RE Test

• 43,560 Square Feet
• 160 Square rods
• 4840 Square Yards

5,280 Feet

Owners of business and investment Real Estate to sell their property and buy other like kind property without paying the Capital Gains Tax.

• Market Data Approach - Sales comparison
• Cost Approach - Caculate the reproduction cost of improvements, subtract the deprecation on improvements, add the land value.
• Capitalization Approach - Income - Estimates the future value of a current or estimated stream of income.

• Demand for the type of Property
• Utility - Desirable use the property offers
• Scarcity of properties available
• Transferbility of the property to a new owner.

• 1) Trainee Appraiser
• 2) Residential Appraiser
• 3) Certified Residential appraiser
• 4) Certified General Appraiser

• 1) Definition of the Appraisal Problem
• 2) Gathering Data (General Data by region, city, neighborhood & Specific Data, location, lot, house improvements
• 3)Three Appraisal methods (Market Comparison, Cost Approach & Income Approach)
• 4) Correlation of Reconciliation of Value & final opinion of value (The Appraisal Report)
• An orderly process is defined, planned, and the data is gathered, analyzed, and correlated to estimate the value.

• Time - interest must be acquired at the same time.
• Title - interest must be acquired by the same document.
• Interest - Ownership interest are always equal, benifits and burdens.
• Possession - undivided interest, right to use the entire property.

• Method to determine if an item is a fixture.
• Method of attachment
• Adaptability
• Relationship of the parties
• Intention
• Agreement

• All documents must be acknowledged before recorded.
• Refers to a signed or verbal statement by the named person that he/she has signed that document of his/her own free will in the presence of a witness, usually a Notary Public.

• A latin word meaning Taxed "according to value".
• A tax that is charged in proportion to the value of the property.
• Real property is reassessed each time it is transferred (sold) at 100% of its selling price or market value, if it is higher.

(or Trust Deed) is a loan is which the interest rate fluctuates periodically, based on a specific index, which makes the payment amount also change.

• Transfer title to property to someone other than the true owner.
• Occupy for a five year period.
• Open, notorious, contunious, hostile, under claim of right or color of title, adverse to the interest of the true owner.
• Must pay all property taxes during the 5 year period.

• Legal relationship between principle and agent that arises out of a contract.
• Employed to do certain acts on behalf of the prinicpal who retained the agent to deal with a third party.

A clause in a mortgage or deed of trust that allows the lender to call the loan if the borrower transfers title to the property.

Transfer ownership of a property to another, either voluntarily or involuntarily.

• This is a zoning act designed to control the development in the vicinity (1/4 mile wide strip) of hazardous earthquake faults for the benefit of public safety for the entire state of California.
• Developments or structures in existence prior to 5/4/75, are not affected.

Are those improvements or views that increase the desirability or enjoyment rather than the necessities of the residents. Usually single-family residences.(Ocean/mountain view, city lights, jacuzzis, swimming pools, and tennis courts).

• Is a Federal Civil Rights law that applies to people with disabilities and protects them from discrimination.
• Fines up to $10,000 first time violators, up to $25,000 for second offense within 5 years and up to $50,000 for a third offense within 7 years.

• The relationship between the total of the finance charges (interest rate, points, and the loan fee) and the total amount financed, expressed as a percentage.
• According to the Federal Truth in Lending Act, the lender must disclose the annual percentage rate of a loan which is the cost of credit, including interest and other financing costs, expressed as an annual rate.

An opinion of value as of a certain date; a conclusion resulting from the analysis of facts.

• Rights or property that are ordinarily transferred with land and used for its benefit, such as easements.
• Belongs to, goes with, or runs with the land.

Transfers the contract rights and obligations of one of the parties to another person. A listing agreement cannot be transferrred due to the nature of the obligation imposed.

Soil added to land by an action of a body of water.

Both parties exchange promises to do or refrain from doing something. A real estate sales contract is a bilateral contract because both sides have an obligation to perform.

A lease in which the tenant pays only a fixed amount for rental and the landlord pays all aperating expenses and taxes.

Entirely in the testator's handwriting and requires no witnesses.

• Died without a will.
• Community property - surviving spouse.
• Seperate property - Spouse if no children exist. If one child, divided equally between spouse and child. If two or more children exist, one third goes to the spouse and two-thirds is divided between the children.

• Co-ownership that gives each tenant equal interest and equal rights in the property.
• Right of survivorship.

Suit Pending - A public notice that a lawsuit has been filed that may affect the title to a particular piece of property.

A fixed, visable marker used to establish boundaries for a survey.

A lease that requires the tenant to pay maintenance and operating expenses, as well as rent.

Redrafting of the agreement, substituting the new one for the old one.

The right of the government to enact laws, ordinances, and regulations to protect public health, safety, welfare, and morals.

• 1. One who authorizes another to act on his or her behalf.
• 2. One of the contracting parties to a transaction.
• 3. The amount of money borrowed in a loan, seperate from the interest charged.

The judicial procedure of proving the validity of a will.

A conveyance where the grantor transfers with warranty or obligations whatever interest or title he or she may have.

Stipulates that listing agents earn their commission if the property is sold within a specified period after the listing agreement has terminated. Agent must provide a list within 3 days after the listing is terminated.

• A group formed to combine funds for real estate investment.
• Can be partnership, corporation, limited liability company, tenance in common, or other.
• A trust may be created to hold and manage property.

A division of land, measuring 36 square miles, in the government survey system.

An item of personal property instaqlled by a commercial tenant and removable upon expiration of the lease.

The process of evaluating a loan application to determine the risk involved for the lender.

• Demand - for the type of property
• Utility - desirable use the property offers
• Scarcity - of properties available.
• Transferability of the property to a new owner.

A buyer

• The seller
• The property owner

• A contract not legallhy enforceable
• The absence of a valid contract

A contract that appears to be valid bus subject to cancellation by on or both of the parties.

The exercise of regulating and controlling the use of a property in a municipality.

• Freehold - Ownership interest where title passes to another, includes fee simple and life estates.
• Fee Simple - Highest, most complete form of ownership and inheritable.
• Life Estate - last only for the life of the holder of the estate.
• Non-freehold - personal rights and do not involve property ownership. Leashold interest.
• Estate for years - Fixed termination date, could be up to 99 years or a few hours.
• Estate at will - Allows either party to terminate the agreement at any time. California requires 30 day notice.
• Estate from Period to Period - renews itself automatically from period to period, unless notice is given to terminate.
• Estate at sufferance - at the end of the lease, against the wishes of the owner, the tenant remains in possession of the property.

• Property lost by natural forces.
• Erosion - gradual wearing away of the land.
• Avulsion - violant tearing away of land, whereby the owner of the lost property has one year to reclaim the lost land.
• Reliction - water recedes from the property and newly exposed land belongs to the property.

One party makes a promise and the other party does not promise, but can make a contract a binding agreement by taking some action.

When all the terms of the contract have been fulfilled.

Mutual agreement to cancel the agreement.

• 1% of value of the assessed value.
• On January 1, a lien is placed on property for the next fiscal year's taxes.
• July 1 through June 30 is the tax fiscal year.
• November 1, the first installment of property tax is due.
• After 5 PM on December 10 the first installment becomes delinquent if unpaid.
• February 1, the second installment is due.
• After 5 PM on April 10, the second installment of property tax becomes delinquent if unpaid.

One who conveys title to real property; the present owner.

One who receives title to real property.

Change to a broader range of uses, such as a vchange from residential to commercial.