Term
| A real estate licensee may act as a limited agent in the capacity of: |
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Definition
A. Single agent (buyers agent, sellers agent, landlord agent, tenant agent)
B. Subagent- Agent of the principal's agent.
C. Dual agent- with informed consent only. |
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Definition
A fact not reasonably ascertainable or known to a party which signicantly affects value or establishes a belief a party will not perform "bankruptcy".
ie: Leaky basement |
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Definition
| Does not obligate the buyer/tenant client to compensate the license unless contract specifies. |
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Definition
| Shifts in economy ranging from prosperity to recession to property |
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Definition
| The stable base necessary for the economy to grow diversify resources/goods/services. |
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Definition
| Economic system that provides open market/ create competition for all. |
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Definition
| All goods and services produced in the US. |
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Definition
| Allows consumers to decide what they want/ producers to make/ supply those needs. |
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Definition
| Sequence of home purchasing to meet evolving needs. apt-first house-larger house-small unit/condo. |
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Definition
(Owner must be able to see land being used)
Rightful owner loses land to occupant who has taken possession in a hostile, distinct, continuous way for a statutory period. |
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Definition
A gift of real estate by will.
Recipient of a gift. |
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Definition
| All the "Legal rights" a property owner enjoys. |
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Term
| Doctrine of Prior Appropriation |
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Definition
| First owner or user has the right to divert water for own use. |
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Definition
| Economic characteristics of land comparing improvements not as humble as land itself. |
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Definition
| Government takes your property with just payment. |
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Definition
| Money goes to state (No will without heirs) |
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Definition
| Incapable of being moved/ land. |
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Definition
| Loss of property for non-payment of taxes or mtg. foreclosure. |
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Definition
| Water rights of landowner who borders a lake or non-flowing body of water. The use of water. |
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Definition
| Water rights of landowner to use waters of an adjacent stream or lake. |
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Definition
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Definition
| Location of real property. |
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Definition
| Precise measuring of boundaries of property. Legal description is made from survey. |
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Definition
A parcel of land-
36 sections and 6 miles square.
Meters=length or distance
Bounds=Direction/degree
1. checks-24 miles/16 township
2. township- 6 miles
3. section- 1 sq. mile, 640 acres
4. acre- 43,560 sq. feet
5. mile- 5,280 ft. |
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Definition
| Limits/restricts use of real property. |
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Definition
| Process of reducing allowable density for a tmct of land commercial-apartments. |
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Term
| Easement/Easement by prescription |
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Definition
Interest in another's land "Right of Way"
Rights to the land gained through continuous use. |
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Definition
| A personal priveledge, non-transferable. |
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Definition
"Grandfathered"
Use in violation of current law, but permitted because usage was before law.
Mom-Pop grocery store-residential neighborhood. |
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Definition
| Right of government to pass legislation protecting the safety/welfare of public. |
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Definition
Land encumbered by an easement.
"Steve's Driveway"-"Our backyard" |
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Definition
Special Permission:
Allow individual to use land that varies from current. "zoning undue hardship otherwise" |
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Definition
| Regulation over land use. |
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Definition
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Term
Deed (Quitclaim Deed)
Any advantage to buyer? |
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Definition
A written instrument that transfers ownership of real property.
*Note: A date is not required on a deed.
Quitclaim: No promises/no warranties
- clears title (minimum). No assurances. |
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Term
| Fee Simple (Fee simple absolute) |
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Definition
The greatest and most complete interest in land (Absolute ownership)
* The highest/ most complete rights highest form of ownership. |
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Term
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Definition
| Highest form of land ownership. |
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Term
At closing, who signs:
1) Deed of trust?
2) General warranty deed? |
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Definition
1) Buyer- Deed of trust, promise to pay.
2) Seller- General warranty deed |
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Definition
Granter defeats grantee with stipulations (title)
Limits title holder to conditions set forth by grantor. |
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Term
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Definition
Determine who lives in property.
