to collect rent to another. Usually given to a lienholder when owner is delinquent in rent
ALTA - The association that developed an extended-coverage policy of title insurance for lenders ( same coverage available to buyers )
Items used to qualify a buyer for the proper debt:income ratio. Usually 1/3 of gross income. principle - interest - taxes - insurance
1 square mile

5. Ranges
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
Commission is only controlled by law under two situations. One being If property is sold while in probate and...
Zoning for density with open-space requirements as well as setback - parking - and height restrictions
Grid of vertical lines (US Government and township)

6. Township
Grid horizontal lines (US Government and township)
Truth in Lending Act - Implemented by Regulation Z set by the Federal Trade Commission
Real Estate Investment Trust
Nonjudicial process for resolution of disputes either by agreement or mandated by law.

7. Meridians
A copy of all recorded documents dealing with a property. Attorneys give title opinions based on abstracts.
Vertical in the township and section system
A loan to be completely repaid - principal and interest - by a series of regular equal installment payments
Real Estate Equity Trust

8. MLS
36 individual square miles or 640 acres.
Multiple Listing Service
8 Ways to terminate an easement Abandonment - Destruction - Adverse Possession - Merger - Express Agreement - Lawsuit - Estoppel - Excessive use
The buyer's agreeing to be primarily liable on the loan while the seller has secondary liability

9. After-acquired title
A fee for rental information accepted in advance - or a promotional fee for a sale listing.
A mutual exchange of promises.
43560 square feet
Title or interest acquired by the grantor after property has been conveyed.

10. California has three sets of base lines and meridian
The revocation of a specific property grant in a will by disposing of said property prior to death.
The Humboldt Base Line and Meridian in the northwestern part of the State; the Mt. Diablo Base Line and Meridian in the central part of the State; and the San Bernardino Base Line and Meridian in the southern part of the State.
Government National Mortgage Association
An agency created by a principal's approving an unauthorized act of another.

11. Advance costs
Commission is only controlled by law under two situations. One being the Real Property Loan Law and...
Multiple Listing Service
Advance payments made to an agent to cover expected cash outlays in carrying out the agency.
Principal + Interest + Monthly taxes and insurance + homeowners assoc. fee = 25% - 30% gross monthly income

12. Trust Deed
A copy of all recorded documents dealing with a property. Attorneys give title opinions based on abstracts.
Instrument used to secure a loan on personal property is called
National Association of Independent Fee Appraisers
An advertisement that fails to reveal that the advertiser is an agent and not a principal

13. Balloon payment
Any loss of value due to conditions outside of the property itself. aka social obsolescence
Real Estate Investment Trust
One broker
A final payment that is more than twice the amount of the lowest payment.

14. Abstract of title
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
All-encompassing set of rules prohibiting discrimination on the part of owners of real property and their agents. This law applies to all sales or rentals of residences through the facilities of real estate licensees and to publication - posting - ma
Licensed real estate agent who can deal directly with principals and employ licensed real estate salepersons
A copy of all recorded documents dealing with a property. Attorneys give title opinions based on abstracts.

15. Acceleration upon default
Agency in which an agent has a financial interest in the subject matter of the agency.
Federal Trade Commission
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
All payments become due upon default of payment. In California - the debtor can cure the default by catching up on payments prior to foreclosure.

16. Assuming a loa
43560 square feet
The buyer's agreeing to be primarily liable on the loan while the seller has secondary liability
Prohibits discrimination in a place of public accommodation based on an individual's physical or mental disabilities.
All-encompassing set of rules prohibiting discrimination on the part of owners of real property and their agents. This law applies to all sales or rentals of residences through the facilities of real estate licensees and to publication - posting - ma

17. FSBO's
For Sale By Owners
Person holding title to real property in severalty
An agreement to accept a lesser consideration than bargained for based on disagreement over performance.
Principal + Interest + Monthly taxes and insurance + homeowners assoc. fee = 25% - 30% gross monthly income

18. A tenancy in common
Commission is only controlled by law under two situations. One being the Real Property Loan Law and...
Joint ownership of real property by two or more persons - each of whom has an undivided interest (not necessarily equal) without right of survivorship
Title or interest acquired by the grantor after property has been conveyed.
Federal Trade Commission

19. Avulsion
An agency created when a principal's conduct led another to believe in the existence of the agency and thereby to act to his or her detriment.
Buyer to take possession 3 days after the close of escrow
The sudden removal of land by action of water - such as a river changing course.
A procedural act that must be complied with prior to revocation - suspension - or denial of a real estate license.

