- The employer of an agent or broker; the broker's or agent's client. - Legal policy mandates that a deed to real property be a matter of public record; therefore, subsequent to delivery and acceptance, a deed must be properly recorded. Behind the siding is a layer of sheathing. Duress is the unlawful constraint or action exercised upon a person whereby the person is forced to perform an act against his or her will. Responsible for determining a municipality's tax rate. Must pass state administered real estate exam. Air Rights The right to use, control and occupy the space above a particular parcel of land. - A legal proceeding by a lessor landlord to recover possession of real property. - Vertical framing members found in wall construction. Right of the gov't to acquire property for necessary public use by condemnation; the owner must be fairly compensated. Monthly payments by a shareholder to a cooperative corporation. The interest rate decreases not the down payment. Absolute ownership of a real property; a person has this type of estate where the person is entitled to the entire property with unconditional power of disposition during the person's life and descending to the person's heirs or distributees. A key document provided during the purchase of a cooperative, which includes information required to be disclosed to the purchaser. A type of deed where the grantor guarantees that he or she holds clear title to a piece of real estate and has a right to sell it to the grantee. Federal law designed to control air pollution on a national level. Responsibility of the Zoning Board of Appeals. Before I took the real estate express final exam I re-read every chapter summary and I quizzed myself on all the "check your understanding" questions. The actual interest rate charged, including loan fees and points. Read More Here. The owner's rights and obligations for a condominium. A naturally occurring mineral fiber sometimes found in older homes. If Federal or City building code is more stringent on particular issue, the more stringent Code will supersede the State code. A crime punishable by up to a year in prison and/or a $1,000 fine. The lender in a traditional mortgage loan transaction is known as what? - A chronic lung disease caused by inhaling asbestos fibers. The primary public land-use control is zoning and issued by the government. A chronic lung disease caused by inhaling asbestos fibers. Form the topic; you are given questions to attempt. Both terms pertain to spouses. Local elected or appointed gov't board charged with recommending to the local town or city council the boundaries of the various zoning districts and appropriate regulations to be enforced therein. At the very end of each exam, there is a recap of the questions you got right or wrong, which is also very helpful to look at. The ADA is a civil rights law that prohibits discrimination against individuals with disabilities in all areas of public life, including jobs, schools, transportation, and all public and private places that are open to the general public. Disclosure statements, purchase contracts, and exclusive agency contracts are all legal documents but it is the listing agreement that clearly defines the relationship between the broker and seller. Closing is called many names depending on which region of the U.S you are from. AKA Slope. A fixture is any physical property that is permanently attached to real property. A mortgage loan with the interest rate on the note. The practice of inducing homeowners in a particular neighborhood to sell their homes quickly, often at below market prices, by creating the fear that the entry of a minority group or groups into the neighborhood will cause a precipitous decline in property values. More specifically its a measure of the value of an investment property that is obtained by dividing the property's sale price by its gross annual rental income. - An accounting statement that forecasts income and expenses for a period of time, typically five or more years. The only way the buyer can back out and get their earnest money back is if something happens with the inspection, appraisal, or they have a contract clause offering that protection. Mrs. Jackson signs an open listing on her home with three different brokers. A type of deed where the grantor guarantees that he or she holds clear title to a piece of real estate and has a right to sell it to the grantee. Which answer includes 3 actual types of business structures? A valuation placed upon property by a public officer or a board, as a basis for taxation. A lien imposed by law upon a property to secure the payment of taxes. Volunteers from state or private agencies who enforce fair housing by claiming to be home seekers, thereby finding out if brokers deal fairly with all clients/customers. The subreddit or forum should show up. Taxes, mortgages, mechanic's lien, etc. A lien that only binds to a specific asset or property. Riparian literally means "riverbank". They use their own funds, or funds borrowed from a warehouse lender, to fund