Property Ownership and Land Use Practice Question
Question
An investor is comparing two properties involving encroachments. Which statement best describes encroachments? (Item 128)
Answer choices
- A. It requires the licensee to favor the other party over the licensee’s own client.
- B. It is primarily a tax rule with no effect on brokerage practice.
- C. It removes the need for written disclosure if the licensee believes the client already knows.
- D. Recognize when an improvement crosses a boundary and may require disclosure or resolution.
Correct Answer
D. Recognize when an improvement crosses a boundary and may require disclosure or resolution.
Explanation
The correct answer is D because encroachments requires candidates to recognize when an improvement crosses a boundary and may require disclosure or resolution. The other options overstate the effect of custom, oral agreement, escrow, or independent salesperson action and do not reflect safe California exam practice.
Question details
- Difficulty: medium
- Domain: Property Ownership and Land Use
- Objective: encroachments