Prep Class Questions Flashcards
By judging and article of real estate it becomes a
fixture
items in a grey area can be real or personal property depeding on circumstance - IRMA
fixture disputes - go to court
John and Stan buy a parcel of land together and subdivide it in to building lots. They hire Joan to sell the parcels and pay her a salary of $100 + a 3% commission.
Joan is not a licensee - Joan would have to become registered as a sales associate to make this legal. Joan can receive a bonus as long as its not tied to any transactions
To whom is a real estate associate primarily responsible
Employer
Tests used by the courts to determine if an article is real or personal property include
IRMA - Intent, Relationship of the party, Method of annexation, and Adaptation of the article
Screwed or glued
A Tampa broker occasionally receives referrals from a friend in Chicago, the broker does not pay a commission or referral but does reimburse his friend for travel expenses incurred. What best applies …..
The broker and friend are in violation of license law. You can not pay anything to anybody in connection with a real estate transaction that does not have a valid real estate license somewhere.
How long long may a licensee remain in an involuntary inactive status?
2 years
Only way to get involuntary inactive is failure to renew
Membership on the commission is
appointed by the governor and confirmed by the senate
An applicant has been notified of passing the state exam for sales associate. How do they issue your license
Must complete and RE-10 and fax it to the DBPR
Which name does not appear on your license ?
the chairpersons name
Personal property would not include
plumbing fixtures
Al, Joe and Alice all licensed real estate brokers, form a real estate brokerage partnership. Al has his license revoked for fraudulent activity in a business transaction unrelated to real-estate . What is the status of the partnership?
The partnership registration is unaffected for 14 days
A real estate brokerage partnership has three actively licensed brokers, Sam, Sue and Charlie. If Charlie fails to renew his license at expiration….
Charlie’s license will be placed on involuntary inactive- it has no affect on the partnership for 14 days.
Real Estate Licenses expire on
the date indicated on the license
What is the the status of a license while your serving active military duty?
in good standing during service and for 6mo after tour of duty ends
Non-licensed sales associate is in the process of changing employers. when will his request for reissue become effective?
When it is received at the DBPR
A broker while attending a closing discovers his license had expired the previous day. the partner responsible for the brokers commission should….
Pay the broker as agreed
we earn our right to commission based on performance.
How is the chairperson of FREC determined?
selected annually by members of the comission
Personal property includes….
Refrigerators
Real or personal
fence real property…. permanently attached to the property
lease - any thing that transfers due rights is real property
landscaping - real anything growing is real property
study tip
always check the longest answer
aways guess c
if a word in the question appears in the answer it is usually the right answer.
walter was a licensed real estate associate employed by Swift realty Inc, a registered brokerage corp. Walter recently passed his brokers exam and is continuing to work for Swift as a broker-associate. New comer realty has asked walter to join the firm as an officer. If walter joins new comer realty and maintain his position at Swift realty, he….
will be in violation of the law.
because you can never have more than one status.
if he became an officer of swift corp as well then he could be a broker for both organizations by applying for multiple licenses.
If an applicant files an incomplete application with DBPR……
the app will be denied
If the only active broker in a brokerage partnership or brokerage corporation has his or her license revoked sales associates licensed with the firm
will become inactive status
…after 14 days. if broker is replaced with in 14 days bus will continue as normal
The real estate education foundation pays for its programs
by interest received on a $3M transfer that they made from the real-estate recovery fund
A real estate sales associate may not be employed by
a home owner
A license expired March 31st. The licensee applied for renewal April 31st. When would the renewal become effective?
when you send in the renewal application with the proper fee.
A sales associates license expired September 30th. what was the status of the license october 1st
It is involuntary inactive
if a license is lost or destroyed a licensee is not required to
you don’t have to notify your employer
Do need to receive a duplicate
if you find the one that was lost you return the original and submit an affidavit explaining how you lost it.
only reason you have it is to serve as prima face evidence
The FREC has the power and authority to compel the production of records and information from
Applicants and licensees
FREC only has power of applicants and licensees
DBPR power
over everyone
how many days do you have to notify the DBPR if you change your residential address
10 days
A property owner has had a new roof installed on his house but he hasn’t paid the roofer. so the roofer records a mechanics lean. The sales associate is aware of the lean but didn’t mention it because it might interfere with the sale …….
by law you must disclose any defects you are aware of before you receive a deposit or allow your client to sign an offer.
