Which party in a transaction can claim a loss as a result in a title defect?

• Listing Brokers
• Grantor
• Grantee
• Lessor

 A non-court ordered easement by prescription must be _____, _____ and _____ to be legally recognized.

• Legal, allowed, and recognized
• Open, Official, and recognized
• Visible, Open, and Notorious
• Visible, Recorded, and Acknowledged

What are the limits for Arizona Homestead as of January 1, 2022?

• The first $250,000 of equity is protected in a primary residence.
• The first $250,000 of equity is protected for an individual
• The first $500,000 of equity is protected for a couple
• The first $150,000 of equity is protected for a couple who share a primary residence

There are a total of 5 legal rights, which of these is NOT one of them?

• Disposition
• Exclusion
• Purchasing
• Control

When buying a property jointly, two individuals who are not married would most likely take title to a property how?

• Tenants in Law
• Equal Tenants
• Tenants in Common
• Joint Ownership with Rights of Disposal

Which of the following is a voluntary lien?

• Mechanics Lien
• Common Lien
• Mortgage
• Income Tax Lien

An HOA can foreclose for failure to pay dues or assessments but the minimum owed must be at least how much?

• $1200
• $900
• $500
• $280

Which of these is NOT one of the methods in the MARIA test?

• Method of attachment
• Intent
• Agility
• Agreement

In most cases, the original deed or title is passed down from which of the following parties? (2)

• Founders of the Homestead
• State
• Original Owners
• Government Agency

State

&

Government Agency

Vacation Ownership differs from a Timeshare how?

• Vacation Ownership is a license to use
• Vacation Ownership is illegal in the state of Arizona
• Vacation Ownership can not be banked or traded

It is this parties duty to bring the funds in escrow:

• Buyer
• Seller
• Escrow Agent

The CLUE report provided by the seller would identify what type of defects?

• Title errors and Omissions
• Liens from a previous lender
• Previous Claims made to Insurance
• Improperly transfer of title

True or False

Timeshares can never be sold as real property.

What legal term would be used to transfer your estate to somebody else upon your death and would be found in a will?

• Demise
• Devise
• Control
• Inchoate

What is not a sellers duty in escrow?

• Disclose mortgages or known liens
• Provide financing options to the buyer
• Complete owners declaration and sellers information sheet.

True or False

Single Family Residences are the most common form of property.

By failing to maintain the property, the property value declined sharply due to what?

• Tenant Control
• Free condition subsequent
• Waste
• Poor tenancy

True or False

An owner of real property can give away their rights to others.

A buyer moves into their new home then are served by papers to pay a lien from a previous contractor that worked on the house 2 years ago. What should the owner do?

• Pay the lien immediately
• File a delay of action in court
• Refer this to their title insurance policy
• Arbitrate through the Board of Contractors in Arizona

In a condo complex where there are only 24 total units in Arizona, which party in the transaction would be responsible for the delivery of all of the communities CCR's and HOA documents to the buyer?

• The current owner
• The escrow company
• The HOA board
• The current management company

Which of the following is not a possible cloud on title?

• Unrecorded easements
• Unsettled mechanics liens
• Gaps in ownership
• IRS tax lien

The highest and most desirable type of property ownership is:

• Common Estate
• None
• Grantors Estate
• Fee Simple Absolute

An Escrow Agents duties include all of the following except:

• Collecting loan documents
• Acting as a notary for buyer and seller
• Negotiating closing costs
• Preparing settlement statements

What recourse does an HOA board have against homeowners who do not pay their assessments?

• Placing a judgment against a persons personal property
• Placing a lien on the property
• Placing a notice of intent to remand notice on title
• Placing an adverse possession notice on title

To serve on the board of the HOA in Arizona, one must:

• Be an attorney or have legal knowledge
• Reside in the community
• Own real property

Which of the following estates have a limitation placed upon it?

