You can shorten the time of continuous use for Adverse possession in Arizona from 10years to 3years by doing what?

• Openly displaying continuous and actual use.
• Filling a motion to quiet title
• Using the property full time.
• Paying the taxes.

An easement is what type of encumbrance?

• Voluntary
• Involuntary
• Voluntary or Involuntary
• Beneficial to all

Which of the following would most likely hinder the transfer of clean title to a property in a community?

• HOA CCR's
• Utility company easement
• Cities special assessments
• A homeowners back tax lien

A homeowner who resides on the banks of the Apache Wash Basin in North Phoenix suffers catastrophic damage to their home due to flooding from the 100 year floods in 2018. They would be covered if they had flood insurance which is backed by which government agency?

• FEMA
• HUD
• PMI
• Fannie Mae

By properly signing a (an) ____, a spouse is legally separating themselves from a community property asset.

• Disclaimer Deed
• Non-Interest Deed
• Community Property Waiver Agreement
• Quiet Release

True or False

Rights go on Forever

A married but legally separated couple live in Arizona. The husband lists their summer home for sale in the mountains of Pinetop and receives a very attractive offer which he accepts. What type of contract is this considered?

• Valid and the Husband must sell.
• Voidable by either party.
• Legal and common.
• Void as mutual consent wasn't granted.

Upon the finalization of the divorce, a single woman on her own purchases a new condo in a high rise complex. The ownership would probably be recorded as "an unmarried woman taking title ____"

• Community Property
• In Severalty
• Single Tenancy
• Tenancy in Common

A neighbors trees are hanging over the fence line in the backyard. The offended homeowner has complained to the HOA but they can't help as this is not an HOA issue. The HOA referred the owner to file a complaint against the neighbor due to what action?

• Involuntary Alienation
• Agreement Violation
• CC&R Violation
• Encroachment

An escrow agent would do all of the following except which ones? (2)

• Settle the transaction
• Interpret the contracts
• Collect the contracts and addendums
• Negotiate fee's on behalf of the clients
• Act as an intermediary between parties.

Interpret the contracts

&

Negotiate fee's on behalf of the clients

Which document would be used to assist the county assessor in determining property values?

• County Assessment Valuation Document
• TRID Settlement Statement
• Assumption of Value
• Affidavit of Value

HOA's may not be able to enforce the illegal paint color change on a property that was sold 2 years ago due to what?

• Latches
• Fault
• Languish
• Statute of Limitations

In the State of Arizona, in order to sell land and attached manufactured homes, you must have:

• A mobile home sales license
• A valid and active real estate license
• Only the manufacturer can sell manufactured homes
• A valid and active dealer's license

A lumber yard didn't get paid from the framing contractor who was hired by the General Contractor. They have how long to file a lien on the property where the material was used?

• They can't file a lien as a supplier of materials used on a job
• 90days from when the material was dropped
• 90days from the date the work started
• 90days after the invoice was first sent

Property taxes, mechanics lien, mortgage lien; which comes first?

• None, IRS liens come first
• Mechanics Lien
• Mortgage Lien
• Property Taxes

Private Mortgage Insurance:

• Protects the seller in case of judgements that arise after the sale
• Protects the buyer from future losses in equity due to market fluctuations
• Protects the Brokers from being sued after the transaction closes
• Protects the lender against borrower default.

Governments can levy liens against a deceased person's estate. These are:

• Voluntary
• Creditor Liens
• Statutory
• Recorded at time of death

All of the following are required to satisfy adverse possession except:

• Exclusive
• Hostile
• Continuous
• Inheritable

Choose the correct statements that have to do with Joint Tenancy. (2)

• Rights of ownership is necessary for a Joint Tenancy
• Corporations, LLC's and entities can take title as joint tenants
• Four items are required; possession, interest, title, time
• Known as a "rich mans will"

Rights of ownership is necessary for a joint tenancy.

&

Four items are required; possession, interest, title, time

Which of the following would most likely not be considered a cloud in a property title?

• IRS liens
• Title transfer from an LLC to an individual
• Missing ownership history
• A recorded personal easement in gross

All of the following except which one are ways to convey title?

• Action
• Will
• Involuntary
• Voluntary

Which of the following would NOT be a way to end an easement?

• Agreed upon release
• Non-Use
• Additional parties using the easement
• Destruction

It's possible to split off or transfer:

• Subservient Easements
• Gas Rights
• Mechanics Liens
• Leasehold Options

CC&R violations discovered by an escrow company would be a/an:

• Encumbrance
• Choice2
• General Lien
• Voluntary Cloud on Title

Which of the following most accurately describes the Title in real estate?

• The direct proof of ownership
• A document used to show liens on a property
• What rights one has with the property
• Evidence that the seller has the capacity to negotiate the sale

The city and state have been provided the power to encumber your property by taxing the owner of each parcel of land. Even the smallest parcel of land is taxed. What type of encumbrance is this?

• Specific and Voluntary
• Specific and Involuntary
• Specific, Voluntary and Statutory
• General, Involuntary and Statutory

A seller paid her property taxes upfront for the year. In late September of that same year she sold her property. The seller is entitled to a ____ for roughly ____months.

• Debit, 3 months
• Credit, 3 months
• Debit, 9 months
• Credit, 9 months

Owners of Condo Units have what type of rights?

• HOA Voting Rights
• Board Leadership Rights
• Fee Simple Determinable Rights
• Air Rights

Which of the following would not be considered part of the land?

