hello everybody let me know if you can
hear me give me a thumbs up and let's
begin
what do you say
okay so we're about to start hello
everybody
let me know if you can hear me give me a
thumbs up let's begin what do you say
all right if the screen is a little
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and we shall get started
okay the feedback is off we're ready to
go you probably see the prep agent
website on the board
hi pamela hot mike joe
should all be taken care of okay so
today we got an interesting topic we're
doing the 75 most common questions that
we
see based upon feedback from
our students who take the exam we get
students
all the time taking the exam and we're
constantly getting feedback on what they
see what they don't see
in conjunction with our own research and
i'm talking to
state administrators and and different
people
who are involved with the real estate
exam process
now with that being said you can get any
question on your exam be prepared for
anything but these are the most common
ones we tend to see
on the national content you guys excited
are you very excited to say i'm so
excited this is gonna be the most
exciting thing i've ever experienced in
my life
okay so without further ado
what do you guys say we begin yeah
and like i said before all this stuff
can be found on the prep agent
website here
yay super excited
so for those guys who use prep agent the
way i did this
is i stored the 75 questions here on the
right hand column when you use the prep
agent website
you could put them all in the question
for review column if there's questions
you want to see for any reason
maybe it's a topic you don't understand
or it's something
that's a particular interest to you you
can review at all times
okay
first one general construction onto the
property of another like a wall or fence
or a building etc is known as what
a encroachment b easement of pertinent
c cytus or d estoppel what do you guys
think
cindy says bring it joe it's being
brought cindy it's coming
answer a encroachment
and by the way if this goes too fast
because we are going through a lot of
questions here
you guys are going to be able to see and
review this over and over again
everybody got it okay right i got it joe
i can watch it again and again and again
okay encroachment we know that that's
just when you're crossing over into
somebody else's land
if a tree is built on your land and it's
hanging over your neighbor's property
is that encroachment what do you guys
think
is that encroachment if a tree is built
on your land and hanging over your
neighbor's property would that be
considered encroachment
yes that would be considered
encroachment let's get to the next one
here
which method would an appraiser be most
likely to use when appraising a newly
built
one-year-old apartment building with no
rental history
a income approach b cost approach
c capitalization approach a deep market
approach
that's right keith like a football
penalty
and the answer is
okay that he wrote b so he wrote c
the answer is b so the cost
approach is a great approach when
there's nothing to compare it to
and they often say it's how much would
it cost to build something brand new
so the cost approach would apply here
because this is a one-year-old building
and older buildings are harder to do
this approach for because you got to
factor in things like depreciation
all right there's no rental histories
you can't use like income approach or
things of that nature
now just for full disclosure for you
guys these are not the exact
questions you're going to see on your
exam we try and get close try and hit
the concept
try and do as best we can to best
prepare you and anybody who says they
have the exact questions for the exam
they're breaking the law so i just want
to be clear about that full disclosure
here
okay
but it's pretty close i feel like we're
pretty close
when an appraiser is praising a property
he usually considers all the following
except a the assessed value
b the property rights to be valued
c a definition of value or d the
property identification
what do you guys think
and it says the way to print them out
sure on the prep agent website you see
in the top
right you could print any exam you do
okay we print every you can print
everything
the answer is a assessed value
assessed values for tax purposes just so
we're all clear
assess values for tax purposes that's
why
the appraiser can't look at their
records it's like cheating off your
friend's exam
and moving right along
which of the following loans would be
most likely to qualify for fha insurance
a loan to purchase a farm b a loan to
buy a small
business c a loan to purchase one to
four units of residential rental
property
or d alone to buy a farm equipment
the answer is
c fha loans for residential property
we're going to talk more about what
fha loan is and some other questions we
got coming up
but a hint for you guys taking the exam
this is a test in residential real
estate
i know you need a real estate license to
do other types of real estate i get that
but when you take your exam just
remember why they're giving you this
exam
okay i want you guys to think of that
that could help you
get through some questions they're
giving you this exam
because they want to protect your
average joe no pun intended
residential home buyers people in
commercial and other aspects of real
estate are generally
seen as people who should know better
you would say caveat empty doesn't
always apply to them
so when you see residential in any of
the questions
i would take a seriously look at a
serious look at circling that question
so that's my tip good tip what do you
guys think i think it's a good tip
oh gross reading i hate reading right
okay if private property has been
damaged such as through
excessive airport noise or taken by the
government without formal eminent domain
proceedings
what would a property owner initiate to
recover
just compensation for losing or damaging
the property
a combination b injunction
c inverse condemnation or d writ of
execution
and the answer is c inverse condemnation
in case you guys don't know why that
word is highlighted on our system when
you click on a highlighted word
it gives you the definition that's why
those words are highlighted
somebody said some of these questions
are worded difficultly
we get a lot of feedback saying joe your
question isn't clear in the wording
i got news guys sometimes we know that
and we do that to prepare you for the
exam because we want our questions to
simulate the exam as
closely as possible so yeah sometimes
the wording is a little funky
all right but that is not by accident
because we want to pray for the exam
we're not trying to always make it super
clear because the questions on your exam
are not always super clear we want you
guys to pass
real quick everybody write the four
government powers what are the four
government powers
what are the four government powers
okay a lot of guys are in pete and that
stands for police power eminent domain
