The flashcards below were created by user
cmills
on FreezingBlue Flashcards.
-
if homes in a development are built to the specifications of each individual purchaser, they **
are referred to as custom homes**
-
if a residential development has several model homes from which purchasers can choose, the homes **
are referred to as tract homes. *
-
the NAR code of ethics is enforced by local board of realtors
in processing a complaint/petition, the professional standards/arbitration committee ( is the decision making committee
-
to receive a cemetery brokers license in PA, an applicant must complete pre license
of 60 hours
-
to receive a rental listing referral agents license in PA, an applicant must successfully complete course totalling at
least 60 hours
-
to receive a campground membership salesperson license in PA, an applicant must complete courses totaling
at least 15 hours
-
to receive a timeshare salespersons license in PA, an applicant must successfully complete
30 hours
-
in regard to real estate activities covered by RELRA, a broker may pay compensation to a
licensed employee or another broker
-
for damages to be paid from the recovery fund an action must be brought within
1 year of the termination proceedings
-
most important federal law which regulates antitrust activity is called the
sherman antitrust act
-
when a party suffers ill effects as a result of antitrust activity, the court can award
monetary damages up to 3 times the actual amount
-
the three primary areas of state law that provide the basis for prosecuting antitrust activity are
general business lawslaws dealing with fraud and misrepresentation
-
primary statute from general business law in PA, which is used to prosecute antitrust activity is the
UnFair TRade PRactices and consumer protection law
-
under which law does the PA real estate commission have authority to take action against a licensee for antitrust activity the
license law
-
influencing buyers to buy in certain areas only when done on the basis of race is
steering
-
when is a multiple family dwelling with 4 or fewer units covered in the civil rights act of 1968
? when the owner does not live in a unit
-
a building which has an elevator is covered under the provision of the 1988 amendments act if
t has 4 or more units in the entire complex
-
a mortgage banker is an individual or entity that
originates mortgage loans
-
a person who hires or appoints an agent is called a
principal
-
the type of agency in which an agent has legal authority to transact matters of all types is an
universal agency
-
the type of agency in which the agent has legal authority to act for the principal in a specific business or trade is called
general agency
-
a listing agreement between a real estate broker and a homeowner creates a
special agency
-
a listing agreement between a real estate broker and a homeowner creates a special agency
a listing agreement between a real estate broker and a homeowner creates a special agency
-
in creating a valid agency relationship the party or parties who must be of legal age
THE Principal only
-
in creating a valid agency relationship, the party of parties who must be legally competent include,
the principal and agent \
-
a listing agreement in which the listing agent receives a commision regardless of who sells the property is
exclusive right to sell
-
in PA exclusive right to sell listing must be
written to be valid or enforceable
-
an open listing agreement is an expressed contract
***an open listing agreement is a unilateral contract
-
dual capacity must be disclosed in writing
you are required to submit to the seller all offers that are written
-
***on a co-op sales with sub agency involved the co-oping broker is called
the selling agent or seller's sub agent?
-
the selling agent in a subagency situation receives
compensation from the listing broker
-
on a co op sale in a single agency situation, the selling broker's client i
t is the buyer
-
on a co op sale with sub agency involved the co oping broker
is seller's sub agent
-
co op sale with sub agency involved, the Co oping broker is called the
SELLING AGENT
-
on a co op sale with sub agency involved the co oping broker is called the
selling agent
-
on a co op sale with sub agency involved the co oping broker is the
seller's sub agent
-
on a co op sale with sub agency involved a salesperson for the selling broker is the
selling brokers agent
-
on co op sale in a single agency situation, the selling broker owes
loyalty to the buyer
-
on a co op sale with sub agency involved the listing broker is the
sellers agent
-
on a co op sale with a sub agency involved the co oping broker is the
seller's sub agent
-
a pre agreement disclosure must advise the consumer
about the types of relationships availablethe duties of licensees under each type of relationshipabout the real estate recovery fundabout brokers policy regarding cooperation with other brokers
-
when a campground membership or time share contract is cancelled, payment must be refunded
within 10 days after receipt of the cancellation notice
-
an individual who violated the sherman antitrust law is subject to penalties which include,
fines up to 100,000 and up to 3 year in prison
-
the three primary areas of state law that provide the basis for prosecuting antitrust activity
- general business laws dealing with fraud and misrepresentation
- license law
-
ad valorem taxes are based on the value
of real property
-
ad valorem means
according to valuation
-
the amount of special assessment tax would be likely based
on the front footage or a fractional basis of the homes involved
-
special assessment taxes are usually paid over a period of years
-
which of the following may be deducted by the owner of a personal residence when calculating income tax
, local property taxes
-
Deductible by an investor in calculating income tax...