mortgages. - A horizontal structural member that supports a floor. Which of the following would be classified as consideration in a real estate contract? A blind offer in real estate is a purchase contract written by a buyer without seeing the property. A contractual or consensual lien that is created by an action taken by the debtor, such as a mortgage loan to buy real estate. - A federal prohibition that protects buyer/renter of a dwelling from seller/landlord discrimination with regards to race, color, religion, gender, national origin, familial status, or disability. An estate for years is not automatically renewed. - Conspiring to establish fixed fees or prices for services or products. In Florida, there are 100 questions on the exam. The right of any political body to enact laws and enforce them, for the order, safety, health, morals and general welfare of the public. A person whose principal business is the originating, financing, closing, selling and servicing of loans secured by the real property for institutional lenders on a contractual basis is referred to as a? The means or medium by which title of real estate is transferred. Any right to or interest in the land interfering with its use or transfer, or subjecting it to an obligation. Must pay state mandated real estate agent fees. The formula for finding commission is pretty simple. They are the Market Data Approach, Cost Approach, and Income Approach. Similar to a receipt, a bill of sale is a written instrument that attests to a buyer's purchase of property from a seller. Need state practice? It is a serious breach of a real estate agent's fiduciary duty to the seller not to present all purchase offers. Regulations established by state or local governments stating fully that structural requirements for building. A VA loan is a mortgage loan available for military service members, veterans, and eligible surviving spouses. An estimate of a property's value by an appraiser who is usually presumed to be expert in his work. Aside from that, most VA loans require moderate credit. What is the illegal action or practice of lending money at unreasonably high rates of interest? - Regulations established by state or local governments stating fully that structural requirements for building. Also known as the "to have and to hold'" clause. CMA is NOT an appraisal. Tina and Tom are two unmarried individuals who own property with equal interests and without a right to survivorship. All states require U.S citizenship and proof of state-specific residency. a lien or a mortgage. There are some circumstances in real estate where a written contract is not required, so it is not ALL real estate contracts, but it is ALL real estate sales agreements. A listing agreement is a service contract between the seller and the broker, or brokerage company. In this example the answer is indefinitely, since they are a past client. Is this correct? - A company, individual or institution that originates mortgages. - A document acknowledging the payment of a mortgage debt. Sometimes people forget there are hundreds of others in the same boat. The buyer has the right to: An agent must reveal all property facts and defects known at the point of sale. Want to practice real estate exam questions every day; this is the perfect playlist for you. Read More Here. Mortgage points are directly paid to the lender or bank at closing. - Structural walls that transfer building loads down to the foundation. One cause of depreciation. Escheat is part of the reason it's critical to have a will or when you are purchasing property you establish a clear right to survivorship. No fee is earned if the owner alone sells the property. Taking private property for public use, with fair compensation to the owner; exercising the right of eminent domain. Any right to or interest in the land interfering with its use or transfer, or subjecting it to an obligation. It is the _____ duty to explain the purchase agreement and to not mislead any parties. Clause found in real estate contracts that may allow buyers to walk away from an agreed upon sale for any reason. A deed which conveys simply the grantor's rights or interest in real estate, without any agreement or covenant as to the nature or extent of that interest, or any other covenants; usually used to remove a cloud from the title. RE is one of the few industries that you could literally make one sale a month and live comfortably. Financial term used by lenders to express the ratio of a loan to the value of an asset (property) purchased. If supply rises more than demand, we get a decrease in price. Local appointed board that has the power to review administrative rulings made by the planning board or another legislative body. The right of a property owner whose land borders a natural water course, such as a river, to reasonable use and enjoyment of the water that flows past the property. If you are new to all of this, dont worry, we gotcha covered. When an asset is no longer useful to its owner, then it is said to be past its economic life. A town or city