taxation and his cheat
police power eminent domain taxation is
hey we're talking about eminent domain
eminent domains the government's right
to take your property for public use
and they give you just compensation
when they pay you just compensation
that's the process of condemnation okay
that's the condemnation process think of
it you're probably condemned
you can't use it so they give you money
for it
inverse condemnation is when you are not
given money or not given the correct
amount of money you're essentially suing
the government which is what this
question is talking about
all right that comes up under eminent
domain proceedings
government's right to make laws and
regulations for the general welfare of
the public
is known as a
police power
b eminent domain c the bundle of rights
or d as cheat
what do you guys think
thank you somebody put ten dollars i'm
not sure what that means but thank you
and the answer is a
police power
okay so police power
is one of the four government powers we
just discussed eminent domain
all right so we said eminent domain well
let me ask you guys
what is the difference between eminent
domain and police power what do you guys
think
what is the fundamental difference
between eminent domain and police power
thank you for that tip whoever gave me
that tip i appreciate it it's amazing
i don't think we ever get tips we have a
hundred i think forty thousand
subscribers
and it's the first tip we've ever gotten
this is a special moment in my life tear
drop
okay so you got
the difference between eminent domain
and police powers eminent domain
they're taking the property away from
you police power they're telling you how
to use it this is an important
distinction
because what this means is in police
power they're not giving you money
everybody got that they're not giving
you money
because they're not taking the property
away from you
so some of these questions seem a little
easy to use some of them seem hard to
you
either way i'll try and give a little
explanation so if it's too easy i'll
explain the concept it's too hard i'll
explain the concept so either way it
helps you out
okay the total collection of rights
which may be claimed by private
ownership is best described as
a freehold b the bundle of rights
c and estate or d the fee simple system
the answer is be the bundle of rights
if you guys don't know what the bundle
of rights are think of it like
a hockey team each player represents a
right
and when a penalty occurs the player
gets taken off the ice
that's what the bundle of rights are and
if every player creates a violation and
they're all off the ice you forfeit the
game
i.e your property what do you think of
that analogy it's a good one
so each player represents a right your
bundle of rights
and you can lose a right depending on a
violation you commit
and when you lose all those rights you
essentially lose the entire
property as a whole you guys like that
analogy
ah britney likes a straw okay okay
brittany we could go with a straw
instead of hockey players think of
straws in your hand if that helps
by the way if you guys want to follow me
there i am
there's my instagram joe jude or
instagram i would love if you guys
follow me
i post some professional tips and some
things i post that just help me with my
day-to-day i like to share things that
help me get through the day
and maybe it'll help you too so if you
want to follow me i'd be
excited about that i really appreciate
it
okay moving right along straws
hockey sticks whatever you want
a listing agreement is a unilateral
bilateral contract
b all are correct c employment contract
or d
contract to find a buyer for a property
what do you guys think arthur's on the
chat everybody say hi to arthur he's
going to design
this amazing system arthur we got a 10
tip today it's exciting stuff
and the answer is all are correct
so listing can be bilateral or
unilateral
exclusive listings are bilateral because
there's a commitment on both sides
when you have an open listing
there's no commitment on the broker side
to find a buyer but if they do find that
buyer you have to pay them but they're
not committed to look
with an exclusive listing you're
committed to look and this is
an employment contract your contract to
find a buyer
not to sell the house this is a poor
distinction
so just you guys know to give a shout
out to
arthur he's a very special guy because
just you guys know
this whole program is designed by him
we didn't get some template we didn't
like purchase some other system
he catered this program for everybody as
per your request so if you guys have
requests on how to make it better
let us know and he constantly builds
features
like this highlighted bit here like the
green and
the columns on the side and the red bar
up top
everything he custom made by himself
okay moving right along
which of the following will be the best
and most complete definition
of the term encumbrance
a the use of property by debtor to offer
a creditor security for a debt
b the degree quantity nature and extent
interest which a person has
in real property
c anything which affects or limits the
fee simple title to property
or d any action taken relative property
other than acquiring or transferring
title
what do you guys think
anything with effects or limits property
good give me an example of
encumbrance i want everybody in the chat
to write an example of an encumbrance
i want everybody in the chat to write an
example in encumbrance
and if your screen is blurry change the
settings to 720
hd
we got 460 people in the chat right now
exciting stuff easements liens clouds on
title
mortgages great anything which limits
you good job guys
oh more reading
mary owns a parcel landish and is trying
to show the exceptional circumstances
exist which justify using the land in a
way which is prohibited by
current zoning laws her intended use
would not be detrimental to the public
she would probably petition the planning
commission for a a
rezoning agreement b building permit
c redevelopment permit or deep variance
and the answer is d variance here's the
definition i want you guys to remember
everybody ready
a variance is an exception to the rule
that will not affect the rest of the
community everybody got it
it's an exception to the rule that will
not affect the rest of the community
the key point is it can't affect anybody
else you need
special circumstances to petition for it
all right good job everybody
you guys should all get this one right
super quick because we just went over
this
land that is subject to an easement is
said to be a
encroached b a pertinent c
restricted or d encumbered what do you
guys think
everybody should get this right super
quick
d encumbered we just went over there if
you guys got that wrong i'd cry
don't make me cry don't make me sad
don't make me blue
you know that darling's so in
hey moving right along
blockbusting is best described as an
attempt
a to panic a neighborhood into thinking
property values will decline due to
unwanted persons moving in
