MAINE STATE EXAM questions with correct answers

The most common manner in which to transfer risk in real estate property management is through the use of: A. indemnification agreements. B. insurance policies. C. hold harmless agreements. D. release of liability forms. CORRECT ANSWER B. In risk management, the most common and effective manner in to transfer risk is by the use of insurance policies. The property owner pays a premium, and the insurance company takes on the liability for the occurrence of the insured event. Which of the following is NOT an element of the bundle of rights of an owner of property in fee simple absolute? A. The right to lease the mineral rights B. The right to encumber the property with an easement in gross C. The right to sell the air rights D. The right to start a foreclosure process CORRECT ANSWER D. Answers A, B and C are all elements of the bundle of rights of an owner of property in fee simple absolute. The right to start a foreclosure belongs to a lender or someone who has a judgment against the owner of the property Which of the following would NOT be ch