subsequent to adjustment, limits how much a payment can increase or decrease. price a wiling seller will sell for & price willing buyer will buy. Independent third-party appraiser will review the report, then verify the information. Over 90% of our business is driven by word-of-mouth referrals from Real Estate Brokers, Sales Agents, Mortgage Loan Originators, Home Inspectors, and Appraisers. no guarantee for approval, property must fit criteria . protect consumers from fraud in the sale or lease of land, CERCLA comprehensive environmental response compensation and liability act. Providing Top Quality Real Estate License Education in Texas for Over 30 Years! it can be money, personal property, ie $10, grantor promises the grantee interrupted use of the property, A deed with no guarantees or warranties - it offers the buyer the least protection - can be used to correct or cure a defect or cloud on title. An individual who inherits property by intestate succession acquires title by descent, A gradual increase in land area when water gradually withdraws, Fee Simple, a life estate, an easement or a defeasible or determinable fee, Rights and obligations of both landlord and tenant in the leasing of residential and commercial properties, Additional capital or property included in a transaction to even out the exchange, potential income of a property that is derived from rents collected in a year, May be organized as limited or general partnerships. Principles of Real Estate 2 Champions School of Real Estate - Quizlet Ethics10. helpful info about the cost pr mortgage settlement charges caused by abusive practices. What documentation must the mortgage loan originator provide to the client no later than three business days after their mortgage loan application is received? Loss in desirability of style, layout or function, loss of value of a property caused by factors outside of the property itself;over supply, consequent drop in demand. \text{Employee Salaries and Wages}&\$50,000&\$1,100&\$88,000\\ \text{8. Property for Sale in Hesse | Germany - EW RealEstate Eminent Domain Change is constant; therefore, the forces acting on a parcel of land are always affecting the value of the land. A house may be well-maintained and been updated over the years; therefore, the appraiser might determine that a 20-year-old house might have an age of 10, According to HUD, a home has a life expectancy of, The appraisal of commercial income properties, I = income, R = return on investment and V = value (V =I R), (R= I V), (I =V X R), Term use in the appraisal report to describe the property being appraised, The market in which borrowers and lenders come together to create and negotiate the terms of a mortgage transaction, The practice of refusing to provide financing in a particular location, The detailed process of evaluating a borrower's loan application to determine the risk involved for the lender, The legal procedure under which property may be sold to satisfy an unpaid promissory note, The process of creating a new mortgage loan. A value for existing properties method for comparing similar properties to the subject property. 8. Examine the summary section of a monthly credit card statement. Battery life between charges for the Motorola Droid Razr Maxx is 20 hours and the primary use is talk time. Improvements to site someone who processes, underwrites, closes and funds his or her own files in his or her name. many lenders, especially high LTV loans, will order a field review of the appraisal. Real Estate Salesperson National Prep Exam 1.docx. \text{Travel Expenses}&&\$600&\$19,000\\ 4. amount of any finance charge. Match the following terms to the correct definitions. Copy of most recent property survey Money that has value apart from its use as money. 122 cards Real Estate Real Estate Principles Practice all cards Appraisal defined as an appraiser's Opinion of Value. lender acquires property under foreclosure. Such as the oversupply and consequent drop in demand for a particular kind of property, government actions, such as zoning changes or condemnation proceedings, and proximity to undesirable land uses, such as highways or factories. A code of conduct that addresses}\\ b. initial truth in lending disclosure. Minimum withdrawal in Texas on HELOC (Home Equity Line of Credit). high supply, low demand, prices go down, presence of lower priced properties in the area will cause a decline in the value of a subject property. state law requires law, real estate contracts and leases over a year to be in writing. Activitiesofmanagementengagedtooperatethebusinessj. The staff at Champions School is top notch! The USPS has a monopoly on every type of mail or package. stockholder owned corporation, chartered by congress to increase the supply of funds that mortgage lenders can make available to homeowners and multifamily investors. in depth process. 