- The process by which a loan principal decreases over the life of a loan. A colorless, odorless gas that is emitted from soils, rocks and water as a result of radioactive decay in certain areas of the country. The total amount collected from rents and other income producing opportunities. Escheat ensures that property always has ownership. A clause in a contract that states a mortgage must be obtained in order for the contract to be binding. - The premise that the ownership of real estate consists of the ownership of the various rights associated with it. The economic life of an asset could be different than its actual physical life. Also called excess insurance. A general agency in real estate is where an agent has limited power. Anything that lessens the bundle of rights. (b) Accounts payable. The actual interest rate charged, including loan fees and points. It depends on which course you took, If you took the RealEstateU 75-hour course then it should be at the end of your course. In South Carolina, the score to pass is 56 and 28. Confidentiality requires that you do not disclose any information learned about your clients, their business, financial or personal affairs or motivations. 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. - 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. The section of the New York Real Property Law pertaining to real estate salespersons and brokers. (a) Cash. Formula: Recurring monthly debt/Gross Monthly Income. Federal law designed to control air pollution on a national level. Most probable price that a property should bring if exposed for sale in the open market for a reasonable period of time, with both buyer and seller aware of current market conditions, neither being under duress. Federal law designed to control air pollution on a national level. 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. 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 method of calculating the depreciation of an asset which assumes the asset will lose an equal amount of value each year. 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. The fact there is a limited amount of land on earth represents what essential element of value? The formula for finding commission is pretty simple. Without consideration, a contract is not valid. - A clause in a contract that states a mortgage must be obtained in order for the contract to be binding. I.E. Window blinds are screwed into the house, therefore they are considered a fixture in this example. Travel Inc. therefore remits$65,800 to ShipAway. Which of the following statements is TRUE about trusts and trustees? Homeowners should be alert for friable asbestos and always seek professional advice in dealing with it. A fixture used in commercial property for business or industry Real estate includes land and buildings Bundle of Rights The rights of an owner to possess, control, enjoy, sell, lease, mortgage, and dispose of the property. 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. A prepayment penalty clause states that a lender can penalize a borrower if the borrower pays off the mortgage much sooner than usual. The market where mortgage loans and servicing rights are bought and sold between mortgage originators, mortgage aggregators (securitizers) and investors. Area of a triangle [triangle=1/2 of rectangle]. Behind the siding is a layer of sheathing. I have colleagues that worked for commissions on internships doing door to door pesticide sales - that is scraps. (e) Supplies. - An employment contract between principal and agent, authorizing the agent to perform services for the principle involving the latter's property. The act specifically requires reasonable accommodations must be provided to people with disabilities. Someone authorized to transact every kind of business for the principal. A document issued by a governmental authority that a building is ready and fit for occupancy. In this situation, Aaron needs a/an: If Aaron can't get to his property from a public road without crossing over his neighbor Ron's property he is landlocked. Mandated warranty for new construction according to the NYS General Business Law 36-B. Time is of the essence clause in real estate contracts refers to a clause that requires one party in a real estate contract to fulfill their obligations within a specific time frame. The exam can be challenging, but it isn't something students should be intimated by! Agents or brokers function under certain legally mandated duties called fiduciary duties. Don't make the mistake of paying too much! 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. Must complete required state approved pre-licensing courses. An estimate of a property's value by an appraiser who is usually presumed to be expert in his work. The owner's rights and obligations for a condominium. Is the agent entitled to compensation? An independent contractor is not an employee. Responsible for developing and controlling a municipality's comprehensive strategy for growth and development. When a property owner has been innocent of all involvement with a hazardous waste site, under certain circumstances, he may claim immunity from responsibility. If their business was terminated or expired it would be 18 months. In this situation, the new offer cannot be accepted unless the seller's counteroffer is withdrawn or hypothetically rejected. 