Term
| If a person acts as though he owns an easement long enough, and the use is open, obvious, and without permisson of the property owner, that person can obtain legal recognized easement known as what? |
|
Definition
|
|
Term
| What is a contract that may have been valid at one point, but its enforcement is now barred by either the satute of limitations or the doctrine of laches? |
|
Definition
|
|
Term
| The first right of use of water (even underground) is known as what? |
|
Definition
|
|
Term
| The convenient natural or man-made objects are called what? |
|
Definition
|
|
Term
| When a surveyor describes the parcel in terms of distance and direction from a point of beginning, what type of property description is being used? |
|
Definition
| Metes and bounds description |
|
|
Term
| The north-south longitude lines that encircle the earth in the rectangular survey system are called what? (Hint: there are two different terms) |
|
Definition
| longitude lines or principal meridians |
|
|
Term
| What are established every 24 miles north and south of a base line? (Hint: there are two terms) |
|
Definition
| correction lines or standard parallels |
|
|
Term
| What are established every 24 miles east and west of a principal meridian? |
|
Definition
|
|
Term
| Every six miles east and west of a pirncipal meridian where imaginary parallel lines are drawn called? |
|
Definition
|
|
Term
| What intersect with the range lines and produce a 6x6 mile imaginary square? |
|
Definition
|
|
Term
| Each 36-square mile township is divided into 36 one-square mile units called what? |
|
Definition
|
|
Term
| When a tract of land is ready for subdividing into lots for homes and businesses, what type of land description is the simplest and most convenient? |
|
Definition
|
|
Term
| What is a map that shows the location and boundaries of individual properties? (Hint: there are 4 terms) |
|
Definition
| plat, lot-block-tract system, recorded map, and recorded survey |
|
|
Term
| What is a system of intersecting points throughout the state to which metes and bounds surveys can be referenced called? |
|
Definition
|
|
Term
| What is a lot that adjoins the side or rear property line with a corner lot? |
|
Definition
|
|
Term
| What refers to the ownership of something? |
|
Definition
|
|
Term
| When an easement is legally connected to land, what type of easement is created? |
|
Definition
|
|
Term
| When one party has the right or privilege by usage or contract to travel over a designated portion of another person's land, it is called what? |
|
Definition
|
|
Term
| Private agreements that govern the use of land are known as what? (Hint: two terms) |
|
Definition
| deed restrictions or deed covenants |
|
|
Term
| How does one perfect a mechanic's lien? |
|
Definition
| by filing a lien statement in the county where the property is located within 20 to 120 days after labor or material has been furnished. |
|
|
Term
| What arise from lawsuits for which money damages are awarded? |
|
Definition
|
|
Term
| How can a creditor extend a lien to property in other counties that differ from the county where the judgment was awarded? |
|
Definition
| By filing a notice of lien in each of those counties |
|
|
Term
| What is a lien that is created by a property owner? |
|
Definition
|
|
Term
| What is a lien that is created by operation of the law? |
|
Definition
|
|
Term
| What is a lien on a property of a person in a given jurisdiction? |
|
Definition
|
|
Term
What are the two distinguising features that create a freehold estate? |
|
Definition
1. there must be actual ownership of the land
2. the estate must be of unpredictable duration |
|
|
Term
| The person who is acquiring ownership of real property is known as what? |
|
Definition
|
|
Term
| What is another name for a deceased person's heirs? |
|
Definition
|
|
Term
| What occurs when the parties to a contract delcare their intentions either orally or in writing? |
|
Definition
|
|
Term
| What is created by neither words or writing but rather by actions of hte parties indicating that they intend to create a contract? |
|
Definition
|
|
Term
| What is a legal position that a mortgage is a lien unless the borrower defaults at which time it conveys title to the lender? |
|
Definition
|
|
Term
| What happens if a borrower breaks one or more of his/her mortgage covenants? |
|
Definition
| The lender can demand the balance to be paid in full because of the acceleration clause or start foreclosure proceedings. |
|
|
Term
| What clause states that if all or part of the property is taken by action of eminent domain, any money so received is first used to reduce the balance owing on the note? |
|
Definition
|
|
Term
| What document states that the promissory note or bond has been paid in full and the accompanying mortgage may be discharged from the public records after a loan is paid in full? |
|
Definition
| satisfaction of mortgage or release of mortgage |
|
|
Term
| When a buyer states awareness of the existence of the loan and the mortgage that secures it but takes no personal liability for it, he has purchase a property using what method? |
|
Definition
| subject to the existing financing |
|
|
Term
| When a buyer promises in writing to a seller to pay the loan and becomes personally obligated to do so, what purchase method has occurred? |
