Arizona Real Estate Salesperson Exam
2024-2025 Graded A+
1988 Civil Rights Act protects for...? - ANSWER-Age and handicapped.
A _______________ receives the property after a life estate. - ANSWER-
Remainderman.
A "acceleration" clause difference from an "alienation" clause how? - ANSWER-
Acceleration means borrower failed to pay debt; alienation means the borrow tried to
sell the parcel.
A "land contract" is also known as an...? - ANSWER-Agreement for sale.
A "specific" lien is one...? - ANSWER-that attaches or is related to a specific piece of
property. Thus, an income tax lien isn't related to a specific piece of property but to all
one's properties.
A bring-down search fee helps to...? - ANSWER-update title prior to closing.
A broker is required to deposit earnest moneys within how long? - ANSWER-By end of
next business day.
A buyer's new loan is (debit/credit) (buyer/seller)? - ANSWER-Debit buyer.
A defeasance clause is usually found in a.... - ANSWER-mortgage.
A demising clause is found in a.... - ANSWER-lease.
A Fair Housing law violation/fine is - ANSWER-$16K!
A five bedroom house with a single bathroom would be? - ANSWER-Functionally
obsolete.
A gas station is located in an area that now prohibits this kind of business. This is an
example of... - ANSWER-Non-conforming use.
A good faith estimate must be given to the borrower within? - ANSWER-7 days.
A graduated payment loan has the principal - ANSWER-increase over time.
A high risk conventional loan would require? - ANSWER-Private mortgage insurance
(PMI).
,A historical house would be appraised by the ________ approach? - ANSWER-Cost.
A lease and a life estate both have a.... - ANSWER-reversion to the lessor or grantor.
A lease where the tenant pays a fixed amount plus a portion of the gross sales is called
a... - ANSWER-Percentage lease.
A licensee may not charge for document preparation as a result of which, rules and regs
by the Dept of Real Estate or state statute? - ANSWER-Rules and regs. This isn't an
ARS thing.
A lien theory state means.. - ANSWER-mortgagor holds title.
A listing broker lists a property with sub-agency provisions. Another broker accepts the
listing broker's offer to cooperate. The co-operating broker is acting as the _____ to the
seller? - ANSWER-Subagent
A loan for BOTH real and personal property is called? - ANSWER-A package loan.
A loan that is sold from one lender to another is... - ANSWER-assigned. (A mortgage
whose payments are taken over by another borrow is "assumed"). The relationship
between the seller and buyer is "assignor" and "assignee" when it comes to a mortgage.
A method of legal description that uses definite property lines and starting points is
called? - ANSWER-Formal metes and bounds.
A mortgage has a "period of __________." A deed of trust has a "90 day period of
______________." - ANSWER-Mortgage has a "period of redemption." A deed of trust
as a 90 day "reinstatement period."
A nuncupative will is a.... - ANSWER-deathbed will (weakest will).
A procuring cause dispute is most likely to occur with agents working with which type of
listing? - ANSWER-Open listing.
A property management agreement may be terminated? - ANSWER-By complying with
any time parameters in the agreement.
A public report is not required for.... - ANSWER-commercial lots (only required for
residential, like apartments, condos, residential timeshares).
A real estate agent should not recommend...? - ANSWER-how to take title (quit claim v.
general warranty deed v. special warranty deed v....)
A real estate contract is known as a... - ANSWER-contract for personal and professional
services.
,A real estate salesperson (licensee) is what kind of agent as to his or her broker? -
ANSWER-General agent.
A renewal of a real estate license must be done by when: last day of the month issued
or on the date issued? - ANSWER-Last day of month of issue.
A row of tiers are known as a... - ANSWER-Township.
A salesperson's right to a commission is based on - ANSWER-having a valid license.
A seller gives her salesperson the right to sell and make other decisions regarding the
property is what kind of agent? - ANSWER-General agent.
A seller tells a broker not to disclose he is going through with a divorce to the buyer?
Does the broker have to tell the buyer this if he is asked? - ANSWER-No. The broker
may decline to answer. But the broker cannot deny it, either. Just decline to answer.
The broker must keep the buyer's confidence but can't lie to the seller, so the broker
can only refuse to answer.
A seller's proceeds (purchase price) is credit to... - ANSWER-Credit seller only.
A seller/broker relationship can be described as principal/______________? -
ANSWER-Agent.
A sublessee is referred to as the... - ANSWER-tenant.
A subordination clause benefits who? - ANSWER-The trustor or mortgagor. A
subordination clause is usually found in a second lien/mortgage.
