There are three main forms of depreciation: Economic Obsolescence, Functional Obsolescence, and Physical Deterioration. Question 1: The state fiscal year falls between the dates June 30 to July 1. Ch 1. 95% of users pass state exam on the first try. Here is how this government program works: After the veteran has found a home he or she wants to purchase, Cal-Vet will buy the property outright from the former owner and then sell it to the veteran using a financing instrument called an installment sales contract. See how many answers you can get right in this sampling of California real estate exam questions. The owner learned that the local citizens had been walking along this beach for half a century. a Publications Request RE 350 Per the principle of conformity, property values tend to stabilize when homes in a neighborhood are similar to each other. The Latin phrase ad valorem comes up often when talking about property taxes. Aceable has partnered with PrepAgent to help you get the best education possible to jumpstart your new career in real estate! The broker should: All parties, both buyer and seller, must be informed of any material defect; even if it is discovered after the contract has been formed per California Licensing Law. Which of the following forms of ownership would Tina and Tom most likely have? What is required to get a license in California? It's a good rule of thumb to use a CO Detector on every floor, especially with floors with an open flame. A mortgage loan that requires monthly payments of $400.00 for 15 years and a final payment of $20,000. If a buyer refuses to go ahead with a purchase of property which he has signed a contract, what usually happens to the earnest money? The principal is always the one whom you have an agency relationship with and therefore is the person whom you owe fiduciary responsibility. If supply rises more than demand, we get a decrease in price. The Holden Act is state specific. A lease is a contract between the landlord and the tenant, and any lease with a term that is longer than one year must be in writing (e.g., one year and one day). Is the agent entitled to compensation? However, only personal property used in direct relation to business operations is viewed as a tax-deductible business expense. View 1 Question at . Scarcity: Limited in supply, as supply diminishes, value increases. What is an item on a property that is installed by the tenant, and is related to the tenant's business classified as? Which of the following is NOT a main element of a valid real estate contract? AceableAgent real estate courses are available in only 14 states, but you can take the courses on any device at any time. Here, the city exercised its Police Power to enhance public health and safety--by separating the new residential area from industrial activity. The agent told them the seller wanted $260,000 instead. The Market Data Approach is also commonly called the sales comparison approach. There are two parties: The borrower is called the "mortgagor" and the lender is called the "mortgagee." 2023 Edition California Real Estate Practice Exam Take this free practice test to get an idea of what is on the California Real Estate Salesperson exam administered by the California Department of Real Estate (CalDRE). The government's police power over real estate includes things like: zoning, building codes, city planning, public health, public safety, and general welfare. Many errors I found wow. Take this free practice test to get an idea of what is on the California Real Estate Salesperson exam administered by the California Department of Real Estate (CalDRE). The interesting thing is though you can put language referring to sex. Both the buyer and seller can sue for specific performance, but it's more common for a buyer to sue and win a suit on specific performance. At Aceable we dont cut ties as soon as you complete our California real estate license course. To pass the exam in California, youll need to get a score of at least 70%. Within deeds, covenants are: Covenants are agreements or promises within deeds. You have nothing to lose except stress on exam day! Generally speaking, what happens when the supply of available houses in an area increases significantly? A balloon loan is a mortgage which does not fully amortize over the term. Furthermore, It would be best if you read through your laws at least once, and that's the greatest advice we can give you. A lien is a legal claim on an asset. The buyer only receives legal title and a deed to the property when the installment sales contract has been paid in full. The term refers to the process where a bank or lender packages mortgage loans to consumers for the purpose of quickly selling those loans on the secondary market. Which of the following best describes the term "encroachment?". The principle of anticipation in appraisal is the principle that the value of property today is the present value of the sum of anticipated future benefits. The primary public land-use control is zoning and issued by the government. So in real estate terms, when the supply of available