Assessing The Property Quiz

Comprehensive property assessment quiz covering title types, leasehold issues, property valuation factors, and lender requirements. Test your understanding of what makes a property suitable for mortgage lending and how to identify potential risks.

Topics Covered: title classes, leasehold terms, marriage value, property types, construction issues, location factors, lease extensions, covenants, easements, and lender valuation criteria.

This quiz is specifically designed for CeMAP students, mortgage advisers, surveyors, and property professionals involved in property assessment and valuation.

Assessing The Property Quiz

1. Which title class indicates the most secure ownership?

A) Absolute Title
B) Good Leasehold
C) Lender approved Title
D) Qualified Title

2. What is a key concern for lenders with lease terms under 80 years?

A) Higher ground rents
B) Marriage value costs
C) Lack of maintenance
D) Tenant rights

3. Which factor most devalues a freehold property?

A) Negative covenants
B) Proximity to schools
C) Easements
D) Modern construction

4. Why are former local authority flats often rejected by lenders?

A) High service charges
B) Short lease terms
C) Lack of parking
D) Concrete construction/tower blocks

5. What must a new build property have for lender approval?

A) NHBC membership or equivalent warranty
B) Energy efficiency certificate
C) Use of modern materials
D) Schools nearby

6. Which lease term would likely disqualify a mortgage application?

A) 95 years remaining
B) 60 years remaining
C) 120 years remaining
D) 85 years remaining

7. What reduces a leasehold flat's value over time?

A) Ground rent increases
B) Poor location
C) Diminishing lease term
D) Lack of elevator

8. Which property type is hardest to sell in a forced sale?

A) Detached house
B) Terraced house
C) New-build flat
D) Retirement apartment

9. What is a flying freehold?

A) Part of a property overhanging another's land
B) A freehold with air rights
C) A leasehold converted to freehold
D) A property with rooftop access

10. What does the Leasehold and Freehold Reform Bill abolish?

A) Ground rents
B) Marriage value
C) Service charges
D) Easements

11. Which dispute most threatens property value?

A) Gazumping
B) Recent sale price
C) Boundary disagreement
D) Garage size

12. What is critical for vacant possession?

A) Recent renovations
B) No ongoing building work
C) Court ordered eviction
D) No tenants/occupiers

13. Which tenure avoids leasehold issues?

A) Commonhold
B) Flying freehold
C) Possessory Title
D) Qualified Title

14. What is a lender's primary concern with location?

A) Proximity to parks
B) Economic prosperity and demand
C) Number of schools
D) Public transport routes

15. Why are bungalows riskier for lenders?

A) Higher maintenance
B) Smaller square footage
C) Limited buyer market
D) Older construction

16. Which lease term requires marriage value payment?

A) 85 years
B) 90 years
C) 100 years
D) 75 years

17. What must a leaseholder do before extending a lease?

A) Pre-reform own the lease for 2 years
B) Pay ground rent for 2 years
C) Renovate the property
D) Obtain neighbor consent

18. Which property type is most valued?

A) Semi-detached house
B) Detached house
C) Terraced house
D) Freehold flat

19. What devalues a leasehold flat in a tower block?

A) Old style kitchens
B) Balcony access
C) Concrete construction
D) Service charges

20. Which document confirms lease extension rights?

A) Land Registry certificate
B) Solicitor agreement
C) Ability to evict
D) Statutory notice of claim

21. What is good leasehold title?

A) Lease is valid, but freeholder's title isn't guaranteed
B) Absolute ownership of the lease
C) Lease over 50 years
D) Lease with sitting tenant

22. Which factor increases forced sale risk?

A) Central heating system
B) Unique architectural design
C) Double-glazed windows
D) Recent roof repair

23. What must a self-build property provide?

A) 10-year structural warranty
B) Pre-sale valuation
C) Architect's approval at each stage
D) Energy efficiency rating

