Real Estate1

  1. broker
    one who acts as an intermediary on behalf of others for a fee or commission
  2. brokerage
    the bringing together of parties interested in making a real estate trensaction
  3. market
    a place where goods can be baught and sold at a price established
  4. salesperson
    a person who performes real estate activities while employed by or assocoated with a license real estate broker
  5. supply and demand
    when supply increases and demand remains stable, prices go down

    when demand increases and supply remains stable, prices go up
  6. appraisal
    the process of estimating a propertys market value based on estimated methods and the appraisers professional judgment
  7. property manager
    a person or company hired to maintain and manage property on behalf of its owner
  8. magement agreement
    the terms of the individual contract between owner & manager
  9. financing
    the business of providing the funds that make real estate transactions possible
  10. subdivision
    the splitting of a single property into smaller parcels
  11. improvement
    a structure erected on a site to enhance the value of the property
  12. off-site
    water lines and storm sewers
  13. on-site
    swimming pools
  14. inspector
    conducts a thourough visual survey of a propertys structure,systems, and site conditions and prepare an analytical report
  15. counseling
    providing clients with competent independent advise based on sound professional judgement
  16. 5 catagories of real estate property
    • 1. residential-multi/single fam
    • 2. commercial-business and parking
    • 3. industrial-warehouse, factories, power plants
    • 4agricultural-farm, timberland,orchard
  17. most impact on market value
    • 1. uniqueness-no two alike
    • 2. immobility-fixed on land
  18. factors affecting supply
    • 1. labor force
    • 2. construction costs
    • 3. government control
    • 4. government financial policies
  19. factors affecting demand
    • 1. population
    • 2. demographics
    • 3. employment and wages
  20. land
    the earths surface extending downwards to the center of the earth nd upwards to infinity, including permanent natural objects such as trees and water
  21. real estate
    land at, above and below the earths surface, plus all things permanently attached to it whether natural or artificial
  22. real property
    the interests, benefits, and rights that are automatically include in the ownership of land and real estate
  23. bundle of rights
    right of:

    • 1. possession
    • 2. control within the law
    • 3. enjoyment (use prop in any legal manner)
    • 4. exclusion (keep others from property)
    • 5. disposition (sell, will, transfer)
  24. surface rights
    the right to use th surface of the earth
  25. subsurface
    the rights to the natural resources lying below the earths surface
  26. water rights
    special common law rights held by owners of land adjacent to rivers, lakes, or oceans and are restrictions on the rights of land ownership
  27. personal property
    all property that can be owned without distruction of structure
  28. emblement
    annual plantings or crops of wheat, corn, vegetables, and fruit
  29. severence
    real prop bcomes personal prop. ex. a growing tree, owner cuts down, sevring from property
  30. annexation
    converting personal propety to real propert. ex. mix cement, stone & sand into concrete and make into walkway
  31. fixture
    personal property that has been so affixed to land or building that becomes part of the real prop.
  32. trade fixture
    an article owned by a tenant and attached to a rental space or building or used in coducting a business
  33. situs
    people preferences for one area over another based on history, reputation, convnience and scenic beauty
  34. accession
    acquiring title to additions or improvements to real prop. as a esult of annexation of fixtures or the accretion of deposits along banks of stream
  35. air rights
    the right to use the open space above a property, usually allowing the surface to be used for another purpose
  36. appurtenance
    a right, privilege or improvement belonging to, and passing with the land
  37. chattel
    personal prop
  38. 4 characteristics of real property
    • 1. scarcity-rare commodity
    • 2. improvements
    • 3. permanence of investment-drainage,electricity, water, sewerage,etc
    • 4. location and area preference
  39. 3 physical chara. of real prop.
    • 1. immobility
    • 2. indestructibility
    • 3. uniqueness
  40. laws affecting real estate
    • 1. contract
    • 2. general prop
    • 3. agency
    • 4. R.E. Lic.
    • 5. Fed Reg
    • 6. zoning & land-use
    • 7. fed., state., & local reg
  41. basic cost of owning a home
    • 1. Principle and Interest
    • 2. Taxes
    • 3. Insurance

