Protection against incomplete or defective records of the title to land can best be obtained by securing:
title insurance
Which of the following statements is NOT true with regard to a real estate investment trust?
Income is taxed at the level of the trust, rather than as income to the beneficiaries.
The owner of a single-family house in which he lives wants to sell. If he does not use discriminatory language in advertising, has not sold any other house within the past two years, and does not employ an agent, may he discriminate on the basis of race i
No, because this would be prohibited by the Civil Rights Act of 1866
The term "Realtor" applies to any:
member of the National Association of REALTORS�
Which of the following would be considered to be a fixture because of the manner of its attachment to the property?
hot water heater
Seller's lead-based paint disclosure notice is required on residential property constructed prior to:
1978
All of the following are true of a quiet title suit EXCEPT that it:
removes all claims to title other than the owner's
Which of the following is not classified as a freehold estate?
a leasehold estate
When a broker discharges a salesperson, he should:
return the license to the Texas Real Estate Commission
When property is sold by means of an installment contract, the:
seller retains title
Which of the following are NOT classified as real property?
emblements
The Texas Real Estate Broker-Lawyer Committee consists of:
13 members
A purchaser's right to acquire legal title to real property under the terms of a valid agreement is known as: time is of essence
equitable title
TRELA states: An applicant must satisfy the examination requirements not later than one year after the date the licensee application is filed.
True
The Texas Real Estate Commission may suspend a license or take other disciplinary action authorized by Chapter 1101 if the license holder, while acting as a broker or salesperson:
acts negligently or incompetently
commingles money that belongs to another ; person with the license holder's money;
solicits, sells or offers for sale real property by means of a lottery
Area preference in the location of land is described as:
situs
Which of the following is NOT a physical characteristic of land?
fungibility
The Texas Real Estate Recovery Fund is funded:
solely by real estate license fees
When a waterline permanently recedes, exposing dry land, it is known as:
reliction
A contract that is in the process of being carried out is:
executory
In typical real estate brokerage practice, the amount of earnest money deposit paid by the purchaser is:
determined by negotiation
The day-to-day operation of a corporation is the responsibility of its:
management
The tests of a fixture include the method of annexation to the real estate, adaptation to a particular use of the premises, and
the intentions of the parties
Able, Baker, and Charles are going to purchase an investment property as co-owners and will take title as joint tenants. Which of the following statements is incorrect?
Each will receive a separate deed for his share.
Substitution of a new contract and a new party for a previous on is known as:
novation
How many square miles are there in a section?
1
The statute of frauds established the requirement that:
Written deeds be used to show transfers of ownership
The practice of directing homeseekers to a particular neighborhoods based on race, color, religion, sex, or national origin:
is known as steering
Deeds are usually acknowledged to:
make them admissible to the public records
Management of the limited partnership is performed by:
the general partners
A mortgagee's policy of title insurance protects:
lender
The Texas Real Estate Commission consists of _____________. The commission members serve for ________terms.
9 members- 6 year
Marketable title to real estate is title which is:
free of reasonable doubt as to ownership
Legal action to force the breaching party to carry out the remainder of a contract is called a suit for:
specific performance
Typically, physical possession of the property is given to the buyer:
the day of close of escrow (settlement)
An easement acquired by constant use is called:
prescription
A licensed real estate agent is offer a listing by an owner who stipulates that she will not sell to any person of a certain national origin. The agent should:
refuse the listing
Which of the following is NOT an example of government's exercise of its police powers?
restrictive covenants
Lee agreed to purchase real estate from Grant and gave her earnest money deposit at the time the agreement was made. Which of the following constituted the consideration in this contract?
the promise for a promise
(side note: earnest money is NOT REQUIRED for a contract to be valid, therefore earnest money is NEVER consideration)
The shortage of land in a given area where there is a great demand for land is:
scarcity
All of the following are prohibited by the Fair Housing Act of 1968, as amended, EXCEPT:
discrimination of the basis of age
Property owned by a person who dies intestate and without heirs will escheat to the:
state
Ownership in severalty occurs when:
property is owned by one person
The phrase "time is of the essence" in a sales contract means that:
the time limits set by the contract must be faithfully observed or the contract is voidable
A real estate salesperson may elect to remain inactive for:
indefinitely
Easements, rights-of-way, and condominium parking stalls are examples of:
appurtenances
Which of the following would not ordinarily be checked in searching a title to a parcel of land?
chattel mortgage records
When a person assumes, through adverse possession or assignment, the rights of a previous adverse possessor, it is known as
tacking on
Dexter engaged a general contractor to build an addition to his house. The general contractor failed to pay the electrical subcontractor for work that was subcontracted to him. May the subcontractor secure a mechanic's lien on Dexter's house?
Yes, because the work was done on Dexter's property
In Texas, if two or more persons are named as owners and there is no specific indication as to how they are taking title, they are presumed to be:
tenants in common
Once a person is aware of another's rights or interest in property, that person is said to have:
actual notice
In order to convey title to real property, a deed must be signed by the:
grantor
Discrimination in housing on the basis of race is prohibited by:
Civil Rights Act of 1866
Which one of the following does not need a license?
A person who offers to sell her own property
The Americans with Disabilities Act deals primarily with:
commercial property
A handwritten will signed by the testator but not witnessed is known as a(n):
holographic will
An attorney-in-fact derives his powers from:
a power of attorney
The responsibilities of the Texas Real Estate Commission include all the following EXCEPT:
regulating brokerage fee
A contract based upon a promise exchanged for a promise is a:
bilateral contract
Mrs. Baker holds a life estate in the home in which she lives. During her lifetime, she may not:
commit waste on the property