Part 7

Question 1

An __________ contract is an agreement put into words, written or spoken

Answer 1

Express

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Question 2

___________ contract is a contract where only one of the parties to the contract is legally obligated to perform. An example is an option agreement in real estate

Answer 2

Unilateral

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Question 3

A __________ contract is a type of contract that exists when each party makes a binding agreement to perform according to the contract. Most real estate contracts are this

Answer 3

Bilateral

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Question 4

The 5 elements of a valid contract are:
1 -
2 - ___________ and acceptance
3 - Legally ______________ parties
4 -
5 - Legal ___________

Answer 4

1 - Consent
2 - Offer
3 - competent
4 - Consideration
5 - purpose

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Question 5

3 categories of a contracts legal status:
1 - ________
2 - Void
3 - _________able

Answer 5

1- Valid
3- Voidable

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Question 6

_________ fee interest is the ownership interest held by the lesser, which includes the right to receive the contract rent specified in the lease plus the reversionary right when the lease expires

Answer 6

Leased

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Question 7

______________ interest is the right held by the lessee to use and occupy real estate for a stated term and under the conditions specified in the lease

Answer 7

Leasehold

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Question 8

A ________ is a contract in which the rights to use and occupy land, space or structures are transferred by the owner to another for a specified period of time in return for a specified rent

Answer 8

Lease

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Question 9

_________ Rental Lease the lesser pays some or all of the operating expenses

_________ Rental Lease the tenant pays all the operating expenses (taxes, insurance, utilities…)

Answer 9

Gross
Net

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Question 10

__________ warranty deed provides the greatest amount of protection that the property is free and clear of liens or encumbrances

Answer 10

General

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Question 11

__________ warranty deed the grantor provides two covenants
1) The grantor received title to the property
2) The grantor and their heirs will defend the title to the lands against legal claims created by the actions or omissions of the grantor or their heirs

Answer 11

Special

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Question 12

__________ and sale deed, the grantor conveys the property but does not guarantee a clear title

Answer 12

Bargain

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Question 13

___________ deed, the grantor conveys any interest held in the property to the grantee without warranty of title. Offers the least protection. Often used to clear a defect in the title

Answer 13

Quitclaim

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