  42. coinsurance
    a clause in insurance policies covering real property that requires the policyholder to maintain fire insurance coverage generally equal to at least 80% of the propertys actual replacement cost
  43. equity
    the interest of value that an owner has in property over and above any indebteedness
  44. homeowners ins. policy
    a standardized package insurance policy that covers a residental real estste owner against financial loss from fire, theft, public liability,and other common risks
  45. replacement cost
    the construction coat at current price of a property that is not necessarily an exact duplicate of the subject property but serves the same purpose or function as the original
  46. liability coverage
    coverage for injuries or losses sustained within the unit
  47. agency
    the specisl relationship between a real estate licensee and the person he or she represents
  48. law of agency
    the rights and duties of the principal and the agent
  49. express agency
    an agency relationship based on a formal agreement between the parties
  50. express agreement
    an oral or written contract in which the parties state the contracts terms and express their intentions in words
  51. agency coupled with an interest
    an agency relationship in which the agent is given an estate or interest in the subject of the agency
  52. agent
    one who acts or has the power to act for another
  53. buyers agent
    a residential real estate broker or salesperson who represents the prospective purchaser in a transaction
  54. client
    the principal
  55. customer
    the third party or nonreprsented consumer for whom some level of service is provided
  56. designated agent
    a licensee authorized by a broker to act as an agent for a spacific principal in a particular transation
  57. fiduciary relationship
    a reltionship of trust and confidence
  58. fraud
  59. general agent
    one who is authorized by a principal to represent the principalin a specific range of matters
  60. subagent
    the agent of an agent
  61. principal
    the individual who hires the agent
  62. nonagent
    the middleman
  63. universal agent
    a person empowered to do anything the principal could do personally
  64. special agent
    represents principal only for special occasions, such as the sale of a house
  65. subagency
    created when one broker, usually the sellers agent, appoints other brokers (with the sellers permission) to help perform client-based functions on the principals behalf
  66. dual/limited agency
    the agent represents two principals in the same transaction
  67. designated agency
    a process that accomidates an in-house sale where two different agents are involved
  68. undiscolsed dual agency
    where a broker may not intend to create a dual agency
  69. agency statutes
    • 1. exercise reasonable care
    • 2. obey clients direction
    • 3. acount for all money and property received
    • 4. promote the clients est interest at all times
    • 5. disclose material facts
    • 6. perform according to erms of brokerage agreement
    • 7. keep confidential all cofidential info rec. from client
    • 8. comply with terms of statutes
  70. puffing
    exaggeration of propertys benefits
  71. latent defect
    a hidden structural defect that wouldnt be discovered by ordinary inspection
  72. implied agency
    imply that they have mutually concented to an agency relationship
  73. implied agreement
    a contract in which the agreement of the parties is demomstrated by their acts and conduct
  74. listing agreement
    a contract between an owner and a r.e. broker by which the broker is employed as aent to find a buyer for the owners reale stateon the owners terms
  75. antitrust laws
    law making illegal certain private conspiracies formed to minimize competition
  76. commission
    payment to a broker for services rendered
  77. Do Not Call Registry
    managed by fed. trade commission that lists the phone number of consumers who whish to limit amount of telemarketing calls
  78. Elelctronic Signatures in Global and National Commerce Ace (E-Sign)
    an act that makes contracts (incl. sisnature) and records legally enforceable regardless of the medium in which they are created
  79. electronic contracting
    integrating information in a r.e. transaction between clients, lender, and title and closing agents electronically
  80. employee
    someone who works for an employer and jas employee status
  81. independent contractor
    someone retained to perform a certain act but is subject to control by another only til the end result and not on the way the act is performed
  82. Internet Listing Display Policy
    a policy from the NAR that allows all MLS data, and respects the rights of property owners and their listing brokers to market a property as they wish
  83. minimum level of service
    some states require licensees some amount of service to a client
  84. procuring cause
    the effort that bringd about the desired result
  85. ready, willing and able buyer
    one who is prepared to buy proprerty on the sellers terms and is ready to take posititive steps to consumate the transaction
  86. Uniform Electronic Transaction Act (UETA)
    sets forthe rules for entering into an enforceable contract using electronic means
  87. internet advertising
    • 1. must include licensees name, office address and broker affiliation
    • 2. must disclose their status as brokers or agents on each page
    • 3. only a salespersons name without the sponsoring brokers name is prohibited
    • 4. must be true representation and not be misleading
  88. disclaimer
    indicate the material on their site is soley for imformational puproses and that no warranties or representations have been made
  89. Web site management tools
