Unit 7-8 Flashcards
(30 cards)
One of the advantages of joint tenancy is:
a) it cannot be terminated without the consent of each tenant.
b) tenants may own different fractional shares.
c) it avoids delays and expenses of probate.
d) it can only exist between husband and wife.
c) it avoids delays and expenses of probate.
Property owned by a tenant in common passes at death:
a) to his co-tenant or tenants.
b) to his estate.
c) by right of survivorship.
d) by escheat.
b) to his estate.
A joint tenant may NOT:
a) sell his interest.
b) give away his interest.
c) encumber his interest.
d) sell the property
d) sell the property
Where two brothers hold title to property one with a 1/3 interest and the other a 2/3 interest,
title would most likely be held as:
a) joint tenancy.
b) tenancy by the entirety.
c) tenancy in common.
d) tenancy in severalty.
c) tenancy in common.
A corporation cannot hold title to real property in New Jersey with another as a joint tenant because:
a) it is a violation of the Securities Act.
b) of its perpetual existence.
c) it is difficult to list all stockholders in the deed.
d) a corporation cannot convey titel to real property.
b) of its perpetual existence.
A,B and C own property as joint tenants. C dies and B sells his interest in the property to D. The property is now owned:
a) as joint tenants by A, D and C’s widow, E, his sole heir.
b) A and D as as joint tenants.
c) A and D as tenants in common, each with 1/2 interest.
d) A amd D and B’s wife
c) A and D as tenants in common, each with 1/2 interest.
When a joint tenant dies, their interest passes to the remaining joint tenants (right of survivorship).
Selling a joint tenant’s interest severs the joint tenancy.
When C dies, his interest in the property transfers to the remaining joint tenants, A and B.
When B sells his interest to D, he is severing the joint tenancy between A and B.
Hanna Marsh and Max Haver buy a house together. They are a young, unmarried couple and
want to know how they should take title so that if one of them dies, that person’s heirs wil
inherit the property interest. Their attorney wil most likely recommend:
a) joint tenancy.
b) tenancy at will.
c) tenancy by the entirety.
d) tenancy in common.
d) tenancy in common.
A deed in favor of Norman and Rosalie with the stated proportionate interests of 2/3 and 1/3 respectivley:
a) creates a tenancy in common.
b) creates a valid joint tenancy.
c) creates a severalty interest for each.
d) is void.
a) creates a tenancy in common.
A tenancy by the enterity exists:
a) automatically when names of husband and wife appear on the deed.
b) whenever there is right of survivorship among concurrent owners.
c) when two or more people own the entire property.
d) after the owners have been divorced.
a) automatically when names of husband and wife appear on the deed.
The person for whom a trust is created is called the:
a) fidicuary.
b) trustee.
c) trustor.
d) beneficiary.
d) beneficiary.
Tenants by the entirety:
a) each own a portion of the property.
b) may seek an action for partition.
c) have the right of survivorship.
d) may share unequal interests.
c) have the right of survivorship.
In New Jersey, condominiums are regulated by:
a) the NJ Real Estate Commission.
b) the NJ Condominium Bureau.
c) The NJ Department of Community Affairs.
d) the Horizontal Property Act.
d) the Horizontal Property Act.
Which of the following statements is (are) true regarding timeshare estates?
a) Individuals who sell timeshare estates must be licensed by the New Jersey Real Estate Commission.
b) The purchaser of a timeshare estate will receive a deed.
c) Developers who sell timeshare estates in New Jersey must comply with the provisions of the New Jersey Real Estate Timeshare Act if they market the units in New Jersey.
d) All of the above statements are true.
d) All of the above statements are true.
Which of the following statements is NOT true?
a) An inter vivos trust is created by a beneficiary.
b) A testamentary trust is created by a will.
c) A trust transfers property of a trustor to a trustee.
d) A testamentary trust becomes effective when the turstor dies.
a) An inter vivos trust is created by a beneficiary.
An inter vivos trust, also known as a living trust, is a legal arrangement for estate planning while a person is still alive. It allows the trust creator, called the grantor, settlor, or trustor, to transfer assets to a trust for the benefit of themselves and/or others. The trust’s duration is set at its creation and can distribute assets during or after the grantor’s lifetime.
“Testamentary” generally refers to anything related to a will or testament
All of the following statements are true EXCEPT:
a) A Subchapter S corporation is taxed as a partnership.
b) A Subchapter S corporation does not have to pay corporate income tax.
c) The shareholders in a corporation generally have direct conrol of the corporations’ affairs.
d) A corporation that is not Subchapter S is classified as a C Corporation.
c) The shareholders in a corporation generally have direct conrol of the corporations’
affairs.
A conveys property to B and C who are unrelated and not joint tenants. If B dies:
a) C is the sole owner.
b) B’s share goes to his heirs.
c) the property revers back to A.
d) E comes into the picture.
b) B’s share goes to his heirs.
Which of the following statements apply equally to joint tenants and tenants by the entirety?
a) There is no right to file a partition suit.
b) The survivor becomes owner.
c) A deed signed by one will convey a fractional interest.
d) A deed will not convey any interest unless signed by both spouses.
b) The survivor becomes owner.
When a person owns property to the exclusion of all other persons, he is said to hold the property in:
a) personalty.
b) common.
c) severalty.
d) secret
c) severalty.
In real estate, “severalty” refers to a form of ownership where a single
A tenancy in common must have unity of:
a) time.
b) title.
c) interest.
d) possession.
d) possession.
Co-ownership of property by a husband and wife can take any of the following forms EXCEPT:
a) tenancy in common.
b) tenancy by the entirety.
c) joint tenancy.
d) tenancy in severalty.
d) tenancy in severalty.
When used in connection with ownership interests, the term “partition” means:
a) a formal written request signed by a group of petitioners.
b) court action by which owners of property seek to sever their common ownership.
c) a bearing wall in a building.
d) a non-bearing wall in a building.
b) court action by which owners of property seek to sever their common ownership.
A joint tenant may NOT:
a) sell his interst.
b) give away his interest.
c) encumber his interest.
d) devise his interest.
d) devise his interest.
Your customer plans to get divorced shortly before closing of a property she and her boyfriend just purchased and asks you about how to hold title to the property. You should suggest she:
a) get divorced first.
b) conceal the pending divorce.
c) consult an attorney.
d) choose joint tenancy.
c) consult an attorney.
24) When purchasing real estate, the form or method of ownership (severalty, tenants in common or joint tenants) should be determined by:
a) the broker.
b) the buyer and his attorney.
c) the seller.
d) the law of the state in which the real estate is located.
b) the buyer and his attorney.
