Forms of Real Estate Ownership

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Forms of Real Estate Ownership
2013-11-06 22:16:14

Chapter 08 Review/Material
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  1. The four unities of possession, interest, time, and title are associated with which of the following?

    a.) Community property
    b.) Severalty ownership
    c.) Tenants in common
    d.) Joint tenancy
  2. A parcel of property was purchased by two friends. The deed they received from the seller at closing transferred the property without further explanation. The two friends took title as which of the following?

    a.) Joint tenants
    b.) Tenants in common
    c.) Tenants by the entirety
    d.) Community property owners
  3. Three people are joint tenants with rights of survivorship in a tract of land. One owner conveys interest to a friend. Which statement is TRUE? 

    a.) The first two owners remain joint tenants.
    b.) The new owner has severalty ownership.
    c.) They all become tenants in common.
    d.) They all become joint tenants.
  4. A man owns one of 20 units in a building in fee simple, along with a 5 percent ownership share in the parking facilities, recreation center, and grounds. What kind of property does he own?

    a.) Cooperative
    b.) Condominium
    c.) Time-share
    d.) Land trust
  5. A trust is a legal arrangement in which title to property is held for the benefit of a third party by a(n):

    a.) beneficiary
    b.) trustor
    c.) trustee
    d.) attorney-in-fact
  6. According to some states, any real property that either spouse of a married couple owns at the time of the marriage remains separate property. Further, any real property acquired by either spouse during the marriage (except by gift of inheritance) belongs to both of them equally. What is this form of ownership called?

    a.) Partnership
    b.) Joint tenancy
    c.) Tenancy by the entirety
    d.) Community property
  7. Three women were concurrent owners of a parcel of real estate. When one woman died, her interest, according to her will, became part of the estate. The deceased was a:

    a.) joint tenant
    b.) tenant in common
    c.) tenant by the entirety
    d.) severalty owner
  8. A legal arrangement under which the title to real property is held to protect the interests of a beneficiary is a:

    a.) trust 
    b.) corporation
    c.) limited partnership
    d.) general partnership
  9. A person lives in an apartment building. The land and structures are owned by a corporation with one mortgage loan securing the entire property. Like the other residents, this person owns stock in the corporation and has a lease to the apartment. This type of ownership is called:

    a.) condominium
    b.) planned unit development
    c.) time-share
    d.) cooperative
  10. An owner purchased an interest in a house. The owner is entitled to the right of possession only between July 10 and August 4 of each year. Which of the following is MOST likely the type of ownership that has been purchased?

    a.) Cooperative
    b.) Condominium
    c.) Time-share
    d.) Town house
  11. A corporation is a legal entity, and artificial person according to state law. Property owned by the corporation is owned in:

    a.) trust
    b.) partnership
    c.) severalty
    d.) survivorship tenancy
  12. Which of the following refers to ownership by one person?

    a.) Tenancy by the entirety
    b.) Community property
    c.) Tenancy in common
    d.) Severalty
  13. A married couple co-owns a farm and has right of survivorship. This arrangement is MOST likely:

    a.) severalty ownership
    b.) community property
    c.) a tenancy in common
    d.) an estate by the entirety
  14. All of the following can be classified as real property EXCEPT:

    a.) ownership in severalty
    b.) cooperative unit ownership
    c.) condominium unit ownership
    d.) a tenancy in common
  15. Two people are co-owners of a small office building with the right of survivorship. One of the co-owners dies intestate and leaves nothing to be distributed to hi heirs. Which of the following would explain why the second co-owner acquired the deceased's interest?

    a. ) Adverse possession
    b.) Joint tenancy
    c.) Reversionary interest
    d.) Foreclosure
  16. Which of the following is MOST likely evidence of ownership in a cooperative?

    a.) Tax bill for an individual unit
    b.) Existence of a reverter clause
    c.) Shareholder's stock
    d.) Right of first refusal
  17. An ownership interest that is based on annual occupancy intervals is a:

    a.) leasehold
    b.) time-share
    c.) condominium
    d.) cooperative
  18. Which statement applies to both join tenancy and tenancy by the entirety?

    a.) There is no right to file a partition suit.
    b.) The last survivor becomes a severalty owner.
    c.) A deed signed by one owner will convey a fractional interest.
    d.) A deed will not convey any interest unless signed by both spouses.
  19. Which of the following is NOT a form of co-ownership?

    a.) Tenancy in common
    b.) Ownership in severalty
    c.) Tenancy by the entirety
    d.) Community property
  20. If property is held by two or more owners as joint tenants, the interest of the deceased co-owners will be passed to the:

    a.) surviving owner or owners
    b.) heirs of the deceased.
    c.) state, under the law of escheat.
    d.) trust under which the property was owned.