agency that oversees and reviews building applications by licensed professionals to ensure compliance with local building code and zoning ordinances. A measure of land equaling 43,560 square feet. that must be transacted for a successful transfer of ownership to take place. This is common with sales contracts with extensive and detailed legal descriptions. Mandated warranty for new construction according to the NYS General Business Law 36-B. - The authorization to improve or develop a particular property in a manner not authorized by zoning. Beams are typically wood, cold formed metal framing or steel. A balloon loan is different as not all payments are the equally divided and the most substantial payments are called Balloon payments. - A lien that only binds to a specific asset or property (Example: mortgage). - Responsible for developing and controlling a municipality's comprehensive strategy for growth and development. Parcels without access to a public way may have an easement of access over adjacent land if crossing that land is absolutely necessary to reach the landlocked parcel and there has been some original intent to provide the lot with access. A prepayment penalty clause states that a lender can penalize a borrower if the borrower pays off the mortgage much sooner than usual. It may also provide liability coverage against accidents in the home or on the property. Legal agreement by which a bank lends money in exchange for taking title of the debtor's property, with the condition that the conveyance of title becomes void upon payment of the debt. A leasehold estate for any specific period of time. Fee simple absolute is the greatest interest in a parcel of land that one can possibly own. REALESTATEU FINAL EXAM Flashcards | Quizlet Social Science Economics REALESTATEU FINAL EXAM Term 1 / 109 Article 12-A of the NYS Real Property Law Click the card to flip Definition 1 / 109 - The section of the New York Real Property Law pertaining to real estate salespersons and brokers. - An appraisal technique whereby the value of an income producing property is estimating by capitalizing its net operating income using an appropriate capitalization rate. A single agency has a relationship with the buyer or the seller, but not both. A document acknowledging the payment of a mortgage debt. Choose the best answer. I have colleagues that worked for commissions on internships doing door to door pesticide sales - that is scraps. - Legal term for a bundle of rights in a piece of property in which a party may own either a legal interest or equitable interest. The seller extends to the buyer a junior mortgage which wraps around the existing in addition to any superior mortgages already secured by the property. Value=Income/Rate. Honesty and fairness must be given to an unrepresented buyer. A tenant who remains in possession of leased property after the expiration of the lease term. Service Contracts are agreements between a customer or client and a person or company who will be providing services. This practice is illegal. Contains no warranties whatsoever, its just a deed of release. Remember, liquidated damages are the amount agreed to in advance that will compensate a party for any loss they suffer on a purchase contract. - The right of a property owner whose land borders on a body of water, such as a lake, ocean or sea, to reasonable use and enjoyment of the shore and water the property borders on. A series of documents submitted for the review by a cooperative board. Oversees and upholds the quality and aesthetics of a neighborhood, town or city. Disclosure Regarding Real Estate Agency Relationships Form, - An agreement of employment of a broker to the exclusion of all other brokers; if sale is made by any other broker during term of employment, broker holding. *Write the resulting set using the listing method. This act protects consumers from being wrongfully discriminated. The act prohibits creditors and lenders from considering a consumers race, color, national origin, sex, religion or marital status in deciding whether to approve their credit application. Interpreter of the zoning ordinance. Fuse melts and opens the circuit, causing electrical power to stop when overheating occurs. - A document commonly used in real estate transactions, detailing the fees, commissions, insurance, etc. Also called excess insurance. Zoning usually increases the marketability of the property. Lastly, an (LLC) is a hybrid legal entity that has certain characteristics of both a corporation and a partnership or sole proprietorship. The Property Condition Disclosure Statement Act requires the seller to submit to the buyer, a "PCDStatement" prior to signing the contract of sale. Below we put together a complete list of extra free study resources in hopes that you can pass your real estate exam the first time. - A document issued by a governmental authority that a building is ready and fit for occupancy. 