Limits the estate holder to terms set by grantor. |
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Term
| Fee Simple to a Condition Subsequent |
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Definition
A defeasible title.
but if......... |
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Term
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Definition
| An estate in real estate that conveys fee simple title, granting maximum interests for an infinite period. |
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Term
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Definition
| Ownership by two or more persons with right of survivorship. |
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Definition
| Limited to lifetime of tenant. (interest in real estate), Only for that person! |
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Definition
| Interest in real estate- 2 or more people, no right of survivorship. |
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Definition
| Best guarantee for title of real estate.... |
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Definition
The right to use property without disruption by the grantor or the landlord.
Example:
X leases land from Y
Z tells X that he owns land, not Y
X refuses to pay Y based on "quiet -------" |
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Term
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Definition
| Covers only the interest the seller had during his time of ownership. |
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Term
| Deed Restrictions can be removed by: |
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Definition
1) Courts
2) All parties or agreeing to the termination of the restrictions. |
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Term
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Definition
| Best guarantee for title of real estate.... |
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Term
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Definition
Grantor guarantees that title is good, free, and clear of all liens/encumbrances.
Note: Must contain a "clause of conveyance", "Granting clause", "Habendum clause" to have/hold "limits quantity" - All Deeds. |
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Definition
| Agreement between competent parties to perform a legal act. |
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Definition
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Definition
| The right to buy within a specified time. |
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Definition
| A clause that grants the right to buy for a limited time. |
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Definition
Oral evidence.
Cannot change the terms or written documents. |
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Term
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Definition
| State laws that require certain contracts to be in writing to be enforceable. |
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Term
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Definition
| Listing Agreement-One party is obligated. |
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Term
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Definition
| Contract that complies with the law, loegally sufficient and enforceable. |
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Term
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Definition
| Can be terminated with a minor. |
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Definition
| Entered into for illegal purposes. |
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Term
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Definition
Owe due diligence-
Hires another to represent them "principal" in the transaction. |
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Term
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Definition
| Not represented by an agent-Purchaser of a commodity. |
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Term
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Definition
| Working/ representing both the buyer and seller. |
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Term
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Definition
| Authorized by the principal to transnet all affairs for the principal. |
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Definition
(Property owner)
One who hires someone to represent them.
Denotes money in financial transactions. |
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Definition
Listing agent (subagency)relationship.
Buyers agent. |
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Term
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Definition
| Federal Laws & state acts to protect trade and commerce. From monopolies & restrictions. |
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Definition
| Not as good- One agent, but seller retains right to sell its own home. |
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Definition
| Best- One agent, owner must pay regardless. |
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Term
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Definition
| Seller and broker contract (Principal) |
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Term
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Definition
| Used for personal property. |
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Term
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Definition
| Offer after original. Offer rejected. |
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Term
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Definition
| Deposit- Money to hold property. |
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Term
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Definition
| Equity difference between value-amount owed. |
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Term
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Definition
| Offer to purchase money that becomes a binding contract. |
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Term
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Definition
| An account real estate broker places money on behalf of principal and customer. |
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Term
| Federal National Mortgage (FNMA) |
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Definition
| Purchase loans from qualified lenders, Leader in secondary market. |
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Term
| Federal Housing Administration (FHA) |
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Definition
Government agency insures approved loans.
