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400 Cards in this Set

  • Front
  • Back
property
rights or interests in the thing owned
real property
immovable
bearing wall
not leasehold estates
fixtures
incorporated into land
not cost
not time of attachment
trade fixtures
business office
run with the land
apurtenant
easements, water co., covenants and minerals
no separate conveyance
personal property
hypothecated, alienated, become real property
fee simple estates (fee estate) (estates in fee)
indefinite duration
freehold
most interest
not free of encumbrances
inheritance
fee simple defeasible
no alcohol
life estate, property is leased
owner dies, lease terminates
less-than-freehold estates (leases)
lessees
not necessary to sign
6 months - estate for years
personal property, chattel real
sublease
transfers possession
can sublease or assign if not mentioned
quiet enjoyment
paramount
abandonment
tenant leaves voluntarily
percentage lease
based on gross receipts
secruity deposit
furnished or not
estate of years
fixed period
license
personal, revocable
title vestings
tenancy = method
severalty
individual
joint tenancy
free of unsecured depts
TTIP
Time
Title
Interest
Possession
Can't be willed
jjtenancy in common
can convey separately
unity of possession
community property
husband & wife
community property - agreement to sell
unenforceable
cloud on title
single woman married
quiet title action
remove a cloud
alienation
convey
opposite of acquisition
eminent domain
for public use, taken by the government
individuals don't have
owner must be paid just compensation
police power
zoning
escheat
individual cannot use
state recieves when no will
accretion
natural causes
avulsion
dam breaks
probate sale - commission
set by court
intestate succession
no will
deeds - purpose
transfer interest
grant deed
executed when signed
not necessary to be recorded
quitclaim deed
conveys rights of grantor
no covenants
deed essentials
granting clause
legal competance of grantor
not acknowledged
delivered and accepted
constrcutive notice
given by recording
first to record or possess gets property
acknowledgement
employee without interest
encumbrances
limits title
easements
encumbered
prescriptive easements
no confrontation with owner
can easily be terminated for non-use
termination of easements
dominate tenemant records quit claim deed
appurtenant easements
buyer has same rights
confirmed by
quiet title suit
private restrictions
15,000 square feet
grantor or developer
public restrictions
public health, safety, morals and general welfare
one lot = variance
changes cna be intiated by
owner, subdivider, government
commercial to residential
down zoning
multi-family zone
R-3
encroachments
sue neighbor for trespass
liens
a charge imposed on real property
trust deed (mortgage)
general lien
all property (everything you own)
promissory notes
evidence of debt
amortization
liquidation
level payment
payment applied to principal increases
negative amortization
payments do not cover interest
GPAM loan
defers some principal payments
interest rates affected by
not unemployment
simple interest
home loans
variable interest
rate can increase or decrease
effective interest rate
rate paid
nominal interest rate
rate specified in note
negotiable instrument
not a mortgage
straight note
no principal payment made
balloon loan
partially amortized
entire balance due
holder in due course
no knowledge of defects
discounting
selling for less
default
foreclose for $15k, full amount
more than one borrower
jointly and severally
trustor
signs the deed (borrower)
beneficiary
loans money
consent for consolidation & new restrictions
right to sell
trustor to trustee
terminated
reconveyance deed
court sale
one year redemption period
trustor possesses the property
trustee's sale
3 months before publishing
right of reinstatement
most expedient
deed in lieu of foreclosure
lender assumes junior liens
request for notice protects
beneficiary of second loan
lender's basic protection
borrower's equity
priority
recorded first
release clause
releases portions of the property
assume
relieves seller
subject to
seller's liable, buyer's not liable
subordination clause
future loans have priority
benefits trustor
acceleration clause
unpaid sum due
open-end
borrow additional money
beneficiary statement
gives current balance
prepayment penalty
trustor making advance payments
mechanics liens
verified and recorded
priority of mechanics liens
beginning of construction
earlier than recording
could impair trust deed
notices for mechanics liens
completion, cessation, non-responsibility
lis pendens
may affect title
lis pendens effective until
judgment rendered or lawsuit dismissed
execution
court order to sell
injucntion
court order to stop
chain of title
important when decidingt to issue title insurance
abstract of title
written summary of documents
preliminary report
seller is trustor
remove mechancis lien
standard policy of title insurance
most buyers obtain
no survey or on-site inspection
standard title policy protects against
forgery
improper delivery
extended title policy
