Condos, Co-ops, Town houses, and Time shares

Question 1

___ owners hold as fee simple title to their unit and are a tenant in common in the common elements of the building.

Answer 1

Condominium

Question 2

Condominium owners hold as ___ title to their unit and are a tenant in common in the common elements of the building.

Answer 2

fee simple

Question 3

Condominium owners hold as fee simple title to their unit and are a(n) ___ in the common elements of the building.

Answer 3

tenant in common

Question 4

___ are parts of a property that are necessary or convenient to the existence, maintenance, and safety of a condominium

Answer 4

Common elements

Question 5

___ are normally in common use by all of the condominium residents, and each owner has undivided ownership interest in them.

Answer 5

Common elements

Question 6

Land, exterior structure, and the roof are all ___ in a condominium.

Answer 6

Common elements

Question 7

Courtyards are ___ in a condominium

Answer 7

Common elements

Question 8

Lobbies, hallways, elevators, and stairways would be considered as ___ in a condominium

Answer 8

Common elements

Question 9

Recreational facilities such as swimming pools, tennis courts, and golf courses would be ___ in a condominium

Answer 9

Common elements

Question 10

Condominium owners own a(n) ___ interest in common elements

Answer 10

fractional

Question 11

State law usually provides that condominium owners do not have the same right to ___ that other tenants in common have.

Answer 11

Partition

Question 12

In a condominium, real estate taxes are assessed and collected on ___.

Answer 12

Each unit as an individual property

Question 13

If one condominium owner defaults in tax or mortage payments, are other condominium owners affected?

Answer 13

No

Question 14

In Illinois, creation of condominiums is governed by the ___.

Answer 14

Condominium Property Act

Question 15

A building built on ___ land may not be submitted for condominium designation in Illinois.

Answer 15

Leased

Question 16

Every condominium unit purchaser acquires the ___ title to the unit purchased.

Answer 16

Fee simple

Question 17

Many Illinois municipalities have adopted ___ to protect tenants in rental buildings whose owners wish to convert to condominiums.

Answer 17

Conversion ordinaces

Question 18

___ are laws that allow tenants an opportunity to extend their leases and often guarantee first purchase rights when an apartment building converts to condominiums.

Answer 18

Conversion ordinances

Question 19

A condominium property is administered by a group of unit owners called a(n) ___.

Answer 19

Homeowners Association (HOA)

Question 20

In a condominium, adopted rules regarding the operation and use of the property are enforced by the ___.

Answer 20

Homeowners Association (HOA)

Question 21

In a condominium, the ___ is responsible for the maintenance, repair, cleaning, and sanitation of common areas and structural portions of the property.

Answer 21

Homeowners Association (HOA)

Question 22

In a condominium, the HOA must maintain which 3 types of insurance?

Answer 22

1) Fire
2) Extended-coverage
3) Liability

Question 23

___ fees are expenses paid by unit owners for maintaining and operating the building of a condominium.

Answer 23

HOA

Question 24

___ are special payments required of condominium unit owners to address a specific expense, such as a new roof.

Answer 24

Special Assessments

Question 25

In a condominium, the amount a unit owner will pay in HOA fees or special assessments is typically determined by…

Answer 25

the size of their unit

Question 26

In a condominium, owners of larger units typically pay ___ assessments and HOA fees

Answer 26

higher

Question 27

In a(n) ___, a corporation holds title to the land and building, then offers shares of stock to prospective purchasers

Answer 27

cooperative

Question 28

Cooperative purchasers become ___ in the corporation by virtue of stock ownership.

Answer 28

Shareholders

Question 29

Cooperative shareholders receive a(n) ___ to a designated apartment for the life of the corporation

Answer 29

Proprietary lease

Question 30

Cooperative tenant owners do not own ___.

Answer 30

real estate

Question 31

Cooperative owners own an interest in the corporation’s ___.

Answer 31

Building

Question 32

Share in a cooperative are considered as ___ property.

Answer 32

personal

Question 33

What determines operation and management of a cooperative?

Answer 33

The corporation’s bylaws

Question 34

Who controls the property and operation in a cooperative?

Answer 34

Shareholders

Question 35

In a cooperative, individual shareholders are obligated to abide by…

Answer 35

the corporation’s bylaws

Question 36

Who is responsible for the costs in the operation and maintenance of a cooperative?

Answer 36

The coroporation

Question 37

Who is responsible for the costs in maintaining and operating individual apartments in a cooperative?

Answer 37

The corporation

Question 38

Who is responsible for the costs in maintaining and operating common property in a cooperative?

Answer 38

The corporation

Question 39

Who is responsible for real estate taxes in a cooperative?

Answer 39

Tenants / stockholders

Question 40

How does the corporation fund the costs in the operation and maintenance of its entire parcel?

Answer 40

Assessed to individual shareholders

Question 41

In a cooperative, the burden of any defaulted payment falls on…

Answer 41

remaining shareholders

Question 42

Are real estate licensees required to obtain a securities license in order to list and sell a cooperative unit in Illinois?

Answer 42

No

Question 43

The term ___ is generally used to describe a type of housing connected by common walls.

Answer 43

Town house

Question 44

In a town home, each owner has ___ interest in common areas and is proportionately financially responsible.

Answer 44

Fractional

Question 45

In a townhome, rights to use the ___ pass with the title

Answer 45

common areas

Question 46

___ permits multiple purchasers to buy interests in the same piece of real estate

Answer 46

Time share

Question 47

___ ownership is usually a resort property

Answer 47

Time share

Question 48

Purchasers of a(n) ___ receive the right to use the facilities for a certain period of time.

Answer 48

time share

Question 49

A time share estate is a(n) ___ interest

Answer 49

fee simple

Question 50

In a time share, the owner’s occupancy and use of the property are limited to the ___ purchased.

Answer 50

Contractual period

Question 51

A time share ___ consists of the right to occupy and use the facilities for a certain number of years. When that time ends, rights to the property terminate.

Answer 51

Use

Question 52

A time share ___ theoretically never ends because it is a real property interest.

Answer 52

Estate

Question 53

Owners of interests in a cooperative receive which 2 things?

Answer 53

1) Shares of stock
2) Membership in association

Question 54

A proprietary lease is not a(n) ___.

Answer 54

deed

Question 55

The difference between a condo and a co-op is that a condo is ___ property while a co-op is ___ property

Answer 55

Condo is real property
Co-op is personal property

Question 56

A condo is conveyed by a(n) ___ while a co-op is conveyed by a(n) ___.

Answer 56

Condo is conveyed by a deed
Co-op is conveyed by a proprietary lease

Question 57

Time share ___ is third party rental of the property.

Answer 57

Use

Question 58

Time share ___ is when a purchaser buys interest in real estate and receives the right to use the property for a certain period of time

Answer 58

Estate