Chapter 1 Yellow Text Flashcards
Real Estate Brokerage
the business of bringing people together in a r/e transaction.
R/E Broker
a licensed R/E professional acting as a point of contact between two or more people in negotiating the sale, rental, or purchase of a property.
R/E Salesperson (sales associate)
person who conducts brokerage activites on behalf of a broker.
Appraisal
The process of developing an opinion of a property’s value (typically Market value) based on established methods and an appraiser’s professional judgement. Must be licensed and certification.
Property management
caring for a property for a properties
owner. Scope of work can vary.
Property Manager
protect the owner’s investment while maximizing the owner’s financial return.
Management agreement
contract that lays out the agreement between the property manager and the owner of a property
Financing
the business of providing the funds that make R/E transactions possible through loans secured by a mortgage or deed of trust on the property, with funding provided by commercial banks, thrifts, credit unions, mortgage bankers, and mortgage brokerage companies
Subdividison
splitting a singel property into smaller parcels
Development
constructing improvements on the land
Home Inspection
preformed by a certified Home Inspector will show results of a through survey of observable property conditions.
R/E Counseling
independent advice based on sound professional judgment regarding how to buy, sell or invest in property.
Real Property
residential, commercial, mixed use, industrial, agricultural and special purpose. All can be privately or publicly held.
Supply
When supply increases relative to demand priced go down. when Demand increases relative to supply, prices go up!
Uniqueness and Immobility
influences the supply and demand of a R/E Market