houses in an area decreases significantly the average cost of housing goes up. The fact there is a limited amount of land on earth represents what essential element of value? The listing agreement between the agent and the property owner was probably. The owner would be unsuccessful because the owner's property extends only to the high-water mark. A broker's listing on a house expired. Which of the following might suggest that rent is too low in an apartment unit? Since the question says may be valid it is voidable. License Renewal Requirements: A California real estate licensee must take 45 credit hours of continuing education (either online or in the classroom) from a CalDRE-approved provider every two years. Helpful. hospes eram et collexistis me nudus et operuistis me . An ad valorem tax is charged by state and municipal governments and is based on the assessed value of a product or property. Oftentimes, back in the day, real property owned by a husband was typically not inherited by the wife nor was the wife's property inherited by her husband. Room 3004, 3rd Floor. The key difference between a leasehold estate and a freehold estate is the limitation of time. The answer is all the condominium owners in the form of percentage undivided interests because all condominium owners legally own a portion of all the facilities there. For 150 questions to simulate the actual exam, use our. Regulation of the real Eminent domain for the federal government is protected under the Fifth Amendment of the Constitution, while for state governments, it is protected under the Fourteenth Amendment. California Property Ownership and Land Use Controls, Section 2. A tenant rented an apartment, signing a 12-month lease. Remember DUST and your essential elements of value. If any of the links posted below do not work, please reach out and we will update the links promptly. Sole proprietorship's are the most common form of business structure. Remember, consideration is anything of legal value, it could be a promise or promise to perform an action. What is a one-of-a-kind contract that is solely between the seller and the buyer. Since the late 1800s the law has been largely abolished, however some states still hold the law true. Trusts can be created during an individual's lifetime, or they can be established following someone's death. 2021 California Real Estate Exam Prep Questions & Answers: Study Guide to Passing the Salesperson Real Estate License Exam Effortlessly . about existing lead paint to purchaser AND provide purchaser federal gov't prepared lead hazard brochure. I was passing their practice exams 90% plus. There are three different main approaches that appraisers use while they make an appraisal. This is absolutely the best way to prepare for the Real Estate Exam. Read More Here. Missed a webinar? All states require real estate agents to be licensed by the state to engage in the sale of real estate. That means the restriction binds both current and future owners. Partition is a term used in real estate to describe an act, by a court order, to divide up a concurrent estate into separate portions representing interests of the owners of a property. Used in connection with CERCLA and the creation of The Superfund; Retroactive liability means: The term retroactive liability is used in connection with CERCLA and the Superfund. The seller obtains a buyer for the house, but the agent receives a commission. Eventually, he passes away in his sleep. Read More Here. Instead, the property would either go to the children or some other member of the husband or wife's line. If a minor signs a contract to buy real estate, the resulting contract is legally what? The point of a survey is to accurately measure land in a legal fair manner. When contracting parties have signed a contract and both parties have done all they promised to do, it is called this: When contracting parties have signed a contract and both parties have done all they promised to do, it is called an executed contract or executed agreement. Tenancy at Will is a property tenure that can be terminated at any time by either the tenant or the owner or landlord. Compensation is negotiated between the broker and the seller and may be transferred and distributed in many ways. A real estate agent advertised a home for $250,000. The test tho is a different beast. Unrestricted use means owners have the right to access it for swimming, boating, and fishing, build docs, etc. Making the rate of payments much lower. Now that slots are opening I want to take it but I dont remember anything in the courses I took. The three courses must be taken from a CalBRE-approved real estate school (search schools here). . Real Estate Crash Courses A bit of a trick question. What kind of leasehold does the tenant have? A week later, a third licensee called the first broker and asked for the key to show the home. These laws prohibit discrimination based on race, religion, color, sex, disability, children, nationality and more. Our courses are designed to ensure that you experience no surprises on exam day, and our experienced instructors focus