National Ownership

What is the effect of the Doctrine of Laches? A property owner may impose a restriction of usage on all future owners of the property. The government may enforce a restrictive covenant against a private property owner. A property owner who is lax in protecting ownership rights may lose those rights. No property owner has the right to limit any legal business use of a property by means of a covenant or deed restriction.

A property owner who is lax in protecting ownership rights may lose those rights.

What is a datum in a legal description? A code indicating the date and time that a survey is recorded An area measurement included in a plat survey A standard form for recording a plat survey A standard elevation reference point

A standard elevation reference point

What has replaced most dower and curtsey laws? Estate laws and non-estate laws. Community property laws and elective share laws. Eminent domain laws and freehold laws. County laws and civil laws.

Community property laws and elective share laws.

What document shows legal alienation of a property? Contract Deed Purchase Agreement Promise to Sell

Deed

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

Deed restriction

f a tenant farmer's lease expired, but several months later he is able to go back and harvest the corn crop, the crops would be known as what? Trade fixtures Emblements Fructus naturales Fixtures

Emblements

James created his own will by writing it out on legal pad. What kind of will is this? Holographic Topographic Transposed Biographical

Holographic

In a condominium ownership, who owns the individual condo units? The unit manager Individual owners The cooperative Third party mortgage holders

Individual owners

Which statement about a deed in lieu of foreclosure is TRUE? It gives the borrower an opportunity to change the loan terms. It is a deed to the lender in exchange for a reduction in the loan payoff. It avoids public notice of the foreclosure. It is always accepted by the lender since it reduces the costs of foreclosure.

It avoids public notice of the foreclosure.

Why is a fee simple estate called the highest form of ownership interest? It cannot be taken by eminent domain or have a lien placed against it. It includes the complete bundle of rights with virtually unlimited duration. It extends upwards to infinity. It is not subject to estate taxes when passed on to legal heirs.

It includes the complete bundle of rights with virtually unlimited duration.

When a joint tenant dies, what happens to the tenant's interest in the estate? It passes to the decedent's heirs, who become joint tenants. It passes as a tenancy in common to the decedent's heirs. The joint tenancy terminates and becomes a tenancy in common with the decedent's heirs and the surviving tenants as co-owners. It passes to the surviving joint tenants.

It passes to the surviving joint tenants.

Which of the following statements about liens is FALSE? There may be multiple liens against a property. Liens always convey ownership. An owner acquires existing liens along with the property. A lien terminates once the debt is paid and satisfaction is recorded.

Liens always convey ownership.

When does a testamentary trust take effect? At any specified time within the lifetime of the grantor. When the grantor's will is witnessed and dated. On the death of the grantor. When the beneficiary reaches legal age.

On the death of the grantor.

How many owners can there be in a tenancy in severalty? One Two, if married Several Any number

One

The recorded plat method is used to describe what? Properties in residential, commercial, and industrial subdivisions. Properties in rural or undeveloped areas. Municipal properties within a city center. the total area of a township.

Properties in residential, commercial, and industrial subdivisions.

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? First mortgage Second mortgage Property tax lien Mechanic's lien

Property tax lien

What are the two forms of owner's title insurance? Formal and Informal Basic and Comprehensive Short and Long Standard and Extended

Standard and Extended

Which type of foreclosure involves a court-ordered transfer of the mortgaged property to the lender? Non-judicial Strict Peremptory Judicial

Strict

Which legislation holds current owners responsible for environmental violations committed by previous owners? The National Environmental Policy Act of 1969 The Clean Air Amendment of 1970 The Toxic Substances Control Act of 1976 The Comprehensive Environmental Response, Compensation and Liability Act (CERCLA, 1980) and Superfund Amendment (1986)

The Comprehensive Environmental Response, Compensation and Liability Act (CERCLA, 1980) and Superfund Amendment (1986)

In a cooperative, who pays the mortgage? The cooperative corporation The board of directors The shareholders The management

The cooperative corporation

Who creates the cooperative association that buys a cooperative property? The local cooperative board of regulation. The lending institution financing the development. The prospective tenants. The developer.

The developer.