|
Definition
|
|
Term
| When a lender voluntarily takes a lower-priority position than the lender would otherwise be entitled to by virtue of the recording date. |
|
Definition
|
|
Term
| The procedure by which a person's property can be taken and sold to satisfy an unpaid debt. |
|
Definition
|
|
Term
| When a lender conducts a foreclosure outside of the courts in accordance with provisions in the mortgage and in accordance with state laws. |
|
Definition
|
|
Term
| the law that states that the foreclosed borrower has, depending on the state, from one month to one year or more after the foreclosure sale to pay in full the judgment and retake title. |
|
Definition
|
|
Term
| What clause gives the lender the power to conduct the foreclosure and sell the mortgaged property without taking the issue to court? |
|
Definition
| power of sale clause aka sale by advertisement |
|
|
Term
| What is a public notice filed with the public recorder that states that a borrower is in default of a loan? |
|
Definition
|
|
Term
| What is it called when a lender gives notice to the borrower that the lender wants possession of the property? |
|
Definition
|
|
Term
| What is a written agreement that, although it does not follow the form of a regular mortgage, is considered by the courts to be one. |
|
Definition
|
|
Term
| When a note is secured by a deed of trust, what is the lender called? |
|
Definition
|
|
Term
| What is a government official who takes on the role of a trustee called? |
|
Definition
|
|
Term
| What was created to assist financially distressed homeowners by acquiring mortgages that were about to be foreclosed and offered monthly repayment plans tailored to fit the homeowner's budget that would repay the loan in full by its maturity date without the need for a balloon payment at the end? |
|
Definition
| Home Owner's Loan Corporation (HOLC) |
|
|
Term
| What is a loan requiring periodic payments that include both interest and partial repayment of principal? |
|
Definition
|
|
Term
| What is a loan that calls for a series of amortized payments followed by a balloon payment at maturity called? |
|
Definition
|
|
Term
| What is the relationship between the amount of money a lender is willing to loan and the lender's estimate of the market value of the property that will serve as security called? |
|
Definition
|
|
Term
| Which governmental agency's purpose is to insure lenders against losses due to lack of repayment? |
|
Definition
|
|
Term
| What insures lenders against foreclosure loss? |
|
Definition
|
|
Term
| What is the amount of credit provided to the borrower? |
|
Definition
|
|
Term
| What is the total dollar amount the credit will cost the borrower over the life of the loan? |
|
Definition
|
|
Term
| What independent entity's purpose is to ensure the capital adequacy and financial soundness of Fannie Mae and Freddie Mac, ensure that both comply with the public purposes set forth within their charters, and exercises regulatory authority over them? |
|
Definition
| Office of Federal Housing Enterprise Oversight (OFHEO) |
|
|
Term
| What is a mortgage with an interest rate and maturity that are fixed, but the monthly payment gradually rises because the initial monthly payments are insufficient to fully amortize the loan? |
|
Definition
| Graduate payment mortgage |
|
|
Term
| What is a mortgage that secures personal property as well as real property? |
|
Definition
|
|
Term
| What type of loan encompasses existing mortgages and is subordinate to them? |
|
Definition
|
|
Term
| What is a value placed on a property for the purposes of taxation? |
|
Definition
|
|
Term
| What is an estimate of value? |
|
Definition
|
|
Term
| Who refined and modified the valuation process and set certain guidelines that must be followed during an appraisal? |
|
Definition
| The Uniform Standards of Professional Appraisal Practice (USPAP) |
|
|
Term
| What is depreciation that cannot be fixed and simply must be lived with? |
|
Definition
|
|
Term
| Whether or not an object becomes real estate depends upon the intention of permanantly improving the land. Which four things determine this? |
|
Definition
1.attachment
2. adaptation
3. existence of an agreement
4. relationship to the parties |
|
|
Term
| What does the doctrine of prior appropriation do? |
|
Definition
| Gives the first owner to divert water for personal use the right to continue to do so. |
|
|
Term
| Each square mile section contains how many acres? |
|
Definition
|
|
Term
| How many feet are in an acre? |
|
Definition
|
|
Term
| How many acres does a quarter-section contain? |
|
Definition
|
|
Term
| The bundle of rights that are held for private ownership are called what? |
|
Definition
|
|
Term
| What is one's legal interest or rights in land called? |
|
Definition
|
|
Term
| Easements, encroachments, deed restrictions, liens, leases, air and subsurface rights, qualified fee estates, and life estates are all examples of what? |
|
Definition
|
|
Term
| What is a right or privilege one party has to the use of land or another for a special purpose consistent with the general use of the land? |
|
Definition
|
|
Term
| What recognizes the wife's efforts in marriage and grants her legal ownership to one-third of the family's real property for the rest of her life? |
|
Definition
|
|
Term
