Property owner ship Flashcards
An ALTA policy protects beyond a CLTA policy by protecting what
The location or property lines according to a formal survey
By the use of police powers, the general plan can be implemented by all, except:
adopting a retroactive zoning ordinance
Which of the following is not a lien?:
a. property taxes
b. a judgement
c. an encroachment
d. a mortgage
an encroachment
*An encroachment is a building or improvement that extends over the boundary line and onto a neighbor’s property without their permission.
Who enforces the State Housing Act?:
building inspector
When purchasing a property in a California land project, how much time is the buyer given in order to cancel their transaction and be entitled to a refund?:
14 calendar days
Zoning laws are based upon the legitimacy of the:
established right of police power and government.
The Williamson Act was created in 1965 to benefit:
farmland owners by providing them with lower property taxes
A title company representative would be familiar with an “abstract of title clause.” This is:
a written summary of change of ownership or claim on the property being examined
A lien can be created by recording what
a mortgage
Mrs. Willis contracted Top Notch Roofing to place a new tile roof on her single family home. If for some reason Mrs. Willis refused to pay the bill for the work done, Top Notch Roofing could file a lien for the payment due. What is the name of the encumbrance that would be created by taking such action?
specific lien
A city’s master plan would include:
a. any or all of these
b. water and utilities
c. commercial, residential, and recreational zones
d. the ability to develop a better traffic flow system
a. any or all of these
What do a landlord owned apartment building and a condominium have in common?:
occupants of both have an estate in real property.
A lien that has been created by court action and covers all of the debtor’s property in the county where it was recorded is called:
a general lien
What type of estate is of “indefinite duration”?
estate of inheritance
What is the difference between a judgment lien and a mechanics lien?:
Mechanics liens may take priority, much earlier than when they are recorded
hree years into a 20 year lease, the lessor and the lessee both agree to terminate the lease and no further payment is asked. This action is this known as:
surrender
What is the procedure when imposing restrictions on a new subdivision development?:
Record the restrictions with the county recorder with reference to the deed and each parcel
The disclosure for California’s Energy Conservation has a provision that newly constructed homes must disclose their:
R-Value of insulation
Any judgment lien that is recorded against a property would be:
an involuntary lien
- Any judgment lien is involuntary.
An easement and a license differ in that a license:
can be revoked or cancelled
Which of the following situations would not cause a building to be declared substandard?:
The electrical wiring is working properly and when it was originally installed, it complied with laws. However, it does not comply with current electrical building codes.
Why would an architect have a plot map drawn?:
To guide construction, placement, and related improvements to the property
In a condominium the sidewalks are:
a common area
How is real property different from personal property?:
Real property is immovable by law, while personal property is movable
What is the primary job of the State Board of Equalization?
appraises public utility properties for tax assessment
An electrician installed ceiling fans in a brand new construction home and was never paid for the work, therefore the electrician filed a mechanics lien. When would the priority of his claim commence?:
The date construction started on the new home
The Reza family has owned and operated a silver mine that is on federal land for over 150 years. The only way into the mine is using a road that crosses an adjoining piece of land that has recently been sold to a new owner. The new owner took possession of the land, quickly fenced off the property, and locked the gates to the road. What should the Reza family do?
File a quiet title suit against the new landowner and secure their rights to access their land
The local government has the right, under law, to control land use including:
a. rules for repairs
b. zoning ordinances
c. all of these
d. allowance for building removal
all of these
What is it called when changes are made to the style, form, function and layout of a single family home in order to correct functional obsolescence?
remodeling
Who typically establishes deed restrictions?
The grantor in the deed
Of the following, which is not an example of police power?:
deed restrictions
What is not a characteristic of an easement?
The interest can be terminated anytime by the owner of the land
A lessee rents a building from January 1 2015, through March 31, 2015. What type of tenancy would this be considered?:
estate in years
The Commissioner’s public report is there to protect the purchaser. A subdivider cannot enter into a binding contract with a buyer unless or until:
the buyer has had the opportunity to review the final public report and acknowledges receipt of the report
What is an instrument that transfers the possession of real property but not the ownership?:
a sublease
Encumbrance is best defined as:
anything that affects the free use of real property
How many years is an attachment lien effective for?:
3 years
The right to possess, use, transfer, enjoy, and dispose of something describes:
ownership
Derrick conveyed his tangerine grove to Herold using a land contract. The grove was serviced by a mutual water company. Derrick was a stockholder in that water company. The stock that Derrick owned was appurtenant to the land. Does Herold have to have an additional contract for the stock of the water company?
