Glencoe: 1 Flashcards
Deductions: The amount of money you receive before deductions is known as
Gross Pay
Deductions: The amount of money you receive after deductions is known as
Net pay or take home pay
Deductions:
Amounts withheld from your gross pay for taxes, insurance and other fees.
Example of deductions:
FICA, federal, state, and local income tax, gross pay, net pay, retirement, medical, dental and life insurance.
Net 30: 2% 10, Net 30:
Net 30: pay withing 30 days 2% 10, Net 30: 2% discount if paid within 10 days, full due withing 30 days
Who examines plans to make sure they meet local codes?
Building dept.
Spec home:
Home is built before a buyer is found
Custom house:
A house for a particular client
Cost: It is recommended that a homeowner spend not more than X% of gross monthly income on housing.
25%
Location: What concerns to look our for when choosing location:
How close is the property to jobs school service facilities Is the neighborhood stable, are their utilities
Lot Shape and Contour: What concerns to look out for with lot:
Is the lot wide enough and deep enough for the desired house? Does it have unusual contours or other problems.
Lot or house selection: Special Conditions:
Is the lot on a flood plain, are there underground springs, is there industrial contamination
Zoning restrictions: Common Zones:
Most communities are divided into zones which certain types of buildings are encouraged or restricted Common zones: single-family, apartment, condos, commercial. industrial
Deed restriction:
Specify things such as the minimum-size house that can be built or requirements for certain architectural feature. or setback distance
Setback distance:
Minimum distance allowed from house to adjacent features such as other houses or the street. For example a house near a stream might have to be located a certain distance above the flood level
Legal documents for purchase of house: 1. 2. 3. 4.
The official survey - boundaries of property The deed - evidence of ownership abstract of title - history of deed and other papers affecting ownership contract of sales - describes details relating to purchase
What should a purchaser do before buying a property:
Purchaser should have property surveyed to confirm its dimensions match the one noted on the sales contract.
What document should buyer maintain after purchasing property:
The official survey - boundaries of property The deed - evidence of ownership abstract of title - history of deed and other papers affecting ownership contract of sales - describes details relating to purchase
For a contract of sale to be valid, it must:
Be written (not verbal) Clearly state the terms of the agreement include price and terms of payment dated signed by bother parties, seller and buyer.
Stock plan:
standard house plan that can be fit to many different lots
floor plan:
scale drawing showing the size and location of rooms on a given floor
Where can house plans be obtained:
local builders, or hire an architect or building designer.
Financing: Typically a borrower starts with an X loan
construction loan
construction loan:
short term loan used during construction where the lender provides money periodically as the work progresses
After the construction is finished, the construction loan is converted to X
a mortgage (15- 30)
