Pennsylvania Real Estate Fundamentals Flashcards

Pennsylvania Real Estate Fundamentals Flashcards AvulsionA natural process in which land is removed from one persons property and deposited onto another.AnnexationAttaching personal property to land so that the law views it as part of the real property.Acceleration ClauseClause giving the lender the right to declare the entire loan amount due immediately because of borrowers default or other reasons stated in the contract.Builders AcreNot a legal acre, in formal unit of measurement = 40,000 Sq ft used by developers to describe lots for new construction.Executory Contractone or more parties have not yet completed performance of their obligation , as they may be in the process of carrying out their duties CapitalMoney used to create income , either as investments in a business or income property .Adjusted sales priceAmount of money received from the sale of a property - the selling expense AppurtenantA right that goes along with ownership of real property ; usually transferred with the property but can no be sold separately.AmortizationWhen a loan balance decreases because of periodic installments that pay principle and interest.Certificate of titleA document prepared by an attorney stating the attorneys option of the status of the title to a piece of property , after performing a title search and reviewing the public records.Abstract of titleChronological summary of the recorded documents affecting title to a particular parcel of reap property.ConsiderationAnything of value , such as money , services , goods,or promises , given to induce another to enter into a contract .Oral Contractspoken agreement as opposed to a written one BequeathTo transfer personal property at will.Valid ContractA binding , legally enforceable contract.Adjustable -Rated MortgageMortgage that permits the lender to periodically adjust the interest rate so that the rates reflect fluctuation in the cost of money. Has adjustment periods ( Intervals at which actual mortgage payments are changed. ) Associate BrokerOne who has qualified as a real estate broker but works for another broker.AbandonmentThe failure to occupy and use property. May result in loss of rights.

BrokerOne who is licensed to represent one of the parties in a real estate transaction , for compensation.AlienationThe Transfer of ownership or an interest in property from

one person to another by any means.Involuntary: The

transfer of an interest in property against the will of the

owner.Voluntary : when an owner voluntarily transfers an

interest to someone else.Bona FideIn good faith Void ContractContract that is not enforceable contract because it lacks one ore more the requirements for contract formation , or defective on some other respect.Condemnation(Action )Taking private property for public use through the governments power of ( Right)eminent domain.Express contractHas been put into words, either spoken written Executed ContractA contract under which both parties have completely performed their contractual obligations Annual Percentage Rate (APR)Relationship between the cost of borrowing and the total amount financed.UnilateralWhen only one party makes a legally y binding promise and the other has not. it will become legally binding if the other party chooses to accept it.VoidableOnce parties can disaffirm without liability , because of a lack of legal capacity or negative factor such as fraud or duress.CollateralProperty pledge d as a security for debt Accrued ItemsExpense on settlement statement for which the cost has been incurred but not yet paid.AccelerateMaking a loan come due faster by having all payments become due immediately.Contingency Clausea provision of a contract , law , regulation , guideline , etc.that allows or doesn't allow something else to occur based on weather or not certain other events occur or do not occur.Air RightsThe right to undisturbed use and control of the air space over a parcel of land,( With reasonable limits for air travel)Can be transferred separate from the land.Cloud on the titleA claim , encumbrance or defect that makes the title to real property unmarketable.AccretionGradual addition to dry land by the force of nature ( deposits water bore sediment on shore line properties)

BoundaryThe perimeter or border of a parcel of land : the dividing

line between one piece of property and another.Bundle of RightsAll real property rights that are conferred with ownership

Including:-Right of use-Right of enjoyment-Right of

Disposal

Closing CostExpenses incurred in the transfer of real estate in addition to the purchase price.CoercionThe practice of compelling a person to involuntary behave in a certain way by use of threats , intimidation or some other form of pressure or force.AssumptionWhen one party takes over responsibility for the loan of another property , usually lender approval is needed.BlockbustingThe illegal practice of inducing owners to sell their home by suggestion the ethnic or racial composition of the neighborhood changing.Acceptance1) agreeing to the terms of an offer to enter in to a contract creating a binding contract.2)taking delivery of a deed .Acquisition CostThe purchase price of a property ,plus (allowable ) buyer paid closing cost .Base LineMain East-West line designated and named through the county for use with the government survey.Branch officePhysical location separate from a brokers main office that by brokers or sale people to meet or consul l with clients or customers on a regular basis Accord & SatisfactionAgreement to accept something different ( usually less) than what the original contract required.Acre=43,560 Square ft ( one square mile contains 640 acres.AppraisalA professional estimate or opinion of the value of a piece of property as of a certain date.

CC&RsA declaration of:CovenantsConditionsRestrictionsUsually

recorded by developers to create a general plan of private restrictions for a subdivision.Unenforceablea contract that a court would refuse to enforce . because it contents cannot be proven , or because it is not in writing , or because the statue of limitation has run out.Ad Valorem(According to value ) refer to taxes assessed on the value of a property Community Reinvestment Act (CRA)Federal law emphasizing the regulated financial institution have a continuing obligations to help meet the credit needs of a the local communities in which they are operating in.Bill of SaleA document used to transfer title to personal property from one to another.Bilateral ContractA contract in which each party promises to do something.AccessionThe acquisition of title to land by its addition to real estate already owned , through human actions of natural processes.AppealThe process in which a higher court reviews the decision on a lower court.Allodial SystemThe system of land ownership where anyone can own land.(US)

Civil Rights Act of 1866& 19681866: Law prohibiting public and private racial

discrimination in any property transaction in the us.1968:

Law prohibiting discrimination based on race, color, religion, sex, national origin , disability or familial status.Affidavit of TitleA statesmen sworn in front of a notary public or other authorized official , by the seller or grantor of the property

.Which identifies the grantors:>Marital Status>No new

judgments>No lien>Divorces>Unrecorded deeds Allocation MethodSeparates the value of the land from the structures that sit on it .Implied contractContract that has not been put into words , but implied by the actions of the parties.Cluster ZoningZoning provision where a specific residential or unit density is prescribed , but the developer is allowed to concentrate or disperse the location of units to create difference configurations of open space.Adverse PossessionAcquiring title to someone else real estate by possession of

it.Must Be:>open & notorious>Hostile &

adverse>Exclusive>Continuous>For statutory period of time.AmenityTangible or intangible feature that enhance and adds value to real estate.Commingling (Conversion )Illegal mixing money held in trust on behalf of a client with personal funds.CondominiumA property developed for the co-ownership , where each co-owner has separate interest in a individual unit. and an undivided interest in the common are of the property American Land Title Association (ALTA)National association of Title companies , abstractors and attorneys . Members agree to promote , quality and professional standard in the title insurance policies .Campgrounda portion of land used for the purpose of providing a space or space for trailer or tents for camping purposes . Fee has been charged for the leasing , renting or occupancy of the space.Buyer BrokerAn agent representing the interest of the buyer of a property Capital ExpendituresMoney spent on improvements such as land buildings , machinery which are not inventory.Conditional useLand use that does not comely withe the general zoning rules for the zone in which it is located . Ex hospital in a residential neighborhood.AddendaAdditional parts of an appraisal report.Against EncumbrancesGuarantee in a deed that the property will no have any encumbrances except those listed.