Section 6: Holding Title, Tenancy Interests, and Subdivisions

Question 1

How To Take Title:
* Taking title to property depends on marital and what type of ownership status.
* There are FOUR Possible Options:
o Single Person or Individuals
o Co-Owners (but not married)
o Married Couple
o Trusts, Corporations or _____

Answer 1

Entities

Question 2

How To Take Title:
________ = Who, according to the state gets the property when the legal owner(s) die, or a manner of distributing the assets to the heirs.
* These laws in Arizona are important when deciding how to take title.

Answer 2

Laws of Descent

Question 3

How To Take Title:
_______ = Who, according to the state gets the property when the legal owner(s) die, or a manner of distributing the assets to the heirs
* These laws in Arizona are important when deciding how to take title.

Answer 3

Laws of Descent

Question 4

How To Take Title:
________=
IMPORTANT: This is the easiest form of title to transfer or convey to heirs when the owners die, the property will pass to the heirs as there is nobody else to claim it.

Answer 4

Laws of Descent

Question 5

How To Take Title:
*There are many factors involve how to take title and as agents, we should
understand these factors, but NEVER give the advice as to how – refer to an ______.

Answer 5

Escrow Agent or Attorney

Question 6

Single Person or Individuals:
* _______ = When a single “unmarried” individual buys property.
o This gives the singular owner absolute control over their property.
o It does not mean ‘several’ but it means that their ownership has been ‘severed’ from everyone else interest – they alone own it.

Answer 6

In Severalty

Question 7

Single Person or Individuals:
o Can be a natural person or it could be a legal entity (LLC or Corporation).
o Most Government land, buildings, roads, etc is owned “_______”.
o This is the easiest form of title to transfer or convey to heirs when the owners dies, the property will pass to the heirs as there is nobody else to claim it.

Answer 7

In Severalty

Question 8

Single Person or Individuals:
* Severalty = When a single “unmarried” individual buys property.
o This gives the singular owner absolute control over their property.
* Most Government land, buildings, roads, etc. is owned “in Severalty”
* Government owns in severalty, because there is no _____ rights.

Answer 8

Co-Ownership

Question 9

Not Married Forms Of Co-Ownership:
* (1) ______ = Used for ownership of real property with two or more owners who are not married.
o Interest in Real Property is ‘undivided’, each has rights to possession and use.

Answer 9

Tenancy in Common

Question 10

Not Married Forms Of Co-Ownership: Tenancy in Common:
o The amount of “ownership” interest could be ______ (50/50 or 70/30, etc).
o IMPORTANT: In State of Arizona, it is assumed that ‘TIC’ if not otherwise agreed upon by the owners.
o Each owner can sell, will, or give their ownership interest away.

Answer 10

Equal or Unequal

Question 11

Not Married Forms Of Co-Ownership: Tenancy in Common
o If an owner dies, their interest will automatically pass to their heirs (NOT to the other Co-Owners).
o IMPORTANT: There is NO Rights of Survivorship. The HEIRS by law will acquire the property ______.

Answer 11

Automatically

Question 12

Not Married Forms Of Co-Ownership:
* (2) _______.
o Rights of Survivorship = when one owner dies, their portion of the property will pass ‘automatically’ to the other owners and split equally.
o Known as a poor man’s will as the last man standing gets the whole property.

Answer 12

Joint Tenancy or Joint Tenancy With Rights of Survivorship (JTWROS)

Question 13

Not Married Forms Of Co-Ownership: Joint Tenancy or Joint Tenancy With Rights of Survivorship (JTWROS):
o ALL co-owners are considered “EQUAL owners” (Can not be unequal percentages).
o IMPORTANT: At time of closing, all parties (Grantees) must sign a ‘_______’.

Answer 13

Joint Tenancy Deed

Question 14

Not Married Forms Of Co-Ownership: Joint Tenancy or Joint Tenancy With Rights of Survivorship (JTWROS):
* Joint Tenancy MUST INCLUDE the ______.
* IMPORTANT: This Joint Tenancy is more for groups of people who ‘want’ or ‘wish’ that their interest / ownership in the property will pass to the other owner upon death, NOT to their heirs.

Answer 14

Rights of Survivorship

Question 15

Not Married Forms Of Co-Ownership:
* FOUR ITEMS required for Joint Tenancy include the acronym PITT:
1. ______ – ‘undivided’ ownership, all parties have equal rights to use whole property, it can’t be physically divided.
2. _____ - all co-owners have equal percentage of ownership, no one party can have a larger ownership interest than anyone else.
3. _____ – There can only be ONE deed because it is a joint tenancy with rights of survivorship, all parties are on one deed.
4. _____ – All ownership was created at the same time, it’s not possible to add someone else later on (Missing Time Element!).

Answer 15

Possession

Interest

Title

Time

Question 16

Not Married Forms Of Co-Ownership:
* FOUR ITEMS required for Joint Tenancy:
______ – ‘undivided’ ownership, all parties have equal rights to use whole property, it can’t be physically divided.

Answer 16

Possession

Question 17

Not Married Forms Of Co-Ownership:
* FOUR ITEMS required for Joint Tenancy:
______ - all co-owners have equal percentage of ownership, no one party can have a larger ownership interest than anyone else.

Answer 17

Interest

Question 18

Not Married Forms Of Co-Ownership:
* FOUR ITEMS required for Joint Tenancy:
______ – There can only be ONE deed because it is a joint tenancy with rights of survivorship, all parties are on one deed.

Answer 18

Title

Question 19

Not Married Forms Of Co-Ownership:
* FOUR ITEMS required for Joint Tenancy:
______ – All ownership was created at the same time, it’s not possible to add someone else later on (missing Time element!)

Answer 19

Time

Question 20

Not Married Forms Of Co-Ownership:
* IMPORTANT: ______ MUST INCLUDE the Rights of Survivorship. It is NOT POSSIBLE to will or devise one owner’s interest in a property (WROS)

Answer 20

Joint Tenancy

Question 21

Not Married Forms Of Co-Ownership:
o ______ = a clause in a will leaving real estate to someone else (inherit).

Answer 21

Devise

Question 22

Not Married Forms Of Co-Ownership:
* ______: Any owner may sell or give away their interest in the property without the consent of the other owners, however, the new co-owner WILL NOT have WROS with the others.
o The new owner will be missing the PITT (possession, interest, time, title).
o New co-owner would be a ‘tenant in common’ or TIC with the others.

