State constitutions cannot include provisions other than those that govern the structure
of state government.
In determining what a description means, the terms are construed in the grantee’s favor.
The Rule of Capture protects landowners drilling from their property at an angle to
another landowners’ property.
Qualified residential interest includes only interest on debt used to purchase a residence.
Per capita distribution requires distribution according to degree of relationship.
Bylaws are the deed restrictions for a community that run with the land.
The Home Mortgage Disclosure Act is the means the federal government uses to
monitor approval rates by race.
If a contractor begins work before the construction mortgage is recorded, the
contractor’s lien has priority over that mortgage.
States do not have their own administrative regulations.
Under the UPA, title to real property can be held and conveyed in the partnership name.
Divorce works as an operation of law to revoke provision of a will that benefit the
ex-spouse.
‘The property located at municipal address _________________ in the Sabine Parish in
Louisiana’ is a sufficient description.
‘I hereby convey my farm’ is a sufficient legal description.
Bids submitted by subs are offers.
A legacy is a gift of real property.
Which is not a requirement for setting up an escrow?
a. Valid and enforceable sales contract
b. Deposit of deed with escrow agent
c. Escrow instructions
d. All of the above are required
For which of the following expenses are joint tenants responsible?
a. Taxes
b. Cost of improvements
c. Cost of repairs
d. Both a and c
e. None of the above
Roy Bean and Alvira Jones are tenants in common in a casino and hotel in Sparks,
Nevada. Roy is a bit of a spendthrift and has run up over $75,000 in credit card debt,
$212,000 in lines of credit, and also has a $759,000 mortgage on a house that is now
worth $300,000. Roy’s creditors have judgments totaling the amount of these debts,
plus interest, plus collection expenses and litigation fees for a total of $1.5 million. The
creditors have placed a judgment lien on the casino. Which of the following statements
is correct?
a. Because they are tenants in common in the casino, Alvira’s interest is affected by the
creditor’s lien
b. Alvira’s interest in the casino cannot be attached by the creditors
c. The creditors cannot place any lien on property that is co-owned
d. Alvira cannot sell her portion of the casino without paying off the lien
Under the FHA Modernization Act
a. The FHA will be liquidated
b. The FHA will be made part of Fannie Mae
c. Home buyers will be required to undergo credit and purchase counseling prior to
purchasing a home
d. FHA will no longer guarantee LMI loans
An action for deficiency
a. Is a right of the mortgagee in the event the sale of property doesn’t yield enough to
pay off debt
b. Is prohibited in some states on residential property
c. Is a personal action against the mortgagor
d. a, b and c
Which of the following provisions must be included in a lease agreement for that
agreement to be valid and enforceable?
a. A description of the leased premises
b. The due date for payment of rent
c. A requirement that the tenant have insurance
d. A requirement that the landlord will perform all structural repairs to the property
The following exchanges occurred in a series of faxes:
Day 1 ‘“ ‘I would be interested in purchasing your citrus grove in Mesa, AZ.’ /s/ John
Duggan
Day 2 ‘“ ‘I might consider selling my citrus grove if the price is right.’ /s/ Maurice
Germaine
Day 3 ‘“ ‘I could offer $3.2 million.’ /s/ John
Day 4 ‘“ ‘I’ll sell.’ /s/ Maurice
a. There was an offer on Day 1
b. There was an offer on Day 2
c. There was an offer on Day 3
d. There was an offer on Day 4
e. None of the above
Interim zoning
a. Is zoning used prior to development of a master plan
b. Is unconstitutional
c. Is unconstitutional without a master plan in development
d. None of the above
The good faith estimate of closing costs
a. Can be made in percentage figures
b. Is made by the seller
c. Is not required in residential refinancings
d. None of the above
The City of Apache requires all developers to obtain a construction permit for proposed
projects. The City, through the Zoning Commission, then approves or disapproves the
proposed plans. In some cases the city will require changes in the plans. Ed Beck built a
mobile home park after his plans were approved but changed the number of mobile
home spaces from 55 to 58. Ed
a. Cannot be charged with a violation since the difference is so small
b. Cannot be charged with a violation since the pre’‘approval is unconstitutional
c. Can be charged with a violation and required to reduce the spaces to 55
d. None of the above
Parking spaces in a condominium development
a. Are common areas
b. Are individually owned
c. Need not be covered in the bylaws
d. None of the above
A business has granted a neighboring church a negative easement that prevents the
blockage of sunlight
from the church’s stained glass windows. Which of the following statements is correct?
a. The business has both a charitable deduction and a reduced value of its property for
tax purposes
b. The business can claim either a charitable deduction or a reduced property value, but
not both
c. The transaction has no tax benefits for the church
d. The church is entitled to the easement as part of its right to light
If an individual does not have an advance directive, which of the following is able to
petition a court for withdrawal of life support?
a. Spouse
b. Pastor or priest
c. Physician
d. All of the above
Charles Haydon leased an apartment at the 445/86 building. The lease provided that the
apartment could not be used ‘other than as a private dwelling for the Lessee and
Lessee’s wife, their children, grandchildren, parents, grandparents, brothers and sisters
and domestic employees.’ Mr. Haydon never lived in the apartment but had his
mother-in-law move in and pay rent to him. The apartment building prohibited sublets
of apartments. The landlord filed suit to end Mr. Haydon’s lease. Which of the
following is correct?
a. The landlord cannot prohibit sublets
b. The landlord does not have the authority to control who lives in the apartment
c. The landlord can develop rules on occupation and subletting and enforce them
d. A tenant must always live in the leased premises for the lease to be enforceable
In which of the following forms of multi’‘unit housing does the owner own the land?
a. Condominium
b. Co’‘op
c. Townhouse
d. All of the above
Suppose, with reference to the Nordstrom grant in question #14, Nordstroms has
pledged the property to First Interstate Bank to secure a $790,000 loan. Discuss what
happens to the mortgage if Nordstrom violates the restriction.
Trade fixtures remain the property of the landlord.
Charles Keating, the former CEO of Lincoln Savings and Loan, had a life-time dream
of constructing the ultimate resort. Prior to his conviction for fraud charges in
California, Keating had nearly completed his Phoenician resort. However, court records
list 61 subcontractors as being owed money, including $120,000 for metal work,
$303,000 for glass and windows, $2,400,000 for electrical work, $31,000 for painting,
and $18.5 million to the general contractor. There was almost $10 million left to be
distributed for payments. How would the distribution be handled?
A self-proved will is a will with witnesses and an acknowledgement.
Assignment permission clauses in commercial leases are invalid.