20. Unruh Civil Rights Act - California
The revocation of a specific property grant in a will by disposing of said property prior to death.
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
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
Finance charge and annual percentage rate - Regulation Z

21. Acknowledgment
The Broker is the Agent of the seller. The salesperson is the sub-agent of the
Negotiable commission for residential
The party required to prove a fact when an issue is in dispute
A statement made before a notary or court officer that the signing of a document was the signer's own free act.

22. Functional obsolescence
Inducing panic selling based on fear of the entry of persons of another race - color - religion - or ancestry into the area.
Personal property transferred by will
Loss of value due to adverse factors within a structure that affect the marketability of the property.
Real Estate Investment Trust

23. Real property is synonymous with...
Statement by beneficiary as to balance due on loan.
An agreement to accept a lesser consideration than bargained for based on disagreement over performance.
real estate
Provides for rent as a percentage of the tenants' gross income ( gross sales )

24. Agent
A loan to be completely repaid - principal and interest - by a series of regular equal installment payments
A disclosure statement given to borrowers by mortgage loan brokers that provides information on all costs - fees - and loan terms.
One who represents another in an agency relationship.
A prejudgment lien that can be obtained to ensure the availability of property for execution after a judgment is obtained.

25. FNMA
Federal National Mortgage Association
Loss of value due to adverse factors within a structure that affect the marketability of the property.
Agency in which an agent has a financial interest in the subject matter of the agency.
Joint tenants have: unity of time - unity of title - unity of interest - unity of possession

26. Accord and satisfaction
Real Property Securities Dealer
The Broker is the Agent of the seller. The salesperson is the
An agreement to accept a lesser consideration than bargained for based on disagreement over performance.
Financial Institute Reform - Recovery - and Enforcement Act of 1989

27. CMA
A final payment that is more than twice the amount of the lowest payment.
Competitive Market Analysis
43560 square feet
An agreement specifying activities for which the agent is to be compensated. It would include provisions for an advance payment of fees.

28. Recording Act of California
After being acknowledged - any instrument or judgment affecting the title to or possession of real property may be recorded
Changes in escrow instructions - which require the agreement of both the buyer and seller.
is deeded to the county
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

29. Broker's loan statement
Real Estate Equity Trust
Joint ownership of real property by two or more persons - each of whom has an undivided interest (not necessarily equal) without right of survivorship
A final payment that is more than twice the amount of the lowest payment.
A disclosure statement given to borrowers by mortgage loan brokers that provides information on all costs - fees - and loan terms.

30. Three C's (credit rules of thumb)
The Humboldt Base Line and Meridian in the northwestern part of the State; the Mt. Diablo Base Line and Meridian in the central part of the State; and the San Bernardino Base Line and Meridian in the southern part of the State.
Must be disclosed to the buyer if
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
The Broker is the Agent of the seller. The salesperson is the

31. Separate ownership
Ownership by one person
Federal National Mortgage Association
By recorded map; by U. S. Government section and township; and by metes and bounds
The Broker is the Agent of the seller. The salesperson is the

32. Advance fee addendum
Two or more persons - as partners - own property for partnership purposes
Personal property transferred by will
Federal National Mortgage Association
An agreement specifying activities for which the agent is to be compensated. It would include provisions for an advance payment of fees.

33. PITI
Items used to qualify a buyer for the proper debt:income ratio. Usually 1/3 of gross income. principle - interest - taxes - insurance
Simultaneous ownership of a given piece of property by two or more persons - Tenancy in common; Joint tenancy; and Community property.
Separate ownershi and Concurrent ownership; a. Tenancy in common; b. Joint tenancy; and c. Community property.
NE - North East

34. FIRPTA
Foreign Investments in Real Property Tax Act
Joint ownership of real property by two or more persons - each of whom has an undivided interest (not necessarily equal) without right of survivorship
By recorded map; by U. S. Government section and township; and by metes and bounds
Time tested model used in writing ads - Attention - Interest - Desire - Action

35. Attachment
A prejudgment lien that can be obtained to ensure the availability of property for execution after a judgment is obtained.
Truth in Lending Act - Implemented by Regulation Z set by the Federal Trade Commission
43560 square feet
Grid horizontal lines (US Government and township)

36. Chattel mortgag
Separate ownershi and Concurrent ownership; a. Tenancy in common; b. Joint tenancy; and c. Community property.
Grid horizontal lines (US Government and township)
Use of personal property to secure or guarantee a promissory note.
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

37. vendor (term in real estate)
Must be disclosed to the buyer if
Joint tenants have: unity of time - unity of title - unity of interest - unity of possession
In a legal sales contract - the seller is often referred to as the
The revocation of a specific property grant in a will by disposing of said property prior to death.