3% on a $400,000 property is $12,000. Any method of reducing taxable income resulting in a reduction of the payments to tax collecting entities, including state and federal governments. Some areas of the country may call it settlement and transfer some may call it passing papers. The EPA was established in December 1970 by an executive order of United States President Richard Nixon. It is an agent's duty to explain to purchase agreement and not mislead both or either parties. Regulation Z/Truth in Lending Act of 1968. Bundle of Legal Rights what would qualify as real estate Attached Garage Tyler owns a property that is on the Arkansas River. During your time as agent you will run into many different types of people from areas across the world. (e) Supplies. Generally speaking, homeowners should have a solid credit score to refinance, although there are a few exceptions in government run loan assistance programs. Why is an oral lease for two years not generally enforceable in law? Our real estate practice exam pulls from a large pool of questions, so you can expect a different study experience each time you take it. A corporation is managed and operated by a board of directors. Real Estate Mathematics 349 Questions 351 Answers 366 APPENDIX A Salesperson's Practice Final Examination 379 General Information 379 Specific Information 379 Exam Content Outline and Allocated Percentage 380 Sample Salesperson Real Estate Licensing Examination 382 Answers 391 QA_Help_Pass_RE_Exam_9E.indb 4 9/12/2014 10:31:40 AM SAMPLE Travel Inc. sells tickets for a Caribbean cruise on ShipAway Cruise Lines to Carmel Company employees. Real Estate Finance 30 Final Exam & Answer Key 1) For all practical purposes, an "Alienation Clause" is basically the same as a: a) Call Clause . Upon the death of a tenant in common, that share is transferred to the estate or heir of the deceased tenant. You are given expert assistance in 64 subjects. - The market where mortgage loans and servicing rights are bought and sold between mortgage originators, mortgage aggregators (securitizers) and investors. Test the null hypothesis $H_0: \mu_d \geq 110$ versus $H_a: \mu_d<110$ by setting $\alpha$ equal to $.05$ and $.01$. Scarcity: Limited in supply, as supply diminishes, value increases. Richard is renting property from Becky. A failure to disclose this information may allow the buyer to rescind the contract. In retrospect, antitrust laws protect the consumer and are healthy for a stable economy. These drawings describe the QUANTITIES used in construction. A lien that only binds to a specific asset or property (Example: mortgage). - Insurance policy that covers amounts above those covered under one or more other primary policies, and which does not pay until the losses exceed a certain sum. Which of the following best describes Eminent Domain? A buyer of a home was not informed that his house was on a septic tank system. This past month he did not pay his rent. If a court decides a remedy for a seller compelling them to sell the property, it is known as what? A card issued by the Department of State to each licensee which contains the photo, name and business address of the licensee, and, in the case of a real estate salesperson, the name and business address of the broker with whom he or she is associated and shall certify that the person whose name appears thereon is a licensed real estate broker or salesperson. Parcels without access to a public way may have an easement of access over adjacent land if crossing that land is absolutely necessary to reach the landlocked parcel and there has been some original intent to provide the lot with access. A voidable contract is a legal agreement between two parties that may be unenforceable for any number of reasons. - Primary purpose is to "Protect the Public" Real estate exams are administered at hundreds of locations across the United States, depending on where you live. - The sequence of historical transfers of title to a property. Refusal to lend money within a specific area for various reasons. Beams are typically wood, cold formed metal framing or steel. What is the document that defines the relationship between the broker and the seller? Mortgage bankers use their own funds, or funds borrowed from a warehouse lender, to fund mortgages. So in this case take $250,000 and multiply it by .06 or 6%. States that the borrower can pay off the loan at any time before expiration of the full mortgage term without a financial penalty for early payoff. Valuation method which compares a subject property's characteristics with those of comparable properties which have recently sold in similar transactions. PCBs known to leak into the ground from electrical transformers. What is the seller in this situation? An appraisal technique whereby the value of an income producing property is estimated by capitalizing its net operating income using an appropriate capitalization rate. The Federal Housing Administration (FHA) provides mortgage insurance on single-family, multifamily, manufactured home, and hospital loans made by FHA-approved lenders throughout the United States and its territories. Fiduciary duties include: