Real Estate Practice Exam Questions Part 3

MBE Rapid Fire - Real Property

These are interests that give a person current legal possession of land. They include: fee simple absolute, defeasible fees (like determinable or subject to condition), life estates, and non-freehold (leasehold) estates. Each varies in duration and conditions on ownership.

MBE Real Property - Competing Claims

Adverse possession is a way to gain legal title to someone else’s land by open, continuous, exclusive, actual, and hostile possession for a statutory period. It rewards those who use land productively while penalizing owners who neglect it.

MBE Real Property - Mortgages

On the MBE, the three main security interests in real property are: mortgages, deeds of trust, and land sale contracts. Each allows a lender to secure repayment by using the property as collateral if the borrower defaults.

MBE Real Property - Zoning and Land Right

Under common law, landowners have a right to have their land naturally supported by adjoining land. If a neighbor’s excavation causes the land to subside or collapse, the right of lateral support has been violated, making the excavating party potentially liable.

MBE Real Property - Servitudes

Servitudes are legal tools that grant rights or impose restrictions on the use of land without transferring ownership. The five main types are licenses, easements, equitable servitudes, profits, and covenants, each serving a different role in controlling or benefiting land use.

MBE Real Property - Landlord Tenant

A leasehold estate is a non-freehold interest in land created by a lease, giving the tenant the right to possess property for a set time.