Free Delaware Property Practice Test — LicenseIQ

Question 1

An exempt property is listed. What does the licensee obtain instead of the Condition Report and Radon Disclosure?

Accepted Answer

Rule 10.7.

Question 2

A title search is performed primarily to:

Accepted Answer

A title search establishes the chain of title and reveals encumbrances or defects before closing. (Reclassified from section 17 to section 9 / CORE - not NJ-specific.)

Question 3

Under the statute of frauds, a real estate sales contract must be:

Accepted Answer

The statute of frauds requires real estate sales contracts to be in writing and signed to be enforceable.

Question 4

Does the resale certificate requirement apply to a condominium created under the Unit Property Act in 1995?

Accepted Answer

§81-119 lists §81-409 among sections applying to pre-existing communities.

Question 5

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 6

In general, a 'stigmatized' property refers to one:

Accepted Answer

Stigmatized properties are affected by events (crime, death) rather than physical condition; disclosure rules vary by state. (Well-established principle; not detailed in the course.)

Question 7

Which is the most common and desirable way a real estate sales contract terminates?

Accepted Answer

Contracts ideally end by performance. They can also end by mutual agreement, impossibility, operation of law, or breach.

Question 8

Delaware real estate licenses expire:

Accepted Answer

Rule 12.1: licenses expire April 30 of even-numbered years.

Question 9

Which document is recorded in the county records and makes the property collateral for a loan?

Accepted Answer

The mortgage creates the lien and is recorded. The promissory note is the borrower's personal promise to repay and is not recorded.

Question 10

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 11

The reasonably probable use of a property that is legally permissible, physically possible, financially feasible and maximally productive is its:

Accepted Answer

Highest and best use is the use producing the greatest value that meets the four tests.

Question 12

Who may host an open house on a listed property?

Accepted Answer

Rule 11.1.

Question 13

Private restrictions placed in a deed by a developer are called:

Accepted Answer

Deed restrictions (covenants, conditions and restrictions) are private controls enforced by owners or associations, not government. Zoning and building codes are public controls.

Question 14

A chronological summary of all recorded documents affecting a property's title, such as deeds, mortgages and liens, is a(n):

Accepted Answer

The abstract summarizes the recorded history; the chain of title lists successive owners; an attorney's opinion of title evaluates it.

Question 15

The subject property has a garage; a comparable that sold for $300,000 does not. The garage is worth $15,000. The adjusted value of the comparable is:

Accepted Answer

Adjust the comparable, never the subject. The subject is superior, so add $15,000 to the comp: $315,000.

Question 16

A $4,000,000 sewer project is assessed against properties with a combined assessed value of $160,000,000, payable over 5 years. What is the ANNUAL assessment on a property assessed at $240,000?

Accepted Answer

Rate = $4,000,000 / $160,000,000 = $0.025 per $1. Total = $240,000 x 0.025 = $6,000; annual = $6,000 / 5 = $1,200.

Question 17

A property that fails to sell at the foreclosure auction and becomes owned by the lender is called:

Accepted Answer

When no bid meets the lender's minimum, the lender takes title and the property becomes REO inventory.

Question 18

Which person may perform real estate activity without a Delaware license?

Accepted Answer

§2901(e) exempts attorneys-in-fact. Property managers may not sell or lease for others, and a brokerage company can act only through a licensed broker.

Question 19

A property is assessed at $280,000 and the tax rate is 22 mills. What is the annual tax?

Accepted Answer

1 mill = $1 per $1,000. $280,000 / 1,000 = 280; 280 x 22 = $6,160.

Question 20

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 21

Delaware's seller property condition disclosure requirement comes from the:

Accepted Answer

6 Del. C. §2570.

Question 22

Which transfer is exempt from the Buyer Property Protection Act?

Accepted Answer

6 Del. C. §2577.

Question 23

The buyer must receive the Seller's Disclosure of Real Property Condition Report:

Accepted Answer

6 Del. C. §2573.

Question 24

An ad for listed property must display the registered brokerage name and office phone number:

Accepted Answer

Rule 8.6.5.3.

Question 25

A lender asks a listing agent for a CMA on a property already under a signed agreement of sale. The agent should:

Accepted Answer

§2931.

Delaware real estate property practice test

1. An exempt property is listed. What does the licensee obtain instead of the Condition Report and Radon Disclosure?

2. A title search is performed primarily to:

3. Under the statute of frauds, a real estate sales contract must be:

4. Does the resale certificate requirement apply to a condominium created under the Unit Property Act in 1995?

5. A life estate is measured by:

6. In general, a 'stigmatized' property refers to one:

7. Which is the most common and desirable way a real estate sales contract terminates?

8. Delaware real estate licenses expire:

9. Which document is recorded in the county records and makes the property collateral for a loan?

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

11. The reasonably probable use of a property that is legally permissible, physically possible, financially feasible and maximally productive is its:

12. Who may host an open house on a listed property?

13. Private restrictions placed in a deed by a developer are called:

14. A chronological summary of all recorded documents affecting a property's title, such as deeds, mortgages and liens, is a(n):

15. The subject property has a garage; a comparable that sold for $300,000 does not. The garage is worth $15,000. The adjusted value of the comparable is:

16. A $4,000,000 sewer project is assessed against properties with a combined assessed value of $160,000,000, payable over 5 years. What is the ANNUAL assessment on a property assessed at $240,000?

17. A property that fails to sell at the foreclosure auction and becomes owned by the lender is called:

18. Which person may perform real estate activity without a Delaware license?

19. A property is assessed at $280,000 and the tax rate is 22 mills. What is the annual tax?

20. A quitclaim deed is most often used to:

21. Delaware's seller property condition disclosure requirement comes from the:

22. Which transfer is exempt from the Buyer Property Protection Act?

23. The buyer must receive the Seller's Disclosure of Real Property Condition Report:

24. An ad for listed property must display the registered brokerage name and office phone number:

25. A lender asks a listing agent for a CMA on a property already under a signed agreement of sale. The agent should:

Sources