Broker Al is an agent for seller bill. if buyer charles offers $5K less than the list price but says he’d go higher if necessary. Broker al….
must present the offer and indicate the buyers willingness to go higher
Who may legally perform a service of real estate for compensation with out being license
a person appointed by the court
Three brokers form a partnership with equal undivided interest to buy develop and sell real estate. They invited a sales associate to become an equal partner in the firm. the partnership realized profits of $60k on the venture….
must split the profit equally according to the pro rata share in the business - they would each get 25%
they are doing it for themselves … no licencure issues
If the only actively licensed broker in a firm withdrawals, is removed or dies, how long do you have to fill the vacancy?
14 days
Riprarian rights are rights concerning
Flowing water (River)
Litoral rights - lake or ocean
Sales associate may not be paid a bonus by
a seller
can only be compensated by our employer
When a broker allows a sales associate to deal directly with the principal the….
sales associate has the same fiduciary duties as the broker
Sub agent to the brokers principal
A tree growing on a parcel of land may become personal property by…
Severance
an appraiser appointed by the county to perform ad valorem tax assessments would need what type of license
none
if four individuals wish to form a partnership to sell real estate for others, all four will be providing real estate services which applies..
all four must be active to perform services and the business must be registered with FREC
bus structures questions —
over 29 questions
Investigation of complaints is an exercise of what power
FREC
Publish Investigate E
Three people form a partnership to sell property for others
at least one must be an actively licensed broker
Sally andy mary are registered sales associates with broker charlie. sallie obtains a contract for one of mary’s listings . since mary receives a larger commission than sally they agree that mary will receive the entire commission and then split with sally. sally and mary
have violated their fiduciary duties to charlie and can be disciplined by the commission
a tree growing on a parcel of land would be included in a sale
unless the parties agree otherwise
what is the legal form of a business known as acme moving and storage company
corporation
a broker is contacted with a property owner to perform certain real estate services specified . the owner and broker agree that the broker is not an agent of the seller and will have no fiduciary duties to the owner. should the broker agree to provide limited representation, the broker is….
a transaction broker
FREC was created to
regulate licensees and applicants
enforce and administer the law
Chapter 475 created to
(law) protect the public
a brokers customer is the
customer
agent relationships = principal
A broker operating as a transaction broker has
limited responsibility to each party
Mary is an inactive broker and VP of bayside realty AMY the only actively licensed broker is out of town. What services may mary not perform while amy is out of town
can’t assist or perform any duties of real estate
which of the following relationships is not adversarial
fiduciary
Which of the following is not required on the brokers sign
the names of their associates
Managers of a condominium coop project are allowed to lease units within the complex for
a salary as long as the leases do not exceed 1 year
an active broker must
open and maintain an office
otherwise they are a broker associate
While the broker is out of town a sales associate receives an offer on a listed property. another offer is received after the broker returns. if the second offer is higher than the first offer, the sales associate should
submit any and all offers
the brokers principal is
who ever employes them
George hired Joan to perform onsite leasing services in a 200 unit apartment complex that he owns. Joan….
may perform services only if she is paid a salary.
A sales associate registered with a brokerage firm may be
the only one that owns that stock
but may never be an officer or director of that corp
which appraisal assignments is a real estate broker not allowed to accept
valuing a waterfront home for a federally regulated lender in connection with a request for a loan
what is the status of a license when an associate has not completed the necessary post licensing education?
Void
The DBPR has denied an individuals application for a real estate license.
The applicant is allowed 21 days in which to request a hearing
broker al obtains a listing on owner bills property for $125K subject to owner financing with 20% down payment. Broker Al obtained an offer at the full list price contingent on the seller taking back and 80% mortgage. while thinking it over broker charles presented an all cash offer at the full listing price . which broker is entitled to a commission.