Note: FHA insures loan, VA guarantees loan. |
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Term
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Definition
| Loan made by approved lenders and insured by the government. |
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Term
| Government National Mortgage Association (GNMA) - Ginnymae |
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Definition
| Operated by HUD- Agency produces reduced rates for low income participant and participates in secondary market. |
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Term
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Definition
| Seller Financing- Buyer cannot get outside financing. |
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Term
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Definition
(Bank of the West)
Originates the mortgate and sells to long-term investors. |
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Term
| Real Estate Settlement Procedures Act (RESPA) |
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Definition
| Settlement statement at closing. (to buyer and seller) |
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Term
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Definition
| Relates to "truth in lending law" (true cost of loan) % |
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Term
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Definition
| Military service/ No down payment, guaranteed by the government. |
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Term
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Definition
| Lender fee-to increase the yield of the loan, 1 point=1% of the loan |
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Term
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Definition
| Halt-Legal perios of delay. |
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Term
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Definition
| Financial obligation- Pledge that secures the lenders investment. |
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Term
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Definition
| A public list of the title changes on a specific property, beginning with the original land grant. |
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Term
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Definition
| Finalizing of a sale, signing and transferring title and distributing the money. |
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Term
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Definition
| Final settlement statement lists debits/credits of purchaser and seller- Discloses all funds received and those necessary in close sale. |
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Term
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Definition
| Something of value- Amount given to buyer or seller on a closing statement. |
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Term
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Definition
| Shows credit history of borrower-lender verifies credit worthiness. |
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Term
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Definition
| Costs, charges against the seller or buyer in closing a sale. |
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Term
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Definition
| Items paid in advance like taxes and insurance. |
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Definition
| Dividing costs and assets between buyer and seller. |
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Definition
| Insures holder of the policy against defects in the title. |
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Term
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Definition
| Rules/ regulations - outline of covenants, restrictions and conditions of the regime. |
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Term
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Definition
| Individual ownership of a single unit in a multiunit structure/ joint ownership of common areas. |
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Term
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Definition
| Ownership is in the form of stock or shares proprietary lease. |
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Definition
| Legislation that permits the creation of condos. |
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Term
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Definition
| The right to occupy a coop unit by the shareholder. |
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Definition
| Joint ownership of a single unit by several purchasers that gives use for a specified time. |
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Definition
| Prepaid lodging- Right to occupy a unit in a condo regime for a specified period of time- No ownership. |
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Definition
| Transfer of percentage of rights and title; assignment of a mtg., deed, lease or option. |
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Definition
(Tenant)
Leave on your own, landlord not fulfilling important items-breach of contract. |
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Term
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Definition
| A straight lease- Lessee pays only rent to the owner. |
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Term
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Definition
| Contractual agreement between landlord/tenant (Use of property for a specified time). |
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Term
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Definition
Lessee assumes expenses normally paid by owner.
utilities, gas/water/electricity |
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Term
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Definition
| Owner sells property and then becomes the lessor. |
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Term
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Definition
| Lessee retains lease but rents a portion of the premesis to a sublessee. |
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Term
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Definition
| Either party can terminate - Use of property (tenant/landlord) |
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Term
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Definition
| Lease hold granting use for a specified amount of time. Automatically locked in for time specified. |
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Term
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Definition
| A contract detailing responsibilities of the owner and manager of the property. |
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Term
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Definition
| Managing property- specialized branch of the real estate business. Oversee leases, managing and maintenance. |
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Term
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Definition
| Manager that lives on the premises. |
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Term
| Residential Property Management |
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Definition
| Business of managing residential property of others. |
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Term
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Definition
Tax language: Starting point value of home rental.
IRS determines the gain/loss and annual depreciation in an income property. |
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Term
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Definition
| What's left after expenses have been paid. (Income from investment property). |
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Term
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Definition
| Loss of value from any cause- used for tax purposes. |
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Term
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Definition
| More than one - operate business all parties are responsible for profits and losses. |
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Term
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Definition
| Using other peoples money, Use or borrowed capital to purchase. |
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Term
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Definition
| Silent (passive) partners ~ One general partner. Liability only limited to their level of investment. |
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Term
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Definition
| What's left after asset has been fully depreciated. |
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Term
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Definition
| Protecting income from taxes. Postponement, reduction or elimination of tax. |
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Term
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Definition
| Appraisal method based on replacement cost (-)depreciation (+) land value. |
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Term
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Definition
| Loss of value by any means. |
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Term
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Definition
| Loss of value caused by external situations out of control of owners hands - deteriorating neighborhood. Highway.... |
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Term
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Definition
| Loss of value- Old fashioned, not practical anymore - 1 bathroom in a two story home -or- poor design. |
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Term
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Definition
Determined at the time of appraisal.
