Question 1

The validity of zoning is based on the police power reserved to the states.

Accepted Answer

A) True 
 B)False

Question 2

When a contract involving the sale of real estate calls for the delivery of the deed in return for the purchase price on a certain day, this performance is known as:

Accepted Answer

A) foreclosure. 
B) warranty deed day. 
C) contract day. 
D) the closing. 
A) foreclosure. 
B) warranty deed day. 
C) contract day. 
D) the closing.

Question 3

Which of the following is NOT essential to a valid deed?

Accepted Answer

A) Grantor. 
B) Grantee. 
C) Delivery. 
D) Recording. 
A) Grantor. 
B) Grantee. 
C) Delivery. 
D) Recording.

Question 4

In a notice - race state:

Accepted Answer

A) an unrecorded deed is invalid against any subsequent purchaser without notice of who recorded first. 
B) unrecorded deeds are invalid against any subsequent purchaser without notice. 
C) an unrecorded deed is invalid against any deed recorded before it. 
D) a recorded deed is invalid against a subsequent purchaser who records. 
A) an unrecorded deed is invalid against any subsequent purchaser without notice of who recorded first. 
B) unrecorded deeds are invalid against any subsequent purchaser without notice. 
C) an unrecorded deed is invalid against any deed recorded before it. 
D) a recorded deed is invalid against a subsequent purchaser who records.

Question 5

Someone who expressly assumes a mortgage is personally obligated to pay it.

Accepted Answer

A) True 
 B)False

Question 6

Jack lived in a block with two-family homes.He finished the third floor for his family, and when they left home he wanted to rent the floor as a third apartment.The town enacted a zoning ordinance restricting occupancy of the building to a maximum of two unrelated families.Jack's best argument for waiving the ordinance is:

Accepted Answer

A) he can make more money renting two floors. 
B) he cannot meet the costs of maintaining the building unless he rents both floors. 
C) he is not going to add any more occupants to the building. 
D) he was using the third floor as an apartment for rent before the zoning ordinance was enacted. 
A) he can make more money renting two floors. 
B) he cannot meet the costs of maintaining the building unless he rents both floors. 
C) he is not going to add any more occupants to the building. 
D) he was using the third floor as an apartment for rent before the zoning ordinance was enacted.

Question 7

The police power of the state can be used to regulate and take property.

Accepted Answer

A) True 
 B)False

Question 8

Eminent domain does not grant power to take private land for public use.

Accepted Answer

A) True 
 B)False

Question 9

The UCC applies to real estate mortgages and trust deeds since they are security interests.

Accepted Answer

A) True 
 B)False

Question 10

The exemption from application of the Fair Housing Act applies to single-family homes owned by private individuals who own fewer than four houses.

Accepted Answer

A) True 
 B)False

Question 11

A warranty deed contains covenants of good title and quiet enjoyment of the land.

Accepted Answer

A) True 
 B)False

Question 12

A real estate conveyance is governed by the:

Accepted Answer

A) statute of frauds. 
B) financial decisions of the lender. 
C) terms of the mortgage. 
D) law of secured transactions. 
A) statute of frauds. 
B) financial decisions of the lender. 
C) terms of the mortgage. 
D) law of secured transactions.

Question 13

A deed of trust differs from a mortgage in that the former conditionally conveys the property to a trustee for the benefit of the creditor.

Accepted Answer

A) True 
 B)False

Question 14

An instrument representing an interest in real property created to secure repayment of the debt is called a:

Accepted Answer

A) warranty deed. 
B) foreclosure. 
C) mortgage. 
D) default judgment. 
A) warranty deed. 
B) foreclosure. 
C) mortgage. 
D) default judgment.

Question 15

Lou fails to pay the property taxes on land mortgaged through Forest Bank.Forest's only recourse according to most courts is to foreclose on the property in order to protect its rights.

Accepted Answer

A) True 
 B)False

Question 16

Ellen's driveway is actually on Richard's land, but in 20 years nobody has ever said anything to Ellen about it.When Richard sells his house, a survey shows the problem and the new owner demands that Ellen abandon use of the driveway.Will she have to move her driveway?

Accepted Answer

A) Yes, if she does not actually own the land. 
B) Yes, since it is not in her deed. 
C) Not if she used it continuously. 
D) Not if she got permission from Richard. 
A) Yes, if she does not actually own the land. 
B) Yes, since it is not in her deed. 
C) Not if she used it continuously. 
D) Not if she got permission from Richard.