| What gives the husband benefits in his deceased wife's property as long as he lives? |
|
Definition
|
|
Term
| What provides a home for a widow, and sometimes a widower, for life, restricts one spouse from acting without the other when conveying the property for a loan, and provides some legal protection for the property against debts and judgements against them that might otherwise result in the forced sale and loss of the home? |
|
Definition
|
|
Term
| Fee estates, life estates, and estates created by statute are all examples of what? |
|
Definition
|
|
Term
| When two or more persons wish to share ownership of a single property, they are called what? |
|
Definition
|
|
Term
| Regarding tenancy in common and joint tenancy, which one has undivided interest? |
|
Definition
|
|
Term
| What divides the property into distinct portions so that each person can hold a proportionate interest in severalty? |
|
Definition
|
|
Term
| What four unities must be present to create joint tenancy? |
|
Definition
| time, title, interest, and possession |
|
|
Term
| What is a form of joint tenancy specifically for married persons? |
|
Definition
|
|
Term
| What law requires that the transfer of real estate ownership be in writing and signed in order to be enforceable in a court of law? |
|
Definition
|
|
Term
| What occurs when the grantors appear before a notary public or other public officer and formally declare that they have signed the deed as a voluntary act? |
|
Definition
|
|
Term
| Which clause in a deed identifies the covenant against encumbrances? |
|
Definition
| habendum clause aka "to have and to hold clause" |
|
|
Term
| What means to renounce all possession, right, or interest? |
|
Definition
|
|
Term
| What is personal property that is willed to someone else called? (Hint: two terms) |
|
Definition
|
|
Term
| What two things must be done in Arkansas (and for how long) for a court of law to deem an adverse occupant the possibility of ownership? |
|
Definition
1. color of title
2. paying property taxes
(7 years in Arkansas) |
|
|
Term
| What suggests some plausible appearance of ownership interest in a property title? |
|
Definition
|
|
Term
| What is the process of accumulating the required number of years an adverse claimant needs to obtain adverse possession by adding thier period of possession with that of a prior adverse occupant's? |
|
Definition
|
|
Term
| When an easement is acquired through adverse possession? |
|
Definition
|
|
Term
| What 4 things must occur for an easement of prescription to be granted? |
|
Definition
the usuage must be
1. open and visible
2. continuous
3. exclusive
4. hostile and adverse to the owner |
|
|
Term
| What results when a promise is exchanged for a promise? |
|
Definition
|
|
Term
| What occurs when a promise is exchanged for performance? |
|
Definition
|
|
Term
| Is a typical lease contract bilateral or unilateral? |
|
Definition
|
|
Term
| What is a contract that contains a promise not to act by one or more of the parties called? |
|
Definition
|
|
Term
| For a contract to be legally valid, what 5 requirements must be met? |
|
Definition
1. legally competent parties
2. mutual agreement
3. lawful objective
4. consideration
5. contract in writing when required by law |
|
|
Term
| What is an act intended to deceive for the purpose of inducing another to part with something of value? |
|
Definition
|
|
Term
| What arises from ambiguity in negotiations and accidental material fact? |
|
Definition
|
|
Term
| what means that the parties intend to be bound by the agreement? |
|
Definition
|
|
Term
| What does disaffirm mean? |
|
Definition
|
|
Term
|
Definition
|
|
Term
| What requires that the sale of personal property with value in excess of $500.00 be in writing? |
|
Definition
|
|
Term
| To sell or otherwise give away your rights, benefits, and obligations under a contract. |
|
Definition
|
|
Term
| When one assigns a contract to someone else, who is liable under the original contract? |
|
Definition
|
|
Term
| What is the substitution of a new contract between the same or new parties? |
|
Definition
|
|
Term
| If neither possession or title has passed and there is material destruction to the property, the seller cannot enforce the contract and the purchaser is entitled to their money back under what act? |
|
Definition
| The Uniform Vendor and Purchaser Risk Act |
|
|
Term
| What 6 options does the innocent party have if the other party has breached their contract? |
|
Definition
1. accept partial performance
2. rescind the contract unilaterally
3. sue for money damages
4. sue for specific performance
5. accept liquidated damages
6. mutually rescind the contract |
|
|
Term
| What is a contract between a borrower and a lender that establishes the amount of debt, the terms of repayment, and the interest rate? |
|
Definition
| promissory note aka real estate lien note. |
|
|
Term
| Some states use this to accomplish the same purpose as a promissory note. |
|
Definition
|
|
Term
| What is the right or privilege or improvement that belongs to and passes with the land, but is not necessarily part of the land? |
|
Definition
|
|
Term
| What means that each owner has a right to possession of the entire property? |
|
Definition
|
|
Term
An incomplete right or partial interest in a parcel of land is known as what?