38. A valid bill of sale must contain...
The seller's signature
The party required to prove a fact when an issue is in dispute
An agreement specifying activities for which the agent is to be compensated. It would include provisions for an advance payment of fees.
Commission is only controlled by law under two situations. One being the Real Property Loan Law and...

39. CE+3
A copy of all recorded documents dealing with a property. Attorneys give title opinions based on abstracts.
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
Buyer to take possession 3 days after the close of escrow
Zoning for beauty or appearance. Appearance of zone may have a pattern in architecture - colors - and styles.

40. Ad valorum taxes
Taxes based on value - such as property tax. ( Latin - according to value )
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
Licensed real estate agent who can deal directly with principals and employ licensed real estate salepersons
Commission is only controlled by law under two situations. One being If property is sold while in probate and...

41. Open end mortgage
Zoning for beauty or appearance. Appearance of zone may have a pattern in architecture - colors - and styles.
Grid horizontal lines (US Government and township)
Arrangement that allows a mortgagor (borrower) to borrow additional sums in future up to a maximum figure - and is secured by the same asset or property.
Inducing panic selling based on fear of the entry of persons of another race - color - religion - or ancestry into the area.

42. Anticipatory breach
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.
Act of a party that can be treated as a breach of contract because it makes performance by that party impossible.
Zoning for density with open-space requirements as well as setback - parking - and height restrictions
Commission is only controlled by law under two situations. One being If property is sold while in probate and...

43. MARIA
Notice that has been expressly given and is known to a party
Tests for a fixture - Method of attachment - Adaptability for normal use -Relationship of the parties - Intent of the placement of the item - Agreement of parties
A quitclaim deed conveys only the present right - title and interest of the
Alternative Minimum Tax - requires taxpayers - who make above a certain amount of gross income to - to figure taxes twice.

44. REET
All-encompassing set of rules prohibiting discrimination on the part of owners of real property and their agents. This law applies to all sales or rentals of residences through the facilities of real estate licensees and to publication - posting - ma
A covenant under which an owner is required to do something - such as build within a stated period of time.
Real Estate Equity Trust
A person appointed by the court to administer the estate of a deceased person.

45. REEA
Real Estate Educators Association
Federal National Mortgage Association
Personal property transferred by will
1 square mile

46. Deed of reconveyance
Tests for a fixture - Method of attachment - Adaptability for normal use -Relationship of the parties - Intent of the placement of the item - Agreement of parties
All-encompassing set of rules prohibiting discrimination on the part of owners of real property and their agents. This law applies to all sales or rentals of residences through the facilities of real estate licensees and to publication - posting - ma
43560 square feet
Deed from trustee to trustor - at the request of the beneficiary of trust (lender) - that returns title to the trustor on payment of indebtedness

47. Township
Parallel wooden members used to support floor and ceiling loads are called
A copy of all recorded documents dealing with a property. Attorneys give title opinions based on abstracts.
36 individual square miles or 640 acres.
Federal Trade Commission

48. Institutional advertising
The Broker is the Agent of the seller. The salesperson is the sub-agent of the
Agency in which an agent has a financial interest in the subject matter of the agency.
Attempt to establish a firm's identity to the public
Owner assigns right to collect rent to another. Usually given to a lienholder when owner is delinquent in rent

49. RESPA
Real Estate Educators Association
Commission is only controlled by law under two situations. One being the Real Property Loan Law and...
A government agency that makes rules and regulations to carry out the law.
Real Estate Settlement Procedures Act - requires special information booklet - requires good faith estimate - requires uniform settlement statement

50. Deposits from clients must be placed in a brokers trust fund
Any loss of value due to conditions outside of the property itself. aka economic obsolescence
Within 3 days from acceptance of the offer (this must happen)
Act of a party that can be treated as a breach of contract because it makes performance by that party impossible.
By recorded map; by U. S. Government section and township; and by metes and bounds

Test your basic knowledge |

California Real Estate Test

Communication skills, Self help skills, Self improvement skills, Productivity skills, Writing skills, Business skills, Thinking skills & More...

502 Pages | Only $12 | PDF / EPub, Kindle Ready

Top Scores

Link to This Test

Related Subjects