Broker A… the one that had the listing
listing secures your right to commission
an owner authorized broker al and broker bill to show his property to buyers. broker bill obtained an offer that was accepted. who is entitled to a commission?
broker bill - this is an open listing
a contract for sale specifies the roof is to be inspected by a roofer prior to closing. the broker authorizes a sales associate to contact a roofer and have them inspect it . at closing it was discovered the inspection had not been performed. Who is ultimately responsible ?
Broker
Many brokers have become involved in property management. the primary reason for the growth in the segment is …..
an increase in absentee ownership
Three persons form a business and receive charter from the secretary of state. what type of business have they formed
Corp for profit
A broker from clearwater and a broker from tampa agree to share the commission and expense of marketing a property. this arrangement can best be described as
joint venture
Sam and sarah are both licensed real estate brokers who agree to corporate in the sale of property for a successful builder. they employ sales associate debby who will receive 4% on all sales in which she participates. sam and sara will each pay half of debby’s commission and share equally any remaining profit. Why type of arrangement is this….
This is an illegal arrangement
Debby can only have one employer
a joint venture between two brokers is
similar to a partnership in terms of liability
which business has a life time it can be in perputity
a corporation (look up charters)
which of the following can not register with the DBPR to perform real estate services
Business trust –Small commissions give little joy
Sole prop| Corp for profit, not for profit| General partner| LLP, LLC| Joint venture
To acquire limited ownership in a limited partnership a limited partner must contribute
cash real estate or personal property
can’t offer to manage
to create a Limited Partnership a certificate must be filed with …
the secretary of state
corporate charter does not include
the name of the stock holders
charter must have
name
lifetime
bus activities
a joint tennancy
must have Posession Interest Time and Title
Sal has a broker friend ed. ed introduces sal to another broker. sal indicates that he would like to sell his home. Carl buys sals home…
no one is in titled to a comission
what is the renewal period for a branch office license
2 years
initial issue 18-24 mo
an officer or director of a real estate brokerage corp must have an active brokers license when
inteviewing a prospective sales associate
Broker escrow
it has to be reconciled every month and prompt action must be made to correct any mistakes
group license
only available to sales and broker associates needing to perform real estate services for multiple developments, (owned by same developer) when not employed by a builder
when are real estate exam questions and answers made public
never
general partnerships registered with DBPR to provide real estate services must
the partnership is not required to registered with the secretary of state (JUGS)
an inactive broker in a brokerage partnership has been performing services for compensation. What affect will this have on the partnership…
The registration of the partnership is in jeopardy and may be revoked
An investor gave John POA to invest for him. John is an attorney at law. If John sold one of the investment properties and kept 4% commission …..
john is subject to prosecution for accepting composition with out a valid license
if an applicant is discovered cheating on the state exam
the application will be denied
in a real estate brokerage corp..
one officer must be an actively licensed broker
john andy ted judy are officers in acme realty inc. All four are actively licensed brokers. Andy has been found guilty of defrauding a member of the public on a real estate transaction. who may FREC discipline as a result?
they may impose discipline as they deem appropriate
title to property purchase for a corporations sole (church) is held in the name of ….
the sole title holder
upon the death of a sole title holder the title of property held by a corporation sole passes to
their successor in office
which business formation most closely resembles a corporation
a business trust
which statement is correct regarding a business trust
corp faces dual taxation
bus trust - money goes straight to the stock holders
which of the following is not real property
cemetery lots
which powers of the commission may be delegated
Executive
q- quarem
prima face evidence is
has reputable presumptions
a broker failed to complete the required post licensing education prior to the expiration date. what is the status of their license?
void
a broker associate may perform services of real estate
under the supervision of another broker
broker john is the owner and broker of able realty inc a registered licensed brokerage corp. High sales realty inc is down the street. John would like to purchase all the stock and become president of high sales dealt. to accomplish this, john must
apply for multiple licenses
brokers mike and tony are partners in paremount realty, a registered real estate brokerage. mike and tony have dissolved their partnership and disagree who is entitled to use the name ‘paramount realty’ until the dispute is settled…
registration of the partnership and all licensees under the partnership are inactive
registration of a branch office is necessary
based on the activities conducted there
an instigator of the department has discovered that a party could damage the public while involved in a real estate transaction. the department may…
issue a cease and desist order
can the department suspend your license – no, only FREC can
a license issued by the department is
evidence of a license
a broker and sales associate had a serious disagreement. The sales associate moves into another office and took original documents and files when leaving. The sales associate may
be charged with larceny (because they were originals)
copies are breach of trust
licensee has been subpoenaed to appear in a formal hearing to answer charges regarding fraudulent activity. how may the defendant obtain testimony from a witness who refuses to appear?
