NRES Nevada Real Estate Salesperson Exam - Set 2 - Part 3

Test your knowledge of technical writing concepts with these practice questions. Each question includes detailed explanations to help you understand the correct answers.

Question 41: A person dies without having prepared any valid will or living trust directing how the real estate should be distributed, and no arrangement names who takes the property. Real property owned by someone who dies this way passes according to which of the following?

The state law of descent and distribution

A codicil filed by the heirs

The listing broker's instructions

A recorded deed of trust

Question 42: A property owner prepares a valid will leaving a specific parcel of real estate to a named relative, the gift to take effect only after the owner's death. What is a gift of real property made by will like this called?

A bequest

A codicil

A reconveyance

A devise

Question 43: By placing a deed in the public record, an owner puts the whole world on notice of the interest, so that any later purchaser is presumed to know of it whether or not they actually searched the records. What kind of notice does recording give?

Constructive notice

Actual notice

Personal notice

No notice at all

Question 44: A title examiner finds a gap in the record of successive owners, leaving ownership impossible to trace through an unbroken sequence and creating a cloud on the title. Which court action is used to establish ownership and clear that cloud?

A partition suit

A foreclosure action

An action to quiet title

A condemnation proceeding

Question 45: Under a typical sales contract, the seller must deliver title that a reasonably prudent and well-informed buyer would accept, free of serious defects and not exposing the buyer to the hazard of litigation over ownership. What is this quality of title called?

Marketable title

Color of title

Equitable title

Constructive title

Question 46: A claimant openly uses a neighbor's vacant lot, visibly and without permission, continuously and exclusively for the full period state law requires, and then sues to obtain title to it. Which of the following BEST describes how title may pass here?

By escheat to the state

By voluntary alienation

By a reconveyance deed

By adverse possession

Question 47: At closing a buyer obtains title coverage that protects against losses from defects that existed before the policy was issued, with the premium paid once. Which policy covers the buyer for the property's full purchase price rather than for a loan balance?

An owner's title policy

A lender's title policy

A homeowner's hazard policy

A home warranty

Question 48: A prospective buyer wants a summary report that an abstractor prepares by searching the public records, listing the recorded conveyances, liens, and encumbrances that have affected a parcel from its origin forward. What is this summary report called?

A certificate of occupancy

A title commitment binder

An abstract of title

A plat map

Question 49: State recording acts generally give legal priority among competing interests to those documents placed in the public record before others, subject to certain exceptions such as property tax liens. This general rule is often summarized by which phrase?

First in time, first in right

Caveat emptor

Highest and best use

Time is of the essence

Question 50: In the few states that use it, an owner registers title through a court process, after which the registrar issues a certificate that itself serves as evidence of ownership, so no further search of the public records is needed. What system is this?

The abstract and opinion method

The Torrens system

The rectangular survey system

The escrow closing system

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