Use that will provide the greatest net return over a given period of time. |
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Term
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Definition
Appraised value based on how much income it can produce.
Net Income/Cap Rate = Prep. value |
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Term
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Definition
| Price that property is sold for. |
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Term
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Definition
| Price a willing buyer and willing seller will pay for property. |
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Term
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Definition
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Term
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Definition
| Present day cost of rebuilding new and have the same utility value as the old. |
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Term
| Sales Comparison Approach |
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Definition
| Compare (3) recently sold properties to the mail subject property. |
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Term
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Definition
| Muse provide (try to be reasonable) flood insurance to those in a flood plain. Federal and private insurance companies. |
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Term
| Superfund Amendment & Reauthorization Act (SARA) |
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Definition
| Hazardous waste disposal and clean-up fund. (An amendment to CERCLA-Comprehensive Environment Response Compensation Liability Act). |
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Term
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Definition
Scaring the neighbors with "minorities moving in"
Racist remarks.... getting them to move out of the neighborhood. |
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Term
| Department of Housing and Urban Development (HUD) |
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Definition
Provides rehab loans, urban renewal, subsidy programs and public housing.
(HUD has jurisdiction over FHA & GNMA) |
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Term
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Definition
| No discrimination based on race, color, nationality, religion, sex. (sale or rental) |
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Term
| Fair Housing Amendment Act of 1988 |
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Definition
| No discrimination- added people on aid/low income, handicap, family with kids (familial) |
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Term
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Definition
| Discrimination- Denying a certain area/neighborhood. |
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Term
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Definition
| Guiding people to a certain neighborhood. |
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Term
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Definition
| Able to sale on their own, set up own business. (real estate) |
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Term
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Definition
| Must sell under a broker- licensed by a state to render services. |
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Term
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Definition
| Funds are held here on behalf of the principal or customer. |
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Term
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Definition
| Highest price a willing buyer will buy/ willing sell will sell. |
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Term
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Definition
| Greatest net return over a given period of time. |
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Term
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Definition
| Based on net income produced. (Use IRV) |
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Term
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Definition
| Cost of replacing structure with similar unit. |
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Term
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Definition
| An important factor when appraising. |
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Definition
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Definition
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Definition
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Definition
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Term
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Definition
| Extras attached to the property. |
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Term
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Definition
Appraisal uses:
1) land value
2) square footage of the building
3) location |
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Term
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Definition
Appraisal uses:
1) depreciation
2) capitalization
3) economic _________ |
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Term
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Definition
Cost of the structure is NOT important for-
but
1) square feet
2) location
3) depreciations are important |
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Term
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Definition
| Pooling investment funds with others. |
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Term
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Definition
| Based on estimates of a properties future decrease in value. |
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Term
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Definition
| Expenses are greater than income produced. |
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Term
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Definition
| Initial cost of the property. |
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Term
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Definition
| The use of other people's money. |
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Term
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Definition
| Income when depreciated property is sold. |
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Term
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Definition
| Income or return on investment. |
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Term
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Definition
| Exchanging income-producing property for a like-property (tax free). |
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Term
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Definition
| Principal has given agent permission to act on their behalf via a contract. |
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Term
| Ownership to Avoid Double Income Taxation |
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Definition
1) partnership
2) limited partnership
3) real estate investment trust
Note: 0 corporations
They pay taxes on profile & when the profits are disbursed to shareholders pay income tax on the same & the corporation paid as. |
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Term
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Definition
1) considered "personal property"
2) the individual owns shares in the corporation (stuck is chattel) the corporation owns the real estate. |
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Term
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Definition
| An assumed name could be a business name such as A-1 company, as long as title conveyed as it was held, the "chain if title" is intact. |
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Term
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Definition
| Cannot exist between two adjacent properties which have the same owner. |
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Term
| Foreclosure Money Proceeds |
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Definition
| If property sells for more> the amount due & penalties/legal fees, the borrower receives the excess. |
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Term
| "Warranty Deed" Encompasses: |
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Definition
1) quiet enjoyment
2) covenant of seized
3) warranty forever
(habendum clause of the deed) |
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Term
| "Arms Length" transaction |
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Definition
| A reasonable relationship between the parties- result in a clear result- no tainted result- House sold below value because of divorce. |
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Term
| Appraisals (method/process) |
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Definition
Adjustments are made to the comparable NOT the 'subject' property.