request the administrative law judge issue a subpoena
which type of deposit may a sales associate accept with out the knowledge of the broker
cash
Broker Alice notifies the closing agent that she will not be able to attend the closing and request the commission be divided and paid to her and sales associate jane by separate checks according to their employment agreement. Which applies
the closing agent should follow her instructions. this is perfectly alright.
broker alice sold a client a home knowing it was badly in need of repairs. the defect were not disclosed to the customer. the customer fixed up the house and sold it for a large profit…
the broker is in violation of the law (failure to disclose)
licensee has been issued a final order from FREC revoking their license. Which action can the licensee take if they decide to challenge the decision?
they may file an appeal with the district court of appeals and file a stay
if a broker listed a home and told the seller that all brokers in the area charge 8% comission ….
it is a violation of state (FL anti trust) and federal law (price fixing - sherman clatyon)
margie allowed broker to show her home only if she agreed not to show the property to minority customers. the broker should
inform margie that she is in violation of the law and refuse the listing.
a licensee has been adhjucated insane and committed to a mental hospital. the license will be…
revoked
adhjucated is determined by the court and considered permanent
if committed for 7 years … it would only be suspended
an investigator for the DBPR has issued a broker a letter of non compliance. the broker ….
has 15 days to correct it
how many days does a licensee have to file a petition of review after being served a final order from FREC
30 days
petition is a technical name for an appeal
a licensee found guilty of concealment by a criminal court is
guilty
a party refuses to produce evidence required in an investigation. if a subpoena is needed to obtain the information the…
investigator may request the information from the DBPR
Why wouldn’t they request from an admin law judge - because it’s not far along enough in the process to have and admin law judge
which is correct regarding giving testimony in front of an administrative law judge at a formal hearing?
Hear-say evidence is generally admissible.
In FREC’s hearing process they are allowed to used hear-say evidence.
a sales associate relocating to another state
not in violation of licensure law
address change- 10 days
return and irrevocable consent to service agreement - 60 days
sallie violated 475. it is her first time. what is the max period of suspension
10 years
an agents obligation to their employer include
fiduciary duties (due diligence)
a licensee has Insufficient funds to pay a fine associated with a disciplinary action. which would apply?
Funds can come from Real estate recovery fund
what action can be taken if the DBPR determines that brokers actions constitute an immediate danger to the health and welfare of the public
issue a summary suspension
if a licensee is temporarily unable to deal safely with the public due to the use of drugs or alcohol. the license will be
suspended for period of disability
a licensee found guild of fraud in activities other than real estate may…
be served with an injunction
a broker has been found guilty of bank robbery. this activity
is prima face grounds for revocation after a hearing justifies the action.
Moral Turpitude
a descriptive term of a criminal act
premeditated & moral depravity
assult and battery - not moral turpitude
a broker has received an offer accompanied with an escrow check. before the offer can be presented the buyer demands a return of deposit. the broker should …
return the check to the buyer
if the offer had been accepted -there is a contract (this becomes an escrow dispute money is held as liquidated damages to the injured party) needs to go to court
a subpoena requires a licensee to
appear as a witness
the DBPR may not
issue an injunction prohibiting license law
a claim can be requested from the recovery fund when
only when a person obtained a judgement by suing the licensee and the licensee doesn’t have enough funds to pay the fines
which circumstance would not be enough for a sales associate to be charged with fraudulent conduct
a failure to disclose an unknown lean or encumbrance prior to closing
why- we can’t comment to the condition of title only an abstract company or a title company
Broker mike wrote a contract for sale with broker theresa. Broker mike could not attend the closing so broker Theresa collected the entire commission. Which applies
The only one entitled to the commission is theresa but she would need to honor her MLS agreement by collecting the commission and then disbursing Mikes share.
