Massachusetts Real Estate License Practice Test 2025 - Free Real Estate License Practice Questions and Study Guide

Question: 1 / 400

Which of the following is NOT typically a covenant in a mortgage?

Free from encumbrances

Guarantee of profit

In a mortgage agreement, covenants serve as promises made by the borrower regarding the management and condition of the property. These covenants often include assurances about the property's legal standing, such as being free from encumbrances and warranting against claims from others. They may also stipulate the right of the borrower to sell the property, ensuring that the lender's interests are maintained throughout the life of the loan.

The guarantee of profit, however, is not a standard covenant found in mortgage agreements. Mortgages do not typically promise that the borrower will make a profit from the property. Instead, they focus on the borrower's obligation to repay the loan and maintain the property in good condition. Because of this fundamental difference in focus, the guarantee of profit is correctly identified as something that is not typically included in a mortgage covenant.

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Right to sell the property

Warranty against claims from others

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