Real Estate Exam Chapter 1

Which phrase BEST defines real estate?

• Land and the air above it

• Land and all things permanently attached by nature

• Land and all things permanently affixed to it

• Land and the mineral rights in the land

The term "nonhomogeneity" refers to:

• Scarcity

• Immobility

• Uniqueness

• Indestructibility

The bundle of legal rights is included in the definition of:

• Land

• Real estate

• Real property

• Trade fixtures

The bundle of leagal rights includes all of the following rights EXCEPT:

• Possess the property

• Enjoy the property within the framework of the law

• Sell or otherwise convey the property

• Use the property for any purpose, legal or otherwise

Which of the following is a physical characteristic of real estate?

• Location or area preference

• Performance of investment

• Scarcity

• Indestructibility

Which of the following would NOT be a consideration when determining whether an item is real property?

• Cost of the item when purchased

• Method of its attachment to other real property

• Intended use of the item by its owner

• Manner in which the item is actually used with other real property

Which of the following is NOT an economic characteristic of real estate?

• Indestructibility

• Permanence of investment

• Location or area preference

• Scarcity

Real property can be converted into personal property through:

• Severance

• Accession

• Conversion

• Inference

The tenant of a single family home installs an awning over the building's front windows to keep the sun away from delicate hanging plants. Which of the following is true?

• The tenant must remove the awning before the rental period is over

• Because of its nature, the awning is considered personal property

• The awning is considered a trade fixture

• Because of the nature of the property, the awning is considered a trade fixture

Which entity is generally responsible for recreating the requirements for a real estate license?

• Individual state law

• Federal legislation

• County Legislation

• Local association of REALTORS