-
Penalty for Federal Fair Housing Act for first offence
$16,000
-
Penalty for Federal Fair Housing Act for the third violation within 7 years
$70,000
-
Civil Penalties for Federal Fair Housing Act for a first violation
< $50,000
-
Civil Penalties for Federal Fair Housing Act for second violation
< $100,000
-
Purchaser may cancel Contract of Sale within ___ after both executing it and receiving the public offering statement
- 15 days after both executing it and receiving the public offering statement
-
Byers may cancel Purchase Contract ___ after the resale documents have been delivered
- 5 business days after the resale documents have been delivered
-
Obtaining resale documents (# of days, cost)
- - within 10 business days
- - $125 + 5 cents for each page
- - $10 for an electronic document
-
Condominium Conversion requires that owners give tenants
at least 180 days’ notice of conversion
-
1 square mile = sq acres
= 640 sq acres
-
1 acre = sq feet
= 43,560 square feet
-
1 mile = feet
= 5,280 feet
-
RE Conveyance Taxes
- 18 Targeted Investments - 0.25% 0.5%
- Municipal - 0.25%
- 1.0%
- State =<800,000 - 0.75%
- 2.0%
- State >8000,000 - 1.25%
-
Conveyance Farm Forest and Open Space Lands
Classification of “Farm” was obtained by the property in 1980
Property was sold in 1987
- Property was sold in 7 years after obtaining the “Farm” classification
- 1987 – 1980 = 7 (10 – 7 = 3)
- Penalty conveyance tax = 3%
-
Conveyance Farm Forest and Open Space Lands
Classification of “Farm” was obtained by the property in Jan 1, 2001
Property was sold in 2007 (in 6 years)
- Property was sold in 6 years after obtaining the “Farm” classification.
- 2007 – 2001= 6 (10 – 6 = 4)
- Penalty conveyance tax = 4%
-
Adverse possession must be uninterrupted for
15 years
-
Property owner can stop adverse possession by
- bring a court action within 1 year of serving the notice
-
Spouse and children of both decedent
spouse?
children?
- - spouse first 100,000 + half of the reminder- children the other half
-
Spouse and children, one or more is not the child of the spouse
spouse?
children?
- - spouse half
- - children other half
-
Spouse and parents no children
spouse?
parents?
- - spouse first 100,000 + 3/4 of the reminder
- - parents the other 1/4
-
Title search examination of the public records for how many years?
- 40-60 years (40 years in CT)
-
CT Recording fees
- - first page of a document
- - $53 - including fee for the preservation of historic documents $3
- - each additional page
- - $5
-
CT if document to be recorded is a Deed with Consideration
- $2 additional fee
-
Change of Name or Status (marriage or business merger) must be recorded within
60 days from the date of the change
-
Antitrust laws (4)
- 1) Price-Fixing
- - not "going rate” or "normal" fee
- 2) Group Boycott
-
- not showing the competitor’s firms listing- 3) Allocation of Customers or Markets
- divide their markets - 4) Tie-In Agreements
- - only if the buyer purchases another product as well
-
Antitrust Laws penalties
- - Sherman Antitrust Act
- - for Fixing Prices or Allocating Markets max $1 million fine and 10 years prison
-
Antitrust laws Penalties for corporation
- - Sherman Antitrust Act
- - up to $100 million
-
Antitrust laws Penalties for individual who has suffered
Treble Damages (3 times of actual damages)
-
Contract for a mortgage loan must be in written if
mortgage loan for over $50,000
-
Contract for a lease must be in written if
- - it is over $500
- - or
- - it is over 1 year
-
Escrow or Trust deposit must be made w/i
3 days
-
Assessed Value formula
Assessed Value = Market Value x Assessment %
-
Tax Bill formula
- Tax Bill = Market Value x Assessment % x Tax Rate %
- or
- Tax Bill = Assessed Value x Tax Rate %
-
Equalized Assessment formula
- Equalized Assessment = Market Value x Assessment % x Tax Rate % x Equalization Factor %
- or
- Equalized Assessment
= Assessed Value x Tax Rate % x Equalization Factor %- or
- Equalized Assessment
= Tax Bill x Equalization Factor %
-
Actual Mills formula
Actual Mills = Assessed Value ÷ 1,000
-
Market Value = 500,000
Assessment Ratio = 70%
Tax Rate = 20 mills
----------
Property Tax = ?
