Texas Real Estate State Practice Exam

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Prepare for the Texas Real Estate State Exam with comprehensive study materials. Engage in multiple choice questions and gain insights with in-depth explanations and examples. Ace your exam confidently!

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What legal action is created by recording a judgment on a property?

Encroachment
Easement
Lein
Reservation

The correct answer is: Lein

The correct choice is a lien. Recording a judgment against a property establishes a legal claim or interest in that property as security for the debt owed by the property owner. This lien gives the creditor the right to potentially seize the property to satisfy the judgment if the debt is not paid. In contrast, encroachment refers to a situation where a property intrudes upon another property’s boundary, which does not relate to a legal claim for debt. An easement is a right to use another person's land for a specific purpose, and it does not stem from a judgment. Reservation concerns retaining certain rights or interests in a property upon its transfer, which is unrelated to the act of recording a judgment. Thus, a lien is the only option directly connected to the legal action resulting from recording a judgment on a property.