Principles of Real Estate 1 Flashcards
Ad Valorem Taxes
according to value
Estate for years
set term. Survives death and sale
Periodic Tenancy
renews automatically. Survives death and sale
Tenancy at sufferance
tenant occupies against owner’s wishes
Tenancy at will
tenant occupies with permission for uncertain time
Redlining
refusing to provide financing in a particular area because of location.
Termination of listing agreements
Purpose is completed Expires By mutual agreement Death or incapacity Condemnation or destruction of property Bankruptcy Operation of law Revocation of license Abandonment by agent Revocation of agreement by principal Termination by broker
Information About Brokerage Services – IABS – purpose and content
Inform about duties of agent to clients and representation
Physical Characteristics of Land
- Indestructibility
- Immobility
- Nonhomogeneity
Termination of Easements
Merger
Release
Abandonment
Death
Creation of Easements
- Grant
- Reservation
- Implied grant
- Prescription- continuous use without permission
- Necessity
- Condemnation
Easement
Gives one right to use or pass through another’s property
Easement in gross
Belongs to person or corporation and not land
Easement appurtenant
Right to benefit from piece of land
Canons of Professional Ethics
Fidelity Integrity Competency Consumer Information (must be displayed) Discriminatory Practices
Community Reinvestment Act (CRA)
prohibits redlining and ensures banks serve needs of community in which they do business
Stigmatized properties – conditions and disclosure requirements
Physical or psychological stigma
murder or haunting
Must disclose unless AIDS/HIV related or death
Remedies for Buyer Default
- Liquidated Damages- earnest money
- Monetary Damages- decided by court
- Specific Performance- force to complete contract
Remedies for Seller Default
- Refund of Earnest Money
- Monetary Damages- decided by court
- Specific Performance- force to complete contract
Valid
Meets all requirements of law
Void
Invalid from beginning
Voidable
Cannot be enforced against parties
Unenforceable
Cannot be enforced due to flaw in contract
TREC and administrative penalties
up to $5,000 per day against offending licensed and unlicensed individuals.
Riparian Rights
right to use water from a river or a stream on or next to the property
Littoral Rights
right to use water from a lake, ocean, or sea on or next to the property
Accretion
the addition to the land by the action of water.
Alluvion
the soil added to the land by the accretion.
Avulsion
water washes away the land from one property and deposits it on another
Reliction
water recedes and dry land appears.
Real Estate Development
the acquisition of land for development into residential subdivisions, retail centers, and other commercial uses.
Timeshare
part ownership of a property coupled with the right to its exclusive use for a specified number of days per year
Condominium
Each unit is a separate legal ownership, and each resident arranges his or her own financing
Cooperative
Units in a cooperative are most often owned by a corporation
They purchase stock in the corporation
