SU # 57__Leases and Security Deposits Flashcards
Which type of leasehold estate is commonly referred to as a periodic tenancy?
Estate from period to period
What are a tenant’s primary obligations when leasing a property?
Pay the rent on time
Maintain the property’s condition
Comply with the rules and regulations of the building
What is the difference between a sublease and an assignment?
A sublease is the transfer by a tenant of a portion of the leasehold interest to another party.
An assignment of the lease is a transfer of the entire leasehold interest by a tenant to a third party.
List three commons causes of a lease termination.
Term expiration.
Voluntary agreement
Property destruction
Define a gross lease.
The tenant pays a fixed rent and the owner pays the taxes, insurance and other normal ownership expenses.
Grant moves into his new office space while he awaits the completion of the negotiations of the lease terms. During this interim period, Grant makes monthly rent payments and the owner accepts them. How would Grant’s lease at this time be classified?
Estate for years
Estate from period to period
Estate at will
Estate at sufferance
Estate from period to period
What is one important difference between a sublease and a lease assignment?
In a sublease, responsibility for the original lease is transferred completely to the landlord.
In a sublease, the original tenant retains primary responsibility for performance of the original lease contract.
A sublease does not convey any of the leasehold interest.
A sublease conveys the entire leasehold interest.
In a sublease, the original tenant retains primary responsibility for performance of the original lease contract.
This occurs when a tenant remains on the property without the owner’s consent after lease termination.
Estate at Sufferance
Estate at Will
Estate at Possession
Estate in Default
Estate at Sufferance
What kind of lease contains a recapture clause?
Percentage
Net
Index
Graduated
Percentage
What method is used to remove a tenant who is in default in paying rent?
Foreclosure
Condemnation
Lock out
Suit for eviction
Suit for eviction
Which kind of lease increases at specified intervals?
Graduated
Gross
Percentage
Net
Graduated
Business owner Jill, leases a store front. Her lease amount is based on the wholesale price index. What type of lease does Jill have?
Proprietary Lease
Bracket Lease
Index Lease
Step Lease
Index Lease
Which of these items is not included in a lease agreement?
Terms
Demising clause
Description of premises
Alienation clause
Alienation clause
When a tenant agrees to pay taxes and maintenance, the tenant has what kind of lease?
Gross
Periodic
Net
Graduated
Net
A type of lease when the tenant pays for the taxes, insurance, maintenance and repairs is called what?
Simple Lease
Triple Net Lease
Quad Lease
Expense Lease
Triple Net Lease
A tenant living in cooperative owned housing, would hold what type of lease?
Index Lease
Branch Lease
Shared Lease
Proprietary Lease
Proprietary Lease
Who may file for a constructive eviction?
The Landlord
The Courts
The Tenant
The Tenant’s Neighbors.
The Tenant
Jill pays $2,450 per month on an apartment. No other expenses are paid by Jill. What type of lease does Jill hold?
Gross Lease
Net Lease
Progressive Lease
Not Net Lease
Gross Lease
Which of the following summarizes the general terms of a ground lease?
The landlord sells the ground to another, then leases it back.
A tenant buys the landlord’s ground, then leases the improvements.
The landlord leases the ground floor of the building to a commercial tenant.
The tenant leases the ground from the landlord.
The tenant leases the ground from the landlord.
Which kind of lease has no time limit?
Estate for years
Estate at will
Estate from period to period
Estate at sufferance
Estate at will
A lease contract is best described as
a. a temporary transfer of legal title.
b. an instrument of conveyance of limited title.
c. a conveyance of a possessory interest.
d. a title conveyance in exchange for rent.
c. a conveyance of a possessory interest.
When a tenant acquires a leasehold estate through a lease, what does the property owner acquire?
a. A freehold estate
b. A reduced leasehold estate
c. A leasehold estate
d. A leased fee estate
d. A leased fee estate
When an owner leases her property, she temporarily relinquishes the right to
a. transfer the property.
b. encumber the property.
c. occupy the property.
d. maintain the property
c. occupy the property.
Which of the following happens when a leased property is sold?
a. The buyer acquires title subject to the lease.
b. The lease is cancelled.
c. The lease expires within thirty days unless renewed.
d. A new lease is automatically executed.
a. The buyer acquires title subject to the lease.