UNIT 2 QUIZ - Modern REAL ESTATE Practice In Pennsylvania- 14th

UNIT 2 QUIZ - Modern REAL ESTATE Practice In Pennsylvania- 14th Edition Flashcards An individual is in the business of buying large tracts of land and then reselling them to consumers in small tracts.This person is aa) Developer.b) Engincer.c) Subdividerd) Real estate broker.

c) SUBDIVIDER. A subdivider is a person who buys

undeveloped acreage and divides it into smaller lots for sale to individuals or developers, or keeps the land for the subdiver's own use. A developer (who may also be a subdivider) improves the land by building streets and constructing homes or other buildings on the lots.The grantor of a deed may place effective restrictions ona) The right to sell the land.b) The use of the land.c) Who the next purchaser will be.d) Who may occupy the property.

b) THE USE OF THE LAND. An owner may impose

restrictions on the right to use the property, but any attempt to restrict the right of free alienation (transfer) or occupancyof the property is considered to be against public policy and therfore unenforceable.To protect the public from fraudulent interstate land sales, a developer involved in interstate land sales of 25 or more lots MUSTa) Provide each purchaser with a report of the details of the land, as registered with HUD.b) Pay the prospective buyers' expenses to see the property involved.c) Provide preferential financing.d) Include deed restrictions.

a) PROVIDE EACH PURCHARSER WITH A REPORT OF

THE DETAILS OF THE LAND, AS REGISTERED WITH

HUD. The interstate sale of unimproved lots, with land being sold without having been seen by the purchaser, may be subject to the federal Interstate Land Sales Full Disclousure Ac .The law requires registration of the details of the land with HUD and also requires that the purcharser be provided with a detailed property report.The police power allows regulation of all of the following EXCEPTa) The number of buildings.b) The size of the buildings.c) Building ownership.d) Building occupancy.

c) BUILDING OWNERSHIP. Police power refers to the

inherent authority of the government to adopt regulations necessary to to protect the public health, safety, and welfare. The government does not regulate ownership of real estate.When a subdivision was developed, a deed restriction covering all the properties in the subdivision set aside the back six feet of cach parcel as a combination green belt area and bicycle path. One homeowner plans to conver the back one-half of her yard into an organic garden. What, if anything, can her neighbors do?a) Nothing, because individual homeowners have no authority in this matter.b) Force homeowner to sell her property.c) Go to court in an attempt to obtain injunctive relief.d) Share in the profits from her garden.

c) GO TO COURT AN ATTEMPT TO OBTAIN INJUCTIVE

RELIEF. Private restrictions can be enforced in court when lot owners apply to the court for an injuction to prevent a neighboring lot owner from violating the recorded restrictions. The court injuction will order the violator to stop or remove the violation. The court has the power to pusih the violator for failure to obey.A developer may establish which of the following to control and maintain the character and quality of a subdivision?a) Easementsb) Restrictive covenantsc) Buffer zonesd) Building codes

b) RESTRICTIVE COVENANTS. Developers often use

conditions, covenants, and restrictions (CC&Rs) to control and maintain the desirable quality and character of a property or subdivision.A landowner who wants to use the property in a manner prohibited by a local zoning ordinance can try to obtain

which of the following from the municipality?a) Varianceb) Downzoningc) Occupancy permitd) Dezoning

a) Variance. Provides relief for property owners who can

demonstrate that a zoning ordinance deprives them of the

reasonable use of the property.A new zoning ordinance is enacted. A building that is permitted to continue in its former use even though that use does not comply with a new zoning ordinance is an example ofa) A nonconforming use.b) A variance.c) A special use.d) An inverse condemnation.

a) A NONCONFORMING USE. The term refers to a use

that existed before the enactment of a zoning ordinace . It indicates that the property does not conform to the current ordinance.Under the Interstate Land Sales Full Disclosure Act, what is the outcome if the property report is not given to the prospective purchaser before the contract is signed?a) The subdivider or developer may not start any construction on the property until seven working days after the purchaser receives the property report.b) The subdivider or developer may not proceed to closing until the purchaser receives the report.c) The purchaser may revoke the contract, at the purchaser's option, up to midnight of the seventh calendar day following the signing of the contract.d) The purchaser may not bring any action to revoke the contract after closing.

c) THE PURCHARSER MAY REVOKE THE CONTRACT,

AT THE PURCHARSER'S OPTION, UP TO MIDNIGHT OF

THE SEVENTH CALENDAR DAY FOLLOWING THE

SIGNING OF THE CONTRACT. If a contract is signed for the pruchase of a lot covered by the act and a property report is not given to the purcharser, The purcharser may bring an action to revoke the contract within two years.Zoning hearing boards are established to hear complaints abouta) Restrictive covenants.b) The effects of a zoning ordinance.c) Building codes.d) The effects of public ownership.

b) THE EFFECTS OF A ZONING ORDINANCE. Zoning

hearing boards are municipal bodies for the specific purpose of hearing about the effects of zoning ordinances on specific parcels of property.A map illustrating the sizes and locations of streets and lots in a subdivision is called aa) Grid.b) Survey.c) Plat.d) Property report.

c) PLAT. A subdivision plat which is essentially a map pf

the development, indicates the size and location of individual lots and streets. The plat serves a the basis for future conveyances.Public land-use controls include all of the following EXCEPTa) Subdivision regulations.b) Deed restrictions.c) Environmental protection laws.d) Comprehensive plans.

b) DEED RESTRICTIONS. Deed restrictions ar eprivate

reastrictions created by property owners at the time they convey the ownership.The purpose of a building permit is toa) Override a deed restriction.b) Maintain municipal control over the volume of the building.c) Provide evidence of compliance with municipal construction regulations.d) Show compliance with deed restrictions.

c) PROVIDE EVIDENCE OF COMPLIANCE WITH

MUNICIPAL CONSTRUCTION REGULATIONS. Building permits allow municipal officials to verify compliance with building codes and other ordinaces that apply to constructions, renovation, or repair of buildings.When is a certificate of occupancy issued?a) When the owner of a multifamily residential properry wishes to limit the number of individuals who may live in a single unitb) At the time a property owner applies for a building permitc) After a newly constructed building has been inspected and found satisfactory by the municipal inspectord) When an application for a variance or conditional-use permit has been granted by the zoning board

c) AFTER A NEW CONSTRUCTED BUILDING HAS BEEN

INSPECTED AND FOUND SATISFACTORY BY THE

MUNICIPAL INSPECTOR. The building is fit for occupancy and has no building code violations.Which of the following would probably NOT be included in a list of deed restrictions?a) Types of buildings that may be

constructedb) Allowable ethnic origins of purchasersc) Activities that are not to be conducted at the sited) Minimum size of buildings to be constructed

b) ALLOWABLE ETHNICS ORIGINS PURCHARSER.

Restrictions on the right to sell, mortgage, or convey