Alabama Real Estate Practice Exam

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Master your Alabama real estate exam with our comprehensive practice test. Tailored feedback, expert tips, and up-to-date questions to ensure your success!

Each practice test/flash card set has 50 randomly selected questions from a bank of over 500. You'll get a new set of questions each time!

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What does 'subject to mortgage' involve?

Complete transfer of responsibility to the buyer
Partial transfer of property title
A transfer with the original owner still responsible
Refinancing the original mortgage

The correct answer is: A transfer with the original owner still responsible

This is because when a property is 'subject to mortgage', it means that the original owner of the property is still responsible for the mortgage, even though the property has been transferred to the buyer. Option A is incorrect because the buyer does not fully take on the responsibility of the mortgage. Option B is incorrect because 'subject to mortgage' does not involve a partial transfer of property title. Option D is incorrect because refinancing a mortgage involves obtaining a new loan, while 'subject to mortgage' does not involve obtaining a new loan.