A real estate agent cannot provide a basis for a buyer’s claim of misrepresentation.
A purchase contract is the same thing as an installment contract.
Title insurance does not cover issues related to misplaced boundary lines.
A bargain and sale deed is the same as a special warranty deed.
Notice of a tax sale requires tax authorities to do something more than simply mail a
notice that is returned to them.
Execution of a lien requires suit.
A landlord is not responsible for maintenance in the common areas.
In some states, a ‘showing” agent is labeled a sub-agent of the listing agent.
A preliminary notice is, in effect, a lien.
A ‘strawman” transaction is used to satisfy the unity of time in creating a joint tenancy.
Misrepresenting the quality of the schools in the area to prospective buyers is grounds
for rescinding the purchase contract.
The Community Reinvestment Act does not apply to banks, only mortgage lenders.
The Hope for Homeowners Act allows relief for single-family, condo, and townhome
mortgagors.
Meth statutes have been declared unconstitutional.
A tort judgment levied on real property is a judicial lien.
Construction on a building began on January 2, 2010. As between a construction
mortgage recorded on January 11, 2010, and a plumber who records a lien on March 15,
2010
a. The plumber will have priority in a dates back state
b. The construction mortgage always has priority
c. The plumber will have priority if it did its work prior to January 11
d. The plumber and construction mortgage are on equal footing
Michael Reaburn sells homeowners’ insurance policies. His father is a developer. His
father refers all home buyers in his subdivisions to Michael for insurance. Michael then
pays his father a commission which he includes as a cost for the escrow company to
collect from the buyers at closing.
a. There is no violation of RESPA
b. Because the fees involve insurance and not mortgage fees, RESPA does not apply
c. RESPA applies only to escrow agents and mortgage brokers and lenders
d. The commission and referral set-up is a violation of RESPA
Which of the following is the most frequently used form of legal description in
residential property?
a. Plat map
b. Metes and bounds
c. Government survey
d. Street address
Alteration of a property located in an area with a homeowners’ association
a. Can be done so long as the homeowner’s fees are current
b. Can be done with approval by the Architectural Control Committee
c. Cannot be done except by the homeowners’ association
d. None of the above
With reference to #23, suppose that A, B, C and D were joint tenants. Who owns what?
a. A, E, F, G, H, I ‘“ equal shares
b. A, E, F ‘“ equal shares
c. A, E, F ‘“ with A owning 1/2
d. A
The Code of Federal Regulations
a. Is passed by Congress
b. Provides interpretations of the U.S. Constitution
c. Contains state regulations as well as federal regulations
d. None of the above
In a mineral interest
a. The owner owns both surface and subsurface rights
b. The same interest as a profit a prendre is conveyed
c. The surface and subsurface rights are severed
d. A mineral royalty is also created
e. None of the above
Ben Young leased a store to operate his pizzeria. During his grand opening, water began
leaking from the ceiling into Young’s pizzeria. Ben’s landlord did not respond to his
calls or texts about the problem. He had to shut down for two days because the water
was dripping onto the food and he feared that the health department would close him
down even though he was trying to stop the water drips. Which of the following best
describes Ben’s rights as a tenant?
a. Ben could undertake an emergency repair of the premises and then collect the costs
from the landlord
b. In a commercial lease, Ben’s landlord has no responsibility for the condition of the
premises
c. In a commercial lease, Ben must bear the cost of repairs
d. Dripping water is not an issue of habitability
Anna Fritzwater has died leaving three children, Bob, Carol and Ted. Her fourth child,
Alice, died three years earlier. Bob and Carol each have two children. Alice left three
children. Anna’s will provides that her heirs share her estate per capita. Under her will
a. Bob, Carol and Ted each get a one-third interest
b. Bob, Carol, Ted, their children and Alice’s children each get a one-tenth interest
c. The lines of Bob, Carol and Ted each get a one-fourth interest to share and Alice’s
children each get one-twelfth
d. Bob, Carol and Ted each get a one-fourth interest and Anna’s grandchildren,
including Alice’s children, split a one-fourth interest
Commercial leases
a. Must be in writing to be enforceable
b. Cannot be oral agreements
c. Are required by state laws to be in writing if they are longer than one year.
d. None of the above
H leaves a life estate to A “and then to my grandson, Bob.” What interest does Bob
hold?
a. A vested remainder
b. A contingent remainder
c. An executory interest
d. A reversion
A perfected PMSI creditor has priority over
a. Unrecorded mortgages
b. Secured creditors
c. Subsequent mortgages
d. a, b and c
Abner has just sold his house (guest house, land, etc.) and the alley located behind the
property. In the deed conveying title to Abner, the property description includes the
alley as part of the conveyance. Abner has used that same description in his sale
contract. Abner has lived in the house for 3 years and has used the alley for access as
well as advising his guests to do the same.
Daisy purchased her home from Tom (who owned the home from 1970’‘77). Daisy has
owned the home for three years. In the deed conveying the property to Daisy, the
property description includes the house, guest house and land but does not include the
alley as part of the description. Daisy has used the alley for access and has advised her
guests to do so. Tom had also used the alley.
