Real Estate Chapter 13-15

The deposit of instruments and/or funds with instructions with a third neutral party to carry out the provisions of an agreement or contract is known as...?

Escrow

All new licensees are required to take which of the following continuing education courses...?

Ethics Fair Housing Consumer Protection All of the above

A person or institution appointed by a testator to carry out the terms of their will is known as a...?

Executor

A common-law doctrine that makes an employer liable for the actions of an employee when the actions take place within the scope of employment is known as...?

Respondent Superior

The rights of a land owner or land occupier to use flowing water (such as a river) that is adjacent to the land are known as...?

Riparian rights

The marketplace whereby the loans that were originated in the primary mortgage market are bought and sold is known as the...?

Secondary Mortgage Market

Specialty contractors work under a general contractor on a project...?

TRUE

This is an enforced charge extracted of persons, corporations and organizations by the government to be used to support government services and programs....?

Tax

This is known as the refusal to lend money within a specific area...?

Redlining

This federal law prohibited all discrimination on the basis of race only...?

Civil Rights Act of 1866

A plumber is an example of a general contractor...?

(False)

Which of the following is an element of a valid contract...?

A lawful objective Consideration Mutual assent D) All of the Above

A broker is required to supervise which of the following...?

All transactions that require a real estate license Handling of all trust funds Filing, storage, and maintenance of all transaction related documents D) All of the above

The rights, or interests, that an individual has in a particular piece of property are referred to as...?

Bundle of Rights

Contractors in the State of California are governed by the...?

Contractors State Licensing Board

The ability to sue for the enforcement of the contract is known as...?

Enforceability

Mobile homes are NOT subject to a sales and use tax...?

False

This is an appraisal phrase meaning that use which, at the time of an appraisal, is most likely to produce the greatest net return to the land and/or buildings over a given period of time...?

Highest and Best Use

That which is immovable, including land, things affixed to land, and appurtenances is known as...?

Real Property

All property that is not considered to be real property is known as...?

Personal Property

Which of the following is a requirement of a bulk sale by a business...?

The business owner must setup an escrow for all funds realized from the sale The business owner must give notice to all of their creditors The business owner must publish notice of the sale in a circulated publication D) All of the above

What is the job of a building inspector...?

To enforce the building codes

This is an item of removable personal property that a tenant attached to leased land for business purposes...?

Trade Fixture

1 acre is equal to how many square feet...?

43560

Absolute ownership of real property is also known as a...?

Fee Simple Estate

This is an item of personal property that has been attached to real property...?

Fixture

When two or more natural persons own property that comes with a special benefit called the right of survivorship, it is referred to as a...?

Joint Tenancy

The authority to act for another person in specified or all legal or financial matters is known as...?

Power of Attorney

A scaled plan diagram showing the buildings, utility runs, equipment layout, the position of roads, and other constructions of an existing or proposed project site is known as a...?

Pilot Plan

The official proving of a will is also known as...?

Probate

This is a contractor whose operations involve the performance of construction work requiring special skill and whose principal contracting business involves the use of specialized building trades or crafts...?

Specialty Contractor

A state law requiring certain contracts to be in writing and signed before they will be enforceable at law is known as the...?

Statute of Frauds

This is a section of the U.S. Internal Revenue Service Code that allows investors to defer capital gains taxes on any exchange of like-kind properties for business or investment purposes...?

1031 Exchange

Real estate brokers must maintain records of all transactions for how many years from the date of the closing...?

3

A real estate sales contract is an example of a...?

Bilateral Contract

A systematic regulation of construction of buildings within a municipality established by ordinance or law are known as...?

Building Codes

The supply of willing and able buyers in the marketplace or lack thereof is referred to as..?

Demand

That duty owed by an agent to act in the highest good faith toward the principal and not to obtain any advantage over the latter by the slightest misrepresentation, concealment, duress or pressure, is known as...?

Fiduciary Duty

A roof which is almost level is referred to as a...?

Flat Roof

A property manager is an example of a...?

General Agent

A tax deed is an example of a...?

Involuntary Deed

This refers to "under-improved" properties surrounded by properties of greater value...?

Law of Progression

The commission owed to the broker in a transaction is determined in this document...?

Listing Agreement

A written instrument given to pass title of personal property from vendor to the vendee is known as a...?

Bill of Sale

This is known as the use of prejudice to instill fear, or panic (also known as panic selling), in order to motivate individuals in a particular area or neighborhood to sell or dispose of their property because of the entrance, or potential entry, of a protected class...?

Blockbusting

This law is intended to prevent a business owner from selling the items in which they run their business...?

