Oregon Real Estate Practice Test 2025 – Complete Exam Prep

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What is meant by the implied warranty of habitability?

A promise that a property will appreciate in value

A requirement for properties to be safe and livable for tenants

The implied warranty of habitability refers to a legal principle that requires rental properties to meet certain minimum standards of safety and livability. This means that landlords have an obligation to ensure that the property is suitable for tenants to live in and that it provides basic necessities such as a safe structure, functioning plumbing, heating, and electrical systems, and protection from the elements.

This concept protects tenants by ensuring that they are not subjected to unsafe or unhealthy living conditions. It emphasizes the landlord's responsibility to provide a home that is both habitable and compliant with local housing codes and regulations. This warranty is typically implied in residential lease agreements, which means that tenants do not need to explicitly state their expectations for livability in the lease.

The other options do not accurately capture the essence of the implied warranty of habitability. For example, the notion of property appreciation does not relate to livability or safety, while guaranteeing that all appliances work is more specific than the broader requirement of habitability. Lastly, the warranty applies to more than just new constructions, as it is relevant to any residential lease regardless of the property's age.

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A guarantee that all appliances work

A condition that applies only to new constructions

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