Why are volatile organic compounds (VOCs) considered an environmental hazard? They make groundwater unsafe for consumption. They cause decomposition of any material they are applied to. They emit toxic fumes. They are known to cause cancer if eaten.

They emit toxic fumes.

A break in the chain of title to a property results in a clouded title. a title plant. a lien of indeterminate ownership. a duplicate title.

a clouded title.

- To make it easier to describe elevations, surveyors refer to standard elevation points called notches. data marks. watermarks. benchmarks.

benchmarks.

A person who dies without a will is said to be prostrate. intestate. estateless. undevised.

intestate

Encumbrances are examples of illegal interests. eminent domain. public interests. private interests.

private interests.

The court proceeding that generally settles a decedent's estate is called testate. probate. escheat. distribution.

probate.

Special assessment tax liens are general liens. are paid on a monthly basis. take priority over mechanic's liens. cannot be prepaid in full without penalty.

take priority over mechanic's liens.

Two individuals can own a house as tenants by the entireties if they so elect at the time of acquiring title. they are blood relatives. they are married. they incorporate.

they are married.

In a time-share freehold, owners acquire undivided interests as tenants in common. a tenancy from period-to-period for a portion of a year. a pro rata share of a leased fee. a tenancy in severalty for a portion of a year.

undivided interests as tenants in common.

A mortgage lien is a type of voluntary lien. involuntary lien. statutory lien. general lien

voluntary lien.

Leakage of underground storage tanks is a source of air pollution. water and soil pollution. flood hazards. ambient toxicity

water and soil pollution.

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. Two neighbors agree the build a fence and share ownership of the fence. An owner invites a neighbor to use his swimming pool while the owner is away for the summer. A person habitually parks his recreational vehicle on his neighbor's yard because his own driveway is not large enough to hold it.

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? The lienee can "promote" one lien above another at the request of a lienee. A lienor can sue to have its lien reclassified as superior. If the holder of a superior lien dies, an inferior lien holder automatically moves up on the schedule of priority. A lienor can voluntarily agree to subordinate its lien to another lien.

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

Which document would note a lien on the title? Abstract Title of Record Mirror Title Title of Liens

Abstract

Neighbor Fred built a retaining wall that was 2 feet outside his property line. What has Fred created? A deed restriction A license violation An encroachment A zoning exemption

An encroachment

What is a "fixture?" Any item of personal property located within the boundaries of a parcel of real estate An item of personal property that has been converted to real property An item of real property temporarily placed on land for the purpose of conducting a business An item of personal property that has been left in one location for a period of one year

An item of personal property that has been converted to real property

Which is NOT one of the four main forms of evidence an owner can use to show marketable title to a buyer? Title insurance policy. Broker's certificate. An attorney's opinion of abstract. Torrens certificate.

Broker's certificate.

How does the judicial system influence real estate ownership? By levying property taxes. By enforcing zoning ordinances and building codes. By ensuring tenants' rights are greater than landlords' rights. By making decisions based on case law and common law.

By making decisions based on case law and common law.

A municipality wants to build a water treatment facility, and requires some privately owned land to do so. What procedure enables the municipality to buy the property, even against the owner's wishes? Estoppel Escheat Alienation Eminent domain

Eminent domain

Which of the following is a role of state government in land use regulation? Establishment of specific standards of usage Establishment of real estate license laws Control of land development Levying of real estate taxes

Establishment of real estate license laws

Once the life tenant dies, the life estate portion reverts back to whom? Grantee Life tenant Grantor Revisionary

Grantor

Which of the following is the distinguishing characteristic of a special warranty deed? It makes warranties only for the time the property was owned by the grantor. It conveys both present and any future interest that may be acquired by the grantor. It is the finest and most complete warranty deed that a grantee may receive. It must specify the actual amount of valuable consideration paid by the purchaser.

It makes warranties only for the time the property was owned by the grantor.

Which is NOT a superior lien? Special assessment lien Real estate tax lien Federal and state inheritance tax lien Judgment lien

Judgment lien

Which type of foreclosure involves sale of the mortgaged property under court supervision? Non-judicial Strict Judicial Equitable

Judicial

Which of the following statements about eminent domain is TRUE? It can only be applied in cases where the owner agrees with the government's superior claim. The government agency exercising the power is under no obligation to compensate the owner. The government may take a privately-owned property and use it for any purpose whatever, including reselling for a profit. No private property is exempt from the exercise of this power.

