Leasing and Property Management Flashcards
A buyer was moving to a city. The buyer wanted to wait a little while and look around the city before purchasing a home. In the meantime, the buyer wanted to just rent. The best thing for this buyer would be a: A » lease option B » lease purchase C » month-to-month lease D » tenancy at sufferance
C » month-to-month lease
What is a tenancy in sufferance?
A lease where the tenant stays over without permission; landlord suffers
What is the main difference between a freehold estate and a non-freehold estate?
A » A freehold estate always involves ownership
B » A freehold estate ends when a life estate terminates
C » A freehold estate is always inheritable
D » A freehold estate is for a fixed period of time
A » A freehold estate always involves ownership
Note: A non-freehold estate is also called a lease.
A tenant was in possession of leased property. The landlord gave a written notice to the tenant to quit. The tenant, however, remained in the property and continued to send rent payments to the landlord. The landlord refused to accept the rent checks. This situation would be described as a: A » periodic tenancy B » tenancy at will C » tenancy at sufferance D » tenancy for years
C » tenancy at sufferance
What is a tenancy at will?
A lease where the tenant does have permission to occupy but nothing is in writing; e.g., a landlord continuing to accept rent from a tenant even after expiration of the original lease
What is a periodic tenancy?
A lease that runs from period to period; e.g., a month-to-month lease
A tenant illegally stayed past the expiration date on a lease agreement. This would be called a: A » tenancy for years B » tenancy at sufferance C » tenancy at will D » periodic tenancy
B » tenancy at sufferance
If a tenant stays over without the landlord's permission, this is called: A » estate for years B » estate at sufferance C » periodic tenancy D » tenancy at will
B » estate at sufferance
What is used to describe the right of the lessor to reclaim a property once a lease expires? A » Redemption B » Reversion C » Repossession D » Reverse annuity
B » Reversion
A person builds a building on ground that is leased from a land owner. Which of the following statements would be correct concerning this situation?
A » This is not allowed under federal law
B » When the lease expires, the land owner would own the building
C » It would be easier to get financing this way rather than the land owner and building owner being the same person
D » The land owner would have to notify the building owner if the land was to be sold
B » When the lease expires, the land owner would own the building
A tenant signs a three-year lease with a landlord. The landlord dies with the heirs inheriting the rental property. The heirs then sold the rental property to a new owner. The new owner would like to terminate the tenant’s lease. Can the new owner do so?
A » Yes, because of the death of the original landlord
B » Yes, because the rental property had been sold
C » No, unless the new owner gives property notice to the tenants
D » No, the lease is still valid for the remainder of the term
D » No, the lease is still valid for the remainder of the term
A commercial tenant leased a commercial space from a landlord. The tenant operated a grocery store on the premises. Which of the following statements would be true if the landlord died?
A » The heirs could terminate the lease
B » The heirs have to honor the lease as it runs with the land
C » The heirs could change the terms of the lease as new owners
D » The heirs must give an automatic renewal to the tenant
B » The heirs have to honor the lease as it runs with the land
When a tenant pays taxes and insurance in addition to normal rent, this would be called a: A » graduated lease B » percentage lease C » gross lease D » net lease
D » net lease
What is a gross lease?
A lease where the landlord pays taxes, assessments, insurance, etc.
What is a graduated lease?
A lease where the payments can go up or down, but are pre-determined
