Chapter 5 Flashcards
What is the term that describes water rights over a moving body of water?
Answer: Riparian rights
What is the term that describes an increase in property owners’ rights because the land is gradually worn away by natural forces?
Answer: Erosion
What does a leasehold estate entitle a tenant to do?
Answer: Temporarily possess, occupy and use real estate
Property taxes fund all of the following, except…?
Answer: Private schools
What type of leasehold estate exists when a tenant didn’t renew their lease but didn’t move out when the lease ended?
Answer: Estate at sufferance
What type of leasehold estate exists when occupation is for an undefined period of time and can be terminated by the landlord or the tenant?
Answer: Estate at will
How can an estate at will be terminated?
Answer: All of these are true
Under an estate at sufferance, the landlord could go to court to have a trespassing tenant evicted. What is another possible remedy?
Answer: Accept the tenant for another similar lease term
If a property owner feels his or her property taxes are too high, he or she can appeal to…?
Answer: The taxing authority
Which of the following is an example of a periodic estate?
Answer: Month-to-month lease
What is another term for an estate at sufferance?
Answer: Holdover tenancy
Which of the following is not a required component of a lease contract?
Answer: Eviction clause
Which of the following is not an example of a common lease restriction?
Answer: Restricted access hours to the leased unit
One benefit of using a “confession of judgment” provision in a commercial lease is that…?
Answer: The tenant has waived their right to notices and court hearings
Who must sign a lease to make it valid?
Answer: The tenant and the landlord, or their authorized agent
Which of the following is not likely to be included in the amount a tenant pays for rent?
Answer: Court costs associated with eviction proceedings
True or False: If a lease does not specify any restrictions, the tenant can use the leased space for any lawful purpose?
Answer: True. If no restrictions are specified, the tenant can use the property for any lawful purpose.
Possession of property under a lease entitles the tenant to the lawful right to possess the land and says the landlord cannot substantially interfere. What is this right also known as…?
Answer: The covenant of quiet enjoyment
When a landlord leases space to a tenant, the landlord is expected to take whatever action is necessary, at the landlord’s expense, to provide a habitable dwelling unit. This is also known as?
Answer: The covenant of habitability
Under which of the following circumstances can a landlord be absolved of their responsibility to provide a habitable dwelling unit?
Answer: None of these.
What type of option is created if the lease says the tenants have the first right to purchase the property in the future if it is put up for sale?
Answer: Right of first refusal
Under a sublease, who is responsible for making rent payments every month?
Answer: The original tenant
What is the most common cause for breaching a lease?
Answer: The rent isn’t paid as agreed
Which of the following are exceptions to the landlord’s obligation to provide a habitable dwelling unit?
Answer: All of the answer choices provided are correct
Under which of the following scenarios is a landlord generally entitled to enter a leased premises?
Answer: All of the answer choices provided are correct
With this type of lease, the landlord negotiates to receive compensation based on a commercial tenant’s sales in the leased space?
Answer: Percentage lease
Under this type of lease, the tenant is responsible for base rent plus additional expenses like taxes, insurance, and maintenance?
Answer: Net lease
What type of lease does a tenant have if they pay rent plus property taxes?
Answer: Single net lease
If a tenant agrees to pay rent, property taxes and insurance premiums, what type of lease do they have?
Answer: Double net lease
Which of these tenants is least likely to want to enter into a ground lease?
Answer: Independent insurance agent
What type of lease gives a lessee the rights to oil and gas under the lessor’s land?
Answer: Oil & gas lease
In addition to rent, which of these expenses is the tenant responsible for paying in a double net lease?
Answer: Property insurance and property taxes
When a commercial tenant in a strip mall signs a double net lease, how is the amount of property taxes and insurance they pay calculated?
Answer: Prorated based on the size of the space they are renting
What type of ownership gives the owner the highest possible ownership rights over real property?
Answer: Fee simple estate
Which of the following is not one of the three prongs that must be present to create a fee simple estate?
Answer: Reversionary
What is an example of a term that could be included in a deed to create a fee simple determinable estate?
Answer: All of the answer choices provided are correct
What gives city or municipal inspectors the right to enforce building code standards?
Answer: Police power
Which of the following words would probably not indicate a fee simple determinable estate?
Answer: Because
A life estate entitles the holder to occupy and use the underlying real property for…?
Answer: A lifetime
The life tenant holds and can exercise all of the following rights related to the life estate property, except?
Answer: Sell the property
A life estate based on someone else’s lifetime is called a…?
Answer: Per autre vie life estate
The life tenant in a life estate is responsible for all of the following, except?
Answer: Subdividing the property
All of the following are reasons why someone might create a life estate, except?
Answer: Eliminate taxes
The person who has the creditor’s rights under a lien is called the…?
Answer: Lienholder
Banks and mortgage lenders protect their interests with what type of lien?
Answer: Mortgage lien
What type of lien means that the lien is attached to a piece of real estate?
Answer: Specific lien
Eminent domain can also be called…?
Answer: All of these are true
Tax liens may be filed for unpaid…?
Answer: All of the answer choices provided are correct
What does the lienholder have when a lien is filed?
Answer: A claim to a portion of the property’s value
Another name for deed restrictions is…?
Answer: CC&R
In order to remove a deed restriction, a homeowner would need to…?
