Transfer of Property

Navigation » List of Schools » The CE Shop » Sales License » CA SALESPERSON EXAM PREP EDGE » Summer 2021 » Transfer of Property

Need help with your exam preparation?

Existing Quiz Clients Login here

Below are the questions for the exam with the choices of answers:

Try The Exam

Question #1

Jerome has four grown children. When he dies, he leaves his home to all four children, making them tenants in common with equal shares. One child wants to live in the house, another wants to use it as investment property, and two others want to sell it and take the cash. When they can’t agree on a solution, they end up in court and the property is ______.

A Partitioned

B Transferred via intestate succession

C Deeded by appointment

D Foreclosed

Question #2

Which of the following best describes the non-judicial foreclosure process?

A It’s an outdated process that’s no longer used.

B It’s the same as the judicial process, just called by a different name in different states.

C It may be used if the deed of trust includes a power-of-sale clause.

D Regardless of how it sounds, the lender still has to go to court.

Question #3

Which term is defined as the build-up of land near water from the accumulation of sand, silt, or gravel deposits?

A Avulsion

B Accession

C Accumulon

D Accretion

Question #4

In a California real estate transaction, which of these individuals would require a license to act as the escrow agent?

A Zack, a real estate broker representing the seller

B Barbara, an associate broker who works for Zack

C Lulu, a real estate salesperson representing the buyer

D Nadia, an attorney engaged by buyer Lulu

Question #5

Mark is offering to purchase Sarah’s house. They agree, and open an escrow account together. Mark and Sarah would be considered what to the escrow?

A Principals

B Escrow agent/holder

C Interpleaders

D Bilaterals

Question #6

What’s the purpose of the title search?

A To ensure the title is on the record

B To collect evidence that the title is a marketable title, meaning it’s clear and free of encumbrances

C To insure the owner against any financial loss due to a defect in the title

D To ensure the current owner has the title to give to the buyer

Question #7

Shana received a devise from her mother. What might this be?

A Her mother’s farm

B Her mother’s car

C A written message

D Her mother’s jewelry

Question #8

Eva, Stella, and Lynn own a vacation home two blocks from the beach. Sadly, Stella passed away this winter, and so when summer arrives Eva and Lynn will be sharing the home with Stella’s nephew Drew, to whom Stella willed her share of the property. What type of ownership is this?

A Joint tenancy

B Tenancy by the entirety

C Estate in severalty

D Tenancy in common

Question #9

If a property owner dies intestate and no heirs or creditors can be found, what becomes of the property?

A The property is combined with an adjoining property.

B A lottery is held for ownership.

C The property reverts to a former owner as recorded on the deed.

D The state claims the property through escheat.

Question #10

Select the statement that correctly exemplifies the covenant term.

A The covenant of quiet enjoyment promises that the grantee won’t be disturbed by a title defect the grantor passes on.

B The covenant for further assurances assures the grantee that there are no undisclosed encumbrances on the property.

C The covenant against encumbrances is the grantor’s guarantee that he or she owns the property being conveyed.

D The covenant of warranty promises that the grantor has the capacity to convey title.

Question #11

Which of these statements is NOT true about an extended title insurance policy?

A It covers some items that aren’t part of the public record, such as unrecorded liens.

B It’s typically used when the property is paid for in cash.

C It’s typically purchased for the lender.

D The buyer will most likely pay for this policy.

Question #12

Which document is used to establish proof of ownership?

A Abstract of title

B Chain of title

C Title insurance

D Deed

Question #13

Widget Corporation just bought land on which it plans to build a new manufacturing facility. How is the land owned?

A It’s owned as an estate in severalty.

B It’s a joint tenancy.

C It’s held as a tenancy in common.

D There isn’t enough information given to tell.

Question #14

Kevin and Regina sold their property to Vickey using a general warranty deed. Which of these statements is true?

A Vickey is the grantor.

B Vickey is the grantee.

C Either Regina or Kevin can convey the property.

D Kevin and Regina are the grantees.

Question #15

What do you have to prove in order to claim a piece of property through adverse possession?

A Have a public grant land patent document

B Must be dedicated to you by the true owner

C Prove the land was acquired through the accumulation of sediments

D Possession must be open, notorious, continuous, and uninterrupted without permission of the true owner

Question #16

What’s a quiet title action?

A A lien placed against a potential land owner for property purchased by another

B A way to anonymously purchase property without filing the title or transfer on record

C A type of title insurance that reimburses the policyholder if the neighborhood is noisier than normal

D An action to locate and notify all who may have some claim on the title, and determine the validity of all claims

Question #17

Buyer Maria and seller Doug are closing on June 1. Maria’s mortgage loan is $927.86, and $871.86 will go to interest in the first month. Maria will have to pre-pay interest for June using the 360-day proration method. If Doug owns the closing day, what Maria’s prepaid interest cost be at closing?

A $842.74

B $927.9

C $896.97

D $871.80

Question #18

Which document provides an estimate of the costs a buyer is likely to pay at settlement before the closing?

A Abstract of title

B Closing Estimate

C Loan Estimate

D Sales agreement

Question #19

You’re working with a couple who are in the market for their first home. They’re full of questions, and today they’re asking about how homeownership will affect their tax burden. Of course, you answer by providing information that’s within the scope of your license. Which of these taxes would you mention to your clients as relevant to homeownership?

A First-time homebuyer income tax credit based on purchase price of property

B Possible income tax deductions for prepaid interest on a loan

C Deduction of most closing costs on income tax for the year of purchase

D Capital gains credit for purchase of a property priced below market value

Question #20

Rhonda and Oliver bought an old schoolhouse with the hope of transforming it into a residence. They owned the property as joint tenants. After Oliver died, how did Rhonda own the building?

A As a joint tenant with rights of survivorship

B In severalty

C As a tenant in common with Oliver’s heirs

D In trust

Try The Exam

Fresh Grad Lands Job as Real Estate Agent With Help from Professional Writers

Transfer of Property

Need help with your exam preparation?

Below are the questions for the exam with the choices of answers:

Christian S.

Tyra

Linda

Manush

We accept payment