Chapter 10: Real Estate Taxes And Other Liens

Question 1

Encumbrance

Answer 1

Any charge or claim that attaches to real property and lessons it’s value or impairs its use

Question 2

Voluntary lien

Answer 2

Created intentionally by the properties owners actions, such as when someone takes out a mortgage

Question 3

Involuntary lien

Answer 3

Not a matter of choice; it is created by the law. It may be either statutory or equitable

Question 4

Statutory lien

Answer 4

Created by statute. A real estate tax lien, is an involuntary, statutory lien

Question 5

Equitable lien

Answer 5

Created by a court to ensure the payment of a judgment as well as by agreement

Question 6

General liens

Answer 6

Fax all property, both real and personal

Question 7

Specific Liens

Answer 7

Secured by specific property and effect only that particular property

Question 8

What are the four ways to create a lien. VISE

Answer 8

Voluntary
Involuntary
Statutory
Equitable

Question 9

Priority of liens

Answer 9

Liens take priority from the date that they are recorded in the public records of the county in which the property is located

Question 10

What lean takes priority as provided by state law but never over tax and special assessment liens

Answer 10

Mechanics lien

Question 11

What is used to achieve uniformity. It may be applied to raise or lower assessments in a particular district or county

Answer 11

Equalization factor

Question 12

Assessed value x equalization factor - exemptions x tax rate = ?

Answer 12

Annual tax

Question 13

General real estate taxes are payable into equal installments in the year after they are levied

Answer 13

One half by June 1 in the second half by September 1

Question 14

Real estate taxes that have remained delinquent for the statutory period Can be collected through what

Answer 14

Tax sale

Question 15

Sometimes called a deed of trust Lane, it is a voluntary lien on real estate given to a lender by a borrower as security for a real estate loan

Answer 15

Mortgage lien

Question 16

A specific, involuntary lien that get security to persons or companies that perform labor or furnish material to improve real property

Answer 16

Mechanics lien

Question 17

How soon after the work is completed can a contractor with unpaid bills enforce their lien rights

Answer 17

Four months

Question 18

Should be collected by the landowner from each contractor and subcontractor to create a continuing record that all lien claimants have released their lien rights

Answer 18

Lien waivers

Question 19

And order issued by a court that settles and defines the rights and obligations of the parties to a lawsuit. Is a general, involuntary, equitable lien on both real and personal property owned by the debtor

Answer 19

Judgment

Question 20

What taxes are general, statutory, involuntary liens that encumber a deceased persons real and personal property

Answer 20

Federalist state taxes and state inheritance taxes

Question 21

Lien

Answer 21

A charge our claim against property that is made to enforce the payment of money

Question 22

When properly recorded in the county where the real estate of the defendant is located, a judgment becomes?

Answer 22

Involuntary lien

Question 23

When a company furnishes materials for the construction of the house and is subsequently not paid, it may file?

Answer 23

Mechanics lien

Question 24

What lean does not need to be recorded to be valid?

Answer 24

Real estate tax lien

Question 25

When a lien against a parcel of real estate may result from a lawsuit currently before the court, when examining the public records would look for?

Answer 25

A lis pendens

Question 26

A mechanics lien will be properly classified as?

Answer 26

Statutory lien

Question 27

The current market value of the property is $335,000. For tax purposes, it is assessed at 40% of market value. The tax rate is $4 per $100 of assessed value. What is the amount of the tax due?

Answer 27

$5360

Question 28

Under which type a lien can both the real property and personal property of the debtor be sold to pay the debt?

Answer 28

Judgment lien

Question 29

What type of lien is a voluntary lien?

Answer 29

Mortgage lien

Question 30

I mechanics liens are based on?

Answer 30

State law

Question 31

Court orders real estate to be sold to satisfy an unpaid mortgage lien is an action known ass?

Answer 31

Foreclosure

Question 32

Mechanics lien can be filed against an owners real estate by?

Answer 32

A lumber company furnishing materials ordered by the property owner

Question 33

Judgement liens are?

Answer 33

Involuntary liens

Question 34

Property owner contracted to have a heated gazebo constructed on a property. When he did gazebo was finished, the owner refused to pay for the improvement, and the contractor file the lien for nonpayment. This lien was most likely?

Answer 34

Specific lien

Question 35

A property owner has defaulted in the payment of several dots, and the court has ordered his property to be sold to satisfy them. A title search revealed several outstanding liens against the property. What lien would have first priority?

Answer 35

The current years real estate tax lien

Question 36

After the state or county sells real estate in order to satisfy a delinquent tax lien, the default it owner usually has a right to?

Answer 36

Redeem the property within the time specified by the law

Question 37

Normally, the priority of liens is determined by?

Answer 37

The order in which they are filed or recorded

Question 38

What type of liens are specific liens?

Answer 38

Real estate taxes Mortgages Mechanics lien

Question 39

What would be a lien on real estate?

Answer 39

Recorded mortgage

Question 40

When establishing the general rule related to priority of liens?

Answer 40

The date on which the lien was recorded determines priority

Question 41

The current value of the property is $340,000 the property is assessed at 40% of its current value, with an equalization factor of 1.5 applied to the assessed value. If the tax rate is $4 per $100 of assessed value, what is the amount of tax due on the property?

Answer 41

$8160

Question 42

What is the difference between a general and a specific lien?

Answer 42

General lien covers all the debtors property, while a specific lien covers only a certain piece of real property

Question 43

If the market value of the property is $284,500 and the assessment rates ratio is 35%, what are the monthly taxes at the tax rate is 30 Mills?

Answer 43

$248.94

Question 44

Taxes levied on a property owner to help fund the installment of sidewalks or sewers are called?

Answer 44

Special assessments

Question 45

That's that are incurred by an individual and become liens against all real property owned by that person are?

Answer 45

Voluntary liens

Question 46

What do a judgment, Lis pendens notice and a foreclosure have in common?

Answer 46

They're all involuntary liens

Question 47

What would be an example of a general lien?

Answer 47

IRS lien

Question 48

Man owns a principal place of residence and a duplex. He pays the property taxes on his home, but fails to pay the property taxes on the duplex. The man may find that a lien has been placed against his?

Answer 48

Duplex