GOLD COAST 45 HOUR TEST PAPER QUESTIONS
AND ANSWERS SET A+
✔✔Tenancy for years - ✔✔non freehold estate with lawful possession of the property
under an agreementwith the landlord for a specified period of time.
✔✔Elective share - ✔✔Provides for a surviving spouse to be entitles 30% of thr
decendant's real and personal property owned at the time of death
✔✔Constructive notice - ✔✔is acheived by recording documents in the public records.
Recording a document has the same legal effect as showing it to the entire world.
✔✔Granting clause - ✔✔is the only legally necessary clause required in a deed
✔✔Habendum clause - ✔✔specifies the legal rights being conveyed. The portion of the
bundle of rights being conveyed is described in this clause.
✔✔Quitclaim deed - ✔✔states that any interest they may have in the property is
relinquieshed to the grantee. The grantor does not promise to have any rights in the
property, but rather, any rights he or she may have are being conveyed.
✔✔Eminent domain - ✔✔Allows local, state, or Federal government, railroads, public
utilities, and public housing authorities to obtain ownership to private property.
✔✔Gross lease - ✔✔a lease in which the tenant agrees to pay a fixed rental amountm
and the landlord pays all expenses related to the property such as real estate taxes,
insurance, and maintanance costs.
✔✔Metes and bounds - ✔✔also known as the surveyors method, the oldest method of
land description.
✔✔Township - ✔✔A township is six miles square and contains 36 sq miles
, ✔✔Plat method - ✔✔known as the lot and block, is a method of legal description used
to identify small parcels of property subdivided areas and cities.
✔✔Consideration - ✔✔A promise of future money is an example of a
✔✔Contract - ✔✔created when the offer of one party is accepted, an acceptance of the
offer indicated that a complete meeting of the minds exists.
✔✔statute of frauds - ✔✔enacted in England in 1677 to provide protection against fraud
in the sale of real property. It requires a contract for the transfer of a right or interest in
land to be in writing in order to be enforcable?
✔✔Statute of limitations - ✔✔provides time limits in which parties are allowed to bring
legal action to enforce their rights under a contract.
✔✔Implied contract - ✔✔Exists when some or all of the terms and conditions can be
assumed by the nature of the agreements or the words and actions of the parties
✔✔Void contract - ✔✔A contract that is inherently unenforcable.
✔✔Liquidated damages - ✔✔Is a type of damage with those that are specified and
agreed upon in the contract. (Asks for deposit)
✔✔Unliquidated damages - ✔✔Type of damage that is not specified in the contract, but
are agreed upon by a court. (Compensatory Damages)
✔✔Option contracts - ✔✔Property "layaway"
✔✔lien theory - ✔✔allows a mortgagor(borrower) to retain the title(ownership)during the
loan period
✔✔promissory note - ✔✔When money is borrowed to purchase real estate. the lender
requires this.
✔✔Satisfaction of mortgage - ✔✔when a loan has been paid in full in a lien theory state
✔✔Defeasance clause - ✔✔Provides protection for the borrower as it requires the
lender to acknowledge performance by the borrower
✔✔Escalation clause - ✔✔allows a lender to increase the interest rate based in the
occurance of an event
✔✔Mortgage underwriting - ✔✔to assess the risk of default or collection problems,
lenders evaluate both the applicant and the property before approving a loan
AND ANSWERS SET A+
✔✔Tenancy for years - ✔✔non freehold estate with lawful possession of the property
under an agreementwith the landlord for a specified period of time.
✔✔Elective share - ✔✔Provides for a surviving spouse to be entitles 30% of thr
decendant's real and personal property owned at the time of death
✔✔Constructive notice - ✔✔is acheived by recording documents in the public records.
Recording a document has the same legal effect as showing it to the entire world.
✔✔Granting clause - ✔✔is the only legally necessary clause required in a deed
✔✔Habendum clause - ✔✔specifies the legal rights being conveyed. The portion of the
bundle of rights being conveyed is described in this clause.
✔✔Quitclaim deed - ✔✔states that any interest they may have in the property is
relinquieshed to the grantee. The grantor does not promise to have any rights in the
property, but rather, any rights he or she may have are being conveyed.
✔✔Eminent domain - ✔✔Allows local, state, or Federal government, railroads, public
utilities, and public housing authorities to obtain ownership to private property.
✔✔Gross lease - ✔✔a lease in which the tenant agrees to pay a fixed rental amountm
and the landlord pays all expenses related to the property such as real estate taxes,
insurance, and maintanance costs.
✔✔Metes and bounds - ✔✔also known as the surveyors method, the oldest method of
land description.
✔✔Township - ✔✔A township is six miles square and contains 36 sq miles
, ✔✔Plat method - ✔✔known as the lot and block, is a method of legal description used
to identify small parcels of property subdivided areas and cities.
✔✔Consideration - ✔✔A promise of future money is an example of a
✔✔Contract - ✔✔created when the offer of one party is accepted, an acceptance of the
offer indicated that a complete meeting of the minds exists.
✔✔statute of frauds - ✔✔enacted in England in 1677 to provide protection against fraud
in the sale of real property. It requires a contract for the transfer of a right or interest in
land to be in writing in order to be enforcable?
✔✔Statute of limitations - ✔✔provides time limits in which parties are allowed to bring
legal action to enforce their rights under a contract.
✔✔Implied contract - ✔✔Exists when some or all of the terms and conditions can be
assumed by the nature of the agreements or the words and actions of the parties
✔✔Void contract - ✔✔A contract that is inherently unenforcable.
✔✔Liquidated damages - ✔✔Is a type of damage with those that are specified and
agreed upon in the contract. (Asks for deposit)
✔✔Unliquidated damages - ✔✔Type of damage that is not specified in the contract, but
are agreed upon by a court. (Compensatory Damages)
✔✔Option contracts - ✔✔Property "layaway"
✔✔lien theory - ✔✔allows a mortgagor(borrower) to retain the title(ownership)during the
loan period
✔✔promissory note - ✔✔When money is borrowed to purchase real estate. the lender
requires this.
✔✔Satisfaction of mortgage - ✔✔when a loan has been paid in full in a lien theory state
✔✔Defeasance clause - ✔✔Provides protection for the borrower as it requires the
lender to acknowledge performance by the borrower
✔✔Escalation clause - ✔✔allows a lender to increase the interest rate based in the
occurance of an event
✔✔Mortgage underwriting - ✔✔to assess the risk of default or collection problems,
lenders evaluate both the applicant and the property before approving a loan
