Real Estate Law Review
Which of the following statements BEST describes the difference between a void and a voidable contract?
A void contract can not be enforced legally; a voidable contract could remain in force until one of the parties involved decided to void it
Two rooms in a house measure 18' by 15' and 12' by 22.5'. If the owner was going to carpet both rooms, how many square yards of carpet would be needed?
18` times 15' equals 270 square feet. 12' times 22.5' equals 270 square feet. Both rooms added together total 540 square feet. 540 square feet divided by nine gives the answer of 60 square yards. Remember, square feet divided by nine gives square yards. B » 60
A property described as follows sold for $1,500 per acre. "Beginning at a boulder go 249' north; then 140' east; then 249' south; then 140' west to the point of beginning." What was the sale price?
249 feet times 140 feet equals 34,860 square feet. 34,860 divided by 43,560 equals .80 acres. .80 acres times $1,500 per acre equals a price of $1,200. B » $ 1,200
One rectangular piece of property was divided by a stream, separating the property into two equal triangular lots. The frontage of the entire parcel measured 500' and the depth of one of the triangles measured 920'. What was the total acreage of both triangular lots?
500` times 920' equals 460,000 total square feet. 460,000 square feet divided by 43,560 equals 10.5 acres. B » 10.5
A corn field was bisected by a road dividing it into 2 equal lots measuring 530 feet by 430 feet each. What was the total acreage of these 2 lots?
530 times 430 equals 227,900 square feet per lot. 227,900 times two lots equals 455,800 total square feet. 455,800 divided by 43,560 equals 10.5 acres.B » 10.5 acres
A property had an area of 920 square yards with a 40 foot frontage. What was the depth of the lot?
920 square yards times 9 equals 8,280 square feet. 8,280 divided by 40 feet equals a depth of 207 feet. 207 feet
If a property sold for $3,000 per acre and the buyer bought 5 acres and one square mile, what was the total purchase price?
One square mile is a section of ground which contains 640 acres. 640 plus 5 equals 645 total acres times $3,000 per acre equals a price of $1,935,000. C » $1,935,000
Which method of survey includes meridians and base lines?
Rectangular survey system
A person owned a 4-plex and lived in one of the units. Which of the following would be allowed?
Refusing to rent to a student from a different national origin
A handicapped person rented an apartment from a property manager. The handicapped person made several modifications to the apartment to enable the handicapped person easier living conditions. Under the 1988 amendments to the Federal Fair Housing Law, which of the following items would the handicapped person NOT have to restore to its original condition when the lease expires?
Returning the doorway in the apartment to its original width
ABC Incorporated was organized with five stockholders. How would ABC Incorporated take title to the property?
Severalty
A buyer purchased an option on a property. Which of the following statements BEST states the rights of the parties?
The optionee would lose the money paid if the option is not exercised within the option time period
Which of the following statements BEST identifies an option?
The possibility of buying at a set price at a later date
A legal description is as follows: "Beginning at the intersection of Route #7 and Boone County Road proceed South 2 miles to the old oak tree, thence 1 mile West to the well by the old farm house, thence North 2 miles to an iron post at the corner of the Johnson farm, thence East 1 mile back to the point of beginning." Which of the following would NOT be true?
This property is equal to 1/2 of a township
An owner of a 12 unit apartment building lived in one of the apartments. The owner refused to rent to a person because of their national origin. Does the person have a valid complaint?
Yes, because it was a 12 unit apartment
A contract would be considered executed when:
all contract terms have been satisfied
Managing Broker Dole was showing a buyer different apartments for rent in a specific area of a city. The buyer asked Dole to find an apartment that did not allow children as the buyer desired peace and quiet and felt that children would destroy their privacy. Managing Broker Dole should:
inform the buyer that only bona fide retirement communities can legally restrict children
Each of the following contracts would be bi-lateral EXCEPT a:
lease option
A mobility impaired person was renting a unit in an apartment complex. Half of the units have assigned parking spaces near the door. The other half do not. The owner:
must give a parking space near the door to the handicapped person if one is available and a need is demonstrated
For an option to be valid, an optionee must:
pay consideration
The intent behind the Statute of Frauds is to:
put real estate transactions in writing
A buyer purchased a piece of property. The property purchased was described as follows: Beginning North of the lake at a tall spire, proceed South 1,936 feet, then proceed East 45 feet, then proceed North 1,936 feet, then proceed West 45 feet back to the point of beginning. If the buyer purchased the total property for $17,000, what was the cost per acre?
Find the square footage of the property first by taking Find the square footage of the property first by taking 1,936 feet times 45 feet. This equals 87,120 square feet. Then find the total acres by taking 87,120 / 43,560. This results in a total of 2 acres. To find the cost per acre, take the total purchase price of $17,000 and divide by 2 to arrive at a cost of $8,500 per acre. B » $ 8,500
Regarding Fair Housing Laws, which is true?
It applies only to discrimination involved in the acts of selling or renting property
A buyer wrote an offer contingent on the buyer's spouse approving the property within 24 hours. Would this result in a valid contract?
It is permissible as long as it is agreed to by both parties
Which would have enough different types of measurements to accurately describe an irregularly shaped parcel of land?
Metes and Bounds description
A buyer made an offer on a property with earnest money being part of the contract. The buyer wanted to make sure the earnest money would be returned if the buyer could not qualify for a loan. The buyer would need to put which of the following clauses in the contract to make sure this would happen?
Mortgage contingency clause
Q agreed in writing to give a neighbor the piece of land between the rose bush and the neighbor's property line. The transfer was to take place within 6 months. After the 6 month period had passed, Q refused to transfer the property. Would the neighbor have any recourse?
No, as there was no consideration given, the agreement was not enforceable
A licensee, under a managing broker, directly collects a commission from a seller on an option. Is this legal?
No, because the commission should have been paid to the managing broker
An out of town buyer writes to a seller agreeing to pay the list price of the property and also agreeing to all other terms laid out by the seller. The seller, however, does not receive the letter until after the listing has expired. Would this result in a valid contract?
No, because there was no acceptance by the seller
A metes and bounds description is given as follows: "A piece of property beginning at the cross section of highways 32 and 7, thence South 355 feet, thence West 280 feet, thence North 260 feet, thence East 315 feet." Is this a valid description?
No, it is imperfect as it does not end at the point of beginning
A managing broker listed a new home for sale that was nearly complete. The garage on the house was still under construction. A buyer approached the managing broker and said they would buy the house only when and if the garage was completely finished. Was this a contractual obligation for the buyer?
No, this was just an offer from the buyer to negotiate a possible contract