Answer: Go to court for a judge’s ruling
Deed restrictions may forbid homeowners from running businesses. This can protect the neighborhood from…?
Answer: All of the answer choices provided are correct
The type of easement that includes the right to restrict activity on or use of the property is called a/an…?
Answer: Negative easement
Which of the following entities cannot exercise eminent domain powers?
Answer: A business owner wanting to expand their store
How can an easement be terminated?
Answer: All of the answer choices provided are correct
What happens if the dominant and servient estates with an existing easement are combined?
Answer: The easement is terminated
In an encroachment, one property owner is using part of a neighbor’s parcel in what kind of manner?
Answer: Unwanted
In most cases, encroachments are…?
Answer: Unintentional
If a property owner who just decided to live with a neighbor’s encroachment later decides to sell their house, they must…?
Answer: fully disclose the encroachment to potential buyers
Water rights can be described as a property owner’s rights in water that flows…?
Answer: Through or over their property
When land rights are increased through natural forces, the water rights on those land decreases. This is called…?
Answer: Accretion
The riparian rights doctrine says water rights for moving water belong…?
Answer: Equally to all property owners whose land borders the water
What is the term that describes a sudden and perceptible loss of land by action of the water that borders it?
Answer: Avulsion
What does a leasehold estate entitle a tenant to do?
Answer: Temporarily possess, occupy and use real estate
What type of leasehold estate exists when a tenant didn’t renew their lease but didn’t move out when the lease ended?
Answer: Estate at sufferance
What type of leasehold estate exists when occupation is for an undefined period of time and can be terminated by the landlord or the tenant?
Answer: Estate at will
How can an estate at will be terminated?
Answer: All of these are true
When the lease in an estate for years ends, what type of leasehold estate exists?
Answer: Periodic estate
What is the shortest time period for an estate for years?
Answer: There is no minimum time period
Which of the following is not a requirement to create the legal capacity to sign a lease?
Answer: At least 21 years old
What is the word that describes a situation where property reverts to the state because there are no identifiable heirs capable of assuming ownership of it?
Answer: Escheat
What should a landlord include in a lease provision about pets?
Answer: All of the answer choices provided are correct
Who is responsible for making sure local ordinances about occupancy controls are met when a property owner leases space to a tenant?
Answer: Property owner/landlord
When specific improvement provisions are included in a lease, giving the tenant the right to improve the property, they are sometimes referred to as…?
Answer: Leasehold improvements
Which of the following repairs is the landlord not required to make under the covenant of habitability?
Answer: Repair a tenant’s intentional damage to a wall
What type of option is created if the lease says the tenants have the first right to purchase the property in the future if it is put up for sale?
Answer: Right of first refusal
Which of the following occurs when the landlord hasn’t upheld their end of the lease agreement resulting in the tenant not being able to occupy the leased property?
Answer: Constructive eviction
Which of the following occurs when a tenant doesn’t uphold their end of the agreement?
Answer: Actual eviction
Under this type of lease, the landlord is responsible for paying all of the costs of operating and maintaining the property, including real estate taxes?
Answer: Gross lease
With this type of lease, the landlord negotiates to receive compensation based on a commercial tenant’s sales in the leased space?
Answer: Percentage lease
With this type of lease, the rent payments go up periodically, on a pre-defined basis?
Answer: Graduated lease
Property owners, whose land was seized under eminent domain laws, are entitled to…?
Answer: Fair compensation
Which of the following would not be found in building codes?
Answer: Classification as commercial or residential
What type of ownership gives the owner the highest possible ownership rights over real property?
Answer: Fee simple estate
What word describes the property owner’s right to sell or transfer their property to someone else?
Answer: Alienable
In most states, it is assumed that a property owner intends to transfer fee simple absolute ownership without including…?
Answer: Special language in the will
What is another name for a “fee simple determinable” estate?
Answer: Fee simple defeasible
What is an example of a term that could be included in a deed to create a fee simple determinable estate?
Answer: All of the answer choices provided are correct
A life estate entitles the holder to occupy and use the underlying real property for…?
Answer: A lifetime
Life estates are generally created by a…?
Answer: Deed
Which of the following is not a type of encumbrance?
Answer: All of these are types of encumbrances
Which of the following is a type of voluntary lien?
Answer: Mortgage lien
Which of the following is not another name for a mechanic’s lien?
Answer: Tax lien
What type of lien means that the lien is attached to a piece of real estate?
Answer: Specific lien
If a property has both a tax lien and a mortgage lien against it, which lien has priority (generally speaking)?
Answer: Tax lien
The word that describes the legal preference for how liens will be handled when the property is sold is called…?
Answer: Priority
A deed restriction would be illegal if it sought to limit which of the following?
Answer: People who follow a certain religion
The type of easement that gives permission to physically cross a piece of real property is called…?
Answer: Affirmative easement
What happens if the dominant and servient estates with an existing easement are combined?
Answer: The easement is terminated
When improvements to real property intrude, unlawfully, onto another’s adjacent property, what has occurred?
Answer: Encroachment
Each of these could be considered an encroachment, except…?
Answer: Cement patio that extends up to the property line
In most cases, encroachments are…?
Answer: Unintentional
Bill built a new deck that extends over his neighbor’s lawn. Bill did not know that he was crossing the property line when he built the deck. Is this an encroachment?
Answer: Yes. It does not matter whether or not the encroachment was intentional.