No, because the stock is appurtenant to the land so it’s part of the real property, therefore it is part of the land contract
After the public records are searched on real property, a document is written providing information regarding the findings from the search. This is known as:
an abstract of title
Of the following, which is not a test for a fixture?
time of attachment
When a judgment has been levied against real property, which of the following would have to be done to force the sale of the property?
a writ of execution
What is the name for the clause in a junior lien that allows for the first lien to be refinanced without losing its priority position?
subordination clause
A “turnkey project” refers to:
a construction project that is ready to be occupied
What type of lease would you have if the amount of rent due is based on the gross sales of a business?
percentage lease
What is the best way to describe a fee simple estate?:
The highest interest someone can have in real property
What is the most popular form of title coverage that most buyers purchase?:
a standard policy
Malika bought 20 lots in a local subdivision and there was a clause that stated “a buyer may not post a ‘for sale’ sign to sell their individual lot until the subdivider has sold out all of the remaining lots”. Malika can:
put up a sign. Such clause is void by law
A history that shows the chain of custody, conveyances, and encumbrances is known as the:
chain of title
The Real Estate Commissioner issued his final public report for Ocean Run Estates, a subdivision located in Santa Monica, California. Which material change could be asked of Ocean Run Estates by the Real Estate Commissioner?
the size of the lots
- The size of the lots would be a material change.
Under the subdivision law which is enforced by the DRE, all of the following could be defined as blanket encumbrances except:
property tax on real property
If a zoning law permits property to be used in a certain way, but the deed contains restrictions and use limitations, which prevails?:
deed restrictions
What is a joist when referring to house construction?:
parallel
A joist is a parallel beam that is installed to support celling and floors.
What use does an elevation sheet have in a new subdivision?:
A drawing that shows the front and side views of the finished homes.
Before a subdivision can go to sale, the subdivider must be able to show proof to the Real Estate Commissioner that:
the parcels of land can be used for the stated purpose.
A city’s master plan would include:
a. commercial, residential, and recreational zones
b. any or all of these
c. water and utilities
d. the ability to develop a better traffic flow system
any or all of these
An electrician installed ceiling fans in a brand new construction home and was never paid for the work, therefore the electrician filed a mechanics lien. When would the priority of his claim commence?
The mechanic’s lien dates back to when work began on the “scheme of improvements,” which in this case is the start of work on the new house.
Who would be responsible for the enforcement of sanitation and sewage disposal from a subdivision?:
the health officer
The use of police power allows the dividing of a city into areas known as:
zoning
How would a title company search for title information on a particular property?:
a. county clerk’s office
b. federal land office
c. county recorder’s office
d. all of these
all of these
The “R-value” refers to the effectiveness of insulation. What does the “R” stand for?:
resistance to heat flow
Land that has riparian rights benefits from what types of water?:
rivers, streams, watercourses
Which of the following easements is the easiest to terminate for non-use?
easement by prescription
Who does the Uniform Commercial Code, Division 6 (which pertains to bulk sale transfer of business goods) primarily protect?
creditors
All of the following are considered real property, except:
a. a grove of peaches that are unpicked
b. water residing underground
c. leasehold estates in residential properties
d. easements
leasehold estates in residential properties
Who could initiate a change in zoning?;
a. All of the above
b. Local property owner
c. The local government, including the zoning board
d. A developer
All of the above
Janice held a life estate of a single family residence. The estate is based upon her own life. Janice then leased the residence to Ken for a 4-year period. Unfortunately, Janice dies soon after the lease was signed. In this case the lease is:
valid only during the life of the lessor
Linda bought a piece of property and purchased a standard title policy. Of the following, which is Linda not protected against?:
easement and liens on the property that are not revealed on public records
Planning, zoning, and government land use are all examples of:
police power
Which of the following would be considered a “constructive eviction” ?
