Certified Residential Appraiser Practice Exam

What is the primary purpose of a real estate easement?

1. To increase property value

2. To provide access and utility rights

3. To create a financial obligation

4. To limit property use

The correct answer is: To provide access and utility rights

The primary purpose of a real estate easement is to provide access and utility rights. An easement allows one party the legal right to use another party’s property for a specific purpose, which often involves access to land, such as a driveway, or enabling utility companies to install and maintain infrastructure like power lines or water pipes. Easements are crucial in real estate as they ensure that properties can have necessary access or services without the need for purchasing or obtaining ownership of that property. This function is essential for neighborhood development, ensuring that all properties can remain accessible and functional while respecting private property rights. The concept of easements does not inherently aim to increase property value, create financial obligations, or limit property use as its primary function, though they may have incidental effects on these aspects.