Midterm Exam 3 Flashcards
A buyer moves into their new home then is served by papers to pay a lien from a previous contractor that worked on the house 2 years ago. What should the owner do?
a.
Arbitrate through the Board of Contractors in Arizona
b.
File a delay of action in court
c.
Pay the lien immediately
d.
Refer this to their title insurance policy
d.
Refer this to their title insurance policy
This is the weakest of all deeds as it offers the least protections to the buyer
a.
Quiet Action Deed
b.
General Warranty Deed
c.
Bargain and Sale Deed
d.
Special Warranty Deed
c.
Bargain and Sale Deed
The term used to describe the legal process of transferring real property is
a.
Acknowledgement
b.
Conveyance
c.
Transference
d.
Covenant of Seisin
b.
Conveyance
This person Is the party who is responsible for allowing somebody else to use their property Usually for a specified amount of time
a.
Grantor
b.
Leasee
c.
Lessor
d.
Grantee
c.
Lessor
A seller of a property has a collection of garden potted plants in their courtyard and they are all very heavy cast concrete pots. In addition, they are all on a drip system and timers for the sprinklers. What will be conveyed in the sale?
a.
Only the plants can be conveyed
b.
This must be decided and agreed upon by both parties
c.
Neither the pots or plants would be conveyed
d.
The pots and the plants would be conveyed
b.
This must be decided and agreed upon by both parties
An Air B & B renter would have what type of estate?
a.
Temporary
b.
Freehold
c.
Partial
d.
Leasehold
d.
Leasehold
Which document would be used to assist the county assessor in determining property values?
a.
TRID Settlement Statement
b.
Affidavit of Value
c.
Assumption of Value
d.
County Assessment Valuation Document
b.
Affidavit of Value
Who pays for the recovery fund?
a.
Agents and brokers
b.
Sellers
c.
Agents
d.
Brokers
a.
Agents and brokers
How many members of the general public serve on the Advisory Board?
a.
2
b.
1
c.
6
d.
3
d.
3
How can a buyer of real property ensure the validity or quality of a seller’s title?
a.
Preview the title report looking for defects
b.
Delivery of and acceptance of the deed satisfies clear title
c.
A seller’s agreement that the title is good is all that is required
c.
A seller’s agreement that the title is good is all that is required
An Easement is what type of encumbrance?
a.
Voluntary
b.
Beneficial to all
c.
Involuntary
d.
Voluntary or involuntary
d.
Voluntary or involuntary
Joint Tenancy must include which of the following?
a.
Rights of Survivorship
b.
Interest and possession
c.
All of these
d.
Time and title
c.
All of these
A landlord and tenant have signed a lease for 2 years. At the end of the 2nd year, The owner agrees verbally to allow the tenant to stay there for as long as they want As long as they continue to pay rent. This is what type of lease?
a.
Estate at will
b.
Estate for years
c.
Stressed tendency
d.
Estate at sufferance
a.
Estate at will
What is the purpose of an Impound Account?
a.
To collect upfront money used to pay buyers taxes and insurance
b.
Seller deposits keys for escrow to hold onto until transfer of ownership
c.
To Hold the buyers Earnest Money
d.
Hold commissions on behalf of agents
a.
To collect upfront money used to pay buyers taxes and insurance
When in Arizona does the ownership transfer to the new buyer?
a.
When deed is delivered to the buyer
b.
When escrow agent has proof of funds
c.
When the keys are delivered to buyer
d.
When the deed is recorded
a.
When deed is delivered to the buyer
In the State of Arizona, in order to sell land and attached manufactured homes, you must have
a.
Only the manufacturer can sell manufactured homes
b.
A Mobile Home Sales License
c.
A valid and active Real Estate License
c.
A valid and active Real Estate License
A seller paid her property taxes upfront for the year. In late September of that same year she sold her property. The seller is entitled to a _________ for roughly _______ months?
a.
Credit, 9 months
b.
Credit, 3 months
c.
Debit, 9 months
d.
Debit, 3 months
b.
Credit, 3 months
HOA’s may not be able to enforce the illegal paint color change on a property that was sold 2 years ago due to what?
a.
Statute of Limitations
b.
Latches
c.
Languish
d.
Fault
b.
Latches
Which one of the bundle of rights would allow someone else to buy their land in the future for a set price now?
a.
Disposition
b.
Possession
c.
Enjoyment
d.
Control
a.
Disposition
Landlocked property must be granted an easement and is known as the
a.
Disputed Tenement
b.
Dormant Tenement
c.
Dominant Tenement
d.
Divisive Tenement
c.
Dominant Tenement
The CLUE Report provided by the seller would identify what type of defects
a.
