Real Estate License Course Cumbie and Trull Flashcards

Real Estate License Course ( Cumbie and Trull) Flashcards

• categories of real property1) residential (prop used for housing)2) commercial

(business property)3) industrial (warehouses, factories)4) agricultural (farms, timberland, ranches)5) special-purpose (churches, schools) heterogeneity (land)The uniqueness of land; no two parcels of land are ever exactly the same factors affecting supplyLabor force, construction costs, government controls, and financial policies.physical characteristics of real property (land) Immobility (location cannot be changed), indestructibility (permanent), uniqueness economic characteristics of real property (land) Scarcity (only so much), location (area prefered), improvements (affects property value), permanence of investment property managementhandles the operations of a property for its owner real estate business specializations1) real estate brokerage2) appraisal3) property management4) financing5) property development6) counseling7) education marketa place where goods can be bought and sold and value established.brokerageThe business of bringing together buyers and sellers of real property and assisting in negotiating such transactions.real estate cyclereal estate industry is cyclical; dependent on building activity. time lags between the demand for units and completion causes real estate to peak after the rest of the economy; takes longer to recover from depressed periods than other economic sectors.provisional brokera real estate licensee who performs real estate activities under the supervision of a licensed broker-in-charge; must complete post licensing courses to remove the provisional status.real propertythe land, everything that is permanently attached to the land, and everything that is appurtenant (permanent) to (or goes with) the land.the land plus permanent improvements and the interests, benefits and rights inherent in real estate ownership.business cyclesThe upward and downward fluctuations in business

activities generally characterized by four stages:

expansion, recession, depression, and revival.Chattelalso called "personal property" or "personalty" that do not fit

into the definition of real property: movable objects. item of

movable property.Examples: furniture, clothing, jewelry,

money, vehicles non provisional brokerA NC real estate licensee that has completed the 90-hour post licensing education to remove the "provisional" license

status: also called a (full) broker

counselingProviding competent independent advice and guidance on a variety of real estate problems.highest and best use (land)use that will give the owners the greatest actual return on their investment; greatest net income; highest value financinghelps to provide the funds necessary to complete real estate transactions factors affecting demandPopulation, demographics, employment and wage levels.property developmentthe work of developers or subdividers who purchase raw land, divide it into lots, build roads, and install sewer systemssplitting single property into smaller parcels and constructing improvements on the land situsregarding location; takes into consideration social factors in addition to economic factors.Tenementsany structures attached to the land

• major classifications of propertyreal property and personal property

Must have a Real Estate License if the following 3 things

are present:

1) REAL ESTATE services are provided2) The services are provided for OTHERS3) The services are COMPENSATED transactionally (commission basis) appraisalthe process of estimating the value of a parcel of real estate is appraisal.NC requires special licensing and certifications for appraisers demandthe amount of good people are willing and able to buy at a given price; often coupled with supply hereditamentsANY interests in real estate capable of being INHERITED.supplythe amount of goods available in the "market" to be sold at a given price. The term is often coupled with demand nonhomogeneity (land)lack of uniformity; dissimilarity. because no two parcels of land are exactly a like, real estate is said to benonhomogeneic.broker1) One who acts as an intermediary on behalf of others for a fee or commission.2) one who is licensed to list, lease, buy, exchange, auction, negotiate or sell interest in real estate for other for a fee (compensation)Once "provisional brokers" complete 90days post licensing education, they become a BROKER educationthe provision of information to both the real estate practitioner and the consumer.supply and demandwhen supply increases and demand remains stable, prices go down.when demand increases and supply remains stable, prices go up.R landthe earth's surface extending downward to the center of the earth and upward to infinity, including things permanently attached by nature, such as trees and water.NC REAL ESATE LICENSE LAW SAYS:A person must be a licensed real estate broker if he or she lists or offers to list; sells or offers to sell; buys or offers to