Armbrust Real Estate Exam Flash Cards Flashcards

Armbrust Real Estate Exam Flash Cards Flashcards General dataInformation about the forces that effect value (P.E.G.S.) EncroachmentWhen one persons property extends beyond the lot lines onto the property of another Judgment lienA lien as a result of a court action (lawsuit) HypothecatePledging property as collateral for a loan through a mortgage or deed of trust Economic characteristics of propertyScarcity, improvements, permanence of investment, area preference Tenancy by the entiretyCo-ownership by married couples only, each having an equal undivided interest and the right of survivorship CondemnationThe process by which the government exercises its right of eminent domain Fee simple absoluteThe highest form of real property ownership recognized by law Servient tenementThe property that has granted an appurtenant easement to another Non-freehold estateA possessory interest in real property, could be estate for years, periodic tenancy, tenancy at will or sufferance Principal meridianA survey line running north and south in the rectangular survey land description system FraudIntentional misrepresentation of material facts Rectangular surveyA system of describing land using a grid system of surveyed lines Acre43,560 square feet Procuring causeThe one who started a chain of events that results in a sale Deed of trustAn agreement between the borrower and the lender that provides security for a debt, a three party agreement Reversionary interestThe person who creates the life estate will recapture ownership, a future interest Metes and boundsA system of describing land which identifies the point of beginning and the perimeter boundary lines of the property RangesA strip of land running north and south, six miles wide Time-share useA possessory (non-ownership) interest in a time-share Easement in grossA right given to an individual allowing use or access to another's land such as a utility easement LienA charge or claim against a property to enforce a debt Mile5,280 feet Life estateA freehold estate that is limited in duration to the life of the holder/[owner] of the life estate or the life of another. [On the death of this person, legal title passes to the grantor or other named party]

HUD-1A form required by RESPA that includes all monies paid into and out of a real estate closing Net operating incomeIncome remaining after deductions for property expenses, used in the income approach IRV formula to estimate value PUDA development consisting of diverse land uses such as housing, recreation and retail, or diverse densities, all contained in one subdivision MortgageAn agreement between the borrower and the lender that provides security for a debt, a two party agreement Appurtenant easementAn easement that "runs with the land" allowing one property owner to use the land of another Fiduciary relationshipA relationship of trust and confidence between the agent and the principal/client Township linesEast and west survey lines parallel to the base line, six miles apart, identifying tiers Eminent domainThe right of the government to take private property for public use Prescriptive easementWhere one might secure the right to use another person's land without that owners approval Living trustA trust created during the trustor's lifetime as opposed to a testamentary trust which is created by a will Equalization factorUsed to achieve fairness and uniformity in real estate tax assessments Co-ownershipTitle held by two or more natural or legal persons such as joint tenancy ZoningPolice power designed to protect the public health, safety, and welfare MonumentsNatural or man-made surface markers used to identify lot boundaries or corners in a metes-and-bounds legal AgentA person who is authorized to act for another (the principal) as a fiduciary and advocate Prepaid itemItems that have been paid in advance that should be reimbursed Dual agencyWhere a broker is an agent for both the buyer and seller in the same transaction, each party must consent to the dual agency TrusteeThe person who holds title under a trustee's direction in a trust Price fixingConspiring to set fixed prices or commission rates CooperativeCorporate owned building occupied by shareholders Classifications of land use(1) Residential, (2) Commercial, (3) Industrial, (4) Agricultural, (5) Special Purpose Remainder interestThe future interest of the person named in a life estate who will become the owner

Special agentAn agent who is authorized to perform a single act or assist in a single transaction for the principal Tenancy in commonA type of co-ownership where each owner has an undivided fractional interest Point of beginningThe starting point in a metes and bounds legal description Exclusive agency listingA type of listing where the broker earns a commission unless the seller finds a buyer Base lineA survey line running east and west in the rectangular survey land description system AppurtenanceA right, privilege, obligation or improvement that passes with the title Broker protection clauseKnown as the "holdover," allows broker to claim a commission after the listing expires DemandThe number of ready and willing buyers in a market Freehold estateAn ownership interest in real property, could be fee simple, defeasible or life estate TrustWhere the owner (trustor) conveys to a third party (trustee) for the benefit of another (beneficiary) BenchmarkA reference used by surveyors to measure elevation Negligent misrepresentationNot knowing when the agent should have known SupplyThe amount of product available for sale AnnexationChanges personal property to real property Lis PendensMeaning "pending litigation", once recorded, a lis pendens gives notice of a possible future lien Gross rent multiplierThe income approach for single family rentals up to four units, GRM x MONTHLY RENT = VALUE Real PropertyInterests, benefits, and rights associated with real estate ownership Specific lienA lien where the collateral is a particular property, upon non-payment the lender can foreclose Time-share estateAn ownership interest in a time share Net listingA compensation agreement where the commission amount is anything above a net amount to the seller Time-shareWhere many purchasers share ownership (time share estate) or rights of occupancy (time share use) of a single unit EmblementsCrops, considered to be personal property Exlusive right to sellA type of listing where the broker earns a commission regardless of who procures a buyer EncumbranceA charge or liability that attaches to property such as liens, restrictions, or easements Littoral rightsRights of owners whose land is adjacent to navigable waterways, land is owned to the average water line ChattelPersonal property, aka personalty

TownshipSix miles square and 36 square miles, consisting of 36 numbered sections Pur autre vieMeaning "for the life of another", a life estate based on the life of a person other than the life tenant AssignmentThe transfer of an existing contract to new parties EmblementGrowing crops, considered to be personal property BeneficiaryThe person who benefits from the trust Cost approachBuilding cost new minus building depreciation plus site value Special assessmentIn addition to real estate taxes, a charge by the tax authority to pay for municipal improvements Section640 acres, one of 36 in a township Open listingA type of listing when only the broker who brings a buyer earns a commission, the seller retains the right to sell Real estateThe land and all things permanently attached SeveraltyOwnership of real property by one person only PuffingExaggerated comments about a property PrincipalThe person who hires the agent, could be the buyer, seller, landlord or tenant Testamentary trustA trust established by will after the trustor's death NovationSubstitution of a new contract (debt or obligation) between the same or different parties Defeasible feeA fee simple estate that may be lost upon the occurrence of some eventownership "so long as" or "as long as" also called "determinable fee" Familial statusThe presence of one or more individuals who have not reached the age of majority who live with a legal guardian SeveranceChanging real property to personal property CondominiumA type of ownership with separate ownership of individual units and shared ownership of common elements and limited common elements.EscheatThe transfer of ownership to the state then the owner dies without a will or heirs SubordinationChanging the priority of a lien moving a lien from 1st priority to 2nd priority Ad valoremRefers for real estate tax assessments, it means "according to value" Physical characteristics of real property Immobility, indestructibility, uniqueness HomesteadThe legal life estate of a family home protected from unsecured creditors Sub-agentThe agent for the agent, illegal in some states Joint tenancyA form of co-ownership with the right of survivorship, requiring the unities of possession, interest, time, and title Trade fixtureAttached to the property by a tenant for use in the business