Note: last step "reconciliation"- consider the appropriateness of each appraisal approach to the subject, quality of available data, amount of adjustment required in each instance. |
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Term
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Definition
Developer:
Build the homes in the lots and sells them.
Subdivider:
Buys the undeveloped acreages and divides it up into lots and sells the lots. |
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Term
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Definition
1) death of owner
2) broker files bankruptcy
3) fire destroys property |
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Term
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Definition
| Relationship between owner and manager. |
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Term
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Definition
| A pooling agreement in which people invest their financial resources. |
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Term
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Definition
| An investment that acts to reduce income taxes. |
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Term
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Definition
| Adding improvements to the original basis. |
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Term
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Definition
1) Existing mortgage appears as a C=Buyer, D=Seller
2) Seller takes back a '2nd mortgage' and it shows as a 'credit' to the buyer. |
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Term
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Definition
| Taking personal property to satisfy a debt. |
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Term
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Definition
1) 3 people tenants in common
2) one (1) owner died and left share to son and he wants to sell
3) court action to take is "partition" |
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Term
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Definition
1) Legal process when you go to court to remove a cloud from the title. (and in an)
2) "adverse possession" claim |
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Term
| Seller Property Condition Disclosure Act |
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Definition
| New owner has one (1) year from the date of possession or ownership, whichever comes first to begin legal action if seller has not complied. |
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Term
| 1031- Tax Deferred Exchange |
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Definition
| Replacement properties MUST be identified within 45 days. |
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Term
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Definition
| Declaration before a qualified official, such as a notary public, stating that the deed was signed voluntarily. |
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Term
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Definition
| Accounting of expenses and charges. |
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Term
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Definition
| Contract between manager and owner. |
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Term
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Definition
| Certified Property Manager |
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Term
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Definition
Mrs. Sanchez is a Roman Catholic, owns and resides in her 4-plex. She can legally rent to just:
a) women
b) Roman Catholics |
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Term
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Definition
| A preliminary prospectus for the sale of a security which is filed with the SEC, but registration is NOT effective. |
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Term
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Definition
Protects:
1) national origin
2) ethnic groups
3) race
Does not protect:
Marital status (complaints made within 1 year and filed with the Department of Housing & Urban Development)
Act enforced by the Department of Housing and Urban Development |
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Term
| Federal Fair Housing 'Boundaries' |
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Definition
1) A private owner, not listed with real estate company may NOT specify in ads- only certain minorities are to respond.
2) A private owner, not listed with real estate company may NOT specify that only certain races may purchase his property.
3) A private owner, has listed with real estate company, may NOT specify which nationalities he will sell to.