Answer 22

Devise

Question 23

Not Married Forms Of Co-Ownership:
* _______ = If co-owners are not getting along or can not agree to sell the property court action will be required to manage or dispose of the property.

Answer 23

Partition Action

Question 24

Not Married Forms Of Co-Ownership:
Partition Action:
* IMPORTANT: Corporations, LLC’s and ‘entities’ CAN NOT take title as Joint Tenants or JTWROS.
o _______ don’t die, so it would not be possible under WROS.

Answer 24

Corporations

Question 25

Not Married Forms Of Co-Ownership:
* _______ = If co-owners are not getting along or can not agree to sell the property court action will be required to manage or dispose of the property.

Answer 25

Partition Action

Question 26

Married Forms Of Co-Ownership:
* (1) __________:
* Arizona is a ______ State
* These laws treat married couples as ‘equal partners’
* Equal Partners share everything, banks, real property, personal property etc.

Answer 26

Community Property (CP)

Question 27

Married Forms Of Co-Ownership:
* (1) Community Property:
* Arizona is a Community Property State (CP).
* IMPORTANT: Anything bought or earned ‘______’ becomes CP.
* One spouse can ‘buy’ property during marriage, but it becomes CP AUTOMATICALLY.

Answer 27

After Marriage

Question 28

Married Forms Of Co-Ownership:
* (1) Community Property:
* BOTH spouses must AGREE to sell or encumber.
o IMPORTANT: It takes 1 to buy, but 2 to sell
* ______ property is any type of asset or property that is owned by one of the spouses and is acknowledged to be the sole ownership of the other.

Answer 28

Sole and Separate

Question 29

Married Forms Of Co-Ownership:
* (1) Community Property:
* Arizona is a Community Property State (CP).
* IMPORTANT: Property or assets owned ‘before marriage’ are separate as long as the property is NOT commingled with the CP.
o 1 spouse owns a house before marriage, it is his/hers separate from other spouse as long as it is NEVER ______.

Answer 29

Commingled

Question 30

Married Forms Of Co-Ownership:
* (1) Community Property:
o Stocks, cars, assets acquired before marriage are also separate.
o _____ received ‘after marriage’ must also be kept separate from the Community Property, NOT commingled.

Answer 30

Inheritance or Gifts

Question 31

Married Forms Of Co-Ownership:
* (1) Community Property:
* Arizona is a Community Property State (CP).
* ______= when one spouse’s separate property is mixed with the other spouse’s marital property (keep it separate if it’s yours).

Answer 31

Commingling

Question 32

Married Forms Of Co-Ownership:
* (1) Community Property:
* IMPORTANT: In Arizona, prior to 1995, each spouse had the right to will, sell or transfer their interest to another, non-spouse, ‘WITHOUT’ the consent of the other spouse…then the laws changed and after 1995, Arizona became known as a _________.

Answer 32

Community Property State With Rights Of Survivorship (WROS)

Question 33

Married Forms Of Co-Ownership:
* (1) Community Property
* Arizona is a Community Property State (CP).
* ______ = Obtain a loan against or to otherwise hinder the transferability of title.

Answer 33

Encumber

Question 34

Married Forms Of Co-Ownership:
* (2) Community Property With Rights of Survivorship (CPWROS):
* Arizona is a Community Property State (CP).
* Married Couples ONLY in Arizona after ______.

Answer 34

1995

Question 35

Married Forms Of Co-Ownership:
* (2) Community Property With Rights of Survivorship (CPWROS):
o Allows married couples tax benefits and avoids ______.
* IMPORTANT: The same PITT unities MUST be held for CPWROS.

Answer 35

Probate

Question 36

Married Forms Of Co-Ownership:
* (2) Community Property With Rights of Survivorship (CPWROS):
* The deceased spouse’s interest will now _____ pass to the other spouse.

Answer 36

Automatically

Question 37

Married Forms Of Co-Ownership:
* (2) Community Property With Rights of Survivorship (CPWROS).
* Arizona is a Community Property State (CP).
* IMPORTANT: CPWROS is the assumed method for married couples in Arizona.
* 1 spouse can buy property and keep separate ‘after marriage’ but must have a disclaimer or quitclaim deed signed by other spouse.
* ______ = one spouse waiving their rights to that property.

Answer 37

Disclaimer Deed

Question 38

Married Forms Of Co-Ownership:
* (2) Community Property With Rights of Survivorship (CPWROS).
* Arizona is a Community Property State (CP).
* ________ = one spouse waiving their rights to that property.

Answer 38

Disclaimer Deed

Question 39

Married Forms Of Co-Ownership:
* (3) Tenancy by the Entirety:
* Arizona is a Community Property State (CP).
* This form of tenancy is NOT ______ in Arizona because we have CPWROS.

Answer 39

Legal

Question 40

Married Forms Of Co-Ownership:
* (3) Tenancy by the Entirety:
* Treats both spouses as one single legal person (not as equal partners).
* Cannot be ended unless ______ parties agree.
*This is still found in the following states: Alaska, Arkansas, Delaware, Florida, Hawaii, Illinois, Indiana, Kentucky, Maryland, Massachusetts, Michigan, Mississippi, Missouri, New Jersey, New York, North Carolina, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, Tennessee, Vermont, Virginia, and Wyoming.

Answer 40

Both

Question 41

How To Take Title:
Ending A Co-Ownership Interest in Real Property: 1/4 Ways
1: ____________
* If Joint Tenants have Rights of Survivorship, any of the 4 units of PITT are broken, then that interest is gone for that owner BUT remains with the others.

EX. Abby, Bob, Candice and Dennis are all co-owners and have Joint Tenancy.

If Abby dies, Bob, Candice and Dennis all share now a 33% ownership.

If Abby sells to Emily, Bob, Candice and Dennis are Joint Tenants still with 25% ownership, and now Emily is a 25% Tenant in Common owner! (Emily can NOT have JT as she didn’t have PITT)

Answer 41

Joint Tenancy PITT is Broken

Question 42

How To Take Title:
Ending A Co-Ownership Interest in Real Property: 1/4 Ways
2: ________
* Legally acting, courts can issue a suit to partition where the co-owners are forced to either split up and sell or otherwise divide the property.

Answer 42

By Legal Action

Question 43

How To Take Title:
Ending A Co-Ownership Interest in Real Property: 1/4 Ways
3: ______
* These can terminate a co-ownership.

Answer 43

Foreclosures and Bankruptcy

Question 44

How To Take Title:
Ending A Co-Ownership Interest in Real Property: 1/4 Ways
4: _________
* Both or all co-owners agree to end the co-ownership (sale).