a. The property became uninhabitable after alterations to the unit by the landlord
b. Failure to repair property that was damaged by improper care from the tenant
c. None of these
d. The tenant turned off the utilities in the winter
The property became uninhabitable after alterations to the unit by the landlord
The policyholder of a California standard policy of title insurance is insured against a loss that may occur due to:
Forgery in the chain of title
Who would be responsible for the paved streets, utilities, curbs sidewalks and drain gutters in a new subdivision?:
the developer
How can an easement on real property be cancelled or terminated?
a release signed by the owner of the dominant tenement
The following are ways to determine if something is either personal property or real property, except:
a. how it is installed
b. cost of the item
c. arrangements between parties
d. relationship of the parties
cost of the item
Why would an architect have a plot map drawn?:
To guide construction, placement, and related improvements to the property
The government has the right, under law, to control land use including:
all of these
Who would provide information about a subdivision’s utilities, sewer, water provisions, encumbrances and street maintenance?:
The Real Estate Commissioner
Of the following, what can personal property become?:
a. Real property
b. All of these
c. Security
d. Alienated
All of these
What is the length of time that an easement can be created for?:
a. perpetuity
b. lifetime of a person
c. all of these
d. term of years
all of these
In a framed house what is the highest construction member?
ridge board
Of the following, which is true about a lis pendens?:
a. it is easily removed by court order
b. all of these
c. ownership of the real property may be affected based on the outcome of the lawsuit
d. it may affect the title of real property based not he outcome of a lawsuit
ownership of the real property may be affected based on the outcome of the lawsuit
Which of the following individuals would use conduit in their installations?
a. plumbers
b. window and door installers
c. concrete contractor
d. electrician
electrician
Which of the following governmental action relating to private property would not be an example of police power?
condemnation
A roof that slopes on all four sides is called a:
hip roof
A person who holds a life estate on property leased it out to a tenant for 7 years. Four months after signing the lease, the owner of the life estate dies. The new owners of the life estate ordered the lessee to move out. This lease is:
valid, only as long as the lessor is alive.
A lessee renting a suite in an office building often will attach items to the real property. Prior to the lease expiring, they remove the items and there is no damage left behind. The items removed are most likely:
trade fixtures
All of the following refer to a type of soil condition, except:
a. deciduous
b. adobe
c. alkaline
d. expansive
deciduous
- Trees that shed their leaves during the winter are deciduous.
Someone who owns real property and is also called a riparian owner has land that borders:
a. a stream
b. a channel
c. a river
d. all of these
all of these
Zilda rented a commercial space for her pop up business for 4 months. What type of estate does she have?:
an estate for years
A family rents a vacation property from April 1st to September 5th 2016. What is their tenancy considered?
an estate for years
- When the rental period is a specific time frame, this is an estate for years.
Of the following, which creates an encumbrance on real property?:
a lease
- A lease creates a burden on the property.
An appraiser observes several cracks in the foundation while appraising a property. They also notice that the doors and windows do not close properly. What type of report would the appraiser most likely order?:
a soil engineer’s report
How are deed restrictions classified?:
encumbrance
- A deed restriction is an encumbrance that is a burden on the title of property.
What is the most critical piece in completing the planning of a subdivision?:
market analysis
- A market analysis includes the other choices, therefore a “Market Analysis” is the most inclusive report.
Adam sold Rolling Estates to Ronald. Before Adam sold the property he had an appurtenant easement across Lake Meadow Estates which is owned by Doris. When Ronald went to use the easement Doris would not allow Ronald to use it. Which of the following is correct?:
Doris owns the servant tenement and must allow Ronald access to use the easement
Of the following, which one is considered real property?:
a. items that are immovable by law or regulations
b. any of these
c. an easement
d. land and buildings
any of these
- Real property includes land and the attachments
When do community apartment projects and condominiums fall under the subdivision provision of the California Real Estate Law?:
5 or more units
- If they contain five or more units, the Subdivision Law considers condominiums and apartment projects as subdivisions.
Who enforces the State Housing Act?:
building inspector
Personal property can do which of the following?:
a. become real property
b. be sold
c. be moved
d. any or all of these
any or all of these
Builders that comply with the local minimum housing requirements must:
comply with the more stringent of both the federal housing specifications and local housing codes
When a new subdivision is sold to the general public it is required in the Commissioner’s public report that all monies from buyers be put into an impound account because of the blanket encumbrances placed on the subdivision. Who is the impound account there to protect and benefit?
