Virginia Real Estate Exam Practice Question
What instruments are commonly used to secure the purchase of real property?
Correct Answer: D
Rationale: A mortgage and a promissory note are essential instruments in securing real property purchases. A mortgage provides the lender with a claim on the property if the borrower defaults, while the promissory note outlines the borrower's promise to repay the loan.
Option A, "deed of trust and promissory note," is incorrect because a deed of trust is a separate instrument that serves a similar purpose to a mortgage but is not as commonly used in all jurisdictions.
Option B, "mortgage and deed of trust," is misleading as it combines two security instruments, but typically only one is used in a transaction.
Option C, "mortgage and lease," is incorrect since a lease does not secure property purchase; it is used for rental agreements, not financing.
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