Answer 44

Voluntary

Question 45

How To Take Title:
Business & Ownership:
* Business ‘entities’ CAN own real estate and take different forms depending on scope.
* Can hold title in either ______ or _______.

Answer 45

Severalty (Common) OR Tenants in Common

Question 46

How To Take Title:
Business & Ownership:
* Can NEVER own _____ as WROS as an entity never dies.
* Entity = formed organization used to conduct business for profit or non-profit.

Answer 46

Title

Question 47

How To Take Title:
Business & Ownership:
* ______= formed organization used to conduct business for profit or non-profit.

Answer 47

Entity

Question 48

How To Take Title:
Business & Ownership:
* Business ‘entities’ can own real estate and take different forms depending on scope:
IMPORTANT: Can hold title in either Severalty (common) OR possibly as ‘______’.

Answer 48

Tenants in Common (TIC)

Question 49

How To Take Title:
Business & Ownership:
* If held as TIC, it would be as a business holding owning with another person.
* Imagine a joint venture with a land owner and a developer, they would be TIC as the developer is a ______ and the land owner is a person
IMPORTANT: They can NEVER own title as WROS because a business entity never dies.

Answer 49

Corporation

Question 50

How To Take Title:
Business & Ownership:
* Business ‘entities’ can own real estate and take different forms depending on scope:
* IMPORTANT: LLC or Limited Liability Corporations are treated as an individual ______ in AZ.

Answer 50

Person

Question 51

How To Take Title:
Business & Ownership:
* Business ‘entities’ can own real estate and take different forms depending on scope:
o LLC’s are made up of members.
o Members each have limited liability.
o Members each have full control over management of the LLC.
o LLC as an entity do NOT pay taxes, it is members pass thru ______.

Answer 51

Income

Question 52

How To Take Title:
Business & Ownership
* Business ‘entities’ can own real estate and take different forms depending on scope:
* IMPORTANT: Partnerships must have at least TWO people.
o Must be a FOR _____ business.

Answer 52

Profit

Question 53

How To Take Title:
Business & Ownership
* Business ‘entities’ can own real estate and take different forms depending on scope:
Partnerships:
o Each partner has defined duties:
o ______:
 Zero control in management
 Liable only up to the extent of their investment

Answer 53

Limited Partner

Question 54

How To Take Title:
Business & Ownership
* Business ‘entities’ can own real estate and take different forms depending on scope:
Partnerships:
o Each partner has defined duties:
o _______:
 Full control in management
 Full Liability for the entity

Answer 54

General Partner

Question 55

How To Take Title:
Business & Ownership
* Business ‘entities’ can own real estate and take different forms depending on scope:
* IMPORTANT: __________:
These are partnerships with either people or corporations.
o Created for singular and specific projects.
o Typically dissolved upon completion of project.
o Corporations or people coming together on singular project for profit.

Answer 55

Joint Ventures

Question 56

Business & Ownership
* Business ‘entities’ can own real estate and take different forms depending on scope:
* IMPORTANT:
_________:
o Publicly traded on an open exchange.
o Investors buy shares of common stock instead of physical property.
o These must have most of their stock invested in Property.
o Must pay out at least 90% of their income to investors as dividends.

Answer 56

Real Estate Investment Trust [REIT]

Question 57

Business & Ownership
* Business ‘entities’ can own real estate and take different forms depending on scope:
* IMPORTANT:
______:
This is a group of people investing together.
o Individual Investors pool their capital to invest into real estate.
o Most often formed to purchase a single property.

Answer 57

Syndicate [Syndication]

Question 58

Real Property Classifications:
* Single Family Residences:
o Most common form of property.
o House sits on land and - one home per lot.
o Almost always held in this status.
o IMPORTANT:
______ = highest form of ownership of real property.

Answer 58

Fee Simple Absolute

Question 59

Real Property Classifications:
* ________:
o IMPORTANT: Unit sits on land and BOTH land and unit are owned.
o Usually shares at least one common wall.

Answer 59

Townhouses

Question 60

Real Property Classifications:
* ______:
o Owned in Fee Simple Absolute.
o Each owner is a ‘member’ of the HOA, which in turn owns the common areas, grounds etc -
IMPORTANT: HOA owns these items in severalty.

Answer 60

Row Homes

Question 61

Real Property Classifications:
* ______:
o Unit sits on a small lot and usually has a small yard.
o Commonly built directly on the lot line.
o Could share common walls or be staggered.

Answer 61

Patio Homes

Question 62

Real Property Classifications:
* ______:
o Arizona Agents can now sell manufactured homes or mobile homes if on the resale market (not new from the factory).
o If attached to the land permanently (Can’t Move again) is considered to be real property (affixed to the earth).

Answer 62

Mobile/Manufactured Homes

Question 63

Real Property Classifications:
* ______:
 This would have this certificate to be purchased.
 IMPORTANT:
______= conversion to real property from personal property and is filed with the county.

Answer 63

Certificate Of Affixture

Question 64

Real Property Classifications:
* Mobile/Manufactured Homes:
o If sitting on rented space, not real property, unit is ‘personal property’.
o Agents can sell because it is considered ______ (unit + land).
o Agents can NOT sell units on rented or leased land (Personal).

Answer 64

Real Property

Question 65

Real Property Classifications:
* Mobile/Manufactured Homes:
 ______ = right to sell non-affixed (movable) units.
 Manufactured home would convey with a bill of sale.

Answer 65

Dealer’s License

Question 66

*IMPORTANT: Manufactured homes, if sold by themselves, in Arizona, would convey with a ______ since there is NOT a Deed to the ‘property’.

Answer 66

Bill Of Sale

Question 67

Real Property Classifications:
* Timeshares:
o Units divided into fractional ownership usually weeks.
o Can be either Fee Simple or ______ depending on unit terms.

Answer 67

Leasehold

Question 68

Real Property Classifications:
* Timeshares:
o Developers MUST furnish the Public Report to buyers.
o Agents can sell as REAL PROPERTY.
o Buyers have a _____ day right of rescission period.

Answer 68

7 Day

Question 69

Real Property Classifications:
* _____:
o Since these don’t all sit on the ground, owner’s own “air rights”.

Answer 69

Condos or Condominiums

Question 70

Real Property Classifications:
* Condos or Condominiums:
o ______ = ownership of the space between all common walls.
*These could also be used when an owner of a property has the ‘rights’ to the air above them. Ex. Radio antenna, billboards, signs etc.