Lender with first priority agrees to take a subordinate position to subsequent (future)
liens. It may be an agreement in a junior lien which permits a first lien to be refinanced
without suffering a loss in priority. It benefits the trustor and is usually used when
developing property. Subordinate is opposite to superior.
A substantial increase in interest rates would increase or decrease the value of a rental
property? - ANSWER-Decrease, if you assume the property is leveraged.
A surety bond is used by a - ANSWER-Contractor.
A tenancy for a fixed period of time is called.... - ANSWER-tenancy for years. Could
even be "one month" or "from June 1 to June 8."
A term loan is interest only and is paid in full at the end, true or false? - ANSWER-True.
A utility may gain an easement by - ANSWER-eminent domain.
, A variance is an example of a.... - ANSWER-Non-conforming use.
After calculating either the reproduction or replacement cost, you have to subtract
___________? - ANSWER-Depreciation, which is difference in value between
construction cost and present value.
After gathering all data, an appraiser must...? - ANSWER-Reconcile and correlate.
Amount of money that a buyer has to bring to escrow is always (debit/credit)
(buyer/seller?) - ANSWER-Credit buyer.
An "acknowledgment" means the document was... - ANSWER-signed in front of a
notary.
An A.L.T.A. policy protects the (buyer/beneficiary)? - ANSWER-Beneficiary. Not the
"buyer."
An acknowledgement in a deed is made by the... - ANSWER-grantor.
An agreement for sale has both of the following in the same document? - ANSWER-
Note and security
An ALTA policy protects the... - ANSWER-lender. The ALTA loan policy insures the
lender against loss or damage up the policy limit, plus costs and attorneys
An ALTA policy will cover... - ANSWER-errors in survey.
An applicant re-pays the recovery fund, how long (max) may the Commissioner deny
his right to reapply for a license? - ANSWER-5 years.
An easement appurtenant is an example of - ANSWER-property necessity (not property
division)
An economic characteristic of real property is, non-homogeneous or modification? -
ANSWER-Modification. Remember, economic(!) characteristic.
An encroachment differs from an easement how? - ANSWER-Encroachment means
building on someone else's land (putting a wall on part of their land) while an easement
means actually using their land for some specific purpose (but not building on it).
An extended title policy covers what more beyond that of a standard title policy? -
ANSWER-Encroachments.
An FHA loan is received on the __________ market. - ANSWER-Primary.
2024-2025 Graded A+
1988 Civil Rights Act protects for...? - ANSWER-Age and handicapped.
A _______________ receives the property after a life estate. - ANSWER-
Remainderman.
A "acceleration" clause difference from an "alienation" clause how? - ANSWER-
Acceleration means borrower failed to pay debt; alienation means the borrow tried to
sell the parcel.
A "land contract" is also known as an...? - ANSWER-Agreement for sale.
A "specific" lien is one...? - ANSWER-that attaches or is related to a specific piece of
property. Thus, an income tax lien isn't related to a specific piece of property but to all
one's properties.
A bring-down search fee helps to...? - ANSWER-update title prior to closing.
A broker is required to deposit earnest moneys within how long? - ANSWER-By end of
next business day.
A buyer's new loan is (debit/credit) (buyer/seller)? - ANSWER-Debit buyer.
A defeasance clause is usually found in a.... - ANSWER-mortgage.
A demising clause is found in a.... - ANSWER-lease.
A Fair Housing law violation/fine is - ANSWER-$16K!
A five bedroom house with a single bathroom would be? - ANSWER-Functionally
obsolete.
A gas station is located in an area that now prohibits this kind of business. This is an
example of... - ANSWER-Non-conforming use.
A good faith estimate must be given to the borrower within? - ANSWER-7 days.
A graduated payment loan has the principal - ANSWER-increase over time.
A high risk conventional loan would require? - ANSWER-Private mortgage insurance
(PMI).
,A historical house would be appraised by the ________ approach? - ANSWER-Cost.
A lease and a life estate both have a.... - ANSWER-reversion to the lessor or grantor.
A lease where the tenant pays a fixed amount plus a portion of the gross sales is called
a... - ANSWER-Percentage lease.
A licensee may not charge for document preparation as a result of which, rules and regs
by the Dept of Real Estate or state statute? - ANSWER-Rules and regs. This isn't an
ARS thing.
A lien theory state means.. - ANSWER-mortgagor holds title.
A listing broker lists a property with sub-agency provisions. Another broker accepts the
listing broker's offer to cooperate. The co-operating broker is acting as the _____ to the
seller? - ANSWER-Subagent
A loan for BOTH real and personal property is called? - ANSWER-A package loan.