(Hint: two terms.) |
|
Definition
| title defect or cloud on the title |
|
|
Term
| What is a change of ownership of any kind known as? |
|
Definition
|
|
Term
| What requires that one party makes an offer to another party that must then be accepted and communicated back to the one who made the offer? |
|
Definition
|
|
Term
| What allows a borrower to pay off a loan early without a penalty? |
|
Definition
|
|
Term
| What means the borrower retains the right to possess and use the property while it serves as collateral? |
|
Definition
|
|
Term
| What means to give up possession of the property to the lender while it serves as collateral? |
|
Definition
|
|
Term
| In mortgage agreements, the person or party who hypothecates property is called what? |
|
Definition
|
|
Term
| What clause states that the mortgage is null and void when the note is paid in full and on time. |
|
Definition
|
|
Term
| What is the safest arrangement for loan assumption? |
|
Definition
|
|
Term
| What is a judgment against a borrower if the foreclosure sale does not bring enough to pay the balance owed? |
|
Definition
|
|
Term
| What is the title that the borrower grants to the trustee referred to as in a deed of trust? |
|
Definition
| naked title or bare title |
|
|
Term
| What is the return to the borrower of legal title upon repayment of the debt against the property? |
|
Definition
|
|
Term
| What deed releases the lien and/or reconveys the title back to the borrower? |
|
Definition
|
|
Term
|
Definition
|
|
Term
| How much PMI does the FHA charge upfront? |
|
Definition
|
|
Term
| How do you figure how much PMI a borrower will pay monthly for an FHA loan? |
|
Definition
| 1/2 of 1% of the loan divided by 12. |
|
|
Term
| What is a charge by the VA to guarantee a loan, and how much is it typically? |
|
Definition
| funding fee; 1.25 to 2.15% depending upon the LTV. |
|
|
Term
| What requires that a borrower be clearly shown, before committing to a loan, how much is being paid for credit in both dollar terms and percentage terms? (Hint: 2 terms) |
|
Definition
| Federal Consumer Protection Act or Truth-Lending Act (Also known as TILA) |
|
|
Term
| What gives the borrower the right to rescind a transaction under certain circumstances? (Hint: 2 terms) |
|
Definition
| The Federal Consumer Credit Protection Act or the Truth-in-Lending Act (TILA) |
|
|
Term
| What are feral regulations that implement the enforcement of the Truth in Lending Act? |
|
Definition
|
|
Term
| What are 5 specific disclosures that much be included in any ad that contains trigger terms? |
|
Definition
| (1) cash price or the amount of the loan (2) the amount of the down payment or a statement that none is required (3) the number, amount, and frequency of payments, (4) the annual percentage rate, and (5) the deferred payment price or total payments |
|
|
Term
| What combines the interest rate with the other costs of the loan into a single figure that shows the true annual cost of borrowing? |
|
Definition
|
|
Term
| If a FTC determines that an advertiser has broken the law, it can order the advertiser to cease from further violations. Each violation can result in a civil penalty of how much per day that the violation continues? |
|
Definition
|
|
Term
| What type of loan does not include a right of rescission? |
|
Definition
| a construction loan for one's principal dwelling |
|
|
Term
| What gives individuals the right to inspect their file at a credit bureau, correct any errors, and make explanatory statements to supplement the file? |
|
Definition
| Fair Credit Reporting Act |
|
|
Term
| What type of loans provide an insurance company with more inflation protection than a fixed rate of interest? |
|
Definition
|
|
Term
| What was organized by the federal government in 1938 to buy FHA mortgage loans from lenders? |
|
Definition
| Federal National Mortgage Association (FNMA) |
|
|
Term
| What government program was established to increase the availability of financing for residential mortgages and deals primarily with conventional loans only? |
|
Definition
| Freddie mac, FHLMC, Federal Home Loan Mortgage Corporation |
|
|
Term
| What is the amount added to the index rate that reflects the lender's cost of doing business? |
|
Definition
|
|
Term
| What is the maximum interest rate charge allowed on an adjustable rate mortgage? |
|
Definition
|
|
Term
| What sets a limit on how much the borrower's monthly payment can increase in an one year? |
|
Definition
|
|
Term
| What is the accrual of interest on a loan balance so that, as loan payments are made, the loan balance rises? |
|
Definition
|
|
Term
| What offers an interest rate 1 to 2 percent below market rates and earns the lender about half of the increase in appreciation of the term of the loan? |
