M100 exam 2024 with 100% complete solutions

Community Association correct answersa legal entity in which the owners enjoy the PROTECTION, ENHANCEMENT, MAINTENANCE and PRESERVATION of their homes and property. 3 Defining Characteristics of a Community Association correct answers1. Membership in the community is MANDATORY and automatic for all owners. 2. Certain association governing documents bind the owners and the association to each other through mandated actions. 3. Mandatory lien-based assessments (maintenance fees) are levied on each owner in order to operate and maintain the community association. Lien correct answersa legal claim by one party (community association) on the property of another (delinquent owner) to obtain the payment of a debt or the satisfaction of an obligation. Placing a lien on an owner's property protects the community association's interest. It encourages payment of the debt. Purpose of a Community Association correct answersto provide for the COMMUNITY, BUSINESS, and GOVERNANCE aspects of the association. This is achieved by administering, maintaining and enhancing a residential real estate development, and through the establishment of a system of property rights, binding covenants and restrictions, and rules and regulations. 3 Basic Types of Community Associations correct answers1. Planned Community - An owner owns his lot/unit and the community owns common areas. 2. Condominium - Individual owns his living unit and owns an undivided interest in the common elements. 3. Cooperative or Stock Cooperative - Individual owns stock or membership in the cooperative and owns a proprietary lease or occupancy agreement for his living unit. A proprietary lease or occupancy agreement defines the member or stockholder's rights and obligations in relation to the living unit. For most cooperatives, the community association owns all of the real estate as a not-for profit corporation.