Loyalty, confidentiality, disclosure, obedience, reasonable care and diligence, accounting and more. That section can be used to study the topics featured on those 80 questions. - A material used in pipes and paint of many older homes. Form of secondary financing for the purchase of real property. Oversees and upholds the quality and aesthetics of a neighborhood, town, or city. These rights include the right to use and/or copy, the right to sell in whole or in part, the right to lease, the right to bequeath and the right to do none of the foregoing. Determines the usage allowed for a building or subdivision. You can check that out right here. A written document produced by an Architect that describes the QUALITY of construction for a building. A document acknowledging the payment of a mortgage debt. Title to real estate is in the name of only ONE person or entity, it is an estate ownership in severalty i.e. The economic life of an asset could be different than its actual physical life. If that sounds good, check out these crash courses: Between our real estate prep course, real estate practice exams, and video lessons there is no better way to prepare for your real estate exam. By far, the most substantial chunk of the real estate license exam is the vocabulary. When pre-existing use of property in a zoned area is different from that specified zoning. Considered a proprietary lease and personal property (NOT real. Drawings produced by Architects that describe the quantities of a. 1 No_Vacation3909 2 yr. ago Take as many multiple choice banks you can as possible and understand why each answer is not the right answer. To pass the exam in New York, you'll need to get a score of at least 70%. Typically placed 12", 16" or 24" on center. A company, individual or institution that originates mortgages. A document commonly used in real estate transactions, detailing the fees, commissions, insurance, etc. - Primary purpose is to "Protect the Public" - Requires a salesperson to be at least 18 years of age - Requires a broker to be at least 20 years of age Sponsor A licensed real estate broker that holds the license of a salesperson. Transferability: Able to transfer from one owner to another. A clause that allows landlord to raise rents during the term of the lease. Obsolescence may be either economic or functional. Some but not all states require proof of errors and omissions insurance. Anderson's Business Law and the Legal Environment, Comprehensive Volume, David Twomey, Marianne Jennings, Stephanie Greene, Elliot Aronson, Robin M. Akert, Samuel R. Sommers, Timothy D. Wilson, Claudia Bienias Gilbertson, Debra Gentene, Mark W Lehman. Structural walls that transfer building loads down to the foundation. Rights in real property to use the space above the surface of the land. A crime punishable by up to a year in prison and/or a $1,000 fine. This type of deed contains the strongest guarantee of title. You can't have that form of ownership with two unmarried individuals. Voidable contracts have the necessary elements to be enforceable, so they appear to be valid, but can be rejected by one party if the contract is discovered to have any number of defects. Texas Real Estate Exam Texas Real Estate Exam Flashcard Maker: Kirby Adcock 598 Cards - 19 Decks - 613 Learners Sample Decks: Principles Of Real Estate 2, Real Estate Finance 1, Real Estate Finance 2 Show Class Texas Real Estate Principles 1 Texas Real Estate Principles 1 Flashcard Maker: Nathan Hernandez 98 Cards - 9 Decks - 556 Learners The refusal to lend money within a specific area for various reasons. There are three different main approaches that appraisers use while they make an appraisal. Travel Inc. receives a commission of 6% of the total price. In plain terms, the principals in a real estate sales transaction would be the buyer and the seller. Normally if a background check is required so is the submission of fingerprints although they are usually handled at the same time and do not require additional steps. Now that I'm about to finish the course and take the practice exam i was reading the section named "it's time to prepare for your exam" and it says at the very end "A final note. - Drawings produced by Architects that describe the quantities of a building. A mortgagee is an entity that lends money to a borrower (also known as a mortgagor) for the purpose of purchasing real estate. Richard is on a month to month lease agreement. The practice of inducing homeowners in a particular neighborhood to sell their homes quickly, often at below market rates, by creating the fear that the entry of a minority group or groups into the neighborhood will cause a precipitous decline in property values. Join over 10,000 subscribers and pass your exam today! It is hazardous to health when a possibility exists of exposure to inhalable fibers. Considered real property, which is conveyed by a deed. The actual interest rate charged, including loan fees and points, The market where mortgage loans and servicing rights are, A financial term used by lenders to express the ratio of a loan to the.