1. The point of beginning is associated with which type of legal description
A. Metes and bounds Correct
B. Rectangular survey
C. Plat map
D. Map block and lot
Explanation
The 'point of beginning' (POB) is the specific starting marker (e.g., iron pin, monument, or tree) from which directions and distances are measured until the description returns to the starting point. This defines the metes and bounds system — the oldest and most detailed method of describing land, especially for irregular parcels or older properties in the eastern U.S. Why the others are wrong: B) Rectangular survey (government survey) uses a grid of principal meridians, base lines, townships, ranges, and sections — no point of beginning is involved. C) Plat map and D) Map block and lot refer to the subdivision lot-and-block system where properties are identified by lot number within a block on a recorded plat map — no point of beginning is used. Only A is correct.
2. An arrangement under which an individual may acquire the right to use and occupy property for a stipulated recurring period is referred to as a(n)
A. cooperative
B. time-share Correct
C. easement
D. option
Explanation
A time-share allows a person to use and occupy a specific unit (usually vacation property) for a fixed recurring period each year (e.g., the third week of July) for many years or forever. It divides ownership or usage rights by time intervals. Why not the others? A) Cooperative involves buying shares in a corporation that owns the building and receiving a lease to a unit — not time-based recurring periods. C) Easement is only a limited non-possessory right to use land (e.g., right-of-way), not occupy a unit. D) Option is the right to purchase or lease in the future if exercised — not recurring use. Only B matches the description.
3. A house in a subdivision recently sold for $178,000. Sales records show that houses in this neighborhood have appreciated 8% per year for each of the past 3 years. If the economic trend continues at this rate, the house will be worth how much, on a compound basis, at the end of 3 years
A. 192,240
B. 206,480
C. 220,720
D. 224,229 Correct
Explanation
Compound appreciation applies the 8% increase to the new balance each year. Start with $178,000. Year 1: 178,000 × 1.08 = 192,240. Year 2: 192,240 × 1.08 = 207,619.20. Year 3: 207,619.20 × 1.08 ≈ 224,228.74 (rounds to $224,229). This is standard compound growth calculation. Why others are wrong: A) $192,240 is only after 1 year. B) $206,480 is close to year 2 but slightly off. C) $220,720 understates the full compounding. Only D is mathematically accurate for 3 full years of 8% compounding.
4. The purpose of submitting construction plans to a municipality before obtaining a building permit is to
A. notify the municipality for a tax valuation
B. provide evidence of compliance with local codes and regulations Correct
C. identify the responsible parties
D. determine which the Municipal Utility Districts (MUD) have jurisdiction
Explanation
Cities and counties review submitted plans to verify that the proposed building meets zoning ordinances, building codes, fire safety standards, structural requirements, setbacks, etc. This step ensures public safety and legal compliance before issuing a permit. Why not the others? A) Tax valuation/assessment usually occurs after construction or certificate of occupancy. C) Responsible parties are identified via permits, contracts, or other filings — not the main purpose of plan review. D) MUD jurisdiction is determined by plats, maps, or district boundaries — not plan submission. Only B is the primary purpose.
5. A landlord installs a window bench in a residential condominium. This is an example of
A. chattel
B. attachment Correct
C. conversion
D. transformation
Explanation
When personal property (the window bench) is permanently affixed to real property with intent to make it permanent, the process is called attachment, and it becomes a fixture that transfers with the real estate unless excluded. Why not the others? A) Chattel is movable personal property — once attached, it's no longer chattel. C) Conversion means wrongfully taking or using another's property — not applicable. D) Transformation is not a recognized real estate term here. Only B correctly names the process.