on hot topic subject areas that are likely to be tested. What is the commission? Johnny is purchasing a house and does not want to purchase all of the furniture that is being left behind. The state examiners frequently write questions trying to trick examinees into incorrectly lumping one of these other three powers into Police Power. (a) A person taking an examination for a license issued by the Department shall abide by all of the following rules from the time of entry into the examination room until the examinee has completed the examination and left the examination room: The state wants to widen the bridge due to the higher amounts of traffic reported. However, deaths related to the condition of the property or violent crime on the property must be disclosed. One of the listing broker's duties is to counsel the seller as to a prospective buyer's ability to complete a sale. odorless, colorless, tasteless. that broadly covers the financial, economic, and political aspects of real estate practice in California. Test-Taking Tip: For the state exam, make sure you remember that, under an installment sales contract, the seller is the vendor and the buyer is the vendee. Can also contaminate groundwater. In this government loan program, Cal-Vet is the seller/vendor, and the veteran is the buyer/vendee. California Real Estate Practice, Section 7. This is well planned and offers an option for all learning styles. California Real Estate License and Exam Info - PrepAgent.com California Salesperson Pre-licensing How to Get Your CA Real Estate License Looking for online pre-licensing courses for California ? Aaron can't get to his property from a public road without crossing over his neighbor Ron's property. B and C are incorrect. Only $39 for 6 months unlimited access. Steering is a FORM of redlining, and they are not exactly the same things. If a court decides a remedy for a seller compelling them to sell the property, it is known as what? real estate exam prep Reproduction cost estimates how much it would cost to exactly reproduce an asset or property to exact specifications. What is this action called? A legal way to dissolve the relationship when the parties don't voluntarily agree to its termination is called. Which of the following statements is TRUE about trusts and trustors? It involves the appraiser estimating the cost to build the improvements new, deducting for accrued depreciation, and, finally, adding the value of the land. Rises out of ground and enters homes through openings in basement where usually found. Religion is protected under Federal Fair Housing Law. According to the Do Not Call list and Established Business Relationship (EBR) Rules, a real estate professional may contact a past client for relationship building purposes when? If a tree grows over someone's property, or when a fence or another piece of your neighbor's property crosses the property lines. These laws prohibit discrimination based on race, religion, color, sex, disability, children, nationality and more. DRE administers tests at five exam centers around the state: Sacramento Oakland Fresno La Palma (Orange County) San Diego The most common example of real estate police power is zoning. What is the document that defines the relationship between the broker and the seller? California Real Estate Financing, Section 5. After scheduling an exam day at one of the five state exam centers its time to get serious about studying. Tenancy in common would be the best answer. 5 Stars! Looking for a pre-licensing course in your state? A seller tells the listing agent that her home was treated for termites five years ago, and that there are no termites now. Instead the exam samples or asks questions across the topics at random. Please enable JavaScript before continuing or you will experience website problems. A Servient Estate is a parcel of land that is subject to an easement. No fee is earned if the owner alone sells the property. When you see any name transfers just think novation. These tenancies are sometimes called month-to-month, as there is no formal contract specifying the length of time during which the tenancy will take place. This is an example of the principle of. - or Don't Pay. Fiduciary is a term that refers to a legal relationship that is confidential between two parties. 8. While these are not the exact real estate questions that will. The California real estate license exam covers a wide range of topics that each have a number of subtopics. For real estate agent and broker exam preparation products, such as study guides, flashcards and courses, go to Tests.coms Real Estate Agent Exam and Real Estate Broker Exam listings. So in this instance, the married couple intends to purchase property, but only if they can qualify for a mortgage loan at a reasonable rate. Which of the following is a physical characteristic of real estate? If one of your clients is planning to buy landlocked property, don't assume anything. The testing provider will notify you of your exam results. Here is our list of recommended Real Estate Statutes and Regulations you need to know: California