No private property is exempt from the exercise of this power.

What is the difference between a fee simple determinable estate and a fee simple condition subsequent estate? There is no reversion of ownership in determinable estate. There is no reversion of ownership in condition subsequent estate. Reversion of ownership is automatic in the determinable estate. Reversion of ownership is automatic in the condition subsequent estate.

Reversion of ownership is automatic in the determinable estate.

Which of the following was an important result of the National Environmental Policy Act of 1969? Money was provided for hazardous waste disposal. The Environmental Protection Agency was created. Lead was banned in the manufacture of plumbing materials. Transportation-related noise was banned.

The Environmental Protection Agency was created.

What guarantees the right of individual land ownership? The United States Constitution The United States Supreme Court State laws Local zoning ordinances

The United States Constitution

Ownership of which of the following is used to define an "interest in real estate?" Deed The bundle of rights Acreage Attachment

The bundle of rights

What date is used to establish lien priority for a mechanic's lien? The date of recording the lien The date of contracting between the mechanic and the lienee. The date of beginning or ending the mechanic's work, per state law The date the lienee borrows money to pay the debt

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

Who is usually responsible for site plans, subdivision plans, building permits, and ruling on zoning issues? The state legislature The planning commission The zoning board of appeals The city manager

The planning commission

Which land description method divides tracts of land into subdivisions and blocks? The recorded plat method. The rectangular survey method. The metes and bounds system. The government survey system.

The recorded plat method.

Under the laws of descent, who gets a property when its owner dies without a will and no legal heirs can be found? The federal government The heirs of the previous owner of record The state or county The nearest municipality

The state or county

Who owns the land under a navigable river? Owners of properties that abut the river. No one. The state. The municipality, if the area is incorporated.

The state.

A commercial tenant installed some ice cream coolers to sell ice cream. Which of the following statements best describes what happens to the coolers upon the expiration of the lease? The tenant would be able to take the coolers only if the tenant paid the owner the fair market value of the cases. The tenant would be able to take the coolers prior to the expiration of the lease since they were trade fixtures that were installed by the tenant. The landlord would be able to keep the coolers because once the coolers were installed they become real property. The owner would be able to keep the coolers as they would be considered emblements.

The tenant would be able to take the coolers prior to the expiration of the lease since they were trade fixtures that were installed by the tenant.

Which of the following is TRUE of a joint tenancy? The tenants can determine the size of the share owned by each tenant. The size of the tenant's shares is determined by the amount of equity each has invested in the property. The tenants have an equal and indivisible ownership interest. There can be no more than two co-owners, and each has a fifty percent interest.

The tenants have an equal and indivisible ownership interest.

Which of the following statements about restrictive covenants is TRUE? They take priority over less restrictive zoning ordinances. Unlike other private controls, they may be discriminatory. They are used exclusively for residential properties. They are permanent and unchangeable.

They take priority over less restrictive zoning ordinances.

How many sections are there in a township, and what are their dimensions? Twelve sections of three miles in length. Thirty-six sections of one mile in length. Five sections of five miles in length. One section of thirty-six miles in length.

Thirty-six sections of one mile in length.

A property built 23 years ago had a roof overhang that extended 1½ feet onto a neighbor's property. What could happen? This could create an easement by prescription. The owner of the property could make the owner of the roof pay him for the land. Neither property owner could do anything since it has gone on for so long and hasn't bothered anyone. The owner of the property may have a better chance of suing to have the encroachment removed because damages could not be awarded that many years later.

This could create an easement by prescription.

A partition suit is used for which of the following? Determination of party fences To allow the construction of party walls To force a division of property without all the owner's consent To change a tenancy by the entireties to some other form of ownership

To force a division of property without all the owner's consent

Which of the following is NOT part of the bundle of rights? To encumber property. To steal property. To use property. To transfer property.

To steal property.

