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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. Chattel mortgag
Finance charge and annual percentage rate - Regulation Z
Copies of all listings - deposit receipts - canceled checks - and trust records must be retained by a licensed real estate broker
Use of personal property to secure or guarantee a promissory note.
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

2. Grantor - quitclaim
Competitive Market Analysis
Multiple Listing Service
A quitclaim deed conveys only the present right - title and interest of the
Taxes based on value - such as property tax. ( Latin - according to value )

3. Ranges
Federal Trade Commission
Simultaneous ownership of a given piece of property by two or more persons - Tenancy in common; Joint tenancy; and Community property.
Grid of vertical lines (US Government and township)
Truth in Lending Act - Implemented by Regulation Z set by the Federal Trade Commission

4. 640 acres =
The seller's signature
1 square mile
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
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.

5. Community property
Cconsists of all property acquired by a husband and wife - or either - during a valid marriage - other than separate property
In a legal sales contract - the seller is often referred to as the
A disclosure statement given to borrowers by mortgage loan brokers that provides information on all costs - fees - and loan terms.
All beneficial rights that go with ownership of real property

6. Aesthetic zoning
For Sale By Owners
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
All payments become due upon default of payment. In California - the debtor can cure the default by catching up on payments prior to foreclosure.
Zoning for beauty or appearance. Appearance of zone may have a pattern in architecture - colors - and styles.

7. Ad valorum taxes
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.
Taxes based on value - such as property tax. ( Latin - according to value )
Must be disclosed to the buyer if
Cconsists of all property acquired by a husband and wife - or either - during a valid marriage - other than separate property

8. Ownership of real property
The party required to prove a fact when an issue is in dispute
Separate ownershi and Concurrent ownership; a. Tenancy in common; b. Joint tenancy; and c. Community property.
Changes in escrow instructions - which require the agreement of both the buyer and seller.
An action to remove a nuisance

9. Federal Fair Housing Act - Title VIII of the Civil Rights Act of 1968
A change made to a note or contract by one of the parties without the consent of the other.
Competitive Market Analysis
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
Buyer to take possession 3 days after the close of escrow

10. Agency by estoppel

11. Alteration
The revocation of a specific property grant in a will by disposing of said property prior to death.
Copies of all listings - deposit receipts - canceled checks - and trust records must be retained by a licensed real estate broker
Grid of vertical lines (US Government and township)
A change made to a note or contract by one of the parties without the consent of the other.

12. A broker selling a property on which he holds an option should notify the purchaser...
One who represents another in an agency relationship.
Taxes based on value - such as property tax. ( Latin - according to value )
that he is acting as an optionor
The party required to prove a fact when an issue is in dispute

13. Joint tenancy - TTIP
Department of Housing and Urban Development
An advertisement that fails to reveal that the advertiser is an agent and not a principal
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
Time tested model used in writing ads - Attention - Interest - Desire - Action

14. Three C's (credit rules of thumb)
Part of the Business and Professions Code covering loan costs - commissions - and payment requirements relating to loan brokerage activity.
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
ALTA - The association that developed an extended-coverage policy of title insurance for lenders ( same coverage available to buyers )
Finance charge and annual percentage rate - Regulation Z

15. If property is sold while in probate
Loss in value from any cause? is a common definition
A contract based on an illegal consideration
Commission is only controlled by law under two situations. One being the Real Property Loan Law and...
Mortgages in California

16. Functional obsolescence
Sales prices of comparable properties
Loss of value due to adverse factors within a structure that affect the marketability of the property.
Federal Trade Commission
Instrument used to secure a loan on personal property is called

17. REEA
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...
Real Estate Educators Association
Zoning for density with open-space requirements as well as setback - parking - and height restrictions

18. FIRPTA
Part of the Business and Professions Code covering loan costs - commissions - and payment requirements relating to loan brokerage activity.
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
Foreign Investments in Real Property Tax Act
A procedural act that must be complied with prior to revocation - suspension - or denial of a real estate license.

19. Trust Deed
Statement of the actual settlement costs. Provided by US Dept of HUD.
An owner has a duty to reasonably protect children from injury when the premises are likely to attract children.
Instrument used to secure a loan on personal property is called
The Broker is the Agent of the seller. The salesperson is the

20. Attractive nuisance doctrine
An owner has a duty to reasonably protect children from injury when the premises are likely to attract children.
The gradual buildup of land by natural causes ( generally by action of water )
36 individual square miles or 640 acres.
Taxes based on value - such as property tax. ( Latin - according to value )

21. Assumable loan
Lender (or seller) in a trust deed loan situation
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 Settlement Procedures Act - requires special information booklet - requires good faith estimate - requires uniform settlement statement
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

22. Affirmative easement
Statement of the actual settlement costs. Provided by US Dept of HUD.
The Broker is the Agent of the seller. The salesperson is the sub-agent of the
Law prohibits discrimination in supplying housing accommodations because of race - color - religion - sex - marital status - national origin - ancestry - age - familial status or disability.
Easement that gives the dominant tenement owner the right to use the servient tenement.

23. Tenancy in common
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
Transfer of all interest in a contract or lease.
real estate
Deed from trustee to trustor - at the request of the beneficiary of trust (lender) - that returns title to the trustor on payment of indebtedness

24. vendor (term in real estate)
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.
In a legal sales contract - the seller is often referred to as the
Cconsists of all property acquired by a husband and wife - or either - during a valid marriage - other than separate property
Act of a party that can be treated as a breach of contract because it makes performance by that party impossible.