Abner’s purchaser has discovered Daisy using the alley and protests. Abner also
protests. Daisy maintains she has the right to use the alley since she probably owns it.
The following map illustrates the factual circumstances for the problem.
a. Can Daisy use the alley? Discuss.
b. Does Abner’s purchaser have title to the property or does Daisy? Discuss.
c. Would it make any difference if Tom had not used the alley? Discuss.
d. Would it make any difference if Tom had been given permission (by Abner’s
grantor/seller) to use the Alley? Discuss.
“To my wife for life, then if all my children have graduated from college, to my
children” (in grantor’s will and grantor is deceased)
a. Creates an executory interest in the children
b. Violates the Rule Against Perpetuities
c. Creates a possibility of reverter in the children
d. Creates a contingent remainder in the children
With regard to #27, suppose that Randy began selling auto parts and stopped doing
repairs. Five years later the parts business is not so good and Randy begins doing
repairs again. The city has brought suit seeking an injunction against the use of the
business for repairs. Which of the following is accurate?
a. Once Randy has a nonconforming use, he can always return to it
b. A nonconforming use is lost through a prescriptive period of different use
c. Abandoning a nonconforming use results in a loss of the exemption from zoning
compliance
d. The failure to allow Randy to return to his original use is an unconstitutional taking
Bob Taft applied for a loan for the purchase of a home. The loan officer denied the loan
and explained, ‘Look, you come from a rough area. I can’t loan money for buying
homes in that area.’ Which of the following is the correct term for what the loan officers
is doing?
a. Steering
b. Blockbusting
c. Redlining
d. Not a violation of the Fair Housing Act
Tri City Multilist only allows brokers to become members who use only exclusive
right’‘to’‘sell listings. Any antitrust implications?
Define impact fees and describe when they can be collected from developers.
In the late spring or summer of 1970, Dan Jutting’s father planted grass on his lot,
including a ten-foot strip bordering the adjoining property belonging to Jack and
Georgine Hendrix, and kept it watered as it grew. During that summer, he also planted
two trees on the strip of property near the boundary. These trees are now fully grown.
Jutting’s father also constructed a clothesline on the property that ran from the west to
the east. The west support for the clothesline was also located on the strip. Later, a
swing was hung from that support and used by the Jutting children and grandchildren.
Behind the west support, Jutting’s father planted lilac bushes. From the summer of 1970
until 1998, the Jutting family has continuously watered and mowed the grass on the
disputed strip and raked it when necessary.
Jutting’s father died in the early 1990s, and Jutting’s mother remained in the home until
1997, when she sold it to Jutting. Before Jutting purchased the property, a surveyor was
hired to do a location survey for the title insurance company. The survey showed that
the west boundary of the property was where it was presumed to be, that is,
approximately 10 feet from the west side of the Jutting residence.
The Hendrix residence has had a number of different owners since its construction in
the late 1960s. The Hendrixes purchased the property in late 1997. Through subsequent
discussions with Jutting, Mr. Hendrix learned there was uncertainty over the exact
location of the line between their two properties. In the summer of 1998, he hired a
surveyor to do a complete survey to determine the boundaries. The surveyor discovered
a ten-foot error in the original platting of the subdivision that ‘slid’ the boundaries of the
Hendrix and Jutting properties ten feet to the east. This pushed the east line of the
Hendrix property to within an inch of the west side of Jutting’s residence.
Although Jutting was made aware of the true property line, he persisted in trying to
maintain the disputed strip of property. Harsh words were eventually exchanged
between Jutting and Mr. Hendrix, and Hendrix began to construct a split rail fence
along the property line within an inch or so of Jutting’s residence. Jutting sued the
Hendrixes for an injunction to prevent construction of the fence and to quiet title to the
disputed strip of property. Jutting also raised claims for trespass and property damage
and claimed adverse possession of the disputed strip. Who owns the strip?
Washers and dryers are generally fixtures in homes.
Explain the purpose of a bill of sale in a real estate transaction.
An easement by necessity lasts only as long as the necessity exists.
The Harpers (a black family) purchased a home with financing through Union Savings
Association. During the first year, two of the Harpers’ payment checks bounced but
were immediately covered. Mr. Harper then lost his job and attempted to work out an
interim payment schedule with Union. Union refused and foreclosed on the property.
An examination of Union’s records revealed that it was the first time Union had refused
an interim payment plan for a temporarily unemployed borrower. Harper filed suit,
alleging Union had violated the Fair Housing Act. Union maintains the Fair Housing
Act is applicable only to purchases of homes and loans, not foreclosures. What is the
result?
Building Resources, Inc., is the manager for an apartment complex located in
Baltimore, Maryland. Residents have complained about the presence of transients
sleeping in the tenant’s parking lot area and going through the complex’s trash bins.
Building Resources received notice from the city of Baltimore about the risks of
allowing transients to remain on private property. The notice disclosed that crime,
including assaults, increased with the lack of enforcement of trespass laws by owners.
John Goodview, a resident of the Building Resources complex, was attacked and
robbed by two transients as he walked from the parking lot to his apartment. Goodview
suffered severe injuries and was off work for one month. Goodview wishes to know if
he has any rights against Building Resources.