- Tax Bill
- - 500,000 x 70% x 2% = 7,000
-
Assessment = 160,000
Tax Rate = 30 mills
Equalization Factor = 120%
-------------------------
Tax owned on the property = ?
Tax with Equalization Factor = ?
- Tax owned on the property =
- - Assessment x Tax Rate
- - 160,000 x 3% = 4,800
- Tax with Equalization Factor =
- - Assessment x Tax Rate x Equalization Factor
- - 160,000 x 120% x 3% = 5,760
-
Property Value = 135,000
Assessment = 47,250
Equalization Factor = 125%
Tax Rate = 25 mills
-----------
Tax with Equalization Factor = ?
Assessment at % = ?
- Tax with Equalization Factor =
- - 47,250 x 2.5% x 125% = 1,476.5625
- Assessment at % =
- - 47,250 ÷ 135,000 x 100 = 35%
-
Market Value = 160,000
Assessment at % = 75%
Tax Rate = 40 mills
---------
Tax Bill = ?
- Tax Bill =
- - 160,000 x 75% x 4% = 4,800
-
Taxes formula
- Actual Mills = Assessed Value ÷ 1,000
- Taxes
= Actual Mills x Rate of Mills
- Assessed Value = 55,000
- Rate of Mills = 20
- Taxes = ?
- -----------
- Actual Mills = 55,000 ÷ 1,000 = 55
- Taxes = 55 x 20 = 1,100
- or
- Taxes = 55,000 x 2% = 1,100
-
Loan Amount formula
- . Loan Amount
- -----------
- Sales Price x Loan-To-Value Ratio (LTV - %)
- or Appraised Value (loan approved)
- (whichever is less)
-
Parcel sold for = 335,200
Loan approved = 90% (LTV)
Interest = 4.5%
Period = 30 years
Appraised Value = 335,500
-----------
Interest of the 1st month = ?
- Loan amount
- - 335,200 x 90% = 301,680
- Annual interest
- - 301,680 x 4.5% = 13,575.60
- Interest of the 1st month
- - 13,575.60 ÷ 12 = 1,131.30
-
Mortgage Amortization Triangle
- 1) Month Interest = Principal Balance x Annual Interest Rate ÷ 12
- 2) Amount paid toward principal = Monthly Payment – Month Interest
- 3) New Principal Balance = Principal Balance – Amount paid toward principal
-
Cost Approach formula
Total Property Value = Curr (const) Cost - Accr Dep + Land
-
Land = 60,000
Current Replacement cost (1978) = 265,000
Economic Life = 50 years
--------
Cost expected in 2002 (24 years) = ?
- Annual Straight-Line Depreciation
- - 265,000 ÷ 50 = 5,300
- Depreciation in 24 years
- - 24 x 5,300 = 127,200
- Current property and land value
- - 265,000 + 60,000 = 325,000
- Expected in 2002 (24 years)
- - 325,000 – 127,200 = 197,800
-
Cash Flow Report
- Total Income = Gross Retail Income + Other Income – Loses Incurred
- Net Operating Income (NOI) = Total Income – Operating Expenses
- Cash Flow = Net Operating Income (NOI) – Debt Service – Reserves
-
Periodic revaluation
- CT require that towns revalue properties every
- - 5 years by physical observation or statistical analysis
- - 10 years by physical inspection (complete)
-
Tax Year from-to
- from July 1 to June 30
-
Taxes are payable for current tax year on
July 1 and Jan 1
-
Assessment dates
Grant least for the next tax year must be assessed by Oct 1 of preceding (предшествующий) year
-
Grace Period
- - after due dates (July 1 and Jan 1) before penalties
- - 30 days
-
Tax bills issued at least ___ prior to the date on which the first installment is due and payable
30 days prior to the date on which the first installment is due and payable
-
On what date taxes become a lien?
