Details Title: PA Real Estate Exam Description: Serving Buyers Total Flash Cards: 29 Created: 07/19/2005 09:20:44		New Users: To study from this flashcard set, or to create your own your own study flash cards, REGISTER HERE. Existing Users: CLICK HERE. Additional Real Estate & Planning Flashcards
Cards in this set: Term What do you do on an initial appointment Definition Provide and explain the Consumer Notice Discuss the expectations and concerns regarding the purchase of property Complete buyer's representation agreement and obtain the buyer's signature Determine if buyer has been preapproved, if not get buyer's agreeent to get pre-approved Discuss mrotgage loan alternatives and max. loan amount Discuss cash needs and availability Compare the purchaser's expectations w/financial position and discuss issues related to this Agree on a search strategy Term When presenting a property Definition Offer the property as a colution the the expectations Confirm that the property is on targer or clarify what doesn't meet expectations but also what does If necessary adjust your analysis of their expectations or work to adjust the purchaser's expectations If necessary show another property as a solution to their needs Term When the purchaser is ready to make an offer: Definition Prepare and review the estimate of settlement costs to the purchaser prepare and review the purchase agreement, making recommendations that are necessary to protect the buyer's interests Make a copy of all documents for the purchaser Present the offer to the seller/agent Term TRUE/FALSE according to PA Real Estate Commission's Rules/Regulations The use of untruthful/misleading advertising is ok under certain circumstances Definition FALSE Term TRUE/FALSE according to PA Real Estate Commission's Rules/Regulations A licensee may not advertise nor solicit for prospective buyers or tenants without the consent of the owner of the property Definition TRUE Term TRUE/FALSE according to PA Real Estate Commission's Rules/Regulations A rental listing referral agent may publish infomation about a rental property even when the owner or property manager requests that such info not be published Definition FALSE Term TRUE/FALSE according to PA Real Estate Commission's Rules/Regulations The business name and telephone number of the broker must appear in all advertising. This includes all e-mails and on each page in a web site Definition TRUE Term TRUE/FALSE according to PA Real Estate Commission's Rules/Regulations If an advertisement includes the name and/or telephone number of a licensed employee, the broker's and sales associate's business anme and telephone number must be EQUAL in size Definition TRUE Term TRUE/FALSE according to PA Real Estate Commission's Rules/Regulations The unauthorized use of any trade marked or copyrighted term is considered misleading advertising Definition TRUE Term TRUE/FALSE according to PA Real Estate Commission's Rules/Regulations Licensees may not solicit for listings with such frequency as to consitute harassment Definition TRUE Term TRUE/FALSE according to PA Real Estate Commission's Rules/Regulations It is ok for licensees to solicit in such a way as to make sellers believe that they HAVE to sell or face trouble, ie. panic selling Definition FALSE Term TRUE/FALSE according to PA Real Estate Commission's Rules/Regulations A broker who sells or leases his own real estate must disclose that he is a real estate broker in the ad Definition TRUE Term TRUE/FALSE according to PA Real Estate Commission's Rules/Regulations A liscensee who sells or leases his or her own real estate must disclose that she is a liscensee in the ad Definition FALSE: If they list w/a broker they do not, if they are a FSBO they do Term TRUE/FALSE according to PA Real Estate Commission's Rules/Regulations Soliciting selling or offering for sale real prperty by offering free lots or conducting lotteries or contests or offering prizes to deceptively influence a purchers is considered mi Definition TRUE Term TRUE/FALSE according to PA Real Estate Commission's Rules/Regulations An advertisement that states sales volume or production can refer to any transaction Definition FALSE only to closed transactions Term TRUE/FALSE according to PA Real Estate Commission's Rules/Regulations An ad about production or market position must identify the municipality that the market comprises Definition TRUE Term TRUE/FALSE according to PA Real Estate Commission's Rules/Regulations An ad about the number of offices can include only offices that are licensed in PA Definition TRUE Term Buyer must have sufficient cash for... Definition the closing costs down payment (not ernest money) amount varies according to the maximum loan to value ratio Term Loan-to-value ratio Definition the percentage of the property value that is finaced loan-to-value ratio = Mortgage loan amount% Property value Property value=appraised value or sale price, whichever is LESS Term income-to-payment ratio Definition the total montly housing expense(PITI)may not exceed a certain percentage of the borrower's gorss verifiable monthly income. Most commonly 28% Term Debt-to-income ratio Definition the borrower's total montly debt (existing montly debt and a new housing expense payment) may not exceed a certain percentage of the borrowers gross verifiable montly income. Most commonly 36% Term Fair Isaac Company Definition company that invented credit scoring. FICO score 200-800 Term Agreement of sale must have: Definition date names of buyer and seller description of the property and interest to be conveyed the sale price the dates for payment and conveyance statement that the broker is agent for whom the zoning classification of the property a satement requiring broker to escrow deposit money a statement that the real estate recovery fund exists to reimburse a person A statement that access to a public road may require issuance of a highway occupancy permit from DOT Term Mortgage contingency Definition a common contingency on a purcahse aggreement. It states that the amount of mortgage loan, maximum interest rate and minimum term, a mortgage committement date and nature and extent of assistance that the broker will render to the buyer. If the mortgage cannot be obtained under those terms the sales agreement is voidable Term Common contingencies Definition Zoning variance, certifications for room, plumbing, heating, well, septic, the sale of another property the approval or disapproval of another person Term Radon Definition Invisible, undetectable to the unaided gas which is cancer causing Term UFFI Definition Urea Formaldehyde Foam Insulation Term Wood Infestation Definition presence or historical presence of termites, carpenter ants etc. Term PITI Definition Principle interest tax and insurance. used to calculate total montly housing expense