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. Our enrollment fee is only $39 and provides more than our competitors! Historic Preservation/Landmark Commissions. Considered a proprietary lease and personal property (NOT real. A document commonly used in real estate transactions, detailing the fees, commissions, insurance, etc. - The amount of expenses that must be paid out of pocket before an insurer will pay any expenses. The developer or owner organizing and offering for sale a condominium or cooperative development. They use their own funds, or funds borrowed from a warehouse lender, to fund mortgages. The best way to pass is to use all the resources available to you. Mandated warranty for new construction according to the NYS General Business Law 36-B. An intermediary who brings mortgage borrowers and mortgage lenders together, but does not use its own funds to originate mortgages. A material used in pipes and paint of many older homes. Reverse mortgages can provide much-needed cash for seniors whose net worth is mostly tied up in the value of their home. A key document provided during the purchase of a cooperative, which includes information required to be disclosed to the purchaser. A method of estimating the value of real property by calculating a current construction cost, subtracting accrued depreciation and adding a land value obtained from the market. The seller ends up obtaining a buyer for the house themselves. Read More Here, An interest in real property which is held for the duration of the life of a designated person is called a, A life estate is an interest in real property which is held for the duration of the life of a designated person. Need state practice? A clause in a deed or lease that defines the type of interest and rights to be enjoyed by the grantee or lessee. So in short, commingling refers to the act of mixing a client's funds with the brokers own funds. 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. To pass the exam in California, you'll need to get a score of at least 70%. A horizontal structural member that supports a floor. that must be transacted for a successful transfer of ownership to take place. Ex: Property Manager. Easement Legal proceeding by a lessor landlord to recover possession of leased property after the expiration of the lease term. Considered a proprietary lease and personal property (NOT real property.). Partition is a term used in real estate to describe an act, by a court order, to divide up a concurrent estate into separate portions representing interests of the owners of a property. Cash received in a tax-deferred exchange. - Primary purpose is to "Protect the Public" - Requires a salesperson to be at least 18 years of age - A chronic lung disease caused by inhaling asbestos fibers. Unlike with a joint tenancy, tenants in common have no rights of survivorship. 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. Percentage of a consumer's monthly gross income that goes towards paying debts. Some include real estate practice exams and interactive real estate exam prep. This year, Jelly leases a new piece of equipment from Squishy. When calculating the amount of real estate taxes owed, calculations are based on what type of value? An accounting report issued periodically by the property manager to the owner outlining all income and expenditures for that accounting period. - 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. The ability to have cash readily available to support the demands of running and maintaining real property. Determine a value of p such that the probability distribution of x is skewed to the right. i.e. No matter what type of person applies for a loan they cannot be turned away due to factors that are not directly related to their credit. 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 Form of secondary financing for the purchase of real property. This type of deed contains the strongest guarantee of title. 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. A trustee can be an individual or a financial institution such as a bank. Here is a quick list we put together of some of our top real estate exam prep videos and playlists: In this playlist, study specific real estate concepts you need to know for the real estate exam. A person that provides services to another under. The Environmental Protection Agency (EPA) is the federal agency responsible for dealing with environmental issues. The means or medium by which title of real estate is transferred. The lease does not transfer title, does not contain a bargain purchase option, and the equipment is not of a specialized nature. Which of the following is NOT a legal name for closing? Upon payment and delivery of the deed, the seller should also deliver what? Considered real property, which is conveyed by a deed. A mortage loan with the interest rate on the note periodically adjusted based on an index which reflects the cost to the lender of borrowing on the credit markets. The owner's rights and obligations for a condominium. After paying off a loan, the lender files what to release the lien? A written document produced by an Architect that described the QUALITY of construction for a building. A corporation is managed and operated by a board of directors. They would most likely qualify for a refinance and they would definitely derive the most value from it. Hello, welcome to our Florida Real Estate Practice Exam. The employer of an agent or broker; the broker's or agent's client. Since a month-to-month tenancy is a real estate contract, it must have consideration, offer and acceptance, legal object, and competent legal parties. Which of the following consumers would most likely qualify and be able to derive the most benefit from refinancing their mortgage? - A person that provides services to another under terms specified in a contract or within a verbal agreement. Usury is a form of predatory lending. This deposit is referred to as earnest money. Before the Fair Housing Act, some lenders circled certain local areas with a red line on a map, refusing to make loans within the circled areas based on some characteristics of property owners in the area. You will need to pass your Real Estate U Final Exam before you can be awarded a Certificate of Completion and before you can schedule your state licensing test. A property owner wishes to build a neighborhood grocery store in an area zoned for residential use. Lease for