Unit 8: Forms of Real Estate Ownership

The four unities of possession, interest, time, and title are associated with:

A) community property.

B) joint tenancy.

C) severalty ownership.

D) tenants in common.

B) joint tenancy.

What is the difference between tenancy in common and joint tenancy?

A) Tenancy in common is characterized by right of survivorship; joint tenancy is characterized by unity of possession.

B) Tenancy in common ownership must contain specific wording; joint tenancy is presumed by the law when two or more people own property unless the deed states otherwise.

C) Tenancy in common is an inheritable estate; joint tenancy is characterized by the right of survivorship.

D) Under tenancy in common ownership, each owner has the right to sell, mortgage, or lease her interest without the consent of the other owners; joint tenancy can be implied or created by operation of law.

C) Tenancy in common is an inheritable estate; joint tenancy is characterized by the right of survivorship.

Three women were concurrent owners of a parcel of real estate. When one woman died, her interest, according to her will, became part of her estate. The deceased was a:

A) tenant in common.

B) joint tenant.

C) tenant by the entirety.

D) severalty owner.

A) tenant in common.

A legal arrangement under which the title to real property is held to protect the interests of a beneficiary is a:

A) corporation.

B) limited partnership.

C) general partnership.

D) trust.

D) trust.

Which statement is TRUE regarding a cooperative?

A) Title to the land and building are held by different owners.

B) Unit owners hold real property interests.

C) Maintaining and operating a cooperative is paid for by the corporation from charges assessed to unit owners, generally in the form of monthly fees.

D) Because their proprietary leases are real property, unit owners are exempt from the fees or assessments condominium owners are often required to pay for building maintenance and operation.

C) Maintaining and operating a cooperative is paid for by the corporation from charges assessed to unit owners, generally in the form of monthly fees.

A man purchases an interest in a house. He is entitled to the right of possession only between July 10 and August 4 of each year. Which of these is MOST likely the type of ownership the man purchased?

A) Time-share estate

B) Cooperative

C) Condominium

D) Life estate

A) Time-share estate

Because a corporation is a legal entity, real estate owned by it is owned in:

A) trust.

B) partnership.

C) survivorship tenancy.

D) severalty.

D) severalty.

Which of these is a form of co-ownership?

A) Joint tenancy

B) Severalty

C) Sole owner

D) Tenancy at will

A) Joint tenancy

A married couple owns a mansion with a right of survivorship. Theirs is MOST likely:

A) severalty ownership.

B) community property.

C) an estate by the entirety.

D) a tenancy in common.

C) an estate by the entirety.

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 his heirs. Which of these would explain why the second co-owner acquired the deceased’s interest?

A) Joint tenancy

B) Adverse possession

C) Law of escheat

D) Reversionary interest

A) Joint tenancy

Which of these BEST proves one’s right to live in a cooperative?

A) Tax bill for the individual unit

B) Existence of a reverter clause

C) Proprietary lease

D) Right of first refusal

C) Proprietary lease

Which of these statements applies to both joint tenancy and tenancy by the entirety?

A) There is no right to file a partition suit.

B) The 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.

B) The survivor becomes a severalty owner.

If property is held by two or more owners as tenants with survivorship rights, the interest of a deceased cotenant will be passed to the:

A) surviving owner(s).

B) heirs of the deceased.

C) state under the law of escheat.

D) trust under which the property was owned.

A) surviving owner(s).

Which of the following would NOT require special deed language to create in Illinois?

A) Tenancy in common

B) Life estate pur autre vie

C) Joint tenancy

D) Tenancy by the entireties

A) Tenancy in common

The names of the beneficiaries of a land trust must be revealed by the trustee to:

A) any member of the public who is interested in the beneficiary’s identity. B) any unsecured creditor of the beneficiary.

C) a licensed real estate broker if the broker is assisting in the sale or rental of the entrusted property.

D) any Illinois agency when applying for a license or permit affecting the entrusted real estate.

D) any Illinois agency when applying for a license or permit affecting the entrusted real estate.

Every co-owner of real estate in Illinois has the right to file a suit for partition when the property is held in which of these ways?

A) Joint tenancy or tenancy in common

B) Land trust

C) Condominium or cooperative

D) Time-share use or estate

A) Joint tenancy or tenancy in common

Title to land in Illinois may be held and conveyed in which of these ways?

A) As joint tenants only if the property is owned by a husband and wife as their principal residence

B) As tenants in common with rights of survivorship

C) In the name of a partnership

D) All of these

C) In the name of a partnership

If the deed of conveyance to Illinois land transfers title to two or more co-owners without defining the character of the co-ownership, which of these statements is TRUE?

A) The property is construed as being held in joint tenancy.

B) The co-owners are tenants in common.

C) While proper in some states, such a deed would be an invalid conveyance under Illinois law.

D) By statute, such co-owners would have the right of survivorship.

B) The co-owners are tenants in common.

A and B held title to an apartment building in Illinois as joint tenants with rights of survivorship. A and B had an argument, and A didn’t like the possibility that B would acquire total ownership of the building if A died. Therefore, A executed a deed to himself as a tenant in common and later willed his interest to C. Which of these statements accurately describes A’s action?

A) A’s action is illegal under Illinois law.

B) While not necessarily illegal, A’s action has no effect on the joint tenancy.

C) A’s action legally severs the joint tenancy.

D) A’s goal of severing the joint tenancy can be accomplished only by a partition suit.

C) A’s action legally severs the joint tenancy.

Which of these is necessary to convert an apartment building to condominium ownership in Illinois?

A) The owner must record a certificate stating that the current tenants have been duly surveyed and that a majority of all tenants are in favor of the conversion.

B) The owner records a condominium declaration with a three-dimensional plat.

C) The existing tenants elect a board of directors having the power to act as legal administrator for the property, and the board petitions the state under the Condominium Property Act for certification as a condominium.

D) The owner must execute and record a declaration of condominium under the Uniform Condominium Act as adopted in Illinois.

B) The owner records a condominium declaration with a three-dimensional plat.