Assessment date Oct 1
-
Statutes hold tax liens to (how long?)
15 year maximum
-
To be valid tax lien must be recorded within
2 years from the due date
-
Taxpayer has a period to exercise his Right of Redemption period of ___ from the date of sale
6 months from the date of sale
-
Right of Redemption can be as short as
60 days
-
Mechanics Lien will extinguish in ___ years from the date of recorded
- in 1 year
-
Mechanics Lien must be recorded within
- 90 days from the time the mechanics’ work cases
-
PITI in at least 10% of the down payment
- no more than 28% of the gross monthly income
-
PITI + other (non-housing) debt expense
- not to exceed 36% of the gross monthly income
-
PITI + other (non-housing) debt expense
Other (non-housing) debt?
- not to exceed 8% of the gross monthly income
-
PITI
Insurance premiums, utilities, routine medical care?
- to be covered by 64% of the gross monthly income
-
Gross monthly Income = 5,000
Required down payment = 10%
--------------
Total housing expense allowed?
Total housing + other (non-housing) expense?
- PITI total housing expense allowed
- - 5,000 x 28% = 1,400
- PITI + other (non-housing) expense
- - 5,000 x 36% = 1,800
-
Tax deduction on Mortgage interest payments on first and second homes?
- - single below 1 million
- - married filing separately $500,000
-
Tax benefit for married couple?
- Married couple from Capital Gains Tax
- - file a joint 500,000
- - files singly 250,000
-
Tax benefit for First time home buyer?
- - penalty-free withdrawal from IRA (limit is 10,000)
- - must be spend within 120 days
-
Loan Origination Fee or
- - or Transfer Fee
- - 1% of the loan amount
-
Discount points
- 1 point = __ of the loan amount
- 1 point = __ of the interest
- - 1 point = 1% of the loan amount
- - 1 point = 0.125% of the interest
- - 1% of interest = 0.125% per 1 point
-
House price = 100,000
Loan = 80,000
--------
3 discount points = ?
80,000 x 3% 2,400
-
Loan amount = 350,000
Charge for points = 9,275
---------
How many points?
9,275 ÷ 350,000 (x 100) = 2.65 points
-
Interest Rate Factor (from chart) = 6
Term = 30 years
Total Loan = 200,000
----------
Principal and Interest Monthly Payment (PI)?
- Interest Rate Factor
- - 6.00 per 1,000 of loan (use chart)
- Principal and Interest
- - 200,000 ÷ 1,000 x 6 = 1,200
-
Appraisal of property need not to be performed by a certified appraiser up to
250,000
-
General Appraiser
classroom hours?
experience?
- - all property types
- - 300 classroom hours
- - 3,000 experience over 30 months
-
Residential Appraiser
classroom hours?
experience?
- - residential property only (1-4 units)
- - 200 classroom hours
- - 2,500 experience over 2 years
-
Provisional Appraiser
classroom hours?
experience?
- - entry level, in training, only under supervision
- - 75 classroom
- - none experience
- - 4 years to be renewable
-
CT RE appraisal Commission consists
- - 8 members
- - (5 certified appraisers, 3 public members)
-
Violation of not being licensed for appraisal
- - $1,000
- - 6 months in prison
-
Federal registry annual fee for appraisal
- $25 from each appraiser
-
License renewal for appraisal (date)
April 30th of each year
-
Continuing education for appraisal ___ hours every ___
- 28 hours in every even-numbered year
-
Retire status for appraisal
- - 65 years or older
- - fee for retirement is $20
-
Leases must be
- written
- recorded
- - written for term of more than 1 year
- - recorded for greater than $500
-
Security Deposits maximum can be
- 2 months’ rent
-
Max Security Deposits maximum if tenant 62
- only 1 month rent
-
Security Deposits must be kept in an ___
Penalty?
