Free RES Practice Questions — CU2

10 practice questions with answers and full explanations. Nothing to sign up for — open each answer when you are ready.

1. Paper 1 · 2.10 Future interests

   Mr Yusof owns a freehold shophouse in Geylang and leases it to a tenant for five years. During the lease, what interest does Mr Yusof hold?

   • A A reversion — the right to possession that returns to him when the lease ends
   • B No interest in the land until the lease expires
   • C A licence to enter the shophouse
   • D A remainder — an interest passing to a third party after a life estate
   Show the answer and explanation

   Answer: A. A reversion — the right to possession that returns to him when the lease ends

   When an owner grants a lesser interest (such as a lease) and keeps the balance, the interest he retains is a reversion: possession reverts to him when the lease ends. A remainder is a future interest given to a third party (not the grantor), e.g. after a life estate. Mr Yusof retains a present proprietary interest in the reversion, which he can sell or mortgage.

2. Paper 1 · 2.12 Restrictions on capacity to hold land

   Mr and Mrs Toh want to buy a condominium unit in Tampines and register it in the name of their 16-year-old grandson, Ethan. What should the salesperson advise?

   • A A minor may never have any interest, legal or beneficial, in property
   • B Ethan may be registered as proprietor if his parents sign the transfer alongside him
   • C Ethan may be registered as sole proprietor as long as his grandparents pay the price
   • D Ethan cannot be the registered legal owner while under 21; the property can be held by an adult trustee on trust for him until he reaches 21
   Show the answer and explanation

   Answer: D. Ethan cannot be the registered legal owner while under 21; the property can be held by an adult trustee on trust for him until he reaches 21

   A minor (under 21) cannot hold the legal title to registered land in Singapore. The property may instead be held by an adult trustee on trust for the minor, who will be entitled to call for the legal title upon reaching 21. A minor can therefore hold a beneficial interest under a trust, even though he cannot be the registered proprietor. The buyers should also seek legal and tax advice on how stamp duty applies to property held on trust.

3. Paper 1 · 2.9 Succession

   Mr Rahul Nair, a non-Muslim, dies without a will. He is survived by his wife and two children; his parents are also alive. Under the Intestate Succession Act, how is his estate distributed?

   • A Wife 1/2; each child 1/4; parents nothing
   • B Wife receives everything
   • C Wife 1/3; each child 1/3; parents nothing
   • D Wife 1/2; the two children and the parents share the other 1/2 equally
   Show the answer and explanation

   Answer: A. Wife 1/2; each child 1/4; parents nothing

   Under the Intestate Succession Act, where the deceased leaves a spouse and issue, the spouse takes one half and the issue share the other half equally — here 1/4 each. Parents inherit only if there is no issue (with the spouse, parents take half). A spouse takes the whole estate only where there are no issue and no parents.

4. Paper 1 · 2.2 Law of agency

   Salesperson Rachel Chong is appointed by the owner of a Pasir Ris condominium unit to sell it. Which of the following are duties Rachel owes to her principal? (Select ALL that apply.)

   • A Convey every offer she receives to the owner promptly, including offers below the asking price.
   • B Keep the owner's confidential information, such as his lowest acceptable price, confidential.
   • C Account for any documents or money she receives on the owner's behalf.
   • D Accept offers on the owner's behalf whenever she judges them to be good offers, without referring to him.
   Show the answer and explanation

   Answers: A. Convey every offer she receives to the owner promptly, including offers below the asking price. | B. Keep the owner's confidential information, such as his lowest acceptable price, confidential. | C. Account for any documents or money she receives on the owner's behalf.

   An agent owes duties to obey lawful instructions, exercise care and skill, act personally, account, avoid conflicts and secret profits, keep confidential information and transmit all offers. Deciding whether to accept an offer is the principal's decision; accepting on his behalf without authority would exceed the agent's authority and breach her duty to obey instructions.

5. Paper 1 · 2.1 Law of contract

   A property portal listing reads: 'Bedok North 5-room HDB flat, high floor, asking $720,000'. A buyer emails the seller saying, 'I accept your price of $720,000.' Which statement is correct?

   • A The listing is an offer, so the buyer's email creates a binding contract at $720,000
   • B The listing is an invitation to treat, so the buyer's email is only an offer that the seller may accept or reject
   • C The listing is an offer, but the buyer's email is only a counter-offer
   • D A binding contract arises once the buyer's email is read by the seller's salesperson
   Show the answer and explanation

   Answer: B. The listing is an invitation to treat, so the buyer's email is only an offer that the seller may accept or reject

   Advertisements and listings indicating an asking price are generally invitations to treat — invitations to others to make offers. The buyer's email is therefore an offer, which the seller is free to accept or reject. No contract arises until the seller accepts, and an agent merely reading the email does not amount to acceptance.