24. Why are ex-local authority flats often declined?

A) Small room sizes
B) Lack of elevators
C) Timber frame construction
D) High-rise location

25. What is a covenant?

A) A legal obligation tied to the property
B) A type of easement
C) A leasehold agreement
D) A mortgage clause

26. Which postcode impact is true?

A) Affects insurance premiums
B) Influences buyer perception
C) Determines lease terms
D) Changes property tenure

27. What is critical for Buy-to-Let mortgages?

A) Proximity to universities
B) Number of occupants
C) Rental yield assessment
D) Tenant references

28. Which lease term is generally acceptable?

A) 25 years beyond mortgage term
B) Equal to mortgage term
C) 10 years beyond mortgage term
D) 40 years beyond mortgage term

29. What devalues a property with sitting tenants?

A) Protected tenancy rights
B) Short-term rental agreement
C) Low rent
D) No maintenance history

30. Which reform allows immediate lease extension?

A) Rental and Leasehold Reform Act
B) Leasehold and Freehold Reform Bill
C) Property Misdescriptions Act
D) Consumer Rights Act

31. What is possessory title?

A) Qualified freehold ownership
B) Leasehold with 20-year term
C) Ownership via adverse possession
D) Commonhold tenure

32. Which construction raises lender concerns?

A) Brick walls
B) Timber frames
C) Slate roof
D) Concrete high-rises

33. Why is freehold tenure preferred?

A) No ground rent or service charges
B) Shorter purchase process
C) Lower insurance costs
D) Easier resale

34. Which term describes a lease as a diminishing asset?

A) Depreciation
B) Relativity graph
C) Amortization
D) Marriage value

35. What affects leasehold value most?

A) Proximity to ammenities
B) Number of bedrooms
C) Remaining lease term
D) Central location

36. Which is a lender's priority in property assessment?

A) Downvalue assessment
B) Number of bathrooms
C) Proximity to ammenities
D) Resale value in default

37. What is required for a statutory lease extension?

A) Serving notice to the freeholder
B) Paying a lump sum upfront
C) Tenant approval
D) Council consent

38. Which property type is least marketable?

A) Detached house
B) Freehold flat
C) Semi-detached house
D) Leasehold maisonette

39. What does a "graph of relativity" show?

A) Regional price differences
B) Construction cost trends
C) Leasehold value vs. freehold value over time
D) Rental yield fluctuations

40. Which issue affects freehold flats?

A) High ground rents
B) Short lease terms
C) Restrictive covenants
D) Responsibility for shared structures

41. What is a qualified title?

A) Title with unresolved defects
B) Leasehold under 50 years
C) Commonhold tenure
D) Freehold with easements

42. Which factor doesn't impact location value?

A) Crime rates
B) Proximity to famous landmark
C) School quality
D) Transport links

43. Why are new leasehold houses problematic?

A) High property taxes
B) Poor construction
C) Ground rent doubling clauses
D) Lack of parking

44. What is verified in a lender's valuation?

A) Applicant credit history
B) Location demand
C) Furniture quality
D) Sales particulars accuracy

45. Which tenure avoids flying freehold issues?

A) Commonhold
B) Leasehold
C) Qualified Title
D) Possessory Title

46. What devalues a property post-repossession?

A) Market saturation
B) Forced sale discount
C) Downvalue due to adverse credit
D) Small garden

47. Which reform reduces lease extension costs?

A) Capping ground rents
B) Discounted freehold conversion
C) Abolishing marriage value
D) Limiting service charges

48. What is critical for self-build mortgage approval?

A) Completion within 1 year
B) Use of eco-friendly materials
C) Pre-sale agreements
D) Stage inspections by professionals

49. Which property type holds value longest?

A) Period property in good condition
B) New-build flat
C) High-rise studio
D) Converted warehouse

50. What is a lender's main legal right via a charge?

A) Renovation approval
B) Repossession or sale when payments aren't upkept
C) Tenant eviction
D) Insurance claims