Final Exam - Part 1 Flashcards
Airspace above a parcel of land is:
real property
All of the following are real property except:
chattels
In a dispute over fixtures, courts tend to favor
Tenant’s over Landlords
The right of a land owner along a river to take water is called:
riparian rights
All of the following “run with the land”, except:
current harvest rights
For how much assessed value is the Homeowner’s Property Tax Exemption?
$7,000
A person appointed by the court to handle the estate:
administrator (trix)
A type of deed that contains an after acquired clause:
grant deed
“A” deeds to “B” and “B” takes possession but does not record the deed. “A” then deeds the same property to “C” who records the deed. Based on this information, title probably vests in:
Vests to B
If a married person with one child dies intestate and leaves separate property, the descendant’s interest passes to the:
surviving spouse and child
The highest form of ownership a person can have in a piece of property is:
fee simple absolute
“A” deeds a life estate to “B” and upon “B” death title returns to “A”. This is an example of what type of life estate?
estate in reversion
A valid joint tenancy must have the four unities of:
title, time, possession, interest
In which one of the following ways are joint tenancy and community property similar?
ownership shares are equal
A property tax bill is an example of:
an involuntary lien
An easement with only a servient tenement:
easement in gross
If an owner files a proper Notice of Completion in the County Recorder’s office, unpaid subcontractors have how many days to file a lien?
30 days
All of the following are true, except:
a suit for removal of an encroaching fence must be brought within 10 years from the date of the encroachment
For a single person, under 65 years and not of low income, the homestead exemption is:
$75,000
Once a valid homestead is recorded, which of the following terminates the homestead?:
selling the home
Which of the following two terms do not go together?
encroachment - lien
Which of the following best describes the requirements to acquire title by adverse possession?
color of title, continuous use, pay property taxes, hostile
A judgment if considered to be what type of lien?
general
Real estate agencies can be created several ways. The most common method is:
agreement
With the permission of the seller, Broker A submits a listing to MLS inviting cooperating brokers to help find a buyer. This is an offer of:
subagency
A broker has an agency agreement to represent just the buyer. This is an example of a:
single agency
Which of the following is not correct?
real estate salespersons are able to contract directly in their own name as an agent with the seller
A broker receives a deposit from a buyer with no instructions to hold the check uncashed pending the seller’s acceptance of the offer. After the offer is accepted, the broker decides to put the check in a safe in the office for security purposes until the broker can get to the bank next week. The broker is:
guilty of commingling
A real estate broker, in order to entice a person to buy, states that the property conforms to all building codes. The agent knows a room was added without a building permit. The agent is guilty of:
misrepresentation
According to the real estate law, for supervising purposes, the relationship between a salesperson and a broker is:
employer-employee
Receiving a commission from both the buyer and seller without full disclosure and approval is called:
divided agency
Real estate commissions are:
negotiable
Buyer makes a written bonafide offer to purchase, and seller signs the acceptance. A contract is first created:
when buyer receives proper communication of seller’s acceptance
The law that states real estate contracts must be in writing to be enforceable is called the statute of:
limitation
All of the following are essential for a valid real estate contract, except:
parole evidence
An executed contract is a contract that is:
completed
An owner gives Ace Realty an exclusive right to sell listing for 90 days. Thirty days later the owner finds a buyer and sells the property without the services of Ace Realty. The:
owner does not owe a commission
When the owner of a piece of leased property gives the lessee an option to buy, the option:
is not a purchase contract until exercised
If the seller refuses to sell after signing a valid purchase contract and the buyer wants the property instead of money damages, the buyer will sue for:
specific performance
A real estate agent may legally refuse to show property available for sale to a person of a minority race if the:
owners were out of town and had left instructions the home was not to be shown to anyone during their absence
Four separate co-buyers of a parcel of land signed a deposit receipt contract at different times and places. A copy must be:
given to each at the time they sign
A home is sold for $180,000, making a 20% profit over cost. What was the cost?
$144,000
To settle the estate of the deceased, a probate sale is held on a small rural cabin. The first court bid is $30,000, the next minimum bid must be for at least:
$32,000
An investor wants to acquire income property that will generate a 10% cap rate. A 6 unit apartment complex rent for $950 per unit per month. Vacancies are 5% of gross rents and operating expenses total $20,500 per year. What is the maximum the investor should offer for this property? (rounded to nearest $1,000)
$445,000
A real estate promissory note that reads “$100,000 principal payable interest only monthly at a rate of 10%” is what type of promissory note?
straight
A real estate promissory note reads “$887.50 per month for 239 payments, then a final monthly payment of $3,011.19”. This is an example of a/an:
balloon payment
An enforceable due-on-sale clause is correctly called a/an:
alienation clause
In a normal sale using both a grant deed and a trust deed (deed of trust) the buyer is the:
grantee and trustor
A type of financing instrument where the owner (vendor) retains the legal title until the buyer (vendee) fulfills the terms of the purchase contract:
installment sales contract
Under the Trustee’s Sale procedure, after a Notice of Default has been recorded, a borrower has how long to reinstate by making up past payments, penalties, late charges, and trustee expenses?
5 days prior to trustee’s sale date
