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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. CoCa CoLa
An advertisement that fails to reveal that the advertiser is an agent and not a principal
Elements of a contract - mutual COnsent - CApacity - COnsideration - LAwful purpose ( must be in writing )
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.
is deeded to the county

2. 43560 square feet =
Licensed real estate agent who can deal directly with principals and employ licensed real estate salepersons
Real Estate Investment Trust
Separate ownershi and Concurrent ownership; a. Tenancy in common; b. Joint tenancy; and c. Community property.
1 square mile

3. Agency coupled with an interest
The party required to prove a fact when an issue is in dispute
All beneficial rights that go with ownership of real property
Agency in which an agent has a financial interest in the subject matter of the agency.
A note that will liquidate itself over its term in equal installments

4. REEA
Loss in value from any cause? is a common definition
Federal proceedings to declare a debtor bankrupt. The debtor is relieved of unsecured obligations. If there are secured debts and the security is given up - debtor can be relieved of secured obligations.
A phrase used in sale contracts by sellers as an attempt to limit liability for the condition of the premises. If known latent defects or condition of a property is known to the seller - seller has the obligation to disclose.
Real Estate Educators Association

5. FSBO's
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
Financial Institute Reform - Recovery - and Enforcement Act of 1989
A copy of all recorded documents dealing with a property. Attorneys give title opinions based on abstracts.
For Sale By Owners

6. vendor (term in real estate)
In a legal sales contract - the seller is often referred to as the
All beneficial rights that go with ownership of real property
that he is acting as an optionor
1 square mile

7. Township
is deeded to the county
A statement from the court of the judgment. When recorded - it becomes a general lien on all of the debtor's property in the county where recorded
Licensed real estate agent who can deal directly with principals and employ licensed real estate salepersons
36 individual square miles or 640 acres.

8. Tenancy in common
Negotiable commission for residential
When two or more persons are owners of undivided interests in the title to real property. It is created if an instrument conveying an interest in real property to two or more persons does not specify that the interest is acquired by them in joint ten
Deed from trustee to trustor - at the request of the beneficiary of trust (lender) - that returns title to the trustor on payment of indebtedness
Zoning for density with open-space requirements as well as setback - parking - and height restrictions

9. Beneficiary
A person appointed by the court to administer the estate of a deceased person.
An agreement to accept a lesser consideration than bargained for based on disagreement over performance.
Title or interest acquired by the grantor after property has been conveyed.
Lender (or seller) in a trust deed loan situation

10. Accord and satisfaction
1 square mile
An agreement specifying activities for which the agent is to be compensated. It would include provisions for an advance payment of fees.
An agreement to accept a lesser consideration than bargained for based on disagreement over performance.
Federal National Mortgage Association

11. Farm
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 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
Copies of all listings - deposit receipts - canceled checks - and trust records must be retained by a licensed real estate broker
Part of the Business and Professions Code covering loan costs - commissions - and payment requirements relating to loan brokerage activity.

12. Appraisals of single-family dwellings
A change made to a note or contract by one of the parties without the consent of the other.
A mortgage or trust deed covering more than one property
Mortgages in California
Sales prices of comparable properties

13. Balloon payment
Federal Trade Commission
A final payment that is more than twice the amount of the lowest payment.
that he is acting as an optionor
Use of personal property to secure or guarantee a promissory note.

14. Bulk zoning
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 the Real Property Loan Law and...
All beneficial rights that go with ownership of real property
A covenant under which an owner is required to do something - such as build within a stated period of time.

15. TILA
Simultaneous ownership of a given piece of property by two or more persons - Tenancy in common; Joint tenancy; and Community property.
Changes in escrow instructions - which require the agreement of both the buyer and seller.
A statement from the court of the judgment. When recorded - it becomes a general lien on all of the debtor's property in the county where recorded
Truth in Lending Act - Implemented by Regulation Z set by the Federal Trade Commission

16. Examples functional obsolescence
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
A person appointed as an agent under a power of attorney
The sudden removal of land by action of water - such as a river changing course.
Attempt to establish a firm's identity to the public

17. Real Property Loan Law
Very generally as any right or interest in land - possessed by a stranger to the title - which affects the value of the owner's estate but does not prevent the owner from enjoying and transferring the fee
Real Estate Equity Trust
Attempt to establish a firm's identity to the public
Commission is only controlled by law under two situations. One being If property is sold while in probate and...