6. Paper 1 · 2.8 Trust

   Mdm Kavitha paid the entire purchase price of a Marine Parade apartment, which was registered in the sole name of her adult nephew Arjun. There was no evidence that she intended to make a gift to him. Which is most likely?

   • A Mdm Kavitha and Arjun are joint tenants in equity
   • B The purchase is void because the payer and the registered owner are different persons
   • C Arjun is the full legal and beneficial owner because he is the registered proprietor
   • D Arjun holds the apartment on a resulting trust for Mdm Kavitha
   Show the answer and explanation

   Answer: D. Arjun holds the apartment on a resulting trust for Mdm Kavitha

   Where one person pays the purchase price and the property is registered in another's name, equity presumes a resulting trust in favour of the payer, unless the presumption is rebutted (e.g. by evidence of a gift) or the presumption of advancement applies. The presumption of advancement applies in relationships such as parent and child, not aunt and nephew. Arjun therefore holds the legal title on trust for her.

7. Paper 1 · 2.13 Planning and development of land

   A developer's brochure for shop units in a Woodlands commercial development uses several planning and area terms. Which of the following statements are correct?

   • (i) Gross floor area (GFA) is the total covered floor area of a building and is used to calculate plot ratio.
   • (ii) Gross plot ratio is the ratio of the total GFA of a development to its site area.
   • (iii) Net lettable area (NLA) excludes common areas such as lift lobbies, common toilets and M&E rooms.
   • (iv) A void area is floor space that may be counted as usable floor area when marketing a unit.
   • A (i) and (ii) only
   • B (i), (ii) and (iii) only
   • C (ii), (iii) and (iv) only
   • D All of the above
   Show the answer and explanation

   Answer: B. (i), (ii) and (iii) only

   Gross floor area (GFA) is the total covered floor area of a building used to compute plot ratio, and gross plot ratio is total GFA divided by site area. Net lettable area (NLA) is the space a tenant can actually use, excluding common areas such as lift lobbies, common toilets and M&E rooms. A void is open space with no floor slab and is not usable floor area; marketing must communicate voids clearly, so (iv) is wrong.

8. Paper 1 · 2.13 Planning and development of land

   Which of the following statements about Singapore's planning framework are correct?

   • (i) The Master Plan is the statutory land use plan that guides development over the next 10 to 15 years.
   • (ii) The Master Plan is reviewed every five years.
   • (iii) The Master Plan shows the permissible land use (zoning) and density, such as gross plot ratio, for land parcels.
   • (iv) The Concept Plan is the statutory plan that sets the gross plot ratio for each individual land parcel.
   • A (i) and (iii) only
   • B (i), (ii) and (iii) only
   • C (ii) and (iv) only
   • D (i), (ii), (iii) and (iv)
   Show the answer and explanation

   Answer: B. (i), (ii) and (iii) only

   The Master Plan is the statutory land use plan, reviewed every five years, that translates long-term strategies into detailed zoning, plot ratios and building height controls guiding development over the medium term. The Concept Plan is a long-term strategic plan looking 40–50 years ahead; it does not set plot ratios for individual parcels, so (iv) is wrong.

9. Paper 1 · 2.9 Succession

   Mr Aaron Lim, a non-Muslim, dies without a will. He is survived by his wife and both his parents; he had no children. Under the Intestate Succession Act, how is his estate distributed?

   • A All to his wife
   • B One-third to his wife and two-thirds to his parents
   • C All to his parents
   • D Half to his wife and half to his parents
   Show the answer and explanation

   Answer: D. Half to his wife and half to his parents

   Under the Intestate Succession Act, if the deceased leaves a spouse and no issue but a parent or parents, the spouse takes one-half and the parents take the other half (in equal shares). The spouse takes everything only where there are no issue and no parents. The parents take everything only where there is no spouse and no issue.

10. Paper 1 · 2.12 Restrictions on capacity to hold land

    Yishun Motor Works is a partnership of Mr Low and Mr Ramesh registered under the Business Names Registration Act. The partners want to buy a workshop unit for the business. In whose name(s) will the title be registered?

    • A In the name 'Yishun Motor Works', because the business name is registered
    • B In the name of ACRA, on behalf of the partnership
    • C It cannot be registered unless the partners first incorporate a company
    • D In the names of the partners, who hold it as partnership property, because a partnership is not a separate legal entity
    Show the answer and explanation

    Answer: D. In the names of the partners, who hold it as partnership property, because a partnership is not a separate legal entity

    A partnership (firm) is not a legal entity separate from its partners, so it cannot hold title in the firm name. The land is registered in the names of the partners (or some of them), holding it for the partnership, commonly as tenants in common in equity. Incorporating a company is an option but is not required.