Reading...
Play button
Play button
Use LEFT and RIGHT arrow keys to navigate between flashcards;
Use UP and DOWN arrow keys to flip the card;
H to show hint;
A reads text to speech;
48 Cards in this Set
- Front
- Back
|
WHAT ARE THE QUESTIONS TO THE FOUR-PART TEST THAT SHOULD BE ASKED TO DETERMINE LIABILITY?
|
1. LEGAL DUTY OWED?
2. BREACH OF DUTY? 3. PROXIMATE CAUSE? 4. ACTUAL INJURY? |
|
|
WHAT ARE SOME OF THE QUESTIONS A PROPERY MANAGER MIGHT ASK TO EVALUATE THE FOUR-PART TEST?
|
|
|
|
WHAT ARE THE DEFENSES TO A TORT ACTION?
|
|
|
|
SUMMARIZE WHAT LEGAL DUTY IS FOR A REAL ESTATE OWNER/ PROPERTY MANAGER?
|
An invitee is a person who is invited onto property for business reasons, and would include customers of a retail store and job applicants. Property owners owe the highest degree of care to invitees to make sure they are safe from dangers on their property. Under this standard, a property owner not only has a duty to repair and correct known dangers, he also has a duty to reasonably inspect for, discover, and correct unknown hazards in those areas of the premises to which an invitee might have access.
|
|
|
EXPLAIN WHAT BREACH OF DUTY IS?
|
An invitee is a person who is invited onto property for business reasons, and would include customers of a retail store and job applicants. Property owners owe the highest degree of care to invitees to make sure they are safe from dangers on their property. Under this standard, a property owner not only has a duty to repair and correct known dangers, he also has a duty to reasonably inspect for, discover, and correct unknown hazards in those areas of the premises to which an invitee might have access.
|
|
|
WHAT IS STANDARD OF CARE?
|
In tort law, the standard of care is the degree of prudence and caution required of an individual who is under a duty of care. A breach of the standard is necessary for a successful action in negligence.
|
|
|
EXPLAIN WHAT PROXIMATE (OR LEGAL) CAUSE IS
|
Proximate cause is the primary cause of an injury. It is not necessarily the closest cause in time or space nor the first event that sets in motion a sequence of events leading to an injury. Proximate cause produces particular, foreseeable consequences without the intervention of any independent or unforeseeable cause. It is also known as legal cause.
|
|
|
WHAT ARE THE FACTORS THAT MUST BE SUFFERED IN ORDER TO RECIEVE COMPENSATORY DAMAGES?
|
LOSS
INJURY HARM |
|
|
WHAT IS INDEMNIFICATION?
|
An agreement between two parties not to hold one of them liable for future legal action or fines
|
|
|
WHAT ARE THE DEFENSES TO A TORT ACTION?
|
|
|
|
WHAT IS ASSUMPTION OF RISK?
|
A defebse which entails proving that the plaintiff knew of a dangerous condition and voluntarily exposed himself or herself to it.
|
|
|
WHAT IS COMPARATIVE NEGLIGENCE?
|
"Comparative negligence" comes into play when both parties have failed to act reasonably - for example, when someone speeding in dense fog hits another car that had no headlights on.
|
|
|
WHAT IS CONTRIBUTORY NEGLIGENCE?
|
The term “contributory negligence” is used to describe the actions of an injured person that may have also caused or contributed to his injury. For example, if you were hit by a bike while crossing the street, but you jumped into the street without looking first then your carelessness will be taken into consideration and any money that you receive may be discounted because of your own carelessness.
|
|
|
WHAT ARE THE FIVE FUNDAMENTAL DEMOGRAPHIC TRENDS?
|
Aging of the baby boomers
Explosion in # of young households Changing composition of households Continuing high level of immigration Growing ethnic diversity |
|
|
WHEN INTERPRETING HOUSING AFFORDABILITY INDEX WHAT DOES IT MEAN IF:
= 100? > 100? < 100? |
= 100 MEANS A FAMILY WITH THE MEDIAN INCOME HAS EXACTLY ENOUGH INCOME TO AFFORD A MORTGAGE ON A MEDIAN-PRICED HOME.