covers improvements on adjoining land
ALTA policy
includes a survey
exclusions to title policies
zoning
no policy covers everything
where can title be searched
county clerk, county recorder, federal land
real estate law
commissioner promulgates rules and regulations
illegal acts
district attorney prosecutes
misrepresentation
obvious, konwlege, caused
no expenses on income property
commission to buyer
must inform seller
blind ad
no broker's name
misleading advertising
misleading map
move right in - major repairs
secret profit by non-licensee
no cause for action
referral fees
both broker and sales person
gifts
microwaves are okay - reveal to all
$50 is okay
commingling
funds from broker's own property
not a member
not a REALTOR
salesperson as independent contractor
broker still liable for contract
unlicensed assistant
broker must read advertising
must be supervised on the Internet
both guilty if solicts buyers or sellers
manage property
broker
loan broker laws
disclosure given to borrower when signed
advertisement
not 1-800-for-a-loan
desk cost
total expenses/# of sales persons
company dollar
income minus commission
trust fund account
separate trust funds
any employee
ethical practices
honesty and fairness
recovery account
only pay recovery account plus interest
selling trust deeds
advertising must include interest rate and discount
can sell mobile homes
only if registered
must remove signs from mobile homes
within 48 hours
mobile homes notice to transfer
within 10 calendar days
expired real estate license
can be renewed within 2 years of expiration
temporary 150 day license
deliquent child support
advance fee contract
no guarantee of sale or lease
fair housing
1968
provide fair housing
steering
unenforceable - no effect
refuse to show when out of town
blockbusting, panic peddling - not duress
fair housing
no descrimination - rejected offeror (white people)
no descrimination against single
fair housing
dept. of fair employment & housing
different prices - money damages
show same homes
no gender or ethnic quotas
can refuse to answer
economic theory
lost interest on equity is a cost of home ownership
leverage
$300,000
borrow the maximum
appreciation
trustor
prices decrease
value of money increases
seller's market
prices rise
impact real estate
consumerism, land use controls
GNP and employment rise
income rises, home sales increase
lenders
portfolio risk management - concerned with all
individual savings
(financial deregulation) pay any rate of interest
insurance companies
large loans
work through mortgage companies
savings and loan associations
most funds in real estate
primary source
mortgage companies
sell in secondary market
private lenders
junior loans
secondary mortgage market
resales marketplace
FHLMC
maintains secondary market
federal reserve system increases reserves
decreases loan activity
federal reserve tight money
more second trust deeds
sellers carry back a second
FNMA
not a demand source for money
LTV
lower ratio, higher equity
a loan commitment
result of income, borrower and property
construction loan
interim
take out loan
long term
debt-income ratio
loan qualifying tool
mortgage loan
collaterlized by real property
mortgage yield
investor's interest return
lender minimize
substandard loans
degree of risk most important
federal reserve tight money
more second trust deeds
sellers carry back a second
FNMA
not a demand source for money
LTV
lower ratio, higher equity
a loan commitment
result of income, borrower and property
construction loan
interim
late payment
MORE THAN 10 days
100% loan
protected by appreciation
amortization tables
monthly payment
warehousing
collecting loans
FICO score
credit history of borrower
security interest
creditor's interest in debtor's property
discount points
percentage of loan amount
document preparation charges
loan origination fee
truth-in-lending
not agricultural
purpose of TIL
meaningful disclosure by lender
APR
cost of credit
advertising - only APR is used
other disclosures not required
right to cancel
residence
conditional installment sales contracts
legal title - vendor
security device
transers equitable title
default, quitclaim deed
signed by buyer (vendee)
loan insured by
FHA or private insurer
FHA
protets lender against default
VA
no down payment
cannot be rental property
Cal-Vet
land contract
department of veterans affairs
insurance
promise of reimbursement for damages
neither gain nor lose
escrow
California financial code
instrcutions executed by
buyer, seller, third party
closing statement
buyer debit - purchase price
credit seller - prepaid taxes
prorations
not unsecured loan
impounds
recurring costs
fire insurance
neither gain nor lose
purpose of escrow
terms are met
two termite reports
get instructions from buyer & seller
escrow can
call for funding of loan
report to IRS
escrow
move in early
seller's written permission
release disputed funds
instructions from all parties or court order
RESPA: 1-to-4 family residential dwellings
required
uniform settlement statement
no charge
buyer can require
specific lender
good faith estimate
must be furnished