Law Home Page: https://dre.ca.gov/Publications/RealEstateLaw.html. Thanks guys!!! The only limitation owners have is they cannot stop or prevent the flow of water. Get a feel for the types of questions you'll be asked on the national real estate exam. That's okay, even just a few hours with our prep guide will mean you are able to pass your CA exam confidently - first try. Reproduction cost is more specific. Joe, Adrian, Arthur and now Stu and CynthiaYOU GUYS ROCK!!! Estate-at-will is another name for a tenancy-at-will. Some websites and prep providers do not, and that's the secret. This is a bit of a trick question. The actual exam has 150 questions and 3 hours 15 minutes is given to complete it. Prepare for the California Real Estate exam with Pocket Prep and feel prepped for these two, two-and-a-half hour segments with content covering; Contracts, Financing, Laws of Agency and Fiduciary Duties, Practice of Real Estate and Disclosures, Property Ownership and Land Use Controls and Regulations . This type of non-governmental control is typically found in deed restrictions or Covenants, Conditions, and Restrictions (CC&Rs). If it's for less than one year, it can be oral with some exceptions. Percentage lease which pertains to commercial real estate. Cathlotics preferred would be discrimination since its catholicism is relgion. What party usually pays the loan origination fee on a Federal Housing Administration (FHA) loan? Is there a repository of all the terms/definitions for the exam? No replacement cost, is the cost of replacing an asset or property. The idea is that when a community is organized, it is more attractive, safer and has fewer conflicts among people. Typically a loan structured like is called a. Most states, including California have abolished which of the following? It generally has to do with performance. The income approach is a real estate valuation method that uses the income the property generates to estimate fair value. The agent should tell the seller to disclose the termite treatment on the property disclosure. Leave nothing to chance when it comes to your new career. Generally speaking, homeowners should have a solid credit score to refinance, although there are a few exceptions in government run loan assistance programs. All of the required documents and the fee must be submitted to the CalDRE offices within two years of the date of the candidate applied to take the state licensing exam. A property owner enters into a listing agreement with an agent. California Real Estate Exam Prep I'm studying to get my real estate license, took the course before covid and havent had a chance to take the exam. A real estate option contract is a one-of-a-kind contract that is solely between the seller and the buyer. For salespersons: Because of his Alzheimers, he doesnt remember much. A lease agreement where the tenant has the right to buy the property within a specified period of time is called what? The next day it was listed with another broker and offered in the MLS. The Replacement Cost Approach is used to estimate how much it would currently cost to build the improvements with the same utility, using today's materials and labor skills. Copyright 2023 PrepAgent LLC California DRE Sponsor ID S0661 All rights reserved. You must get 70% or higher to pass. The Department of Real Estate (DRE) publishes the Reference Book - A Real Estate Guide Use our guide for a couple hours a week . Candidates should schedule the state exam through the elicensing page of the CalDRE website. Or looking for married couples without children only. Specific performance is the legal concept that anyone who signs a contract is bound to the terms of the contract. A debit is what a party must pay to complete the purchase transaction successfully. To get a passing score on the California real estate license exam, you will need to understand a range of topics from contracts to property valuation. You need to know your state's laws. A trust works as it follows: the first party, the trustor or settlor, transfers a property upon the second party for the benefit of the third party, the beneficiary. We and our partners use data for Personalised ads and content, ad and content measurement, audience insights and product development. Encroachment is an intrusion on a person's territory or property. Extreme exposure cuts off oxygen and cause death within 30 mins or less. Specific performance is a legal remedy that binds the parties of a contract to the terms of the contract. With exclusive agency listings agents only get paid if they sell the property. Per 16 CFR 310.2. Remember. The Reference Book is available on-line or it can be purchased at any DRE office If granted, it permits the owner to use his land in a way that is ordinarily not permitted by the zoning ordinance. Lead paint, and flooding, however, both must be disclosed (nationally). Unlike with a joint tenancy, tenants in common have no rights of survivorship. Bonus tip. Which situation is legal under the Federal Fair Housing Act of 1968? What is the biggest difference between private and public land use controls? The