CHAPTER 4: Forms of Ownership
1. Ownership in severalty occurs when
A. two or more persons have identical interests in the same property concurrently.
B. husband and wife share ownership of the same property.
C. property is owned by one person.
D. two or
CHAPTER 3: Rights and Interests in Land
1. The system under which individuals are given the right to own land is known as the
A. feudal system.
B. allodial system.
C. chattel system.
D. fee system.
2. Under the feudal system of land ownership, the respo
CHAPTER 8: Real Estate Sales Contracts
1. A properly prepared sales contract
A. commits each party to its terms.
B. is unenforceable in a court of law.
C. must be TREC forms only.
D. must have earnest money.
2. A formal real estate sales contract, prepare
CHAPTER 10: Lending Practices
1. A loan wherein the principal is all repaid in one lump sum payment at the end of the loan's life is
known as a/an
A. term loan or straight loan.
B. amortized loan.
C. budget mortgage.
D. consumer loan.
2. The last day of a
CHAPTER 5: Transferring Title
1. A written legal document by which ownership of real property is transferred from one party to another
A. a bill of sale.
B. a lease.
C. a contract of sale.
D. a deed.
2. The law which requires transfers of real pro
CHAPTER 11: The Loan and the Consumer
1. A credit report will show the consumers
A. credit history
B. derogatory information
C. active use of credit
D. all of the above
2. A lender can refuse to lend on a structure
A. in violation of zoning
B. valued unde
CHAPTER 9: Mortgage Theory and Law
1. Evidence of the amount and terms of a borrower's debt to a lender is provided by means of a
B. promissory note.
C. first mortgage.
2. In order to be enforceable, a promissory note must b
CHAPTER 6: Recordation, Abstracts, and Title Insurance
1. The statute of frauds established the requirement that
A. written deeds be used to show transfers of ownership.
B. all deeds be recorded in the public records.
C. a system of public records be esta
CHAPTER 7: Contract Law
1. Which of the following would not be defined as a party to a contract?
2. If a contract is both offered and accepted it meets the requirement of
A. mutual assent
B. breach of agreement
CHAPTER 2: Nature and Description of Real Estate
1. The term "real estate" includes all of the following EXCEPT
A. the right to use land.
B. anything affixed to land with the intent of being permanent.
C. rights to airspace and subsurface minerals.