Chapter 4 Flashcards
This is a restriction of use placed on title of the servient tenement for the benefit of the dominant tenement:
Select one:
a. Easements
b. Building Schemes
c. Restrictive Covenant
d. Encumbrance
Correct Answer: Restrictive Covenants
Rationale: A Restricted Covenant is a restriction of use placed on title of the servient tenement for the benefit of the dominant tenement. As with an easement, a restrictive covenant runs with the land and can only be extinguished through the agreement of both current owners of the dominant and servient tenements.
Relevant section(s) of the textbook: 4.8 Encumbrances
The correct answer is: Restrictive Covenant
Rights acquired for the benefit of real property, granting rights to use another property are known as:
Select one:
a. Easements
b. Encumbrance
c. Restrictive Covenants
d. Building Schemes
Correct Answer: Easements
Rationale: Easements are rights acquired for the benefit of real property, granting rights to use another property. The land giving the right is called the servient tenement while the land receiving the right is called the dominant tenement, where the term tenement simply refers to the real property.
Relevant section(s) of the textbook: 4.8 Encumbrances
The correct answer is: Easements
This is a type of co-ownership of real property typically used by spouses purchasing a matrimonial home:
Select one:
a. Tenancy in Common
b. Lien
c. Joint Tenancy
d. Restricted Covenant
Your answer is correct.
Correct Answer: Joint Tenancy
Rationale: A Joint Tenancy is a type of co-ownership of real property typically used by spouses purchasing a matrimonial home. Unlike a tenancy in common, where each owner owns a divided share of the property, joint tenants own an undivided interest in the property. In other words, both own one hundred percent of the property together. If one co-owner dies, the property then becomes the surviving owner’s property without having to go through the probate process.
Relevant section(s) of the textbook: 4.9 Co-Ownership of Real Property
The correct answer is: Joint Tenancy
This term is defined as everything that is not real property:
Select one:
a. Personal Property
b. Real Property
c. Leasehold Estate
d. Life Estate/Life Lease
Correct Answer: Personal Property
Rationale: Personal Property is defined as everything that is not real property. That includes chattels and other goods. Personal property is typically not fixed in its location and normally has a shorter useful life expectancy than real property.
Relevant section(s) of the textbook: 4.1 Property
The correct answer is: Personal Property
This term is defined as the land and everything affixed to it:
Select one:
a. Life Estate/Life Lease
b. Leasehold Estate
c. Personal Property
d. Real Property
Correct Answer: Real Property
Rationale: Real Property can be defined as the land and everything affixed to it. It is in a fixed location and is permanent, remaining, to one extent or another, long after the current owners have relinquished their rights to it.
Relevant section(s) of the textbook: 4.1 Property
The correct answer is: Real Property
This is the instrument that is used to register the debt or loan against the borrower’s property.
Select one:
a. Certificate of Discharge
b. The Discharge of Charge/Mortgage
c. Assignment of Mortgage
d. The Charge/Mortgage
Correct Answer: The Charge/Mortgage
Rationale: The Charge/Mortgage is the instrument that is used to register the debt or loan against the borrower’s property. It forms the security of the debt.
Relevant section(s) of the textbook: 4.11 Loan Security: Registration and Discharge
The correct answer is: The Charge/Mortgage
This is an interest in property that has the effect of limiting the rights of fee simple ownership of real property:
Select one:
a. Building Schemes
b. Easements
c. Encumbrance
d. Restrictive Covenants
Correct Answer: Encumbrance
Rationale: An Encumbrance is an interest in property that has the effect of limiting the rights of fee simple ownership of real property. Typical encumbrances are mortgages, easements, and restrictive covenants.
Relevant section(s) of the textbook: 4.8 Encumbrances
The correct answer is: Encumbrance
This is a group of restrictive covenants registered against several properties in a development plan that is binding on all purchasers of a property within that development:
Select one:
a. Building Scheme
b. Easements
c. Restrictive Covenant
d. Encumbrance
Correct Answer: Building Schemes
Rationale: A Building Scheme is a group of restrictive covenants registered against several properties in a development plan that is binding on all purchasers of a property within that development. This has the effect of ensuring that all properties in the development conform to a set of predetermined policies for that development. a restriction of use placed on title of the servient tenement for the benefit of the dominant tenement. As with an easement, a restrictive covenant runs with the land and can only be extinguished through the agreement of both current owners of the dominant and servient tenements.
Relevant section(s) of the textbook: 4.8 Encumbrances
The correct answer is: Building Scheme
This term is defined as an interest in land created by a landlord and tenant, most commonly by a lease:
Select one:
a. Real Property
b. Life Estate/Life Lease
c. Personal Property
d. Leasehold Estate
Correct Answer: Leasehold Estate
Rationale: Leasehold Estate is an interest in land created by a landlord and tenant, most commonly by a lease. This interest in land is created for a fixed period of time, such as a month, year, or more. There is no limit on the time that a leasehold estate may be in effect.
Relevant section(s) of the textbook: 4.3 Estates in Land
The correct answer is: Leasehold Estate
