Free Connecticut Property Practice Test — LicenseIQ

Question 1

An owner of lakefront property holds:

Accepted Answer

Littoral rights apply to properties abutting standing bodies of water such as lakes and oceans. (Reclassified from section 16 to section 1 / CORE.)

Question 2

A deed that conveys only whatever interest the grantor has, with no warranties, is a:

Accepted Answer

A quitclaim deed conveys the grantor's interest, if any, with no warranties - often used to clear clouds on title.

Question 3

The four unities required to create a joint tenancy are:

Accepted Answer

PITT: joint tenants must take equal interests, at the same time, by the same deed, with equal rights of possession.

Question 4

Under the Code of Ethics, a REALTOR who wants to buy a property listed with his own firm must:

Accepted Answer

REALTORS must disclose in writing their licensed status and any interest when buying or selling property for themselves or family.

Question 5

Three joint tenants own a property. One dies leaving a will that gives her share to her son. The son receives:

Accepted Answer

Survivorship operates outside the will; the deceased's interest goes to the surviving joint tenants.

Question 6

A quitclaim deed is most often used to:

Accepted Answer

Quitclaim deeds convey whatever interest the grantor may have, without warranties, making them useful for removing clouds or releasing claims.

Question 7

A commercial property has potential gross income of $240,000 and an 8% vacancy allowance. Using a gross income multiplier of 6, what is the estimated value?

Accepted Answer

EGI = $240,000 - 8% = $220,800; value = $220,800 x 6 = $1,324,800.

Question 8

A buyer preparing a bona fide offer asks the listing agent in writing whether the home was ever the site of a homicide, felony, or suicide. The seller refuses to answer. What must the agent do?

Accepted Answer

§20-329ee requires the owner, through the agent, to report findings in writing, or, if the owner refuses, requires the agent to advise the buyer in writing of the refusal.

Question 9

A town assesses real property at 70% of fair market value. A home's market value is $400,000 and the mill rate is 32.5. What is the annual property tax?

Accepted Answer

Assessed value = $400,000 x 0.70 = $280,000. Tax = $280,000 x 32.5 / 1,000 = $9,100. Applying the mill rate to market value gives $13,000; dividing by 10,000 instead of 1,000 gives $910.

Question 10

The seller prepaid $4,320 in property taxes for the calendar year. Closing is April 20, and the seller owns the day of closing. Using a 360-day year (30-day months), what is the proration?

Accepted Answer

Daily = $4,320 / 360 = $12. Seller owned Jan 1-Apr 20 = 3 months + 20 days = 110 days, so the buyer owes for 360 - 110 = 250 days. 250 x $12 = $3,000, credited to the seller (who prepaid) and debited to the buyer.

Question 11

The condition report requirement applies to residential property of:

Accepted Answer

§20-327b applies to residential real property of one to four dwelling units, including co-ops and condos.

Question 12

Under a land contract (contract for deed), during the payment period the buyer holds:

Accepted Answer

In an installment/land contract the buyer has equitable title and possession; the seller keeps legal title until the final payment.

Question 13

The principle that a property's value tends to be set by the cost of an equally desirable substitute is:

Accepted Answer

Substitution: a buyer will pay no more than the cost of an equally desirable alternative.

Question 14

Which action may a life tenant take WITHOUT the remainderman's consent?

Accepted Answer

A life tenant may occupy or lease the property for the duration of the life estate but cannot sell, mortgage or commit waste that harms the remainderman's future interest.

Question 15

A life estate is measured by:

Accepted Answer

A life estate lasts for the duration of a specified person's life, then passes to the remainderman or reverts to the grantor. A fixed term describes an estate for years (a leasehold).

Question 16

In a deed, the party conveying title is the ____ and the party receiving title is the ____.

Accepted Answer

The seller (grantor) conveys to the buyer (grantee). A deed is the document; title is the ownership rights it transfers.

Question 17

A REALTOR is asked to value a type of property she has never handled. Under the Code of Ethics she should:

Accepted Answer

Article 11 requires competence; if lacking expertise, the REALTOR must get qualified help (disclosed to the client) or decline.

Question 18

Does the condition report requirement apply when no real estate licensee is involved in the sale?