b by insurance companies to refuse to
issue homeowners policies to certain
residents of the city
c to form gorilla bands to use violent
actions to integrate neighborhoods
or d by banks to refuse loans to
homeowners and certain segments of the
city
and the answer is a
blockbusting panic pedaling panic
selling are essentially the same thing
they all say you better sell your house
because those people are moving into
town if you don't want to live by those
people do you
that is discriminatory it is a violation
of the fair housing act of 1968
and it's an easy one to get right on
your exam so
make sure you know that it's a big no-no
redlining has to do with finances
somebody wrote that that's specific to
financing and steering has to do with
working with buyers
yeah so d would have be redlining good
point whoever wrote that
involuntary methods of conveying
property include all the following
except a quick claim deeds
b adverse possession c as cheat or
decondemnation
what do you guys think
what do you guys think for the answer
here
okay and the answer here would be
a quick claim deeds
all right so a quick clean deed
is just a voluntary transfer your
property in fact it's the most
immediate way to transfer property
all right it's just an immediate for
transfer the rest is getting transferred
you like it or not they're mostly
government powers doing it or you've
been sued or something of that nature
okay so quickly deed is an immediate
transfer of the property usually it's
done between friends and family and
whatnot
if you guys have instagram want to
follow the prep agent instagram
here's our prep agent profile i welcome
you there to follow us
there if you guys want just follow us
there and prep underscore agent
good stuff move right along
restaurant would apply to which of the
following homes and residential
dwellings only
one to four family residential dwellings
commercial real estate only or d
subdivisions
what do you guys think
and the answer here is
b
residential real estate is defined as
one to four
units just so we're cleared defined as
one to four
units and we spoke about focus on
residential stuff
a before in the flight patterns that
cause a loss and property value would be
an example of
a aviation obsolescence b physical
deterioration
c economic obsolescence or deep
functional obsolescence
and the answer is
c economic obsolescence economic
obsolescence is a form of depreciation
that happens for causes outside your
property lines
see how many more we got we got a bunch
more i hope you guys are getting
comfortable
a bill of sale is used to transfer the
ownership of
what a personal property
be real property see fixtures or d
operances what do you guys think
the answer here would be personal
property
the rest of these are real one actually
says real property the other
types of real property fixtures are
included
with your purchase contract you buy the
house and so is anything that's a
pertinent
when you have something that's personal
property and part of the sale you got to
attach a bill of sale to it
because it's not real property it's not
incorporated into the purchase agreement
okay
when a dam broke the flow of water cut
away a strip of land from the river
break
this would be known as a reversion
b avulsion c accretion and d
alluvium
what do you guys think
and the answer is avulsion
avulsion sudden violent tearing away of
the land
as i read more questions and i become a
little more lazy with
my articulation of the words my accent
starts to come out
can you guys guess where i was
originally from
meaning from ages 0 to 18
can you guys guess who you guess where
i'm from based upon my accent
i don't have a strong accent so it's not
easy it's not easy it's a tough one
so i don't have a strong accent
and also i left that area when i was 18.
what do you guys think
arthur says australia
i grew up in the suburbs of new york i
grew up in the suburbs of
new york i do have strong ties to
colombia but that's not where i actually
grew up
but i do have very strong ties there
might day okay
moving right along
i used to watch mookie wilson and keith
hernandez and daryl strawberry and
dwight
goodin you guys probably know how old i
am if you know your baseball and i was
excited when joe morris was the running
back of the giants
and altoon was catching passes for the
jets
so all my new yorkers probably could
guess my age from the names i just threw
out there
okay a promise in exchange for a promise
supported by consideration
is the basis for a a multilateral
contract
b unilateral contract c offered to lease
d valid binding bilateral contract
what do you guys think
by the way everybody's writing columbia
just so you guys knows you
it's c-o-l-o-m-b-i not
you you is the university in
new york or the city in south carolina
the country is spelled with an o
pet peeve for colombians fyi
okay here we go and the answer is boom
valid binding bilateral contracts
bilaterals a promise for a promise was
the unilateral contract was just one
promise
unilateral is one promise like a lost
dog sign
stu mentioned i might have a knock knock
joke yeah i heard about that
the problem is i'm not 10 years old so i
don't have a knock knock joke ready
ouch arthur's got knock knock jokes
okay move right along
clara says i'm from columbia am i right
clara
spell no people
in the formation of contracts valuable
goods sufficient
adequate are terms mostly closely
associated with the
with a with which the following
a consideration b bilateral contracts
c compensation or d performance
congratulations miss ellen on passing
everybody saying congratulations miss
ellen
and the answer on the board here is
consideration it's one of the four
essentials of a valid contract can you
guys
give me the essentials of a valid
contract
i would like you guys to give me the
essentials of a valid contract
can you guys give me the essentials of a
valid contract
what do you guys think
what are the ascent the four essentials
of a valid contract lawful object good
job josh
consideration as it says on the board
mutual agreement and capable parties
good i'll say it again offer acceptance
capable parties
mutual agreement and consideration great
job everybody
and by the way if you guys want to learn
how to grow your business
you could do this before you pass you
can start learning now
go to our agent school youtube channel
arthur and i started this a little while
ago we're putting up some great content
there
make sure you subscribe to this here
i'll put it in the um
show notes
or descrip or the chat i should say
follow us there we're going to talk
about industry things stu is going to do
um friday webinar on updates in the
industry what's happening
because guys honestly we don't want to
just get you past the exam we want to
see you succeed in real estate
well beyond the goal is not to pass the
exam and all that's free
it's all free on agent school right now
so because we want to see you guys do
well it just didn't sit well with arthur
and i
that people were passing and then a year
later they weren't in the business
