Deck 16: Real Estate Closing Forms and Examples

Question 1

Condominium owners have joint and several liability for damage or harm caused to persons in connection with the common areas.

Answer 1

True

Question 2

An enclosed backyard in a condominium development would be a limited common area.

Answer 2

True

Question 3

Taxes on individual condominium units are paid by the individual condominium unit owners.

Answer 3

True

Question 4

Condominiums rarely contain restrictions on the use of the unit and the common areas.

Question 5

Most condominium declarations require that fire insurance on the units be under a master policy and that the insurance premium be an expense of the condominium association.

Question 6

A condominium association can foreclose and sell a n owner's condominium unit if the owner fails to pay common area assessments.

Question 7

An enclosed backyard in a condominium development would be a common area.

Question 8

Condominium declarations usually contain comprehensive restrictions on the use of the condominium unit and common areas.

Question 9

Condominiums and cooperatives are the same thing.

Question 10

Condominium owners do not have joint and several liability for damage or harm caused to persons in connection with the common areas.

Question 11

Most condominium declarations require that fire insurance be obtained by each condominium unit owner.

Question 12

A cooperative owner generally does not have any restrictions on the owner's right to resell the cooperative unit.

Question 13

The governing body of most condominiums is a nonprofit corporation in which each owner is entitled to one vote.

Question 14

A condominium owner buys stock in a corporation, which owns the condominium; this stock gives the condominium owner a right to live in a condominium unit.

Question 15

Taxes on individual condominium units are common expenses paid by the condominium association.

Question 16

A condominium declaration and plat must be in existence before a project can be considered a condominium and before individual units can be sold.

Question 17

A swimming pool in a condominium development would be a common area.

Question 18

A condominium form of ownership, once created, can never be terminated.

Question 19

A condominium owner's obligation to pay common area assessments is conditioned upon the condominium association providing services.

Question 20

A swimming pool in a condominium development would be a limited common area.

Question 21

Most cooperatives are financed by individual mortgages on the individual cooperative owners' units.

Question 22

Brett and Jackie went to a time-share sales meeting. After the meeting they decided that it was a good idea to buy a time-share and signed a contract. Three days later they reconsidered their decision. They want to terminate the contract and not buy the time-share. Can they legally do this?

Question 23

Stefanie owns a condominium unit. Each month she is assessed a condominium assessment fee.
For several months the health club at the condominium has not been open except on weekends and the landscaping has not been cared for regularly. Stefanie has complained a number of times to the association board but has not received any positive response. Stefanie decides that she will not pay the monthly assessment. Is this a good idea? Can Stefanie defend against any attempts to collect the fee?

Question 24

Cooperatives are generally owned by a cooperative corporation, with the individual owners as shareholders in the corporation.

Question 25

In most states, a time-share purchaser is given a period of time after signing a purchase contract to cancel the contract.

Question 26

Craig owns shares in a cooperative and leases an apartment from the cooperative. Craig wants to sell his shares and assign his lease to the new owner. The cooperative's board of directors tells Craig that he cannot do this unless they approve the new owner. Can the board legally do this?

Question 27

Most cooperatives are financed by a mortgage on the entire cooperative.

Question 28

Individual unit owners own the cooperative living units.