Allied Schools California Real Estate Practice Test

Which term best describes an improvement that crosses the boundary into an adjoining parcel?

Defect in Title Economic Obsolescence Encroachment Lease

Correct Answer:

Encroachment

Explanation:

An encroachment is when an improvement actually crosses the boundary into a neighboring parcel. For example, a garage or a fence that extends beyond your property line onto a neighbor’s yard fits this term. This wording specifically describes the situation where physical work on one property intrudes into another, which is what the question is asking about. The other terms don’t fit: a defect in title concerns problems proving ownership or liens, not boundary lines; economic obsolescence is a loss in value due to external economic factors, not intrusions across property lines; a lease is a contractual right to occupy property, not an encroachment of improvements onto someone else’s land.

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