hard · National Real Estate Exam property-ownership
In a lien-theory jurisdiction, an owner holds a property as a joint tenant with two others.
If this owner takes out a second mortgage on their interest and then dies intestate, what happens to the deceased owner's interest?
- The joint tenancy automatically converts into a tenancy by the entirety for the two remaining surviving co-owners.
- The interest passes to the surviving joint tenants by operation of law, potentially extinguishing the lender's security interest.
- The lender may foreclose upon the entire property, including the shares of the other joint tenants, to collect the debt.
- The interest passes by the laws of intestate succession to the deceased owner's heirs, who become tenants in common with the two survivors.
Sign up free to see the explanation and track your rank →
More National Real Estate Exam property-ownership practice
- A deed contains the phrase 'so long as the premises are used… — This creates what type of
- The neighbor's property is known as the:
- An individual lives in a residential building where they own… — What form of ownership is
- The estate has likely converted to a:
- A woman's interest in her deceased husband's real property is historically known as:
- If a creditor has a judgment against only one spouse, why might they be unable to foreclos
- In a joint tenancy, what is the consequence if the 'Unity of Interest' is not present at t
- The 'Possibility of Reverter' is a future interest uniquely associated with which estate?