#1. A property with a single bathroom in a market expecting two or more bathrooms suffers from:
#2. Under the Real Estate Transfer Disclosure Statement, the seller must disclose known defects related to:
#3. Under the California DRE Code of Conduct (B&P Code §10177), which of the following is a core ethical requirement for real estate professionals?
#4. Recording a deed with the county recorder’s office establishes:
#5. Under California law, which of the following is TRUE about implicit bias in real estate practice?
#6. Under California law, encumbrances include all of the following EXCEPT:
#7. A 16-year-old signs a purchase agreement to buy a home in California. This contract is:
#8. Under California law, which of the following is NOT grounds for revoking a real estate license related to agency duties?
#9. A buyer’s agent learns that the seller’s agent is also the seller’s spouse but this relationship is not disclosed. This lack of disclosure violates:
#10. The debt-to-income (DTI) ratio is calculated by:
#11. Under California Civil Code §2079.17, the agency confirmation must be included in:
#12. The right of rescission under TILA applies to:
#13. Under California law, the parol evidence rule states that:
#14. Under California law, a property manager who discovers that a managed property has building code violations that create safety hazards must:
#15. An HOA board member who violates fiduciary duties may be:
#16. A buyer’s agent discovers that the seller recently declined an offer $20,000 higher than the buyer’s planned offer. The agent should:
#17. An assumable loan is advantageous in which market environment?
#18. Business and Professions Code §11302 states that agents:
#19. A property manager who uses last-in-first-out accounting for security deposits instead of proper individual tracking is:
#20. A title insurance company discovers a forged deed in the chain of title. The effect is:
#21. The principle of highest and best use determines:
#22. Under California law, the requirement for carbon monoxide detectors applies to which residential properties?
#23. A finder’s fee paid to an unlicensed person for referring a real estate transaction in California is:
#24. A property has a granny flat (ADU) that was built with permits. The seller’s disclosure obligation includes:
#25. Which of the following is NOT required on the Transfer Disclosure Statement (TDS)?
#26. A trust deed in California involves three parties. They are:
#27. A title search reveals that a previous owner’s divorce decree awarded the property to one spouse, but no deed was recorded transferring the interest. This creates:
#28. A real estate agent who personally guarantees a loan for a buyer client without disclosing this arrangement to the seller is violating the duty of:
#29. Effective Gross Income starts with:
#30. Under California law, which of the following is TRUE about assignment of a purchase agreement?
#31. A property manager suspects a tenant is manufacturing illegal drugs in the unit. Evidence includes unusual chemical odors and excessive utility usage. The manager should:
#32. Under California law, a recorded easement that benefits one property (dominant tenement) at the expense of another (servient tenement) is known as:
#33. Which ownership form provides the surviving spouse with a full step-up in basis on BOTH halves of the property?
#34. Which of the following activities requires a real estate license in California?
#35. A buyer submits an offer on a property that is already under contract with another buyer. The seller may:
#36. A home was purchased for $380,000 with a loan-to-value ratio of 80%. The interest rate is 5.75%. What is the first month’s interest?
#37. A buyer’s purchase agreement is contingent on the buyer selling their current home. If the buyer fails to sell their home within the contingency period:
#38. A buyer’s agent discovers that the property has a history of flooding from a nearby creek, but the NHD does not list it as a flood zone. The agent should:
#39. A property listed for sale has a history of significant drainage problems causing water to pool in the yard. This information:
#40. Under California’s agency disclosure law, a real estate agent must disclose their agency relationship:
#41. Non-judicial foreclosure in California requires a minimum of approximately:
#42. The cap rate formula for estimating value is:
#43. A buyer puts 15% down on a $500,000 property. The loan amount is:
#44. An environmental impact report (EIR) under CEQA is required when:
#45. Under California law, which of the following is TRUE about the disclosure of a property’s location near a Superfund site?