Which best describes a tenancy at sufferance? When the tenant has received oral permission to stay. When the tenant stays beyond her lease without consent. When the tenant has received notice to terminate a lease. When the tenant's lease has a definite termination date.

When the tenant stays beyond her lease without consent.

If a property sold at a court foreclosure does not sell for an amount sufficient to satisfy the outstanding mortgage loan debt, the mortgagee may sue for a judgment by default. a deficiency judgment. a satisfaction of mortgage. damages.

a deficiency judgment.

If the duration of an owner's rights in an estate cannot be determined, the owner possesses an indeterminate legal estate. a leased fee simple estate. a freehold estate. a leasehold estate.

a freehold estate.

An "improvement" is a modification of land to make it more useful. a modification of a structure to enhance its value. a structure intended as a permanent attachment to land. a parcel of land that has been prepared for development.

a structure intended as a permanent attachment to land.

A legal description of a property is one that accurately locates and identifies the boundaries of the property and distinguishes it from all other properties. notes the perimeter size and square footage of the property. is accepted by a licensed surveyor as suitable for inclusion in a survey of the property. written by an attorney licensed to practice real estate law in the state in which the property is located.

accurately locates and identifies the boundaries of the property and distinguishes it from all other properties.

The buyer of a tax certificate obtains immediate legal title to a foreclosed property. is exempted from the payment of property taxes for one calendar year. agrees to pay the taxes due on a property in return for the right to apply for a deed. obtains the right to bid on a property at a tax sale.

agrees to pay the taxes due on a property in return for the right to apply for a deed.

The right to build a taller structure on top of an existing structure is an example of the right to encumber. surface rights. the right to liquidate. air rights.

air rights.

The system of ownership that allows individuals to own property is called feudal. constitutional. democratic. allodial.

allodial.

An interest in real estate that does not include the right to possess is considered a leasehold interest. a fee simple estate. an encumbrance. a tenancy.

an encumbrance.

If a tenant occupies a leased property without the consent of the landlord after a lease expires, the type of estate that results is called an estate at sufferance. a holdover estate. an adverse leasehold. a hostile leasehold.

an estate at sufferance.

If a party has an interest in real estate that includes the right of possession, the party owns an encumbrance. a fractional part of an estate. an enjoinment. an estate in land.

an estate in land.

The National Environmental Policy Act of 1969 requires developers of large projects to carry out a carbon footprint analysis. conduct an environmental impact survey. establish an environmental oversight committee. hire an environmental consultant.

conduct an environmental impact survey.

Private land use controls are primarily implemented by zoning regulations. comprehensive plans. deed restrictions. building inspectors.

deed restrictions.

The "bundle of rights" refers to a set of rights enjoyed by the owner of a property. that is inseparable from a parcel of real estate. guaranteed to citizens by the Declaration of Independence. specified in a deed or land contract.

enjoyed by the owner of a property.

A man had rented a place to live but had stayed beyond his lease without the owner's consent. This would be tenancy for years. estate at will. periodic tenancy. estate at sufferance.

estate at sufferance.

If an estate includes the complete bundle of rights and unlimited duration of tenancy, it is a simple life estate. determinable estate. fee simple estate. legal life estate.

fee simple estate.

A property is secured by a mortgage that does not contain a "power of sale" clause. To foreclose, the lien holder will have to file a deficiency suit. file a foreclosure suit. obtain a deed in lieu of foreclosure. obtain a writ to extinguish the lien.

file a foreclosure suit.

Title can be voluntarily transferred by grant, deed, and will. escheat, deed, and covenant. title certificate, will, and deed. sale contract, deed, and warrant of seisin.

grant, deed, and will.

Deed restrictions generally concern the form of ownership in which a property may be held. how long a property must be owned before it can be legally transferred. what groups of people are legally excluded from future ownership of a property. how a property may be used and what structures may be built on it.

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

A legal rectangular survey system description is not suitable if the property falls within two townships. is more than six miles from a standard parallel. has been surveyed since 1790. is irregular in shape.

is irregular in shape.