|
Definition
| Shared Appreciation Mortgage (SAM) |
|
|
Term
| What is a refinancing plan that combines the interest rate on an existing mortgage loan with current rates? |
|
Definition
|
|
Term
| What is an umbrella term that covers many slightly different loans that target first-time home-buyers and low-to moderate-income borrowers? |
|
Definition
|
|
Term
| What is the enactment of a taxing body's budget and sources of money into law? |
|
Definition
|
|
Term
|
Definition
| A property tax rate this is expressed in tenths of a cent per dollar of assed valuation. |
|
|
Term
| How do you figure out the taxable capital gain on a home? |
|
Definition
| basis - amount realized = capital gain |
|
|
Term
| How do you figure a home's basis? |
|
Definition
| Amount originally paid for home + any fees paid for closing services and legal counsel and any fee or commission paid to help find the property and all fees paid for improvements. |
|
|
Term
| How do you figure amount realized or the adjusted sales price when determining taxable gain? |
|
Definition
| The selling price of the home less selling expenses including brokerage commissions, advertising, legal fees, title services, escrow or closing fees, and mortages points. |
|
|
Term
| What is a lienholder's statement as to the unpaid balance on a trust deed note? |
|
Definition
|
|
Term
| When does an escrow closing begin? |
|
Definition
| when a sales contract is signed by the buyer and the seller. |
|
|
Term
| What transfers only a portion of the rights held under a lease? |
|
Definition
|
|
Term
| Who is liable for the original lease under a sublease? |
|
Definition
|
|
Term
| List the steps of the valuation process in order. |
|
Definition
(1) define the appraisal problem
(2) conduct a preliminary analysis, formulate an appraisal plan, and collect the data
(3) estimate the highest and best use of the land as if vacant, and the property as if improved
(4) estimate land value
(5)estimate the improved property value through the appropriate value approaches
(6) reconcile the results to arrive at a defined value estimate
(7) report the conclusion of value |
|
|
Term
| What is the formula for the cost approach of valuation? |
|
Definition
| land value plus current construction costs minus depreciation |
|
|
Term
| Are adjustments made to the subject property or to the comparables? |
|
Definition
|
|
Term
| What is the value of a comparable property after adjustments have been made for differences between it and the subject property? |
|
Definition
|
|
Term
| What gives the appraiser the opportunity to assign more weight to the more similar comparables and less to the others? |
|
Definition
|
|
Term
| What is the worth of the subject property as shown by recent sales of comparable properties? |
|
Definition
|
|
Term
| What is a description of a property improvement being valued at replacement cost? |
|
Definition
|
|
Term
| What is an appraisal technique that uses square-foot construction costs of similar structures as an estimating basis? |
|
Definition
|
|
Term
| What is the most detailed and encompassing of the report options in an appraisal? |
|
Definition
| self-contained appraisal report |
|
|
Term
| What is a need or desire coupled with the purchasing power to fill it? |
|
Definition
|
|
Term
| What is the ability of a good or service to fill the need of a demand? |
|
Definition
|
|
Term
| What means that there is short supply relative to the demand? |
|
Definition
|
|
Term
| What must a good or service be in order to have value to anyone other than the person possessing it? |
|
Definition
|
|
Term
| What principal of value reflects the fact that a person will pay for a property depends on the expected benefits from the property in the future? |
|
Definition
| principle of anticipation |
|
|
Term
| what principle of value states that the maximum value of a property in the marketplace tends to be set by the cost of purchasing an equally desirable property, provided no costly delay in encountered in making the other property? |
|
Definition
|
|
Term
| What principle of value reminds us that real property uses are always in a state of change? |
|
Definition
|
|
Term
| Which principle of value holds that maximum value is realized when there is a reasonable degree of homogeneity in a neighborhood? |
|
Definition
|
|
Term
| What principle of value refers to the relationship between added cost and the value that you get back? (Hint: 2 terms) |
|
Definition
| principle of diminishing marginal returns or principle of contribution |
|
|
Term
| When two or more adjoining parcels are combined into one large parcel |
|
Definition
|
|
Term
| What is the increased value of the large parcel over and above the sum of the smaller parcels called? |
