Lesson 4
1.
Chapter 8-9
After graduating college, Bob decided to buy a house. He is not married & will
own the property in his name alone. This form of ownership is known as
a.
fee simple
b.
severalty
c.
sole proprietorship
d.
partition
e.
none of these
Use this information for the next three questions.
Jack and Buster decide to buy a 600-acre tract of undeveloped pastureland to hunt on.
Since Jack is putting up 2/3rds of the money, he will have an undivided 2/3rd interest
while Buster will own an undivided interest in the other 1/3rd. Each will have unrestricted
use of the entire property.
2.
This form of ownership is known as
a.
joint tenancy
b.
tenancy in common
c.
community property
d.
tenancy by the entirety
e.
none of these
3.
Buster decides he can no longer afford to keep this portion of the land. Under this
form of ownership
a.
he can sell 200 acres to Bob
b.
he can sell 1/3 interest to Bob, but not a specific tract of the land
c.
he can only sell to Jack
d.
both Jack and Buster must sell the property
e.
if Buster sells his interest to Bob, a new form of ownership is created
4.
Before Buster and Bob come to an agreement, Buster dies in an industrial
accident.
a.
Buster’s share of the property passes according to his will
b.
Jack owns Buster’s share since this form of ownership has the right of
survivorship
c.
the property must be divided and Buster’s heirs will own 200 acres
d.
none of these
5.
Of the following four unities, which are shared by tenancy in common and joint
tenancy?
I.
Unity of possession
II.
Unity of interest
III.
Unity of time
IV.
Unity of title
a.
b.
c.
d.
I only
I and III only
I, II, IV
none of these
6.
The creator of a trust is known as
a.
trustee
b.
beneficiary
c.
trustor
d.
the deceased
e.
a & d are correct
7.
Jack and Gail are considering selling their condominiums unit. The condominium
association has the right to first refusal. This means:
a.
the association can buy Jack and Gail’s unit for the price Jack and Gail
purchased it at
b.
the association has to approve the potential buyer
c.
Jack and Gail must offer to sell the unit to any member of the association
at its appraised value before they can list the property for sale with a
broker
d.
none of these
8.
If you own the unit you live in and have an individual partial interest in common
elements such as swimming pools, parking lots, tennis courts, etc, then you
a.
rent
b.
own a timeshare
c.
own shares in a co-op
d.
own a condominium
e.
none of these
If you have a proprietary lease for the unit you live in, then you
a.
rent
b.
own a timeshare
c.
own shares in a co-op
d.
own a condominium
e.
none of these
9.
10.
If you own the right to occupy a vacation unit for only a specific period each year,
you
a.
b.
c.
d.
rent
have a joint venture
have a community property
none of these
11.
If a property description includes a Point of Beginning it must be:
a.
rectangular survey
b.
lot & block
c.
recorded plat
d.
government survey
e.
none of these
12.
If a property is described as fractions of a township, it must be
a.
rectangular survey
b.
lot and block
c.
metes and bounds
d.
recorded plat
e.
none of these
13.
If a property refers to a plat map it must be
a.
rectangular survey
b.
lot and block
c.
metes and bounds
d.
government
e.
none of these
14.
Each township is made up of
a.
36 square miles
b.
36 sections containing 640 acres
c.
36 sections measuring one mile long & one mile wide
d.
all of these
e.
none of these
15.
The concrete surveyor’s post used as the Point of Beginning for this description is
an example of
a.
a mete
b.
a bound
c.
a benchmark
d.
a monument
16.
If you own:
N ½ of the NW ¼ of the SW ¼ of the SW1/4 of section 6, Township 18…
You own
a.
5 acres
b.
10 acres
c.
20 acres
d.
e.
40 acres
none of these
17.
Which of the following about a condominium is INCORRECT?
a.
A declaration must be filed before any units may be sold.
b.
Each unit owner has a fractional undivided interest in the common
elements.
c.
Each owner receives a separate real estate tax statement.
d.
Each owner has a proprietary lease with the association for his or her own
unit.
18.
To create joint tenancy in the ownership of real estate, there must be unities of
a.
grantees, ownership, claim of right and possession.
b.
title, interest, encumbrance and survivorship.
c.
possession, time, interest and title.
d.
ownership, possession, heirs and title.
19.
Because Mr. And Mrs. Jennings no longer need their large house, they decide to
sell it and move into a cooperative apartment building. In a cooperative they will
a.
become stockholders in a cooperation.
b.
own their individual apartment.
c.
own the common elements.
d.
receive a 20-year lease to their apartment.
20.
Kyle and Ursula owned a combination apartment building-restaurant. They shared
their profits and losses on the venture equally, but they did not have any written
partnership agreement. One day, Ursula died of a heart attack. If, after her death,
Kyle continued to only own the same undivided interest in the real estate as he did
before, then
a.
they were joint tenants.
b.
they were tenants in common.
c.
they were stockholders in their own corporation.
d.
Ursula died intestate.
21.