A parcel's street address is an insufficient legal description because street addresses do not contain a lot and block. it does not contain a POB. it lacks permanence and sufficient data for a surveyor to locate it. it creates a cloud on title.

it lacks permanence and sufficient data for a surveyor to locate it.

Someone who possesses all ownership interests in real property owns equitable title to the real property. legal title to the real property. equitable and legal title to the real property. statutory title to the real property.

legal title to the real property.

A trust established for the benefit of a third party, but only for the lifetime of the grantor, is called a living trust. testamentary trust. planned trust. beneficial trust.

living trust.

One reason a deed in lieu of foreclosure is attractive to some borrowers is that it terminates all existing liens on the property. minimizes the damage to the borrower's credit. enables the borrower to share in the proceeds when the property is sold. demonstrates that market conditions, not any failure of the mortgagor, are the cause of the default.

minimizes the damage to the borrower's credit.

When a lender is required to foreclose on a deed of trust, the lender does not have to go through the courts to foreclose if the deed of trust contains a power of sale clause. This kind of foreclosure is known as non-Judicial foreclosure. judicial foreclosure. strict foreclosure. short sale foreclosure.

non-Judicial foreclosure.

A strict foreclosure begins with a writ of execution. an appeal to a court. surrender of the deed. proper notice to the delinquent borrower.

proper notice to the delinquent borrower.

A condominium owner can sell or mortgage the condominium unit without hindrance from individual owners of neighboring units. sell the interest in the physical unit separately from the interest in the common elements. exclude non-owners from the unit owner's pro rata portion of the common elements. exclusively possess and use those portions of the common areas structurally or functionally necessary for the operation of the unit.

sell or mortgage the condominium unit without hindrance from individual owners of neighboring units.

A tenant in common can sell, encumber or transfer his or her interest to an outside party without the consent of the other tenants in common. use his or her interest in the estate to encumber the entire estate. sell, encumber or transfer his or her interest only to the other tenants in common. sell, encumber or transfer his or her interest only with the consent of all the other tenants in common.

sell, encumber or transfer his or her interest to an outside party without the consent of the other tenants in common.

Ownership of real estate by a single party is called individual ownership. solitary possession. tenancy in severalty. simple tenancy.

tenancy in severalty.

The individual right to own land is guaranteed by police power. the U.S. Constitution. federal regulations. state law.

the U.S. Constitution.

The first item to be paid out of foreclosure funds is the costs of Sale - advertising, attorney fees, trustee fees, etc. the first mortgage. any properly recorded junior liens. special assessment taxes, and general taxes.

the costs of Sale - advertising, attorney fees, trustee fees, etc.

One of the major considerations in planning where to allow growth is the number of developers asking for permits. the effect of development on traffic patterns. the median age of the community. the number of housing starts reported for neighboring communities.

the effect of development on traffic patterns.

The distinguishing feature of a condition subsequent estate is the grantor must retake possession within a certain time frame if the grantee violates a restriction. the grantor automatically regains title if the grantee violates a restriction. the estate passes to a third party if the grantee violates a condition. the grantee can impose new restrictions on the grantee's use of the property even after title has passed.

the grantor must retake possession within a certain time frame if the grantee violates a restriction.

A standard owner's title insurance policy generally protects the owner against loss of title in a foreclosure suit. the owner against liabilities and losses resulting from title defects. lien holders against loss of their collateral. the seller against liability for conveying title with unrecorded defects.

the owner against liabilities and losses resulting from title defects.

A full legal description in a recorded plat must include the lot's acreage. the subdivision's zip code. the subdivision's location within a section, a township, a county, and a state. the plat owner's legal mailing address.

the subdivision's location within a section, a township, a county, and a state.

Testamentary trusts are distinct from other kinds of trust in that they begin and end at specified times. they may be changed at any time. they may be used for real and personal property. they may name a bank or trust company as trustee.

they begin and end at specified times.

The right to encumber a property means that the owner can build fences and road blocks. use the property as collateral for debt. lease the property. assign the bundle of rights to another.

use the property as collateral for debt.

The question of who owns title to a property is generally a function of who has a bill of sale for the property. who has physical possession of the property. who has the best evidence of ownership. who has a deed for the property.

who has the best evidence of ownership.