In the cost approach to valuation, the assessor examines replacement cost.
Common law gives priority to lien holders in the order in which they file their liens.
The lender is responsible for delivery of documents to escrow.
A plat map shows the location of all easements.
The general rule for when a commission is due and owing is “no deal, no commission.”
A taxpayer can deduct interest on two residences.
Impact fees cannot be assessed except at the state level.
Constructive eviction can be partial with an allowance for a reduction in rent.
Disclosure statutes mandate broker disclosure of defects they note.
The failure to meet a condition precedent excuses performance under an otherwise valid
contract.
Voluntary disclosures of CERCLA issues is discouraged.
Deficiency judgments on residential mortgages are unconstitutional.
Townships have 72 square miles.
Real property tax rates do not vary, but value assessments do.
A co’‘op need not be incorporated.
Which of the following figures need not be given in the good faith estimate?
a. Loan origination fee
b. Attorney’s fees
c. Title insurance fee
d. Appraisal fee
e. All of the above must be furnished in the good faith estimate
Homeowner A closed on his property (a two-acre lot) on May 30, 2007. First Federal
(FF) financed the purchase and recorded a mortgage on the lot on that same day.
Unbeknownst to A and FF, Forest Excavators (FE) had removed two trees from the
property and had several pieces of equipment stored on the property. A had contracted
with FE for the clearing of the lot so that he could begin construction. FE filed a lien on
April 15, 2008, five days after it completed its clearing work. A defaults on his
mortgage on May 1, 2008. At the time of default, he owes $229,000. FE is also owed
$7,500. Sale of the lot brings $200,000. How will the $200,000 be distributed?
a. The $200,000 goes to FF because its mortgage was recorded before FE’s lien
b. The $200,000 goes to FF because mortgages take priority over mechanic’s liens
c. $7,500 goes to FE with the remainder to FF
d. Because FE began construction before the lot transaction closed, it can collect
nothing
Alex Freestone has just signed a six’‘month lease for an apartment with rent of $600 per
month. Alex has
a. A month’‘to’‘month tenancy
b. A tenancy for a fixed period
c. A tenancy at will
d. None of the above
Cheri North has a month-to-month tenancy. She pays her rent of $880 on the first day of
each month. On January 15, 2009, Cheri received notice from her landlord that her rent
would be increasing to $900 per month. When is the first time the landlord can demand
the $900 rent from Cheri?
a. The landlord can collect the extra $20 on January 15, 2008 and receive $900 on
February 1stand thereafter
b. The landlord can collect the $900 on February 1stand every month after
c. The landlord can collect the $900 beginning March 1, 2008
d. None of the above
Suppose that the foreclosure sale brings $110,000, how much will each party receive?
Expenses
a. $0
b. $2,000
c. $4,000
d. $6,000
e. $8,000
f. $92,000
Al Brickett had two mobile homes on his land behind his house. The mobile homes
have been there since Al bought the land in 1971. In 1975, Al’s area was zoned as R-1,
an area for single family homes and no mobile homes. Al
a. Is guilty of a felony
b. Needs to obtain a variance
c. Meets the requirements for a non-conforming use
d. Can challenge the constitutionality of the restriction
Anna and Beverly are neighbors. Anna has installed a series of solar collectors on the
roof of her home. The collectors are positioned so that Anna obtains maximum
efficiency in the use of the sun. However, Beverly has decided to plant several trees for
backyard shade and within three years of planting, the now-tall trees are interfering
with the collection of sunlight by Anna’s collectors.
a. In the absence of any statutory protections or an easement, Anna has no rights for
demanding removal of Beverly’s trees
b. Beverly has violated Anna’s right to light and must move the trees
c. Trees that block solar panels are a violation of federal law
d. In the United States, the right to light does include protection for solar panels
Saxon Estates is a subdivision of single-family homes. All of the homes in Saxon Estate
are the same color on the outside stucco with the same flat-tile roofs. When the real
estate market experienced a downturn in 2008, the builder went bankrupt and 27 lots
remained in Saxon Estates with no houses on them. As individuals began to buy the lots
from the bankruptcy trustee and build homes on those lots, they were using colors
different from the one color and not all were installing tile roofs. The existing
homeowners are concerned about the effect these homes with different external
components will have on the value of their homes. Which of the following best
describes their situation?
