1
CMCA ACTUAL EXAM QUESTIONS AND
ANSWERS (VERIFIED AND WELL
DETAILED ANSWERS) LATEST UPDATE
2025/2026
Resolution - (ANSWER)Is a motion that follows a set format and is formally
adopted by the board of directors.
Community Association - (ANSWER)Is a legal entity in which the owners enjoy the
protection, enhancement, maintenance and preservation of their homes and
property.
Characteristics of a Community Association - (ANSWER)Mandatory membership,
mutually binding documents and lien-based assessments.
Lien - (ANSWER)Is a legal claim by one party (community association) on the
property of another (delinquent owner) to obtain the payment of a debt or the
satisfaction of an obligation.
Types of Community Associations - (ANSWER)Planned Community, Condominium
and Cooperative.
Proprietary Lease or Occupancy Agreement - (ANSWER)Defines the member or
stockholder's rights and obligations in relation to the living unit.
, 2
Master or Umbrella Associations - (ANSWER)A master or umbrella association
consists of more than one residential community association.
Mixed-use Developments - (ANSWER)A mixed-use development usually consists
of a mixture of residential and commercial and/or industrial uses.
"55 and Older" Communities - (ANSWER)Must have one person who is 55 years
of age or older living in at least 80% of its occupied units.
Legal Obligations for a Community Association - (ANSWER)Federal, state, and
local statues, regulations, and case law; Governing Documents; Lender
Requirements (FHA, Fannie Mae, Freddie Mac); Standards set by professional
bodies (AICPA).
General State Statutes - (ANSWER)Applies to all types of associations, including
community associations (for example, regular corporate or not-for-profit
corporate statutes).
Specific State Statutes - (ANSWER)Applies to only one of the types of community
associations, takes precedence over any general statute and takes precedence
over the association's governing documents (for example, condominium act,
planned community act).
, 3
Uniform State Statutes - (ANSWER)National Conference of Commissioners on
Uniform State Laws draft generic, content-specific wording for topical issues to
encourage uniformity among the states.
Purpose of Governing Documents - (ANSWER)To provide for the legal structure
and operation of a community association.
Governing Documents - (ANSWER)Define the rights and obligations of both the
community association and its owners; create a binding relationship between
each owner and the community association; establish the mechanisms for
governing and funding the community association's operations; set forth rules
and standards.
General Hierarchy of Authority of Governing Documents - (ANSWER)Recorded
map, plat, or plan; Declaration, CC&Rs, master deed; Proprietary lease or
occupancy agreement; Articles of Incorporation; Bylaws; Board Resolutions
(cannot conflict with documents above it in the hierarchy).
The Articles of Incorporation - (ANSWER)Bring the corporation into existence;
define its basic purposes and powers; indicate whether stock will be issued;
indicate the number of board members and identify the initial board.
Benefits of incorporating - (ANSWER)Limit liability of individual owners; right
granted all corporations; easier to deal with utility companies, vendors, etc;
grants the board of directors the same rights as all board members of
incorporated entities under state statutes.
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Bylaws - (ANSWER)Formal procedures for the administration and management of
a community association (for example, meeting procedures - including voting
rights, board powers and duties, indemnification of officers and directors).
Public Offering Statement - (ANSWER)Provides association information to first
prospective buyers in a new community; required by state statute; not considered
a governing document.
Rule, also called a rule or regulation - (ANSWER)Is a specific statement of
required behavior or action, a violation of which carries a penalty (sometimes
called a sanction).
Architectural Guideline - (ANSWER)Is a rule that applies to the appearance of an
owner's lot of the exterior of his or her unit or improvements.
Resolution Format - (ANSWER)Purpose, Authority, Scope and Intent, and
Specifications.
Due Process Procedure - (ANSWER)A formal process to protect the rights of all
parties.
Alternative Dispute Resolution - (ANSWER)It involves submitting a dispute to a
trained, uninvolved third party for assistance with solving a problem.