The purchaser of a lot in the subdivision
What is the timeframe that a les pendens action is effective?:
a. Before the trial
b. Any of these
c. Until final judgement
d. Until the lawsuit is dismissed
Any of these
Which of the following is defined as a fixture?:
Something incorporated into the land
What is the primary job of the State Board of Equalization?:
Appraises public utility properties for tax assessment
“The personal, revocable, and unassignable permission of authority to do one or more acts on the land of another without possessing any interest therein,” is a definition of:
a license
Which of the following statements about easements is not true?:
An easement in gross gives the right of one property to another adjacent property
What is considered ownership rights and interest in real estate?:
estate or fees
A warehouse is normally rented by the:
square foot
An easement appurtenant requires the following except:
the dominant and servant tenements adjoining at their respective borders
Land that has an easement placed on it is said to be:
encumbered
A fee simple title has all of the following characteristics, except:
it is a real encumbrance
What does the Subdivision Map Act require?:
The subdivider to prepare and file a tentative map of the subdivision with the local town, city, or county
Which of the following is an “interest” and not an “estate”?:
An easement
Which of the following items would be contained in a plat map?:
location of the improvement on the lot and relationship to surrounding features
An estate is granted to Frank for the life of Emilia; Frank dies while Emilia is still living. The estate would:
vest in the heirs, or to the beneficiaries of Frank
Land that is zoned for a multi-family development would be identified as:
R3
- R3 denotes a multi-family dwelling zone
Deed restriction, mortgages, lease and easements are:
contractual limitations of ownership
Besides zoning laws and the State Map Act, what are other regulations that can be implemented on a subdivision?:
a. FHA, VA regulations
b. all or any of these
c. Building safety laws, health laws, and fire codes
d. The Bureau of Real Estate Regulations
all or any of these
When repairs are made to equipment that is broken in a building, these repairs would be classified as:
corrective maintenance
Of the following which is considered real property?
a. A load bearing wall in a single family property
b. A mature orange grove which is under contract to be harvested at peak harvest time
c. Trade fixtures, such as freezers in a grocery store, that are easily removable without damage
d. A built in microwave in a mobile home that is not attached and sits on wheels with tires
A load bearing wall in a single family property.
A tenant who is of good standing has a 6 year lease which doesn’t mention assignment or subleasing. Which of the following is allowed?:
a. sublease or assign the leasehold to anyone since the agreement does not speak against doing so
b. Assign, but not sublease
c. Sublease but not assign
d. Sublease or assign with permission
sublease or assign the leasehold to anyone since the agreement does not speak against doing so
A plumber installed toilets in a new home. The owner refused to pay the bill. A mechanics lien is the plumber’s recourse. Which would be the specific date used to revert back to the lien?:
the start date of construction on the house
What is another name for an estate of inheritance?:
fee simple estate
Which of the following notices are important when filing a mechanics lien?:
a. all of these
b. a notice of cessation
c. a preliminary notice
d. a notice of completion
all of these
An easement can be acquired by prescription in a similar way that land can be acquired by:
adverse possession
The city zoning board agreed to change the zoning on a parcel of vacant land from commercial to residential. This is referred to as:
down zoning
An easement can be terminated by all of the following, except:
cancellation in writing and recorded by the owner of the servant tenement
Of the following, which is not an encumbrance?:
a. a lease
b. a lien
c. an easement
d. a homestead
a homestead
What is a soil pipe used for?:
Sewer line
What is the primary purpose of city and county building codes?:
setting minimum standards for public health, safety, and general welfare
The department that provides building permits is the:
local building department
During the winter time, an appraiser took a reading that displayed the temperature on the inside of an exterior wall of a property. It was about the same temperature as the interior walls. What was the appraiser’s conclusion?