    tools that help assess the effectiveness of Internet marketing by providing statitics on the number of view, visites and other data
  90. 3 purpose of license laws
    • 1. est. basic requirement for real estate lic.
    • 2. defining which activities require lic.
    • 3. acceptable standards of conduct and practice for lic & enforcing those standards
  91. 7 technologies
    • 1. computers/laptops
    • 2. internet/web sites
    • 3. email
    • 4. virtual communication-chat rooms, bulletin boards, etc
    • 5. cell phones
    • 6. digital camers
    • 7. PDA-communication
  92. 5 Antitrust Violations
    1. price fixing
    2. group boycotting
    3. allocation of customers
    4. allocation of markets
    5. tie-in agreements
  93. unbundling services
    • 1. helping seller prepare prop. for sale
    • 2. performing competitive mark analysis and pricing
    • 3. assisting marketing property using MLS and any web site
    • 4. drafting purchase sales aggrement and helping w/negotiations
    • 5. assisting w/closing transactions
  94. buyer-agency agreement
    a principle-agent relationship in which the broker is the agent for the buyer, with fiduciary responsibilities to the buyer
  95. competitive market analysis (CMA)
    a comparison of the price of recently sold homes that are similar to a listing sellers home in terms of location, style and amenities
  96. exclusive-agency listing
    a listing contract under which the owner appoints a real estate broker as is or her exclusive agent for a designated period of time to sell the property, on the owners stated terms
  97. exclusive-right-to-sell listing
    a listing contract under which owner appoints a broker as his/her exclusive agent to sell property on owners stated terms, and agrees to pay the broker a commission when propery is sold whether by broker, wner or another broker
  98. market value
    most probable price property would bring in an arms-lenght transaction under normal conditions on an open market
  99. multiple listing service (MLS)
    marketing organization compose of members brokers that share listing in hopes to procure ready, willing and able buyers for propertys quicker than on their own
  100. net listing
    a listing based on the net price the seeller will receive if property sold
  101. open listing
    a listing contract which the brokers commission is based on the broker producing a ready, willing and able buyer befor the property is sold by the seller or another broker
  102. option listing
    listing with a provision that gives the listing broker the right, not obligation, to purchase the listing property within a certain time
  103. accretion
    the increase or addition of land by the deposit of sand or soil washed up naturally from a river, lake, or sea
  104. appurtenant easement
    an easement that is annexed to the ownership of one parcel and allows the owner the use of the neighbors land
  105. avulsion
    the sudden tear away of land, as by earthquake, flood, volcanic action, or sudden change in the course of stream
  106. comdemnation
    a judicial or administrative proceeding to exercise the power of eminent domain, which the government agency takes private property for public use and compensates the owner
  107. deed restrictions
    clause in a deed limiting the future use of a property
  108. easement
    a right to use the land of another for a specific purpose, such as for a righ-of-way or utilities
  109. easement by condemnation
    and easement created by the government or gov agency that has exercised its right under eminent domain
  110. easement by necessity
    and easement allowed by law as necessary for full enjoyment of a parcel of r.e.
  111. easement by prescription
    an easement acquired by continuous, open and hostile use of the property for the period of time prescribed by state law
  112. easement in gross
    an easement that is not created for the benefit of any land owned by the owner of the easement but that attachs personally to the easement owner
  113. eminent domain
    the right of a gov or municipal quasi-public body to acquire property for public use through a court action called condemnation
  114. encroachment
    a building or some part of it that extends beyond the land of the owner and illegally intrudes on some land of and adjoining owner or street or alley
  115. encumbrance
    anything that may diminish the value or use and enjoyment of a property
  116. erosion
    the deminishing of property by the elements
  117. escheat
    the revision of property to the state or county in cases where a person dies without heirs capable of inheriting or prob is abandoned
  118. estate in land
    the degree of interest a person has in real property
  119. fee simple
    the highest interest in r.e. recognized by the land
  120. fee simple absolute
    the maximum possible estte or right of ownership of eal property continuing forever
  121. fee simple defeasible
    an estete which the holder has a fee simple title that may be divested upon the occurnce or nonoccurrence of a specified event
  122. fee simple simple determinable
    a fee simple este qualified by a special limitation
  123. freehold estate
    and estate in land in which ownership is for an indeterminate length of time
  124. future interest
    a person present right to an interest in real property that will not result in possession or enjoyment until some time in the future
  125. homestead
    land that is owned and occupied as the family home
  126. leasehold estate
    a tennants right to occupy r.e. during the term of lease, generally considered to be a personal property interest
  127. legal life estate
    a form of life estate established by state law which come into affect when dower, curtesy and homestead occur.