Residential Lead-Based Paint Hazard Reduction Act was established in 1996. A tenant rented an apartment, signing a 16-month lease. Generally speaking, what happens when the supply of available houses in an area decreases significantly? Dual agency is when one real estate agent represents both the buyer and seller in a transaction. It exists without a contract or lease and usually does not specify the length of a tenant's duration or the exchange of payment. Pass the Test Guarantee: If you dont pass the California real estate salesperson exam in three attempts well refund what you paid for the course. Fannie Mae, is a private corporation that buys loans from private lenders, assembles them into mortgage-backed securities to maintain an active secondary market. Usury is a form of predatory lending. Rest easy knowing that all of our courses are state-approved and the information is up-to-date. Hi, Welcome to the FREE California Real Estate Exam Prep. Submittal of documents and fee can be either in person or through the U.S. mail. Real Estate Exam Info by State - PrepAgent.com Real Estate Exam Info The process of obtaining your real estate license varies from state to state and usually involves minimum age requirements, certain education and/or experience requirements, applications and fees, and other state-specific details. No problem! Liquidated damages are presented in certain legal contracts as an estimate of otherwise intangible or hard-to-define losses to one of the parties. It almost always begins with the words "to have and to hold.". California Property Valuation and Financial Analysis, Section 4. . Our courses are designed to guide you through your careerfrom your first real estate . According to the law of supply and demand, which property would have sold for the lowest price? Remember, voidable contracts have the necessary elements to be enforceable, so they appear to be valid, but can be rejected by one party if the contract is discovered to have any number of defects. It is illegal and real estate agents must be aware of the action. ***, Requirements to Apply for a Real Estate Salesperson License, Combined Examination and License Application Process, Education Course Availability (Statutory/Pre-License Courses), Expedited licensure process for honorably discharged veterans and military spouses, Requirements to Apply for a Real Estate Broker License, Experience Requirements for the Broker Examination, Important Information Concerning Broker Examination Requirement, Obtaining a California Real Estate Salesperson License, Obtaining a California Real Estate Broker License. The completed application must be accompanied by proof of completion of three courses: Real Estate Principles, Real Estate Practice, and one other course from a designated list. Which of the following laws prohibits discrimination in the buying, selling, renting or financing of housing. Pass the Real Estate Exam with PrepAgent on Apple Podcasts 91 episodes Passing the real estate exam does not have to be so painful. In retrospect, antitrust laws protect the consumer and are healthy for a stable economy. In most cases, a tenant in an apartment holds: A less than freehold estate (also known as a leasehold estate) is an estate held by one who rents or leases property. Through all of our online resources along with PrepAgent's masterclasses in helping you prepare for your pre-license real estate exam, you are sure to Ace! They are the Market Data Approach, Cost Approach, and Income Approach. To which approach to value should the appraiser give the greatest weight when making this appraisal? Test-Taking Tip: Before the state exam, make sure to review the Statute of Frauds so that you know which contracts must be in writing to be enforceable. Practice for the Exam. Real property is usually things that are immovable such as the home itself or the buildings within the property line. What is the agency responsible for the enforcement of the Fair Housing Act? If the system is used correctly and with proper ventilation, gas is controlled. What best describes an agent hired to perform a specific duty? Unilateral contracts appear more often than you may think; one of the most common instances is a reward contract. California Exam Prep Edge: CA Salesperson Join the 167,000+ students who chose PrepAgent for their real estate exam prep. Antitrust Laws are a collection of federal and state government laws that regulate the conduct and organization of business corporations, normally to promote fair competition for the benefit of consumers. Passing the state exam is the final step in your path to becoming a real estate agent. Those six are a series of legally binding promises and warranties to the grantee agreeing to protect the grantee against any prior claims and demands of all persons whomsoever in regards to the conveyed land. Estimated cost of total fees and license: $305, California Department of Real Estate (DRE) Purpose and Guidelines, California Real Estate Prohibited Practices. The Cost Approach is also referred to as summation.
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