• Indefeasible
• Fee simple abject
• Fee simple qualified
• Fee simple

During a bitter legal battle over property line disputes, a neighbor serves papers on the owner of the property in dispute. This is known as:

• Construed to Act
• Being provided Actual Notice
• Conveyance of Suit
• Being Induced to act

When the IRS is owed money and takes it from personal property, this is referred to as a:

• Impound
• Repossession
• Collection
• Levy

The duties of ADRE include all of the following except:

• Cemeteries
• New Home Plottage
• Subdivisions
• New Condominium Communities

Who does the day of closing belong to in a real estate transaction?

• Seller
• Buyer
• Grantee
• Agent

Laws of Decent would be applied when determining what?

• Who would claim ownership after the death of the legally recognized owners.
• Possession Rights
• Ownership rights if more than one owner in a property
• What must be agreed upon when taking title as Joint Tenancy

What is the purpose of an Impound Account?

• Hold commissions on behalf of agents
• To hold the buyers Earnest Money
• Seller deposits keys for escrow to hold onto until transfer of ownership.
• To collect upfront money used to pay buyers taxes and insurance.

A married couple decide to build a home in Arizona as their primary residence. 3 years after living in that home, the wife inherits another house from her parents who recently deceased. This becomes community property in AZ:

• Automatically as it is community property
• Never as the husband has no legal claim to it.
• Once they move into it together
• Once the husband files a joint tenancy deed with the county

When in Arizona does the ownership transfer to the new buyer?

• When the deed is recorded
• When the escrow agent has proof of funds
• When the deed is delivered to the buyer

During escrow, the buyers main obligation is:

• To obtain homeowners insurance
• To provide funds to purchase
• To investigate title defects
• To close on the escrow as per contract

Subdivision Disclosure Report

Commissioner's Public Report

Public Report

The idea behind Planned Unit Developments is:

• Ensuring conforming designs
• Ensuring identical zoning
• Enhancing overall well being in the community
• Mixing different types of residential properties

Several unrelated business associates want to acquire a commercial building and lease out the property to a new tech start up company that is looking for space in the area. These business partners agree that by forming a LLC together they could use that LLC to buy and take title to the building. Which method of holding title would this LLC be forced to take? 

• Joint Tenants w/ Rights of Survivorship
• Community Property w/ Rights of Survivorship
• Severalty
• Tenants in Common

A REIT must pay out how much of it's income in the form of dividends?

• 75
• 50
• 90
• 100

Which of the following would be a possible reason as to why it is hard to finance a co-op property?

• The co-op is managed by a board who has control which make them hard to lease
• Co-op's are rare which make them difficult to finance
• Co-op's are owned in severalty making it difficult to finance
• There is not a deed but an owners lease which makes it difficult to finance

What are some of the obligations of the tenant? (3)

• Adhere to building and safety codes
• Pay rent on time as outlined in the lease
• Free to disturb neighbors peaceful enjoyment
• Make all and any necessary repairs

Adhere to building and safety codes

Pay rent on time as outlined in the lease

Make all and any necessary repairs

True or False

Tenants can be held liable if the property is deemed unsafe/unhealthy.

In which of the following cases could a tenant located in Arizona legally break their lease and are due back all of their deposits?

• Job Transfer
• Work Related Injury
• Diagnosed with a terminal illness
• Victim of domestic abuse

What constitutes a property as a slum in Arizona?

• Leaking window
• Lack of drinking water
• A property with insufficient or non-functioning air conditioning
• Door that won't shut and lock properly

The Smart Family moved into a rental house on March 5th after signing a lease for 1year. On July 13th, the landlord was served with a notice of foreclosure. In Arizona, when is the last day that the landlord must notify the Smart Family?

• July 16
• July 18
• July 31
• June 1

Which of the following could be used to describe the state of a contract? (3)

• Valid
• Void
• Invoilable
• Unenforceable

Valid

Void

Unenforceable

When all parties act fairly with the intent to complete the agreement, they are acting within a?

