Chapter 1 Review

Personal property which is attached to a building and which will convey with the land is known as:

A fixture.

If a property owner has littoral rights, it signifies that his property is on the edge of:

An ocean.

Littoral rights is a term referring to all water rights. T/F

F Littoral rights applies to land which borders the shore of a sea or ocean. It is often affected by tides and currents.

A couple is interested in buying a house that has an odd shaped living room. The current owners had a custom-made, free-standing bookcase built to specifically fit into one part of the room. "The buyer believes this is a fixture because it is uniquely adapted to this specific room. The seller believes this is not a fixture because it is free-standing. To avoid any misunderstandings, what should the listing licensee do?" a. Assure the seller that there is nothing to worry about. b. Include a provision in the agreement of sale (and listing contract) that states whether the bookcase is included with the sale or not. c. Assure the buyer that there is nothing to worry about. d. file an interpleader action in court.

Include a provision in the agreement of sale (and listing contract) that states whether the bookcase is included with the sale or not.

The right of one party to possess and use real property exclusive of others is: a. Hypothecation. b. Partition. c. Ownership. d. Prescription.

Ownership

Fixtures are always real property. T/F

T

Which of the following best describes a parcel of land? a. The surface of the earth including control of all minerals and substances beneath. b. The surface of the earth extending down to the center and upward to the sky. c. The earth's surface closely marked by certain boundaries. d. The surface of the earth extending down a reasonable distance and up into the air a reasonable distance.

The surface of the earth extending down to the center and upward to the sky.

Someone may be able to divert water for his or her own use even if it is not fair to other owners. T/F

True

In order to enhance the value of a piece of property, a reasonable relationship must exist between a particular parcel of real estate and the character of the improvement. T/F

True.

Chapter 1: The Nature of Real Property

Understand the basic rights that are associated with ownership of real property. Be able to describe what is included with real property and what is not.

Chapter 1

What is the nature of real property? What are the physical and economic characteristics of land? What is the nature of personal property? What are the basic elements and principles that govern the real estate market? What are the main types of real estate in the marketplace? What methods are used to describe land?

Six months after Brady bought his home, he installed custom made storm windows and doors throughout the house. Later, when he sells his property, will these storm windows and doors automatically convey with the house?

Yes, unless in advance of the sale, Brady clearly specifies that they will be removed.

All of the following items are personal property EXCEPT? a. Trade fixtures. b. A privacy fence. c. Patio furniture. d. Portable dishwasher.

b. A privacy fence.

Which of the following is NOT an improvement of land? a. Building. b. Sidewalk. c. Corn crop. d. Flower bed.

c. Corn crop.

Which of the following is NOT a test of a fixture? a. Manner of attachment. b. An agreement between the parties. c. Time of attachment. d. Manner of adaptation.

c. Time of attachment.

In determining whether an item is a fixture, which of the following would NOT be considered? a. Method of attachment. b. Adaptation to the real estate. c. Value of the item. d. Legal interest of the annexing party.

c. Value of the item.

Mineral rights: a. Are considered to be personal property b. Always pass with the land c. Cannot be sold separately from the land d. Pass with the land, unless otherwise specified in the deed

d. Pass with the land, unless otherwise specified in the deed

Which of the following would be classified as a fixture? a. Pond. b. Pasture. c. Diesel tractor. d. Rail fence.

d. Rail fence