CHAPTER 9-
A new expressway is being built through a neighborhood. If the residents do not want to sell their land, what right would the government exercise to take the land? (a) Eminent domain (b) Zoning (c) Escheat (d) Defeasance
(a) Eminent domain
What may a real estate licensee do with respect to model residential lease forms approved for use by the Florida Supreme Court? (a) Fill in the blanks (b) Prepare an addendum (c) Modify language to conform to the agreement of the landlord and tenant (d) Interpret a clause in the document in answer to a question
(a) Fill in the blanks
Which clause in a deed states the interest that is being conveyed? (a) Habendum (b) Reddendum (c) Release (d) Seisin
(a) Habendum
Which of the following is a complete list of the required components of a valid lease? (a) Names and signatures of lessor and lessee, legally competent parties, legal description, consideration, and definite lease term (b) Signature of lessor, seal, legal capacity, consideration, and term (c) Names of lessor and lessee, seal of lessor, consideration, and capacity (d) Signature of lessee, terms, property description, and consideration
(a) Names and signatures of lessor and lessee, legally competent parties, legal description, consideration, and definite lease term
What type of lease, that is often a commercial lease, requires the tenant to pay the rent, plus also separately pay taxes, insurance, and maintenance? (a) Net Lease (b) Gross Lease (c) Percentage Lease (d) Graduated Payment Lease
(a) Net Lease
Zoning is an example of which government limitation over private property rights? (a) Police power (b) Eminent domain (c) Escheat (d) Taxation
(a) Police power
A homeowner has run into some financial difficulty and has not been able to pay property taxes or income taxes. If liens resulted in a foreclosure sale, which of the following is the correct order for payment of the liens? (a) The city would be paid first. The IRS would be paid after the city, provided the sale produced enough funds. (b) All liens will be added together and each lienholder would receive their prorated share. (c) The IRS would be paid first. The county would be paid next. (d) The order of these two liens would depend solely upon the order in which they were filed.
(a) The city would be paid first. The IRS would be paid after the city, provided the sale produced enough funds.
Which of the following best describes a gross lease? (a) The tenant pays one payment and the landlord pays taxes, maintenance, and insurance. (b) The tenant pays rent as a percentage of gross revenue collected. (c) The tenant pays rent to the landlord, but also pays taxes, maintenance, and insurance separately. (d) The tenant pays rent which is applied to the future purchase price, should the tenant decide to purchase the property.
(a) The tenant pays one payment and the landlord pays taxes, maintenance, and insurance.
The purpose of recording a deed in the public records is to give notice to all parties. Which term refers to this type of notice? (a) Timely notice (b) Constructive notice (c) Actual notice (d) Illegal notice
(a) Timely notice
Which of the following would be used to cure a defect in title of real property? (a) A mortgage (b) A quitclaim deed (c) Title insurance (d) Contract for purchase and sale
(b) A quitclaim deed
What type of notice is considered to be the best proof of ownership? (a) Actual (b) Constructive (c) Implied (d) Expressed
(b) Constructive
Which instrument transfers title from one individual to another? (a) Contract (b) Deed (c) Warranty (d) Covenant
(b) Deed
Which deed would be the best deed in regard to promises and guarantees from the grantee's point of view? (a) Quitclaim (b) General Warranty (c) Bargain and Sale (d) Sheriff's deed
(b) General Warranty
What type of deed is most commonly used? (a) Special warranty (b) General warranty (c) Quitclaim (d) Bargain and sale
(b) General warranty
Which clause in a deed specifies the type of estate that is being conveyed from the grantor to the grantee? (a) Premises (b) Habendum (c) Granting (d) Tenendum
(b) Habendum
What is the term used to describe an individual who dies without leaving a will? (a) In default (b) Intestate (c) In bond (d) Escheat
(b) Intestate
Which of the following is a correct combination regarding alienation of property? (a) Voluntary alienation - Deed, Will, Eminent Domain (b) Voluntary alienation - Deed, Escheat, Will (c) Involuntary alienation - Adverse Possession, Eminent Domain, Escheat (d) Voluntary alienation - Will, Deed, Eminent Domain
(c) Involuntary alienation - Adverse Possession, Eminent Domain, Escheat
Which condition correctly describes the requirement for a lease longer than one year to be enforceable? (a) It is oral and witnessed by two people. (b) The Statute of Frauds does not apply to leases. (c) It is in writing, signed by the landlord, and witnessed by two persons. (d) Witnesses are not required.