Improperly transfer of title
b.
Previous claims made to Insurance
c.
Title errors and omissions
d.
Liens from a previous lender
b.
Previous claims made to Insurance
The owner of a duplex lives in one unit and rents the other unit to a tenant. The tenant who always paid late overstayed the expiration of the lease and refuses to leave. A week later, he pays the owner rent which is then cashed. This is a
a.
Periodic Estate
b.
Estate for expired duration
c.
Special Eviction Exception
d.
Estate at Sufferance
a.
Periodic Estate
Which of the following would most likely not be considered a cloud in a property’s title?
a.
A recorded personal easement in gross
b.
Title transfer from an LLC to an individual
c.
Missing ownership history
d.
IRS Liens
b.
Title transfer from an LLC to an individual
A seller paid her property taxes upfront for the year. In late September of that same year she sold her property. The seller is entitled to a _________ for roughly _______ months?
a.
Debit, 9 months
b.
Debit, 3 months
c.
Credit, 3 months
d.
Credit, 9 months
c.
Credit, 3 months
By agreeing to take out a Home Equity Line Of Credit (HELOC) on their home, the owners allowed the lender to place what on their title?
a.
A recorded promissory note
b.
A voluntary specific lien
c.
A copy of the lien release due date
d.
A due on sale clause
b.
A voluntary specific lien
Which of the following would most likely hinder the transfer of clear title to a property in a community?
a.
Cities special assessments
b.
A homeowners back tax lien
c.
Utility Company Easement
b.
A homeowners back tax lien
Which acronym can be used to describe what would be personal property versus real property?
a.
IFTT
b.
MARIA
c.
AFF
d.
MARKO
b.
MARIA
What is not a seller’s duty in escrow?
a.
All
b.
Provide financing options to the buyer
c.
Disclose mortgages or known liens
d.
None
b.
Provide financing options to the buyer
The city and state have been provided the power to encumber your property by taxing the owner of each parcel of land, even the smallest parcel of land is taxed. What type of encumbrance is this?
a.
Specific and Involuntary
b.
Specific, Voluntary and Statutory
c.
General, Involuntary and Statutory
d.
Specific and Voluntary
a.
Specific and Involuntary
Upon passing the approved real estate school exam, the pre-licensure education is good for how long in the State of Arizona
a.
6 months
b.
6 years
c.
2 years
d.
10 years
d.
10 years
A common reasoning tool used to determine the status of a fixture would be
a.
Expressed Condition
b.
Structural Importance
c.
Intent
d.
Viability
c.
Intent
Which of the following is a voluntary lien?
a.
Income Tax Lien
b.
Common Lien
c.
Mechanics Lien
d.
Mortgage
d.
Mortgage
The highest and most desirable type of property ownership is
a.
Common Estate
b.
None of the above
c.
Fee Simple Absolute
d.
Grantor’s Estate
c.
Fee Simple Absolute
Richard has provided a property to be used and enjoyed by his brother Edward until he dies. Edward has the rights to enjoy, control, exclude and possess but is missing the rights to dispose of the property. Upon the death of Edward, the property is supposed to automatically be returned to Richard. What type of estate is this most likely to be?
a.
Estate in reversion
b.
Estate in arrears
c.
Defeasible
d.
Qualifiable
a.
Estate in reversion
The Department of Real Estate was granted their rule making capabilities by which authoritative body?
a.
The State Legislature
b.
The Governor
c.
The Federal Congress
d.
The Arizona Revised Code
a.
The State Legislature
The bundle of rights best describes what rights are bestowed upon an owner of real property. Which of these would not be considered part of the bundle of rights?
a.
The ability to give someone a lease with an option to buy
b.
The ability to post signs not allowing others to enter your land
c.
The ability to operate a small business out of the garage
d.
The ability to sell the property
d.
The ability to sell the property
When buying a property jointly, two individuals who are not married would most likely take title to a property how?
a.
Equal Tenants
b.
Tenants in Law
c.
Joint Ownership with Rights of Disposal
d.
Tenants in Common
d.
Tenants in Common
A licensed real estate agent in the state of Arizona can only receive their commission or compensation from whom
a.
Their associate broker who’s in charge of their team
b.
The designated broker for their office
c.
From the owner of the brokerage where they work
d.
The selling party in which they represent
b.
The designated broker for their office
Fruit that is stored in boxes and is then placed on a truck bound for the grocery store would be considered what?
a.
Harvested Crops
b.
Fructus Industriales
c.
Fructus Naturales
d.
Emblements
d.
Emblements
Which one of the following is a physical characteristic of land
a.
Indestructible
b.
Equitable
c.
Defeasible
d.
Intestate
a.
Indestructible
