PropertyBitches

Question 1

Express Easement

Answer 1

voluntarily created by (1) servient owner, usually in deed, (2) reserved in a grant, (3) dominant grants to servient but retains easement

Question 2

Easement by prior use

Answer 2

(1) prior use was apparent, continuous, permanent, (2) at time of severance there was reasonable necessity.

Question 3

Easement by necessity

Answer 3

(1) prior use was not apparent, continuous, or permanent, (2) at time of severance there was strict necessity

Question 4

Easement by prescription

Answer 4

(1) open and notorious, (2) continuous, (3) adverse, (4) claim of right, (5) stat of lim, (6) actual entry

Question 5

Easement by estoppel

Answer 5

(1) license, (2) detrimental reliance, (3) licsensor knew of reliance

Question 6

Terminating Easements

Answer 6

(1) prescription, (2) estoppel, (3) serious misuse, (4) merging estates, (5) eminent domain, (6) abandonment

Question 7

Real Covenant

Answer 7

(1) stat of fraud (writing + sig), (2) intent to bind successors, (3) touch and concern, (4) notice, (5) HP, (6) VP
*no notice or HP needed if benefit

Question 8

Equitable Servitude

Answer 8

(1) stat of fraud, (2) intent to bind successors, (3) touch and concern, (4) notice
*no notice needed if benefit

Question 9

FHA Special Factors (HE CAN HIT)

Answer 9

(1) owner occupied 1 of 4 unit complex, (2) owner owns 3 single family home or less w/out agent,
(3) renting room in house that seller occupies
*NO Advertising discrimination

Question 10

Disclosure of physical defects

Answer 10

(1) known to seller, (2) latent, (3) materially impairs value of contract

Question 11

P&S Contract - Stat of Fraud

Answer 11

(1) writing (formal/informal) (2) essential terms, (3) 3 p’s (price, property, parties),

Question 12

Purchase K made valid under Part Performance

Answer 12

(1) moved in, (2) expensive improvements, (3) paid all or substantial portion
(need 2/3)

Question 13

Purchase K made valid under Estoppel

Answer 13

(1) K fails s/f, (2) detrimental reliance, (3) other party knew of reliance

Question 14

Title Unmarketable

Answer 14

(1) less property interest than in K,
(2) subject to encumbrance
(3) violation of law
(4) violated encumbrance, even if waived in K

Question 15

JDX Split on Unmarketability and Visible Encumbrances

Answer 15

A: if visible, the buyer deemed to have accepted.
B: visibility irrelevant; unmarketable

Question 16

Equitable Conversion

Answer 16

signed the P&S contract converts seller’s original rights; risk on house is shifted to the buyer

Question 17

Merger Doctrine

Answer 17

Warranty of marketable title expires at closing and post-closing deed warranties apply.

Question 18

Valid Deed

Answer 18

(1) writing, (2) signed by grantor, (3) includes grantor and grantee names, (4) words of conveyance, (5) description/ID of property
*for subdivisions: lot number + subdivision map

Question 19

Delivery of Deed: Rebuttable Presumptions

Answer 19

(1) Physical Delivery: presumption it was delivered
(2) No physical delivery: presumption it was NOT delivered
(3) Recorded Deed: presumption it was delivered.

Question 20

Delivery of Deed

Answer 20

grantor’s manifest intent to transfer an immediate property interest to grantee

Question 21

Estoppel by Deed

Answer 21

(1) seller conveys with warranty deed, (2) before they have title to it
(3) cannot claim title from buyer when they later have title to it.

Question 22

Buyer Remedies for Breach of P&S

Answer 22

Buyer: (1) specific performance, (2) restitution damages (make them whole), (3) expectation damages (home value at breach MINUS price), (4) liquidation damages (damages listed in K)

Question 23

Seller Remedies for Breach of P&S

Answer 23

(1) Consequential damages,
(2) expectation damages

Question 24

Present Covenants + Future Covenants

Answer 24

P: (1) Covenant of Seisin, (2) Covenant of Right to Convey, (3) Covenant Against Encumbrances
F: (4) Covenant of Warranty, (5) Covenant of Quiet Enjoyment

Question 25

Covenant of Seisin

Answer 25

grantor owns property being sold as it was purported (almost always includes right to convey) (ownership)

Question 26

Covenant of the Right to Convey

Answer 26

Grantor was authorized to sell (right to convey)

Question 27

Covenant Against Encumbrances

Answer 27

grantor promises property is free from title defects

Question 28

Covenant of Warranty

Answer 28

promise grantor will defend against any valid claim of superior title.

Question 29

Covenant of Quiet Enjoyment

Answer 29

possession of property will not be disturbed by anyone holding superior title.

Question 30

Remedies

Answer 30

(1) violation of right to seisin & convey: nominal or actual damages or right to return property and recover full price (2) violation of covenant against encumbrances or quiet enjoyment: cost to remove encumbrance or decrease in FMV (3) violation of covenant of warranty: duty to defend attorney fees for valid claims.

Question 31

Title Insurance Exceptions

Answer 31

Exceptions written into the rule. Standard exceptions = (1) issue caused by insured, (2) public record defect known to insured, (3) violation of government laws or ordinances.

Question 32

Promissory Note Terms

Answer 32

(1) prepayment clause: if pay substantial chunk up front, pay loan bal (2) Acceleration clause: default, pay loan bal (3) Due on Sale: mortgagor sells property, lender had the right to demand loan bal

Question 33

Deed of Trust

Answer 33

(1) borrower = trustor, (2) borrower grants property interest to trustee, (3) if borrower defaults, lender tells trustee to foreclose, (4) lender = trusts beneficiary.

Question 34

Transfers by mortgagor

Answer 34

(1) if deed is silent: buyer not liable but risk foreclose (2) buyer assumes loan: liable and risk foreclose (3) subject to loan: not liable, risk foreclose (4) original mortgagor remains liable

Question 35

Transfer by Mortgagee (lender)

Answer 35

Must be Holder in Due Course: (1) pay value + (2) good faith (no knowledge of lender mistakes) = mortgagor cannot raise defenses regarding prior mortgagee's mistakes -og promissory note must be endorsed and delivered

Question 36

Deed in Lieu of Foreclosure

Answer 36

If agreed, borrower hands title and avoids foreclosure process

Question 37

Special Foreclosure Rules

Answer 37

(1) Jr interest did not get notice of foreclose = not eliminated (2) Senior interest did not record = JR bona fide interest will go above unrecorded senior (3) PMM (loan went to financing home) = has priority (4) deed in lieu of foreclosure = does not wipe out jr interests, mortgage just gets wiped out

Question 38

Non-judicial foreclosure Borrower Defenses

Answer 38

(1) inadequate sale price (shocks judicial conscience) (2) procedural defect (inadequate notice, collusion, failure to follow stat req for sale) (3) sale must be commercially reasonable