Property Ownership
What is a 'right of first refusal' in real estate?
AA seller's right to refuse any offer below asking price
BA contractual right giving the holder the opportunity to purchase property before the owner sells it to a third party✓ Correct
CA lender's right to refuse a loan application
DA tenant's right to refuse entry by the landlord
Explanation
A right of first refusal gives the holder (often a tenant or co-owner) the right to purchase a property before the owner can sell to someone else. If the owner receives a third-party offer, they must first offer the property to the right-of-first-refusal holder on the same terms.
Related California Property Ownership Questions
- Which of the following is personal property (personalty) rather than real property?
- In California, what happens to a joint tenancy when one joint tenant conveys their interest to a third party without the other joint tenants' knowledge?
- A developer places a deed restriction on a subdivision prohibiting any lot from being used for commercial purposes. This type of restriction is called:
- Which of the following is NOT a method by which title to real property can be acquired in California?
- Escheat refers to the process by which:
- Which type of deed provides the GREATEST protection to the grantee by warranting title against all claims, both during and before the grantor's ownership?
- Which of the following correctly describes an easement in gross?
- A property owner has the right to use, exclude others, and dispose of their property. These rights collectively are referred to as:
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