Chapter 3
Joint Venture
A business agreement in which the parties agree to develop, for a finite time, a new entity and new assets by contributing equity is known as what...?
Act of Waste
A cause of action that can be brought in court to address a change in condition of a property brought about by a current tenant that damages or destroys the value of that property is known as what...?
Which of the following is an example of real estate...?
A house built on a property
An Estate for Years does NOT automatically renew
An Estate for Years automatically renews for how many years...?
Which of the following is NOT an economic characteristic of real property...?
Architectural Design
Which of the following is NOT an example of a fixture...?
Art work
The reversion to the State of property in the event the owner thereof abandons it or dies, without leaving a will and has no distributees to whom the property may pass by lawful descent is known as what...?
Escheat
Fee Simple Estate
In this type of estate, the owner is entitled to the entire property with unconditional power of disposition during the owner's life and descending to the owner's heirs or distributees...?
Banks typically do NOT lend on this type of trust...?
Irrevocable Trusts
Act of Waste
John is renting a single family house from Chris for the summer. During his tenancy, John caused extensive water damage, which affected the structural integrity of the house. What has John committed...?
Which of the following land rights is associated with a stagnant body of water...?
Littoral rights
Why is real property characterized as illiquid...?
Real property is not easily sold
Ownership by only a single individual is known as what...?
Severalty
An ownership of realty by two or more persons, each of whom has an undivided interest, without the "right of survivorship", is known as what...?
Tenancy in Common
When a property is partitioned between owners, their interests in the property are calculated by...?
The amount of money that each owner contributed to the property
Life Estate
The conveyance of title property for the duration of the life of the grantee is known as what...?
Why might a bank NOT lend money to an irrevocable trust...?
The full title and rights can be transferred to the trustee
If one of the owners in a joint tenancy dies, their share of ownership is distributed to...?
The other joint tenant(s)
Which of the following is NOT among the Bundle of Rights...?
The right to build over the property line
Which of the following rights is NOT included in the full bundle of rights...?
The right to partially build a fence over the adjacent property line
Which of the following rights is granted to the tenant of a life estate...?
The right to quiet enjoyment
Air Rights
The rights in real property to use the space above the surface of the land are known as what...?
David owns a property in the Theater District of Manhattan. The property adjacent to David's property includes a landmarked Broadway theater with 8,500 unused buildable square feet. Unfortunately for the theater, the remaining buildable square footage cannot be used since the building is landmarked and cannot be modified. David offers to buy the theater's unused square footage. What is David looking to buy from the adjacent theater...?
air rights
Local zoning ordinances often regulate the development of these types of land rights...?
air rights
Which of the following is an economic characteristic of real property...?
immobility
In this type of ownership, profits pass through the property and taxes are paid at the personal level...?
limited liability company
Any property which is not real property is known as what...?
personal property
Real estate is also referred to as what...?
real property
In regards to financing, banks are more favorable towards what type of trust...?
revocable trusts
Which of the following is associated with a flowing body of water...?
riparian rights
John owns a property in the Hudson Valley region of New York. He learned that there are valuable minerals located directly beneath his property, which by definition of real property are also owned by John. This is because John is entitled to what type of rights...?
subsurface rights
Although many factors affect the value of real property, what is the primary driver in determining the value of real property...?
supply and demand
Personal property that is attached to the land or improvements as to become part of the property is known as what...?
trade fixture
Any person who holds property, authority, or a position of trust and responsibility for the benefit of another is known as the...?
trustee