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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. Accretion
Attempt to establish a firm's identity to the public
Zoning for beauty or appearance. Appearance of zone may have a pattern in architecture - colors - and styles.
The gradual buildup of land by natural causes ( generally by action of water )
1 square mile

2. What trust deeds in California are called..
A fee for rental information accepted in advance - or a promotional fee for a sale listing.
Mortgages in California
One who represents another in an agency relationship.
Sales prices of comparable properties

3. Affirmative easement
Vertical in the township and section system
Any loss of value due to conditions outside of the property itself. aka social obsolescence
Easement that gives the dominant tenement owner the right to use the servient tenement.
An agreement to accept a lesser consideration than bargained for based on disagreement over performance.

4. REET
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
For Sale By Owners
Real Estate Equity Trust
A formal declaration of the truthfulness of a statement - given in lieu of a verification.

5. FNMA
The seller's signature
An advertisement that fails to reveal that the advertiser is an agent and not a principal
ALTA - The association that developed an extended-coverage policy of title insurance for lenders ( same coverage available to buyers )
Federal National Mortgage Association

6. Breach of contract
Multiple Listing Service
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.
Failure to comply with a material term or provision of a contract
All beneficial rights that go with ownership of real property

7. Meridians
Vertical in the township and section system
1 square mile
Notice that has been expressly given and is known to a party
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.

8. Blanket encumbrance
Property owned by husband and wife
By recorded map; by U. S. Government section and township; and by metes and bounds
A mortgage or trust deed covering more than one property
Must be disclosed to the buyer if

9. Bulk Sales Act
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
Joint tenants have: unity of time - unity of title - unity of interest - unity of possession
36 individual square miles or 640 acres.
An act that requires recordings and publication of a sale not in the normal course of business.

10. Community Property
Property owned by husband and wife
All payments become due upon default of payment. In California - the debtor can cure the default by catching up on payments prior to foreclosure.
A person appointed by the court to administer the estate of a deceased person.
The seller's signature

11. NAIFA
Property owned by husband and wife
National Association of Independent Fee Appraisers
Provides for project approval in close proximity to earthquake faults - as well as disclosures to buyers.
Legal relationship under which an agent represents another - or principal - in dealings with third parties.

12. Americans with Disabilities Act

13. AMT
An agreement to accept a lesser consideration than bargained for based on disagreement over performance.
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
The sudden removal of land by action of water - such as a river changing course.
Alternative Minimum Tax - requires taxpayers - who make above a certain amount of gross income to - to figure taxes twice.

14. Ownership of real property
is deeded to the county
Separate ownershi and Concurrent ownership; a. Tenancy in common; b. Joint tenancy; and c. Community property.
Sales prices of comparable properties
Cconsists of all property acquired by a husband and wife - or either - during a valid marriage - other than separate property

15. Agency
Loss in value from any cause? is a common definition
Changes in escrow instructions - which require the agreement of both the buyer and seller.
Legal relationship under which an agent represents another - or principal - in dealings with third parties.
By recorded map; by U. S. Government section and township; and by metes and bounds

16. HUD
Department of Housing and Urban Development
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
Mortgages in California
Must be disclosed to the buyer if

17. vendor (term in real estate)
In a legal sales contract - the seller is often referred to as the
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
Instrument used to secure a loan on personal property is called
NE - North East

18. Bulk zoning
Zoning for density with open-space requirements as well as setback - parking - and height restrictions
Loss of value due to adverse factors within a structure that affect the marketability of the property.
Part of the Business and Professions Code covering loan costs - commissions - and payment requirements relating to loan brokerage activity.
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.

19. Federal Truth-in-Lending Law
Principal + Interest + Monthly taxes and insurance + homeowners assoc. fee = 25% - 30% gross monthly income
Finance charge and annual percentage rate - Regulation Z
An act that requires recordings and publication of a sale not in the normal course of business.
Statement of the actual settlement costs. Provided by US Dept of HUD.

20. Assignment of rent
Owner assigns right to collect rent to another. Usually given to a lienholder when owner is delinquent in rent
Simultaneous ownership of a given piece of property by two or more persons - Tenancy in common; Joint tenancy; and Community property.
A fee for rental information accepted in advance - or a promotional fee for a sale listing.
Commission is only controlled by law under two situations. One being the Real Property Loan Law and...

21. Staging
A final payment that is more than twice the amount of the lowest payment.
Offer the seller suggestions on ways to show a home for maximum positive first impression
Vertical in the township and section system
Mortgages in California

22. Agent of the broker
Something that belongs to and goes with a property - such as structure and easement rights
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
Part of the Business and Professions Code governing transactions in trust deeds and real property sales contracts
The Broker is the Agent of the seller. The salesperson is the

23. Agent
One who represents another in an agency relationship.
A final payment that is more than twice the amount of the lowest payment.
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
Part of the Business and Professions Code governing transactions in trust deeds and real property sales contracts

24. Affirmation
The Fiduciary Duty owed to a principal (seller) by the Agent (broker) obedience - loyalty - disclosure - confidentiality - accountability - reasonable use of (skill - training - experience - competency)
Use of personal property to secure or guarantee a promissory note.
An agreement to accept a lesser consideration than bargained for based on disagreement over performance.
A formal declaration of the truthfulness of a statement - given in lieu of a verification.

25. MLS
Grid of vertical lines (US Government and township)
Act of a party that can be treated as a breach of contract because it makes performance by that party impossible.
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
Multiple Listing Service

26. Bilateral contract - p4p
Notice that has been expressly given and is known to a party
Transfer of all interest in a contract or lease.
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.
Promise for a promise.

