An area zoned for commercial use only is an example of use restriction zoning.
Payment of taxes by the title holder precludes adverse possession.
The timing of the presentment of a prenuptial agreement is part of determining its
validity.
Condominium owners can be restricted on construction and alteration of their units.
No’‘growth zoning is unconstitutional.
An investor is “at’‘risk” only for the amount actually invested.
Section 8 tenants cannot be evicted for criminal activity.
Passive or suspended losses can be deducted from ordinary income.
Common areas are specified in the Declaration of Condominium.
Oral evidence can be used to clarify a latent ambiguity.
Title companies use the grantor/grantee index system.
In an assumption, the buyer is personally liable to the mortgagee.
Hill contacted Caccamo, a real estate agent, about purchasing a condo for investment
purposes in the Shaker Heights area. Hill eventually bought a condominium through
Caccamo, but did not learn until after closing that rental of the units was controlled by
the condominium board and the board refused to allow Caccamo to rent out the condo.
Which of the following is an accurate description of Caccamo’s responsibility to Hill?
a. It is Hill’s responsibility to determine any restrictions on the leasing of property
before buying that property
b. Caccamo had a responsibility to let Hill know of the restriction because she had told
him she was buying for investment purposes
c. If Hill was given a copy of the CCRs at closing, then Caccamo has no responsibility
or liability for the failure to disclose the restriction
d. Caccamo’s responsibility and liability depends on whether he was a dual agent
Classify the following grants.
a. “To the Phoenix Zoo for the time that the property is used for a children’s petting
zoo.”
b. “To my lovely children, Evan and Willard.”
c. “To my wife for the lives of my children.”
d. “To my niece on the condition that she never use the property for commercial
purposes.”
Suppose that the foreclosure sale brings $110,000, how much will each party receive?
Second mortgagee
a. $0
b. $2,000
c. $4,000
d. $6,000
e. $8,000
f. $92,000
Jessica Waters has leased an apartment at the Crown Arms, located in a state that has
adopted the URLTA. The lease will run from July 1, 2012 through June 30, 20 The
following is a summary of the move-in charges she is presented with by her landlord on
her move-in date of July 1, 2012:
– $794 rent for July
– $200 cleaning deposit
– $300 pet deposit for Jessica’s cat
– $200 redecorating deposit
– $50 environmental charge for cleaning solvent disposal
– $794 rent for the last month rent (June 2013)
Jessica is not sure from the lease whether she can get any of the funds back. Discuss
whether the deposits are valid and if the amounts, including the total, meet URLTA
requirements.
Bonita Hanks lives in Bastrop Valley, California. She has applied for a mortgage loan
for purposes of buying a larger home there. The loan officer at the bank explains to the
bank employee who took the application that there would be no loans to people in
Bastrop Valley. The loan officer explained, ‘Are you aware of how many people in
Bastrop Valley fail to make their payments? That’s a bottomless pit out there. No one
out there is getting any credit from this bank. Even insurance companies don’t write
policies out there.” Basing a decision to extend credit based on residence is
a. A violation of the Equal Credit Opportunity Act
b. Sound credit extension analysis
c. An example of permissible criterion for screening credit applicants
d. A violation of TILA
Which of the following types of deeds guarantees title only for the time the grantor held
it?
a. Quitclaim
b. Special warranty deed
c. Warranty deed
d. Judicial deed
e. None of the above
LEED Certification
a. Is an environmental certification for light environmental and ecological drilling
b. Is an environmental certification for building design
c. Applies only in Europe
d. Is available for wind and geothermal projects
A license
a. Can be removed at any time only if oral
b. Is an interest in land
c. Is revocable at any time
d. None of the above
The property through which an easement runs is
a. The dominant estate
b. The servient estate
What is the purpose of the Troubled Asset Relief Program (TARP)?
a. To provide subsidies to homeowners with mortgages that exceed 31% of their
monthly income for payments
b. To place Fannie Mae into a conservatorship
c. To buy up assets in foreclosure and unfreeze the credit markets
d. To eliminate subprime lending
Which of the following forms of syndication exposes the investor to personal liability?
