Real Estate Montana -Exam With Well Detailed
Question & Answers Perfectly A+ Graded Newest
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personal property that, by its attachment to real property, is regarded as real estate is called
ANSWER>>>>-a fixture
An object that is affixed to commercial property and used to generate income is called a
ANSWER>>>>-trade fixture
real property given in a will is referred to as a ANSWER>>>>-devise
Joe and Kathy want to purchase a home in a neighborhood where they are familiar with the
school system, and know the teachers in the public school that their son will attend. Their
interest in this type of property is called ANSWER>>>>-area preference
Real estate is considered to be immobile and indestructible. Another physical characteristic of
all real estate parcels is that they ANSWER>>>>-are unique because no two parcels area
is the same
1
,What is the main purpose of police power ANSWER>>>>-To protect the health, safety,
and welfare of the community.
Harry purchased a 3 acre parcel in the Big Rive County. One day when he was walking his
property, he discovered a gigantic oil deposit. Does Harry own the oil rights
ANSWER>>>>-Yes, unless his purchase of the property did not include the oil rights
Jack and Mona own a 10 acre parcel of property. Paul runs a rock quarry on 4 acres of the
property, from which he excavates and sells stone in all shapes and sizes. Paul keeps all profits
from the sale of the stone, and pays Jack and Mona an annual fee for the use of the land to get
the equipment and trucks to the quarry. With this arrangement, which is the likely scenario
ANSWER>>>>-Jack and Mona own the land, and Paul owns the mineral rights
Many states determine the order of water rights by a "first-in-time-first-in-right" theory. The
person or entity who requests use of the water source first is granted water rights to the source.
This theory is called ANSWER>>>>-the doctrine of prior appropriation
Billy Big Mouth inherits a home from his wealthy uncle, and decides to host a party and provide
all guests over the age of 21 with free booze. Eventually, the partiers get out of control, and the
loud music disturbs the neighbors. When the police arrive to tell Billy to turn the music down,
and keep his guests under control, Billy asserts that the property belongs to him, and he has the
right to enjoy the property in whatever way he chooses. He further asserts that since he enjoys
loud music and boisterous guests, he is simply exercising his right of enjoyment. Why is Billy
incorrect in his assertion? ANSWER>>>>-The bundle of rights for property ownership
does not include the right to disturb neighbors
A home is burning, with smoke billowing from the windows. The fire department arrives to
manage the fire and put it out, and the property owner stands in the driveway and prohibits the
fire fighters from entering the property. Is the property owner within his rights?
ANSWER>>>>-No, because the right of exclusion is subject to the health and safety of the
community
2
, Helga and Ron Slobbe own a salvage business. In an effort to save money on the lease of
industrial property to run their salvage yard, they move their salvage business to their home,
and set up a salvage yard in their front yard. Neighbors complain about the mess in the front
yard, and the city threatens to evict the Slobbes from their home, clean up the yard; and force
them to reimburse the city for the cost of the cleanup as a condition of moving back into the
home. Can the city do this? ANSWER>>>>-Yes, because the Slobbes property right of
possession is subject to the rules established by the city zoning laws
If a person has complete control over their property, and the ownership in the property is not
defeasible, what interest does the person have in the property? ANSWER>>>>-fee
simple estate
Patricia held fee simple title to a vacant lot adjacent to Mt. Olive Church. She wanted to donate
the lot to Mt. Olive, and her attorney prepared a deed conveying all rights of the vacant lot to
the church "...so long as the lot is used for church-related purposes." After the completion of
the gift, the church will own a ANSWER>>>>-determinable fee estate
Typically, owners of property in a residential subdivision take title subject to certain covenants,
conditions, and restrictions (CC&Rs). Since ownership of the property is conditional upon the
owner obeying these conditions, the estate held is a defeasible fee with a condition subsequent.
Is this type of estate automatically terminated if the property does not comply with the CC&Rs?
ANSWER>>>>-No, the right of reentry is not automatic, it must be granted by a court.
A covenant that becomes part of the property rights and binds successive property owners is a
covenant that ANSWER>>>>-runs with the land
Gabe was the owner of parcel A. By a deed dated February 12, Gabe conveyed parcel A "to
Nephew for the term of his life; and upon Nephew's death, to Charitable Organization #2. In this
scenario, Charitable Organization #2 has what kind of future interest in parcel A?