18. The maximum commission a broker may charge a seller for the sale of residential income property
Created in 1934 to provide mortgage insurance on loans made by FHA - approved lenders - part of HUD
Separate ownershi and Concurrent ownership; a. Tenancy in common; b. Joint tenancy; and c. Community property.
Negotiable commission for residential
Advance payments made to an agent to cover expected cash outlays in carrying out the agency.

19. Assuming a loa

20. Adam E Lee
One broker
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.
Loss in value from any cause? is a common definition
8 Ways to terminate an easement Abandonment - Destruction - Adverse Possession - Merger - Express Agreement - Lawsuit - Estoppel - Excessive use

21. NAIFA
Transfer of all interest in a contract or lease.
The Fiduciary Duty owed to a principal (seller) by the Agent (broker) obedience - loyalty - disclosure - confidentiality - accountability - reasonable use of (skill - training - experience - competency)
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
National Association of Independent Fee Appraisers

22. Open end mortgage
Cconsists of all property acquired by a husband and wife - or either - during a valid marriage - other than separate property
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.
Separate ownershi and Concurrent ownership; a. Tenancy in common; b. Joint tenancy; and c. Community property.
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

23. Agent of the broker
Parallel wooden members used to support floor and ceiling loads are called
The Broker is the Agent of the seller. The salesperson is the
Financial Institute Reform - Recovery - and Enforcement Act of 1989
Part of the Business and Professions Code covering loan costs - commissions - and payment requirements relating to loan brokerage activity.

24. Salesperson can only work for...
One broker
Competitive Market Analysis
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
Any loss of value due to conditions outside of the property itself. aka social obsolescence

25. If property is sold while in probate
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
An action to remove a nuisance
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.
Commission is only controlled by law under two situations. One being the Real Property Loan Law and...

26. REMT
Real Estate Mortgage Trust
Real Estate Settlement Procedures Act - requires special information booklet - requires good faith estimate - requires uniform settlement statement
An action to remove a nuisance
The sudden removal of land by action of water - such as a river changing course.

27. Assignment of lease
An agency created by a principal's approving an unauthorized act of another.
The transfer of all rights under a lease by a lessee to a third party - who becomes a tenant of the lessor. The assignee is primarily liable under the lease - while the assignor has secondary liability
Notice that has been expressly given and is known to a party
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.

28. Fully amortized loan
A loan to be completely repaid - principal and interest - by a series of regular equal installment payments
Federal National Mortgage Association
Within 3 days from acceptance of the offer (this must happen)
NE - North East

29. Monthly house payment (ratio standard)
Principal + Interest + Monthly taxes and insurance + homeowners assoc. fee = 25% - 30% gross monthly income
Real Estate Investment Trust
43560 square feet
Real Property Securities Dealer

30. Deposits from clients must be placed in a brokers trust fund
Within 3 days from acceptance of the offer (this must happen)
The Broker is the Agent of the seller. The salesperson is the
A note that will liquidate itself over its term in equal installments
Commission is only controlled by law under two situations. One being the Real Property Loan Law and...

31. Bundle of rights
A note that will liquidate itself over its term in equal installments
All beneficial rights that go with ownership of real property
In a legal sales contract - the seller is often referred to as the
Separate ownershi and Concurrent ownership; a. Tenancy in common; b. Joint tenancy; and c. Community property.

32. A valid deed does not have to contain

33. Recording Act of California
Very generally as any right or interest in land - possessed by a stranger to the title - which affects the value of the owner's estate but does not prevent the owner from enjoying and transferring the fee
An act that requires recordings and publication of a sale not in the normal course of business.
After being acknowledged - any instrument or judgment affecting the title to or possession of real property may be recorded
Real Estate Equity Trust

34. Base lines
Must be disclosed to the buyer if
Real Estate Settlement Procedures Act - requires special information booklet - requires good faith estimate - requires uniform settlement statement
Personal property transferred by will
Horizontal in the township and section system

35. Blind ad
An advertisement that fails to reveal that the advertiser is an agent and not a principal
Attempt to establish a firm's identity to the public
Department of Housing and Urban Development
A method to acquire title. It requires five-year - open - notorious - uninterrupted use under some claim of right - and the payment of taxes.

