Alabama Real Estate Practice Exam

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Prepare for the Alabama Real Estate Exam. Utilize flashcards and multiple-choice questions, each coupled with hints and explanations. Ace your upcoming test!

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 an Absolute Net Lease require the tenant to pay?

Only base rent
Base rent and a percentage of their gross sales
Utilities, all repair and maintenance costs and real estate taxes
Base rent and utilities only

The correct answer is: Utilities, all repair and maintenance costs and real estate taxes

An Absolute Net Lease requires the tenant to pay for utilities, all repair and maintenance costs, and real estate taxes in addition to the base rent. This is unlike option A, which does not require the tenant to pay for any additional costs. Option B is incorrect because while it requires the tenant to pay a percentage of their gross sales, it does not include utilities or taxes. Option D is also incorrect because it only requires the tenant to pay for utilities in addition to the base rent, omitting repair and maintenance costs and real estate taxes. Therefore, C is the most comprehensive and accurate option for what an Absolute Net Lease requires the tenant to pay.