    • dower-the life estate wife has in r.e. of her deceased husband
    • curtesy-an identical interest a husband has in r.e of deseased wife
    • homestead-family home is protected from creditors during occupants lifetime
  128. license
    a privilage or right granted to a person by a state operate as a r.e. broker or salesperson
  129. lien
    a right given by law to certain creditors to have their debts paid out of the property of a defaulting debtor
  130. life estate
    an interest in real or personal prop. that is limited in duration to the lifetime of its owner of some other designated person/s
  131. littoral rights
    a landowners claim to use water in large navigable lakes and oceans adjacent to his/her property

    the ownership rights to the land bordering these bodies of water up to the high-water mark
  132. party wall
    a wal that is located on or at a boundary line between two adjoining parcels of land and is used or is intended to be used by the owners of both parties (duplex)
  133. police power
    the gov's right to impose laws, statutes and ordinancs including zoning ordinances and building codes, to protect the public health, safety and welfare
  134. prior appropriation
    a cnept f water ownership in which the landoowners right to use available water is based on a gov-administered permit system
  135. remainder interest
    the remnant of an estate that has been conveyed to take effect and be enjoyed after the termination of a prior estate, such as when an owner conveys a life estate to one part and the remainder to another
  136. reversionary interest
    the remnant of an estate that the grantor holds after granting a life estate to another person
  137. riparian rights
    an owners rights in a land that boarder on or includes a stream, river, or lake.
  138. tacking
    adding or combining succesive periods of continuous occupation of real property by adverse possessors
  139. taxation
    the process by which a government or municipal quasi-ublic body raises monies to fund its operation
  140. common elements
    parts of a party that are necessary or convenient to the existence, maintenance and safety of a condominium or are normally in common use by all of the condo residents
  141. community property
    a system of property ownership based on the thory that each spouse has an equal interest in th property acquired by the efforts of either spouse during marriage
  142. condominium
    the ownership of a unit in a multiunit building based on a legal description of the airspace the unit actually occupies
  143. cooperative
    a residential multiunit building whose title is held by a trust or corporation that is owned by and operated for the benefit of persons living within the building
  144. co-ownership
    title ownership held by two or more person
  145. corporation
    an entity whose rights of doing business are essntially the same as those of individual
  146. general partnership
    a typical form of joint venture in which each general partner shares in the administration, profits, and losses of the corperation
  147. limited partnership
    a business arrangement where the operation is administered by one or more general partners and funded, by large, by limited or silent partners who are responsible for losses only to the extent of their investment
  148. joint tenancy
    ownership of r.e. between two or more parties who have been names in one conveyance as joint tenants
  149. joint venture
    the joining of two or more people to conduct a specific business enterprise
  150. Limited Liability Company (LLC)
    combines the most attractive features of limited partnerships and corporations which offers flexible managment structures without the complicated requirments of limited partnerships
  151. syndicate
    two or more people or firms joined together to make and operate a real estate investment
  152. severalty
    a form of ownership were title is held by one individual
  153. trust
    a form of ownership where a third individual holds title for the benefit of another
  154. tenancy in common
    form of co-ownership where each tenant holds an undivided fractional interest in the party which doesnt have to be equal (30/30/30, 20/50/30, etc)
  155. 4 forms of co-ownership
    • 1. tenancy in common
    • 2. joint tenancy
    • 3. tenancy by the entirety
    • 4. community property
  156. right of survivorship
    upon death of a joint tenant, his/her interest does no pass to heirs or according to will rather the entire ownership remains in the surviving joint tenant(s)
  157. 4 unities to create joint tenancy
    • 1. Posession
    • 2. Interest
    • 3. Time
    • 4. Title

    PITT (Hint)
  158. What can terminate Joint Tenancies?
    a joint tenancy is destred when any one of four unities of joint tenancy is terminate.
  159. tenancy by the entirety
    a form of ownership where each spouse has and equal, undivided interest in the property
  160. what are the methods of terminating Tenancy by Entirety? (J's DAD)
    • Judgment Sale
    • Death
    • Agreement
    • Divorce
  161. separate property
    real or personal property that was owned soley by either spouse before the marriage
  162. partnership
    an association of two or more persons who carry on a business for profit as co-owners.
  163. town house
    any type of housing connected by common walls
  164. partition
    the division of co-tenants interest in real property when the parties do not all voluntarily agree to terminate co-ownership (takes place in court)
  165. legal description
    one that is sufficiently specific that an independent surveyor could locate the exact dimensions of the property being described
  166. 3 methods to describe real estate
    • 1. metes and bounds
    • 2. rectangular (or gov.) survey
    • 3. lot and block (recorded plat)
  167. metes and bounds description
    a legal description of a parcel of land that ggins at a well-marked point and follows the boundaries, using direction and ditances around the tract, back to the place of beginning (a complet square or circle)