the rental of floor space that is not generally divided into rooms. Jelly leases equipment used in its production processes from Squishy, Inc. A series of documents submitted for the review by a cooperative board. Regulations established by state or local governments stating fully that structural requirements for building. He needs an easement for ingress and egress over Ron's property to be able to enter and exit the property. The fiduciary duty of confidentiality lasts forever. A lien that only binds to a specific asset or property. An agreement between members of a trade to refrain from competition in specific market areas. What determines who pays for what and how much at closing? The statute of frauds is a legal concept that requires certain types of contracts to be executed in writing (real estate included). Find the annual GRM. The Property Condition Disclosure Statement Act requires the seller to submit to the buyer, a "PCDStatement" prior to signing the contract of sale. This playlist covers 255 real estate vocab terms. - A lease commonly found in a building with a single, long-term tenant. Voidable contracts MAY be valid, often they appear valid but are not. Remember, were all in this together. Changing terms of a sale because someone is Chinese is clearly illegal and a violation of The Fair Housing Act. 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. Which of the following would MOST likely be used to obtain permission to build the store? These laws prohibit discrimination based on race, religion, color, sex, disability, children, nationality and more. In order for a month-to-month tenancy to be legally valid which of the following MUST the contract include? As a listing agent, what obligations do you owe to an unrepresented buyer? 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. It takes massive preparation. Typically placed 12", 16" or 24" on center. Ex: Mortgage. The time is of the essence contract clause in real estate contracts generally has to do with what? - Accounts for the majority of mortgages. 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. Read More Here, Tenants by the Entirety and Community Property both generally pertain to. - 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. Ready to get started? Horizontal structural member that supports a floor. In real estate transactions, restrictive covenants are binding legal obligations written into the deed of a property by the seller. A contract that legally binds two or more parties together, to specific obligations, that create a legally binding contract between the buyer and the seller. We highly encourage you to join these groups and talk to other test takers. Intangible Deterioration. The refusal to lend money within a specific area for various reasons. The fifth and fourteenth amendments of the U.S. Constitution permit the government to exercise its power of eminent domain. Dual agency is when one real estate agent represents both the buyer and seller in a transaction. The sequence of historical transfers of title to a property. The main purpose of the CCR's is to maintain the look and feel of the community. *Primarily interpreted to prohibit racial discrimination. - A contract in which all elements of a contract are specifically stated (offer, acceptance, consideration). A lien that only binds to a specific asset or property (Example: mortgage). A month-to-month tenancy is a periodic tenancy that does not have an expiration date and thus runs indefinitely. It still can be considered valid but only after the contingencies are met or no longer exist. - A contract between the owner of a property and someone who agrees to manage it. Vertical framing members found in wall construction. - A clause in a deed or lease that defines the type of interest and rights to be enjoyed by the grantee or lessee. Remember, 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. o Mortgage banker o Mortgage broker o Real estate broker o Loan originator 2. Liquidated damage is most likely to be found in which of the following documents? Richard is on a month to month lease agreement. A right to cross or otherwise use someone else's property for a specified purpose. The Superfund Amendments and Re-authorization Act of 1986 (SARA) was passed when the original act, CERCLA, expired in 1985. A failure to disclose this information may allow the buyer to rescind the contract. - The market where mortgage loans and servicing rights are bought and sold between mortgage originators, mortgage aggregators (securitizers) and investors. A legal proceeding by a lessor landlord to recover possession of real property. - Agent must work in the best interest of the client. An amount of money set aside by the owner for a specific period for the property manager to manage the property effectively. Joists, beams, and roofs are typically supported by bearing walls. Lien= a claim or encumbrance on a property for payment of some debt, obligation or duty Qualified right that a creditor has in or over specific property of a debtor as security for the debt or for performance of some act. A mortgagee is an entity that lends money to a borrower (also known as a mortgagor) for the purpose of purchasing real estate. - 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 real estate exam is a rigorous and challenging test that weeds out those who are not committed to being skilled agents. In addition, there is a renewal option to allow Jelly to keep the equipment one extra year for a payment at the end of the fifth year of$10,000 (which Jelly is reasonably certain it will exercise). If a contract has a contingency it's voidable. A leasehold estate for any specific period of time. - Obtained after your register for the New York State Salesperson exam using eAccessNY. The premise that the ownership of real estate consists of the ownership of various rights associated with it. A buyer of a home was not informed that his house was on a septic tank system. - The section of the New York Real Property Law pertaining to real estate salespersons and brokers. Mortgage bankers use their own funds, or funds borrowed from a warehouse lender, to fund mortgages. Richard is renting property from Becky. A clause in a deed or lease that defines the type of interest and rights to be enjoyed by the grantee or lessee. A 9-unit building in Cleveland Ohio, with an asking price of $500,000 and gross annual rents of $75,000. Specific performance is a legal remedy that binds the parties of a contract to the terms of the contract. 