a. Unless there were CCRs requiring the external design elements there is nothing the
homeowners can do
b. Unless the buyers from the bankruptcy trustees were told about the pattern on the
external appearance, they need not comply
c. The doctrine of equitable servitudes provides the homeowners with protection for the
consistency of their development
d. None of the above
The SE’‘1/4 of the NE’‘1/4 and the E’‘1/2 of the NW’‘1/4 have how many acres?
a. 160
b. 80
c. 40
d. None of the above
A termination of a lien occurs in which of the following circumstances?
a. Filing of a release
b. Transfer of the property
c. Discovery of poor quality work
d. None of the above
Which of the following statements about exclusionary zoning is correct?
a. It is unconstitutional if it excludes growth
b. It is unconstitutional if it slows growth
c. It is unconstitutional
d. None of the above
A, B and C are joint tenants. C has died and left all of his property to his son, C, Jr. C,
Jr.
a. Is now a tenant in common with A and B
b. Has no rights to the property now held by A and B
c. Is now a joint tenant with A and B
d. None of the above
Fred Evans was robbed and beaten as he tried to get into his car which was parked in
the garage next to his office building. The garage is owned by the landlord for his
building and operated by Park America. Fred has noted cots in the remote corners of the
garage and shopping carts filled with clothes and cans. Tenants have been approached
in the garage by vagrants seeking money. Fred
a. Has no rights of recovery for his injuries from the landlord or Park America
b. Can probably recover from both his landlord and Park America
c. Can probably recover from Park America but not his landlord
d. Can probably recover from his landlord but not Park America
Which of the following is required prior to repair and deduct under URLTA?
a. Notice to the landlord
b. Withholding of rent
c. Constructive eviction
d. None of the above
Suggs, Inc., owns and operates Parkland Mall. It has leased a food court space to One
Potato Two, a fast food franchise that sells baked potatoes. One Potato Two insists on a
clause that prohibits Suggs from leasing another food court space to Great Steak and
Potato and Spuds, its two competitors in the business. The clause is
a. Valid and enforceable
b. Void because it is anticompetitive
c. Void because Suggs did not suggest it
d. Voidable at Suggs’ option
TG&I Industries, Inc., has had a portion of its factory site designated as a CERCLA
clean-up area. The cost of the clean-up will be $675,000. The assessor has valued
TG&I’s plant at $7,000,000. TG&I wants that value reduced by the $675,000.
a. It is against public policy to give TG&I a credit for environmental clean-up costs
b. TG&I is entitled to the credit of $675,000 only if it did not contaminate the site
c. TG&I is entitled to a $675,000 credit
d. TG&I is entitled to one-half of $675,000 as a credit
An easement by prescription is really just a license.
The Twain Harte Homeowners Association brought suit to quiet title in a recreational
easement they alleged they held in the land of Earl Patterson. The easement provides
for ‘recreational use and enjoyment for the benefit of the Twain Harte Tract.’ Patterson
says the description of the dominant estate is inadequate because he remains uncertain
as to who actually holds the easement. He maintains the grant of the easement is void
because of an invalid description. The Association maintains that the description is
sufficient to indicate they, as homeowners, are the owners and beneficiaries. Who is
correct?
Through agreement, parties to a contract may treat as fixtures those things that would
normally be classified as personal property.
Who said, ‘There is no knowing how estates will go when once they come to be
entailed’?
a. Shelley, in The Rule in Shelley’s Case
b. Jane Austen
c. Dumpor, in the Rule in Dumpor’s Case
d. William the Conqueror
A grant of property reads: “To Sam King, and Shirley Smith, his daughter, jointly.”
What type of tenancy is created?