a. REIT
b. Partnership
c. Limited partnership
d. Corporation
e. Limited liability company
When The Endangered Species Act prohibits use of land to protect an endangered
species
a. There is a taking that entitles the owner to compensation
b. The owner has a constitutional challenge
c. There must be judicial approval
d. None of the above
Which of the following is not a violation of the Fair Housing Act?
a. A real estate agent telling a buyer he will not answer questions about the
neighborhood
b. A real estate agent telling a buyer property is not available in a particular area when it
is
c. A real estate agent refusing to show property to a customer
d. A real estate agent lying about property to halt a buyer’s interest
Impact fees
a. Can be collected for any general costs
b. Are limited by state legislate authority
c. Are unconstitutional
d. None of the above
The purpose of probate is
a. To handle property distribution when there is no will
b. To handle joint tenancy property
c. To review life insurance distributions
d. None of the above
Discuss the legal sufficiency of the following:
a. The farmable land of my farm, Hoosier Acres.
b. The lot number 27 recorded in the plat map for Shaker Estates.
Which of the following is not an element required for an easement by prescription?
a. Prior unity in ownership
b. Use for the prescriptive period
c. Adverse use
d. Apparent use
e. All of the above are required
Jones, Inc., is purchasing a 24-unit motel from Ramona Dirkson. The rooms in the
motel have beds, bed linens, chairs, tables, lamps and televisions. The beds, lamps and
televisions are bolted to the floors of the rooms because Ramona wanted to prevent
guest thefts. If the parties fail to specify in their purchase and sale agreement, what
items are likely to be considered fixtures?
a. The bed linens
b. The beds, lamps and television
c. All of the items will likely be fixtures because of their relationship to the property
d. None of the items because of ease of removal
c Ella Whiteside is 91 years old and by all accounts from friends, neighbors, and her
physicians is alert, aware, and active. Ella has decided to finally get a will. However,
her arthritis keeps her from writing and from even signing her name. What advice can
you give Ella for executing a valid will?
a. If Ella cannot sign, she cannot make a valid will
b. Ella can either mark an ‘X’ or someone can sign at her direction and there should be
witnesses
c. Ella’s best bet is a holographic will if she wants it to be valid and she can just do it on
the computer
d. Ella need not sign her will if there are witnesses
With reference to #19, under a notice statute, who has title?
a. A
b. B
c. C
Which of the following could an escrow agent give to a real estate agent who brought a
commercial property closing to her agency?
a. Two seats to a Lakers game
b. A subscription to Architectural Digest
c. A thank-you note
d. A $25 Barnes and Noble gift card
e. All of the above would be permissible under RESPA
Effluent guidelines are
a. Part of the Clean Air Act
b. Part of the National Environmental Policy Act
c. Part of the Clean Water Act
d. Developed by the states
e. None of the above
W.R. Lynch and Company made a gift of land to the Phoenix Zoo using the following
language: “To the Phoenix Zoo so long as the property is used for a children’s petting
zoo.” The Zoo had a petting zoo for children on the property for five years and then
began construction of an art museum. W.R. Lynch then sold the land to Marquardt
Developers for a condominium project. The Phoenix Zoo has brought suit to halt
construction of the project. What type of land interest did the grant from W.R. Lynch to
the zoo create?
a. Fee simple determinable
b. Fee simple subject to a condition subsequent
c. Fee simple absolute
d. Tenancy at will
Bishop Estate is the fee simple owner and was the lessor of two lots of commercial real
property located in Kaka’ako, Hawai’i (the Kaka’ako Properties). Bishop Estate leased
each lot for a 40-year term. Bishop Estate had pledged the lots in a mortgage to several
different lenders and has defaulted on those loans. The lenders have stepped in and are
collecting the rents from the two tenants. Bishop Estate objects because there has been
no foreclosure. Can the lenders take the rents? Will the answer vary from state to state?
Describe the protections that exist for homeowners when their general contractors fail
to pay the subcontractors and suppliers who work on their homes.
A sewer system cannot arise into an easement by necessity because it is not apparent.
Many states have eliminated the fee tail.
B is debating purchasing a small duplex for rental purposes. Explain to B associated tax
benefits.
Violation of a restriction in a fee simple subject to a condition subsequent results in an
automatic loss of interest.
Describe the resistance developers may face in planning and building a project.
List all of the fees that must be disclosed in the RESPA’‘required good faith estimate.