> 100 MEANS A FAMILY WITH A MEDIAN INCOME HAS MORE THAN ENOUGH MONEY TO AFFORD A MEDIAN-PRICED HOME AS AN EXAMPLE, A HAI SCHOE OF 120 MEANS THAT A FAMILY EARNING A MEDIAN INCOME HAS 120% OF THE INCOME NECESSARY TO QUALIFY FOR A CONVENTIONAL LOAN. AN INCREASE IN HAI MEANS THIS FAMILY CAN AFFORD MORE THAN JUST A MEDIAN PRICED HOME. CALCULATIONS ASSUME DOWN PAYMENT OF 20% |
|
|
WHAT IS THE CASE-SCHILLER INDEX?
|
The S&P/Case-Shiller Home Price Indices measures the residential housing market, tracking changes in the value of the residential real estate market in 20 metropolitan regions across the United States
|
|
|
WHAT IS THE EQUATION TO DETERMINE A "FRONT-END RATIO"?
|
MONTHLY HOUSING EXPENSE/
MONTHLY INCOME |
|
|
WHAT IS THE EQUATION TO DETERMINE A "BACK-END RATIO"?
|
(TOTAL MONTHLY DEBT EXPENSE/GROSS MONTHLY INCOME)*100
|
|
|
WHAT IS A LOSS FACTOR IN RENTABLE SPACE?
|
THE PERCENT OF SPACE NOT CONSIDERED USEABLE
|
|
|
WHAT IS A NET LEASE?
|
WHEN A LESEE AGREES TO PAY EXPENSES THAT ARE NORMALLY ASSOCIATED WITH OWNERSHIP.
|
|
|
WHAT TYPE OF LAW ARE RESIDENTIAL LEASES UNDER?
|
STATUATORY LAW--MEANING THAT STATES HAVE STATUTES IN PLACE THAT GOVERN AND PROTECT TENANTS.
|
|
|
REAL ESTATE TRANSACTIONS, BY LAW, MUST BE WRITTEN EXCEPT FOR WHAT 3 EXCEPTIONS?
|
1. AN OFFER WAS MADE
2. AN OFFER WAS ACCEPTED 3. CONSIDERATIONS WERE GIVEN |
|
|
WHAT DOES URLTA STAND FOR? AND WHAT IS IT?
|
- UNIFORM RESIDENTIAL LANDLORD TENANT ACT
- ADOPTED BY APRX 26 STATES, THIS UNIFORM SET OF STANDARDS ESTABLISHES LANDLORD REQUIREMENTS FOR INTEREST ON DEPOSITS, 30-DAY NOTICES, ETC. |
|
|
COMMERCIAL LEASES FALL UNDER WHICH TYPE OF LAW?
|
CONTRACT LAW--BECAUSE BOTH LESSOR AND LANDLORD ARE CONSIDERED PROFESSIONALS AND ARE HELD TO MORE EQUAL STANDARDS.
|
|
|
WHAT IS THE LEGAL TERM USED TO DESCRIBE THAT REAL ESTATE TRANSACTIONS BE IN WRITING AND SIGNED BY ALL PARTIES?
|
STATUTE OF FRAUDS
|
|
|
WHAT IS MUTUAL CONSIDERATION?
|
IN ORDER TO HAVE A VALID CONTRACT, BOTH PARTIES HAVE A SIMILAR UNDERSTANDING OF THE TERMS.
|
|
|
WHAT IS A BREAKPOINT IN PERCENTAGE RENTS?
|
THE THRESHOLD AGREED UPON WHERE PERCENTAGE RENTS KICK IN ONCE CROSSED.
|
|
|
WHAT IS THE MOST COMMON WAY OF DETERMINING A NATURAL BREAKPOINT?
|
ANNUAL BASE RENT/ PERCENTAGE RENT RATE
$120,000/.05 = $2,400,000 IN THIS CASE, WHEN RETAIL SALES EXCEED $2,400,000 A 5 PERCENT OF EACH ADDITIONAL DOLLAR IS OWED TO LANDLORD. |
|
|
WHAT IS A FORCE MAJUERE CLAUSE?
|
a common clause in contracts which essentially frees both parties from liability or obligation when an extraordinary event or circumstance beyond the control of the parties, such as a war, strike, riot, crime, or an event described by the legal term "act of God", prevents one or both parties from fulfilling their obligations under the contract.
|
|
|
IN A LEASE, WHAT IS A COVENANT OF CONTINUOUS OPERATION?
