Real Estate Course Chapter 8

Question 1

Define Land

Answer 1

Land refers to the surface of the earth and everything attached to it by nature.

Question 2

Define Real Estate

Answer 2

Real estate refers to the land and improvements

Question 3

Define Real Property

Answer 3

Real property includes all real estate plus the bundle of rights

Question 4

What are the Physical Components of Land

Answer 4

surface rights, subsurface rights, and air rights

Question 5

What are surface rights?

Answer 5

Surface rights include land and water rights

Question 6

What are the two types of water rights?

Answer 6

RIPARIAN rights -associated with land abutting the banks of a river,stream or other watercourse

LITTORAL rights - assicociated with land abutting tidal bodies or water such as an ocean, sea, or lake

Question 7

What are subsurface rights?

Answer 7

Owner’s rights to underground minerals, petroleum, natural gas. Often referred to as mineral rights

Question 8

What are the four aspects of Real Property Rights (Bundle of Rights)

Answer 8

(D) right of disposition
(U) right of use (control),
(P) right of possession,
(E) right of exclusion (quiet enjoyment).

Question 9

Any tangible asset that is not Real Property is …

Answer 9

Personal Property (chattel)

Question 10

What are the four tests regarding fixtures?

Answer 10

IRMA

(1) Intent of the parties
(2) Relationship between the parties -residential or commercial? Different rules apply
(3) Method of annexation- if removing causes damage, it is likely a fixture
(4) Adaptation of the article - if adapted or customer fit it will likely be considered a fixture.

Question 11

What is a Freehold estate

Answer 11

It is an OWNERSHIP interest for an INDEFINITE period of time.

Question 12

What is the most comprehensive form of Freehold estate?

Answer 12

Fee simple. It is also inheritable

Question 13

What is a life estate

Answer 13

It is also a Freehold estate, but is measured by an individuals natural life span

Question 14

What is a leasehold estate

Answer 14

It is a Nonfreehold estate. It is a tenant interest in real property measured in calendar time

Question 15

What are the 3 types of leasehold estates

Answer 15

Estate for years
Tenancy at will.
Tenancy at sufferance

Question 16

What is an Estate for years?

Answer 16

A nonfreehold estate. A tenancy with a specific starting and ending date. ( a one year lease)

Question 17

What is a Tenancy at Will?

Answer 17

A nonfreeehold estate. A tenancy with a lease agreement that has a beginning date but no fixed termination date.

Question 18

What is a Tenancy at Sufferance?

Answer 18

A nonfreehold estate. It occurs when a tenant retains possession of the property beyond the ending date of a legal tenancy without the consent of the landlord (tenant holds over).

Question 19

What is an estate in severality?

Answer 19

It is created when title to property is in one person’s name (sole owner)

Question 20

What is concurrent ownership

Answer 20

Ownership by two or more persons at the same time

Question 21

What are the three types of concurrent ownership?

Answer 21

(1) tenancy in common
(2) joint tenancy
(3) tenancy by the entireties

Question 22

Describe the attributes of Tenancy in common

Answer 22

Each owner has an undivided interest in the entire property. This interest can be left in a will or pass to heirs if there is no will

Question 23

What are the four unities of a joint tenancy?

Answer 23

(1) possession, (2) interest, (3) title, and (4) time

Question 24

Joint tenancy is different from Tenancy in common in what way?

Answer 24

A right of survivorship (when one co-owner dies, the deceased’s share goes to the surviving co-owner).

Question 25

To create a Tenancy by the Entireties, the co-owners must be …

Answer 25

married to each other at the time they take title.

Question 26

In a Tenancy by the Entireties, what happens if one spouse dies?

Answer 26

Their share automatically transfers to the surviving spouse by right of survivorship

Question 27

Developers of 20 or more residential condo units must give purchasers …

Answer 27

a copy of the prospectus

Question 28

What is the cooling off period to cancel a condo contract for sale from a property owner?

Answer 28

3 BUSINESS days

Question 29

What is the cooling off period to cancel a condo contract for sale from a developer?

Answer 29

15 CALENDER days

Question 30

What is a condo?

Answer 30

Real property consisting of condo units and common elements

Question 31

A condominium is created by …

Answer 31

recording the declaration of condominium.

Question 32

What creates the corporate entity responsible for operating the condomimiun

Answer 32

The articles of incorporation

Question 33

Purchasers of a unit in a cooperative purchase what?

Answer 33

Shares of stock in a corporation

Question 34

With respect to Co-ops, what does a PROPRIETARY LEASE entitle the purchaser?

Answer 34

The right to occupy the unit for the life of the corporation

Question 35

Time share purchasers are protected by what laws?

Answer 35

By the Condominium Act AND by the Florida Vacation Plan and TImeshare Act

Question 36

Regarding Florida Vacation Plan and TImeshare Act. Chapter 721 of this act applies to what?

Answer 36

All Time-share plans consisting of of more than 7 time-share periods over a span of at least 3 years.

Question 37

Regarding the Florida Vacation Plan and TImeshare Act, Developers must give a disclosure that give the purchasers how many days to cancel their contract?

Answer 37

10

Question 38

The only type of Concurrent ownership can there be unequal ownership interest?

Answer 38

Tenancy in Common

Question 39

In what type of type of Concurrent ownership does right of survivorship NOT exist

Answer 39

Tenancy in Common