Answer 70

Air Rights

Question 71

Real Property Classifications:
* Condos or Condominiums:
o ______ = Developer action to create multiple deeds from a singular deed in order to sell condos.
 Developers would do this in order to convert apartments to condos.

Answer 71

Horizontal Regime

Question 72

Real Property Classifications:
* IMPORTANT: Horizontal Regime: “Developer action to create multiple deeds from a singular deed in order to sell condos”.
* Used to create multiple deeds from one singular deed
*Developers would do this in order to convert apartments to condos.
o Developers must furnish a “______”.

Answer 72

Public Disclosure Report

Question 73

Real Property Classifications:
* Condos or Condominiums:
o HOA’s are created by developer who creates the CC&R’s.
 HOA documents include declarations, by-laws, rules and responsibilities
pertaining to the association.
 These ______ give the power to the HOA to levy assessments, penalties, fines and the right to file a lien.

Answer 73

By-Laws

Question 74

Real Property Classifications:
* Condos or Condominiums:
o HOA’s are created by developer who creates the CC&R’s.
 HOAs can legally foreclose due to unpaid _____ not penalty fees.
o Typically, all common areas, roof, and insurance is provided by HOA.

Answer 74

Assessments

Question 75

Real Property Classifications:
* Condos or Condominiums:
o HOA’s are created by developer who creates the CC&R’s.
IMPORTANT:
o In a complex of 1 - 49 units.
 ______ are responsible for getting these documents to new buyers.

Answer 75

Owners

Question 76

Real Property Classifications:
* Condos or Condominiums:
o HOA’s are created by developer who creates the CC&R’s.
IMPORTANT:
o In a complex of 50 units or more.
 The _____ is responsible for getting these documents to new buyers.

Answer 76

Home Owner’s Association [HOA]

Question 77

Real Property Classifications:
* Co-ops or Co-opertives:
o Entire building is owned by a corporation.
o Individual owners don’t own the unit, but _____ in the corporation.

Answer 77

Shares

Question 78

Real Property Classifications:
* Co-ops or Co-opertives:
o Entire building is owned by a corporation.
 IMPORTANT: Each owner has a lease.
 ______: Lease given by corporation to an owner to use unit forever.

Answer 78

Proprietary Lease

Question 79

Real Property Classifications:
* Co-ops or Co-operatives:
o Corporations have a board of directors and _____ to buy is required.
o Value of stock goes up and down just as real estate prices would.

Answer 79

Approval

Question 80

Real Property Classifications:
* Co-ops or Co-operatives:
o If any owner defaults, the entire corporation is held ______.
 This is why it is very difficult to obtain financing for co-ops.

Answer 80

Liable

Question 81

Real Property Classifications:
* Co-ops or Co-operatives:
o ______:
A designated area that dictates a community is to have a mix of commercial, residential, parks, social, schools etc.
 It is a zoning ordinance that promotes well-being in communities.

Answer 81

Planned Unit Development [PUD]

Question 82

Real Property Classifications:
* Campgrounds:
o Ownership is NOT allowed in campgrounds.
o ______ is required and a license to use is granted to them.

Answer 82

Membership

Question 83

Real Property Classifications:
* Campgrounds:
o NOT allowed to lease, rent or loan use of license (proprietary).
o Developers must issue full public report _____ sales.

Answer 83

Before

Question 84

Real Property Classifications:
* Campgrounds:
o IMPORTANT: Rescission period cancellation of 7 days.
o IMPORTANT: Full Refund must be returned within ______ days of cancellation notice.

Answer 84

30 Days

Question 85

Real Property Classifications:
* Campgrounds:
IMPORTANT:
YOU NEED to have a _______ if you want to sell, lease, exchange campground memberships.

Answer 85

Real Estate License

Question 86

Subdivided vs. Unsubdivided Land:
* Subdivided Land:
Divided into 6 or more parcels (less than _____ acres each).
o IMPORTANT: Public report is REQUIRED.

Answer 86

36 Acres

Question 87

Subdivided vs. Unsubdivided Land:
* Subdivided Land:
o This type of land is regulated by ______ and part of the overall responsibility of the Real Estate Commissioner.
 Laws are in effect to prevent fraudulent and dishonest practices and to protect the public.

Answer 87

Arizona Real Estate Code

Question 88

Subdivided vs. Unsubdivided Land:
* Unsubdivided Land:
Divided into 6 or more parcels (36 acres or more, but less than ______ acres).
o IMPORTANT: Public Report NOT Required.

Answer 88

160 Acres

Question 89

Subdivided vs. Unsubdivided Land:
* ______:
A Person who divides the land.
o Provides the initial development - streets, sewers, sidewalks, etc.

Answer 89

Sub-Divider

Question 90

Subdivided vs. Unsubdivided Land:
* ______: Person who builds improvements on the land.

Answer 90

Developer

Question 91

Subdivided vs. Unsubdivided Land:
o May be the SAME person as the Sub-Divider.
o No ______ required for either.

Answer 91

Real Estate License

Question 92

Land Use Controls: Who controls what you do with your land?
* ______:
o Gives the state the right to create subdivision law.
o Including Zoning.
o May require an Environmental Impact Report.

Answer 92

Police Power [Government]

Question 93

Land Use Controls: Who controls what you do with your land?
* Police Power (Government):
o Gives the state the right to create subdivision law.
o Including ZONING.
o May require an _____.

Answer 93

Environmental Impact Report

Question 94

Land Use Controls:
* Police Power (Government):
o Gives the state the right to create subdivision law.
o Including ______.
o May require an Environmental Impact Report.

Answer 94

Zoning

Question 95

Land Use Controls:
* ______:
o CC&Rs to maintain the character of a property or subdivision.
o Legally binding.

