Chapter 1: Introduction to the Real Estate Business Flashcards
Absentee Owner
A property owner who does not reside on the property and who usually relies on a property manager to oversee the investment.
Appraisal
A supported, defended estimate of the value of property rights as of a given date.
Business Opportunity Brokerage
The marketing and sale of a going concern operation. Florida requires that business brokers have a real estate license to market business opportunities.
Comparative Market Analysis
An informal estimate of market value performed by a real estate licensee for the seller or buyer to assist in arriving at an appropriate listing or offering price.
Dedication
A deliberate transfer of infrastructure by its owner for public use and accepted for such use by the public.
Farm Area
A selected and limited geographical to which a sales associate devotes special attention and study.
Follow-Up
A post closing communication initiated by a licensee to maintain customer contact and goodwill.
Property Management
The process of directing, controlling, operating and maintaining real estate for a third party.
Real Estate Brokerage
A commercial activity in which the sale, purchase, leasing, rental, exchange or management of real property is conducted by qualified and licensed individuals acting either for themselves or others for compensation.
Subdivision Plat Map
The layout of a subdivision showing lots, roads and other infrastructure by the developer to a local government agency.
USPAP
(Uniform Standards of Professional Appraisal Practice) - Rules and guidelines that must be followed by a professional conducting an appraisal.
An individual that owns rental real estate in a location other than where they reside is known as:
Absentee owner
Prior to constructing a subdivision, a developer must submit which of the following for approval to the local government:
Subdivision Plat Map
The Florida state agency that is primarily involved with issues of real estate development on coastal lands is:
Department of Environmental Protection
A supported, defended estimate of a property’s value as of a given date is known as:
Appraisal
Laws enacted to protect the public health, safety, or welfare are established through authority known as:
Police Powers
Sales associate Tom decides to focus primarily on selling properties located in his own residential neighborhood. He constantly reviews current information about past sales, present homes for sale, and tries to get new clients by sending them direct mail information about the availability of his services. Tom is developing sales and marketing skills through which type of procedure?
Farming
All of the following are sources of funds available for mortgage lending, except:
A Life insurance companies B Commercial banks C Credit unions D Federal Reserve System
Federal Reserve System
A local government acquires ownership of streets and other infrastructure (e.g. storm sewers) and thereafter becomes responsible for maintenance of those acquired items through the process of:
Dedication
If an appraiser was paid on a percentage basis (for example, 1% of the appraised value), how could this result in a conflict of interest?
The appraiser might be more inclined to inflate the value of the property to increase the appraisal fee
Which type of government is responsible for enacting zoning laws?
Local
Is it permissible for a licensed sales associate to perform a CMA for a fee?
Yes, although it is usually performed as a marketing courtesy
Builder Kathy buys a lot in Regatta Plantation subdivision and builds a single-family house according to plans and specifications she selects. After the house is completed, she sells it to someone who saw the “For Sale” sign posted in the front yard. This type of development/construction is known as:
Speculative
A real estate counselor:
A Is typically paid on a commission basis
B Must have a college degree to be qualified
C Acts as a consultant by performing research
on the subject real property
D Usually holds a broker's license
Acts as a consultant by performing research on the subject real property
Uniform Standards of Professional Appraisal Practice (USPAP) must be adhered to when the appraiser prepares which of the following:
A Appraisal B Comparative Market Analysis C Survey D Investment Analysis
Appraisal
