Ch. 4 - National Ownership Pg. 182 - Unit 5: Quiz

Which of the following is an example of an easement by necessity?

A court grants a land-locked owner the right to use a neighbor's driveway for access.

How can a junior lien's priority be changed?

A lienor can voluntarily agree to subordinate its lien to another lien.

Neighbor Fred built a retaining wall that was 2 feet outside his property line. What has Fred created?

An encroachment

Which of the following is NOT a legal property of liens?

Can only exist one at a time against the same property.

Oak Hill subdivision only allows homes over 2,000 sq ft to be built. What is this an example of?

Deed restriction

Which of the following tax liens is a junior lien?

Income tax lien

A film company wants to rent a farm from the farm owner for a two-week film shoot. What type of agreement should be used?

License

Which would terminate an easement?

Merger of the two properties

Which of the following is an example of a voluntary lien?

Mortgage lien

How is a lien terminated?

Payment of the debt that is the subject of the lien and recording of the satisfaction.

A foreclosure finds a homeowner with the following liens: a first mortgage dated five years earlier; a second mortgage dated two years earlier; an unpaid real estate tax bill for the current year; and a mechanic's lien for work performed five years earlier. Which of these liens will be paid off first?

Property tax lien

A real estate tax lien, a federal income tax lien, a judgment lien, and a mortgage lien are recorded against a property. Which lien will be paid first when the property is sold?

Real estate tax lien

What date is used to establish lien priority for a mechanic's lien?

The date of beginning or ending the mechanic's work, per state law

Which of the following is true of easements in general?

They involve the property that contains the easement and a non-owning party.

One difference between a condition and a covenant is that

a condition can be created only when there is a transfer of ownership.

Property A and property B share a common wall along the property boundary. To ensure that neither owner destroys the wall, the owners of A and B should create

a party wall easement.

A court might grant an easement by prescription if

an intruder has been using an owner's property for a certain period with the owner's knowledge but without permission.

An encumbrance is most broadly defined as

another's interest in a real property that limits the interests of the freehold property owner.

A lien is a

creditor's claim against property as security for a debt of the property owner.

Other than its categorization as inferior or superior, a lien's priority is generally determined by the

date of recordation.

If the owner of property A has a court-ordered easement to drive across property B because it is the only way for A to have access to a public road, the easement is a(n)

easement by necessity.

Deed restrictions generally concern

how a property may be used and what structures may be built on it.

A general lien is a lien

placed against any and all property owned by an individual.

A lien holder can change the priority of a junior lien by agreeing to

subordinate the lien.