#46. Tax Increment Financing in redevelopment areas works by:
#47. Under California law, a property sold at a trustee’s sale (non-judicial foreclosure):
#48. The Subdivision Map Act requires property divisions to meet standards including:
#49. In California, the agency confirmation statement on the purchase agreement must be signed by:
#50. For month-to-month tenancies of one year or more in California, the landlord must give:
#51. In California, the statute of limitations for filing a FEHA housing discrimination complaint with the Civil Rights Department is:
#52. An agent recommends a specific lender to a buyer and receives a referral fee from the lender. Under California agency law, the agent must:
#53. A property manager calculates the debt service coverage ratio (DSCR) for a commercial property. A DSCR of 1.25 means:
#54. An agent fails to present an offer to the seller because the agent believes the offer is too low. This violates which fiduciary duty?
#55. A Phase I ESA typically costs:
#56. Under California law, the Department of Real Estate (DRE) is headed by the:
#57. A 30-year fixed-rate mortgage has a longer term than a 15-year mortgage, resulting in:
#58. Under California’s truth in advertising requirements, what must accompany all projections of financial returns in property advertisements?
#59. Which of the following property transfers is EXEMPT from the TDS requirement under Civil Code §1102.2?
#60. A property management company is terminating its management of a property. The company must:
#61. In California, the agency relationship between a buyer and their agent is MOST commonly established by:
#62. The first installment of California property taxes is due on:
#63. A listing agent’s duty to conduct a visual inspection of the property under Civil Code §2079 includes:
#64. Under California law, the agency relationship between a buyer and their agent typically terminates:
#65. Under California law, a property tax proration using the actual days method requires:
#66. A Trainee Appraiser in California:
#67. Under California law, which of the following is NOT a natural hazard that must be disclosed on the NHD statement?
#68. A dual agent accidentally forwards an email from the seller to the buyer that reveals the seller’s bottom-line price. The dual agent has:
#69. California law requires earthquake retrofit disclosure (bolting and bracing) for homes built before:
#70. In California, which factor most significantly limits housing supply?
#71. A title company discovers that a previous deed in the chain of title was signed by a minor. This is:
#72. Under California law, a buyer who discovers that the seller’s agent failed to conduct a visual inspection as required by Civil Code §2079 may:
#73. Under California’s agency confirmation requirements, which document must confirm the agency relationship before or at the time the purchase agreement is executed?
#74. The Window Security Bars disclosure in California requires sellers to:
#75. Which of the following CANNOT give rise to a prescriptive easement?
#76. A commercial lease contains an escalation clause tied to the Consumer Price Index (CPI). This means:
#77. APR is important for borrowers because it:
#78. Under California law, the settlement process includes the preparation of:
#79. An appraiser valuing a property for estate settlement would determine:
#80. Which of the following scenarios illustrates a listing agent’s proper response when a property defect is discovered mid-transaction?
#81. Under California law, an agent who assists a seller in concealing material property defects during a DRE investigation:
#82. Postal addresses cannot serve as legal descriptions because:
#83. Silicon Valley and Greater Los Angeles consistently experience higher housing demand due to:
#84. A property manager who represents both the landlord and tenant in a lease transaction without disclosure has:
#85. A buyer’s agent discovers that the seller failed to disclose a known neighborhood nuisance (loud industrial noise). The buyer’s agent must:
#86. A preliminary 20-day notice in California is required for:
#87. Under California law, escheat occurs when:
#88. Under California law, the Earthquake Fault Zone Disclosure is required when the property is located:
#89. Under California law, a seller of 1-4 residential units must provide the buyer with a Smoke Detector Statement of Compliance. When must this be delivered?
#90. The lot and block system requires which specific recording element?
#91. A property has a history of sewer line backups. Under California disclosure law, the seller must:
#92. A lien that attaches to a specific property described in loan documents is called a:
#93. Under California FEHA, which of the following is TRUE about reasonable accommodations for disabled tenants?
#94. In a dual agency situation, the agent CANNOT:
#95. The built-up method constructs a cap rate by:
#96. A property manager who provides a 3-day notice to pay rent or quit must ensure:
#97. The legal standard for obtaining a variance requires the applicant to demonstrate:
#98. Mortgage application volumes serve as an indicator of:
#99. The four components of PITI collectively determine:
#100. A Hardship letter in a short sale:
#101. A listing agent for a property in a flood zone verifies this information through the NHD report. If the agent then tells a buyer ‘I don’t think flooding is really an issue here,’ the agent may be liable for:
#102. Seismic retrofitting in California affects the Cost Approach because:
#103. California Civil Code §2897 establishes:
#104. In California, appraiser licensing is regulated by:
#105. Under California law, a grant deed implies:
#106. If a cap rate increases from 5% to 6% with constant NOI of $180,000, value:
#107. A property’s effective age is 15 years and total economic life is 50 years. Reproduction cost is $400,000. What is the depreciation?