    ends where it starts
  168. point of beginning (POB)
    the starting point of the survey situated in one corner of the parcel
  169. Monuments
    fixed objects used to identify the POB, all corners of the parcel or ends of boundary segments, or the location of interesting bountaries
  170. rectangular survey system
  171. established in 1785 by fed gov for surveying and descriging land by reference to principal meridians and base lines
  172. air lots
    a designated airspace over a of land (may be transfored)
  173. base line
    the main imaginary line running east and west and crossing a principal meridian at a definite point, used by surveyors to reference in locating and describing land under the rectangular survey system of legal description
  174. benchmarks
    a permanent reference mark or pint established for use by surveyors in measuring differences in elevation
  175. correction lines
    provisions in the the rectangular survey system made to compensate for curvature of earths surface
  176. datum
    a horizontal plane from which heights and depths are measured
  177. fractional section
    a parcel of land less than 160 acres, usually found at the edge of a rectangular survey
  178. government check
    the 24-mile-square parcels composed of 16 townships in the rectangular survey system of legal description
  179. government lots
    fractional sections in the rectangular survey system that are less than one quarter-section in area
  180. lot-and-block (recorded plat) system
    a method of describing real property that identifies a parcel of land by reference to lot and block numbers within a subdivision, as specified on a recorded subdivision plat
  181. plat map
    a map of a town, section, or subdivision indicating the location and boundries of individual properties
  182. principal meridian
    the main imaginary line running north and south and crossing a base line at a dfinite point, used by surveyors for reference in locating and describing land under the rectangular survey system of legal description.
  183. range
    a strip of land six miles wide, extending north and south and numbered east and west according to its distance from the principal meridian in the rectangular survey system of legal description
  184. section
    a portion of township under the rectangular system (a square with mile long sids and an area of one square mile, or 640 acres)
  185. township
    the principal unit of the rectangular survey system (a square with six mile sides and an area of 36 square miles
  186. township lines
    all the lines in a rectangular survey system that run east and west, pararllel to the base line six miles apart
  187. township tiers
    township lines that form strips of land and are designated by consecutive numbers north and south of the base line
  188. ad valorem tax
    a tax levied ccording to value, generally used to refer to real estate tax.
  189. assessment
    the imposition of a tax, charge, or levy, usualy according to established rates
  190. attachment
    the act of taking a persons property into legal custody by writ or other judicial order to hold it available for application to that persons debt to a creditor
  191. encumbrance
    anything that may diminish the value or use and enjoyment of a property

    ex. mortgage, tax, or land, or an outstanding dower right
  192. equalization factor
    a factor (number) by which the assessed value of a property is multiplied to arrive at a value for the property that is in the line with statewide tax assessments.
  193. equitable lien
    a lien enposed on property value
  194. lien
    charge or claim against a persons property made to enforce the payment of money
  195. mechanics lien
    an effort to recover payment for work performed
  196. voluntary lien
    a lien placed on property with the knowledge and consent of the property owner
  197. statutory lien
    a lien which arises out of common law
  198. estate taxes
    federl taxes on a decentents real and personal property
  199. general liens
    the right of a creditor to have all of a debtors propety, both real and personal, sold to satisfy a debt
  200. general real estate tax
    a tax that is made up of the taxes levied on th real estate by government agencies and municipalities
  201. inheritance tax
    state-imposed taxes on a decentents real and personal property
  202. involuntary lien
    a lien placed on property without the consent of the property owner
  203. judgement
    the formal decision of a court upon the respective rights and claims of the parties to an action or suit

    (after a judgment has been entered and recorded with the county recorder, it usually becomes a general lien on the property of the defendant)
  204. lis pendens
    a recorded legal document giving constructive notice that an action affecting a particular property has been filed in either a state or federal court
  205. Local Improvement District (LID)
    An assessment on a local improvement district for a public improvement project the district has approved
  206. mill
    1/10th of one cent (used to compute real estate taxes).