27. Tenancy in common
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
Transfer of all rights under a contract to a third party. Assignor remains secondarily liability.
Government National Mortgage Association
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

28. Arbitration
Nonjudicial process for resolution of disputes either by agreement or mandated by law.
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
Zoning for density with open-space requirements as well as setback - parking - and height restrictions
Lender (or seller) in a trust deed loan situation

29. Appraisals of single-family dwellings
Vertical in the township and section system
Mortgages in California
Sales prices of comparable properties
Department of Housing and Urban Development

30. 43560 square feet =
1 square mile
Must be disclosed to the buyer if
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
An act that requires recordings and publication of a sale not in the normal course of business.

31. Advance costs
Negotiable commission for residential
A note that will liquidate itself over its term in equal installments
Advance payments made to an agent to cover expected cash outlays in carrying out the agency.
Any loss of value due to conditions outside of the property itself. aka economic obsolescence

32. REIT
Real Estate Investment 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
Copies of all listings - deposit receipts - canceled checks - and trust records must be retained by a licensed real estate broker
By recorded map; by U. S. Government section and township; and by metes and bounds

33. Recording Act of California
Joint tenants have: unity of time - unity of title - unity of interest - unity of possession
One who represents another in an agency relationship.
After being acknowledged - any instrument or judgment affecting the title to or possession of real property may be recorded
Zoning for density with open-space requirements as well as setback - parking - and height restrictions

34. Bankruptcy
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.
8 Ways to terminate an easement Abandonment - Destruction - Adverse Possession - Merger - Express Agreement - Lawsuit - Estoppel - Excessive use
Transfer of all interest in a contract or lease.
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

35. Concurrent ownership or co-ownership
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
A person appointed as an agent under a power of attorney
Simultaneous ownership of a given piece of property by two or more persons - Tenancy in common; Joint tenancy; and Community property.
A clause in a mortgage or trust deed that the senior lienholder will retain lien priority in the event of a merger.

36. Broker
Part of the Business and Professions Code governing transactions in trust deeds and real property sales contracts
Copies of all listings - deposit receipts - canceled checks - and trust records must be retained by a licensed real estate broker
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
Licensed real estate agent who can deal directly with principals and employ licensed real estate salepersons

37. AIDA
Time tested model used in writing ads - Attention - Interest - Desire - Action
A note that will liquidate itself over its term in equal installments
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
One who represents another in an agency relationship.

38. Antimerger clause
A mortgage or trust deed covering more than one property
A change made to a note or contract by one of the parties without the consent of the other.
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
A clause in a mortgage or trust deed that the senior lienholder will retain lien priority in the event of a merger.

39. Article 7
Person holding title to real property in severalty
Real Estate Settlement Procedures Act - requires special information booklet - requires good faith estimate - requires uniform settlement statement
Part of the Business and Professions Code covering loan costs - commissions - and payment requirements relating to loan brokerage activity.
A disclosure statement given to borrowers by mortgage loan brokers that provides information on all costs - fees - and loan terms.

40. Joint tenancy - TTIP
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.
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
Provides for rent as a percentage of the tenants' gross income ( gross sales )
Cconsists of all property acquired by a husband and wife - or either - during a valid marriage - other than separate property

41. Attorney-in-fact
A person appointed as an agent under a power of attorney
Ownership by one person
Title or interest acquired by the grantor after property has been conveyed.
The Broker is the Agent of the seller. The salesperson is the

42. Ranges
is deeded to the county
Grid of vertical lines (US Government and township)
real estate
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.

43. Unruh Civil Rights Act - California
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
Commission is only controlled by law under two situations. One being If property is sold while in probate and...
Federal Trade Commission
Provides for project approval in close proximity to earthquake faults - as well as disclosures to buyers.

44. Burden of proof
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.
A quitclaim deed conveys only the present right - title and interest of the
The party required to prove a fact when an issue is in dispute
A prejudgment lien that can be obtained to ensure the availability of property for execution after a judgment is obtained.

45. Administrative agency
Time tested model used in writing ads - Attention - Interest - Desire - Action
Alternative Minimum Tax - requires taxpayers - who make above a certain amount of gross income to - to figure taxes twice.
Vertical in the township and section system
A government agency that makes rules and regulations to carry out the law.

46. After-acquired title
The Broker is the Agent of the seller. The salesperson is the sub-agent of the
Title or interest acquired by the grantor after property has been conveyed.
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
Federal Home Loan Mortgage Corporation

47. Advance fee
A fee for rental information accepted in advance - or a promotional fee for a sale listing.
Failure to comply with a material term or provision of a contract
Competitive Market Analysis
Federal National Mortgage Association

48. depreciation
Copies of all listings - deposit receipts - canceled checks - and trust records must be retained by a licensed real estate broker
Multiple Listing Service
Loss in value from any cause? is a common definition
Any loss of value due to conditions outside of the property itself. aka economic obsolescence

49. Separate property of a married person includes...
A loan to be completely repaid - principal and interest - by a series of regular equal installment payments
One broker
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
Real Property Securities Dealer

50. Social obsolescence
Any loss of value due to conditions outside of the property itself. aka economic obsolescence
Alternative Minimum Tax - requires taxpayers - who make above a certain amount of gross income to - to figure taxes twice.
Transfer of all rights under a contract to a third party. Assignor remains secondarily liability.
One who represents another in an agency relationship.