Answer 95

Private Land Use Controls
[Not Government]

Question 96

Subdivision Disclosure Report (SDR): This is a comprehensive public report to protect the public.
* Has 3 Names:
1. _______
2. _______
3. _______

Answer 96

1. Subdivision Disclosure Report
2. Commissioner’s Public Report
3. Public Report

Question 97

Subdivision Disclosure Report (SDR):
* Requires developers to submit:
1. Documentation on their ability to ______ the project, as well as some personal and professional history and background.
2. IMPORTANT:
A ______ Map.
3. ______:
Is it clear and marketable? And can they be issued a new one on subdivided land?
4. Certificate of ______ if in an Active Management Area. This is a geographical area which has been designated pursuant to as requiring active management of groundwater.
5. Permanent ______ to lots. Ex. roads, ingress, egress.
6. ______ Title:
Are there any liens on the property?
7. ______ disposal plan. Where is it and whose responsibility is it?
8. A ______ :
Filled out for the ADRE.
9. Physical feature of the land. ______ for water drainage.
10. ______ Condition of Title:
In process, obtained etc.
11. Status of _______ including streets and utilities (in, or in progress).
12. Costs passed onto _______ of subdivision improvements (CFD or paid already).
13.How sales will be _______ :
Will it be on site, via sales agent, etc?
14. Past law _______ of the Seller (If any).
15. IMPORTANT: Buyers must sign a statement that acts as a _______ stating that they have reviewed and were given a copy of the public report.

Answer 97

1. Finance
2. Plat [Sub-Division]
3. Title
4. Assured Water Supply
5. Access
6. Clear Title
7. Wastewater
8. Questionnaire
9. Topography
10. Owner
11. Improvements
12. Buyers
13. Conducted
14. Violations
15. Receipt

Question 98

Subdivision Disclosure Report (SDR):
* Requires developers to submit:
1. ______ on their ability to finance the project, as well as some personal and professional history and Background.

Answer 98

Documentation

Question 99

Subdivision Disclosure Report (SDR):
* Requires developers to submit:
2. IMPORTANT:
A Plat / Sub Division ______.

Answer 99

Map

Question 100

Subdivision Disclosure Report (SDR):
* Requires developers to submit:
3. Title:
Do they have clear title? and can issue ______ title on subdivided land?

Answer 100

New

Question 101

Subdivision Disclosure Report (SDR):
* Requires developers to submit:
4. Certificate of Assured Water Supply if in an ______.

Answer 101

Active Management Area [AMA]

Question 102

Subdivision Disclosure Report (SDR):
* Requires developers to submit:
5. ______ access to LOTS via roads, INGRESS, and EGRESS.

Answer 102

Permanent

Question 103

In real estate, ______ refers to the right to enter a property or location.

Answer 103

Ingress

Question 104

In real estate, ______ refers to the act of leaving or exiting that same property or location.

Answer 104

Egress

Question 105

Subdivision Disclosure Report (SDR):
* Requires developers to submit:
6. Clear title:
Realtor must verify if there any ______ on the property?

Answer 105

Liens

Question 106

Subdivision Disclosure Report (SDR):
* Requires developers to submit:
7. Wastewater ______ plan:
Where is it getting disposed? Whose responsibility is it to dispose of it?

Answer 106

Disposal

Question 107

Subdivision Disclosure Report (SDR):
* Requires developers to submit:
8. A Questionnaire:
This MUST be filled out for the ______.

Answer 107

Arizona Department of Real Estate [ADRE]

Question 108

Subdivision Disclosure Report (SDR):
* Requires developers to submit:
9. ______ features of the land. Ex. Topography for water drainage.

Answer 108

Physical

Question 109

Subdivision Disclosure Report (SDR):
* Requires developers to submit:
10. Owner ______ of Title. Is title in process, obtained, etc?

Answer 109

Condition

Question 110

Subdivision Disclosure Report (SDR):
* Requires developers to submit:
11. Status of Improvements:
Including streets and ______.
Are they already on property? Or are they in progress?

Answer 110

Utilities

Question 111

Subdivision Disclosure Report (SDR):
* Requires developers to submit:
12. Costs passed onto buyers of subdivision improvements. Is it _____? Or is the deed paid already?

Answer 111

Contract for Deed (CFD)[Land Contract]

Question 112

A ______, is a legal agreement for the sale of property between a buyer and seller, alternative to a mortgage. When a homebuyer agrees to this option, the buyer holds the title on the home while the buyer makes payments until a pre-determined amount has been paid, at which time the property deed is officially transferred.

Answer 112

Contract for Deed (CFD) [Land Contract]

Question 113

Subdivision Disclosure Report (SDR):
* Requires developers to submit:
13. How will lot _____ be conducted. Will it be on site, via sales agent, etc?

Answer 113

Sales

Question 114

Subdivision Disclosure Report (SDR):
* Requires developers to submit:
14. Past law violations of the _____ (If any).

Answer 114

Seller

Question 115

Subdivision Disclosure Report (SDR):
* Requires developers to submit:
15. IMPORTANT: Buyers must sign a statement that acts as a receipt stating that they have reviewed and were given a copy of the _____.

Answer 115

Public Report

Question 116

Subdivision Disclosure Report (SDR):
* Requirements:
*IMPORTANT: The developer can NOT alter or change the public report without the consent of ______.
o If there is a material change that would ‘adversely affect’, any buyer would have 110 days to rescind or cancel their contracts.

Answer 116

Arizona Department of Real Estate [ADRE]

Question 117

Subdivision Disclosure Report (SDR):
* Requirements:
* It would be BREAKING THE LAW to subdivide land multiple times between friends, family or partners to avoid the subdivision _______ by dividing into smaller and smaller pieces per each owner.
* This is not common, but common enough to where the department is monitoring this and bringing action against those who try to do this.

Answer 117

Disclosure

Question 118

Subdivision Disclosure Report (SDR):
* Requirements:
*IMPORTANT: The developer can NOT alter or change the public report without the consent of Arizona Department of Real Estate (ADRE).
o If there is a material change that would ‘adversely affect’, any buyer would have ______ days to rescind or cancel their contracts.

Answer 118

10 Days

Question 119

When Is A Subdivision Disclosure Report (SDR) Not Required?
* ______ = “A split of 5 or fewer”
o A developer or owner can subdivide his property.
Example: If a 5 acre property can be subdivided into 5 one acre lots, NO public report is required.

Answer 119

A Lot Split

Question 120

When Is A Subdivision Disclosure Report (SDR) Not Required?
* IMPORTANT: Lots of land 160 acres or more called _____. The seller of land isn’t relieved of liability, however. Sellers must furnish an affidavit of disclosure.
when selling less than 5 pieces of land to inform the buyers of what is known about that land.

Answer 120

Bulk Land

Question 121

When Is A Subdivision Disclosure Report (SDR) Not Required?
* IMPORTANT: Sellers must furnish this document when selling less than 5 parcels of land to inform the buyers of what is known about that land.
______: “A sworn statement that the seller creates stating what is known about the land they are splitting”

Answer 121

Affidavit of Disclosure

Question 122

When Is A Subdivision Disclosure Report (SDR) Not Required?
*IMPORTANT: A public report is NOT needed for the sale or lease of ______ or ______ areas.

