ENGRADE Chapter 2

Question 1

The concept by which land would decrease automatically along a river or stream is known as

Answer 1

AVULSION

Question 2

Generally considered real property?

Answer 2

A perennial shrub planted in the backyard

Question 3

Bundle of Legal Rights

Answer 3

part of the definition of real property

Question 4

A trade fixture is considered

Answer 4

Personalty

Question 5

Real property can become personal property by

Answer 5

severance

Question 6

A seller is under contract to sell a property using the standard OTP and contract. The elegantly decorated master bedroom has vertical window blinds, hand painted light switches and electrical outlet covers and draperies fashioned from fabric coordinated with the wallpaper. Which of the following items may the seller legally remove before the close of the transaction?

Answer 6

The draperies

Question 7

A business owner rents and empty building to use an ice cream parlor. The tenant subsequently installs large freezer units and several service counters. These additions

Answer 7

can be legally removed by the tenant at the termination of the lease

Question 8

The owner of a house wants to fence the yard for a dog. When the fence is erected the fencing materials are converted to real estate by

Answer 8

ANNEXATION

Question 9

Which of the following has an indefinite ownership period?

Answer 9

Fee Simple Estate

Question 10

A homeowner acquired the ownership of additional land that was deposited by a river running through her property by

Answer 10

ACCRETION

Question 11

A woman wishes to donate a vacant lot that she owns in fee simple absolute to a hospital that is located next to her lot. An Attorney prepares a deed that conveys the ownership of the lot to the hospital “AS LONG AS it is used for medical purposes” After the completion of the gift the hospital will hold a

Answer 11

FEE SIMPLE DETERMINABLE ESTATE

Question 12

The rights of the owner of a property located along the banks of a small stream are called

Answer 12

RIPARIAN RIGHTS

Question 13

A deed that conveys ownership to the grantee “so long as the existing building is not destroyed” creates a

Answer 13

DEFEASIBLE FEE ESTATE

Question 14

A woman conveys a life estate to her son in law and stipulates that upon his death the estate will pass to her grandson. The grandson has an

Answer 14

ESTATE IN REMAINDER

Question 15

A person who acquired ownership that can be inherited with the provision “that the land must always be used for recreational purposes” has

Answer 15

A FEE SIMPLE DETERMINABLE

Question 16

A brother and sister bought a commercial building and took title as joint tenants with right of survivorship. The brother died. The sister now owns the building

Answer 16

in SEVERALTY

Question 17

A person currently has the legal right to occupy and use a certain residential structure the Interest in the property could be all of the following

Answer 17

FEE SIMPLE
LEASEHOLD
LIFE ESTATE

Question 18

Co Owners of a fee simple interest in a small office building are neither related to nor a creditor to each other. One owner dies intestate. The surviving owner would become the sole owner of the property under

Answer 18

the right of SURVIVORSHIP

Question 19

Three joint tenants with rights of survivorship own a parcel of land. One owner sells his interest to a long time friend. After the conveyance, the remaining original owners

Answer 19

remain JOINT TENANTS with each other

Question 20

One of two owners holds and undivided 60 percent interest and the other holds and undivided 40 percent interest. The two owners probably hold their interest as

Answer 20

TENANTS IN COMMON

Question 21

The owner of a condominium unit learns that a neighbor has failed to pay his real estate taxes. If the neighbor does NOT pay the taxes;

Answer 21

A lien can be filed against the neighbors unit

Question 22

In order to create a joint tenancy relationship in the ownership of real estate, there must be unities of

Answer 22

POSSESSION
TIME
INTEREST
TITLE

Question 23

The severalty owner of a parcel of land sells it. The buyer insists that the owners wife also sign the deed. The purpose of obtaining the wifes signature is to

Answer 23

Terminate any rights the wife may have in the property

Question 24

A homestead estate is one that

Answer 24

Protects land that includes the family home from some creditors

Question 25

Total Circumstances Test

Answer 25

IRMA

Question 26

Trees, perenial bushes, and grasses that do not require annual cultivation are classified as

Answer 26

Fructus Naturales

Question 27

Crissy owns property that borders a large, navigable lake that has tides. Her property ends at

Answer 27

at the mean high water mark of the lake

Question 28

A perennial shrub planted in the ground

Answer 28

APPURTENANCE

Question 29

In NC what is the rescission period for the purchase of a new condo?

