Chapter 4 Home Ownership Flashcards
Multi family complexes with proprietary lease is for each unit are also called
cooperatives
Combinations of buildings that allow for diverse uses are
Mixed use development
A distinct living unit on an individual lot that she has a common wall with another unit is called
Townhome
Often situated in a subdivision of some Milyer properties, unattached to each other
Single family home
Multi family complexes container units with individual feesimple ownership of the unit an interest in common areas
Condominiums
What embodies the American dream of homeownership?
Single family homes
When condominiums are sold, what three interest are created?
Fee, simple ownership of the unit, fee, simple ownership, and undivided interest in common areas, an easement to the air space occupied by the unit
True or false: under the Texas uniform condominium act the three interests are not severable
True they must be conveyed at the same time
What is the main distinction between a townhome and a single-family home?
It is a detached dwelling where the units share a common wall
What right does a timeshare give?
The right to occupy the property for a specific time interval, often by the week
Why are CC&Rs and HOAs put in place
To keep the market value of the home up
Under what act our timeshare sales regarded as real estate transactions
Texas real estate license act
What is capital gain?
When an asset is so in the cell results in a gain or loss for the seller
What are the tax exempt limits for an individual?
$250,000
What are the tax exempt limits for married or individuals filing jointly?
$500,000
How long must a seller have the principal residence before the sale?
2 to 5 years before the sale
What is another word for appreciation?
Gains value
What is a contract between the insurance company and the policyholder
Homeowners insurance
What is another name for homeowners insurance?
Hazard insurance
What does flood insurance cover?
Direct physical loss caused by flood which is defined as an excess of water on land that is normally dry
Contents coverage is also known as
Personal property coverage
If coverage is over something that is not included with the building property coverage what type of coverage is this?
Personal property coverage
What is the comprehensive loss underwriting exchange (CLUE)?
A claims history database that enables insurance companies to access, consumer claims information when underwriting or rating and insurance policy
Under some circumstances, the _____ Paid on a mortgage may be tax deductible
Interest
Homeowners insurance can protect the policy holders from unexpected losses, including_______
Fire , vandalism, and personal liability
__________ also known as homeowners insurance can cover losses related to the main structure, continents, and outbuildings of a private residence
Hazard