arthur and i had to have a real
heart-to-heart about it and we were like
this isn't what we're in this for we're
not in it for people just to pass the
exam
we want people to have a successful
career
so subscribe to that doesn't cost
anything
it's part of our mission to help people
get their career going so after you pass
you'll know what to do
okay moving on to the question on the
board
a listing broker had a signed sales
contract on a house
the broker then noticed a crumbling wall
in the basement the broker should inform
a both the buyer and the seller b
the seller only c the buyer
seller in the mortgage company and d the
buyer only
and the answer is both a buyer and
seller you're talking about a material
fact we're talking about crumbling wall
in the basement
so when you got a material fact you
gotta disclose to everybody the buyer
seller the postman the the dog walking
across the street
you can't keep those things a secret so
let me ask show us one more time
there it is you guys are gonna have to
pay for a lot of stuff so take advantage
of free stuff we're not charging
anything
you're with us you trusted us so we're
trying to come through for you guys
so this is all free if you don't like it
it costs you nothing
just trying to follow through with our
commitment to make sure you guys have a
new career
okay moving right along here
when a buyer withdraws his offer to
purchase real property prior to
acceptance by the seller
the a buyer is entitled to a refund of
the earnest money deposit
b seller may sue the buyer for specific
performance and will probably win the
suit
c seller is entitled to one half the
earnest money deposit or d
broker may sue the buyer for a specific
performance
and the answer is what do you guys think
let's hear it
what do you guys think
boom bar is entitled to get his deposit
back the key thing is there is no
acceptance i can make you an offer but
if you haven't formally accepted it
nothing happened give me my money back
nothing happened
there's actually a three-step process
for offering acceptance there's offer
acceptance and communicate back
acceptance to the buyer
all right think of it this way if i
offer you money you accept it
and i not sitting there waiting to hear
from you
and you never tell me you accepted it i
have the right to go make it offer
another house
how am i supposed to know you accepted
it everybody got that so it's actually a
three-step process
offer acceptance communicate back
acceptance
does that make sense everybody so just
remember it's a three-step process
and when you think about it logically it
makes sense
so another study tip for you guys
all right just to kind of mitigate the
requests we get
a lot of people write to us say joe i
failed a bunch of times or i'm having
trouble with this
what do i do what do i need to do what
do i need to do
i promise you guys arthur and i put our
heart and soul into this program
everything we got is here there's no
secrets there's nothing we're going to
tell you guys on the side this could be
like
oh well let me tell you this we didn't
tell anybody else but since you
messaged me on instagram here here's the
secret
it's no secret kind of like a kung fu
panda if you ever guys
watch kung fu panda when he gets the
scroll and he opens it he goes
ah there is no secret the secret is to
believe in yourself
who's ever seen kung fu panda it applies
so much
sometimes there's no secret guys just
right there in front of you just gotta
work a little harder and overcome things
that may be a little more difficult to
you
than it is to other people that's just
reality some things are gonna be harder
for you
some things are gonna be easier for you
just the way it is
because i get messages arthur gets
messages matt gets messages all time say
what do i do what do i do we put it all
in there
it's all in there everything we know to
do is in there
no secret sauce that's right
you guys seen kung fu panda if you
haven't it's probably my favorite
cartoon movie that
and um the jungle book the bear
necessities
mother nature's recipe okay here we go
next question
the effectiveness of the market data
approach is limited
most by which of the following factors
a the differences in the comparable
property
b economic conditions that rapidly
change
c the financing terms of comparable
property or
d types of properties that are regularly
sold
brenda ruined capitals next question all
right brenda don't need to yell at me
you guys ever feel that when people like
write you in capitals you're just like
stop yelling at me
capital letters always mean somebody's
screaming at you
the answer here is boom
economic conditions that rapidly change
so the market data approach takes in
comps usually within the last six
months right and if something's happened
in the last six months like i don't know
if a global pandemic strikes your town
that could drastically tr affect all the
comps
all the comps okay and therefore the
market data approach doesn't work
anymore
what item will appear as a debit on the
buyer's closing statement
a none of the other options are correct
b
prepaid homeowner's insurance c the
purchase price
or d unpaid property taxes
what do you guys think
the answer is
what do you guys think
the price of the house so debits money
you owe
credits money is coming to you
debit just means that you owe money and
the biggest thing you're gonna owe is
the price of the home so obviously
that's the purchase price for a buyer
it's the price of the home
i feel like we're doing good what do you
guys think good energy we got a real
positive group here
i love that we don't have those annoying
trolls one of the beauties of
our webinars in this age where so many
people
write nasty things on the internet
behind the cover of a computer screen
we never experience that in our webinars
i'm so grateful
to you guys for that people are
supportive and helpful and you guys know
in this day and age that just doesn't
always happen
arthur and i who started these webinars
we were worried about like the internet
trolls
rearing their ugly heads it just hasn't
happened so
honestly guys i i love you guys for that
and it really kind of makes us easy for
us to do what we do
okay an appraiser examines a building
that is 25 years old because of superior
upkeep it has the condition of an 11
year old building
the appraiser may use the 11 year old
age as the
a actual age b effective age
c numerical age or d physical age
what do you guys think
the answer is
be effective age
one of these days i'll tell you guys a
story of how arthur and i started this
together
it's a good story but for now let's get
past the exam
another time we'll get into that story
moving right along
when the rent is charged based on the
gross sale of business
the lease is correctly termed a
a gross lease b a net lease
c avoidable lease or d a percentage
lease
oh this is joe save me from bankruptcy
arthur we'll make a video about that
later
arthur and i are very close we've known
each other for
many many many many many years