Answer 122

Commercial or Industrial

Question 123

_______:
* Plan that includes recreational amenities such as parks, golf courses, lakes, bike paths, and jogging trails. The variety of amenities clearly separates it from a normal plan for a housing subdivision.

Answer 123

Master Planned Communities

Question 124

Master Planned Communities:
* ______: Once the community has been established, this type of deed is used to grant the ownership of the common areas to homeowners via the HOA using CC&R’s.

Answer 124

Master Deed

Question 125

Advertising For Subdivisions:
* IMPORTANT: ALL other real estate advertising laws apply.
* Additionally must be REVIEWED by the Arizona Department of Real Estate (ADRE).
o Must NOT imply the subdivision is endorsed by the ______.

Answer 125

Commissioner

Question 126

Advertising For Subdivisions:
* IMPORTANT: ALL other real estate advertising laws apply.
o Must NOT say that the risk of loss is ______.
o Intended to verify all facts and not mislead the public.

Answer 126

Impossible

Question 127

Advertising For Subdivisions:
* IMPORTANT: ALL other real estate advertising laws apply.
o Must indicate that any pictures or scenes are an artist’s ______ and do not actually exist yet. Same with model homes built or under construction.

Answer 127

Rendering

Question 128

Advertising For Subdivisions:
* IMPORTANT: ALL other real estate advertising laws apply.
o IMPORTANT: All material must be kept on file for ______ years.

Answer 128

3 Years

Question 129

Advertising For Subdivisions:
* ______ :
Protects the public from unscrupulous land sellers. These are state statutes that protect the public against securities frauds of real estate companies.

Answer 129

Blue Sky Law

Question 130

Blue Sky Law: Advertising For Subdivisions:
* ______: is when statements are made to exaggerate the properties qualities.

Answer 130

Puffing

Question 131

Blue Sky Law: Advertising For Subdivisions:
* ______: is an unintentional false statement.

Answer 131

Misrepresentation

Question 132

Blue Sky Law: Advertising For Subdivisions:
* ______: is an intentional false statement.

Answer 132

Fraud

Question 133

Selling Subdivided Land:
* Seller may not sell any land until the Commissioner has reviewed and it has
approved the ______.

Answer 133

Subdivision Disclosure Report [SDR]

Question 134

Selling Subdivided Land:
IMPORTANT: Seller may not sell any land until the Commissioner has reviewed and approved the Subdivision Disclosure Report (SDR).
* IMPORTANT: In the interim, the seller MAY take fully refundable Lot Reservations.
o CAN NOT exceed $______ and to be used as a HOLD or reservation.

Answer 134

$5,000

Question 135

Selling Subdivided Land:
o IMPORTANT:
Earnest money, down payments, reservation money, hold money, and any other advanced money are paid directly to the ______ and NOT put into a neutral escrow account.

Answer 135

Seller

Question 136

Selling Subdivided Land:
* Once the subdivision is ______, the buyer will receive a copy of the Subdivision Disclosure Report [SDR].
o Buyer MUST sign a receipt stating he/she has received the Subdivision Disclosure Report [SDR].
o IMPORTANT: The seller must keep a copy of the Subdivision Disclosure Report [SDR] receipt from the buyer for 5 years.

Answer 136

Approved

Question 137

Selling Subdivided Land:
* Once the subdivision is approved, the buyer will receive a copy of the Subdivision Disclosure Report [SDR].
o Buyer MUST sign a ______ stating he/she has received the Subdivision Disclosure Report [SDR].
o IMPORTANT: The seller must keep a copy of the Subdivision Disclosure Report [SDR] receipt from the buyer for 5 years.

Answer 137

Receipt

Question 138

Selling Subdivided Land:
* Once the subdivision is approved, the buyer will receive a copy of the Subdivision Disclosure Report [SDR].
o Buyer MUST sign a receipt stating he/she has received the Subdivision Disclosure Report [SDR].
o IMPORTANT: The seller must keep a copy of the Subdivision Disclosure Report [SDR] receipt from the buyer for ______ years.

Answer 138

5 Years

Question 139

Selling Subdivided Land:
o If the buyer does NOT receive a copy of the SDR:
 IMPORTANT: The contract is voidable for ______ years.

Answer 139

3 Years

Question 140

Selling Subdivided Land:
o If the buyer does NOT receive a copy of the SDR:
 Real estate licenses may be ______ or ______.

Answer 140

Suspended or Revoked

Question 141

Selling Subdivided Land:
o If the buyer does NOT receive a copy of the SDR:
 Civil penalty of up to $______ for each occurrence may be imposed.

Answer 141

$1,000

Question 142

Rescission Periods:
* ______ : The remedy of cancelling a contract that restores all parties to original positions, making all parties whole again.

Answer 142

Rescission

Question 143

Rescission Periods:
o IMPORTANT: ______ has a building on it already or has plans for a structure to be built within 2 years.
* On improved land there is NO rescission period

Answer 143

Improved Land

Question 144

Rescission Periods:
o IMPORTANT: Improved land has a building on it already or has plans for a structure to be built within 2 years.
* On IMPROVED land there is ______ rescission period

Answer 144

No

Question 145

Rescission Periods:
o IMPORTANT: On UNIMPROVED land, the rescission period is:
 IF Buyer inspected: ______ calendar days
 IF Buyer NOT Inspected: 6 months

Answer 145

7 Calendar Days

Question 146

Rescission Periods:
o IMPORTANT: On UNIMPROVED land, the rescission period is:
 IF Buyer inspected: 7 Calendar Days
 IF Buyer NOT Inspected: ____ Months

Answer 146

6

Question 147

Which of these statements is false about Tenancy in Common..

Its ‘undivided’, each party has rights to possess and use

Each owner cannot sell, will or give their ownership interest away without the approval of all involved.

If an owner dies, their interest will pass on to their heirs, not to the other co-owners

No rights of survivorship

Answer 147

Each owner cannot sell, will or give their ownership interest away without the approval of all involved.

Question 148

Choose the correct statements that have to do with Joint Tenancy…

Rights of ownership is necessary for a joint tenancy

Corporations, LLC’s and ‘entities’ can take title as joint tenants

Four items are required; Possession, Interest, Title, Time

Known as a “rich mans will”

Answer 148

Rights of ownership is necessary for a joint tenancy

Four items are required; Possession, Interest, Title, Time

Question 149

Two individuals that are NOT married purchase a home together. Unless both parties sign a specific type of deed, Arizona will assume that if one owner dies, their share of ownership passes on to who?
This type of co-ownership is called?