Real property transfer disclosure statement given by
transferor, even if sold "as is"
Real property transfer disclosure statement must reveal
all known defects
not repairs
Real property transfer disclosure statement amended statement
buyer can rescind
licensee can never
fill out seller's portion
Alquist-Priolo Act requires disclosure
nearby earthquake fault lines
Alquist-Priolo zone extends
1/4 mile wide along fault lines
bilateral contracts
diligence
executed
completely performed
voidable
binding until rescinded
duress
menace or threats
not illegal purpose
legal essentials of a valid contract
NOT money, performance or writing
offer and acceptance
must have for real estate contracts
capable parties
minors can acquire
consideration
valuable, good, sufficient, adequate
statute of frauds
if not to be performed within one year must be written
specific performance
not by broker
listings
biliateral employment contract
agency creation
reveal as soon as possible
for any period of time
employment contract
find purchaser, accept deposit
payment of consideration is not required
not voluntary offer
terminated by completion
oral agreements
commission permissable
broker would sue broker
lease on duplex
broker is agent
subagent of listing broker
duty to seller only
fiduciary obligations
licensee
integrity, loyalty, honesty, confidentiality
present all written offers
at same time
unless frivolous or express instructions
seller fires broker
liable for damages
broker owes buyer
fair and honest deal
broker as agent of buyer (offeror)
can present offer to seller & seller's agent
accepting unauthorized deposits
owes fiduciary duty to buyer only
material facts
must reveal
leaky roof
septic tank - rescind
puffing
exaggerated features or benefits
broker promises seller to find house
civil suit for damages
agent promises to advertise and does not
actual fraud
protect confidential information
after listing expires
deposits
may be anything
seller
deposit belongs to seller
hold deposit check or accept promissory note
must inform seller
conflict between buyer and seller
interpleader
commissions
communicate acceptance
if not shared - civil suit
cancels, owes both
commission after term of listing
protection period clause (safety clause)
liability
damages if acts in excess
fraudulent misrepresentation
discipline, civil, criminal
types of listings - exclusive
must contain specific termination date
protect confidential information
after listing expires
deposits
may be anything
seller
deposit belongs to seller
hold deposit check or accept promissory note
must inform seller
conflict between buyer and seller
interpleader
types of listings - exclusive agency
owner sells, no commission
types of listings - exclusive right to sell
pay commission
no procurring cause
between seller & broker
offers terminated by
withdrawal, gets refund
death of buyer
refection by offeree
for any reason
counteroffer
offeree becomes offeror
buyer defaults, deposit is
divided between seller and agent
time is of the essence
found in "deposit receipts"
options - agreement
not to revoke an offer
options - contract
to keep an offer open
options - optionee
not bound to perform
option & listing
disclose offers, written consent
marginal tax rate
next dollar earned
unadjusted basis
cost
adjusted basis
not mortgage payments
tax shelters
income taxes
gain
$40,000 sale, $8,000 basis = $32,000 gain
personal residence deductions
property taxes and mortgage interest
$3,672
interest on common area mortgage
income property deductions
not for vacancy
income property depreciation
cost of building, not land
must be improved
income property operational loss
might offset capital gain
income property capital expenditures
added to cost basis & depreciated
income property loss upon sale
could deduct if rental property
Exchanges
must be like kind
Boot
debt relief or cash
boot receiver
may have recognized gain
basis of new property
basis of old
sale-leaseback
deduct 100% of future rent paid
not seller's book value
installment sale
mortgage relief is down payment
property taxes
not intangible personal property
tax bills
no legal description
Ad Valorem
according to value
property reassessed
when sold
over-assessed
Assessment Appeals Board
dates
February 1, April 10
delinquent tax sale
owner remains in possession and can redeem for five years
assessment liens
for local improvements
cannot purchase land
Mello-Roos
seller must disclose
transfer tax
$22
$138
subdivision map act
city or county governing body
master plan
districts, streets, seismic
planning commission
zoning
condominiums
5 or more units
sidewalks
common area
type of property - condos
residential, industrial, commercial
condos are an estate in real property
condo and apartment
seller provides buyer
by-laws, CC&R's
land project
14 days
real estate commissioner
desist and refrain
public report given
anyone, anytime
public report receipts
keep 3 years
public report excessive price
not included
building code
higher standard
building code purpose
minimum standards
building permit
local building department
developer
streets, etc.
