Texas Real Estate Exam Prep - Practice Exam Questions And Correct Detailed Answers (Verified Answers) Already Graded A+

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Texas Real Estate Exam Prep - Practice Exam Questions And Correct Detailed Answers (Verified Answers) Already Graded A+

• Sellers of property outside a municipality's jurisdiction are required to provide

which statutory notice to a purchaser of unimproved real property?

• Addendum for Property Located in a Certificated Service Area of a Utility Service

Provider

• Addendum for Property Subject to Mandatory Membership in Property Owners

Association

• Conditions Under Surface
• Notice of Additional Tax Liability

Correct Answer: Addendum for Property Located in a Certificated Service Area of a Utility Service Provider

• Which of these statements accurately represents one of the required elements in a

deed?

• The deed includes an act of conveyance.
• The grantee must be legally competent.
• The grantee must be of legal age.
• The grantee must sign the deed and provide consideration.

Correct Answer: The deed includes an act of conveyance.

• Which statement regarding fee simple defeasible estates is true?
• A fee simple absolute estate becomes fee simple defeasible when the owner dies

intestate.

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• A fee simple defeasible estate is granted upon the completion of a court-ordered

condition.

• The estate includes only some of the bundle of legal rights; inheritability isn't included.
• A fee simple defeasible estate includes the full bundle of legal rights, but ownership may

be terminated if the required condition is violated.Correct Answer: The estate includes the full bundle of legal rights, but ownership is based on a condition.

• Related to title insurance, what is "subrogation"?
• A covered party grants permission to the title company to pursue the party who caused a

claim or loss.

• The act of conveyance when the seller turns over all property rights to the buyer with a

clear, marketable title.

• The process by which the lender receives coverage under a title insurance policy the

borrower has purchased.

• The process by which the title policy pays out any claims to the buyer or lender.

Correct Answer: A covered party grants permission to the title company to pursue the party who caused a claim or loss.

• Simon is looking for a facility for a large grocery distribution operation. He found two

options, one of which is offering him a triple net lease, and the other an absolute net lease. Why is his attorney arguing against the latter?

• An absolute net lease has no legal defenses if Simon fails to pay.
• An absolute net lease will cost more in the long run.
• Simon will still be responsible for insurance in an absolute net lease.
• Simon will still be responsible for taxes with an absolute net lease.

Correct Answer: An absolute net lease has no legal defenses if Simon fails to pay.+1

• Simon recently passed away. He owned title to his property in severalty, as a fee

simple absolute estate. What will happen to his property?

• His heirs, as described in his will or the state law of descent, will get the property.

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• His property will transfer to a colleague.
• The property will have no owner and must be sold at auction.
• The property will revert to a remainderman.

Correct Answer: His heirs, as described in his will or the state law of descent, will get the property.

• Which of the following situations may result in inverse condemnation?
• Property taxes rise because of an increase in property value.
• Property values decrease because adjacent property was rezoned.
• Property values decrease because the property was rezoned.
• The government takes private property for public use and compensates the owner.

Correct Answer: Property values decrease because adjacent property was rezoned.

+1

• Kurt bought a vacant lot in a development that was 85% completed. When he

started working with the builder to lay out where the house and driveway would lie, it was determined that he would need an easement because his driveway would spill over onto the adjacent lot by a few feet. What type of easement is this?

• Easement appurtenant
• Easement by necessity
• Easement by prescription
• Easement in gross

Correct Answer: Easement appurtenant

• When a government entity exercises its powers to create zoning ordinances, what

must be followed?

• Federal zoning codes
• The area's comprehensive plan
• The state's zoning codes
• Universal design standards

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Correct Answer: The area's comprehensive plan

• Which legal description method uses compass headings and directions?
• Block & Grid
• Metes & Bounds
• Rectangular Survey System
• Lot & Block

Correct Answer: Metes & Bounds

• As a requirement of licensure, which of the following agencies perform a criminal

background check on all license applicants?

• The Department of Defense and the Department of Homeland Security
• The Department of Homeland Security and the FBI
• The Department of Public Safety and the Department of Defense
• The FBI and the Department of Public Safety

Correct Answer: The FBI and the Department of Public Safety

• A default judgment in an action commenced against non-resident broker Phil may

not be granted until ______.

• The 21st day after the date the pleading was mailed to the defendant
• The 28th day after the date the pleading is mailed to the defendant
• The 30th day after the date the pleading was mailed to the defendant
• The 31st day after the date the pleading was mailed to the defendant

Correct Answer: The 21st day after the date the pleading was mailed to the defendant

• Which Texas laws protect the homeowner from general creditors?
• Equal credit laws
• Homestead laws
• Lien laws
• Police power rights

Correct Answer: Homestead laws