Answer 149

This type of co-ownership is called Tenancy in Common and is used for ownership of real property with two or more owners who are not married. If an owner dies, their interest will automatically pass to their heirs (NOT to the other Co-Owners.

Question 150

When a house in Arizona is owned in severalty and the owner dies, who does the property ownership pass on to by default?

Answer 150

Severalty is when a single “unmarried” individual owns property. This is the easiest form of title to transfer or convey to the owners heirs (his or her estate) when the owners dies, so in this case, the property will pass directly to the heirs as there is nobody else on title who can claim it.

Question 151

Regarding the question above, when title transfers or conveys to the owners heirs what is the other type of co-ownership and what deed/document that MUST be signed by both parties?

Answer 151

Other type of co-ownership is Joint Tenancy or Joint Tenancy With Rights of Survivorship (JTWROS). Rights of Survivorship is when one owner dies, their portion of the property will pass ‘automatically’ to the other owners and split equally. At time of closing, all parties (Grantees) must sign a ‘joint tenancy deed’.

Question 152

There are 4 items required for Joint Tenancy, name one…

Answer 152

FOUR ITEMS required for Joint Tenancy include (PITT) are
1. Possession
2. Interest
3. Title
4. Time

Question 153

Four friends buy a piece of land in Kingman with the shared mindset of developing the property at some point in the future. They choose Joint Tenancy as their method of ownership. Suddenly and unexpectedly one of the co-owners dies. What will happen to that owners share of the property?

The heirs to his estate will now be equal co-owners with the other owners

The laws of decent will determine who gets his share

The Trustee must liquidate his share

That owners portion of the property will pass to the other owners equally

Answer 153

That owners portion of the property will pass to the other owners equally

Question 154

Joint Tenancy must include which of the following?

Rights of Survivorship

Time and Title

Interest and Possession

All of these

Answer 154

All of these

Question 155

When buying a property jointly, two individuals who are not married would most likely take title to a property how?

Tenants in Law

Equal Tenants

Tenants in Common

Joint Ownership with Rights of Disposal

Answer 155

Tenants in Common

Question 156

Upon the finalization of the divorce, a single woman on her own purchases a new condo in a high rise complex. The ownership would probably be recorded as “an unmarried woman taking title __________.”

Community Property

In Severalty

Single Tenancy

Tenancy in Common

Answer 156

In Severalty

Question 157

Laws of Descent would be applied when determining what?

Who would claim ownership after the death of the legally recognized owners

Possession Rights

Ownership rights if more than one owner in a property

What must be agreed upon when taking title as Joint Tenancy

Answer 157

Who would claim ownership after the death of the legally recognized owners

Question 158

Which of the following have rights of survivorship?

Community Property in AZ

Tenancy by the Entirety

Tenants in Common

Joint Tenancy

Answer 158

Community Property in AZ

Joint Tenancy

Question 159

How To Take Title:
Business & Ownership
* _______ is considered the same as an individual in AZ.
o Shareholders make up ownership of the corporation.
o Corporations are taxed on their income.
o Shareholders are taxed on the dividends on their stock.

Answer 159

Corporations [C-Corp or S-Corp]

Question 160

How To Take Title:
Business & Ownership
* Corporations (C-Corp or S-Corp) is considered the same as an individual in AZ.
o Shareholders make up ownership of the corporation.
o Corporations are taxed on their _______.
o Shareholders are taxed on the dividends on their stock.

Answer 160

Income

Question 161

How To Take Title:
Business & Ownership
* Corporations (C-Corp or S-Corp) is considered the same as an individual in AZ.
o Shareholders make up ownership of the corporation.
o Corporations are taxed on their income.
o Shareholders are taxed on the _______ on their stock.

Answer 161

Dividends

Question 162

How To Take Title:
Business & Ownership
* Corporations (C-Corp or S-Corp) is considered the same as an individual in AZ.
o Shareholder liability is only as much as the value of their stock.
o Shareholders don’t manage the company but have a _______.

Answer 162

Board of Directors

Question 163

True or False: Can an Entity own property?

Answer 163

True

Question 164

True or False: Business entities can own title with rights of survivorship.

True

False

Answer 164

False

Question 165

In Arizona, a married woman buys a house in 2015. Should she die, who will receive full ownership? Why?

Answer 165

Married Couples ONLY in Arizona after 1995, the deceased spouses interest will automatically pass to the other spouse.

Question 166

A man purchases a new TV and a week later he gets married. Does his wife own it too? What if he had purchased it after they were married?

Answer 166

TV acquired before marriage is separate and belong to husband only. If he had purchased it after they were married it belongs to both.

Question 167

A married couple closes on a home and 5 years later files for divorce. How can the co-ownership be ended?

Answer 167

Legally acting, courts can issue a suit to partition where the co-owners are forced to either split up and sell or otherwise divide the property

Question 168

How could a married woman buy a house and prevent her husband from owning it as well?

Answer 168

She can buy property and keep separate ‘after marriage’ but must have a disclaimer or quitclaim deed signed by her husband

Question 169

A married but legally separated couple live in Arizona. The husband lists their summer home for sale in the mountains of Pinetop and receives a very attractive offer which he accepts. What type of contract is this considered?

Valid and the Husband must sell

Voidable by either party

Legal and common as it only takes one to sell in Arizona, but two to buy

Void as mutual consent to sell wasn’t granted

Answer 169

Void as mutual consent to sell wasn’t granted.

Question 170

When buying a property jointly, two individuals who are not married would most likely take title to a property how?

Tenants in Law

Equal Tenants

Tenants in Common

Joint Ownership with Rights of Disposal

Answer 170

Tenants in Common

Question 171

A couple who was married for many years decide to build a new home in Arizona as their primary residence. 3 years after living in that home, the wife inherits another house from her parents who recently deceased. This becomes community property in AZ:

Automatically as it is community property

Never as the husband has no legal claim to it

Once they move into it together

Once the husbands files a joint tenancy deed with the county where the property is located

Answer 171

Once they move into it together.

Question 172

By properly signing a (an) ________________ , a spouse is legally separating themselves from a community property asset:

Disclaimer Deed

Non-Interest Deed

Community Property Waiver Agreement

Quiet Release

Answer 172

Disclaimer Deed

Question 173

Real Property Classifications:
* Condos or Condominiums:
o The CONDO itself is owned in _______ but the owners of the condo own only a fraction of the common areas,

Answer 173

Fee Simple

Question 174

Real Property Classifications:
* Condos or Condominiums:
 If 100 units, 1 owner has _______ ownership in common areas.
 Ownership in common areas is called Tenants in Common.

