MIDTERM

Question 1

Items of personal property that are attached to, or incorporated into, the land in such a manner as to become real property are called:

Answer 1

Fixtures

Question 2

Anything attached to the land, such as buildings, fences, walls, walks and shrubs, are called:

Answer 2

Improvements

Question 3

Township lines divide the land into a series of east-west strips called:

Answer 3

Tiers

Question 4

An area of land that contains 43,560 square feet is called a(n):

Answer 4

Acre

Question 5

Which of the following can transfer ownership of trade fixtures and personal property?

Answer 5

Bill of sale

Question 6

How many principal base and meridian line intersections does California have?

Answer 6

3

Question 7

Which of the following is NOT a basic right of ownership included in the “Bundle of Rights”?

Answer 7

Sustainability

Question 8

Anything permanently attached or affixed to the land is called:

Answer 8

Real property

Question 9

An interest, share, right, or equity in real estate that varies from the minimal right of a renter to the maximum right of full owner is called a(n):

Answer 9

Estate

Question 10

Susie owns a life estate based upon her own life. She leases the property to a tenant on a 3-year lease. Susie, the life tenant, dies two years later. What happens to the lease?

Answer 10

The lease is terminated

Question 11

A signed or verbal statement by the named person that he/she has signed that document of his/her own free will is known as:

Answer 11

Acknowledgement

Question 12

When two or more people have identical interests in the whole property with the same right of possession and the right of survivorship, it is called:

Answer 12

Joint tenancy

Question 13

All property acquired by a husband and wife during their marriage other than separate property is called:

Answer 13

Community property

Question 14

The two major types of freehold estates are:

Answer 14

Fee simple and life estate

Question 15

When a landlord discovers that work is being done on the property without the landlord’s consent, he or she should:

Answer 15

Post a Notice of Non-Responsibility on the property

Question 16

A document that uses a property to a secure the payment of a debt or the discharge of an obligation is called a(n):

Answer 16

Lien

Question 17

An easement that is “created for and beneficial to” the owner of adjoining or attached lands is which type of easement?

Answer 17

Easement appurtenant

Question 18

An Easement by prescription requires which of the following to be valid?

Answer 18

• 5 years continuous use
• Open and notorious use
• Hostile use

Question 19

A lien filed against a property by a person who was not paid after furnishing labor or materials for construction work on that property is called a(n):

Answer 19

Mechanic’s lien

Question 20

The restriction on the use of private property by the local government agency is called:

Answer 20

Zoning

Question 21

A voluntary lien, for money owed, placed over more than one parcel, is called a:

Answer 21

Blanket encumbrance

Question 22

A wrongful unauthorized placement of improvements or permanent fixtures on a property by a non-owner of that property is called:

Answer 22

An encroachment

Question 23

An authorization to sell a property which may be given to several brokers, or the property may be sold by the owner, is called:

Answer 23

Open listing

Question 24

A person who works under the direct control and supervision of the employer is known as a(n):

Answer 24

Employee

Question 25

Mixing the funds of a principal and a licensee is known as:

Answer 25

Commingling

Question 26

A contract to employ a broker as an agent, to do certain things for the owner/seller, is known as a(n):

Answer 26

Employment contract

Question 27

A required form, provided by the seller, which identifies items of value attached to the structure or land and states whether these items are operational, is called a(n):

Answer 27

Transfer disclosure statement

Question 28

A fiduciary relationship requires which of the following with the principal ?

Answer 28

Honesty, loyalty, integrity

Question 29

The person who hires or employs an agent to work for him or her is known as a(n):

Answer 29

Principal

Question 30

When a person misrepresents a material fact, knowing that it is not true, or is carelessly indifferent to the truth of the states facts, it is known as:

Answer 30

Fraud

Question 31

The substitution or exchange of a new contract for an existing one with intent to cancel the old contract is called:

Answer 31

Novation

Question 32

Which of the following is NOT a method of becoming an emancipated minor?

Answer 32

Reaching the age of 16

Question 33

Some of the ways in which contracts may be classified include:

Answer 33

- Valid - Voidable - Void

Question 34

A person who is judged to be of unsound mind is known as a(n):

Answer 34

Incompetent

Question 35

You enter the coffee shop next door where you have an account, pour yourself a cup of coffee, hold it up to show the manager, and wave as you leave the store. This would be an example of a(n):

Answer 35

Implied contract

Question 36

You promise to pay a painter $2,000 to paint your house and the painter agrees to do it. What type of contract is formed?

Answer 36

Bilateral contract

Question 37

In a contract, anything of value given by one party to another party to make the agreement binding is known as:

Answer 37

Consideration

Question 38

Which of the following can discharge a contract?

Answer 38

- Impossibility of performance - Full performance - Operation of law

Question 39

The legal process of removing a tenant because there is a breach of the lease or rental agreement is called a(n):

Answer 39

Eviction

Question 40

If a tenant does NOT leave after the expiration of the lease and retains possession, what has occurred?

Answer 40

Estate at sufferance

Question 41

Minimum requirements of a lease include which of the following?

Answer 41

- Description of property - Amount of rent - Length or duration of the lease

Question 42

If tenant just moves out or vacates the premises without formal surrender and never returns, it is called:

Answer 42

Abandonment

Question 43

The amount of money paid for the use of a property is known as:

Answer 43

Rent

Question 44

Providing the landlord with funds to pay for damages or unpaid rent when the tenant vacates is called a:

Answer 44

Security deposit

Question 45

A legal document that informs the tenant that he/she has three straight days to pay all past due rent, vacate the premises, or face an unlawful detainer court action is known as a(n):

Answer 45

3-day notice to pay rent or quit

Question 46

An escrow holder can be a(n):

Answer 46

- Corporation - Attorney - Real estate broker who acts as a real estate agent in the transaction

Question 47

The standard coverage CLTA title insurance policy is most often used and protects against:

Answer 47

- Invalid deed delivery - Unrecorded federal tax liens - Forgeries

Question 48

Items that are commonly prorated in Escrow include:

Answer 48

Mortgage payments, interest, homeowners insurance

Question 49

The first step in a title search is for the escrow officer to order a:

Answer 49

Preliminary title report

Question 50

The basic title insurance policy is the:

Answer 50

CLTA