During an IRS audit of a Brokers operating account it was determined that part of a commission paid by a mississippi broker to a FL broker was not reported. Which applies
frec probably will not take action if tax return is amended
relationship of the parties is relevant when ….
relationship of the parties is relevant when appraising properties
A broker associate is listing a home in a neighborhood predominately owned by minorities , a customer calls about the home. The broker
should ably enquire as with any other
Discriminations questions
leave out any part that is discriminatory
Which qualifies as an exemption of the Civil Rights Act of 1868
lodging owned by a private club for the purposes of non commercial occupancy of it members (Sorority House) not discrimination as long as membership is open to everyone
Bill is a sales associate for superior construction company, jack the owner and developer has instructed bill not to show properties to minority customers. What should bill do
withdrawal and register with another customer … can’t just ignore the illegal action or you are found guilty by decent decree (you didn’t protect yourself by leaving)
A minority prospect offers to pay cash for the full property price. the owner finds out and refuses to sell the property to a minority. What action should the broker NOT take ..
don’t sue the buyer,
When given an illegal minority instruction, advise the seller that action could be taken due to discrimination laws and you have to disclose to the seller that their civil rights may have been violated. If you report this, broker may sue the seller for comission
Acts prohibited by the civil rights act of 68 do not include
limiting the showing of property to specific hours
A broker has an office and a branch office a sales associate who works only in the branch office should be licensed from …
doesn’t matter, as long as it’s the same broker
Information received by a broker during a confidential relationship…..
may be used by the broker so long as it causes no harm to the principal
A policy and procedures manual is not a legal requirement but a
valuable tool in maintaining office (helps eliminate confusion in the office)
what type advertising is being used when a broker advertises a specific listed property for sale
specific advertising
what type advertising are you using if the object were to identify the name in the market
name advertising
What is the purpose of institutional advertising
to create an image within the community
a to Z a licensed realestate brokerage company has advertised apartments for rent under property management. mr & mrs adams responded to the add and wishes to lease one of the units. they ask joe the sales associate to show them the property and prepare a lease for them to sign. Joe…
need to have an attorney to prepare the lease.
we can only fill in the FL Supreme court approved residential lease (we can’t add or remove anything) can only fill it out. Any other lease must be prepared by an attorney
a contract for the sale of a parcel of land of which the broker is assured a large commission is executed. the broker may record the contract in the public records ….
need sellers permission & notarized to record in public record
probable cause panel
NOT members are not appointed by the gov
they are appointed by the chairperson of FREC
an agency receives a copy of the original order following a formal hearing
given to defendant and frec’s final order panel
denial of a fl real-estate license may be justified under which condidition
condition of a fellony
when may a sales associate accept an ernest money deposit with out the knowledge/ permission of their broker
Never
for anything you do as an employee of a broker/ owner developer you must have their permission/ implied permission
a licensee was arrested for passing counterfeit currency and is being tried in a criminal court. which statement is correct
FREC may take an action against the licensee regardless of the outcome of the criminal court.
a sales associates license may be suspended or revoked under 475 for what
suing a property owner for a commission earned ( can only sue employer) - illegal suit
payments from the recovery fund are authorized by
FREC authorizes the check
treasurer actually writes the check
sales associate usually has the authority to
accept (collect)the initial down payment
an investor has purchased two apartment buildings from a broker and asked the broker to assume all responsibility for managing his properties. Why type of agency relationship does this describe
General (Correct) - no time frame/ performance of an act that would terminate the relationship
special has a specific ending date or ends with the completion of an act
a real estate sales associate is a
sub agent of the brokers principal
with respect to an interest bearing escrow account…
the interest must be transferred to a non interest bearing account before distributed to the buyer or seller. (can’t pay directly out of escrow)
fl statute 475 mandates the automatic suspension of a license when
payments made from the recovery fund on behalf of the licensee
What is the amount charged annually for the recovery fund when the balance of the fund is under 500k
$1.5
when it reaches 1M fREC can’t charge us
can only collect when its under 500K
a broker can not have an escrow account
in an insurance company - not a depository
the DBPR has conducted an investigation and determined that an individuals activity is an immediate danger to the public. What action may they NOT take
they can’t impose a summary suspension
why? - can only issue a summary suspension prior to an investigation (it’s too late during the investigation)
nancy’s lease will expire in 25 days, she is considering moving. Bob the broker has advertised the apartments for rent for 400/ mo including utilities. nancy respond to the add signed the lease and paid bob his 200 fee. Nancy decided to renew her lease rather then move and contacted bob to request a refund. how much is bob obligated to refund Nancy
$0 …. have to request with in 30 days
a buyer has considered making on a listed property an asked the broker
should advise the broker to consult a title professional or seek the advice of a competent attorney.