Accepted Answer

§20-327b expressly applies to all covered transfers regardless of whether a licensee is involved.

Question 19

Under Connecticut's Common Interest Ownership Act, within what time must the association furnish a resale certificate after a written request and payment?

Accepted Answer

§47-270 requires the association to furnish the certificate within 10 business days. Three business days is the optional expedited timeline that allows an extra fee of up to $10.

Question 20

Which person must hold a Connecticut real estate license?

Accepted Answer

Licensure is required for anyone who negotiates a sale for another and for compensation. Owners, fiduciaries such as executors, and attorneys acting as attorneys are exempt under §20-329.

Question 21

Which person is exempt from Connecticut's real estate licensing requirement?

Accepted Answer

§20-329 exempts owners and lessors and their regular on-site employees such as residential superintendents and custodians. The others act for others for compensation and need a license.

Question 22

A borrower facing default voluntarily conveys the property to the lender in exchange for release of the debt. This is a:

Accepted Answer

In a deed in lieu, the borrower voluntarily deeds the property to the lender, which avoids the foreclosure process; the lender must agree, and the borrower should get a written release of any remaining debt. In a short sale, the property is sold to a third party for less than owed with lender approval. Credit-reporting effects vary by lender and situation, so licensees should not promise a borrower any particular credit outcome.

Question 23

What is the state conveyance tax rate on the first $800,000 of consideration for a residential property?

Accepted Answer

§12-494 sets the residential state rate at 0.75% up to $800,000, 1.25% on the portion from $800,000 to $2.5 million, and 2.25% above $2.5 million. 0.25% is the base municipal rate.

Question 24

How is the Real Estate Guaranty Fund funded at the time a person first applies for a license?

Accepted Answer

§20-324b requires each licensee, upon applying for a license, to pay a one-time $20 fee credited to the fund. Fines under §20-320 are also deposited to it.

Question 25

A property's assessed value is $210,000 and the mill rate is 28 mills. What is the annual tax?

Accepted Answer

Tax = $210,000 x 28 / 1,000 = $5,880. The assessed value is already given, so do not multiply by 70% again ($4,116 is that error).

Connecticut real estate property practice test

1. An owner of lakefront property holds:

2. A deed that conveys only whatever interest the grantor has, with no warranties, is a:

3. The four unities required to create a joint tenancy are:

4. Under the Code of Ethics, a REALTOR who wants to buy a property listed with his own firm must:

5. Three joint tenants own a property. One dies leaving a will that gives her share to her son. The son receives:

6. A quitclaim deed is most often used to:

7. A commercial property has potential gross income of $240,000 and an 8% vacancy allowance. Using a gross income multiplier of 6, what is the estimated value?

8. A buyer preparing a bona fide offer asks the listing agent in writing whether the home was ever the site of a homicide, felony, or suicide. The seller refuses to answer. What must the agent do?

9. A town assesses real property at 70% of fair market value. A home's market value is $400,000 and the mill rate is 32.5. What is the annual property tax?

10. The seller prepaid $4,320 in property taxes for the calendar year. Closing is April 20, and the seller owns the day of closing. Using a 360-day year (30-day months), what is the proration?

11. The condition report requirement applies to residential property of:

12. Under a land contract (contract for deed), during the payment period the buyer holds:

13. The principle that a property's value tends to be set by the cost of an equally desirable substitute is:

14. Which action may a life tenant take WITHOUT the remainderman's consent?

15. A life estate is measured by:

16. In a deed, the party conveying title is the and the party receiving title is the .

17. A REALTOR is asked to value a type of property she has never handled. Under the Code of Ethics she should:

18. Does the condition report requirement apply when no real estate licensee is involved in the sale?

19. Under Connecticut's Common Interest Ownership Act, within what time must the association furnish a resale certificate after a written request and payment?

20. Which person must hold a Connecticut real estate license?

21. Which person is exempt from Connecticut's real estate licensing requirement?

22. A borrower facing default voluntarily conveys the property to the lender in exchange for release of the debt. This is a:

23. What is the state conveyance tax rate on the first $800,000 of consideration for a residential property?

24. How is the Real Estate Guaranty Fund funded at the time a person first applies for a license?

25. A property's assessed value is $210,000 and the mill rate is 28 mills. What is the annual tax?

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