|
Definition
|
|
Term
| What is the value of a property expressed in terms of the right to its use for a specific period of time? |
|
Definition
|
|
Term
| What is what a structure is worth if it has to be removed or taken elsewhere, either in whole or dismantled for parts? |
|
Definition
|
|
Term
| What means that many buyers and sellers are in the market at the same time? |
|
Definition
|
|
Term
| What is said to exist when there are only a few buyers and a few sellers in the market at the same time? |
|
Definition
|
|
Term
| When a broker operates outside of his or her home state, he or she may be required to file what in each state that he or she intends to operate, usually with the secretary of state? |
|
Definition
|
|
Term
| What is a listing wherein the seller is charged for the out-of-pocket costs of marketing the property? |
|
Definition
|
|
Term
| What is a broker, who for a fixed price, will list a property and help the owner sell it? |
|
Definition
|
|
Term
| What is an agency wherein the agent is empowered to transact matters of all types for the principal? |
|
Definition
|
|
Term
| What is an agency wherein the agent has the power to bind the principal in a particular trade or business? |
|
Definition
|
|
Term
| An unlimited power of attorney is an example of what type of agency? |
|
Definition
|
|
Term
| A real estate listing is an example of what type of agency? |
|
Definition
|
|
Term
| What is a written contract establishing the agent-principal relationship called? |
|
Definition
|
|
Term
| What is conferred when a principal gives a third party reason to believe that another person is the agent even though that person is unaware of the appointment? |
|
Definition
|
|
Term
| What is an agency that is established after the fact? |
|
Definition
|
|
Term
| What results when a principal fails to maintain due diligence over the agent and the agent exercised powers not granted? |
|
Definition
|
|
Term
| What is an agency that results when the agent holds an interest in the property being represented? |
|
Definition
| agency coupled with an interest |
|
|
Term
| What are the broker's 5 obligations to the principal? |
|
Definition
(1) faithful performance
(2) loyalty
(3)protection of interest
(4) reasonable care
(5) accounting of funds |
|
|
Term
| What is the principal's primary obligation? |
|
Definition
|
|
Term
| What is compensation for loss or damages? |
|
Definition
|
|
Term
| What does the principal's duty of performance mean? |
|
Definition
| The principal must do everything that can be reasonably done to accomplish the purpose of the agency. |
|
|
Term
| What are the sale's associate's duties to the broker? |
|
Definition
(1) competence
(2) obedience
(3) accounting
(4) loyalty
(5) full disclosure |
|
|
Term
| What are the broker's obligations to the sales associate? |
|
Definition
(1) compensation
(2) reimbursement
(3) indemnification
(4) performance |
|
|
Term
| What is the relationship of the sales agent to the principal? |
|
Definition
|
|
Term
| What is the traditional theory of an agent? |
|
Definition
| That everyone is a subagent of the seller |
|
|
Term
| What is the problem with the middleman theory? |
|
Definition
| If either party thinks that the broker is that party's representative, and agency relationship could be implied and a fiduciary responsibility is established. |
|
|
Term
| What is a statutorily created middleman called? (Hint: 3 terms) |
|
Definition
| intermediary, transactional broker, or facilitator |
|
|
Term
| What was established to promote competition in the open marketplace? |
|
Definition
|
|
Term
| What was designed to pay legal costs and judgments against persons of business? |
|
Definition
| errors and omission insurance |
|
|
Term
| What was originally passed to provide for equal credit for borrowers by making it unlawful to discriminate against an applicant? |
|
Definition
| Equal Credit Opportunity Act (ECOA) |
|
|
Term
| What are the rules created by the developer in which anyone purchasing a condo unit must abide by? |
|
Definition
| covenants, conditions, and restrictions (CC&R's) |
|
|
Term
| Who must be elected by the association members to administer the affairs of the condos? |
|
Definition
|
|
Term
| Once a year, the owner's association of a condo will meet for what? |
|
Definition
|
|
Term
| What is set aside each month for capital expenses? |
|
Definition
|
|
Term
| When someone purchases stock in a cooperative, what are they given to show ownership? |
|
Definition
|
|
Term
| What type of timeshare gives the buyer a contractual right to occupy a living unit at a resort property for one week a year for a specific term of years? |
|
Definition
|
|
Term