they law that requires the APR of a loan to be disclosed is
regulation z as part of consumer credit protection act
a seller and a buyer both paid a broker in a transaction. which is true …
its find as long as both approved the dual commission
when a broker represents both parties as an agent in a real estate transaction. he or she….
is in violation of 475 for acting as a dual agent
broker al receives an offer on a listed property at 10AM . another customer had seen a property with another agent earlier that day and called to state an offer would be made by 2pm that same day . broker al should
submit the 1st offer and advise the owner of the possibility of another offer
a sales associate may be subject to fraud
even if it was accidental
intent, restitution, and damage are not a defense for Fraud
the mortgage market is
anywhere money is bought and sold
which advertisement would trigger complaints with the consumer credit cost disclosure act
the consumer credit cost disclosure act says that for any consumer loan that includes a monthly payment, an interest rate, dollar amount, terms . you must disclose the full terms of the loan
which source of mortgage loans is subject to the least amount of government regulation
individual
which is incorrect with regards to telephone solitation
hours
when title of a property of transferred to a 3rd party with the mortgage. the financing used is
trust deed
always trust deed when referring to financing in 3rd party
no wrap around deed
wrap around mortgage
new second mortgage with a first mortgage (new encmberance added to an existing encumbrance)
if the fed sold securities in the existing market
they create a tight money market
which is true regarding an FHA loan
FHA limits the amount of the loan
FHA insures loans, minimum down payment of 3%
10 units or an annual budget of 100K + to run the association you have to
hire a CAM manager. Can’t be self managed.
the credit controlling device used by the fed that is the most potent and effective is
open market
leverage
to increase your buying power by borrowing money
when a sale lease back is used
the lessee has achieved 100% financing
the interest rate discount and other loan charges are disclosed in …
the promissory note
a wrap around mortgage
incorporates the balance of a initial mortgage plus a remaining sum
what type of loans do commercial banks prefer
short
which action involves usury
charging an illegal interest rate
if loan payments consist of interest only and the entire principal of the loan is due on maturity. the loan is
a term loan
which mortgage results in negative amortization
graduated payment
which agent is gov owned and operates in secondary market to make high risk, low yield loans for low income households possible
National Mortgage Association (government)
increase interest to
increase profit
what type of loan was fannie mae originally created to buy
FHA only
Today they buy from anybody (FHA, VA, or original)
the role of the gov national mortgage association is to
provide special assistance to residential borrowers
all the following are common types of mortgage
amortization
mortgage backed securities are guaranteed by
Ginne Mae
that portion of the mortgage market where loans are bought and sold is
secondary market
what is west of T24S R17E
T24S R16E
A vertical strip of land originating at the meridian and extending west along the entire length of the meridian is
Range 1W
cher would like to purchase a condo but has limited money for a down payment. a friend told her she would probably qualify for an FHA. What is an FHA
234- FHA condo loan
203B- residential single family insured loan
3 days
Rescission period, resale condo (from receipt of docs)
7 days
Notice to terminate week to week tenancy at will
10 Days
recession period for a time share developer sale
14 Days
Replace only active broker in a brokerage corporations
Notice to the defendant of a formal hearing
15 Days
time to file exemptions to the recommended order
notice to terminate month to month tenancy at will
recession period for developer sale of a new condo
time to notify FREC about escrow dispute
Probably cause, request for additional information
20 days
time to file an answer to a formal complaint
30 days
must resolve escrow dispute
probable cause panel must find cause
notice to applicant to correct an error or omission on an application