Answer 29

7 calendar days

Question 30

In NC what is the rescission period for the purchase of a NEW timeshare?

Answer 30

5 calendar days

Question 31

In real estate, its possible to change personal property into real property. If a landowner buys cement, stones and sand, then constructs a concrete walk on the land, the component parts of the concrete which were originally personal property are converted into real property. They have become a permanent improvement on the land. This process is called.

Answer 31

ANNEXATION

Question 32

Jack is not married and buys a vacant lot as his sole and separate property. Jack later married Jill and they buy a house together. How is the ownership of the vacant lot now classified?

Answer 32

Jack owns the lot in SEVERALTY

Question 33

TENANCY in COMMON

Answer 33

``` TENANCY IN COMMON Owners Owned by two or more people Title Each co owner has separate legal title to that co-owners undivided interest Interest Shares may be unequal. Law will interpret them as equal unless stipulated otherwise Conveyance Yes without the consent of the other owners Right to Partition YES Status on DEATH Passes to Hears or Devisees Probate Necesssary YES UNITIES Possession Termination By sale or death of the owner ```

Question 34

TENANCY IN SEVERALTY

Answer 34

TENANCY IN SEVERALTY ``` Number of Owners One person or Entity Title One Title Interest 100% ownership Conveyance Yes, to whomever the owner stipulates Right to Partition Not necessary; there are no co- owners Status on Death Passes to Heirs or Devisees Probate Necessary YES Unities Possession Interest Time Title Termination By sale or death of the owner ```

Question 35

JOINT TENANCY

Answer 35

JOINT TENANCY ``` Number of owners two ore more people with right of survivorship Title One Title Interest Shares must be EQUAL Conveyance Yes, without the consent of the other owners Right to Partition YES Status on Death Passes to surviving owners Probate Necessary NO Unities Possession Interest Time Title Termination When any of the unities are broken ```

Question 36

TENANCY BY THE ENTIRETY

Answer 36

TENANCY BY THE ENTIRETY ``` Number of owners Husband and wife only; law presumes they are one Title one title Interest Each holds 100% of the property Conveyance When both owners agree Right to Partition NO Status on Death When one spouse dies, the other spouse owns it in severalty Probate Necessary NO Unities Possession Interest Time Title PERSON Termination By consent of the parties; death of either party; or on divorce ownership ```

Question 37

Vonda Lee and William purchased a home together in 2003 with the deed simply listing both of them as Grantees without specifying how they were to hold title. They married each other in early 2004. How do they hold title to the house they purchased in 2003 if they have not made any other adjustments to their deed.

Answer 37

TENANCY IN COMMON

Question 38

When two people who own property under tenancy by the entirety sign a formal separation agreement, which of the following statements is correct?

Answer 38

There is no change in the form of ownership at this time, (separation is NOT divorce)

Question 39

NCREC Can do what regarding Timeshares

Answer 39

Fine a DEVELOPER $500 for each violation | Revoke projects registration certificate.

Question 40

Life Estate

Answer 40

Freehold Estate

Question 41

Freehold estate | Non freehold Estate

Answer 41

Possible to have on the same property at the same time.

Question 42

The right to occupy a property for five or more periods of time involving five or more years is considered a

Answer 42

Time share | Interest in real property

Question 43

Five days after signing a contract to purchase a new time share, the buyer backs out of the deal. How long does the developer have to refund the purchasers money?

Answer 43

30 days from the date of purchase contract

Question 44

Which would be considered real property?

Answer 44

Electrical switch plate covers | Gas Logs attached to the fireplace

Question 45

Which would be considered an improvement?

Answer 45

FENCE

Question 46

What defines the ownership in condominium?

Answer 46

Divided fee simple interest in the unit and an undivided tenant in common interest in the common areas