Oklahoma Real Estate Test 1 Study Questions
with 100% Correct Answers
actual authority - Answer Authority given an agent either expressly or impliedly by a
principal
actual delivery - Answer transferring a deed from the grantor to the grantee by handing
the deed to the grantee or sending it by certified mail.
actual notice - Answer the express or direct knowledge acquired in the course of a
transaction.
Ad Valorem - Answer Latin term meaning "according to value" and referring to a way of
assessing duties or taxes on goods or property. For example, ad valorem tax assessment
is based on value of real property.
adjustable rate mortgage - Answer Home loan secured by a deed of trust or mortgage in
which the interest rate will change periodically (i.e. annually); typically adjusted based
on a published index such as the Treasury Bill or LIBOR; brought on as a result of high
interest rates in the early 1980s as a way for banks to transfer the risk of higher interest
rates to the consumer.
adjusted market value - Answer Adjustments to comparable property sales to estimate
sale price of a subject property.
adjustments - Answer In appraising, a means by which characteristics of a residential
property are regulated by dollar amount or percentage to conform to similar
characteristics of another residential property.
,adjustments in appraising - Answer The process in the market approach of changing
dollar or percentage value of similar properties to make them more comparable
administrator/administratrix - Answer A person appointed by the probate court to take
charge of the estate of a decreased person who died intestate
advance - Answer Transfer of funds from a lender to a borrower in advance on a loan.
adverse possession - Answer A person takes possession & use of a property belonging to
another. Possession must be open, notorious, hostile & uninterrupted for a certain
period of time.
advertising - Answer Any paid form of nonpersonal presentation and promotion of
ideas, goods, or services by an identified sponsor.
affiant - Answer One who makes an affidavit or gives evidence.
affidavit - Answer A statement of facts reduced to writing, sworn to or affirmed before
some officer--usually a notary public--who is authorized to administer oath.
affirm - Answer to confirm, to aver, to ratify. to make declaration
agency - Answer A relationship in which one party (the principal) authorizes another
party (the agent) to act as the principal's representative in dealing with third parties.
agent - Answer A person who acts or does business for another called the principal
,agents in production - Answer The four agents in production are labor, capitol,
coordination and land, the last one of which to be paid in land.
agreement of sale - Answer A written agreement or contract between seller and
purchaser in which they reach a "meeting of minds" on the terms and conditions of the
sale. The parties concur; are in harmonious opinion.
air rights - Answer The rights in real property to the reasonable use of the air space
above the surface of the land.
air space - Answer the area from the surface of land upward
alienation - Answer (law) the voluntary and absolute transfer of title and possession of
real property from one person to another
alienation clause (due-on-sale) - Answer A clause in a contract giving the lender certain
rights in the event of a sale or other transfer of mortgaged property.
alienee - Answer the person to whom ownership, title or interest in real estate is
transferred. they have the same legal rights, objectives and remedies as the grantor.
allodial system - Answer A legal system that gives full property ownership rights to
individuas. It is the basis of land ownership in the United States.
alluvion - Answer The increase of soil on a shore or bank of a river as a result of
accretion.
amended plat - Answer an original plat re-subdivided or changed
, amortizing mortgage - Answer a mortgage featuring periodic repayment of a debt,
including partial payment of principle plus accrued interest, in a manner calculated to
pay off the obligation by maturity.
annual percentage rate (APR) - Answer The cost of borrowing money on an annual basis.
Takes into account the interest rate and other related fees on a loan. includes interim
discount points
principal of anticipation - Answer Affirms that value is created by anticipated benefits to
be derived in the future.
apparent authority - Answer The appearance or the assumption of authority based on
the actions, words, or deeds of the principal or because of circumstances the principal
created.
approaches to value - Answer three methods used by appraiser to form an estimate of
value such as cost, market and income approaches
appurtenance - Answer That which has been added to a property, which becomes an
inherent part of the property, and will pass with it when conveyed; includes
improvements
arm's length transaction - Answer Negotiated between 2 independent and unrelated
parties, each working to protect his own best interest, without one being under the
infuence or control of the other; affects market value.
artifice - Answer (n.) a skillful or ingenious device; a clever trick; a clever skill; trickery
accessed value - Answer The property value as determined by county assessor as the
basis for determining ad valorem taxes
with 100% Correct Answers
actual authority - Answer Authority given an agent either expressly or impliedly by a
principal
actual delivery - Answer transferring a deed from the grantor to the grantee by handing
the deed to the grantee or sending it by certified mail.
actual notice - Answer the express or direct knowledge acquired in the course of a
transaction.