9. A letter from a title insurance company in which it commits to issuing a title insurance policy on the insured subject to certain conditions and requirements. Here is what they had to say! EXAM PREP - Champions School of Real Estate - Course Hero Rural Property <25% built up It basically insures the difference between the borrower's down payment and LTV. estimate of value based on current construction costs. Operating income and expense statements never a reliable estimate of market value, standards that have been established by the Appraisal Standards Board of the Appraisal Founation, Universal Residential Appraisal Report; Fannie Mae 1004, sales comparison approach, cost approach, income approach, estimate of age based on the condition of the property. Once the loan is closed it is sold to another lender. Managerialaccountingandcontinuingtooperateabusiness9. The measure of the money supply that includes M1 along with forms of money that are less easily converted to cash. Havingenoughcashavailabletopay5. accretion, alluvion, erosion, reelection, avulsion, grantor promises to warrant and defend title, but only against claims which may have arisen during his or her period of ownership, deed with no guarantees or warranties. secured property may be sold ti satisfy the unpaid promissory note. PDF Champions school of real estate principles 1 quizlet a. largest investor in home mortgages. Accountinga. funds the secondary market. Exam-Federal 1-A2. reviews cover a checklist of items as they analyze the appraisal report. period between rate changes monthly, 3 mo,6mo, 1yr, 3yr,5yr, 7yr. Financingactivities5. deemed as low risk loan, Residential Mortgage Loan Originators (RMLO), Must be certified licence holders and is mandated by the SAFE ACT (TX dept of savings and mortgage lending), purchase price is affected by the expectation of future appeal and benefits, value of a commodity is influenced by the cost of acquiring subsitute or comparable item, value of properties around yours goes up; so does yours, The Value of more expensive home placed in a neighborhood of less expensive homes will drop in value. Suggests that value is maximized when there is reasonable degree of homogeneity, or sameness, in a neighborhood, Uniform Standards of Professional Appraisal Practice, Standards that have been established by the Appraisal Standards Board of the Appraisal Foundation, The value of a subject property is increased by the value of surrounding properties, URAR (Uniform Residential Appraisal Report), The most probable price a property should bring in a competitive and open market under all conditions requisite to a fair sale, If a type of property in a market area is too abundant, it has reduced value. stating the exact nature of the estate being granted, metes& bounds, lot& block, govt survey system. Whether you need Qualifying Education (QE) to start your career, Sales Agent Apprentice Education (SAE) to build your . the legal use that gives the greatest return in money or amenities. This ensures you quickly get to the core! sending monthly payment statements, and collecting monthly payments, maintaining records and balances. any change in the ownership of real property, process by which a lender exercises its power of sale under a mortgage that is in default. Financingactivitiesb. Appraiser's estimate of the age of the property based on its ongoing maintenance and upgrades. loss of desirability of the style, layout or function of an element of property over time, Losses of property value caused by forces or conditions beyond the borders of the property. limits interest rate over the lifetime of a loan. Regulation Z Federal Law to protect consumers by disclosing terms and cost of credit, the purchase and sale of existing mortgages to investors to provide liquidity and additional funds for lending, balances mortgage credit to include capital-deficient areas, More realistic price, agent has better understanding of ability to pay, avoid showings buyer cannot afford, Seller knows buyer can afford the home, The lesser of the appraised value or sales price (in %), will be found on almost any high LTV loan, a mortgage insurance program (not a lender), Right of the government to regulate and control the way land is used (zoning), Interstate Land Sales Full Disclosure Act, Gives authority to Federal and State natural resource agencies, and Native American Tribes, services buyers and seller moving from corporate transfer, Certified Commercial Investment Member (CCIM), "gold standard" for commercial designations, must register with Texas Dept of Savings and Mortgage Lending, Sponsoring broker must maintain these to assure a sales agent is competent, a hedge against inflation, a higher rate of return, ability to leverage (borrow $ to make $), Tax-sheltered income, capital gains tax, deferred taxation on exchanges, $250,000 single, $500,000 couple, lived in 2 of last 5 years, organized as limited or general partnership or a corp, Created by congress in 1960 minimum 100 investors, lease in which all or part of the rent amount is based on the receipts of the tenant's business (typical shopping center lease), An attorney is needed if clients want this, Competent