the wall insulation is working properly
What would you call a major transportation route that has a single line of buildings along one side?:
a strip commercial development
Which of the following is true when holding real property as joint tenants?:
a. marriage is a requirement
b. the shares must be equally split between each of the joint tenants
c. probate is mandatory
d. all of these
the shares but be equally split between each of the joint tenants
When renting a residential property, the amount of a deposit depends on:
whether the property is furnished or not
In the state of California, which is most incorrect concerning tax liens?:
a lien for taxes on real property has priority over liens for assessments used for public purpose regardless of when recorded
To which of the following groups does a subdivider have to give a copy of the commissioner’s public report?:
a. anyone who purchases a lot
b. sales representatives
c. prospective buyers
d. anyone at any time
Anyone at any time
What does it mean when an air-conditioning unit has a higher energy efficiency ratio (EER)?:
a. The unit uses more electricity
b. The unit needs water in order to work properly
c. The unit is more efficient
d. None of these
The unit is more efficient
Of the following, which is not sufficient to convey an interest in real property?:
a. deed
b. lease
c. bill of sale
d. agreement of sale
bill of sale
A person who owns a parcel of real property and a separate interest in common space in a residential, commercial or industrial building would have an interest in:
a condominium project
Title insurance covers the risk of loss for many things. Which of the following would a title insurance policy not cover?:
A zoning ordinance, regulation, or plan
When transferring a retail merchandising business, what items would not be included in the bill of sale?:
Assignment of leasehold
With whom does someone report a file to under the Subdivision Map Act?:
local city, town, or county in where the land is located
What is the general purpose of local building codes?
To provide standards for the protection of the public safety, health, welfare, and well being
Of the following, what is the name of the metal that is used to protect a building from water intrusion?:
a. cap
b. house wrap
c. gutter
d. flashing
lashing
- Flashing is sheet metal which is placed on the roof to prevent water from penetrating into the house.
What would a title company be most concerned with when deciding on whether to write a title policy for real property?
chain of title
The building contractor ordered 4 truckloads of soil to be delivered to the construction site for backfill. What is the contractor’s probable intention with the backfill?:
Fill in excavations or backfill around the foundation walls
Ellie gave a grant deed transferring title to Tim to a piece of real property. The title is subject to a condition saying that tile will be forfeited if alcoholic beverages are sold on the property. Tim would have which type of estate?:
fee simple defeasible
Before buying a business, the buyer should make sure that a certificate of clearance or a clearance receipt is issued by the:
Board of Equilization
How can an easement on real property be cancelled or terminated?:
a release signed by the owner of the dominant tenement
Which of the following is considered personal property?:
A trade fixture.
Of the following, which is considered to be a personal property interest?:
a. rights to water
b. leasehold estate in real property
c. a farm of unpicked oranges
d. buildings on a piece of property
leasehold estate in real property
Gretchen owns a commercial building which she leased to Henry for 6 years. Henry’s estate in the building is:
a. any and all of these
b. personal property
c. a chattel real
d. an estate in years
any and all of these
Which of the following is the best description of police powers?:
a. enacting of zoning laws which set restrictions on real property
b. all of these
c. a developer deciding what restrictions to place on the property
d. deciding legal claims over property lines
enacting of zoning laws which set restrictions on real property
What is the common procedure used to enforce private property restrictions on real property?:
an injuntion
- An injunction is an order by the court to restrict someone from doing something.
If David has a freehold estate, which of the following would need to occur for David’s interest in the property to be changed to less than a freehold estate?:
sale and leaseback
The Street Improvement Act Of 1911 can be used to raise funds for all, except:
purchasing land for a subdivision
What is the justification of zoning ordinances?:
To promote public health, safety, and general welfare
What is an agreement referred to when party A grants the right to offer, sell, or distribute goods or services under a marketing plan described by party A?:
Franchise Agreement
Which term is used to describe a local building authority that allows an inconsistency to construction and building standards set forth by applicable building codes?:
variance
Which of the following is not an element for prescriptive easement?:
payment of taxes and all assessments for five years
How is property legally and technically defined?:
rights and interest which a person has in the thing owned
What does CR usually mean in zoning codes?:
a. mobile home park
b. limited commercial use
c. industrial
d. residential
limited commercial use
- CR refers to limited commercial use.
What position does a mortgage usually take in regards to priority?:
Whichever is recorded first
Which of the following is considered a lien?:
a. a homestead
b. none of these
c. hazard insurance policy
d. an attachment
an attachment
A standard policy of title insurance protects the insured against:
any encumbrances placed on the insured property
When the state gives permission to a non riparian owner of a farm to use a nearby source of water, how has the owner received this right?:
appropriation
- When rights are given by appropriation, they are given in a judicial manner or by the government.