    ex. a rate of 52 mills would be $0.052 tax for each dollar of assessed valuation of a property
  207. mortgage lien
    a lien or charge on the property of a mortgagor that secures the underlying debt obligation
  208. redemption
    the right of a default property owner to recover his or her property by curing the default
  209. special assessment
    a tax or levy customarily imposed against only those specific parcels of real estate that will benefit from a proposed public improvement like a stree or sewer
  210. specific lien
    a lien affecting or attaching only to a certain, specific parcel of land or piece of property
  211. subordination agreement
    a written agreement between holders of liens on a property that changes the priority of morgage, judgment and other liens under certain circumstances
  212. tax lien
    a charge against property, created by operation of law. tax liens and assessments take priority over all other liens.
  213. tax sale
    a court-ordered sale of real property to raise money to cover delinquent taxes
  214. vendors lien
    a lien that belongs to a vendor for the unpaid purchase price of land, where the vendor has nnot taken any other lien or security beyond the personal obligation of the purchaser
  215. assignment
    the transfer in writing of interest in a bond, mortgage, lease or other intruments
  216. 4 ways of creating a lien
    • 1. voluntary
    • 2. involuntary
    • 3. statutory
    • 4. equitable
  217. goverment agencies which use General Tax
    • states
    • counties
    • cities, towns, boroughs and villages
    • school districts
    • drainage districts
    • water districts
    • sanitary districts
    • parks, forest, and recreation districts
  218. contract
    a voluntary agreement or promise between legally competent parties
  219. express contract
    when parties state the terms and show their intentions in words
  220. statues of frauds
    certain types of contracts must be in writing to be enforceable in a court of law
  221. implied contract
    the agreement of the parties is demonstrated by thier acts and conduct
  222. bilateral contract
    both parties promise to do something; one promise to give in exchange for another
  223. unilateral contract
    one party makes a promise to induce a second party to do something
  224. executed contract
    all parties have fulfilled their promise
  225. executory contract
    one or both parties still have and act to perform
  226. offer and acceptance
    offer-a promise made by one party, rquesting something in exchange for that promise

    acceptance-a promise by the offere to be bound by the exact terms proposed by the offror
  227. 5 elements of a contract
    • 1. offer and acceptance
    • 2. consideration
    • 3. legally competent parties
    • 4. consent
    • 5. legal purpose
  228. counteroffer
    proposal of any deviation from the terms of the offer costitutes a rejection of the original offer and becomes a new offer
  229. consideration
    something of legal value offered by one party and accepted by another as an inducement to perform or to refrain from performing some act
  230. a contract may be....
    • 1. valid
    • 2. void
    • 3. voidable
    • 4. unenforceable
  231. reality of consent
    a contract must be entered ito as a free and voluntry act of each party
  232. valid
    when a contract meets all the essential elements that make it legally sufficient or enforceable
  233. void
    when a contract has no legal force or effect because it lacks some or all of the essential elements of a contract
  234. voidable
    when a contract appears on the surface to be valid but may be rescinded or disaffirmed by one or both parties bases on some legal principle
  235. unenforceable contract
    seems on the surface to be valid; however neither party can sue the other to force performance
  236. time is of the essence
    the contract must be prvormed withing the time limit specified

    a party who fails to perform on time is liable for breach of contract
  237. novation
    the substitution of a new contract in place of the original
  238. breach of contract
    a violation of any of the terms or conditions of a contract without legal excuse
  239. rescission
    one party may cancel or terminate the contract as if it had never been made
  240. earnest money
    a purchaser provides a deposit when making an offer to purchase real estate
  241. equitable title
    when both buyer and sellr have executed a sale contract, the buyer acquires an interest in the land
  242. liquidated damages
    the parties agree on a certain amount of money that will compensate the nonbreaching party
  243. contingencies
    a provision in a contract that requires a certain act to be done or a certain event to occure before the contract becomes binding
  244. disclosure
    accurate information about real estate given to buyer
  245. option
    a contract by which the owner gives a purchaser or leasee the right to buy or lease the owners property at a fixed price within a certain period of time
  246. land contract
    the seller retains legal title

    also called a contract for deed, bond for title,installment coontract, land sales contract or artiles of agreement for warranty deed
  247. installment contract
    the purchase price is paid in periodic installments by the purchaser, who is in possession of the property even thogh the title is retained by the seller until future date
  248. lease
    any agreement that gives rise to the relationship of landlord and tenant or lessor and lessee
  249. escrow contract
    an agreement between a buyer,seller,and escrow holder setting forth rights and responsibilities of each
Card Set
Real Estate1
Definition 1-11