SECTION NINE: TITLE, DEEDS AND OWNERSHIP RESTRICTIONS

1. Which of the following best describes the concept of “legal
title” to real estate?”

2. A person claims ownership of a parcel of real estate to a
prospective buyer, stating that she has lived on the property
for five years and nobody has ever bothered her. The
claimant also shows the buyer a copy of the deed. The legal
basis of this claim is referred to as

3. Constructive notice of ownership of a parcel of real estate is
primarily demonstrated through

4. An owner transfers title to a property to a buyer in exchange for a consideration. This is an example of

5. For a deed to convey title, it is necessary for the deed to be

6. The only required clause in a deed of conveyance is one that

7. The purpose of a covenant clause in a deed of
conveyance is to

8. The type of statutory deed that contains the most
complete protection for the grantee is a

9. A person wishes to convey any and all interests in a property
to another without making any assurances as to
encumbrances, liens, or any other title defects on the
property. This party would most likely use which of the
following types of deed?

10. If a person dies with no legal heirs or relations and has left
no valid will, what happens to real property owned by that
person?

11. Just prior to passing away, a person tells two witnesses
that she would like her estate to pass to her husband. One
witness records the statement and signs his name. This is
an example of

12. If a person having several heirs dies intestate, the property
will

13. A property owner can avert the danger of losing title by
adverse possession by

14. A hermit secretly lives in a cave on a 200-acre property. After twenty years, the person makes a claim of ownership to the property. This claim will likely be

15. The fundamental purpose of recording instruments
that affect real property is to

16. What is “chain of title?”

17. To be marketable, title must be

18. Which of the following is commonly accepted as the best
evidence of marketable?

19. Easements and encroachments are types of

20. An affirmative easement gives the benefited party

21. There are two adjoining properties. An easement allows property A to use the access road that belongs to property B. In this situation, property A is said to be which of the following in relation to property B?

22. Which of the following describes a situation in which an easement might be created against the wishes of the property owner?

23. What is the primary danger of allowing an encroachment?

24. A property owner who is selling her land wants to control how it is used in the future. She might accomplish her aim by means of

25. What distinguishes a lien from other types of encumbrance?

26. A certain property has the following liens recorded against it: a mortgage lien dating from three years ago; a mechanic’s lien dating from two years ago; a real estate tax lien for the current year; and a second mortgage lien dating from the current year. In case of a foreclosure, which of these liens will be paid first?

27. The lien priority of junior liens can be changed by a lienor’s agreement to

28. Among junior liens, the order of priority is generally established according to

29. What is meant by a “lien-theory” state?

30. A homeowner has hired a contractor to build a room addition. The work has been completed and the contractor has been paid for all work and materials but fails to pay the lumber yard for a load of lumber. What potential problem may the home owner experience?

31. A property survey reveals that a new driveway extends one foot onto a neighbor’s property. This is an example of

32. A property owner has an easement appurtenant on her property. When the property is sold to another party, the easement

33. A brick fence straddles the property line of two neighbors. The neighbors agree not to damage it in any way. This is an example of

34. A property owner allows Betty Luanne to cross his property as a shortcut to her kindergarten school bus. One day the property owner dies. What right was Betty given, and what happens to it in the future?

35. A court renders a judgment which authorizes a lien to be placed against the defendant’s house, car, and personal belongings. This is an example of a

36. If a leased property is being sold, the seller can protect the renter and assure the buyer that the property can continue to be rented by

37. What is one important difference between a sublease and a lease assignment?

38. Which of the following lease types conveys rights other than the rights to exclusive use and occupancy of the entire property?

39. An owner leases a property to a business in exchange for rent. The tenant is required to pay all operating expenses as well. This is an example of a

40. The percentage lease is most often used by

41. Which of the following summarizes the general terms of a ground lease?

42. Which of the following statements is true?