parties vetran loan, loans made by lender dd214 submission form 26-1880. section 502 loan 100% financing, no down payment, primary residences only, rural property loan. Profitabilityinformationfortheinternaluseofa3. Associated Board of Realtors - helpful for residential buyers' agents, return on the property when it is sold for a profit, method of raising funds for the purchase of real estate, passive increase in the value of a parcel due to market forces, potential income of a property in the amount of rent that would be collected in a year, additional capital or property included in a transaction to even out the exchange. Rental survey transferring real estate to the state cuz the owner died without a will and without heirs, interstate land sales full disclosure act, passed by congress in 1968 to protect consumers from fraud in the sale or lease of land, Comprehensive Environmental Response Compensation & liability ACT (CERLA), .Clean up federal, state and native american. From the moment you start your education with Champions, we become an extension of your team by serving as a dedicated resource and providing you with the educational tools you will need to succeed in your new found career! The interest rate and monthly payment change every month, 3 months, 6 months, 1 year, 3 years, 5 years or 7 years, what the lender uses as an instrument for measuring changes in interest rates, The percent added to the index in order to calculate the payment interest rate, Is equal to the margin plus the index and is usually to the nearest one-eighth of a percent. seller is willing to take part or all of equity in the form of a note. 6. Conventional-loans that have no federal guarantees or insurance some lenders accept this drive-by type of review for low LTV or low risk loans. standard financial index used in U.S. capital markets, and can be found in the Wall Street Journal. (Most reliable), Reduction in value from deterioration or obsolescence. higher for smaller properites, conveys an interest in real estate from one party to another. They prepare you for life as a Realtor. & \text{$\quad$economic entity}\\ gradual loss of land near border of stream or river. Adger Corporation is a service company that measures its output based on the number of customers served. Managerialaccounting9. The loss in desirability of the style, layout, or function of an element of a property over time. real estate investment trust; created by Congress in 1960, real estate mortgage investment conduits. Neighborhood description exterior only/drive by inspection. Principles of Real Estate 1 Key Terms Principles of Real Estate 1 Key Terms Flashcard Maker: juan brown 23 Cards - 1 Decks - 4 Learners Sample Decks: Level 1: Introduction to Modern Real Estate Practice Show Class Principles of Real Estate Part 1 Principles of Real Estate Part 1 Flashcard Maker: Deron Goodwyn 64 Cards - 2 Decks - 12 Learners Payments are guaranteed, and they would be made at the end of each year. tenant occupies real estate with the permission for an uncertain or unspecified amount of time; agreement can be terminated on short notice. 6. any condition that affects the health or safety of an occupant, Licensed Appraiser Refers to the loss in desirability of the style, layout or function of an element of a property over time, best indicator of value for existing properties, the legal use for property that gives the greatest return in money and/or amenities, the loss in value of a property caused by factors outside the property itself, suggests the value of a property is equal to the sum of the contributory value of each of its components. purchase title insurance either by grantor or grantee. history or list of all owners back to the sovereignty of the soil, you want this one. the percentage of value or sales price that a lender is willing to finance. 2.amount of any payment ", Texas Department of Savings and Mortgage Lending, Texas Appraiser Licensing and Certification Board. consent of the lender allows property to be sold for a price sufficient to pay mortgage off. The document that pledges the property as security for repayment of the note, is recorded in the county in which the property is located. Principles of real estate II (Champions) 5.0 (7 reviews) Term 1 / 127 Functional obsolescence Click the card to flip Definition 1 / 127 Refers to the loss in desirability of the style, layout or function of an element of a property over time Click the card to flip Flashcards Learn Test Match Created by Margaretcoltman Terms in this set (127) Champions School of Real Estate - Exam Prep Flashcards | Quizlet person, corporation or firm, not in banking, that provides its own funds for mortgage financing. process that results in a gradual increase in land areas through natural forces, material (soil) deposited through the process of accretion, gradual loss of land over time from water, gradual increase in land area when water gradually withdraws, sudden addition or loss to land when a stream or river changes course. Loans that are short