National Portion - Real Estate Exam Prep Flashcards

National Portion - Real Estate Exam Prep Flashcards Universal agentOne authorized to conduct business on behalf of a client with a very broad authority. They find the property, negotiate a deal, and purchase the property for the client.agencya consensual fiduciary relationship authorizing a broker to act on the behalf of a client AdaptationParties must consider the character of an item and its adaptation to the real estate Seller/buyer agencywhen the agent only represents one client in a single transaction; i.e. the buyer or the seller Termination by Acts of the Party1) mutual agreement - both parties agree to terminate your

relationship: no reason necessary2) revocation - clients

ability to terminate the agreement3) Renunciation/abandonment-agents ability to terminate the agreement Disclose principalWhen the agent represents a buyer or seller whose identity is known.Government Rectangular Systemtownship lines go east to west, range lines go north to south. Blocks are six miles by six miles (36 sections). Each section is 640 acres.appurtenancesRights, privileges, or improvements permanently attached to the land Services that must be offered to a customer 1) timely presentation of offers2) timely account for all money and property received3) providing meaningful explanation of agency relationship4) provide an explanation of the scope of services to be provided5) fair and honest/provide accurate information in all dealings Real propertyLand, real estate, a bundle of rights. Considered to be fixed, immovable, and indestructible fee simple determinableupon violation of the lands use, the land will automatically revert back to the grantor clientthose which have entered into a written agency agreement with an agent clients obligations to the agent1) compensation2) reimbursement3) opportunity to do job fully4) good conduct5) indemnity6) good thing Fiduciary duties (OLDCAR)1) obedience2) loyalty3) disclosure4) confidentiality5) accounting6) reasonable care, knowledge and diligence termination of easement1) stated condition2) unity of ownership (merger)3) release4) abandonment5) estoppel - if the owner of the servient estate changes his position in reasonable reliance on the representations made or conduct by the owner of the easement6) prescription7) necessity8) condemnation

and destruction metes and bounds systemsystem of measuring land where surveyor first locates a monument (natural or manmade) which will lead to a Point of Beginning. Plots will be measured from the POB.

Ministerial ServicesNon-agency duties such as scribing, completion and sending of paperwork, and the gathering of information encroachmentunauthorized and/or illegal intrusion of a property owner onto that of another property owner (fences, sheds, driveway, treeline, etc.) agentone empowered to act for another in a real estate transaction (broker) fee simple subject to a conditionupon violation of the lands use, the grantor may take some affirmative action to recover possession of the land tenancy in severityrequires more than one owner and does not require any special wording to create. Each co-owner has a separate title to their own interest.encumbrancesrender a property unmarketable (liens) Accretionthe increase or addition of land by the deposit of sand or soil washed up naturally When does agency begin?When all parties have agreed through written consent Multiple Listing Serviceagent doing the MLS and agree to cooperate with other agents by listing all properties for sale in the MLS, making the homes available to cooperating agents easement in grosswill have a servient tenement but not a dominate tenement Exclusive Agency, Buyers Rep AgreementThe buyer retains the right to buy a home themselves and not pay a commission economic characteristics of land1) scarcity - land is not scarce; more is left unused than is used2) improvements can increase/decrease its value3) permanence of investment4) location Types of Authority1) Express2) Implied implied authorityIs it illegal in South Carolina Exclusive right to purchaseRequires the buyer to hire one agent. If the buyer purchases a home from the MLS, the listing broker will pay the commission as agreed in the MLS.FixturesArticles which were once personal property but have become part of the real estate through attachment Exclusive Agency ListingThe seller retains the right to sell the home themselves and not owe the agent any commission Termination of agency by Operation of Law 1) lapse of time through contract expiration2) loss of capacity3) destruction of subject matter4) loss of title5) performance6) bankruptcy Fiduciary Relationshipa relationship in which one party places special trust, confidence, and reliance in a trusted person Open ListingThe client can hire one or more brokers, as they choose, to represent them General agentOne authorized to represent a client on behalf of another agent (BIC) tax lienproperty tax liens will always be a firs lien and does need have to recorded

mortgage liena mortgage lien is placed on all property that is financed. It is placed on the property at closing How will liens be paid?in the order that they were filed. OProperty taxes always take precedent Fixture agreementParties can agree in the contract of sale whether the fixture will remain or be removed avulsionsudden tearing away of land by some geologic/weather disaster Four Test of a Fixture1) agreement2) annexation3) adaptation4) intention Mandatory disclosuresProperty defects and the breakdown in the four types of agency relationships titleevidence of legal ownership Trade fixtureA piece of equipment, which is real property, it is attached to the property. Trade fixtures may be removed if necessary for the success of the sellers business.Buyer Agency Duties1) seeking property at the price and terms stated in the agreement, or at a price and terms acceptable to the buy2) present, in a timely manner, all offers and counteroffers to the buyer3) disclose to the buyer all relevant facts concerning the transaction which are known, or should have been known, to the agent4) advise the buyer to obtain expert advice on material that is beyond the expertise of the agent5) accounting, in a timely manner, for all money and property received that the buyer has an interest in tenemantsdominant - the property that will benefit from the easementservient - the plot of land which bears the burden of the easement Reasons to create easement1) necessity2) prescription3) condemnation4) dedication5) implication special assessmentcharged to real estate owners that have benefited from an improvement made by the country or taxing district (sidewalk, paved roads, etc.) AnnexationAn addition to property by the act of joining one thing to

another. Ex: a built-in sink becomes a fixture when it is

attached to the plumbing.Lot and Block Systemi.e. subdivisions. Lot 7, on Block 3 Ordinary Life Estategranted to the life tenant for as long as the life tenant is alive. upon death, title will pass back to the grantor, or whomever grantor names as heir Types of Agency Agreements1) open listing2) exclusive listing subagentan agent who is appointed by the broker to work directly with a client. All listings technically belong to the broker in charge common lawbody of law that is based on custom and general principles and embodied in case law. Serves as precedent and