3-15-21 Real Estate Test Flashcards
A developer built a structure that has six stories .
Several years later, an ordinance was passed in that
area banning any building six stories or higher this building is……
A) a nonconforming use
B) a situation in which structure would have to be demolished
C) a conditional use
D) a violation of the zooming laws
A) a nonconforming use
Did you get it right?😏
The current value of a property is $140,000. The property is assessed at 40% of it’s of it’s current value for real estate tax purposes, with an equalization factor of 1.5 applied to the assessed valuation, what is the amount of tax due on the property? 😧
A) $840
B) $2,100
C) $2,240
D) $3,360
D) $3,360
A building was sold for $260,000, with the purchaser
putting 10% down and obtaining a loan for the balance.
The lending institution charged a 1% loan origination fee. What was the total cash used for the purchase?😒
A) $2,340
B) $23,400
C) $26,000
D) $28,340
D) $28,340
A parcel of vacant land has an assessed valuation of
$274,550. If the assessment is 85% of market value, what
is the market value?👌🏽
A) $315,732
B) $320,000
C) $323,000
D) $1,830,333
C) $323,000
A parcel of land described a “The NW1/4 and the SW1/4
of section 6, T4N, R8W of the Third Principal Meridian”
was sold for $875 per acre. The listening agent will receive a 5% commission on the total sales price. How much will the agent receive?❤️
A) $1,750
B) $5,040
C) $14,000
D)15,040
C) $14,000
A prospective buyer signs an offer to purchase a
residential property. All the following circumstances would automatically terminate the offer EXCEPT…..
A) The buyer signed a written offer to buy a house and then died.
B) The buyer revoked the offer between the presentation
and a possible acceptance.
C) The seller mader a counteroffer.
D) The seller received a better offer from another buyer.
D) The seller received a better offer from another buyer.
😊
A buyer purchased a home under a land contract. Until
the contract is paid in full, or the buyer meets statutory requirements, the buyer……..
A) Holds legal title to the premises..
B) Has no legal interest in the property.
C) Possesses a legal life estate in the premises .
D) Has equitable title in the property.
D) Has equitable title in the property.
👍🏾
A buyer and seller sign a contract for the sale of real property. A few days later, they decide to change many of the terms of the contract, while retaining the basic intent to buy and sell. The process by which the new contract replaces the old one is called?
Novation
A lien that arises as a result of a judgement, estate or inheritance taxes, a decedent’s debts, or federal taxes is what type of lien?
- specific
- general
- voluntary
- equitable
General Lien
Two friends enter into a six-month oral lease. If one friend defaults, the other may…
Bring a court action because six-month leases need not be in writing to be enforceable.
On Monday, a prospective buyer offers to purchase a vacant lot for $25,000. On Tuesday, the owner counteroffers to sell the lot for $29,000. On Friday the owner withdrawals the counteroffer and accepts the buyers original offer of $25,000. Under these circumstances which statement is true?
No valid agreement exists because a seller’s counteroffer was a rejection of the buyer’s offer, and once rejected, it cannot be accepted later.
Tell me about Joint Tenancy
1) Owned by 2 or more people whether married or unmarried.
2) Right of survivorship-transfers to surviving joint tenants
3) When the owners become deceased, it passes down to the remaining tenant or tenants. The last survivor has all the rights and takes title in severalty (owned by one). This survivor has the right to pass down to heirs.
Tell me about Tenancy in Common
1) Owned by 2 or more people who hold an undivided interest in the property.
2) Each owner is entitled to possession and use of the entire property
3) If no fractions are stated, it is presumed that they own equal shares
4) Because they own separate interests, they can sell, covey, mortgage or transfer their individual interests WITHOUT consent of the other co-owners.
5) When one co-owner dies, the tenants interest passes to heirs.
A party who occupies rental property with the landlord’s consent and makes rental payments without a written lease for an indefinite period.
ie- landlord plans to sell a building in which the tenant lives, the tenants lease expired, but the landlord permits the tenant to stay in the apartment until the building is torn down, the tenant continues to pay rent until then.
Tenant at will
The listing agreements with four different real estate professionals specifically promise that if one of them finds a buyer for the property, the seller will be obligated to pay commission to that real estate professional only. What type of agreement has the seller entered into?
- executed
- discharged
- unilateral
- bilateral
Unilateral
A one-sided contract wherein one party makes a promise so as to induce a second party to do something.