Ad Valorem - Answer Latin term meaning "according to value" and referring to a way of
assessing duties or taxes on goods or property. For example, ad valorem tax assessment
is based on value of real property.
adjustable rate mortgage - Answer Home loan secured by a deed of trust or mortgage in
which the interest rate will change periodically (i.e. annually); typically adjusted based
on a published index such as the Treasury Bill or LIBOR; brought on as a result of high
interest rates in the early 1980s as a way for banks to transfer the risk of higher interest
rates to the consumer.
adjusted market value - Answer Adjustments to comparable property sales to estimate
sale price of a subject property.
adjustments - Answer In appraising, a means by which characteristics of a residential
property are regulated by dollar amount or percentage to conform to similar
characteristics of another residential property.
,adjustments in appraising - Answer The process in the market approach of changing
dollar or percentage value of similar properties to make them more comparable
administrator/administratrix - Answer A person appointed by the probate court to take
charge of the estate of a decreased person who died intestate
advance - Answer Transfer of funds from a lender to a borrower in advance on a loan.
adverse possession - Answer A person takes possession & use of a property belonging to
another. Possession must be open, notorious, hostile & uninterrupted for a certain
period of time.
advertising - Answer Any paid form of nonpersonal presentation and promotion of
ideas, goods, or services by an identified sponsor.
affiant - Answer One who makes an affidavit or gives evidence.
affidavit - Answer A statement of facts reduced to writing, sworn to or affirmed before
some officer--usually a notary public--who is authorized to administer oath.
affirm - Answer to confirm, to aver, to ratify. to make declaration
agency - Answer A relationship in which one party (the principal) authorizes another
party (the agent) to act as the principal's representative in dealing with third parties.
agent - Answer A person who acts or does business for another called the principal
,agents in production - Answer The four agents in production are labor, capitol,
coordination and land, the last one of which to be paid in land.
agreement of sale - Answer A written agreement or contract between seller and
purchaser in which they reach a "meeting of minds" on the terms and conditions of the
sale. The parties concur; are in harmonious opinion.
air rights - Answer The rights in real property to the reasonable use of the air space
above the surface of the land.
air space - Answer the area from the surface of land upward
alienation - Answer (law) the voluntary and absolute transfer of title and possession of
real property from one person to another
alienation clause (due-on-sale) - Answer A clause in a contract giving the lender certain
rights in the event of a sale or other transfer of mortgaged property.
alienee - Answer the person to whom ownership, title or interest in real estate is
transferred. they have the same legal rights, objectives and remedies as the grantor.
allodial system - Answer A legal system that gives full property ownership rights to
individuas. It is the basis of land ownership in the United States.
alluvion - Answer The increase of soil on a shore or bank of a river as a result of
accretion.
amended plat - Answer an original plat re-subdivided or changed
, amortizing mortgage - Answer a mortgage featuring periodic repayment of a debt,
including partial payment of principle plus accrued interest, in a manner calculated to
pay off the obligation by maturity.
annual percentage rate (APR) - Answer The cost of borrowing money on an annual basis.
Takes into account the interest rate and other related fees on a loan. includes interim
discount points
principal of anticipation - Answer Affirms that value is created by anticipated benefits to
be derived in the future.
apparent authority - Answer The appearance or the assumption of authority based on
the actions, words, or deeds of the principal or because of circumstances the principal
created.
approaches to value - Answer three methods used by appraiser to form an estimate of
value such as cost, market and income approaches
appurtenance - Answer That which has been added to a property, which becomes an
inherent part of the property, and will pass with it when conveyed; includes
improvements
arm's length transaction - Answer Negotiated between 2 independent and unrelated
parties, each working to protect his own best interest, without one being under the
infuence or control of the other; affects market value.
artifice - Answer (n.) a skillful or ingenious device; a clever trick; a clever skill; trickery
accessed value - Answer The property value as determined by county assessor as the
basis for determining ad valorem taxes