25. A tenancy in common
Must be disclosed to the buyer if
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.
The Fiduciary Duty owed to a principal (seller) by the Agent (broker) obedience - loyalty - disclosure - confidentiality - accountability - reasonable use of (skill - training - experience - competency)

26. depreciation
Deed from trustee to trustor - at the request of the beneficiary of trust (lender) - that returns title to the trustor on payment of indebtedness
Loss in value from any cause? is a common definition
An acknowledgment of the grantor's signature
Part of the Business and Professions Code governing transactions in trust deeds and real property sales contracts

27. Separate ownership
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.
Ownership by one person
National Association of Independent Fee Appraisers
One who represents another in an agency relationship.

28. Beneficiary
Part of the Business and Professions Code governing transactions in trust deeds and real property sales contracts
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 clause in a mortgage or trust deed that the senior lienholder will retain lien priority in the event of a merger.
Lender (or seller) in a trust deed loan situation

29. 'As is'
Statement by beneficiary as to balance due on loan.
A formal declaration of the truthfulness of a statement - given in lieu of a verification.
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 Mortgage Trust

30. Anticipatory breach
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
Elements of a contract - mutual COnsent - CApacity - COnsideration - LAwful purpose ( must be in writing )
Act of a party that can be treated as a breach of contract because it makes performance by that party impossible.
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

31. GNMA
A disclosure statement given to borrowers by mortgage loan brokers that provides information on all costs - fees - and loan terms.
Government National Mortgage Association
Transfer of all rights under a contract to a third party. Assignor remains secondarily liability.
Within 3 days from acceptance of the offer (this must happen)

32. Federal Truth-in-Lending Law
A quitclaim deed conveys only the present right - title and interest of the
Government National Mortgage Association
Zoning for density with open-space requirements as well as setback - parking - and height restrictions
Finance charge and annual percentage rate - Regulation Z

33. Abstract of judgment

34. Advance costs
ALTA - The association that developed an extended-coverage policy of title insurance for lenders ( same coverage available to buyers )
Advance payments made to an agent to cover expected cash outlays in carrying out the agency.
Copies of all listings - deposit receipts - canceled checks - and trust records must be retained by a licensed real estate broker
Federal Home Loan Mortgage Corporation

35. Attachment
Licensed real estate agent who can deal directly with principals and employ licensed real estate salepersons
A prejudgment lien that can be obtained to ensure the availability of property for execution after a judgment is obtained.
A formal declaration of the truthfulness of a statement - given in lieu of a verification.
Part of the Business and Professions Code covering loan costs - commissions - and payment requirements relating to loan brokerage activity.

36. Accord and satisfaction
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 agreement to accept a lesser consideration than bargained for based on disagreement over performance.
A copy of all recorded documents dealing with a property. Attorneys give title opinions based on abstracts.
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

37. Community Property
Property owned by husband and wife
Nonjudicial process for resolution of disputes either by agreement or mandated by law.
A statement made before a notary or court officer that the signing of a document was the signer's own free act.
Agency in which an agent has a financial interest in the subject matter of the agency.

38. Abatement
Zoning for beauty or appearance. Appearance of zone may have a pattern in architecture - colors - and styles.
Deed from trustee to trustor - at the request of the beneficiary of trust (lender) - that returns title to the trustor on payment of indebtedness
Real Estate Investment Trust
An action to remove a nuisance

39. Appraisals of single-family dwellings
Promise for a promise.
Copies of all listings - deposit receipts - canceled checks - and trust records must be retained by a licensed real estate broker
Sales prices of comparable properties
A change made to a note or contract by one of the parties without the consent of the other.

40. Meridians
Something that belongs to and goes with a property - such as structure and easement rights
Vertical in the township and section system
A note that will liquidate itself over its term in equal installments
Taxes based on value - such as property tax. ( Latin - according to value )

41. What trust deeds in California are called..
Owner assigns right to collect rent to another. Usually given to a lienholder when owner is delinquent in rent
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
A quitclaim deed conveys only the present right - title and interest of the
Mortgages in California

42. Deed of reconveyance
Vertical in the township and section system
Loss in value from any cause? is a common definition
Transfer of all rights under a contract to a third party. Assignor remains secondarily liability.
Deed from trustee to trustor - at the request of the beneficiary of trust (lender) - that returns title to the trustor on payment of indebtedness

43. Institutional advertising

44. Actual notice
Notice that has been expressly given and is known to a party
Federal National Mortgage Association
Inducing panic selling based on fear of the entry of persons of another race - color - religion - or ancestry into the area.
An agreement to accept a lesser consideration than bargained for based on disagreement over performance.

45. CE+3
Buyer to take possession 3 days after the close of escrow
A final payment that is more than twice the amount of the lowest payment.
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
A method to acquire title. It requires five-year - open - notorious - uninterrupted use under some claim of right - and the payment of taxes.

46. Blanket encumbrance
Zoning for density with open-space requirements as well as setback - parking - and height restrictions
A mortgage or trust deed covering more than one property
Zoning for beauty or appearance. Appearance of zone may have a pattern in architecture - colors - and styles.
Real Property Securities Dealer

47. Administrative Procedure Act
Grid horizontal lines (US Government and township)
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 procedural act that must be complied with prior to revocation - suspension - or denial of a real estate license.
A mortgage or trust deed covering more than one property

48. A valid deed does not have to contain

49. Unruh Civil Rights Act - California
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
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
Owner assigns right to collect rent to another. Usually given to a lienholder when owner is delinquent in rent
Person holding title to real property in severalty

50. Ademption
Agency in which an agent has a financial interest in the subject matter of the agency.
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
8 Ways to terminate an easement Abandonment - Destruction - Adverse Possession - Merger - Express Agreement - Lawsuit - Estoppel - Excessive use
The revocation of a specific property grant in a will by disposing of said property prior to death.