(c) It is in writing, signed by the landlord, and witnessed by two persons.
Which of the following is required for a valid deed? (a) It must be notarized. (b) It must be recorded. (c) It must be witnessed. (d) It must be acknowledged.
(c) It must be witnessed.
Liens may be specific to one property or be general in nature and apply to any property the person may own. Which of the following liens is a general lien? (a) Construction lien (b) Property tax lien (c) Judgment lien (d) Mortgage lien
(c) Judgment lien
Which of the following is required to obtain title by adverse possession? (a) Possession of the property for one month (b) Pay the taxes on the property for two years (c) Notorious, open, hostile, adverse and exclusive possession of the property for seven or more consecutive years (d) Open and continuous use for 20 or more years
(c) Notorious, open, hostile, adverse and exclusive possession of the property for seven or more consecutive years
What does the term "title" refer to in real estate? (a) Any instrument that guarantees legal rights (b) A legal instrument that transfers property from one party to another (c) Ownership (d) A piece of bond paper
(c) Ownership
Mary and Louise open a beauty shop in a regional mall. The terms of their lease require that a portion of their business income, in addition to the periodic rent, be paid to the landlord. What type of lease do they have? (a) Gross (b) Step-up (c) Percentage (d) Ground
(c) Percentage
What is the term used to describe a person who is appointed by a court to act for a decedent? (a) Referee (b) Benefactor (c) Personal representative (d) Relative
(c) Personal representative
All of the following are required elements of a valid deed, EXCEPT: (a) Granting clause (b) Premises clause (c) Signature of the grantee (d) Signature of the grantor
(c) Signature of the grantee
Which of the following is the warrant in a deed in which the grantor assures the grantee freedom from hostile claims against their ownership? (a) Habendum clause (b) Warrant of seisin (c) Warrant of quiet enjoyment (d) Reddendum clause
(c) Warrant of quiet enjoyment
What is a warrant in a deed? (a) A disclaimer (b) A promise made by the grantee (c) Unenforceable (d) A promise made by the grantor
(d) A promise made by the grantor
A five-year lease of a 10,000-square-foot warehouse prohibits assignment. After two years, the tenant is unable to continue with the full rent payments and arranges with another tenant to take over one-half of the space and pay one-half of the rent for the remaining term. What is this arrangement called? (a) A violation of the terms of the lease (b) A violation of F.S. 83 (c) A lease-option (d) A sublease
(d) A sublease
Which of the following statements is true regarding an attorney's opinion of title? (a) It guarantees the title. (b) It guarantees the authenticity of the documents. (c) It is the same as title insurance. (d) It is rendered after an examination of an abstract.
(d) It is rendered after an examination of an abstract.
Which statement is correct concerning a quitclaim deed? (a) The only warrant contained in the deed is the warrant of seisin. (b) The grantor cannot transfer ownership under a quitclaim deed. (c) A quitclaim deed transfers temporary title. (d) It may be used to cure defects in title.
(d) It may be used to cure defects in title.
Sales associate Sally discovers that a property that she has listed has title defects which may render the title unmarketable or unmerchantable. What should Sally do? (a) Notify the Florida Real Estate Commission of the condition of title. (b) Licensees should not offer opinions as to the marketability of title, so Sally should do nothing. (c) Sally should disclose the condition of the title to the buyer at closing. (d) Sally should immediately notify the owner of the problem she has discovered.
(d) Sally should immediately notify the owner of the problem she has discovered.
Which of the following is a valid reason for the government to utilize its eminent domain power? (a) The town council wishes to sell land containing a closed government office building. (b) The city council has decided that it would prefer that a developer tear down historic homes, and replace them with a private condominium complex. (c) The government has decided to build a new shopping center in conjunction with a private developer. (d) The government has decided to build a new interstate highway by-pass of the city to help move traffic more quickly.
(d) The government has decided to build a new interstate highway by-pass of the city to help move traffic more quickly.