PoR CH 3 INTERESTS AND ESTATES

CH 3. - 1. An interest in real estate is best defined as ownership of a. the full bundle of rights to real property. b. an estate. c. one or more of the bundle of rights to real property. d. the right to possession and use of real property.

1. c. one or more of the bundle of rights to real property. (25)

CH 3. - 10. Which of the following is true of a homestead? a. A homestead interest cannot be conveyed by one spouse. b. A homestead interest cannot be passed to the children of the head of household. c. A homestead interest is a form of conventional life estate. d. A homestead is a primary or secondary residence occupied by a family. Chapter Tests 383

10. a. A homestead interest cannot be conveyed by one spouse. (31)

CH 3. - 11. Dower refers to a. joint tenancy of husband and wife. b. a wife's life estate interest in her husband's property. c. a wife's homestead interest. d. a child's life estate interest in his or her parents' homestead.

11. b. a wife's life estate interest in her husband's property. (32)

CH 3. - 12. Which of the following is an illustration of the legal concept of elective share? a. A surviving spouse places a lien on a debtor's property. b. A widow who was excluded from a will makes a claim to a portion of the couple's principal residence. c. A spouse who loses her home because of her husband's gambling debt sues in court for exemption from the debt. d. A widower whose spouse died without a will sues to change the provisions of the will.

12. b. A widow who was excluded from a will makes a claim to a portion of the couple's principal residence. (32) An elective share is a term used in American law relating to inheritance, which describes a proportion of an estate which the surviving spouse of the deceased may claim in place of what they were left in the decedent's will.

CH 3. - 13. A one-year lease on a house has expired, but the tenant continues sending monthly rent checks to the owner, and the owner accepts them. What kind of leasehold estate exists? a. Estate for years b. Estate from period to period c. Estate at will d. Estate at sufferance

13. b. Estate from period to period (33)

CH 3. - 2. Encumbrances and police powers are a. interests that do not include possession. b. limited forms of an estate. c. unrelated to interests. d. types of public interests.

2. a. interests that do not include possession. (26)

CH 3. - 3. What distinguishes a freehold estate from a leasehold estate? a. A freehold includes the right to dispose or use. b. A leasehold endures only for a specific period of time. c. A freehold cannot be defeasible. d. A leasehold is subject to government restrictions.

3. b. A leasehold endures only for a specific period of time. (27)

CH 3. - 4. The highest form of ownership interest one can acquire in real estate is the a. dower and curtesy. b. conventional life estate. c. defeasible fee simple estate. d. absolute fee simple estate.

4. d. absolute fee simple estate. (28) A fee simple defeasible is a conveyance of property that has conditions placed on it. dower and curtesy: A surviving spouse's right to receive a set portion of the deceased spouse's estate -- usually one-third to one-half. Dower (not to be confused with a dowry) refers to the portion to which a surviving wife is entitled, while curtesy refers to what a man may claim. A conventional life estate: estate created by deed or will by the express act of the grantor. 2 types, depending on the person whose life limits the duration of the estate, either for one's own life or during the life of another person.

CH 3. - 5. The distinguishing feature of a defeasible fee simple estate is that a. it can be passed on to heirs. b. it has no restrictions on use. c. the estate may revert to a grantor or heirs if the prescribed use changes. d. it is of unlimited duration.

5. c. the estate may revert to a grantor or heirs if the prescribed use changes. (29)

CH 3. - 6. Upon the death of the owner, a life estate passes to a. the original owner or other named person. b. the owner's heirs. c. the state. d. the owner's spouse.

6. a. the original owner or other named person. (29)

CH 3. - 7. How is a conventional life estate created? a. It happens automatically when title transfers unless a fee simple is specifically claimed. b. A fee simple owner grants the life estate to a life tenant. c. It is created by judicial action. d. It is created by a statutory period of adverse possession.

7. b. A fee simple owner grants the life estate to a life tenant. (30)

CH 3. - 8. What distinguishes a pur autre vie life estate from an ordinary life estate? a. The pur autre vie estate endures only for the lifetime of the grantor. b. The pur autre vie estate endures only for the lifetime of the grantee. c. The pur autre vie estate endures only for the lifetime of a person other than the grantee. d. The pur autre vie estate cannot revert to the grantor.

8. c. The pur autre vie estate endures only for the lifetime of a person other than the grantee. (31)

CH 3. - 9. Which of the following life estates is created by someone other than the owner? a. Conventional life estate b. Ordinary life estate c. Legal life estate d. Community property life estate.

9. c. Legal life estate (31) e.x. Dower and curtesy are legal life estates that are created upon the death of a spouse who owned real estate.