Real Estate Exam with Answers
1. All of the following are included in the bundle of legal rights EXCEPT
A. right of control of the property.
B. right of enjoyment.
C. right of exclusion.
D. right of survivorship.
1. D - The right of survivorship is a right found in joint tenancy and tenancy by
the entirety, but it is not a part of the bundle of legal rights. The bundle of legal
rights include the right of possession, control, enjoyment, transfer, exclusion, and
disposition (lease, sell, leave to someone in a will, gift, etc.)
2. Emblements are
A. real property/fructus industriales.
B. real property/fructus naturales.
C. personal property/fructus industriales.
D. personal property/fructus naturales.
2. C – Emblements are annual crops that are classified as personal property of
the person who grew them. (Potatoes, tomatoes, tobacco, and corn) They are
also known as fructus industralies, or fruits of industry (work). Trees, grasses,
and perennials that do not require annual planting are classified as real
property. They are also classified as fructus naturales, or fruits of nature.
3. Nonhomogeneity describes a/an
A. physical characteristic of real estate and refers to uniqueness of the
property. B. physical characteristic of real estate and refers to the
indestructibility of the property.
C. economic characteristic of real estate and refers to the scarcity of land in a
given area.
D. economic characteristic of real estate and refers to the permanence of
the investment.
, 3. A – Heterogeneity, or nonhomogeneity, is describes a physical characteristic
of real estate. Every parcel of land is physically different from another parcel of
land.
4. A transaction broker is NOT known as a/an
A. nonagent.
B. facilitator.
C. intermediary.
D. fiduciary.
4. D – A transaction broker is not known as a fiduciary. A transaction broker is a
facilitator, intermediary, or nonagent, because neither party in the transaction is
a client. The parties are customers. A fiduciary is a person placed in a position
of trust and confidence.
5. A real estate licensee who has listed a property is a/an
A. general agent of the broker and a special agent to the seller.
B. general agent of the broker and a general agent to the seller.
C. universal agent of the broker and a special agent to the seller.
D. universal agent of the broker and a general agent to the seller.
5. A - A general agent is expected to be involved in an on-going business
relationship. A special agent in limited to a specific transaction. A universal
agent is acting on behalf of a person, as if he/she was the person. (Guardian) A
licensee who has listed a property is a general agent to the broker, because
they are expected to be in an on-going business relationship; and the licensee is
a special agent to the seller, because the agency relationship is limited to that
transaction.
6. The total commission paid a brokerage firm was $33,500. The firm was paid 7%
on the first $200,000, 6% on the next $200,000 and 5% on the remainder. What
was the sales price of the property?
1. All of the following are included in the bundle of legal rights EXCEPT
A. right of control of the property.
B. right of enjoyment.
C. right of exclusion.
D. right of survivorship.
1. D - The right of survivorship is a right found in joint tenancy and tenancy by
the entirety, but it is not a part of the bundle of legal rights. The bundle of legal
rights include the right of possession, control, enjoyment, transfer, exclusion, and
disposition (lease, sell, leave to someone in a will, gift, etc.)
2. Emblements are
A. real property/fructus industriales.
B. real property/fructus naturales.
C. personal property/fructus industriales.
D. personal property/fructus naturales.
2. C – Emblements are annual crops that are classified as personal property of
the person who grew them. (Potatoes, tomatoes, tobacco, and corn) They are
also known as fructus industralies, or fruits of industry (work). Trees, grasses,
and perennials that do not require annual planting are classified as real
property. They are also classified as fructus naturales, or fruits of nature.
3. Nonhomogeneity describes a/an
A. physical characteristic of real estate and refers to uniqueness of the
property. B. physical characteristic of real estate and refers to the
indestructibility of the property.
C. economic characteristic of real estate and refers to the scarcity of land in a
given area.
D. economic characteristic of real estate and refers to the permanence of
the investment.
, 3. A – Heterogeneity, or nonhomogeneity, is describes a physical characteristic
of real estate. Every parcel of land is physically different from another parcel of
land.
4. A transaction broker is NOT known as a/an
A. nonagent.
B. facilitator.
C. intermediary.
D. fiduciary.
4. D – A transaction broker is not known as a fiduciary. A transaction broker is a
facilitator, intermediary, or nonagent, because neither party in the transaction is
a client. The parties are customers. A fiduciary is a person placed in a position
of trust and confidence.
5. A real estate licensee who has listed a property is a/an
A. general agent of the broker and a special agent to the seller.
B. general agent of the broker and a general agent to the seller.
C. universal agent of the broker and a special agent to the seller.
D. universal agent of the broker and a general agent to the seller.
5. A - A general agent is expected to be involved in an on-going business
relationship. A special agent in limited to a specific transaction. A universal
agent is acting on behalf of a person, as if he/she was the person. (Guardian) A
licensee who has listed a property is a general agent to the broker, because
they are expected to be in an on-going business relationship; and the licensee is
a special agent to the seller, because the agency relationship is limited to that
transaction.
6. The total commission paid a brokerage firm was $33,500. The firm was paid 7%
on the first $200,000, 6% on the next $200,000 and 5% on the remainder. What
was the sales price of the property?