4) A private owner, not listed property with real estate company, MAY discriminate regarding religion when he sells his property. |
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Term
| Who makes government guaranteed loans? |
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Definition
1) commercial bank
2) insurance company
3) savings & loan |
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Term
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Definition
1) make money available for home loans in times of scarce money
2) grants home loans to lower income parties |
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Term
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Definition
| Primary source of secondary money mortgage. |
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Term
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Definition
| Neither can be used to purchase rental property. |
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Term
| Federal National Mortgage Association (FNMA) Purchases: |
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Definition
1) VA loans
2) FHA loans
3) Conventional loans |
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Term
| Government National Meeting Association (Ginny Mae) |
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Definition
1) Operated by HUD
2) Produces reduced % rates for low-income purchasers and participants
3) Participates in secondary market
4) Can advance money directly to lenders of reimbursement meeting in times of tight money. |
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Term
| Neighborhood Shopping Center |
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Definition
| Several buildings with 15 or more retail bays. |
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Term
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Definition
| Single building with 4-10 retail bays. |
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Term
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Definition
| Lessee pays a flat fee + percent of revenue. |
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Term
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Definition
| Tenant may break lease if lessor violates lease terms. |
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Term
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Definition
| Lease is for a specified period, no set termination date. |
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Term
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Definition
| Lessee does not live up to terms of the lease. |
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Term
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Definition
| Tenants obligation is only to pay rent. |
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Term
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Definition
| Tenant remains in possession after lease expires. |
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Term
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Definition
| Either party may terminate the lease. |
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Term
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Definition
| Seller leases property back from purchaser. |
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Term
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Definition
| Lease calls for periodic increases |
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Term
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Definition
| A lessee assumes all or a portion of expenses. |
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Term
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Definition
| Examination of the abstract giving examiner's opinion. |
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Term
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Definition
| A credit for 'financial docs' settlement- closing statement |
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Term
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Definition
| A cost/charge 'owe' for financial documents/ settlement closing statement |
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Term
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Definition
| The right of a co-op shareholder to occupy the unit. |
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Definition
| Owning shares of stock in real estate. |
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Definition
| Swap time with another owner. |
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Definition
| Single ownership within the master deed. |
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Term
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Definition
| Fees paid to maintain common areas. |
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Definition
| Right to use space for a specified period of time. |
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Definition
| Cube of space individually owned in a high-rise. |
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Definition
| Space jointly owned by condo owners. |
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Definition
| Owning a unit jointly with another. |
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Term
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Definition
| Condo doctrine that outlines rules of the regime. |
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Term
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Definition
| States condition of the title. |
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Term
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Definition
| Condensed history of the title. |
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Term
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Definition
| Dividing expenses between buyer & seller. |
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Term
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Definition
| Affidavit signed by sellers stating there are no unpaid bills against the property. |
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Term
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Definition
| Means of registering title. |
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Term
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Definition
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Term
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Definition
| An accounting of costs (debits) and credits to buyer and seller. |
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Term
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Definition
Land-area above
-surface of earth
-area below
Everything is attached naturally (trees, crops) |
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Definition
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Term
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Definition
| 'Physical characteristic' of land, cannot be destroyed. |
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Term
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Definition
| Inheritable property (real or personal) |
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Term
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Definition
| Personal property that becomes 'real' when permanently attached to real property - appliances/lights..... |
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Term
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Definition
| The governing body of the land retains ownership of real property. |
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Term
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Definition
| Rights to the land of another gained through continuous use. (The beach scenario... the house has a walkway through the beach) |
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Term
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Definition
| Property of an intestate passes to heirs by descent. |
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Term
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Definition
| Title appears to be good but upon a title search is found to be defective. |
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Term
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Definition
| An addition to a will that may alter the provisions of the will. |
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Definition
| Personal property movable in nature. |
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Term
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Definition
| Loss of land due to sudden flow of water. |
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Term
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Definition
| System of land ownership that permits individuals to own land in fee simple (the king allowed) |
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Term
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Definition
| An assessment on real property according to market value. |
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Term
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Definition
| Addition to land through natural causes (water flow) |