okay so the answer here is
d percentage lease
so there's different types of leases
that you guys
need to know for the exam
you have the gross lease percentage
lease net lease
and sandwich lease okay
so a percentage lease is based upon the
gross receipts
right means for a business you pay a
percentage of the money coming in
a net lease is when you pay for things
like tax
insurance and maintenance like the
tenant a gross lease is what you
typically have
on residential property because you're
paying a
set amount all right and his sandwich
lease is also known as a subletting
so if you guys think oh i've never heard
of a sandwich lease don't worry about it
it's just another word for subletting
where the lessor is
also the lessee
okay how many of you guys know your
o-r-e-e rule
who knows their o-r-e-e rule
if you don't know your o-r-e-e rule you
must know it in order to pass the exam
if you do not know it you will fail if
you know it you're in good shape
here your eyes go ready a one
a one a one two three lessor vendor
option or grantors to give or the proper
tour for your pleasure
let's see vendi optionee grantee
give me property makes me happy
ee receives o-r gives
is there an exception to that rule do
you guys think there's an exception to
that rule
is there an exception to the glorious
o-r-e-e rule
what do you guys think
no there's no exceptions to that rule
it's a suffix there's no exceptions and
if you have a teacher who tells you an
exception that rule
tell them they stink and they need to
attend webinars with cynthia stu and i
like real quick okay the mortgage is not
an exception
because the mortgagor needs to give the
promissory note which is collateral
to the mortgagee which the lender the
lender's not
lending any money if they don't receive
that first people think money but the
money is not the first thing that
happens in that transaction
before you do that you got to give a
pledge that's why the mortgagor is the
or
everybody got that yes and mortgage
has some roots mean death pledge i don't
know how that all came about
but that's what it is
okay moving right along
which of the following types of legal
descriptions identifies a property by
outlining its boundaries in terms of a
series of directions and distances from
a specific point of beginning
a geodetic
b lot and block c meets and bounds or d
rectangular
so he's asking about kentucky we cannot
go over every individual state now
what's going to happen in each
individual state
everything we're doing now applies to
the national content that applies to
everybody
okay the answer here is meats and bounds
promise me something everybody ready
promise me you will never circle
something you never heard of
if you never heard of it do not circle
it
i know a lot of you guys are looking at
what's geodectic i don't know it's
something you never heard of don't
circle it
everybody promise me that on your exam
promise me
you will never circle something that
you've never heard of
how many you guys and be honest will get
a little insecure on your exam be like
wow i've never heard of that word but
it looks fancy was it in my book i'm not
sure never saw it before but man that
looks like an important word
sounds about right and you start
justifying it in your head
over and over again you gotta trust in
your studies
circle things you're familiar with if
you've never heard of it
don't circle it am i right or am i right
how many of you guys have done that
where you do
an exam and you're like i've never heard
of that word but
it looks important looks like an
important word i feel like i should know
that
this idea that you're going to
understand not only the correct answer
but all four options not gonna happen
okay with a tendency for years a 30-day
notice
is required to terminate the lease b no
notice is required
to rate the lease c the term of the
lease must be for at least one year
or d the lessee has a freehold estate
and the answer is b
this is also known as an estate for
years when there's a defined period of
time like in a summer rental
so the moment you move in do they know
when you're leaving therefore
you don't need to give notice to
terminate because they know the moment
you moved in
in some states the instrument used
instead of a mortgage is
a a promissory note b release deed
c negotiable instrument or d a deed of
trust
what do you guys think
and the answer is d adida trust
the depth of how much you have to know
about a mortgage or a deed of trust
depends on what state you're in
obviously but you all should know
basically what they are no matter what
state you're in
a deed of trust is a three-party system
with a trust door trustee and
beneficiary
a mortgage is a two party systems
mortgage or mortgagee
i won't get into more depth than that
like i said the depth of knowledge you
have to have on each
depends on what your state laws are and
what they use
but a basic definition of the two we all
should know
that
there's no math in california
jones put his house in the market brown
made a written purchase offer that jones
accepted in writing
when is this contract valid a
when brown is notified of the acceptance
b when the broker gets his fee
c as soon as the signatures are
notarized d
immediately
what do you guys think
and the answer when he gets acceptance
remember i spoke about this before
the process for offering acceptance
is offer acceptance and communicate back
that acceptance as the question says
here everybody got that remember if i
don't know you accepted it i'm going to
move on
the primary purpose of a deed is to
a give constructive notice b prevent
adverse possession
c prove ownership or d transfer title
rights what do you guys think
and the answer is
d deed is there for
evidence of transfer it's evidence of
transfer
title's ownership deed is evidence of
the transfer
we got a lot of questions here so let's
get moving on this a little bit
remember you could re-watch this whole
thing
which of the following is r considered
to be real property
a toilet b furniture c concrete patio or
d
sink
what is a it's a toilet do i have to
tell you what a toilet is
okay the answer is
b furniture
because it doesn't necessarily stay with
the property
it's personal to that person
you mean what it's okay a toilet is a
fixture is that what you're asking
it goes with the property i guess
in context i should have explained that
better
a new counteroffer a none of the other
options are correct
b the terms of the offer can never be
changed
c the counter offer becomes the
counteroffer e
or d the counteroffer can change the
terms they offered unilaterally
and the answer is
c a counter off is a brand new
offer so essentially the offer or
becomes the offeree
the offer or becomes the offer e here's
500 grand for your house
no here's my house for your 550 grand
economic obsolescence in a property is
generally
a a type of depreciation as incurable
be a result of poor maintenance c due to
architectural faults
d caused by the aging process
somebody asked what average possession
is i can't get into that now it's a long