• Accord and Satisfaction
• Reasonable Stipulation
• Good Faith
• Assumed intentions

A voidable contract that is never rescinded is considered to be?

• Unenforceable
• Valid
• Null and Void
• Limited

A broker verbally agreed to list a neighbor's house for sale and put the house in the local MLS and promised to get the agreements to the sellers soon. What is the status of this listing?

Void

Valid

Enforceable

Rescinded

An owner of a condo while at a community function agrees to sell their unit to someone who is currently renting in the same complex. The buyer and seller agreed on all the terms, including the price. This is an example of a(n)?

• Undeniable Contract
• Unilateral Contract
• Executed Contract
• Express Contract

Unilateral contract requires?

• A written contract
• One party to perform
• Two parties to perform
• Two parties to perform the same task

What is a buyer exercising when they decide to buy a property that they were not required to buy but the seller was obligated to sell?

• First right of refusal
• An option
• An amendment
• A contingency

A buyer must sell their home before purchasing your seller's home. What could an agent use to protect the buyer in case their house doesn't sell?

• A seller contingency
• A buyer contingency
• A boilerplate
• An option

Buyer and Seller mutually agree to change an existing clause in their signed purchase agreement using a ...

• New purchase agreement
• Addendum
• Transcript
• Contingency Clause

Before the seller had a chance to review the offer, your buyer found a better home and removed their original offer. There was no recourse to either party because they chose to do what to their offer?

• Rescind
• Exercise an option
• Novate
• Terminate for Cause

James signed an option to sell a piece of land to Hank. The option was for 18months and was never recorded. James died 10months after the option was signed and his heirs decided to sell the land to an investor. What rights does Hank have?

• Hank can not do anything since James died
• Hank can sue the investor who purchased the property
• Hank can file a judgement lien against the property
• Hank can sue the heirs who sold the property as they represented the estate of James

The _____ is commonly used in commercial real estate to start the buying process.

• Letter of Investment
• Universal Agreements
• Executory Offer
• Letter of Intent

A land owner who uses his land to graze cattle allows other cattle rancher to use his land also. One day, the neighboring rancher proposes that he be able to use the land exclusively for the next 3years, and is willing to pay the land owner for these rights. The owner of the land wants to discuss it with his business partners. What might the neighbor offer as an enticement to the owner and his partners?

• A formal offer to purchase
• A legally recorded easement
• A notarized letter of intent
• A monetary deposit

A vendee in Arizona put 10% down and has made payments equal to an additional 25% equity. If the vendee defaults how much time would the vendor need to give to redeem the property?

• 30 days
• 120 days
• 240 days
• 270 days

True or False:

Arizona is not a lien theory state.

Arizona is typically referred to as a ____.

• Deed of Trust State
• Mortgage State
• Beneficiary State
• Community Deed State

Is it possible for Jennifer's interest to be sold?

• No, never
• Yes, in every case
• Depends on state Law
• Yes, but only at a steeply reduced price

The most important factor determining how quickly the forces of supply and demand work is:

• A property's specific geographic location
• The property's specific price
• immobility of a property
• Uniqueness of a property

Which of the following is considered personal property?

• Bathtub
• Built in microwave
• Wood burning fireplace
• Patio furniture

Radon is:

• Easy to detect because of it's odor
• Only found in the eastern United States
• A known human carcinogen
• Not found in older homes

The owners of a modest ranch house in a neighborhood of larger, more expensive homes may find that the value of their home is affected by what principle?

• Increasing returns
• Progression
• Competition
• Regression

Which of the following is an important factor in comparing properties under the sales comparison approach to value?

• Difference in appearance and condition
• Potential market rent
• Mortgage balance
• Differences in original cost

Which of the following is legal?

• Charging a family with children a higher security deposit than those with no children
• Requiring a person with a disability to establish an escrow account for the costs to restore a property after it has been modified
• Picturing only white people in a brochure as the "happy residents" in a housing development
• Refusing to sell a house to a person who has a history of mental illness