- Operational losses
- expense of the operation
depreciation
-
an owner of residential property for personal use may deduct which of the following mortgage items,
interest only
-
an owner of a residence for personal use may deduct
the cost mortgage interest property taxes and uninsured casualty losses
-
a casualty loss may be deducted by a property owner
if it is not covered by insurance
-
which of the following is an expense of the operation that can be deducted on a business or investment property utilities
-
depreciation allows
an owner of a business or investment property to deduct the cost of acquiring the property over the life of the property
-
depreciation is based on improvements to land only
in regard to depreciation fruit trees are improvements and can be depreciated
-
with the straight line method of calculating depreciation,
the amount of depreciation deduction is the same each year
-
with the accelerated method of calculating depreciation
, the amount of depreciation decreased each year
-
when real property is sold the capital gain which is subject to taxation is the
difference between the amount realized and the adjusted basis of the property
-
the amount realized for determining capital gains tax on real property
is the selling price less the cost of sale
-
adjusted basis
purchase price of real property plus the cost of acquisition plus the cost of capital improvements is called the
-
to qualify for the 250,000 exclusion of gain benefit
a homeowner must have owned and lived in the house for 2 of the previous 5 years
to qualify for the 250,000 exclusion of gain benefit, a homeowner must meet the ownership and use tests
-
which of the following properties is not eligible for a tax deferred exchange
residential property
-
depreciation is based on a value of which is
is equal to the original cost of a property less value of the land
-
***review federal and property tax!!!
-
general agency
agency the type of agency in which the agent has legal authority to act for the principal in a specific business or trade is
-
listing agreement between broker and homeowner is special agency
special agency
-
single agency refers
to a agent who represents one party only
-
in a co op sale with subagency involved a salesperson working for the co oping broker
must represent the sellers interest
-
in a co op sale with a sub agency involved the buyer is the co openings brokers
customer
-
when a licensee acts as an agent on behalf of two principals in the same transaction it is called
dual agency
-
brokers and salespersons can act in dual capacity
single agency refers to an agent who represents one party only
-
in a co op sale with subagency involved a salesperson working for the co oping broker
must represent the sellers interest
-
in a co op sale with sub agency involved, the co opening broker is called the
selling agent****
-
on a co op sale with sub agency involved the co oping broker is the
seller's sub agent?****
-
under designated agency the broker
is a dual agent
-
combining two or more adjacent properties into one parcel is called
assemblage
-
plottage is the
increase in value when two or more adjacent properties are combined into one parcel is plottage
-
another name for the sales comparison approach is
the market data approach
-
in pricing a property using the sales comparison approach adjustments are made to the price of the
comparable property
-
in the cost approach the estimated replacement cost is reduced
by the depreciation
-
cost approach the price of the
land is added to the replacement cost
-
method for determining the replacement cost for a building based on the
size of the building is the square foot method
-
method for determining the replacement cost for a building which is based on
determining the total cost for all major segments is the Unit in place method
-
method for determining the replacement cost for a building which is based on determining the cost of all labor and materials by item
is the quantity survey (most accurate and most difficult)
-
the distinction between curable and incurable depreciation applies
to functional obsolescence and physical deterioration
-
type of depreciation which is economically feasible to correct is
called curable
-
economic obsolescence arises from forces
outside the property
-
in the income approach using capitalization the price for a property is determined by dividing the capitalization rate
into the annual net income
-
when the adjusted basis is calculated for a business or investment property
the accumulated depreciation is subtracted from the basis
-
90% and 95% loans require monthly escrow payments for taxes and insurance
***80% loans give the borrower an option to use monthly escrow payments for taxes and insurance
-
a appraisal for a conventional loan is usually only made
after the loan application is made
-
***the certificate of reasonable value must be
greater than or equal to the loan amount
-
a section 245 loan is a type of
graduated payment loan
-
***a type of loan in which the monthly payment always changed on a preset schedule in called a
graduated payment mortgage
-
a mortgage in which the seller prepays interest on the buyer behalf is a
called a buydown loan
-
when a seller takes back a mortgage when financing all or part of the buyers purchase, the loan used
is a purchase money
-
after a land contract is signed and closed the legal title is held by
seller
-
purchase money, takes back a mortgage
the disclosure statement required by regulation z must be made prior to loan documents
-
the truth in lending act the consumer credit protection act implemented by regulation z deals with disclosure of credit cost
rescinding some contracts and regulations advertising about credit
-
the credits to the seller in the seller's net sheet are added
to the sellers equity after all expenses are paid
-
when the seller has paid the property taxes prior to closing the sellers prorated portion of the taxes is entered as
\a refund in the credit section
-
stimated net to seller worksheet
sellers present loan expenses, the prorated accrued interest payments the seller makes at closing is entered in
-
the transfer tax must be paid when
the deed is recorded or 30 days after acceptance of document
-
when a buyer obtains a new loan at closing, a prepayment on the hazard insurance policy
must be made equal to the first years premium
-
how to calculate buyer escrow?
Amount divided by 12 = product
product x 3
-
which underwriting guidelines are required to make a conventional loan?
none
|
|