• Gold
• Cotton
• Title
• Minerals

By agreeing to take out a Home Equity Line of Credit (HELOC) on their home, the owners allowed the lender to place what on their title?

• A recorded promissory note
• A due on sale clause
• A voluntary specific lien
• A copy of the lien release due date

Which of these is NOT a common leasing definition:

• Positive Leasehold
• Economic Liabilities
• Negative Leasehold
• Leaseback

This type of lease would have one set fee per month and then a percentage of the sales paid to the landlord in addition:

• Net Lease
• Ground Lease
• Triple Net Lease
• Percentage Lease

What would make a lease invalid?

• Both lessor and lessee have signed the lease
• Duration of the lease was agreed to and signed on by both parties
• Address or description is missing in lease agreement.
• A verbal agreement to rent for only five month period.

All of the following except which one are types of Short Term Leases?

• Exploration Leases
• Verbal Leases
• Seasonal Leases
• Ground Leases

A real property owner who extend some of their rights in their property to someone else for a predefined amount of time could be considered a:

• Grantor
• Leasee
• Lessor
• Grantee

For a landlord or building owners, a Net Lease would most likely be a preferred type of leasing over a gross lease in which type of property?

• Residential Rentals
• Rental space located in a Strip Mall
• Leases less than one year
• Sub Lease

Shortly after 11pm the police are called to a private residence responding to a trespassing call. The police arrive to find multiple people on the property and there seems to be some sort of disagreement. They question who is who and find out that the occupants in possession of the property do have the rights to be there as is evidenced by a signed mutually accepted:

• Deed
• Joint Tenancy Agreement
• Lease
• Title

In the State of Arizona, leases are recognized as being a form of a contract. Which of the following is not required for a lease to be considered valid?

• Parties of Legal Age
• Signed by all parties
• Competent Parties
• Start date and end date

Choose the correct statements about record keeping and rental agreements. (3)

• Must keep accurate records for all owners
• Must be in an orderly and easily accessible system
• Rental agreements must be kept for 1year from expiration
• Financial records must be kept for 5 years from expiration.

Must keep accurate records for all owners

Must be in an orderly and easily accessible system

Rental agreements must be kept for 1year from expiration

The landlord of an apartment just signed a lease for a period of 12 months at a rate of $1400 per month. The maximum amount that the landlord can collect in the form of security deposits is?

• $1400
• $2100
• $2800
• $1000

A property manager is responsible for all of the following except?

• Running credit checks on prospective tenants
• Collecting Rents
• Paying referrals to anyone who brings in new tenants
• Aiding in overall maintenance of units

A Broker has a staff of 6 property managers and 2 assistants. One of her managers just signed a lease for 15 years on a commercial space in Downtown Flagstaff to Northern Arizona University that expires on December 31, 2034. How long must she keep all copies of that lease on file in the State of AZ?

• Till the end of 2035
• One year after the lease was written
• Till the end of 2034
• The date that the lease expires

Snobby Bobby has rented out his store front to Sun Ski and Sky LLC and is charging a base rent of $2500/month and an additional rent in the amount of 3% of gross sales. Over 3 months, Sun Ski and Sky LLC had gross sales of $66,000. What was the total of the rent paid to Snobby Bobby?

• $7500
• $7500 + 1950
• $9,480
• $8,480

True or False:

The most common type of contract is completion whereby only one of the parties have performed their obligations.

Which of these is NOT a valid reason a contract was unable to be completed?

• Legal Cause
• Inability to Perform
• Full Performance
• Partial Performance

In a contract assignment, which party is legally obligated to fulfill the original terms of the contract?

• Owner
• Assignor
• Designee
• Assignee

Two sibilings are under contract to buy a house together. The brother no longer wants to proceed with the purchase but the sister does, however she cannot afford it on her own. What clause could allow the sister to replace her brother's position on the contract with her husband for identical terms while releasing her brother from the obligations?

• Sub-lease
• Buyer substitution
• Election
• Novation

Damages awarded in excess of simple compensation, designed to punish the defendant, are known as?

• Compensatory Damages
• Punitive Damages
• Liquidated Damages
• Preventive Damages

In the event of a contractual breach, the injured party could pursue what action?

• Suit for Performance
• Limited Damages Action
• Broker Damages Settlement
• Assignment of Duty

Which of the following would be generally a correct statement?

• While in escrow a buyer can void a contract
• The closing of escrow and recording of the deed deems an executed contract
• Earnest money is always returned to the buyer if there is a breach of contract
• Executory contracts are unenforceable

What methods can be used to settle disputes in real estate contracts?

• Dispute Disagreement
• Mediation and Arbitration
• Negotiation Clause
• Agency Agreements Clause

In a state where Trust Deeds are used, who has the right to sell the property in case of foreclosure action taken?

• Original Lender
• Trustee
• Beneficiary
• Grantor

In which type of state does a borrower have equitable title?

• Lien theory
• Title theory
• Community property
• Service Theory

At what point does the legal title transfer to the buyer in a Land Contract?

• At time of sale
• Once the loan is paid back in full
• At the recordation of the contract
• At the recordation of the Notice of Reinstatement

If a Vendee has $144,000 in equity on a house that is valued at $190,000 where the seller is financing the buyer under a contract for deed, how many days does he/she have for redemption before the seller can foreclose?

• 270
• 180
• 120
• 90

Central Bank has legal title to an owner's property. The owner of the property borrowed money in the form of a mortgage. In this case, who has the Legal Title?

• Lender
• Trustee
• Beneficiary
• Owner