|
THE TENANT IS NOT ALLOWED TO GO DARK, EVEN IF THEY ARE NOT MAKING A PROFIT.
|
|
|
IN A LEASE, WHAT IS A RADIUS CLAUSE.
|
TENANT MAY NOT OPEN A STORE WITHIN A SPECIFIED AREA.
|
|
|
IN BANKRUPTCY, WHAT IS AN AUTOMATIC STAY PROVISION?
|
A TENANT CANNOT BE KICKED OUT OF THEIR SPACE UNTIL AFTER COURT PRECEDINGS.
|
|
|
BRIEFLY EXPLAIN THE DIFFERENCES BETWEN CHAPTER 7, 11 AND 13 BANKRUPTCIES:
|
Chapter 7 - Debt goes away. You cannot be behind on your house, car, etc to keep them. You cannot have massive amounts of "stuff" including equity in home/car.
Chapter 13 - Lets you repay some debt at a percentage over time (up to five years). Perfect if you are behind on car or house. You get to pay the arrears over time. Chapter 11 - Like 13, except only applies if you have over $200,000 in unsecured and/or $800,000 in secured debt. (Those are the round limits.) |
|
|
WHEN A PROPERY IS ABANDONED WHAT SHOULD THE LANDLORD DO?
|
LANDLORD SHOULD GO THROUGH THE NORMAL EVICTION PROCESS.
|
|
|
HOW DO YOU DETERMINE THE ACTUAL COST VALUE? (AKA MARKET VALUE)
|
= REPLACEMENT COSTS - DEPRECIATION
The cost to replace with new property of like kind and quality, less depreciation |
|
|
WHAT IS THE REPLACEMENT COST VALUE?
|
THE VALUE TO REBUILD THE BUILDING.
The cost to replace the property on the same premises with other property of comparable material and quality used for the same purpose |
|
|
WHAT ARE THE 5 KEY QUESTIONS IN MARKET RESEARCH?
|
1. RENT
2. SIZE AND TYPE 3. AMENITIES 4. WHEN 5. WHERE |
|
|
What are the four components to a property manager's strategic plan?
|
1. Evaluate Property Problems and Opportunities
2. Evaluate Investor Goals and Objectives 3. Develop Plan for meeting Goals and Objectives 4. Implement Plan for meeting Goals and Objectives |
|
|
What are the main components of a property manager's contract with the owner?
|
• Property ID
• Commencement Date • Responsibilities & Duties • Insufficient Income • Payment of Expenses • Termination • Insurance & Liability • Reporting, Auditing, Record Keeping • Leasing Standards • Communication |
|
|
What are some options that the landlord has when the tenant refuses to pay rent?
|
Take possession and sue for back rent.
|
|
|
What are the three options for a landlord if the tenant breaches the lease?
|
1. Accept the tenants surrender: thus releasing the tenant from having to pay future rents
2. Relet on the tenant’s account: Landlord refuses to accept the tenants surrender, but rather finds a new tenant, and may sue the old tenant to recover the difference in rental price 3. Wait and sue for the rent at the end of the lease term versus mitigate damages |
|
|
What is the difference between assignment and sublet?
|
o Sublet: the initial tenant remains liable
o Assignment: The lease is transferred to the new tenant and initial tenant is not liable |
|
|
In a principal-agent relationship, what is the difference between and agent and a servant?
|
An agent does is not controlled daily from the principal, a servant is.
|
|
|
What type of people make up the creative class?
|
scientists,
artists, musicians, engineers, designers, knowledge-based professionals |
|
|
According to the author of The Creative Class, what are the three "Ts" needed for growth?
|
Technology,
Talent, Tolerance |
|
|
The four measurements that should be studied according to Organizational Ecology are..
|
1. Quality
2. Mission and Goals 3. Rewards and Incentives 4. Employee involvement |
|
|
What are the three types of organizational strategy?
|
1. Process-oriented
2. Project-oriented 3. Hybrid of the two (most common) |
|
|
In Spike World, the author says that Globalization has two sides. What are they?
|
The first is the geographic spread of routine functions such as manufacturing and service work(ie anwering phone calls)
The second is the tendancy for higher level economic activities such as innovation, design, finance, and media to cluster in a relatively small number of places |
