1 - Introduction to Real Estate Flashcards
Agent
Anyone who is authorized to act on behalf of someone else.
Appreciation
The increase in the value of property due to changes in market conditions, inflation, or other causes.
Associate Broker
One who has qualified as a real estate broker but works for another broker.
Broker
Any person, association, partnership, limited liability partnership, limited liability corporation or company, who (for a fee) sells, lists, leases, exchanges, negotiates or otherwise deals in the real estate of others or represents publicly that he or she does so.
Civil Penalties
Monetary relief, in the forms of fines or surcharges, against an individual as restitution for wrongdoing by the individual.
Code of Ethics and Standards of Practice
Any real estate licensee must abide by this document, first published in 1913.
Condominium
Property developed for co-ownership, with each co-owner having a separate interest in an individual unit, combined with an undivided interest in the common areas of the property.
Cost of Money
The interest rate people or businesses pay to use another’s money for their own purposes.
Criminal Litigation
Lawsuit in which the government sues someone to punish the wrongdoer and protect society.
Economic Base
Main business or industry supporting and sustaining a community. A good economic base is critical for strong home values.
Eminent Domain
Government’s constitutional power to appropriate or condemn private property for public use as long as the owner is paid just compensation.
Escheat
When property reverts to the state after a person dies without leaving a valid will and without heirs, or when property is abandoned.
Fiduciary Duties
What is owed to all clients in an agency relationship - obedience, loyalty, disclosure, confidentiality, accountability, and reasonable care.
Immobility
Physical characteristic of real estate referring to the fact that it cannot move from one place to another.
Improvements
Additions to real property, substantial fixtures, buildings, etc. that increase the value of the property.
Inflation
Increase in the cost of goods or services; or, too much money chasing too few goods.
Land Use Controls
Public or private restrictions on how land may be used (e.g. zoning).
Management
The cost and complexity of monitoring an investment. Asset management and property management.
Moral Suasion
Trying to use persuasive influences on the public and financial markets to perceive credit in a specific way. It is the application of pressure, not force, by an authority (such as the Federal Reserve Board) to get members to adhere to a policy.
Multiple Listing Service (MLS)
A service whereby local member-brokers agree to share listings and commissions on properties sold jointly.
NYSAR
New York State Association of Realtors
Police Power
Constitutional power of state (and local) governments to enact and enforce laws that protect the public’s health, safety, morals and general welfare.
Real Estate Licensee
A person licensed to practice real estate.
Realtist
Any real estate licensee who is a member of the National Association of Real Estate Brokers.
Realtor
Any real estate licensee who is a member of the National Association of Realtors (NAR) and his or her affiliated state and local boards.
Salesperson
Any licensed agent who is associated with a broker and as such may perform most of the acts a broker can on behalf of the broker.
Scarcity
Characteristic of real property that says there is a limited supply of real estate.
Taxation
Process of a government levying a charge on people or things.
Timeshare
An ownership interest that gives the owner a right to possession of the property only for a specific, limited period of time each year.