36. Affirmative covenant
A person appointed by the court to administer the estate of a deceased person.
Person holding title to real property in severalty
When two or more persons are owners of undivided interests in the title to real property. It is created if an instrument conveying an interest in real property to two or more persons does not specify that the interest is acquired by them in joint ten
A covenant under which an owner is required to do something - such as build within a stated period of time.

37. AIDA
Time tested model used in writing ads - Attention - Interest - Desire - Action
Part of the Business and Professions Code governing transactions in trust deeds and real property sales contracts
Joint tenants have: unity of time - unity of title - unity of interest - unity of possession
Federal proceedings to declare a debtor bankrupt. The debtor is relieved of unsecured obligations. If there are secured debts and the security is given up - debtor can be relieved of secured obligations.

38. Encumbrance

39. Anticipatory breach
Law prohibits discrimination in supplying housing accommodations because of race - color - religion - sex - marital status - national origin - ancestry - age - familial status or disability.
Act of a party that can be treated as a breach of contract because it makes performance by that party impossible.
The sudden removal of land by action of water - such as a river changing course.
Zoning for beauty or appearance. Appearance of zone may have a pattern in architecture - colors - and styles.

40. Deed of reconveyance
Deed from trustee to trustor - at the request of the beneficiary of trust (lender) - that returns title to the trustor on payment of indebtedness
A procedural act that must be complied with prior to revocation - suspension - or denial of a real estate license.
Very generally as any right or interest in land - possessed by a stranger to the title - which affects the value of the owner's estate but does not prevent the owner from enjoying and transferring the fee
Alternative Minimum Tax - requires taxpayers - who make above a certain amount of gross income to - to figure taxes twice.

41. Assumable loan
Promise for a promise.
A note that will liquidate itself over its term in equal installments
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.
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

42. Void
One broker
A contract based on an illegal consideration
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
Joint tenants have: unity of time - unity of title - unity of interest - unity of possession

43. Fair Employment and Housing Act
Law prohibits discrimination in supplying housing accommodations because of race - color - religion - sex - marital status - national origin - ancestry - age - familial status or disability.
Competitive Market Analysis
An agreement specifying activities for which the agent is to be compensated. It would include provisions for an advance payment of fees.
Personal property transferred by will

44. RPSD
Real Property Securities Dealer
Must be disclosed to the buyer if
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
The Broker is the Agent of the seller. The salesperson is the sub-agent of the

45. Broker's loan statement
8 Ways to terminate an easement Abandonment - Destruction - Adverse Possession - Merger - Express Agreement - Lawsuit - Estoppel - Excessive use
Within 3 days from acceptance of the offer (this must happen)
Zoning for beauty or appearance. Appearance of zone may have a pattern in architecture - colors - and styles.
A disclosure statement given to borrowers by mortgage loan brokers that provides information on all costs - fees - and loan terms.

46. amortized note
A mutual exchange of promises.
A note that will liquidate itself over its term in equal installments
Legal relationship under which an agent represents another - or principal - in dealings with third parties.
The seller's signature

47. Bankruptcy
Title or interest acquired by the grantor after property has been conveyed.
Federal proceedings to declare a debtor bankrupt. The debtor is relieved of unsecured obligations. If there are secured debts and the security is given up - debtor can be relieved of secured obligations.
An advertisement that fails to reveal that the advertiser is an agent and not a principal
One who represents another in an agency relationship.

48. Liquidated damages
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
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-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
Changes in escrow instructions - which require the agreement of both the buyer and seller.

49. Avulsion
The sudden removal of land by action of water - such as a river changing course.
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
A change made to a note or contract by one of the parties without the consent of the other.
Created in 1934 to provide mortgage insurance on loans made by FHA - approved lenders - part of HUD

50. Meridians
Vertical in the township and section system
A phrase used in sale contracts by sellers as an attempt to limit liability for the condition of the premises. If known latent defects or condition of a property is known to the seller - seller has the obligation to disclose.
Ownership by one person
A quitclaim deed conveys only the present right - title and interest of the