thing i will do an instagram
story on that so watch for that i will
have it done
by end of the day today okay a story on
my instagram
about what is average possession so
check that out
i promise whoever asked that i'll answer
it there i promise
okay the answer is the type of
depreciates incurable
incurable okay now obviously you can
have like neighborhood watches and
petition the government but you got to
be reasonable here
generally when there's economic
obsolescence people move
which of the following is an encumbrance
a liens
b easements c all of their options are
correct or d
mortgages
and the answer is
see all their options are correct
one example of easement of gross is the
right of a
owners to cut across a neighbor's
property b
utility companies to access a property
in order to maintain wires or pipes
c owners to use the neighbor's backyard
for their own recreation
or d a roofing company work on repairs
to store some of their equipment in the
neighbor's yard
and the answer is b
easement and gross is when you cross
your property but you're not trying to
get to another property
the common example is a crosslink
property to fix
telephone pole lines why every single
textbook use the example telephone pole
lines
i don't know why maybe you guys know
which of the following would be
classified as a general lien
a mechanics lien b property tax lien
c judgment lien or d real estate
property tax lien
what do you guys think
and the answer is
[Music]
see judgment lean hopefully you guys
realize that b and d
are the same thing property tax liens
are specific
liens i mean if you don't take it they
only take the property so is mechanics
leaned
but if you lose a judgment in court they
could take everything from you
okay moving right along
the difference between the value of a
property the total amount of liens
against it is known as
a collateral b a down payment
c equity or d actual cash value
and the answer is c
equity how's my audio been i've had the
air conditioning on while i'm doing this
i want to make sure it doesn't bother
you guys so if it really stinks with air
conditioning i will sit here and sweat
but i'd prefer not to
equity is the interest in the property
above and beyond
all liens against it meaning after you
sell the property
what you could take home
okay
which type of lease requires the lessee
to pay a flat
rent a a sandwich lease b a percentage
lease
c a gross lease and d a net lease
and the answer is a gross lease we went
over that
earlier arthur
can you believe it we are one hour into
the webinar and we have 490 people
watching
it's crazy we had like 460 in the
beginning at 490 you guys are sticking
around huh
we have not lost like anybody
you guys must have told your family like
lock in the door
don't bother me the bald guy with the
hats talking and
speaking some knowledge about my exam so
everybody back off
the township contains only
a 640 acres be
36 square yards
see 23 040 square feet
or d 36 sections
somebody wrote we had over 500 before
buzzkill
all right
answers 36 sections
so a section is one square mile a
township it represents 36 quests
36 sections so a township is 36 square
miles
good and you learn about that when you
study meats and bounds of which we got a
great
video on it you can look it up on our
prep agent youtube channel
which of the following would usually
occur in a sale leaseback transaction
a the seller gets a return on the
purchase and the four
rental properties b the rent that the
seller pays is not income tax deductible
see the property is sold on the
condition that the new owner
lease it back to the seller at the same
time title passes
or d the buyer keeps capital in
inventories rather than in
realty arthur posted the vidar meets and
bound video check it out
and arthur there's anything you want to
mention like our question of the day
that you email out or anything else you
want to mention
just let me know i'm happy to mention
that
he said you know i'm doing this webinar
i may forget some stuff so there's any
stuff you want me to bring up just stay
in the chat
and i'll repeat it on the mic
all right
and the answer is c
the property is sold and the conditions
of new owner lease it back
to the seller and the time title passes
good
if one uses the words of definite
duration describe at least
it's most likely n
a periodic tendency b is stated
sufferance
c life of state or d estate for years
and the answer is
estate for years remember we spoke about
that it's a fixed period of time
a life estate's not definite because you
don't know when somebody's going to die
periodic tenancy is reoccurring and
stated sufferance like a deadbeat tenant
i think i'm getting everyone right so
far
maybe i should take the exam for you
guys what do you guys think
no i can't do that i know some of you
guys were thinking like i know he's
kidding but
is is he serious like in the back of
your head there was like a little party
who's like wait is he kidding
is if he's not i'm totally down know you
big cheaters
how many guys tell your kids don't cheat
study learn your stuff and do the best
you can
and do with honor and courage
and then if i told you hey i got this
quest answers to your exam here it is
you'd be like cool give it to me but
what'd you tell your kid
whatever screw that give me the answers
right how many guys is that totally you
like absolutely just take the test from
me
rock and roll it's different i'm the
parent
okay here we go the type of real estate
ownership that is most
all-inclusive is a a
life estate b fee simple absolute estate
c qualified free estate or deep
reversionary interest
and the answer is fee symbol absolute
most absolute interest but there still
is
taxes so it's there's still
some encumbrances there
an agent becomes the age of the seller
when both the seller and the agent sign
n a purchase agreement b transfer
disclosure statement
c listing agreement d agency disclosure
statement
somebody said joe do you have dogs yeah
i got two
flacca and gordo
flacca and gordo those are my two dogs
for those guys who don't speak spanish i
basically named my dogs fat and skinny
okay the answer here is boom c
a listing agreement
a listing agreement
boom that's that contract it's the doozy
which of the following would be
classified as a general
lien
a mechanics liens b property tax lien
c real estate property tax lien
or d judgment lien
sabrina stop copying and pasting capital
letters
all the time please just write to me on
instagram i'll try and do a video on it
we got a lot of questions to go through
okay the answer is d judgment lean
i think we did one very similar to this
did we already do this one my bad guys
my bad
the difference between a freehold and le
and leaseholder state
is
the writer survivorship for the tenant
b who's obligated to pay the property
expenses
c ownership versus the right to purchase
or d ownership versus possession
and the answer is
ownership versus possession freehold
that's like feasible absolute life
estate feasible to terminal
less than freehold those are types of