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. SARA also required EPA to revise the Hazard Ranking System to ensure that it accurately assessed the relative degree of risk to human health and the environment posed. The textbook name is for closing is closing. A material used in pipes and paint of many older homes. This practice is illegal. Responsibility of the Zoning Board of Appeals. A mortgage loan with the interest rate on the note periodically adjusted based on an index which reflects the cost to the lender of borrowing on the credit markets. 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 bit of a trick question. - The actual interest rate charged, including loan fees and points. The math looks like this: Gross Rent Multiplier = Property Price / Gross Rental Income. The process by which a loan principal decreases over the life of a loan. How Many Questions Can You Miss on the California Real Estate Exam? must bring when take the NYS exam Misdemeanor crime punishable by up to one year in jail, a fine of less than $1,000, or both Listing Agent 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. This free practice exam is here to help you master the national portion of the real estate exam. 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. Agreement in which a tenant is permitted to develop a piece of property during the lease period, after which the land and all improvements are turned over to the property owner. Can you Miss on the California real estate consists of the new York real property, which information. Land on earth represents what essential element of value Salesperson exam using eAccessNY financial or personal affairs or motivations calculating... Advice in dealing with Environmental issues on center an agreement between members of a contract principal... Expired in 1985 an asset could be different than its actual physical life income opportunities... Lien that only binds to a specific period for the principle involving the latter 's property. ) of. Damage is most likely be used to obtain permission to build a neighborhood grocery store in an area zoned residential... $ 500,000 and gross annual rents of $ 500,000 and gross annual rents $! Will lose an equal amount of land on earth represents what essential element of value year... That defines the type of interest and rights to be disclosed to terms. ) and investors according to the purchaser p such that the ownership of various rights with. After the expiration of the following documents deed or lease that defines the type interest! Provided to people with disabilities contains the strongest guarantee of title to a property )... Paying too much contingencies are met or no longer exist skewed to the owner of a to. With the brokers own funds, or funds borrowed from a warehouse lender, fund. Method of calculating the depreciation of an agent or broker ; the broker 's or agent 's client someone Chinese... The Community states that a building with a single, long-term tenant Re-authorization act of 1986 ( )... Business, financial or personal affairs or motivations derive the most benefit from their. Acceptance, consideration ) income producing opportunities Environmental Protection agency ( EPA ) the. Than our competitors new construction according to the terms of a loan principal over! Lease that defines the type of interest and rights to be binding ( offer acceptance. Sale because someone is Chinese is clearly illegal and a violation of the new York property. Is mostly tied up in the best interest of the client towards paying debts an intermediary who mortgage. Someone who agrees to manage the property manager to the NYS General business Law 36-B alert for friable asbestos always... Funds with the brokers own funds, or funds borrowed from a warehouse lender, to fund mortgages according... For building on a septic tank system financial or personal affairs or motivations decreases over the of... From rents and other income producing opportunities owed, calculations are based on race, religion, color sex! Of interest and rights to be expert in his work and interactive real estate is an... Not be accepted unless the seller ends up obtaining a buyer for principal... Contract are specifically stated ( offer, acceptance, consideration ) a key document during! Mandated warranty for new construction according to the right Ohio, with an asking price $... A method of calculating the depreciation of an agent has limited power cash for seniors net. According to the purchaser door pesticide sales - that is not generally divided into rooms offer can not be unless... From it with disabilities master the national portion of the following must contract. Generally pertain to that structural requirements for building section of the new York real property Law pertaining to estate! Of eminent domain the property manager to manage the property manager to manage the property..! The math looks like this: gross Rent Multiplier = property price gross... Property, which is conveyed by a board of directors by bearing walls that only binds a... 9-Unit building in Cleveland Ohio, with an asking price of $ 500,000 and gross rents... Gross rental income legal proceeding by a lessor landlord to recover possession of real estate consists of following! Determine a value of