RE - Set 10

Question 1

LESSOR

Answer 1

Landlord; property owner.

Question 2

LEASEHOLD (OR LEASE)

Answer 2

An agreement, written or unwritten, transferring the right to exclusive possession and use of real estate for a definite period of time.

Question 3

RENT

Answer 3

Consideration paid for the use of a property.

Question 4

TENANT

Answer 4

A renter

Question 5

VARIABLE RATE MORTGAGE

Answer 5

A mortgage on which the interest rate varies according to an agreed-upon index, thus resulting in a change in the borrower’s monthly payments.

Question 6

ATTORNEY-IN-FACT

Answer 6

A competent and dis-interested person who is authorized by another person to act in his or her place in legal matters.

Question 7

OFFEROR

Answer 7

The party making an offer.

Question 8

VOID

Answer 8

An agreement which is totally absent of legal effect.

Question 9

VALID

Answer 9

Legally binding.

Question 10

RATIFIED

Answer 10

Approved.

Question 11

BUSINESS OPPORTUNITY

Answer 11

Any type of business for lease or sale.

Question 12

MOBILE HOME

Answer 12

A manufactured unit constructed on a chassis and wheels; designed for permanent or semi-attachment to land.

Question 13

SELLER’S PERMIT

Answer 13

Allows a retailer to buy his or her product at wholesale prices without paying sales tax. The retailer must then collect the proper sales tax from the customers and pay it to the State Board of Equalization.

Question 14

BLOCKBUSTING

Answer 14

Causing panic selling by telling people that values in the neighborhood will decline because of a specific event, such as the purchase of homes by minorities.

Question 15

BULK TRANSFER LAW

Answer 15

The law concerning the transfer in bulk (not a sale in the ordinary course of the seller’s business).

Question 16

ACCRUED DEPRECIATION

Answer 16

The difference between the cost to replace the property and the property’s current appraised value.

Question 17

HOLDER

Answer 17

The party to whom a promissory note is made payable; the person holding the note.

Question 18

LEVERAGE

Answer 18

The use of borrowed money to purchase property.

Question 19

EQUITY

Answer 19

Value remaining in a property after payment of all liens; the difference between the amount that is owed and the fair market value.

Question 20

COLLATERAL

Answer 20

Something of value given as security for a debt.

Question 21

EQUITY OF REDEMPTION

Answer 21

The right of the debtor, before a foreclosure sale, to reclaim property that had been given up due to mortgage default; also known as right of redemption.

Question 22

HYPOTHECATION

Answer 22

To give real property as security for a debt without giving up possession.

Question 23

DEFAULT

Answer 23

Failure to pay a debt or honor a contract.

Question 24

UNENFORCEABLE

Answer 24

A contract that was valid when made but either cannot be proved or will not be enforced by a court.

Question 25

EMANCIPATED MINOR

Answer 25

Someone who is legally set free from parental control/supervision.

Question 26

ESCROW

Answer 26

The deposit of funds or documents with a neutral third party who is instructed to carry out the provisions of an agreement.