Chapter 7- Book Quiz (plus)

Which of the following BEST refers to the type of lien that affects all real and personal property of a debtor?

• Voluntary lien

• Specific lien

• Involuntary lien

• General lien

Priority of liens refers to the

• dates that liens are filed for record; the lien with the earliest recording date will always take priority over other liens.

• order in which liens will be paid if property is sold by court order to satisfy a debt.

• order in which a debtor assumes responsibility for payment of obligations.

• fact that specific liens have greater priority than general liens.

A lien on real estate made to secure payment for specific municipal improvements to a parcel of real estate is

• an ad valorem tax.

• a special assessment.

• a utility lien.

• a mechanic’s lien.

Which of the following is classified as a general lien?

• Judgment

• Bail bond lien

• Ad valorem real estate taxes

• Mechanic’s lien

In dispersing funds from a foreclosure sale, the highest priority is usually given to

• a mortgage dated last year.

• a judgment rendered the day before foreclosure.

• a mechanic’s lien for work started before the mortgage was made.

• real estate taxes due.

A specific parcel of real estate has a market value of $180,000 and is assessed for tax purposes at 25% of market value. The tax rate for the county in which the property is located is 30 mills. The tax bill will be

• $1,350

• $900

• $450

• $650

A mechanic’s lien claim arises when a general contractor has performed work or provided material to improve a parcel of real estate on the owner's order and the work has not been paid for. Such a contractor has a right to

• tear out the work.

• record a notice of the lien.

• have personal property of the owner sold to satisfy the lien.

• record a notice of the lien and file a court suit within the time required by state law.

A seller sold a buyer a parcel of real estate. Title has passed, but to date the buyer has not paid the purchase price in full, as originally agreed. To force payment, the seller should seek

• a lis pendens.

• a mechanic’s lien.

• a judgment.

• an attachment.

A general contractor will soon file a suit against a homeowner for nonpayment. The contractor just learned that the homeowner has listed the property for sale with a real estate broker. In this situation, to protect the contractor's interest, the contractor’s attorney will use

• an assessment.

• a buyer’s lien

• a lis pendens

• a seller’s lien

Taxes levied for the operation of the government are called

• improvement taxes.

• ad valorem taxes

• special assessments.

• assessment taxes.