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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. Administrative Procedure Act
A procedural act that must be complied with prior to revocation - suspension - or denial of a real estate license.
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 change made to a note or contract by one of the parties without the consent of the other.
A government agency that makes rules and regulations to carry out the law.

2. 'As is'
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.
Alternative Minimum Tax - requires taxpayers - who make above a certain amount of gross income to - to figure taxes twice.
A fee for rental information accepted in advance - or a promotional fee for a sale listing.
36 individual square miles or 640 acres.

3. RPSD
A mutual exchange of promises.
A contract based on an illegal consideration
Real Property Securities Dealer
In a legal sales contract - the seller is often referred to as the

4. Cloud on the title

5. After-acquired title
Title or interest acquired by the grantor after property has been conveyed.
An acknowledgment of the grantor's signature
Alternative Minimum Tax - requires taxpayers - who make above a certain amount of gross income to - to figure taxes twice.
Must be disclosed to the buyer if

6. A tenancy in common
Joint ownership of real property by two or more persons - each of whom has an undivided interest (not necessarily equal) without right of survivorship
Owner assigns right to collect rent to another. Usually given to a lienholder when owner is delinquent in rent
Personal property transferred by will
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

7. FTC
Real Estate Settlement Procedures Act - requires special information booklet - requires good faith estimate - requires uniform settlement statement
All payments become due upon default of payment. In California - the debtor can cure the default by catching up on payments prior to foreclosure.
Negotiable commission for residential
Federal Trade Commission

8. 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
Multiple Listing Service
A loan to be completely repaid - principal and interest - by a series of regular equal installment payments
Transfer of all rights under a contract to a third party. Assignor remains secondarily liability.

9. Tax delinquent real property not redeemed by the owner during the five-year statutory redemption period...
is deeded to the county
Any outstanding claim or encumbrance which would - if valid - affect or impair the owner's title to a particular estate. While the cloud remains - the owner is prevented from conveying marketable title
Federal National Mortgage Association
Federal Trade Commission

10. Base lines
Horizontal in the township and section system
An advertisement that fails to reveal that the advertiser is an agent and not a principal
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
An acknowledgment of the grantor's signature

11. REMT
The Broker is the Agent of the seller. The salesperson is the sub-agent of the
Real Estate Mortgage Trust
The Fiduciary Duty owed to a principal (seller) by the Agent (broker) obedience - loyalty - disclosure - confidentiality - accountability - reasonable use of (skill - training - experience - competency)
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

12. GNMA
A note that will liquidate itself over its term in equal installments
1 square mile
Government National Mortgage Association
Multiple Listing Service

13. Real Property Loan Law
Part of the Business and Professions Code covering loan costs - commissions - and payment requirements relating to loan brokerage activity.
Commission is only controlled by law under two situations. One being If property is sold while in probate and...
Federal National Mortgage Association
Zoning for density with open-space requirements as well as setback - parking - and height restrictions

14. Bequest
Personal property transferred by will
The sudden removal of land by action of water - such as a river changing course.
Real Property Securities Dealer
Government National Mortgage Association

15. TILA
Ownership by one person
All payments become due upon default of payment. In California - the debtor can cure the default by catching up on payments prior to foreclosure.
Statement of the actual settlement costs. Provided by US Dept of HUD.
Truth in Lending Act - Implemented by Regulation Z set by the Federal Trade Commission

16. REET
Real Estate Equity Trust
Instrument used to secure a loan on personal property is called
Vertical in the township and section system
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

17. 1 square mile =
Commission is only controlled by law under two situations. One being If property is sold while in probate and...
Something that belongs to and goes with a property - such as structure and easement rights
A loan to be completely repaid - principal and interest - by a series of regular equal installment payments
43560 square feet

18. Federal Truth-in-Lending Law
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.
Finance charge and annual percentage rate - Regulation Z
The sudden removal of land by action of water - such as a river changing course.
Provides for rent as a percentage of the tenants' gross income ( gross sales )

19. Which corner does the township numbering system start in?
Zoning for beauty or appearance. Appearance of zone may have a pattern in architecture - colors - and styles.
Provides for rent as a percentage of the tenants' gross income ( gross sales )
NE - North East
Ownership by one person

20. Bundle of rights
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.
Zoning for beauty or appearance. Appearance of zone may have a pattern in architecture - colors - and styles.
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

21. Farm
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
Real Estate Mortgage Trust
Time tested model used in writing ads - Attention - Interest - Desire - Action
Any outstanding claim or encumbrance which would - if valid - affect or impair the owner's title to a particular estate. While the cloud remains - the owner is prevented from conveying marketable title

22. Budle of rights - 5 things

23. Amendments to the escrow instructions
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.
An owner has a duty to reasonably protect children from injury when the premises are likely to attract children.
Real Estate Settlement Procedures Act - requires special information booklet - requires good faith estimate - requires uniform settlement statement

24. MLS
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
Copies of all listings - deposit receipts - canceled checks - and trust records must be retained by a licensed real estate broker
1 square mile
Multiple Listing Service

25. Article 5
Part of the Business and Professions Code covering loan costs - commissions - and payment requirements relating to loan brokerage activity.
Part of the Business and Professions Code governing transactions in trust deeds and real property sales contracts
real estate
Provides for project approval in close proximity to earthquake faults - as well as disclosures to buyers.