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Term
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Definition
| (dry land) Leftover land after water recedes. |
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Term
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Definition
| Annual crops cultivated by the tenant - can still harvest 1 year after off of land. |
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Term
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Definition
Easement = Cannot revoke and creates interest in land
License = Can revoke, NO interest in land. |
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Term
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Definition
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Term
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Definition
| Document issued by government granting free title to public lands - (miners, settlers, war veterans) |
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Term
| Deed in Lieu of Foreclosure |
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Definition
| Allows a family to default on loan without foreclosure. |
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Term
| Truth in Lending ___ Enforced By: |
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Definition
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Term
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Definition
| Regulates: city brokers from getting together to set commission rates. |
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Term
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Definition
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Term
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Definition
1) originate loans
2) service loans
3) give FHA & VA loans |
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Term
| Regulation (truth in lending) |
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Definition
| If property will be used as a residence - 'true cost of the loan' |
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Term
| Fully Amortized Loans vs. Partially Amortized Loans |
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Definition
Fully amortized: No, balloon
Partially amortized: Yes, balloon |
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Term
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Definition
| Low payments which will increase so that it becomes fully amortized. |
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Term
| Certificate of No Defense |
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Definition
| Used mainly in secondary market- reiterates the mortgage balance money |
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Term
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Definition
| Lender issues after note is paid in full. |
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Term
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Definition
| Trustee issues after note is paid in full. |
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Term
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Definition
A mortgage carried by the seller
ie: a developer sells a lot and agrees to take back the mortgage |
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Term
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Definition
| Percentage only payments, balance due by end of term (no principal reduction) |
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Term
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Definition
| A single mortgage that covers 2 or more properties. "land under development for a subdivision" |
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Term
Pur Autre Vie
Life Estate With Reversionary Percent |
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Definition
"Based on the life of another"
Grantor grants life estate on X's life, but when X dies, interest reverts back to grantor. |
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Term
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Definition
| Typically how a corporation holds title. |
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Term
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Definition
| Sole ownership by one person or one entity (limited partnership) |
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Term
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Definition
The percentage held by a life tenant in a life estate:
1) conveys fee simple title
2) max % for an indefinite period |
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Term
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Definition
| Notice of a suit pending that could affect ownership |
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Term
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Definition
| Direct county sheriff to seize and sell a sufficient amount of defendants property, pay the debt and expenses of the person suing. |
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Term
| A Judgement Can Be Placed On: |
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Definition
| Real and personal property. |
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Term
| Planned Unit Development vs. Condo |
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Definition
PUD:
1) House and lot separate property
2) Ownership in a community association that owns the common areas.
CONDO:
1) Dwelling unit as separated property.
2) Undivided % in the land and other common elements. |
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Term
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Definition
1) time
2) title
3) interest
4) possession |
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Term
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Definition
1) If one person sells their %, the new person comes in as 'tenant in common', the remaining people are still 'joint tenants'
2) Ownership provides for automatic survivorship
3) If one dies, the others own together, no passing to heirs upon death. |
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Term
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Definition
1) One party may convey his portion without consent of the co-tenant.
2) Title is an undivided interest held by 2 or more people.
3) Can pass on to heirs. |
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Term
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Definition
The act of trespassing or intruding upon the domain of another, such as tree branches.
1) can be a nuisance
2) a prescriptive easement can result from encroachment
3) it can cause a title to be unmarketable |
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Term
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Definition
| Allows the mortgager the right to redeem their property upon payment of obligation. |
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Term
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Definition
| Certificate of no defense reveals the amount owed executed by the mortgager to an assignee. |
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Term
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Definition
| Allows lender to advance the loan and make it due immediately. |
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Term
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Definition
| Mortgage company uses interim financing to make loan until sold to investors. |
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Term
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Definition
| A map that recites the boundaries of an area of land as surveyed. |
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Term
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Definition
| Public summary of title changes on a particular property. |
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Term
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Definition
| Measurement describes property from the 'beginning point' using directions and distance. |
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Term
| When a Person Dies 'Testate' Real Property..... |
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Definition
| Be titled to the devisee (has a will) |
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Term
| Title Insurance Policy Includes: |
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Definition
1) legal description of property
2) schedule of exceptions
3) form of ownership involved |
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Term
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Definition
| Conduct a closing when the broker is out of town. |
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Term
| Handling an immediately cashable earnest deposit in a cooperative sale between brokers..... |
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Definition
1) earnest deposit check is made payable to selling broker
2) selling broker deposits check in trust account within 72 hours or before the end of the next banking day after the offer is accepted in writing.
3) selling broker writes a check from trust account made payable to listing broker, deliver to listing broker.
