COLORADO REAL ESTATE UPDATED 2026 EXAM SCRIPT
QUESTIONS AND SOLUTIONS RATED A+
✔✔Partnership - ✔✔An association of two or more persons to carry on a business for
profit, as co-owners. In a general partnership, all of the partners have unlimited liability
for the debts of the business. In a limited partnership, the limited partners are shielded
from personal liability for the debts of the business, but the general partners are not.
✔✔Corporation - ✔✔A form of business organization, a legal entity separate from its
shareholders.
✔✔Limited liability company - ✔✔A form of business organization that is an alternative
to a partnership or corporation.
✔✔Real estate investment trust - ✔✔An entity that invests primarily in real estate and
that can qualify for tax advantages if certain requirements are met.
✔✔Condominium - ✔✔A property that has been developed so that individual unit
owners have separate title to their own units, but share ownership of the common
elements as tenants in common.
✔✔Cooperative - ✔✔A property that is owned by a corporation and tenanted by
shareholders in the corporation who have proprietary leases for their units.
✔✔Planned unit development - ✔✔A development with smaller lots placed close
together, in order to leave more land available for open space and other common areas.
✔✔Timeshare - ✔✔An ownership interest or use right that gives a holder a right to
possession of the property for a specific limited period of time each year.
✔✔Escheat - ✔✔The reversion of property to the government when a person dies
without leaving a valid will and without heirs entitled to the property.
✔✔Eminent domain - ✔✔The power of the government to take (condemn) private
property for public use, upon payment of just compensation to the owner.
✔✔Police power - ✔✔The power of state governments to regulate for the protection of
the 4 public health, safety, morals, and general welfare.
✔✔sole ownership by an individual is ownership - ✔✔
✔✔the ownership of property by one person only is known as - ✔✔
,✔✔joint tenancy and tenancy in common are two ways to own property concurrently
with someone else. how does joint tenancy differ from tenancy in common? - ✔✔
✔✔an exercise of police power by municipality to regulate and control the character and
use of the property is called a - ✔✔
✔✔the absolute ownership of a unit in a multi-unit building based on a legal description
of the airspace the unit actually occupies is a - ✔✔
✔✔if a person lives in an apartment and owns stock in the corporation possessing the
proprietary lease this is known as a - ✔✔
✔✔the parts of a property that are normally in common use by all of the condo residents
are known as - ✔✔
✔✔what is life estate? - ✔✔
✔✔when a spouse owns a piece of land separately he or she owns the property: - ✔✔
✔✔Al Jones Harold Murphy and Josh hagstrom are joint tenants owning a parcel of
land. hagstrom conveys his interest to his friend Willie Phillips. after the conveyor
conveyance Jones and Murphy: - ✔✔
✔✔a person who owns a fee simple interest in a unit in a multi-unit building together
with a specified undivided percentage of all common elements would be the owner of a:
- ✔✔
✔✔Ben and Dave are co-owners of a fee simple estate in a parcel of real estate. Ben
dies intestate and leaves no estate to be distributed to his heirs. Dave is neither related
to Ben or a creditor of ben. which of the following explains how Dave acquired the
interest of ben? - ✔✔
✔✔Mr Brown and Mrs Brown held title as tenants in common to the family home. Mrs
Brown wanted a niece to inherit her share of the property when she died, but did not
want to tell her her husband. so she made out a proper deed conveying her interest to
her knees, with her signature duly acknowledged, and gave it to a close friend who
agreed to hand it over to the niece after Mrs Brown's death. Mrs Brown died and the
friend carried out the instructions. the deed was: - ✔✔
✔✔private property that is abandoned is taken by the local government. this is an
example of: - ✔✔
, ✔✔ENCUMBRANCES - ✔✔A RIGHT, LIEN, OR OTHER ATTACHMENT TO REAL
ESTATE HELD BY SOMEONE OTHER THAN THE PROPERTY OWNER.
✔✔ENCUMBRANCE UMBRELLA TERMS - ✔✔DEED RESTRICTIONS, EASEMENTS,
ENCROACHMENTS, LIENS
✔✔EASEMENT - ✔✔RIGHT TO USE ANOTHER'S LAND FOR A SPECIFIC
PURPOSE.
✔✔OCEAN - ✔✔OPEN, CONTINUOUS, EXCLUSIVE, ACTUAL,
NOTORIOUS/HOSTILE
✔✔PRESCRIPTIVE - ✔✔OCEAN
✔✔EASEMENT BY NECESSITY - ✔✔GRANTED BY THE COURT FOR LAND
LOCKED PROPERTY
✔✔TERMINATION OF EASMENT - ✔✔REALESE OF THE RIGHT, MERGER,
PURPOSEFUL ABANDONMENT, CONDEMNATION, CHANGE OR CESSATION,
DESTRUCTION, NON-USE
✔✔ENCROACHMENT - ✔✔UNAUTHORIZED INTRUSION ON TO ANOTHER'S
PROPERTY
✔✔LEINS - ✔✔A CHARGE OF CLAIM AGAINS A PROPERTY, SECURITY FOR A
DEBT OR OBLIGATION,
✔✔LIENOR - ✔✔The creditor who places a lien on a property
✔✔LIENEE - ✔✔The party whose property is subject to the lien
✔✔SPECIFIC LIEN - ✔✔One that attaches to a particular property.
✔✔GENERAL LIEN - ✔✔One that attaches to all property owned by an individual. Real
and personal.