term, collateralized by the mortgage notes they fund, and are normally repaid through the sale of these notes to the secondary market. Activitiesofmanagementengagedto7. tells NY desk to sell securities collecting payments from banks by reducing their reserve amounts. history or list of all owners back to the sovereignty of the soil. cannot exceed 28% of the borrower's gross income, ratio of the borrower's total recurring monthly debts, including such obligations as house payment, payments on all installment debts, monthly payments. & \text{\$876.34} & \text{\$800.00} & \text{\$1,009.56} & \text{\$30.00} & \text{\$29.67} & \text{ } & \text{\$18.00}\\ \hline negotiated between landlord and manager. It increases the penalties for a federal conviction for mortgage fraud to a maximum of 30 years in prison and a ne of up to $1 million. Sending monthly payment statements and collecting monthly payments, maintaining records of payments and balances, collecting and paying taxes and insurance (and managing escrow and impound funds), remitting funds to the note holder, and following up on delinquencies. The percentage of value or sales price that a lender is willing to finance. Liquidity4. rate doesn't change between offer and closing. person received notice of document or event even though actual notice was not delivered directly to him or her. transferring real estate to the state when a person dies without heirs. PDF Final Exam For Real Estate Principles - annualreport.psg.fr ___________ 2. 3. Sales Price monthly rent, the process of estimating the value of an income-producing property by capitalization of the annual net income expected to be produced by the property during its remaining useful life, an estimate of value based on current construction costs, less depreciation, plus land value, estimate of value by examining and comparing actual sales of comparable properties, part of income capitalization. Texas Real Estate License Exam Prep | Champions School homeowners who are at least 62 years of age can borrow against the equity in their property. Texas Principles 2 Scenarios Questions - Champions School of Real The Loan Estimate form combines elements of the Good Faith Estimate and the initial Truth In Lending disclosure into one. Adequate consideration \text{SUMMARY} & \text{Balance} & \text{/ Credits} & \text{Transactions} & \text{Charge} & \text{Charge} & \text{Balance} & \text{Payment}\\ \hline Champions In Real Estate offer real estate for sale in Kanimbla , Earlville , Mooroobool and surrounding areas. Profitability} & \text{$\quad$information for the internal use of a}\\ 1. amount of down payment. protect consumers in credit transactions by requiring a clear disclosure of the key terms on the lending agreement and all costs. Equal Credit Opportunity Act; passed in 1974, ensures equal chance for credit. the interest rate a Reserve Bank charges eligible financial institutions to borrow funds on a short-term basis. 40 pages. Photographs of comparables possible polluted who may be held liable under CERCLA for the contamination of a property or resource. Conversely, increased competition tends to bring prices down, Demand,Utility, Scarcity, Transferability characteristics of value in a property, The most commonly misunderstood appraisal concept, Net/Gross Adjustments may not exceed what %, The actual age of the property in years. value set on the property for tax purposes. prohibits discrimination on the basis of race, color, religion, national origin, sex, marital status, age, receipt of public assistance, or good faith exercise of any rights under the Consumer Credit Protection Act. ___________ 1. the most probable price a property should bring in a competitive and open market under fair conditions requisit to a fair sale. Champions Advantage Choose Method $1080 9 Course Licensing and Renewal Program $1445 $1685 SAVE $240 Courses included: Six 30-Hour QE Courses Real Estate Exam Prep Course Three 30-Hour SAE Renewal Courses 4-Hour TREC Legal Update 1 4-Hour TREC Legal Update 2 Additional details: FREE Books / PDFs Included FREE Exam Prep Retakes for 1 Year requires an application. The title company has how many days after they receive the contract and earnest money in which to issue a title commitment? Accounting2. Achieve success through Business Etiquette. (any charge or fee- not transfer), state and local fees on mortgage and home sales based on the loan amount or sales price of property, loans interest rate increases after consummation, added to index to determine interest rate, 1. 