NATIONAL INTERACTIVE STUDY GROUP UNIT 3 QUESTIONS

Transcription

1 NATIONAL INTERACTIVE STUDY GROUP UNIT 3 QUESTIONS

2 National Interactive Study Group 2 SESSION 3 JOHN MATHIS

3 Notes for Tonight 3 1. To MUTE your phone line use *6 2. To UNMUTE your phone line use #6 3. Chat is the best way to communicate questions.

4 Notes for Tonight If you are a new student please send an to nationalleadinstructor@kaplan.com 3 with New Student in the subject line.

5 Your questions Forms of Ownership Deeds Probate Adverse possession Prescriptive easements Topics for Tonight 5

6 Question 6 Three individuals bought a building and took title as joint tenants. One of the owners died testate. The remaining owners now own the building A. as a tenant in common with rights of survivorship B. as joint tenants with each other. C. subject to the terms of the deceased owner s will D. as tenants in common with the deceased owner s heirs

7 Review 7 Joint Tenants ABC Joined Together by PITT Co-ownership review Must Have Equal Possession Interest Title all at the same Time Island of survivorship with PITT

8 Review Co-ownership review Tenants in Common 8 A B C To the Children Both Tenants in Common and Joint Tenancy have equal rights of possession. Tenants in Common allows the co-owners or co-tenants to have unequal shares or interests in the property.

9 Question 9 A broker should advise married couples that the best way for them to take title is as A. tenants in common B. advised by an attorney C. joint tenants D. tenants in common with right of survivorship

10 Question Properties in which the owner is required to pay assessments to an association which manages and maintains the common elements are known as A. residential or commercial condominiums B. townhomes C. Timeshares D. all of the above 10

11 Question To be valid a deed must have all of the following EXCEPT A. competent grantor B. words of conveyance C. a legal description D. a notice of recordation 11

12 Review 12 The 7 essential elements of a deed are: 1. Competent Grantor 18, sane and sober 2. Execution by Grantor signed by the grantor 3. Identifiable Grantee named in deed does not have to be competent 4. Delivery and acceptance - by grantee title passes here 5. Legal description- not an address 6. Consideration money, promise or something of value 7. Words of Conveyance determines what type of estate is being transferred.

13 Practice Question The buyer and seller have a liquidated damages executory purchase agreement. The buyer has requested the seller supply them with the deed which will give the buyer the most protection. At closing the deed which offers the grantee the most protection and in which the grantor gives the most promises is a A. Special warranty deed B. Quitclaim deed C. General warranty deed D. Bargain and sale deed 13

14 Practice Question The buyer and seller have a liquidated damages executory purchase agreement. Information only not needed 14 The buyer has requested the seller supply them with the deed which will give the buyer the most protection. Setting up the question At closing the deed which offers the grantee the most protection and in which the grantor gives the most promises is a The question- note: you need to know the buyer is the grantee and the seller is the grantor.

15 Practice Answer C. General warranty deed 15 This deed gives five promises from the grantor to the grantee. 1. Covenant of seizin: I own and can convey the property 2. Covenant of quiet enjoyment: I will protect you against third parties claiming title 3. Covenant against encumbrances: All encumbrances have been disclosed or cleared 4. Covenant of further assurance: If needed I will return and sign any paperwork 5. Warranty forever: I will defend your title from closing back to dirt or patent.

16 Question 16 A grantor wanting no future claim or liability for the transfer of real estate would use what type of deed? A. Special warranty deed B. Quitclaim deed C. General warranty deed D. Bargain and sale deed

17 Question 17 The seller has told the buyer that the transfer of title will be by a quitclaim deed. In this case the grantee accepting a quitclaim deed should require a title insurance policy as part of the purchase contract? True False

18 Question A homeowner has received a legal estate which protects them from creditors taking their primary home, this estate is known as A. fee simple B. a cooperative C. a homestead D. fee simple defeasible 18

19 Question A mother died testate, leaving all her property and possessions to her daughter. In order for the daughter to claim her inheritance she will need to A. probate the will B. probate the will and file a deed for title to the property C. do nothing as transfer is automatic in joint tenancy D. follow the state laws of intestate succession 19

20 Question 20 Adverse possession is open, continuous, exclusive, actual, and notorious (hostile) use of another s property for a period of years as determine by state law. True False

21 Review Adverse possession is open, continuous, exclusive, actual, and notorious (hostile) possession NOT use of another s property for a period of years as determine by state law. 21 Open, continuous, exclusive, actual, and notorious (hostile) use of another s property for a period of years as determine by state law is a prescriptive easement

22 Memory Aid 22 Remember: OCEAN- Open, Continuous, Exclusive, Actual, and Notorious (hostile) without the owner s knowledge OCEAN is required to create adverse possession or a prescriptive easement KEY POINT: If the owner is aware of the use or possession and gives the user permission e.g. a license, to continue, the possession or use will NOT meet the criteria of notorious.

23 Notes for Tonight Any questions I missed or that you still have? 23 Remember if you think of something after class you can reach me at : nationalleadinstructor@kaplan.com New students add: New Student in the subject line.