✔✔HIGHTEST PRIORITY LEIN - ✔✔REAL ESTATE TAXES
✔✔the government must meet all of the following requirements in order to exercise its
rights of eminent domain during condemnation except: - ✔✔
✔✔a person who has complete control over a parcel of real estate is said to own a: -
✔✔
QUESTIONS AND SOLUTIONS RATED A+
✔✔Partnership - ✔✔An association of two or more persons to carry on a business for
profit, as co-owners. In a general partnership, all of the partners have unlimited liability
for the debts of the business. In a limited partnership, the limited partners are shielded
from personal liability for the debts of the business, but the general partners are not.
✔✔Corporation - ✔✔A form of business organization, a legal entity separate from its
shareholders.
✔✔Limited liability company - ✔✔A form of business organization that is an alternative
to a partnership or corporation.
✔✔Real estate investment trust - ✔✔An entity that invests primarily in real estate and
that can qualify for tax advantages if certain requirements are met.
✔✔Condominium - ✔✔A property that has been developed so that individual unit
owners have separate title to their own units, but share ownership of the common
elements as tenants in common.
✔✔Cooperative - ✔✔A property that is owned by a corporation and tenanted by
shareholders in the corporation who have proprietary leases for their units.
✔✔Planned unit development - ✔✔A development with smaller lots placed close
together, in order to leave more land available for open space and other common areas.
✔✔Timeshare - ✔✔An ownership interest or use right that gives a holder a right to
possession of the property for a specific limited period of time each year.
✔✔Escheat - ✔✔The reversion of property to the government when a person dies
without leaving a valid will and without heirs entitled to the property.
✔✔Eminent domain - ✔✔The power of the government to take (condemn) private
property for public use, upon payment of just compensation to the owner.
✔✔Police power - ✔✔The power of state governments to regulate for the protection of
the 4 public health, safety, morals, and general welfare.
✔✔sole ownership by an individual is ownership - ✔✔
✔✔the ownership of property by one person only is known as - ✔✔
,✔✔joint tenancy and tenancy in common are two ways to own property concurrently
with someone else. how does joint tenancy differ from tenancy in common? - ✔✔
✔✔an exercise of police power by municipality to regulate and control the character and
use of the property is called a - ✔✔
✔✔the absolute ownership of a unit in a multi-unit building based on a legal description
of the airspace the unit actually occupies is a - ✔✔
✔✔if a person lives in an apartment and owns stock in the corporation possessing the
proprietary lease this is known as a - ✔✔
✔✔the parts of a property that are normally in common use by all of the condo residents
are known as - ✔✔
✔✔what is life estate? - ✔✔
✔✔when a spouse owns a piece of land separately he or she owns the property: - ✔✔
✔✔Al Jones Harold Murphy and Josh hagstrom are joint tenants owning a parcel of
land. hagstrom conveys his interest to his friend Willie Phillips. after the conveyor
conveyance Jones and Murphy: - ✔✔
✔✔a person who owns a fee simple interest in a unit in a multi-unit building together
with a specified undivided percentage of all common elements would be the owner of a:
- ✔✔
✔✔Ben and Dave are co-owners of a fee simple estate in a parcel of real estate. Ben
dies intestate and leaves no estate to be distributed to his heirs. Dave is neither related
to Ben or a creditor of ben. which of the following explains how Dave acquired the
interest of ben? - ✔✔
✔✔Mr Brown and Mrs Brown held title as tenants in common to the family home. Mrs
Brown wanted a niece to inherit her share of the property when she died, but did not
want to tell her her husband. so she made out a proper deed conveying her interest to
her knees, with her signature duly acknowledged, and gave it to a close friend who
agreed to hand it over to the niece after Mrs Brown's death. Mrs Brown died and the
friend carried out the instructions. the deed was: - ✔✔
✔✔private property that is abandoned is taken by the local government. this is an
example of: - ✔✔
, ✔✔ENCUMBRANCES - ✔✔A RIGHT, LIEN, OR OTHER ATTACHMENT TO REAL
ESTATE HELD BY SOMEONE OTHER THAN THE PROPERTY OWNER.
✔✔ENCUMBRANCE UMBRELLA TERMS - ✔✔DEED RESTRICTIONS, EASEMENTS,
ENCROACHMENTS, LIENS
✔✔EASEMENT - ✔✔RIGHT TO USE ANOTHER'S LAND FOR A SPECIFIC
PURPOSE.
✔✔OCEAN - ✔✔OPEN, CONTINUOUS, EXCLUSIVE, ACTUAL,
NOTORIOUS/HOSTILE
✔✔PRESCRIPTIVE - ✔✔OCEAN
✔✔EASEMENT BY NECESSITY - ✔✔GRANTED BY THE COURT FOR LAND
LOCKED PROPERTY
✔✔TERMINATION OF EASMENT - ✔✔REALESE OF THE RIGHT, MERGER,
PURPOSEFUL ABANDONMENT, CONDEMNATION, CHANGE OR CESSATION,
DESTRUCTION, NON-USE
✔✔ENCROACHMENT - ✔✔UNAUTHORIZED INTRUSION ON TO ANOTHER'S
PROPERTY
✔✔LEINS - ✔✔A CHARGE OF CLAIM AGAINS A PROPERTY, SECURITY FOR A
DEBT OR OBLIGATION,
✔✔LIENOR - ✔✔The creditor who places a lien on a property
✔✔LIENEE - ✔✔The party whose property is subject to the lien
✔✔SPECIFIC LIEN - ✔✔One that attaches to a particular property.
✔✔GENERAL LIEN - ✔✔One that attaches to all property owned by an individual. Real
and personal.
✔✔HIGHTEST PRIORITY LEIN - ✔✔REAL ESTATE TAXES
✔✔the government must meet all of the following requirements in order to exercise its
rights of eminent domain during condemnation except: - ✔✔
✔✔a person who has complete control over a parcel of real estate is said to own a: -
✔✔