26. Functional obsolescence
The Broker is the Agent of the seller. The salesperson is the
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
43560 square feet
Loss of value due to adverse factors within a structure that affect the marketability of the property.

27. Blind ad
Licensed real estate agent who can deal directly with principals and employ licensed real estate salepersons
A note that will liquidate itself over its term in equal installments
Transfer of all interest in a contract or lease.
An advertisement that fails to reveal that the advertiser is an agent and not a principal

28. Trust Deed
NE - North East
Easement that gives the dominant tenement owner the right to use the servient tenement.
Instrument used to secure a loan on personal property is called
Lender (or seller) in a trust deed loan situation

29. Avulsion
National Association of Independent Fee Appraisers
A note that will liquidate itself over its term in equal installments
Attempt to establish a firm's identity to the public
The sudden removal of land by action of water - such as a river changing course.

30. MARIA
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
Foreign Investments in Real Property Tax Act
Competitive Market Analysis
Something that belongs to and goes with a property - such as structure and easement rights

31. HUD
Department of Housing and Urban Development
Zoning for density with open-space requirements as well as setback - parking - and height restrictions
Financial Institute Reform - Recovery - and Enforcement Act of 1989
Nonjudicial process for resolution of disputes either by agreement or mandated by law.

32. Beneficiary statement
A clause in a mortgage or trust deed that the senior lienholder will retain lien priority in the event of a merger.
Statement by beneficiary as to balance due on loan.
The sudden removal of land by action of water - such as a river changing course.
Created in 1934 to provide mortgage insurance on loans made by FHA - approved lenders - part of HUD

33. Alquist-Priolo Special Studies Zone Act
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.
In a legal sales contract - the seller is often referred to as the
Law prohibits discrimination in supplying housing accommodations because of race - color - religion - sex - marital status - national origin - ancestry - age - familial status or disability.
Provides for project approval in close proximity to earthquake faults - as well as disclosures to buyers.

34. Void
A contract based on an illegal consideration
Offer the seller suggestions on ways to show a home for maximum positive first impression
The Fiduciary Duty owed to a principal (seller) by the Agent (broker) obedience - loyalty - disclosure - confidentiality - accountability - reasonable use of (skill - training - experience - competency)
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

35. Joists
Parallel wooden members used to support floor and ceiling loads are called
One broker
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
The Fiduciary Duty owed to a principal (seller) by the Agent (broker) obedience - loyalty - disclosure - confidentiality - accountability - reasonable use of (skill - training - experience - competency)

36. Grantor - quitclaim
A quitclaim deed conveys only the present right - title and interest of the
Federal National Mortgage Association
A formal declaration of the truthfulness of a statement - given in lieu of a verification.
An acknowledgment of the grantor's signature

37. Ranges
Grid of vertical lines (US Government and township)
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 loan to be completely repaid - principal and interest - by a series of regular equal installment payments
Horizontal in the township and section system

38. Bulk zoning
Zoning for density with open-space requirements as well as setback - parking - and height restrictions
Within 3 days from acceptance of the offer (this must happen)
NE - North East
The Broker is the Agent of the seller. The salesperson is the

39. If property is sold while in probate
Elements of a contract - mutual COnsent - CApacity - COnsideration - LAwful purpose ( must be in writing )
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
Commission is only controlled by law under two situations. One being the Real Property Loan Law and...
An acknowledgment of the grantor's signature

40. Township
Grid horizontal lines (US Government and township)
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
Copies of all listings - deposit receipts - canceled checks - and trust records must be retained by a licensed real estate broker
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

41. FNMA
A method to acquire title. It requires five-year - open - notorious - uninterrupted use under some claim of right - and the payment of taxes.
A clause in a mortgage or trust deed that the senior lienholder will retain lien priority in the event of a merger.
Federal National Mortgage Association
Within 3 days from acceptance of the offer (this must happen)

42. Encumbrance

43. Attachment
A method to acquire title. It requires five-year - open - notorious - uninterrupted use under some claim of right - and the payment of taxes.
A prejudgment lien that can be obtained to ensure the availability of property for execution after a judgment is obtained.
1 square mile
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

44. Administrator
A formal declaration of the truthfulness of a statement - given in lieu of a verification.
Mortgages in California
A person appointed by the court to administer the estate of a deceased person.
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

45. Agency by estoppel

46. Separate ownership
Owner assigns right to collect rent to another. Usually given to a lienholder when owner is delinquent in rent
Ownership by one person
A formal declaration of the truthfulness of a statement - given in lieu of a verification.
1 square mile

47. Appraisals of single-family dwellings
A change made to a note or contract by one of the parties without the consent of the other.
Commission is only controlled by law under two situations. One being If property is sold while in probate and...
Sales prices of comparable properties
Loss in value from any cause? is a common definition

48. Ad valorum taxes
Buyer to take possession 3 days after the close of escrow
Taxes based on value - such as property tax. ( Latin - according to value )
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
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.

49. Ademption
The revocation of a specific property grant in a will by disposing of said property prior to death.
Parallel wooden members used to support floor and ceiling loads are called
Ownership by one person
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.

50. CMA
Competitive Market Analysis
A clause in a mortgage or trust deed that the senior lienholder will retain lien priority in the event of a merger.
Zoning for beauty or appearance. Appearance of zone may have a pattern in architecture - colors - and styles.
A prejudgment lien that can be obtained to ensure the availability of property for execution after a judgment is obtained.