refund fee paid for rental inform list
appeal of the final order to the District Court of Appeals
25 Days
time to protest annual tax assessment
90 Days
Application approval
hearing officers recommend order
time to file mechanics lien from completion of work
Any Mediation must be complete
1 year
Action to foreclose on mechanics lien
Loan to value
loan amount / Value
Operating expense ratio
operating expenses/ effective gross income
Debt Convergence ration
Net operating income/ Annual Debt Service
Property Value
Net Operating Income/ Overall Cap Rate
Equity Dividend Rate
Cash Throwoff/ Equity
Pay Back Period
Equity / Cash Throwoff
Cash Break Even Ratio
Operating Expenses- Reserves + Dept Service / Potential Gross income
Margin of Safety
1- Cash Break Even Ratio
Miles to feet
1 Mi = 5280 Ft
Acre to Sq Ft
1 Acre= 43560 sqft (208.71 ft x 208.71 ft)
Section to Acres
1 section = 640 Acres
Section to township
36 sections = 1 township
township to miles
1 township = 6 sq miles
2.5 acres =
330 ft x 330 ft
5 acres =
330 ft x 660 ft
10 acres =
660ft x 660 ft
20 acres =
660 ft x 1320 ft `
1 section =
1 mile square
Services of Real Estate
A BAR SALE
Appraising
Buying
Auctioning
Renting
Selling
Advertising rentals
Leasing
Exchanging
Fiduciary duties of an agent
CAR SOLD
Confidentiality
Accounting for funds
Reasonable care
Skill
Obedience
Loyalty
Diligence
Tests to Distinguish Personal Property
IRMA
Intent
Relationship
Method of Annexation
Adaptation
Bundle of legal Rights
DUE
Disposition
Use
Exclusion
Unities required to create a joint tenancy
PITT
Possession
Interest
Time
Title
Methods of obtaining title to real property
WADED
Wil Adverse Possession Deed Estoppel Descent and distribution
Government Limitations on property rights
PETE
Police Power
Eminent domain
Taxation
Escheat
Elements of an enforceable contract
COLIC
Competent parties Offer and acceptance Legality of the subject In writing Consideration
Ways to Terminate a contract
BRRLAP
Breach Renunciation Revocation Lapse of time Abandonment Performance
Characteristics of value
DUST
Demand
Utility
Scarcity
Transferability
Agents of Production
CELL
Capital
Entrepreneurial ability
Land
Labor
Executive duties of FREC
Executives eat PIE
Publication
Investigation
Education
Executive powers of FREC
Set Policy
Void
License is null and void due to
1) failure to complete post license edu or expired more than 2 yrs
2) revoked by FREC
3) canceled by FREC by request of licensee
Ineffective license
Has license but can’t use it
Voluntary inactive
Licensee has requested inactive status
Involuntary inactive
Status when license is not renewed
Or
When broker of a brokerage becomes involuntary inactive
Fiduciary relationships
Sales associate is a subagent to brokers principal
Fee simple estate
Indefinite duration; inheritable estate
Life estate
Ownership for life of a person who owns the estate
Habendum clause
Identifies estate in deed ( to have and to hold)
Remainderman
Receives estate upon death of life tenant
Estate for years
Definite period of time
Tenancy at will
May be terminated at will of either party
Tenancy at sufferance
Tenant remains in possession after termination of estate for years; no notice required to terminate
Tenancy in common
2 or more co-owners own undivided interest; no right of survivorship
Joint tenancy
2 or more co-owners own undivided interest; with right if survivorship
Must have PITT
Tenancy of the entireties
Exclusively for husband and wife
Government limitations
PETE- Eminent domain, police power, taxation, escheat
Eminent domain
Gov takes title to privately owned land
Must have - publics use, due process, just compensation
Police power
Gov restricts owners use and occupancy of land
Ie zoning codes, building codes& environmental regulations
Escheat
Title reverts to state; no will, no errors
Freddie Mac
Provides secondary market for sellers and lender. Developed standardized conventional loan documents.
Fannie Mae
Primary function is to provide secondary mortgage market.
Obtain funds from private capital markets
Does not borrow from treasury
Ginnie Mae
Special assistance and management and liquidation functions
Guarantees securities in mortgage pools
Ginnie Mae
Special assistance and mgmt and liquidation functions; guarantees securities in mortgage pools
Freddie Mac
Provides secondary market for sellers and lenders - developed standardized conventionalized loan documents
