Principles of Real Estate Ch. 12 (Quiz 12)

It is illegal to screen and eliminate potential tenants based on:

1) Income levels

2) Credit rating

3) Past delinquent rental history

4) Martial status

4) Martial status

A lease in which the lessee is required to pay the property taxes, insurance, and maintenance is known as a:

1) Gross lease

2) Triple net lease

3) Percentage lease

4) Ground lease

2) Triple net lease

Lessor A leases to Lessee B, who legally subleases to Sublessee C. Which of the following is correct?

1) Lessor A looks to Lessee B for payment.

2) Lessor A looks to Sublessee C for payment.

3) Lessee B does not have a contract with Sublessee C.

4) There is only one contract in this transaction.

1) Lessor A looks to Lessee B for payment.

The 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:

1) 3-day notice

2) 30-day notice

3) 60-day notice

4) The tenant cannot be forced to move

4) The tenant cannot be forced to move

Most month-to-month rental agreements can be classified as an:

1) Estate for years

2) Estate from period to period

3) Estate at will

4) Estate at sufferance

2) Estate from period to period

A lease on agricultural land cannot exceed:

1) 15 years

2) 37 years

3) 51 years

4) 99 years

3) 51 years

The legal action in court to remove a tenant is called:

1) Unlawful tenancy

2) Unlawful occupancy

3) Unlawful detainer

4) Unlawful possession

3) Unlawful detainer

Implied right of habitability means the:

1) Landlord guarantees the residential unit meets housing codes.

2) Tenant agrees to maintain the residential unit.

3) Government is responsible for the tenant's safety.

4) Lender insists the property meets housing standards.

1) Landlord guarantees the residential unit meets housing codes.

The maximum security deposit for an unfurnished apartment is:

1) One months’ rent

2) Two months’ rent

3) Three months’ rent

4) Four months’ rent

2) Two months’ rent

An onsite property manager:

1) Must be a broker

2) Must be certified

3) Must be licensed

4) None of the above

1) Must be a broker

Regarding rent control

1) It is a controversial topic.

2) Promotes higher yields on investments.

3) Encourages new construction of new units.

4) Solves housing problems.

1) It is a controversial topic.

If an owner deeds a property encumbered by an existing lease, the new owner is best described as the:

1) Grantor-lease

2) Grantee-lessee

3) Grantor-lessor

4) Grantee-lessor

4) Grantee-lessor

A landlord signs a lease and the lessee takes possession but never signs the lease. Under the circumstances, the lease is:

1) Valid

2) Void

3) Voidable

4) Illegal

1) Valid

Quite often a retail store owner will contract to pay rent under a percentage lease. This means the rent is based on:

1) Net receipts plus a base rental fee.

2) Gross receipts with an established base rent.

3) Net receipts with an established maximum.

4) A fixed amount for entire lease.

2) Gross receipts with an established base rent.

If no agreement exists between the tenant and landlord and the tenant is in possession, this might be best described as a:

1) Estate for years

2) Periodic tenancy

3) Estate at will

4) Estate at sufferance

3) Estate at will

An estate for years (tenancy for a fixed term) is for what period of time?

1) A year

2) A week

3) AD

4) All of above

4) All of above

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?

1) 20 or more units

2) 18 or more units

3) 16 or more units

4) 14 or more units

3) 16 or more units

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 tenant's 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:

1) Cannot refuse to pay because the rent was due January 1 and the owner did not die until January 2.

2) Cannot refuse to pay because the tenant had previously recognized the agent and paid rent for prior months.

3) Cannot refuse to pay because the agent's authority continues until an administrator or executor is appointed.

4) Under the circumstances, the tenant was right not to pay.

4) Under the circumstances, the tenant was right not to pay.

When a valid lease is assigned, the assignee receives the entire leasehold interest and becomes:

1) An assignor

2) A tenant

3) A landlord

4) A sublessor

2) A tenant

A lease is to a lessee as:

1) Assignment agreement is to affient.

2) Trust deed is to trustee.

3) Agreement of sale is to equitable owner.

4) Fee simple estate is to executor.

3) Agreement of sale is to equitable owner.

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:

1) Not valid for lack of writing.

2) Binding although oral.

3) Invalid because it was only for 6 months.

4) Binding because it was a one-family residence.

2) Binding although oral.

Ms. Estes owned a fee simple estate and leased it to Mr. Eaton for six years. Ms. Estes has:

1) A remainder interest

2) A fee simple estate

3) An estate in joint tenancy

4) A less-than-freehold estate

2) A fee simple estate

Under the rental offset rules, which of the following is true? The tenant can do housing code repairs up to:

1) One month's rent, once per year.

2) Two months' rent, twice per year.

3) One month's rent, twice per 12-month period.

4) One month's rent, twice per year.

3) One month's rent, twice per 12-month period.

Under a three-year lease that has expired, if the tenant remains in possession and the owner excepts rent payments, the lease:

1) Is renewed for three years

2) Is canceled

3) Becomes a month-to-month tenancy.

4) Is renewed for one year

3) Becomes a month-to-month tenancy.

Which is not an obligation of the tenant:

1) To pay rent

2) To not interfere with other tenants

3) To give a 60 day notice before vacating on a month to month tenancy.

4) Not to damage the premises

3) To give a 60 day notice before vacating on a month to month tenancy.

Specific laws in the State of California make it illegal to screen and eliminate potential tenants for a rental unit based on:

1) Religion, sex, or age

2) Race, color, or creed

3) Physical handicap or martial status

4) All of the above

4) All of the above

The initials CPM stand for:

1) Certificate of Public Management.

2) Certificate of Practical Management.

3) Certified Property Manager.

4) Certified Practical Manager.

3) Certified Property Manager.

Which of the following types of leaseholds is no longer used in the State of California?

1) Periodic tenancy

2) Tenancy at will

3) Tenancy for years

4) Tenancy for sufferance

2) Tenancy at will

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:

1) Estate at will

2) Estate at sufferance

3) Estate from. Two.

4) Estate for years

4) Estate for years

A professional property manager:

1) Is required to have a real estate license.

2) Must reside on the premises.

3) Is typically a salaried employee of the property owner.

4) All charge the same amount for their services.

3) Is typically a salaried employee of the property owner.