| In what type of timeshare does a purchaser obtain an ownership in the unit purchased for one week a year and the sale is handled like a the sale of real property? |
|
Definition
|
|
Term
| What describes the legal restriction that controls how a parcel of land may be used? |
|
Definition
|
|
Term
| What divides land into zones and districts? |
|
Definition
|
|
Term
| What do zoning laws regulate? |
|
Definition
| purpose for a building, height and bulk of the buildings, the area of the lot, the number of persons they can accommodate, etc. |
|
|
Term
| When an existing structure is not in sync with a new zoning law, but the owner is allowed to continue to use the structure the same way as they have previously used it. |
|
Definition
|
|
Term
| How can a zoning ordinance be changed? |
|
Definition
|
|
Term
| What allows an individual landowner to deviate from current zoning requirements for a parcel? |
|
Definition
|
|
Term
| What allows a land use that does not conform with existing zoning provided the use is within the limitations that are specifically imposed by the city ordinance? |
|
Definition
| specific use permit or conditional-use permit |
|
|
Term
| What refers to rezoning of a small area of land in an existing neighborhood? |
|
Definition
|
|
Term
| What means that land previously zoned for higher-density uses is rezoned for lower-density uses? |
|
Definition
|
|
Term
| What is the concept wherein municipality regulates the property to where it has no value, or in some cases, has no remaining economic value? |
|
Definition
|
|
Term
| What is the strip of land that separates one land use from another? |
|
Definition
|
|
Term
| What is issued to the building owner to show the structure meets the code when a building is completed? |
|
Definition
|
|
Term
| Private land use controls take what form? |
|
Definition
|
|
Term
| What is a comprehensive guide to a community's growth? |
|
Definition
|
|
Term
| What occurs when an investor uses a portion of the property's rental income to reduce the balance owing on a mortgage? |
|
Definition
|
|
Term
| When an investor must dip into their pocketbook to keep a property going. |
|
Definition
|
|
Term
| What is calculated by taking the total amount of anticipated depreciation and dividing by the number of years. |
|
Definition
| straight-line depreication |
|
|
Term
| What is a disclosure statement that describes an investment opportunity? |
|
Definition
|
|
Term
|
Definition
| How many members are appointment by the governor from the state at large, subject to confirmation from the senate, but not required to be appointed from a list submitted by the Arkansas Realtors Association? |
|
|
Term
| Only the real estate licensee members may grade papers should that become a necessity. |
|
Definition
| All members of the real estate commission have equal rights with what exception? |
|
|
Term
|
Definition
| What is the salesperson renewal fee if paid after September 30th? |
|
|
Term
|
Definition
| What is the duplicate license renewal fee if paid after September 30th? |
|
|
Term
|
Definition
| What date should a time share renewal be filed by, and when would the upcoming renewal period begin? |
|
|
Term
| misdemeanor, fine of up to $5,000, and imprisonment of up to 1 year in jail. |
|
Definition
| What are the consequences to offering a time share without complying with the real estate commission's rules? |
|
|
Term
|
Definition
| What is a time-share plan registration fee? |
|
|
Term
|
Definition
| What is a time share plan renewal fee? |
|
|
Term
|
Definition
| What is an abbreviated registration application fee for a time share? |
|
|
Term
|
Definition
| What is an abbreviated registration renewal/recertify fee for a time share? |
|
|
Term
|
Definition
| What is an acquisition agent registration/renewal fee for a time share? |
|
|
Term
|
Definition
| What is a time share's principal broker registration or renewal fee? |
|
|
Term
|
Definition
| What is the fee for the managing agent registration and renewal fee for a time share? |
|
|
Term
|
Definition
| What is the fee for an exchange agent registration and renewal fee for a time share? |
|
|
Term
|
Definition
| What is a material change fee for a time share? |
|
|
Term
|
Definition
| What amount is required for a developer's consolidation bond of a time share? |
|
|
Term
|
Definition
| What amount is required for an acquisition agent bond of a time share? |
|
|
Term
|
Definition
| What amount is required for a principal broker bond of a time share? |
|
|
Term
|
Definition
| What amount is required for a managing agent bond of a time share? |
|
|
Term
| In writing prior to signing any agremeents |
|
Definition
| When must a licensee disclose that he or she is an agent? |
|
|
Term
1. a requirement by another law or any government agency.