leases like a state for years periodic
tenancy a state of suffering
state at will less than freeholds are
basically types of leases
the term depreciation refers to the a
cost incurred to renovate or modernize a
building
b value of real estate after expiration
of its useful life
see loss of value in real estate from
any cause or d
capitalized value of lost rental income
and the answer is c loss in value from
any cause
to help a buyer get an fha loan a real
estate broker should put the buyer in
contact with
a the federal home loan mortgage
corporation b the designated fha
appraiser in the area
c a lending institution approved by the
fha or d
the fha
and the answer is c
a lending institution approved by the
fha
let's follow up on that question with
another one that's related
a purchaser is qualified to obtain an
fha loan for his new home
which of the following would you apply
to a fha lender
b freddie mac or c fannie mae
or d the fha
so this is the similar question asked in
a different way it's important to see
some of that sometimes we don't always
know exactly how they're going to ask it
okay so it's an fha lender not the fha
itself an
fha lender is a lender that's approved
by the fha
a portion of joe's building was
inadvertently built on ginny's land this
is called
an a easement b encroachment
c evulsion or d accretion what do you
guys think
is encroachment good
a broker accepts an exclusive
authorization writes the listing on a
corporation
during the listing term all offers of
the corporation die
in this case a the listing is
automatically terminated b
the listing must be acknowledged by the
new point officers
see the listing must be signed by the
corporation board of directors
indeed the listing remains in full
effect
ah i clicked the wrong button i meant i
meant
man sorry guys
i meant to click that listing remains in
full effect
because with the corporation i got one
wrong
don't judge me
i always get judged for my beauty don't
judge me for this too
that's right because it's a corporation
a type of real estate ownership that is
most all-inclusive
is a a qualified fee of state
b fee symbol absolute estate c reversion
interest or d life estate
and the answer is b
fee symbol absolute estate i just got
that one wrong so you guys rethink that
whole idea of me taking the exam for you
all right
a balloon payment is usually associated
with a
a package mortgage b blanket mortgage
c variable mortgage that varies with the
cost of the index
or d large payment during the term or
the end of the payment schedule
and the answer is d
boom
the sudden family purchased the largest
most expensive home in a new subdivision
five years later when they were ready to
move they discovered that the value of
their home had gone up
proportionately less than the other
houses in the neighborhood
this phenomenon is an example the
principle of a
substitution b diminishing return c
change or d regression
and the answer is d regression that
means nice homes valley gets brought
down because it's around
lesser homes
if the owners of a shopping center want
a major department store's lease to
provide
rental payments that reflect the store's
sales they're most likely to use which
of the following types of leases
a flat fee b net c gross
or d percentage
what do you guys think
that would be a percentage leaves
good
eminent domain in this cheat are two
examples of
a transfer of title by descent b
adverse possession c involuntary
alienation
or d voluntary alienation
and the answer is c these are both
examples of the government taking your
property from you whether you like it or
not
a property owner conveys a life estate
to his brother for the brother's
lifetime
it designates his cousin as the person
to whom the property will pass in the
life estate ends
when the brother dies what happens to
the property
a the property owner must designate a
remainder of the property
b the property passes to the brothers
heirs
c the cousin automatically becomes a fee
symbol owner of the property
or d the property reverts back to the
original owner of the property
and the answer is c
sorry click the wrong one
okay the cousin gets the property it's
designated his cousin as the person to
whom the property will pass
good
how big is an acre everybody tell me how
big an acre is right in the comments how
big is an acre
how big is an acre
43 560 square feet good just as it says
right there
boom a landowner sells one acre of his
two-acre property to a friend
he reserves for himself in a pertinent
easement over the friend's land for
ingress and egress
the landlord's property is a the
dominant tenement
b the serbian tenement c is subject to
an easement and gross
or d cleared of the easement when the
landowner sells the remaining acre to a
third party
what do you guys think what do you think
the dominant tenement because they have
the right to cross the property
good
the amount of a loan expresses
percentage of value of the real estate
offered as
collateral is the a amortization ratio
b debt to equity ratio c capital use
ratio
or d loan to value ratio
and the answer is
d loan to value ratio guys i encourage
you to watch this again and again
we're going through a lot of stuff here
and i also encourage you not only to
make comments on our youtube video when
you see this
but also look at those youtube comments
and help other people like comment on
their comments when you see
question just participate we could all
help each other out
there's no way arthur and i could like
address every single person every
comment on youtube
instagram facebook groups our emails
everything so that's why we really try
hard to build a community
where we help each other because all of
us helping each other will go a lot
further than just our team no matter how
big our team is trying to do it all
part of the consideration offered to a
seller when the buyer signs an agreement
of sale
is called a an option b
or reconnaissance c earnest money or d
a freehold estate
and the answer is
boom earnest money deposit shows that
you're serious about your offer
just a little reminder about our
instagram profiles there's the prep
agent instagram profile
check it out there's mine
there's our website and back to the
practice questions
for the past 30 years the settings
continue to operate in neighborhood
grocery store
last week the city council passed a
zoning ordinance that prohibits
packaged food sales in the area where
the settings grow store is located
the store is now an example of a
violation of eminent domain
b non-conforming use c
illegal enterprise or deep variance of
the zoning laws
that's right jason you can watch it
later
what do you guys think here
boom non-conforming use excellent
a real estate broker is responsible for
a chain of events that result in the
sale of his client's property
this broker is legally called the a
responsible party
b compensable cause
c initiating factor or d procuring cause
the answer is
d procuring cause
good job
the current cause is the reason
somebody's there
