Page 1 of 215
CE SHOP EXAM QUESTIONS FOR NORTH
CAROLINA STATE EXAM 2026 NEWEST
UPDATED QUESTIONS AND ANSWERS
ALREADY GRADED A+
1. A homeowner is reviewing their deed and discovers they
are prohibited from building a fence that exceeds four feet
in height. This type of restriction is most commonly enforced
by which entity?
A) The local county government
B) A homeowner's association (HOA)
C) The state zoning board
D) The Environmental Protection Agency
Answer: B) A homeowner's association (HOA)
Rationale: Restrictions on aesthetic elements like fence height,
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paint colors, or landscaping are typically contained in
the Covenants, Conditions, and Restrictions
(CC&Rs) recorded by a developer and enforced by the
HOA . Zoning laws (A) regulate broader land use (e.g.,
residential vs. commercial), not specific paint colors.
2. A developer wants to build a subdivision but must leave
the existing wetlands untouched. This is an example of
which governmental power?
A) Eminent Domain
B) Taxation
C) Police Power
D) Escheat
Answer: C) Police Power
Rationale: Police power is the government's right to enact laws
to protect the public health, safety, and welfare. Environmental
regulations (wetlands, flood zones) fall under police power, as
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do zoning and building codes. Eminent domain (A) is the right
to take property for public use.
3. Scenario Question: Kurt bought a lot in a development that
was 85% complete. When laying out the driveway, he
realized it would spill over onto the adjacent lot by a few
feet. The neighbor agrees to let Kurt use the land. What type
of easement is created?
A) Easement in gross
B) Easement by necessity
C) Easement appurtenant
D) Easement by prescription
Answer: C) Easement appurtenant
Rationale: An easement appurtenant benefits the dominant
estate (Kurt's lot) and burdens the servient estate (neighbor's
lot). It "runs with the land," meaning if Kurt sells his house, the
easement transfers to the new owner . Easement by necessity
(B) requires a landlocked parcel, which isn't indicated here.
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4. The legal concept of "air rights" allows a property owner
to sell the space above their land. How is the vertical limit
of an air lot typically determined?
A) The height is unlimited, similar to mineral rights.
B) The height is determined by the governing authority (e.g.,
city zoning).
C) The height is always 500 feet above the highest structure.
D) The height is equal to the height of the current building.
Answer: B) The height is determined by the governing
authority (e.g., city zoning).
Rationale: Property owners own "usable" airspace, but this is
subject to local zoning laws, flight paths (aviation easements),
and building codes. You cannot build a 1,000-foot tower in a
zone limited to 35 feet .
5. Which of the following is a non-possessory interest in
land?
A) A leasehold estate
CE SHOP EXAM QUESTIONS FOR NORTH
CAROLINA STATE EXAM 2026 NEWEST
UPDATED QUESTIONS AND ANSWERS
ALREADY GRADED A+
1. A homeowner is reviewing their deed and discovers they
are prohibited from building a fence that exceeds four feet
in height. This type of restriction is most commonly enforced
by which entity?
A) The local county government
B) A homeowner's association (HOA)
C) The state zoning board
D) The Environmental Protection Agency
Answer: B) A homeowner's association (HOA)
Rationale: Restrictions on aesthetic elements like fence height,
,Page 2 of 215
paint colors, or landscaping are typically contained in
the Covenants, Conditions, and Restrictions
(CC&Rs) recorded by a developer and enforced by the
HOA . Zoning laws (A) regulate broader land use (e.g.,
residential vs. commercial), not specific paint colors.
2. A developer wants to build a subdivision but must leave
the existing wetlands untouched. This is an example of
which governmental power?
A) Eminent Domain
B) Taxation
C) Police Power
D) Escheat
Answer: C) Police Power
Rationale: Police power is the government's right to enact laws
to protect the public health, safety, and welfare. Environmental
regulations (wetlands, flood zones) fall under police power, as
,Page 3 of 215
do zoning and building codes. Eminent domain (A) is the right
to take property for public use.
3. Scenario Question: Kurt bought a lot in a development that
was 85% complete. When laying out the driveway, he
realized it would spill over onto the adjacent lot by a few
feet. The neighbor agrees to let Kurt use the land. What type
of easement is created?
A) Easement in gross
B) Easement by necessity
C) Easement appurtenant
D) Easement by prescription
Answer: C) Easement appurtenant
Rationale: An easement appurtenant benefits the dominant
estate (Kurt's lot) and burdens the servient estate (neighbor's
lot). It "runs with the land," meaning if Kurt sells his house, the
easement transfers to the new owner . Easement by necessity
(B) requires a landlocked parcel, which isn't indicated here.
, Page 4 of 215
4. The legal concept of "air rights" allows a property owner
to sell the space above their land. How is the vertical limit
of an air lot typically determined?
A) The height is unlimited, similar to mineral rights.
B) The height is determined by the governing authority (e.g.,
city zoning).
C) The height is always 500 feet above the highest structure.
D) The height is equal to the height of the current building.
Answer: B) The height is determined by the governing
authority (e.g., city zoning).
Rationale: Property owners own "usable" airspace, but this is
subject to local zoning laws, flight paths (aviation easements),
and building codes. You cannot build a 1,000-foot tower in a
zone limited to 35 feet .
5. Which of the following is a non-possessory interest in
land?
A) A leasehold estate