A person who owns one unit in a multiunit structure together with a specified
undivided interest in the common elements would own a
a.
cooperative.
b.
share in a real estate investment trust.
c.
condominium.
d.
time-share interest.
22.
A standard rectangular survey contains
a.
36 townships.
b.
160 government lots.
c.
160 acres.
d.
640 acres.
23.
How many linear feet of fence are needed along one side of 1.5 miles of roadway?
a.
7,920
b.
8,250
c.
13,430
d.
16.450
24.
A parcel of land described as “the NW ¼ and the SW ¼ of Section 6, T4N, R8W
of the Third Principal Meridian” was sold for $2,500 per acre. The listing broker
will receive a 5 percent commission on the total sales price. How much will the
broker receive?
a.
$5,000
b.
$2.500
c.
$12,800
d.
$15,000
25.
A recorded subdivision plat is used in the
a.
geodetic survey system.
b.
rectangular survey system.
c.
lot and block system.
d.
metes and bounds system.
26.
A farmer owned Section #17 and sold the south one-half. He then fenced in the
northern one-half. How many linear feet of fencing did he use if he had two 6 foot
wide gates?
a.
b.
c.
d.
27,720
15,828
18,530
14,250
27.
A corporation is a legal entity, a person in the eyes of the law. Property owned by
the corporation is owned in
a.
trust.
b.
partnership.
c.
severalty.
d.
survivorship tenancy.
28.
All of the following can be classified as real property EXCEPT
a.
ownership in severalty
b.
cooperative unit ownership
c.
condominium unit ownership.
d.
a tenancy in common.
29.
A condominium form of ownership is officially established when the
a.
construction of the improvements is completed.
b.
c.
d.
owner records a declaration in the public record.
condominium owner’s association is established.
the unit owners all file their documents in the public record.
30.
Paul conveys a vineyard in trust to Ruth, with the instruction that any income
derived from the vineyard be used for Tanya’s medical care. Which of the
following statements most accurately describes the relationship of these parties?
a.
Paul is the trustee, Ruth is the trustor, and Tanya is the beneficiary.
b.
Paul is the trustor, Ruth is the trustee, and Tanya is the beneficiary.
c.
Paul is the beneficiary, Ruth is the trustor, and Tanya is the trustee.
d.
Paul is the trustor, Ruth is the beneficiary, and Tanya is the trustee.
31.
Under the laws of one state, any real property that either member of a married
couple owns at the time of their marriage remains separate property. Further, any
real property acquired by either party during the marriage (except by gift or
inheritance) belongs to both of them equally. What is this form of ownership
called?
a.
Partnership
b.
Joint tenancy
c.
Tenancy by the entirety
d.
Community property
32.
Which of the following refers to ownership by one person?
a.
Tenancy by entirety
b.
Community property
c.
Tenancy in common
d.
Severalty
33.
Mary, Nick and Oliver are joint tenants with rights of survivorship in a tract of
land. Oliver conveys his interest to Violet. Which of the following statements is
true?
a.
Mary and Nick are still joint tenants.
b.
Mary, Nick and Violet are joint tenants.
c.
Mary, Nick and Violet are tenants in common.
d.
Violet now has severalty ownership.
34.
Which of the following are not basic components of metes-and-bounds
descriptions?
a.
Tangible and intangible monuments
b.
Base lines, principal meridians and townships
c.
Degrees, minutes and seconds
d.
Point of beginning
35.
When surveying land, a surveyor refers to the principal meridian that is
a.
nearest the land being surveyed.
b.
in the same state as the land being surveyed.
c.
d.
not more than 40 townships or 15 ranges distant from the land being
surveyed.
within the rectangular survey system area in which the land being
surveyed is located.
36.
In any township, what is the number of the section designated as a school section?
a.
1
b.
16
c.
25
d.
36
37.
Which of the following terms does not involve the elevation of real estate?
a.
Benchmark
b.
Point of beginning
c.
Air lot
d.
Datum
38.
In the rectangular survey system, fractional sections along the northern or western
border of a check that are less than a quarter-section in area are known as
a.
fractional parcels.
b.
government lots.
c.
hiatus.
d.
fractional townships.
39.
The least specific method for identifying real property is
a.
rectangular survey.
b.
metes and bounds.
c.
street address.
d.
lot and block.
40.
The section due west of Section 18, Township 5 North, Range 8 West, is Section
a.
12, T5N, R7W.
b.
13, T5N, R9W.
c.
17, T5N, R8W.
d.
19, T5N, R8W.
Essay questions are for your convenience to prepare for the midterm and final. You do
not have to turn them in for a grade.
1.
There are four ways 2 or more people can own a single property. Describe each of
these methods, giving examples of each, and describe how each is different from
the others.
2.
Compare and contrast the ownership rights of a condominium and a cooperative.
Be sure to specify the advantages and disadvantages of each.
3.
Explain at least two ways a group of four people could have unrestricted use of a
property with the condition that the last surviving owner gains a fee simple estate.
4.
From largest to smallest, describe the order of the rectangular survey method.
5.
Why are correction lines used, and what impact does that have on the uniformity
of sizes of townships?