#108. Under California law, the consequences for a broker who fails to supervise agents include:
#109. A broker allows two agents in the same brokerage to represent opposite sides of a transaction. Each agent advocates for their respective client. This arrangement is called:
#110. Pre-approval typically remains valid for:
#111. A listing agent discovers evidence of an illegal marijuana grow operation residue (chemical contamination) during the visual inspection. The agent should:
#112. A commercial property manager calculating the capitalization rate for an investment property divides:
#113. A buyer includes an escalation clause in the offer, agreeing to increase the offer price by $5,000 above any competing offer up to a maximum of $550,000. This clause:
#114. A California broker who fails to supervise salespersons may face:
#115. Tenancy in common is California’s default co-ownership form when:
#116. In California, when an agent’s listing agreement is an exclusive right-to-sell and the owner finds a buyer on their own, what happens to the commission?
#117. A buyer and seller execute a purchase agreement. The buyer later discovers that the seller does not actually own the property. This contract is:
#118. In California, a buyer’s agent who also holds a contractor’s license discovers building code violations during a showing. The agent must:
#119. Net adjustments in the Sales Comparison Approach should generally not exceed:
#120. The Humboldt Meridian covers which region of California?
#121. A buyer obtains an 80% LTV loan on a property priced at $450,000. What is the loan amount?
#122. FHA loans require Mortgage Insurance Premium (MIP), which differs from conventional PMI because:
#123. Under California law, the Geological Hazard Zone Disclosure is part of which required disclosure document?
#124. A property closes on October 15 with annual insurance paid through December 31 ($1,200/year). The seller is entitled to a credit from the buyer of approximately:
#125. A buyer’s agent who encourages a buyer to waive the inspection contingency without explaining the risks may have breached:
#126. In California, a broker’s responsibility for supervising agents includes:
#127. The recording process in California is governed by:
#128. HOAs are prohibited from foreclosing for:
#129. A real estate advertisement states ‘No children allowed.’ Under fair housing law:
#130. A property is assessed at $500,000 under Proposition 13. If the CPI increase is 1.8% for the year, the new assessed value is:
#131. A broker’s annual plan for fair housing compliance should include:
#132. Under Proposition 13, assessed value is set at:
#133. A property owner’s equity is $175,000. If closing costs are $12,000 and there is a $3,000 lien, what are the net proceeds?
#134. A borrower has a monthly PITI payment of $2,200. Of this, $1,500 is P&I, $400 is taxes, and $300 is insurance. What percentage of the monthly payment goes to taxes?
#135. Under California law, which lien is classified as a general lien?
#136. Procedural due process in land use regulation requires:
#137. Lenders typically refuse to finance properties that:
#138. A real estate contract is found to have been based on mutual mistake regarding the property’s zoning classification. The contract may be:
#139. Under California law, when must the agency disclosure confirmation occur in a real estate transaction?
#140. An HOA resident requests an architectural modification. The HOA must respond within:
#141. In a seller’s market, a CMA might support:
#142. Covenants in CC&Rs are:
#143. Surveys are important before closing because they reveal:
#144. A tentative map in the subdivision process is:
#145. A contract provision requires the parties to submit disputes to binding arbitration. Under California law:
#146. A listing agent discovers during the visual inspection that the property has evidence of previous fire damage that was repaired. The seller’s TDS does not mention the fire. The agent must:
#147. The Competency Rule in USPAP requires appraisers to:
#148. Under California law, which of the following is TRUE about a net listing?
#149. Under California law, a listing broker who knows a property has material defects must:
#150. A brokerage requires all agents to use the company’s email system, attend weekly meetings, and follow specific scripts for client calls. Under AB5, this level of control suggests:
