Deck 11: Landlord and Tenant Relations

Question 1

Which title policy do lender's require?
(a) CLTA policy
(b) standard policy
(c) ALTA policy
(d) ABRA policy

Answer 1

C

Question 2

Which law prohibits a real estate agent from receiving a referral fee from an escrow or title company?
(a) Truth in Lending
(b) Regulation Z
(c) RESPA
(d) all of the above

Answer 2

C

Question 3

The maximum security deposit for an unfurnished apartment is:
(a) one month's rent
(b) two months' rent
(c) three months' rent
(d) four months' rent

Answer 3

B

Question 4

Lessor A leases to Lessee B, who legally subleases to Sublessee C. Which of the following is correct?
(a) Lessor A looks to Lessee B for payment.
(b) Lessor A looks to Sublessee C for payment.
(c) Lessee B does not have a contract with Sublessee C.
(d) There is only one contract in this transaction.

Question 5

An onsite property manager:
(a) must be a broker
(b) must be certified.
(c) must be licensed
(d) none of the above

Question 6

Which is an example of a "buyer pays" closing cost?
(a) appraisal fee
(b) prepayment fee
(c) documentary transfer tax
(d) real estate commission

Question 7

Title insurance does not cover publicly disclosed:
(a) easements
(b) zoning ordinances
(c) deeds of trust
(d) deeds

Question 8

Which insurance policy requires the title company to make a physical inspection of the property?
(a) CLTA
(b) standard
(c) RESPA
(d) ALTA

Question 9

On behalf of the buyer and seller, the escrow officer acts as:
(a) an employee
(b) an independent contractor
(c) an agent
(d) a licensee

Question 10

A lease on agricultural land cannot exceed:
(a) 15 years
(b) 37 years
(c) 51 years
(d) 99 years

Question 11

A landlord signs a 3-year binding residential lease with a tenant. Six months later, the landlord wishes the tenant to move so the landlord's father can occupy the apartment. The tenant will be forced to move after the landlord serves a:
(a) 3-day notice
(b) 30-day notice
(c) 60-day notice
(d) the tenant cannot be forced to move

Question 12

The legal action in court to remove a tenant is called:
(a) unlawful tenancy
(b) unlawful occupancy
(c) unlawful detainer
(d) unlawful possession

Question 13

Implied right of habitability means the:
(a) landlord guarantees the residential unit meets housing codes
(b) tenant agrees to maintain the residential unit
(c) government is responsible for the tenant's safety
(d) lender insists the property meets housing standards

Question 14

Title insurance rates are set by:
(a) title companies
(b) insurance commissioner
(c) real estate commissioner
(d) corporation commissioner

Question 15

It is illegal to screen and eliminate potential tenants based on:
(a) income levels
(b) credit rating
(c) past delinquent rental history
(d) marital status

Question 16

Which of the following is not exempt from the escrow licensing law?
(a) trust companies
(b) escrow companies
(c) title insurance companies
(d) real estate brokers when acting as an agent in the transaction

Question 17

Most month-to-month rental agreements can be classified as an:
(a) estate for years
(b) estate from period to period
(c) estate at will
(d) estate at sufferance

Question 18

A history of title transfers for a particular parcel of land is a/an:
(a) preliminary report
(b) title insurance policy
(c) abstracter index
(d) chain of title

Question 19

A lease in which the lessee is required to pay the property taxes, insurance, and maintenance is known as a:
(a) gross lease
(b) triple net lease
(c) percentage lease
(d) ground lease

Question 20

There are certain requirements that must be met before a transaction can be placed in escrow. They are:
(a) a binding contract between buyer and seller
(b) a neutral third party is employed
(c) conditional delivery of all documents related to sale
(d) all of the above

Question 21

An estate for years (tenancy for a fixed term) is for what period of time?
(a) A year
(b) A week
(c) A day
(d) All of the above

Question 22

A broker is hired to collect rents in an apartment house. The rents are due January 1, and the broker is able to collect all but one of the tenants' rents. The next day the owner dies, and the day after that the delinquent tenant refuses to pay the broker, saying that the owner's death voided the property management contract. The tenant:
(a) cannot refuse to pay because the rent was due January 1 and the owner did not die until January 2
(b) cannot refuse to pay because the tenant had previously recognized the agent and paid rent for prior months
(c) cannot refuse to pay because the agent's authority continues until an administrator or executor is appointed
(d) under these circumstances, the tenant was right not to pay

Question 23

Regarding rent control:
(a) it is a controversial topic
(b) promotes higher yields on investments
(c) encourages new construction of new units
(d) solves housing problems

Question 24

If no agreement exists between the tenant and landlord and the tenant is in possession, this might be best described as a: a() Estate for years
B() Periodic tenancy
C() Estate at will
D() Estate at sufferance

Question 25

Which of the following types of leaseholds is no longer used in the State of California?
(a) periodic tenancy
(b) tenancy at will
(c) tenancy for years
(d) tenancy at sufferance

Question 26

Under a three-year lease that has expired, if the tenant remains in possession and the owner accepts rent payments, the lease:
(a) is renewed for three years
(b) is canceled
(c) becomes a month-to-month tenancy
(d) is renewed for one year

Question 27

When a valid lease is assigned, the assignee receives the entire leasehold interest and becomes:
(a) an assignor
(b) a tenant
(c) a landlord
(d) a sublessor

Question 28

A landlord signs a lease and the lessee takes possession but never signs the lease. Under these circumstances, the lease is:
(a) valid
(b) void
(c) voidable
(d) illegal

Question 29

The initials CPM stand for:
(a) Certificate of Public Management
(b) Certificate of Practical Management
(c) Certified Property Manager
(d) Certified Practical Manager

Question 30

If an owner deeds a property encumbered by an existing lease, the new owner is best described as the:
(a) grantor-lessee
(b) grantee-lessee
(c) grantor-lessor
(d) grantee-lessor

Question 31

A professional property manager
(a) is required to have a real estate license
(b) must reside on the premises
(c) is typically a salaried employee of the property owner
(d) all charge the same amount for their services

Question 32

Specific laws in the State of California make it illegal to screen and eliminate potential tenants for a rental unit based on:
(a) religion, sex, or age
(b) race, color, or creed
(c) physical handicap or marital status
(d) all of the above

Question 33

Quite often a retail store owner will contract to pay rent under a percentage lease. This means the rent is based on:
(a) net receipts plus a base rental fee
(b) gross receipts with an established base rent
(c) net receipts with an established maximum
(d) a fixed amount for entire lease

Question 34

Ms. Estes owned a fee simple estate and leased it to Mr. Eaton for six years. Ms. Estes has:
(a) a remainder interest
(b) a fee simple estate
(c) an estate in joint tenancy
(d) a less-than-freehold estate

Question 35

Under the rental offset rules, which of the following is true? The tenant can do housing code repairs up to:
(a) one month's rent, once per year
(b) two months' rent, twice per year
(c) one month's rent, twice per 12-month period
(d) one month's rent, twice per year

Question 36

A lease is to lessee as:
(a) assignment agreement is to affiant
(b) trust deed is to trustee
(c) agreement of sale is to equitable owner
(d) fee simple estate is to executor

Question 37

A tenant makes a verbal agreement, in front of several people, to lease a home for six months. Two months later the tenant notifies the landlord that he or she will be moving out next week. The lease agreement is:
(a) not valid for lack of writing
(b) binding although oral
(c) invalid because it was for only 6 months
(d) binding because it was a one-family residence

Question 38

Which is not an obligation of the tenant: a() To pay rent
B() to not interfere with other tenants
C() To give a 60 notice before vacating on a month to month tenancy
D() not to damage the premises

Question 39

If you were to lease a mountain cabin from April 5 to April 30 of the same year, the lease would be recognized as an:
(a) estate at will
(b) estate at sufferance
(c) estate from period to period
(d) estate for years

Question 40

How many units would there have to be in an apartment building to make it necessary for the owner to hire an onsite resident manager?
(a) 20 or more units
(b) 18 or more units
(c) 16 or more units
(d) 14 or more units