- - Escrow Account
- - $500 and/or 30 days imprisonment
-
Security Deposits Interest no less than
Penalty?
- - Interest on the deposit no less than 1.5%- fine $100
-
If LL is not returning the deposit on termination
- $250 fee
-
Interest on Security Deposit must be paid on
- every anniversary of the lease (1 year)
-
Interest on Security Deposit must be paid within __ of actual termination
Penalty
- - 30 days
- - x2 of SD
- - or
- - x2 of interest due +
- - + $250 penalty for each failure +
- - + interests due
-
Criminal damage
- tenant who intentionally damages property
-
Class D Felony
- - First Degree Damage
- - damage > $1,500
-
Misdemeanor
- - Second Degree Damage
- - damage $250 < Damage < $1,500
-
LL can terminate the lease and evict the tenant if tenant fails to pay rent within
- 9 days of the due date
-
LL may deliver the writing notice to the tenant that lease will terminate in
- 15 days
-
If landlord breaches tenant must give to LL written __ notice
- 15 days’
-
If LL make same breach within 6 months tenant can terminate the agreement on __ written notice
- 14 days
-
If LL make same breach within 6 months tenant can terminate the agreement on 15 days’ written notice which must be written within __ of the breach
- 30 days
-
How many days does LL has to remedy the breach?
2 days
-
If the failure of the LL was fearful (intentional) the tenant can
- terminate that agreement
-
If the failure of the LL was fearful (intentional) the tenant can recover an amount equal to __ rent or __ actual damage
- recover an amount equal to 2 month rent or twice actual damage
-
LL cannot take retaliatory action against a tenant by raising rents within __ of a tenant make a reasonable request for repair
6 months
-
Radon levels national average of outside radon
- 0.4 pCi/L
-
Radon levels an "action" level of
- 4 pCi/L
-
Radon levels 95% of time current technology can bring the level below
4
-
Radon levels 75% of the time level can be reduced to
2
-
Result of mitigation within
- 10 days
-
CT Recommends that all homes be mitigated if radon is
=> 4 pCi/L
-
First Degree Damage
- Class D Felony
- - damage > $1,500
-
Second Degree Damage
- Second Degree Damage
- - damage $250 < D < $1,500
-
CT Guaranty Fund
- - one-time fee $20
- - seller who pays a commission to a broker under a false pretenses may receive compensation
-
Broker Application cost
$120
-
Broker Education
- - 60 h - RE Principals and Practices
- - 15 h - RE Brokerage Principals and Practices
- - 15 h - Legal Compliance
- - Total: 120 h
- +
- One of the following:
- - 2 15 h prelicense elective courses
- - 30 h prelicense appraisal courses
- - 20 transactions in the last 5 years
-
Experience to apply for Brokerage
2 years
-
Broker Renewal date
March 31, annually
-
Broker Cont Education
- - 12 hours every 2 years
- - in Even-Numbered Years
- - by March 31st
-
Broker Testing initial
65
-
Broker License Initial year cost
565
-
Broker License renewal cost
375 annual
-
Broker Cont Education cost
8
-
Salesperson Education
60 h RE Principals and Practices
-
Salesperson Renewal date
May 31, annually
-
Salesperson Cont Education
- - 12 hours every 2 years
- - in Even-Numbered Years
- - by May 31st
-
Salesperson Application cost
80
-
Salesperson Testing initial
65
-
Salesperson License Initial year cost
285
-
Salesperson License renewal cost
285
-
Salesperson Cont Education cost
8
-
To change of Broker Affiliation Salesperson must
- 1) Register the change with a RE Commission
- 2) Pay $25 transfer fee
- 3) Return all records and information
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