Unit 1: Market Analysis: Analyze the Property Unit Exam Flashcards

Unit 1: Market Analysis: Analyze the Property Unit Exam Flashcards Jack keeps current buyer tastes in mind when touring a home during a pre-listing appointment. This helps him to

______.

Make a note of any recommended updates to discuss with the sellers Vacant land is land that has no _______. buildings what's a trio?A report that shows the parcel map, owner of record, and property profileThe trio report contains information about the property, a parcel (assessor's map), and the deed with a legal description. It can be used to determine whether the seller has legal title, and whether other owners must agree to the sale.________ have a fixed income, but they may have large down payments from selling prior homes. Accessible properties with little to no maintenance tend to be attractive to these buyers.retireesRetirees are similar to trade-down buyers, but there are some key differences. Little to no maintenance and accessibility are key factors for these buyers, who may have fixed incomes, but also have larger down payments from selling their previous homes.______ rely on their knowledge from previous homebuying experiences. This experience helps them to identify what they're looking for in a new property, which is often more space or a newer home with a good location and extra living space.Trade-up buyers Developers refer to investing in ______ as "dead money."vacant land A rehabilitation loan is a loan that ______. Encompasses repair or remodeling costs Which of the following is one of the primary reasons that developers like to invest in unimproved land?It's easier to build on a blank canvas than it is to retrofit existing infrastructure.To see if you know your stuff, your new managing broker asks you what a short sale is. You do know your stuff, so you answer, "______." The sale of a property at an amount less than is owed Owning a condo on a golf course is Tom's goal, and Erma is happy to be along for the ride. The condo association takes care of maintenance, and Tom is steps away from the clubhouse at all times. What better way to spend their golden years? What type of buyers are Tom and Erma?Retirees Avery obtained a home loan from Happy-to-Lend Bank. He can no longer afford to pay his mortgage, but he wants to avoid foreclosure, so he listed it with Campbell Realty to help him sell it for less than he owes. He receives an offer from a buyer. Whose consent does Avery need to complete the sale?Happy-to-Lend Bank Maura is doing a market analysis for a distressed property.Which of the following properties would make a good comparable?foreclosed property

Which of the following is a true statement about unimproved land?There's more risk in financing unimproved land than in financing improved land.There's greater risk involved in financing unimproved land. A higher down payment requirement and higher interest rates help offset lender risk.Licensee Boris noticed a stain on the seller's bedroom ceiling when he toured the property as part of his market analysis. What should he do?Ask the seller what caused the stain.You've just received a trio from a title company. It contains an assessor's map, property profile, and ______.deed The MLS is a good source for data when researching a subject property. What information will you find there?How long it took to sell last timeIf the property's last sales record is on the MLS, it can provide its former list price, former sales price, and how long it took to sell. It's not a predictor for current sales price or suggested list price.Where can a licensee find out if liens have been filed against a property?county courthouse Percy wants to buy unimproved land. When he contacted his lender, he was surprised to find that he would need a 50% down payment. Why is that?There's more risk financing unimproved land.There is greater risk involved in financing unimproved land. The higher down payment helps to ensure that borrowers have more "skin in the game," and are therefore less likely to walk away from the investment and the loan.In contrast to land that has buildings on it, vacant land is

_______.

Harder to financeLenders take more risk with land loans because the collateral-the land-isn't put to immediate use for housing, and therefore it's much easier for the buyer to walk away. Terms and interest rates are less favorable for vacant land.