2. Voluntary broker participation in the interest on Real Estate Brokers' Trust Account Program |
|
Definition
| What are the two exceptions to the law that requires that all trust accounts be non-interest bearing? |
|
|
Term
|
Definition
| What is a failure to exercise reasonable care toward others or a departure from what an ordinary reasonable member of the community would do in the same situation? |
|
|
Term
| Material Adverse Fact (AKA Adverse Material Fact) |
|
Definition
| What is known as a fact related to the property not reasonably ascertainable or known to a party which negatively affects the value of the property? |
|
|
Term
| Upon the seller signing the offer and providing the buyer or buyer's agent with a copy of the signed document. |
|
Definition
| When is acceptance of an offer generally executed? |
|
|
Term
|
Definition
| What is a real estate practice employed to obtain a loan by fraudulent means? |
|
|
Term
| Both parties are subject to criminal prosecution. |
|
Definition
| What is the consequence to doing a dual contract? |
|
|
Term
|
Definition
| What is the statute of limitations for contract law? |
|
|
Term
|
Definition
| The respondent licensee in the hearing may, by written petition, signed and dated, invoke the aid of the Commission in the procurement of any witness or document the licensee may desire to be present at the hearing, provided that the petition is filed with the director at least how many days prior to the hearing date? |
|
|
Term
|
Definition
| Once a decision has been made by the commission during a hearing, any motion for reconsideration must be filed within how many days of the date the decision is first announced? |
|
|
Term
| No later than the date of the sales contract. |
|
Definition
| A public offering statement must be provided to each purchaser of a Time-Share Interval by when? |
|
|
Term
| Persons appointed by the Governor, as the law provides. |
|
Definition
| Membership on the Real Estate Commission in Arkansas is restricted to whom? |
|
|
Term
|
Definition
| In any real estate transaction in which a licensee is acting solely as an agent for a buyer or lessee, when must the licensee disclose agency to a potential seller or lessor or their agent? |
|
|
Term
| Refund the advanced fee to the owner (payer) of the funds. |
|
Definition
| Principal brokers are only allowed to disburse trust funds in accordance of the written agreement that is signed by the owner of the funds. If a written agreement is not received within a reasonable amount of time after the payment of the advanced fee has been made, what should the principal broker do? |
|
|
Term
| Notify the commission of the transfer and furnish the name, address, and phone number of the responsible person. |
|
Definition
| If a real estate broker transfers custody or responsibility for records after a real estate firm has gone out of business, what should he immediately do? |
|
|
Term
| It must be in a non-interest bearing account with either trust or escrow in its name and shall be insured by the FDIC. |
|
Definition
| What type of regulations are placed on the type of account that the trust account is in? |
|
|
Term
|
Definition
| It is strongly recommended by the commission that what type of agency is in writing? |
|
|
Term
| signed management agreement between the principal broker and the owner of the property. |
|
Definition
| What must a principal broker or designated executive broker have before they can engage in the management of residential rental real estate? |
|
|
Term
| overall compilation/accounting |
|
Definition
| What must be prepared for the owner if a property management agreement with an owner allows the property manager to use funds collected for one property to apply to expenses of another property? |
|
|
Term
| Monday immediately preceding the second Tuesday of every month. |
|
Definition
| When are regular meetings of the AREC generally held? |
|
|
Term
|
Definition
| How much is an annual renewal broker license fee? |
|
|
Term
|
Definition
| Any person who holds a license on inactive status shall notify the commission in writing within how many business days if they change their name or address? |
|
|
Term
| before the buyer or lessee signs any documents related to the transaction. |
|
Definition
| In all cases, when must agency disclosure be made when representing the seller/lessor? |
|
|
Term
| At the first contact with the seller, lessor, or the agent of the seller or the lessor. |
|
Definition
| When must agency disclosure happen when representing a buyer or lessee? |
|
|
Term
(1) the name and business address of the property manager and his firm
(2) the name, address, and other contact information of the tenant
(3) mailing address & unit # of the leased property
(4) payment conditions and amounts pertinent to the rental or lease and the term
(5) the amount of and the reason for all funds paid by the tenant to the property manager
(6) the location where or entity by whom security deposits will be held
(7) method by which the tenant will be notified in the event of termination of property manager's agreement to include handling of the security deposit.
(8) signatures of current property manager or current executive broker and tenant |
|
Definition
| What must a written rental agreement with a tenant contain? |
|
|
Term
| 30 days from the citation |
|
Definition
| How long does a licensee or broker have to either pay or respond to fines sanctioned by the executive director of the commission? |
|
|
Term
|
Definition
| What is the maximum fine for offering a nonqualified real estate education course? |
|
|
Term
|
Definition
| If a licensee wishes to request a renewal without giving a reason for why it might otherwise not be accepted, he or she must submit that request no longer than ___ days prior to the renewal deadline? |
|
|
