Florida Real Estate Vocabulary Flash cards Flashcards

Florida Real Estate Vocabulary Flash cards Flashcards Broker's Price Opinion (Bpo)A written opinion of the value of real property. Florida real estate licensees are allowed to prepare and charge for BPOs provided the BPO is not called an appraisal. Price opinions are often requested by relocation companies and lenders involved in short sales of distressed properties.CancelA license ceases to exist, effective as of the date approved by the Commission, and does not involve disciplinary action./ Means to become void w/out disciplinary action.CustomerOne with whom the broker or sales associate hopes to be successful in accomplishing the purpose of employment.Per Section 475.01, F.S., a member of the public who is or may be a buyer or a seller of real property and may or may not be represented by a real estate licensee in an authorized brokerage relationship.Assessor's Parcel NumberA numerical ID assigned to each parcel of land within a tax district used to prepare tax maps.ComplaintFormal allegation or charge.BlockbustingThe illegal practice of inducing homeowners to sell their property by making misrepresentations regarding the entry or prospective entry of minority persons in order to cause a turnover of properties in the neighborhood; discriminatory acts against sellers.Culpable NegligenceInadequate attention to duties and obligations by those who know, or should know, what is required of them.Comparative Market Analysis (Cma)An informal estimate of market value performed by a real estate licensee for the seller to assist in arriving at an appropriate listing price, or if working with the buyer, an informal estimate of market value to assist the buyer in arriving at an appropriate offering price.ContractAn agreement between two or more competent parties to do, or not do, some legal act for a legal consideration.Annual Percentage Rate (APR)Total yearly cost of credit.Cease To Be In ForceA licensee cannot perform real estate services because certain events occur, such as when a broker changes business address.Bilateral ContractAn agreement wherein both parties are legally obligated to each other to perform.Business BrokerReal estate licensees who engage in the sale, purchase, or lease of businesses.BasisThe initial cost of an investor's property.

Buffer ZoneA strip of land separating one land use from another Community Development District (Cdd)An independent special district created pursuant to Florida law to service the long-term specific needs of its community. A CDD constructs, operates, and maintains communitywide infrastructure and services for the benefit of its residents. CDDs provide an alternative way to fund and construct capital infrastructure to service projected growth.Blind AdvertisementAn advertisement that provides only a telephone number, a post office box, and/or an address without the licensed name of the brokerage firm.Conflicting DemandsWhen different parties each make claims regarding disbursement that are inconsistent with one another.ConversionUnauthorized use or retention of money or property that rightfully belongs to another person Condemnation / Eminent DomainThe taking of private real property for a public purpose under the right of eminent domain for a fair price.Blanket MortgageOne debt instrument covering two or more parcels.At Arms LengthConducting negotiations on one's own behalf without being subject to the other party's control or influence.AppreciationAn increase in value.Active LicenseA current, valid license registered with the DBPR. The status required to actively engage in the real estate business.Cash FlowThe resulting amount when annual debt service, tax liability, and capital improvement costs are subtracted from net operating income.Actual NoticeInformation a person has actually learned by reading, seeing, or hearing.Construction Lien aka Mechanic's LienA claim based on the principle of "unjust enrichment"; favors parties who have performed labor or delivered materials or supplies for the repair or building of an improvement to real property.AssumptionThe buyer of real property that is already mortgaged assumes liability for the mortgage payments of the original loan that remains on the property.CompetentA party to a contract who possesses the legal capacity to enter into a binding contract.AssemblageThe combining of two or more adjoining properties into one tract.ArbitationThe act of having a third party render a binding decision in a dispute between two parties Balloon PaymentA single, large payment made at maturity of a partially amortized mortgage to pay off the debt in full.

Caveat EmptorLatin for "let the buyer beware." Common ElementsThe parts of a multiple-ownership property not included in the units; those parts in which each unit owner holds an undivided interest. / such as roofs,elevators, and recreational facilities are legally attac hed to condominium units are transferred with the units when they are sold.Assessed ValueWorth established for each unit of real property for tax purposes by a county property appraiser.ConcealmentThe act of keeping from sight or keeping secret.Closing DisclosureA form that must be provided to the borrower at least three business days before closing; replaced the Settlement Statement (HUD-1).AgentA representative; one who is authorized to act on behalf of another Building InspectionA procedure conducted during construction to check that workmanship conforms to building code.Constructive NoticeThe recording of a document or an instrument in the public records designed to give adequate notice to all AcknowledgmentFormal declaration before an authorized official, by the person who executed the instrument, that it is a free act.Community Association Manager (Cam)A person who holds a CAM license to manage community associations of more than 10 units and associations with annual budgets in excess of $100,000.Acceleration ClauseStipulation in a mortgage that the entire unpaid balance of the debt may become due and payable if a default of expressed conditions should occur.Buyer's MarketThe supply of available properties exceeds the demand CommingleTo mix together money or a deposit with personal funds; combine; intermingle.Contract For Deed (Land Contract)A financing technique wherein the seller agrees to deliver the deed at some future date and the buyer takes possession while paying the agreed amount. / Financing method in which the title to the real property remains with the seller until the loan is repaid AssignmentWritten instrument that serves to transfer the rights or interests of one person to another.AppraisalA property holder who does not reside on the property and who usually relies on a property manager to supervise the investment.Building PermitA document issued after the local government has reviewed the architectural and engineering drawings and signed off on the energy calculations.BrokerAn individual or business entity licensed by the DBPR to perform services of real estate for others for compensation

Cost ApproachA method for estimating the market value of a property based on the cost to buy the site and to construct a new building on the site, less depreciation.Chain Of TitleA successive listing of all previous holders of title (owners) back to an acceptable starting point.Adjusted BasisThe owner's original cost plus buying expenses an capital improvements CondominiumA multiunit project consisting of individual ownership of a dwelling unit and undivided ownership of common areas.Ad ValoremAccording to the value; in proportion to worth.CorporationAn artificial or fictitious person formed to conduct specified types of business activities.Antitrust LawsState and federal laws designed to maintain and preserve business competition.Business OpportunityThe real estate activity dealing in the sale, purchase, or lease of businesses.Abstract of TitleCondensed history of title to real property consisting of a summary of the links in the "chain of title" extracted from documents bearing on the title status.Broker AssociateAn individual who is qualified to be issued a broker's license but who operates as a sales associate in the employ of another.Capital Gain (Or Loss)The profit (or loss) from the sale of an asset, including real property Amortized MortgageA loan characterized by payment of a debt by regular installment payments.Conforming LoanA standardized conventional loan written on uniform documents that meets the purchase requirements of Fannie Mae and Freddie Mac.Condominium DocumentsA set of papers describing the condominium and the association Concurrent OwnershipWhen two or more persons own property at the same time, such as joint tenants, tenants by the entirety, or tenants in common.Attorney- in-FactOne who is authorized to perform certain acts for another under a power of attorney.CreditAs a verb, to make an entry on the right or credit side of an account; as a noun, payment or value received.BootMoney or other property that is not like-kind, which is given to make up any difference in value or equity between exchanged properties.Civil Rights Act of 1866A federal act that prohibits any type of discrimination based on race in any real estate transaction (sale or rental) without exception.