CMCA ACTUAL EXAM QUESTIONS AND
ANSWERS (VERIFIED AND WELL
DETAILED ANSWERS) LATEST UPDATE
2025/2026
Resolution - (ANSWER)Is a motion that follows a set format and is formally
adopted by the board of directors.
Community Association - (ANSWER)Is a legal entity in which the owners enjoy the
protection, enhancement, maintenance and preservation of their homes and
property.
Characteristics of a Community Association - (ANSWER)Mandatory membership,
mutually binding documents and lien-based assessments.
Lien - (ANSWER)Is a legal claim by one party (community association) on the
property of another (delinquent owner) to obtain the payment of a debt or the
satisfaction of an obligation.
Types of Community Associations - (ANSWER)Planned Community, Condominium
and Cooperative.
Proprietary Lease or Occupancy Agreement - (ANSWER)Defines the member or
stockholder's rights and obligations in relation to the living unit.
, 2
Master or Umbrella Associations - (ANSWER)A master or umbrella association
consists of more than one residential community association.
Mixed-use Developments - (ANSWER)A mixed-use development usually consists
of a mixture of residential and commercial and/or industrial uses.
"55 and Older" Communities - (ANSWER)Must have one person who is 55 years
of age or older living in at least 80% of its occupied units.
Legal Obligations for a Community Association - (ANSWER)Federal, state, and
local statues, regulations, and case law; Governing Documents; Lender
Requirements (FHA, Fannie Mae, Freddie Mac); Standards set by professional
bodies (AICPA).
General State Statutes - (ANSWER)Applies to all types of associations, including
community associations (for example, regular corporate or not-for-profit
corporate statutes).
Specific State Statutes - (ANSWER)Applies to only one of the types of community
associations, takes precedence over any general statute and takes precedence
over the association's governing documents (for example, condominium act,
planned community act).
, 3
Uniform State Statutes - (ANSWER)National Conference of Commissioners on
Uniform State Laws draft generic, content-specific wording for topical issues to
encourage uniformity among the states.
Purpose of Governing Documents - (ANSWER)To provide for the legal structure
and operation of a community association.
Governing Documents - (ANSWER)Define the rights and obligations of both the
community association and its owners; create a binding relationship between
each owner and the community association; establish the mechanisms for
governing and funding the community association's operations; set forth rules
and standards.
General Hierarchy of Authority of Governing Documents - (ANSWER)Recorded
map, plat, or plan; Declaration, CC&Rs, master deed; Proprietary lease or
occupancy agreement; Articles of Incorporation; Bylaws; Board Resolutions
(cannot conflict with documents above it in the hierarchy).
The Articles of Incorporation - (ANSWER)Bring the corporation into existence;
define its basic purposes and powers; indicate whether stock will be issued;
indicate the number of board members and identify the initial board.
Benefits of incorporating - (ANSWER)Limit liability of individual owners; right
granted all corporations; easier to deal with utility companies, vendors, etc;
grants the board of directors the same rights as all board members of
incorporated entities under state statutes.
, 4
Bylaws - (ANSWER)Formal procedures for the administration and management of
a community association (for example, meeting procedures - including voting
rights, board powers and duties, indemnification of officers and directors).
Public Offering Statement - (ANSWER)Provides association information to first
prospective buyers in a new community; required by state statute; not considered
a governing document.
Rule, also called a rule or regulation - (ANSWER)Is a specific statement of
required behavior or action, a violation of which carries a penalty (sometimes
called a sanction).
Architectural Guideline - (ANSWER)Is a rule that applies to the appearance of an
owner's lot of the exterior of his or her unit or improvements.
Resolution Format - (ANSWER)Purpose, Authority, Scope and Intent, and
Specifications.
Due Process Procedure - (ANSWER)A formal process to protect the rights of all
parties.
Alternative Dispute Resolution - (ANSWER)It involves submitting a dispute to a
trained, uninvolved third party for assistance with solving a problem.
