AMP REAL ESTATE COMPREHENSIVE EXAM
STUDY GUIDE TEST PAPER QUESTIONS AND
SOLUTIONS 2026
◉ 2. Which of the following is a typical characteristic of an FHA or
VA loan?
a. They are backed by the gov't and are not assumable
b. The down payment on these loans can normally be financed
c. Prepayment penalties cannot be charged on loans
d. Typically, these loans must be repaid within 15 years
Answer: C. Prepayment penalties cannot be charged on FHA or VA
mortgages
◉ 3. A due-on-sale clause is also known as
a. Alienation
b. Acceleration
c. Hypothecation
d. Ad valorum
Answer: A . The alienation clause in a mortgage document allows the
lender to call the note due and payable on the conveyance
,◉ 4. Bob buyer purchased two parcels of land. One was 1 square
mile in the other contained 10 acres. If the land cost $2500 an acre,
what was the cost of the land?
a. $1,265,000
b. $1,625,000
c. $1,526,000
d. $1,600,000
Answer: B. 640 plus 10 equals 650 acres times $2500 equals
$1,625,000 (1 square mile equals 640 acres)
◉ 5. An offer has been accepted on a property. After the title search,
who gives an opinion of title?
a. An Atty.
b. The seller
c. The buyer
d. The broker
Answer: A . An Atty. Gives an opinion of title and issues of title
certificate
◉ 6. The buyers just purchased their first house, which sits on five
acres. They intend to keep goats on the property. Which of the
following would allow or disallow them to keep goats?
a. Federal ordinances
b. state restrictions
,c. Zoning ordinances
d. Neighbor restrictions
Answer: C. The local zoning laws regulate the type of animals that
can be kept on a property
◉ 7. A buyer made an offer of $250,000 on a property with no
contingencies, and the offer was accepted. The buyer planned to
build a shopping center but never mentioned it to the agent. Just
before the closing, the buyer discovered that he could not build a
shopping center. What is the status of the sales contract?
a. valid
b. Void
c. Voidable
d. Unenforceable
Answer: A. A contract with no contingencies is a valid, enforceable
contract
◉ 8. A disabled person moved into an apartment. At his own
expense, he lowered the light switches, lowered the kitchen cabinets,
installed handrails, and widened the doorways. At the expiration of
the lease, which of the following would the tenant least likely have to
return to its original condition?
a. Light switches
b. Kitchen cabinets
, c. Handrails
d. Doorways
Answer: D. The tenant would least likely be responsible for
returning the doorways to their original width
◉ 9. Which of the following best defines physical depreciation?
a. Functional obsolescence caused by a poor design
b. External obsolescence caused by any outside factor
c. Deterioration caused by the age of the building
d. Deterioration caused by normal wear and tear of the property
Answer: D. Deterioration caused by normal wear and tear of the
property best describes depreciation
◉ 10. Which of the following must be disclosed when an agent is
showing the house?
a. mortgage balance
b. The asking price of other homes in the neighborhood
c. That the property is in a floodplain zone
d. Original cost of the property
Answer: C. Any material fact or property defect must be disclosed to
potential buyers of a property.
STUDY GUIDE TEST PAPER QUESTIONS AND
SOLUTIONS 2026
◉ 2. Which of the following is a typical characteristic of an FHA or
VA loan?
a. They are backed by the gov't and are not assumable
b. The down payment on these loans can normally be financed
c. Prepayment penalties cannot be charged on loans
d. Typically, these loans must be repaid within 15 years
Answer: C. Prepayment penalties cannot be charged on FHA or VA
mortgages
◉ 3. A due-on-sale clause is also known as
a. Alienation
b. Acceleration
c. Hypothecation
d. Ad valorum
Answer: A . The alienation clause in a mortgage document allows the
lender to call the note due and payable on the conveyance
,◉ 4. Bob buyer purchased two parcels of land. One was 1 square
mile in the other contained 10 acres. If the land cost $2500 an acre,
what was the cost of the land?
a. $1,265,000
b. $1,625,000
c. $1,526,000
d. $1,600,000
Answer: B. 640 plus 10 equals 650 acres times $2500 equals
$1,625,000 (1 square mile equals 640 acres)
◉ 5. An offer has been accepted on a property. After the title search,
who gives an opinion of title?
a. An Atty.
b. The seller
c. The buyer
d. The broker
Answer: A . An Atty. Gives an opinion of title and issues of title
certificate
◉ 6. The buyers just purchased their first house, which sits on five
acres. They intend to keep goats on the property. Which of the
following would allow or disallow them to keep goats?
a. Federal ordinances
b. state restrictions
,c. Zoning ordinances
d. Neighbor restrictions
Answer: C. The local zoning laws regulate the type of animals that
can be kept on a property
◉ 7. A buyer made an offer of $250,000 on a property with no
contingencies, and the offer was accepted. The buyer planned to
build a shopping center but never mentioned it to the agent. Just
before the closing, the buyer discovered that he could not build a
shopping center. What is the status of the sales contract?
a. valid
b. Void
c. Voidable
d. Unenforceable
Answer: A. A contract with no contingencies is a valid, enforceable
contract
◉ 8. A disabled person moved into an apartment. At his own
expense, he lowered the light switches, lowered the kitchen cabinets,
installed handrails, and widened the doorways. At the expiration of
the lease, which of the following would the tenant least likely have to
return to its original condition?
a. Light switches
b. Kitchen cabinets
, c. Handrails
d. Doorways
Answer: D. The tenant would least likely be responsible for
returning the doorways to their original width
◉ 9. Which of the following best defines physical depreciation?
a. Functional obsolescence caused by a poor design
b. External obsolescence caused by any outside factor
c. Deterioration caused by the age of the building
d. Deterioration caused by normal wear and tear of the property
Answer: D. Deterioration caused by normal wear and tear of the
property best describes depreciation
◉ 10. Which of the following must be disclosed when an agent is
showing the house?
a. mortgage balance
b. The asking price of other homes in the neighborhood
c. That the property is in a floodplain zone
d. Original cost of the property
Answer: C. Any material fact or property defect must be disclosed to
potential buyers of a property.