Bulk Sales Law

To mingle or mix, for example, a client's funds in the broker's personal or general account is known as...?

Commingling

A written instrument which when properly executed and delivered conveys title to real property from one person (grantor) to another (grantee) is known as a...?

Deed

Which of the following is the most widely used deed in California...?

Grant Deed

Zoning is an example of police power...?

TRUE

The deed given to a purchaser at a public sale of land held for nonpayment of taxes is known as a...?

Tax Deed

A floor plan drawn to scale showing the location and size of the foundation walls of a building is known as a...?

Foundation Plan

This refers to when a property is "over improved" relative to other surrounding properties in the area that are of lesser value...?

Law of Regression

This principle affirms that value is created when properties tend to be similar in a particular neighborhood...?

Principle of Conformity

Which of the following is an approach used by appraisers to value property...?

Cost Approach Income Approach Sales Comparison Approach D) All of the Above

A deed to relinquish any interest in property with the grantor without interference of possession is known as a...?

Quitclaim Deed

The indemnity recoverable by a person who has sustained an injury, either in his or her person, property, or relative rights, through the act or default of another is known as...?

Damages

The Housing and Community Development do which of the following...?

Develop housing policy and building codes Regulate manufactured homes Regulate mobile home parks D All of the above

This refers to a contractor whose principal business is in connection with any structure being built (or to be built), requiring in its construction the use of at least two unrelated building trades or crafts...?

General Contractor

Which of the following is considered a formal description of property...?

Government Survey Metes and Bounds Lot and Block D) All of the Above

A person who acts for another but who sells final results and whose methods of achieving those results are not subject to the control of another is referred to as a...?

Independent Contractor

This is a writ or order issued under the seal of a court to restrain one or more parties to a suit or proceeding from doing an act which is deemed to be inequitable or unjust in regard to the rights of some other party or parties in the suit or proceeding...?

Injunction

A legal charge against real estate by a public authority to pay for the cost of public improvements such as street lights, sidewalks, and street improvements is known as a...?

Special Assessment

A gift is subject to tax liability...?

TRUE

A gift tax can be applied to both personal and real property...?

TRUE

Building codes are an example of police power...?

TRUE

An action to compel performance of an agreement is known as...?

specific performance

A broker who arranges a mortgage loan between a lender and a borrower for a fee is referred to as a...?

Mortgage Broker

This occurs when using racial, ethnic, or religious criteria in suggesting, recommending, and/or influencing individuals regarding locations for the purchase or rental of a single family residence or rental dwelling...?

Steering

The ability to give satisfaction and/or excite desire for possession is known as...?

Utility

Residential property includes how many dwelling units...?

1 - 4 dwellings

A bill of sale is required if the items being sold are valued over...?

500

1 mile is equal to how many linear feet...?

5280

Which of the following enables a person who has been defrauded or had trust funds converted by a real estate licensee in a transaction requiring a license, to recover at least some of his/her actual loss when the licensee's assets are insufficient...?

The California Real Estate Recovery Fund

A tax on the transfer of property by one individual to another while receiving nothing or less than full value in return is known as a...?

Gift Tax

Which of the following is considered an assessment event...?

A maximum increase of 2% of the dollar amount of taxes paid Value of improvements At the purchase or sale of a property D) All of the above

Continuing education is required for all real estate agents in California every...

4 years

For new licensees, continuing education is required how many years after getting their license...?

4 years

This Act prohibited discrimination on the basis of race, sex, color, national origin, or gender in any housing program receiving federal money...?

Civil Rights Act of 1964

Who are exempt from the real estate licensing education requirements in California...?

Anyone licensed to practice law in California

A loan whereby there is no government participation or cooperation is known as a...?

Conventional Loan

This is a contract whereby a mortgagor agrees to use real property as security for the repayment of debt...?

Mortgage

It is a misdemeanor for a licensed contractor to perform asbestos related work without prior certification...?

TRUE

Regular insurance coverage does NOT cover unrecorded claims...?

TRUE

A person appointed by a court to administer the estate of a one who has died intestate is known as a...?

Administrator

An area of limited height under a floor or roof, giving access to wiring and plumbing is referred to as a...?

Crawl Space

A drawing to scale, showing a view from above, of the relationships between rooms, spaces and other physical features at one level of a structure is known as a...?

Floor Plan

Which category of topics accounts for the most number of questions on the State exam...?

Practice of real estate and disclosures

The marketplace whereby loans are originated is referred to as the...?

Primary Mortgage Market

This principle affirms that value is created by anticipated benefits to be derived in the future...?

Principle of Anticipation