Use LEFT and RIGHT arrow keys to navigate between flashcards;
Use UP and DOWN arrow keys to flip the card;
H to show hint;
A reads text to speech;
39 Cards in this Set
- Front
- Back
- 3rd side (hint)
|
Real Estate property transaction includes |
development and construction, sale and purchase, appraisal, insurance, property management, investment, counseling, and financing. |
8 different things |
|
|
Real Estate licensees are persons that have... |
- met the requirements of law - are permitted to perform specified services to members of the public - regarding real property transactions. |
|
|
|
whether buying to live in or as investment, information about real estate can best be found through local sources. |
Local in nature. |
|
|
|
The real estate professional brings to the transaction expert knowledge regarding: |
Valuation. Marketing. Property transfer. |
how much? find buyers, and transaction. |
|
|
Real estate licensees must be able to Value a property |
no two properties are exactly alike, we must be able to discern important differences and understand how those differences translate into value. |
|
|
|
Markets are constantly changing. knowing where and how to market a property is knowledge we bring to the transaction. |
supply and demand relationships are ever changing; laws related to property and to taxes can have a major effect on value. |
|
|
|
Conveying ownership or rights in property is a complex process not commonly understood. |
laws, documents, disclosures, technicalities, deeds, mortgages, surveys, appraisals, contracts, title insurance, floodplains, zoning, building codes. |
|
|
|
F.S. 475 specifies 3 ways a broker may be employed by a member of the public: |
1. transaction broker 2. single agent 3. no brokerage relationship |
|
|
|
Transaction brokerage |
The broker provides LIMITED REPRESENTATION to one or both parties to a transaction. |
|
|
|
if no written agreement is in place, what type of brokerage is presumed? |
Transaction Broker. |
default without contract. |
|
|
Many specializations within the real estate industry, like... |
residential sales commercial sales industrial sales agricultural sales business brokerage property management Appraising Counseling |
there are 8 types mentioned in class. |
|
|
residential brokerage is transactions defined as... |
1 to 4 units or agri properties of 10 acres or less. |
|
|
|
a practice called Farming is... |
concentrating on one type or style of property or on one particular neighborhood |
considered to be one of the best ways to succeed |
|
|
business brokerage |
specializing in listing and sale of businesses |
|
|
|
a business broker must be able to... |
estimate the value of a business |
|
|
|
Valuing a business requires an analysis of what? |
1. operating statements 2. balance sheets 3. tangible assets 4. intagible assets 5. goodwill 6. value of real property |
|
|
|
Property management |
managing of income-producing property for absentee owners |
|
|
|
absentee owners |
owners that buy properties as investment and depend on professionals to manage them. |
|
|
|
Define Appraising |
The art of estimating the value of property. |
|
|
|
What is FIRREA? |
legislation titled Financial Institutions Reform, Recovery, and Enforcement Act of 1989 |
|
|
|
what did Title XI of FIRREA do? |
required appraisals utilized by lenders that were federally regulated must be developed and reported in conformity with the Uniform Standards of Professional Appraisal Practice (USPAP) |
|
|
|
what did USPAP require? |
USPAP requires appraisals be done by appraisers registered, licensed or certified under Part II of F.S. 475 administered by Florida Real Estate Appraisal Board. |
|
|
|
Can Real Estate Licensees perform an appraisal under the real estate license law? |
Yes, but only if lenders involved are not federally regulated. |
|
|
|
Comparable Market Analysis (CMA) is... |
a value estimate based on recent sales of similar properties in the same neighborhood. |
not an appraisal. |
|
|
Real Estate Counselors are |
the highest designation of Realtors, usually compensated on a flat fee, for their professional advice. |
|
|
|
what is a highly specialized service that requires a greater level of knowledge and experience than any other facet of the real estate profession? |
Counseling |
|
|
|
What is the chief professional organization for real estate? |
NAR = National Association of REALTORS |
|
|
|
Nation's largest trade and professional association = |
NAR = National Association of REALTORS |
|
|
|
What is NAR's goal? |
preserving the right of individuals to own real property through an exchange of information. |
|
|
|
Members of NAR are called what? |
REALTORS |
|
|
|
NAR members must agree to abide by... |
a strict Code of Ethics. |
|
|
|
Mortgage brokers |
arrange loans between lenders and borrowers but do not make loans |
|
|
|
What do mortgage brokers need? |
a separate license issued by the Florida Dept of Financial Services. |
|
|
|
real estate licensees must be knowledgeable about property insurance, but what is required to sell insurance? |
a separate license is required. |
|
|
|
three types of construction of new homes: |
1. custom building 2. speculative building 3. tract building |
|
|
|
when a contractor is employed by an owner of land to build on that land to the owner's specifications = |
custom building |
|
|
|
when a contractor builds on his/her own land with the hope of finding a buyer after it is completed = |
speculative building |
|
|
|
a developer that buys a large tract of land and builds a model home/center from which sales may be made = |
tract building |
|
|
|
After a developer completes construction and sales of a subdivision, the ownership of streets and sidewalks is conveyed by a developer to the city/county or HOA. what is this called? |
The transfer of ownership is called a dedication and gives the public the right of use. |
|