Question 17

Quiang's mortgage contract contains a provision that default on an installment makes the entire unpaid balance of the debt immediately due, permitting foreclosure.Such a provision is illegal and cannot be enforced.

Accepted Answer

A) True 
 B)False

Question 18

A buyer of real estate subject to a mortgage who does not undertake any personal liability for payment of the mortgage debt:

Accepted Answer

A) takes the property "subject to" the mortgage. 
B) "assumes" the mortgage. 
C) can only obtain a quitclaim deed. 
D) can only obtain a leasehold. 
A) takes the property "subject to" the mortgage. 
B) "assumes" the mortgage. 
C) can only obtain a quitclaim deed. 
D) can only obtain a leasehold.

Question 19

Title insurance policies may be issued to protect the interests of mortgagees or tenants of property.

Accepted Answer

A) True 
 B)False

Question 20

The action through which the mortgage holder takes the property from the mortgagor, ends the mortgagor's rights in the property, and sells the property to pay the mortgage debt is known as:

Accepted Answer

A) foreclosure. 
B) equity of redemption. 
C) adverse possession. 
D) an executed deed of trust. 
A) foreclosure. 
B) equity of redemption. 
C) adverse possession. 
D) an executed deed of trust.

Exam 50: Transfer and Control of Real Property

The validity of zoning is based on the police power reserved to the states.

When a contract involving the sale of real estate calls for the delivery of the deed in return for the purchase price on a certain day, this performance is known as:

Which of the following is NOT essential to a valid deed?

In a notice - race state:

Someone who expressly assumes a mortgage is personally obligated to pay it.

The police power of the state can be used to regulate and take property.

Eminent domain does not grant power to take private land for public use.

The UCC applies to real estate mortgages and trust deeds since they are security interests.

The exemption from application of the Fair Housing Act applies to single-family homes owned by private individuals who own fewer than four houses.

A warranty deed contains covenants of good title and quiet enjoyment of the land.

A real estate conveyance is governed by the:

A deed of trust differs from a mortgage in that the former conditionally conveys the property to a trustee for the benefit of the creditor.

An instrument representing an interest in real property created to secure repayment of the debt is called a:

Lou fails to pay the property taxes on land mortgaged through Forest Bank.Forest's only recourse according to most courts is to foreclose on the property in order to protect its rights.

Ellen's driveway is actually on Richard's land, but in 20 years nobody has ever said anything to Ellen about it.When Richard sells his house, a survey shows the problem and the new owner demands that Ellen abandon use of the driveway.Will she have to move her driveway?

Quiang's mortgage contract contains a provision that default on an installment makes the entire unpaid balance of the debt immediately due, permitting foreclosure.Such a provision is illegal and cannot be enforced.

A buyer of real estate subject to a mortgage who does not undertake any personal liability for payment of the mortgage debt:

Title insurance policies may be issued to protect the interests of mortgagees or tenants of property.

The action through which the mortgage holder takes the property from the mortgagor, ends the mortgagor's rights in the property, and sells the property to pay the mortgage debt is known as:

Introduction to Law

Business Ethics

Civil Dispute Resolution

Constitutional Law

Administrative Law

Criminal Law

Intentional Torts

Negligence and Strict Liability

Introduction to Contracts

Mutual Assent

Conduct Invalidating Assent

Consideration

Illegal Bargains

Contractual Capacity

Contracts in Writing

Third Parties to Contracts

Performance, Breach, and Discharge

Contract Remedies

Introduction to Sales and Leases

Performance

Transfer of Title and Risk of Loss

Product Liability: Warranties and Strict Liability

Sales Remedies

Form and Content

Transfer

Holder in Due Course

Liability of Parties

Bank Deposits, Collections, and Funds Transfers

Relationship of Principal and Agent

Relationship With Third Parties

Formation and Internal Relations of General Partnerships

Operation and Dissolution of General Partnerships

Limited Partnerships and Limited Liability Companies

Nature and Formation of Corporations

Financial Structure of Corporations

Management Structure of Corporations

Fundamental Changes of Corporations

Secured Transactions and Suretyship

Bankruptcy

Securities Regulation

Intellectual Property

Employment Law

Antitrust

Accountants Legal Liability

Consumer Protection

Environmental Law

International Business Law

Introduction to Property, Property Insurance, Bailments, and Documents of Title

Interests in Real Property

Trusts and Wills

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