What are riparian rights?:
a. underground oil
b. ability to enjoy the property
c. gives complete ownership over neighboring water areas
d. includes the right to reasonably appropriate water as needed
includes the right to reasonably appropriate water as needed
If an owner of real property allows a telecommunication company to place a cell tower on their land, which type of encumbrance would this create?:
an easement
What best describes an easement in gross?:
a. it places a burden on the dominant land
b. it places a burden on the servient land
c. it gives the benefit to the dominant land owner
d. none of these
Definition
it places a burden on the servient land
Of the following, which would best describe an impairment recorded on a piece of real property?:
A trust deed that is recorded after the work of an improvement was started and a mechanics lien was filed and recorded on the work
Melissa just moved into her new home and had a survey of the property done. Upon completion Melissa was reading the survey report that said the next door neighbor’s house was built 6 feet onto Mellisa’s property. If Melissa and the next door neighbor cannot take care of this issue in a friendly manner, who should she bring a civil action against?:
the neighbor
Private restrictions on real property can be written in two ways, either as a condition or a covenant. Of the following statements, which one is true?:
Any violations of restrictions or conditions can result in monetary penalties up to the loss of use of the property
The California Environmental Quality Act (CEQA) handles “Negative Declarations”. Which of the following statements is not true?:
Negative declarations are signatures collected of the nearby neighbors opposing the development
The Real Estate Commissioner has several real estate responsibilities within the state of CA. One of the primary responsibilities is dealing with subdivision matters involving:
financial arrangements to assure the ability to build facilities for the community
Which of the following would use an unlawful detainer?:
lessor
What is the main difference between real and personal property?:
Real property is immovable
A judgement against the debtor’s property recorded in the county where it is located, which includes a court ordered abstract of judgement for money that is owed is called:
an involuntary lien
As used in real property law, what’s the best way to define “tenancy”?:
way of holding title to real property by a lessee or owner
Of the following, which is not classified as a specific lien?:
a. A mechanics lien for labor on a project of real property
b. A judgement for punitive money damages
c. A blanket mortgage that does not have a release clause
d. A 3-year-old delinquent taxes bill on a piece of real property
A judgement for punitive money damages
Who would you contact to verify that a business is current on their sales tax payments?:
The board of Equalization
Which of the following is classified as personal property?:
a. easements
b. minerals still in the ground
c. water still underground
d. leasehold estates in residential properties
leasehold estates in residential properties
The purchaser of real property received a grant deed and bought a standard policy of title insurance. Which of the following would be covered by the seller and not insured by the title policy?:
any undisclosed lien against the property
All of the following are liens against real property except:
a. unpaid tax bills spanning three years
b. a recorded an unpaid judgement for money
c. an assessment bond for street lights
d. private restrictions that have been recorded
private restrictions that have been recorded
Of the following, which is not needed for obtaining an easement by prescription?:
a. The use would be hostile to the owner
b. Open and notorious continuous use for five years
c. Having a claim of right
d. A confrontation with the owner
A confrontation with the owner
The land that benefits from an easement is called the:
dominant tenement
The commissioner’s final public report would include all of the following for a residential development, except:
assurances that there is not excessive pricing for the properties by the developer
How does a city use and implement their general plan?:
a. land use committee
b. variances
c. zoning
d. permits
zoning
- The general plan shows which area will be used for different types of development.
Which of the following rights do individuals not normally have in the ownership of real property?:
a. eminent domain
b. water rights
c. airspace rights
d. right to enjoyment
eminent domain
- Eminent domain is held by the government.
What does a standard title policy insure against?:
a. an easement by prescription
b. claims of persons who are in possession of the property
c. a recorded deed in the chain of title that was not properly delivered
d. losses taken by improved real property
a recorded deed in the chain of title that was not properly delivered
Of the following, what must be given to a buyer of a condominium?:
a. the recent financial statement
b. all of these
c. the bylaws
d. the CC&Rs
all of these
Of the following, which is personal property?:
a. water rights
b. watermelons growing on a farm to be picked soon
c. existing mortgage
existing mortgage
- An existing mortgage is a debt instrument and considered personal property.