Answer 174

1/100

Question 175

Real Property Classifications:
* Condos or Condominiums:
If the owner of the condo died, it wouldn’t make sense for the other owners to take possession or ownership of that persons common areas - so the common area is ALWAYS held as _______.

Answer 175

Tenants in Common [TIC]

Question 176

Subdivisions:
If someone splits land into 6 or more parcels from one parcel and each parcel is less then ______ acres, you have a subdivision in Arizona! This needs a public report.

Remember: 6 x 6 = 36 for the exams!

Answer 176

36

Question 177

A developer of real property and the subdivider of the land, neither one needs to have a ________!

Answer 177

Real Estate License

Question 178

Land Use Controls: Who controls what you do with your land?
* Private Land Use Controls (Not Government)
o ________ to maintain the character of a property or subdivision.
o Legally binding.

Answer 178

CC&Rs

Question 179

Choose the following statements that are correct…

Single Family Residences are the most common form of property

Timeshares can never be sold as real property

Ownership is allowed in campgrounds

HOA can legally foreclose due to unpaid assessments

Answer 179

Single Family Residences are the most common form of property.

HOA can legally foreclose due to unpaid assessments.

Question 180

Who owns the community pool in a Townhouse complex?

Answer 180

Owned in Fee Simple Absolute. Each owner is a ‘member’ of the HOA, which in turn owns the common areas, grounds etc. HOA owns these items in severalty.

Question 181

What would convert a mobile home from Personal Property to Real Property? Could you as a real estate agent then sell it?

Answer 181

Mobile home, if attached to the land permanently (Can’t Move again) is considered to be real property (affixed to the earth). Agents can now sell manufactured homes or mobile homes if on the resale market (not new).

Question 182

What is the difference between Subdivided and Un-subdivided land?

Answer 182

Subdivided Land is divided into 6 or more parcels, each of which is less than 36 acres each and a public report is required. Unsubdivided Land is divided into 6 or more parcels, each of which is 36 acres or more, but less than 160 acres and NO Public report would be required in that case. (Remember this - 6 x 6 = 36, it will come in handy!)

Question 183

What are the two types of land use controls?

Answer 183

The two types of land use controls are Police Power (Government) and Private Land Use Controls (Not Government).

Question 184

A buyer tours a timeshare presentation in Arizona while on vacation. The champagne was flowing and the sales staff made quite the impression and the buyer bought a timeshare. This contract is?

Enforceable since she was not a resident of Arizona

Rescindable by the Buyer for a period of 7 days

Valid

Unenforceable since she didn’t have 3 days to review the contract

Answer 184

Rescindable by the Buyer for a period of 7 days

Question 185

Owners of Condo Units have what type of rights?

HOA Voting Rights

Board Leadership Rights

Fee Simple Determinable Rights

Air Rights

Answer 185

Air Rights

Question 186

In a condo complex where there are only 24 total units in Arizona, which party in the transaction would be responsible for the delivery of all of the communities CCR’s and HOA documents to the buyer?

The current owner

The escrow company

The HOA Board

The current management company

Answer 186

The current owner

Question 187

Unique to Arizona, what type of license is needed to sell timeshares?

Timeshare Sales License

Real Estate License

Developers License

Public Report Owners License

Answer 187

Real Estate License

Question 188

The biggest reason why banks don’t typically lend money on Co-Ops is due to the fact that:

The prices are not determined by fair market

Owners have a proprietary leasehold interest in the building

Owners don’t have any form of ownership in the corporation

The sellers don’t have any input as to how the board is run

Answer 188

Owners have a proprietary leasehold interest in the building.

Question 189

In the State of Arizona, in order to sell land and attached manufactured homes, you must have:

A Mobile Home Sales License

A valid and Active Real Estate License

Only the manufacturer can sell manufactured homes

A valid and Active Dealer’s License

Answer 189

A valid and Active Real Estate License

Question 190

A buyer saw an advertisement in his local paper about 40 acres for sale in Northwestern Arizona. He and his wife purchased the property but didn’t view it before the purchase. How long do they have to rescind their purchase?

0 days

7 days

3 months

6 months

Answer 190

6 Months

Question 191

A Subdivision Disclosure Report is one of the three names for this type of report, name the other two…

Answer 191

The other two names are Commissioner’s Public Report and Public Report.

Question 192

With a lot split, is a (SDR) required? A: A Lot Split is “A split of 5 or fewer”.

Answer 192

A developer or owner can subdivide his property (ie, a 5 acre property can be subdivided into 5 one acre lots, no public report is required.)

Question 193

When advertising subdivisions, what is an additional advertising law that applies?

Answer 193

All other real estate advertising laws apply.

Question 194

Land may not be sold in a subdivision until the Commissioner has approved the SDR. What can a developer do in the interim to help retain potential clients?

Answer 194

Seller may not sell any land until the Commissioner has reviewed and approved the SDR. In the interim, the seller may take fully refundable Lot Reservations but CAN NOT exceed $5,000 and to be used as a HOLD or reservation. Earnest money, down payments and any other advanced money are paid directly to the seller and NOT put into a neutral escrow account.

Question 195

The idea behind Planned Unit Developments is:

Ensuring conforming designs

Ensuring identical zoning

Enhancing overall well being in the community

Mixing different types of residential properties

Answer 195

Enhancing overall well being in the community.

Question 196

Several unrelated business associates want to acquire a commercial building and lease out the property to a new tech start up company that is looking for space in the area. These business partners agree that by forming a LLC together they could use that LLC to buy and take title to the building. Which method of holding title would this LLC be forced to take?

Joint Tenants w/ Rights of Survivorship

Community Property w/ Rights of Survivorship

Severalty

Tenants in Common

Answer 196

Severalty

Question 197

A REIT must pay out how much of its income in the form of dividends?

75%

50%

90%

100%

Answer 197

90%

Question 198

Which of the following would be a possible reason as to why it is hard to finance a co-op property?

The co-op is managed by a board who has control which make them hard to lease

Co-Op’s are rare which make them difficult to finance

Co-Op’s are owned in severalty making it difficult to finance

There is not a deed but an owners lease which makes it difficult to finance

Answer 198

There is not a deed but an owners lease which makes it difficult to finance.