4 Things Value of a Property can be affected by, social, economic, governmental, and environmental influences, Sales comparison approach, the cost approach, and income approach. Activitiesofmanagementengagedtooperatethebusinessj. Our focus has always been on providing you with an excellent education experience regardless of what stage of your Real Estate career you are in. According to this principle, the value of Theintentionalpreparationofmisleadingfinancialstatementsi. maximized value when homogeneity in neighborhood, principle of increasing and decreasing returns. TMARR Texas mold assessment and remediation rules, promotes sustainability in how buildings were designed, built and opperated, LEED Leadership in energy and environmental design, 3rd party certification program for high performance buildings. Type of lease often used to attract tenants to facilities that might be hard to rent during tough economic times, lease where the landlord pays regular charges such as taxes, insurance, utilities and repairs - the tenant only pays rent, lease in which the tenant pays rent plus taxes, insurance, repairs, utilities, etc, competent parties, let and take agreement, adequate consideration, legal purpose, description of property. ___________ 4. Identify and explain the structures of language. 16 pages. indication of a right to be on property,such as proof that the claimant has paid the ad valorem taxes, or an old deed, etc, an addition or an amendment to an existing will. most common example is zoning, area of land separating one land use from another (single family, apartments and retail). Buildings are not typical of the area Photographs of property The battery life drops to 7 hours when the phone is primarily used for Internet applications over cellular. sum of the energy used over the ENTIRE assemblation, distribution and life and disposal of product. original document of conveyance of land by the sovereign, investigation of all document that have been recorded relating to a property. & \text{$\quad$productive and will help a business}\\ She has one son, Tyler, who lives in Maine. increase in value in a parcel of land due to the activities of the owner/ developer, meathod of raising funds for the purchase of a real estate investment, allows for the indirect investment in mortgages through the sell of securities, additional capital or property included in transaction, gives tenant possession without ownership, renews its self automatically for like periods of time, tenant occupies w permission for unspecified time, begin with lower payments at a fixed rate, and increases, tenant pays rent owner pays taxes utilities ect. 2 categories Residential Loans are divided into: If a residential property contains ____ or more living units, the sale is considered a commercial right of govt to exercise the right of eminent domain, govt acquires property for public satisfaction, occupation of land for statutory time, possesion is aquired from owner, any property weather real or personal that can be inherited, state in which a person dies leaving a valid wil, handwritten will, legal, easily contested. If the house is 20 years old, The appraiser's estimate of the age of the house based upon its ongoing maintenance and upgrades. Cost does not equal value, Change is constant, and are always effecting value, the purchase price is affected by the expectation of future appeal and benefits, value of commodity is influenced by the cost of acquiring a substitute or comparable item. Learning the principles and laws of real estate is Champions focus. What does r2r^2r2 determine about the statistical significance of a relationship between a dependent and an independent variable? Comprehensive Environmental Response, Compensation, and Liability Act CERCLA. an appraiser's opinion of value, used to determine market value property to secure the loan, Percentage of value or sales price that a lender is willing to finance, an appraisal that simply reviews a checklist of items as they analyze the appraisal report for completeness and acceptable conclusions. added to the index to calculate interest rates, teaser rate- lower rate offered initially. 4. method of financing which preserves the low, existing interest rate on the original note. Theprocessofgeneratingandcommunicating10. Earn or renew your Home Inspector license. borrower retains ownership, but is subject to the lein, fixed income investment- money mortgage companies use to make loans, mortgage notes repaid by sale of notes through the secondary market, hybrid of commercial and residential loans, evaluating borrowers loan application to determine risk, file built on credit information and to be used in underwriting. for tax purposes- determined by tax authority- not reliable estimate of market value, sales comparison approach "market data approach", compares subject property charectoristcs with those of comparable properties which have recently sold. The borrower retains ownership of the property , subject to the lien that secures repayment of the loan. 21 pages. ___________ 14. The process of collecting loan monthly payments, keeping records and balances, collecting and paying taxes and insurance. CERCLA was designed to clean up sites contaminated with hazardous sub- stances, pollutants or contaminants. insured against loss resulting from defects of the title, types of changes in the ownership of the property, changes in property may be: involuntary or voluntary, transfer of title with the grantor's consent, given by the grantor or grantee.