ANSWER>>>>-Charitable organization #2 has a valid remainder interest in Parcel A
3
Question & Answers Perfectly A+ Graded Newest
Updated Versions
personal property that, by its attachment to real property, is regarded as real estate is called
ANSWER>>>>-a fixture
An object that is affixed to commercial property and used to generate income is called a
ANSWER>>>>-trade fixture
real property given in a will is referred to as a ANSWER>>>>-devise
Joe and Kathy want to purchase a home in a neighborhood where they are familiar with the
school system, and know the teachers in the public school that their son will attend. Their
interest in this type of property is called ANSWER>>>>-area preference
Real estate is considered to be immobile and indestructible. Another physical characteristic of
all real estate parcels is that they ANSWER>>>>-are unique because no two parcels area
is the same
1
,What is the main purpose of police power ANSWER>>>>-To protect the health, safety,
and welfare of the community.
Harry purchased a 3 acre parcel in the Big Rive County. One day when he was walking his
property, he discovered a gigantic oil deposit. Does Harry own the oil rights
ANSWER>>>>-Yes, unless his purchase of the property did not include the oil rights
Jack and Mona own a 10 acre parcel of property. Paul runs a rock quarry on 4 acres of the
property, from which he excavates and sells stone in all shapes and sizes. Paul keeps all profits
from the sale of the stone, and pays Jack and Mona an annual fee for the use of the land to get
the equipment and trucks to the quarry. With this arrangement, which is the likely scenario
ANSWER>>>>-Jack and Mona own the land, and Paul owns the mineral rights
Many states determine the order of water rights by a "first-in-time-first-in-right" theory. The
person or entity who requests use of the water source first is granted water rights to the source.
This theory is called ANSWER>>>>-the doctrine of prior appropriation
Billy Big Mouth inherits a home from his wealthy uncle, and decides to host a party and provide
all guests over the age of 21 with free booze. Eventually, the partiers get out of control, and the
loud music disturbs the neighbors. When the police arrive to tell Billy to turn the music down,
and keep his guests under control, Billy asserts that the property belongs to him, and he has the
right to enjoy the property in whatever way he chooses. He further asserts that since he enjoys
loud music and boisterous guests, he is simply exercising his right of enjoyment. Why is Billy
incorrect in his assertion? ANSWER>>>>-The bundle of rights for property ownership
does not include the right to disturb neighbors
A home is burning, with smoke billowing from the windows. The fire department arrives to
manage the fire and put it out, and the property owner stands in the driveway and prohibits the
fire fighters from entering the property. Is the property owner within his rights?
ANSWER>>>>-No, because the right of exclusion is subject to the health and safety of the
community
2
, Helga and Ron Slobbe own a salvage business. In an effort to save money on the lease of
industrial property to run their salvage yard, they move their salvage business to their home,
and set up a salvage yard in their front yard. Neighbors complain about the mess in the front
yard, and the city threatens to evict the Slobbes from their home, clean up the yard; and force
them to reimburse the city for the cost of the cleanup as a condition of moving back into the
home. Can the city do this? ANSWER>>>>-Yes, because the Slobbes property right of
possession is subject to the rules established by the city zoning laws
If a person has complete control over their property, and the ownership in the property is not
defeasible, what interest does the person have in the property? ANSWER>>>>-fee
simple estate
Patricia held fee simple title to a vacant lot adjacent to Mt. Olive Church. She wanted to donate
the lot to Mt. Olive, and her attorney prepared a deed conveying all rights of the vacant lot to
the church "...so long as the lot is used for church-related purposes." After the completion of
the gift, the church will own a ANSWER>>>>-determinable fee estate
Typically, owners of property in a residential subdivision take title subject to certain covenants,
conditions, and restrictions (CC&Rs). Since ownership of the property is conditional upon the
owner obeying these conditions, the estate held is a defeasible fee with a condition subsequent.
Is this type of estate automatically terminated if the property does not comply with the CC&Rs?
ANSWER>>>>-No, the right of reentry is not automatic, it must be granted by a court.
A covenant that becomes part of the property rights and binds successive property owners is a
covenant that ANSWER>>>>-runs with the land
Gabe was the owner of parcel A. By a deed dated February 12, Gabe conveyed parcel A "to
Nephew for the term of his life; and upon Nephew's death, to Charitable Organization #2. In this
scenario, Charitable Organization #2 has what kind of future interest in parcel A?
ANSWER>>>>-Charitable organization #2 has a valid remainder interest in Parcel A
3