A loan that is sold from one lender to another is... - ANSWER-assigned. (A mortgage
whose payments are taken over by another borrow is "assumed"). The relationship
between the seller and buyer is "assignor" and "assignee" when it comes to a mortgage.
A method of legal description that uses definite property lines and starting points is
called? - ANSWER-Formal metes and bounds.
A mortgage has a "period of __________." A deed of trust has a "90 day period of
______________." - ANSWER-Mortgage has a "period of redemption." A deed of trust
as a 90 day "reinstatement period."
A nuncupative will is a.... - ANSWER-deathbed will (weakest will).
A procuring cause dispute is most likely to occur with agents working with which type of
listing? - ANSWER-Open listing.
A property management agreement may be terminated? - ANSWER-By complying with
any time parameters in the agreement.
A public report is not required for.... - ANSWER-commercial lots (only required for
residential, like apartments, condos, residential timeshares).
A real estate agent should not recommend...? - ANSWER-how to take title (quit claim v.
general warranty deed v. special warranty deed v....)
A real estate contract is known as a... - ANSWER-contract for personal and professional
services.
,A real estate salesperson (licensee) is what kind of agent as to his or her broker? -
ANSWER-General agent.
A renewal of a real estate license must be done by when: last day of the month issued
or on the date issued? - ANSWER-Last day of month of issue.
A row of tiers are known as a... - ANSWER-Township.
A salesperson's right to a commission is based on - ANSWER-having a valid license.
A seller gives her salesperson the right to sell and make other decisions regarding the
property is what kind of agent? - ANSWER-General agent.
A seller tells a broker not to disclose he is going through with a divorce to the buyer?
Does the broker have to tell the buyer this if he is asked? - ANSWER-No. The broker
may decline to answer. But the broker cannot deny it, either. Just decline to answer.
The broker must keep the buyer's confidence but can't lie to the seller, so the broker
can only refuse to answer.
A seller's proceeds (purchase price) is credit to... - ANSWER-Credit seller only.
A seller/broker relationship can be described as principal/______________? -
ANSWER-Agent.
A sublessee is referred to as the... - ANSWER-tenant.
A subordination clause benefits who? - ANSWER-The trustor or mortgagor. A
subordination clause is usually found in a second lien/mortgage.
Lender with first priority agrees to take a subordinate position to subsequent (future)
liens. It may be an agreement in a junior lien which permits a first lien to be refinanced
without suffering a loss in priority. It benefits the trustor and is usually used when
developing property. Subordinate is opposite to superior.
A substantial increase in interest rates would increase or decrease the value of a rental
property? - ANSWER-Decrease, if you assume the property is leveraged.
A surety bond is used by a - ANSWER-Contractor.
A tenancy for a fixed period of time is called.... - ANSWER-tenancy for years. Could
even be "one month" or "from June 1 to June 8."
A term loan is interest only and is paid in full at the end, true or false? - ANSWER-True.
A utility may gain an easement by - ANSWER-eminent domain.
, A variance is an example of a.... - ANSWER-Non-conforming use.
After calculating either the reproduction or replacement cost, you have to subtract
___________? - ANSWER-Depreciation, which is difference in value between
construction cost and present value.
After gathering all data, an appraiser must...? - ANSWER-Reconcile and correlate.
Amount of money that a buyer has to bring to escrow is always (debit/credit)
(buyer/seller?) - ANSWER-Credit buyer.
An "acknowledgment" means the document was... - ANSWER-signed in front of a
notary.
An A.L.T.A. policy protects the (buyer/beneficiary)? - ANSWER-Beneficiary. Not the
"buyer."
An acknowledgement in a deed is made by the... - ANSWER-grantor.
An agreement for sale has both of the following in the same document? - ANSWER-
Note and security
An ALTA policy protects the... - ANSWER-lender. The ALTA loan policy insures the
lender against loss or damage up the policy limit, plus costs and attorneys
An ALTA policy will cover... - ANSWER-errors in survey.
An applicant re-pays the recovery fund, how long (max) may the Commissioner deny
his right to reapply for a license? - ANSWER-5 years.
An easement appurtenant is an example of - ANSWER-property necessity (not property
division)
An economic characteristic of real property is, non-homogeneous or modification? -
ANSWER-Modification. Remember, economic(!) characteristic.
An encroachment differs from an easement how? - ANSWER-Encroachment means
building on someone else's land (putting a wall on part of their land) while an easement
means actually using their land for some specific purpose (but not building on it).
An extended title policy covers what more beyond that of a standard title policy? -
ANSWER-Encroachments.
An FHA loan is received on the __________ market. - ANSWER-Primary.