4) listing broker deposits check in its trust account. |
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Term
| Interstate Subdivisions "High Pressure Sales" |
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Definition
1) a broker licensed in Nebraska must accept responsibility for the legality of the acts of the subdivider
2) provide real estate commission a statement in writing that he/she is the designated broker... rec notify (REC)
3) direction with consent of REC can issue cease & desist order |
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Term
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Definition
| If salesperson/broker have _____ money with buyer, they must notify listing agent of relationship/_____ and money payment BEFORE purchase contract is signed. |
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Term
Broker Declares Bankruptcy
(What happens to trust money?) |
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Definition
| funds are disbursed as transactions and closed or terminated |
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Term
| Licensee Wishes to Purchase Property of his Principal.... |
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Definition
OK if:
1) written disclosure of his intent to purchase and principal
2) written disclosure that he/she holds a real estate license |
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Term
| Earnest Deposit Returned for Insufficient Funds.... What happens? |
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Definition
| The broker has no personal liability. |
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Term
| Brokers' License Expired for 1 Year, To Reinstate: |
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Definition
1) make an original application for a brokers' license
2) meet the broker education requirements
3) pass the brokers' licensing exam
**appeal revocation of license to appropriate district court |
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Term
| A Broker Can Enter Into a Disagreement Between: |
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Definition
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Term
| Attorney Must Review These Documents: |
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Definition
1) land contract
2) contract for deed
3) deed of trust |
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Term
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Definition
| Members serve for 6 years. |
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Term
| S.E.C. (Securities Exchange Committee) |
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Definition
| governs the broker and seller |
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Term
| Contract Rent vs. Economic Rent |
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Definition
Definition:
rent value that a property is currently renting for ....
Definition: what several properties are currently renting for |
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Term
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Definition
1) Can maintain as many trust accounts he/she chooses
2) in a 25- subdivision situation, the Nebraska broker who represents the 'Out of State' developer is responsible for the actions of the developer
3) if brokers' license is revoked, broker must send in his/her license and all salespersons/associates ....
4) all payments are broker to broker only
$---trust account before closing
$---general business account after closing |
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Term
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Definition
| do NOT need a license to lease property for compensation |
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Term
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Definition
| There is no broker name - Illegal in Nebraska (NE Licensing Act) |
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Term
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Definition
1) If lessee vacates before the lease is up, they owe until end of lease.
2) Landlord must rent to handicap with seeing eye dog and cannot use the 'No pets allowed' excuse.
3) If landlord has correct tenant and wants to sell property, new buyer cannot move in until lease is up.
4) Lessee sublets- he is still responsible for the payment regardless of approval by landlord. |
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Term
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Definition
1) Gross lease- straight lease/ only rent.
2) Net lease- tenant pays taxes and utilities (pays expenses normally paid by the owner).
3) Straight lease- only rent.
4) Percentage lease- flat amount + percentage of profits.
5) Granted lease- allows for periodic adjustments of rent. |
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Term
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Definition
1) Stabilized budget- based on forecast of income/expenses anticipated over a period of years.
2) Projected budget-
3) Anticipated budget-
4) Operating budgeting- Expenses/income forecasted for the year. |
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Term
Apartment Manager vs. Condo Manager
(Similarities & Differences) |
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Definition
Similarities:
1) Accountability of expenses
2) Ordering operating supplies
3) Manages outdoor areas
Different:
1) Maintain interior of unit- only Apartment manager
2) Property management is a specialized field within the real estate industry
3) A property manager acts as an agent of the property owner
4) A property manager is a fiduciary
Property Manager does not equal a Resident Manager |
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Term
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Definition
Least %
1) Estate for years- definite period of time
2) Periodic tenancy- no set termination date (month to month)
3) Tenancy at will- use ok'd by landlord- either party can terminate - cancels at death of either party
4) Tenancy at sufferance- least amount (point of eviction)- lease over and they're still there |
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Term
| Sale & Leaseback (Advantage) |
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Definition
Releases working capital of the grantor
'Owner sells property to new buyer under the condition they lease back to _________ |
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