California Real Estate Practice Exam

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Master the California Real Estate Exam with our comprehensive practice quiz. Get expert tips, detailed content review, and insider strategies to pass on your first try.

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When is a landowner entitled to compensation for a change in zoning?

when the zoning change affects property values negatively
when the landowner is denied all practical economic use of the property
only if the property is residential
when the property is re-zoned for commercial use

The correct answer is: when the landowner is denied all practical economic use of the property

When a landowner is denied all practical economic use of their property due to a change in zoning, they are entitled to compensation. This means that they are unable to make any reasonable use of their land, making it essentially unusable or worthless. The other options (A, C, and D) are incorrect because they are not comprehensive enough to cover all scenarios where a landowner may be entitled to compensation. A change in zoning may negatively affect property values (A), but the landowner may not necessarily be entitled to compensation in this scenario. Additionally, compensation is not limited to residential properties (C) and can also apply to commercial properties (D). It is only when the landowner is completely denied any practical use of their land that they are entitled to compensation (B).