time share gifts
must reveal acquired attendance
franchise
marketing plan
advance fee for advertising
deposit in trust account and use for advertising
bill of sale
not real property
appraiser
disclose interest
date contract was signed
the given date
building of no value - deduct demolition
unacceptable methods - felony
marketability & acceptability
not assessed value
strip mall - certified general license
narrative report
not buyer's financial condition
type of value
statement of purpose
fee appraiser
self-employed
appraisal
analyisis of facts
stability of value
conformity
market value
DUST
Demand
Utility
Scarcity
Transferability
present worth, ability of one commodity
not cost
principle of contribution
swimming pool
effect on net income
highest and best use
first step for vacant land
net return
site analysis
if temporary, interim use
principle of substitution
no prudent person
use, design, income
lowest price preferred
principle of regression
nearby substandard property
unearned increment
population
plottage
common ownership of 2 or more units of property
highest value
maximum resources
appreciation
increase in value over time
market data comparision
entire property
substitution
subtract features from comparable sales
vacant lot
rent schedules
real estate licensees
difficulty of market data
adjusting for differences
rarely similar concerning everything
warhouse
square feet
cost (replacement) approach
special purpose properties
upper limits of value
set by replacement cost approach
replacement
same utility
new property
new, not old
cost of construction
quantity survey, unit-in-place, square foot
1910 house
current cost of reproduction
capitalization approach
converts income into value
effective gross income
deduct for vacancy
net income
do not deduct interest
present worth
of future benefits
capitalization rate
most difficult
summation, comparison, band of investment
post office - lower rate
capitalization (income) approach
restaurant
gross multipliers
price divided by rent
$89,700
$308,736
depreciation
loss in value from any cause
Effective age
15 years old - 6 years
economic life
sufficient income
obsolescence
not wear & tear
functional obsolescence
not include nearby nuisances
one car garage
same building costs, different values
functional obsolescence
functional obsolescence
not include nearby nuisances
one car garage
economic changes
extraneous
difficult to cure
economic obsolescence
not heating system
airplanes
oversupply, zoning changes
expensive house amoung cheaper ones
abandoned gas station = toxic waste report
are tenants prospering
obsolescence
cause, not method
bearing wall
remodeling, stronger, any angle
joist
parallel beam that supports ceiling or floor
ridge board
highest
footing
spreading at foundation base
structural pest control report
anyone, structural pest control board
must give to buyer as soon as possible
no infestation or damage
buyer pays
best time to get report
before marketing
deciduous
not type of soil
roof sloping on four sides
hip
higher EER
unit is more effecient
sheet metal
flashing
insulation
interior, adequate
R-value
resistance to heat
turnkey project
ready for occupancy
elevation sheet
exterior views of building
information booth
kiosk
backfill
excavation
cracked foundation
soils report
plot plan
placement of improvements
foundation plan
footings, piers, subflooring
substandard building
not wiring
repairs to building's equipment
corrective maintenance
commercial acre
gross area minus streets, curbs, sidewalks
orientation
position on site
HVAC
heating, venting, air conditioning
Easton vs. Strassberger
full disclosure
title and possession not concurrent
must have interim occupancy agreement
existing property use
grandfather clause
independent contractor
worker's comp not unemployment insurance
agency disclosures
licensee elect, disclose and confirm agency relationship
AMENDED transfer disclosure statement
buyer can rescind
3 days
deposit back
property manager
written contract
uncollectable judgment
max from recovery account is $20,000
tax free exchange
equal mortgage
provide cash
written escrow instructions
prevail over purchase contract
occupancy after rights expired
estate at sufferance
property sells for $90,750, existing mortgage $30,000
doc transfer tax is $67.10
1/2 mile square
160 acres
earthquake booklet
built prior to 1/1/60
masonry building 1/1/75
rights to a lake
littoral rights
rental property unusable
landlord may abate the rent
police power
building repairs, building removals and zoning
in-house sales
often unintended dual agency
broker wants to buy listing
good idea to have it presented by another agent
short rate
less than pro-rata refund of cancelled insurance policy
45 hours CEU
18 hours must be consumer protection
estoppel
can't adopt a position opposite of previous postion
VA
no rental property
subdivider selling 3 sections
$4,480,000
HVAC
commercial lease
R-3
triplex okay
board foot
144 cubic inches
broker dies
daughter must relist
management fees
percentage of gross receipts
owner sues city for noise
inverse condemnation
restriction
not a lien
net lease
tenant pays taxes, insurance & other expenses (not net, net, net)