the principle of appraising which states
the maximum value is achieved and the
properties and harmony of its
surrounding is the principle of
a conformity b highest and best use
c contribution or d competition
the answer is b
highest and best use ah conform me i
meant conformity
oh sorry we're getting deeper in the
webinar here my bad guys
conformity is when all the properties
look alike so valley goes up like in
south beach miami
sorry we're getting deep into this
i'm gonna take a two second break get
some water don't go anywhere
i think i need to kind of refresh one
second
everybody sing like marianna i'll be
right back
and i'm back all right did you miss me
did you guys miss me
i know i was gone for a while and you're
like what where'd he go
all right here we go back to the matter
at hand
the addition to one's land by the
gradual deposit of soil through natural
causes
is a unolation b redemption
c accretion or d avulsion
what do you guys think the answer is
c accretion good
excellent
a home is the smallest in a neighborhood
of large expensive homes the larger
house
have an effect on the value of the
smaller home called the principle of
a progression b regression c
contribution or d substitution
what do you guys think
and the answer is
what do you guys think
the answer is progression good
progression value goes up
regression it goes down contributions
like when you add a swimming pool or
something
to the house
attendance lease is expired but the
tenant has not vacated the premise or
renegotiated lease
the landlord has not given the tenant
permission to remain in the building
the situation is example of a in a state
from year to year
b tenancy will c estate for years
or d tenancy at sufferance what do you
guys think
the answer is d
tenancy at sufferance the landlord is
suffering
poor landlord tenant won't leave
the portion of the value of an owner's
property that exceeds the amount of the
owner's mortgage
is called a surplus b
equity c escrow or d equality
this is um a similar concept before
framed in a different way
so we try and do that a lot so you guys
get these questions right
and the answer is be equity good
when a company furnishes materials for
construction of a house and is
subsequently not paid
it may file a mechanics lien b
deficiency judgment
c estople certificate or d lease
pendants
what do you guys think
the answer is a mechanics lien which is
also known as the specific
lien meaning if you don't pay they could
take one thing specifically mechanics
involuntary specific lien
somebody said how many questions left
just these there's light at the end of
the tunnel
just these ones left you guys see them
in the right hand column
not much more
a buyer joe and a seller stephen both
signed a purchase contract
what title interest if joe if any just
don't have
the property at this point
and the answer is be
equitable equitable is the right to
possess with the right to get legal
title later date
legal title you get when you have
everything loans are paid off
everything's done
the court ordered to properly designate
individuals to sell property and order
satisfied judgment is called a a
deficiency judgment
b a writ of execution c a lease pendants
or d
an attachment
is constructive eviction illegal yep
somebody does that they could be in
trouble
constructive eviction is basically just
like kicking somebody out by like not
fixing the heat and make it unlivable
and this answer is boom a writ of
execution that's a court order to sell
something
a borrower takes out a mortgage loan
that requires monthly payments of 875.70
20 years and a final payment of
24 000.95
24 095
this is what type of loan
so this would be a balloon loan because
there's a large
payment at the end there's a large
payment at the end
real property can become personal
property by the process
called a attachment b severance
c hypothecation or d accretion
the answer here is
b just think you're severing it off like
you're chopping it off
real property becomes personal boom a
lot of you people know when purse
becomes real about fixtures and
attachment all that
this is going the other direction taking
something is real and making it personal
think of it you're severing it off
you're cutting it off
the removal of land when a stream
suddenly changes its channel is a
avulsion b accretion c
adverse possession or d breach
and the answer is
avulsion went over that before
avulsion is the sudden violent tearing
away of land
it's avulsion it's emulsion guys
it's sudden once you see that word
suddenly
it's avulsion accretion is more gradual
everybody got that accretion is gradual
so the moment you see that word here
sudden you know it's avulsion
all right
a person who has complete control over
partial real estate is said to own
a a life estate b fee
simple estate c leasehold estate or d
to feasible estate
the answer is b
fee simple estate boom
good it's the highest degree of
ownership
discrimination is prohibited in lending
practices under which of these acts
a equal credit opportunity b real estate
settlement procedures act
c fannie mae or d truth and lending act
and the answer here is
a equal credit opportunity act
good rasmus doesn't deal with
discrimination
wrestling deals with other things equal
credit opportunity act deals with
discrimination
what activity requires a real estate
license a
a service that for a fee matches
individuals who want to sell property
b a homeowner selling their home c a
resident manager collect rent on behalf
of building owner or d
an executor selling a descendant's
building
and the answer is a
boom
we have two more questions left before
we do those two more i'm going to get my
gratuitous plug-in
please everybody tell everybody about
our prep agent website
we love it if you did subscribe to my
instagram joe juder subscribe to the
prep agent instagram prep underscore
agent
and of course subscribe to our agent
school youtube
channel where we will make you guys real
estate
geniuses and when you pass you'll be
ready to
rock all right it's all free there
everything i just showed you there
well not the website the other stuff is
and here we go two more questions
the normal section the government
rectangular survey system contains
a 36 square miles b six square miles
c one square mile or d a hundred sixty
acres
and it says it's awesome can you host
another depends how many people
subscribe
in up i'll do another anna don't worry
and the answer is one
square mile we talked about a section a
township which is 36 square miles
the section's one square mile
last question a possessor
right or ownership interest in real
estate is called an
a abstracted title b ad valorem
c estate or d affidavit
and the answer is for the last question
of the day
c estate thank you everybody
you've been amazing i hope this helped
you
this was a lot of information diana's
getting tired
as am i they're gonna go take a nap
but we watch this over and over again
share this with your friends by all
means
that's what it's meant for thank you
everybody
and we will see you soon bye