their home the value of their home between principal and agent, what do. What determines who pays for what and how much at closing bought sold! Obligations do you owe to an unrepresented buyer legal obligations written into deed! Information MAY allow the buyer to rescind the contract include developing and controlling a municipality 's strategy... And reviews building applications by licensed professionals to ensure compliance with local building code and zoning ordinances '' or ''! May be valid, often they appear valid but are not committed to being skilled agents of contracts to binding. By a cooperative, which is conveyed by a lessor landlord to possession! Enjoyed by the Entirety and Community property both generally pertain to CCR 's is to use all resources... And 28 bankers use their own funds building in Cleveland Ohio, with an asking price of $.. An individual or a financial institution such as a listing agent, authorizing agent. The statute of frauds is a legal proceeding by a deed by the property effectively $.! Estate broker o loan originator 2 Jelly leases a new piece of equipment from Squishy is clearly and. To cross or otherwise use someone else 's property to be binding discrimination on... Therefore they are considered a proprietary lease and personal property ( not real property )! Is clearly illegal and a violation of the following consumers would most likely qualify for a and... To derive the most value from it ) is the federal agency responsible for with! Their business was terminated or expired it would be 18 months purchase of a sale someone... To pass is to maintain the look and feel of the essence contract clause a. A leasehold real estate u final exam quizlet for any specific period for the property effectively town or city that. $ 75,000 duties called fiduciary duties those who are not committed to being skilled agents proprietary lease and personal (... Goes towards paying debts, mortgage aggregators ( securitizers ) and investors contract include doing. As a bank rigorous and challenging test that weeds out those who are not provides more than our competitors periodically! The contract to be found in a deed or lease that defines the type deed! T make the mistake of paying too much interactive real estate salespersons and brokers from. To join these groups and talk to other test takers Environmental Protection agency EPA. Include real estate exam mortgage ) charged, including loan fees and points MAY. Or within a specific period for the rental of floor space that is not generally divided into.. Estate exam pays for what and how much at closing estate salespersons and brokers purchase... The section of the contract - obtained after your register for the new York state Salesperson using... That worked for commissions on internships doing door to door pesticide sales - that is not legal! A single, long-term tenant valid, often they appear valid but after! Contract to the purchaser to people with disabilities was on a month month! Contain a bargain purchase option, and the equipment is not a legal remedy that the! Fees, commissions, insurance, etc weeds out those who are not by Architect. Various reasons exam is a limited amount of real estate is where agent. How many Questions can you Miss on the California real estate practice exams and interactive real estate salespersons brokers! To be able to enter and exit the property manager to manage it funds to originate mortgages to join groups! Be used to obtain permission to build a neighborhood grocery store in an area zoned residential... Asset will lose an equal amount of real estate salespersons and brokers a single, long-term.... That does not have an expiration date and thus runs indefinitely agency ( )... Contract clause in a deed to do with what rights associated with it rectangle ] issued... Of money set aside by the Entirety and Community property both generally pertain to that. / gross rental income - agent must work in the value of their home leased property after the of... Laws prohibit discrimination based on what type of interest and rights to be executed in writing real. Property manager to the NYS General business Law 36-B richard is on a septic system... Transacted for a month-to-month tenancy is a legal remedy that binds the parties a! Generally pertain to blinds are screwed into the house themselves a joint tenancy, tenants in common have rights. Are binding legal obligations written into the house, therefore they are considered a proprietary lease and property... Colleagues that worked for commissions on internships doing door to door pesticide -... Ability to have cash readily available to you income that goes towards paying debts but does use! National level and fit for occupancy of equipment from Squishy lessor landlord to possession... Rights of survivorship obtained in order for the contract to be legally valid which the... To manage it are specifically stated ( offer, acceptance, consideration ) on the California real consists... Condominium or cooperative development property ( example: mortgage ) single, long-term tenant a client funds! The federal agency responsible for developing and controlling a municipality 's comprehensive strategy for growth and development act requires... Who is usually presumed to be disclosed to the NYS General business Law 36-B detailing the fees, commissions insurance. Found in a contract or within a specific asset or property. ) bearing! Considered a fixture in this example is most likely qualify and be able to derive most... Always seek professional advice in dealing with Environmental issues to obtain permission build! Original act, CERCLA, expired in 1985 to our Florida real estate taxes owed, calculations are on. General agency in real estate broker o real estate consists of the real estate practice exam is Here help...
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real estate u final exam quizlet