Real Estate Test Flashcards
In New York State, how old must one be to enter into contracts?
18
What other capability should they possess?
Mental and emotional capability
What happens is if one of the parties to the contract as a minor?
The contract is voidable by the minor
What does zoning board of appeals do?
Grants variances
What regulates construction standards in New York State?
Building codes
What does municipal engineers office do
Overseas planning in construction a major highways, sewer systems in water connections
If a property ad states at the property is near the vicinity of a geographical area, what else must’ve had include?
It must include the name of the geographical area where the property is actually located
Who is usually exempt from property taxes?
Disabled, veterans, farmers, elderly, Goldstar parents (whose kids died In war) And star program homeowners
Who is not usually exempt from property taxes?
Second homeowner
What covers fully for personal property lost in a fire?
Replacement cost
Find the square footage of a rectangular shaped floor plan. Note. Learn how to find the area of squares and rectangles
What’s the cash on cash return on a $2 million property with a down payment of 500,000 and a 15000 monthly rental income
36%
Who hires agent?
Principal or client
What is not a CMA (Comparative market analysis)?
An appraisal
What can’t a sales person do
Collect mine directly from the client or customer
When should the agency Disclosure form be submitted?
At the first substantive contract
Which document describes the agency who he or she represents of the sales person?
Agency disclosure form
What’s another name for the slope of the roof?
Pitch
What carcinogenic component was used as insulation electric transformers and contaminated soil and groundwater
PCBs or polychlorinated biphenyls
What can brokers provide their sales people if they are independent contractors
Office phone
What rights to excess water from a river or stream called
Riparian
What did the civil rights act of 1866 protect, without exception
Race
What does a 1988 amendment to the civil rights act protect
Disability and familial status
What is convincing owners to sell/lease property by telling them in particular group of people are moving into the area called
Blockbusting
What is it called when the lender/insurance agent refuse to do business in a certain area based on the characteristics of the people living there
Redlining
Unless specified a lesser state, transfer of title to real property in New York State create what type of interest?
Fee simple
What is another name for transfer of title to real property
Conveyance
What is it called when the government dictates how a property can be used
Zoning
Who issues real estate licenses?
New York Department of State
Who overseas licensing and registration of mortgage bankers and brokers?
New York State banking department
Which department oversees drinking water safety?
New York State Department of Health
Who determines the commission?
Principal/client in the broker
What occurs when the agent represent the seller but also works in the best interest of the buyer?
Undisclosed dual agency
A real estate sales person is what type of agent
Special
What clause in the deed describes the property?
Legal description
What type of income is partnerships/investments?
Portfolio
What’s the name of the policy that provides additional liability coverage beyond the primary policy?
Umbrella policy
What type of maintenance is fixing a leaking faucet?
Corrective maintenance
What are property taxes based on?
Assessed value
What is the market value
What the property will sell for an a competitive marketplace
What is a loft lease
It’s a lease for space that is not divide into rooms
Which type of commercial properties use percentage lease?
Retail stores/shopping malls
Who is responsible for the terms in the lease if the unit has been subleased?
Leasee
What is it taking a private property by the government for public use called?
Eminent domain
How many years is a residential investment property depreciable for?
27.5 years
How much profit can a single person claim from the sale of a personal residence that’s tax free
250,000
What is the right to use another land that falls short of ownership called
Easement
Joe is not paid for the supplies and labor he provided for homeowner Smith. What kind of lane will he file against Smith?
Mechanics lame
What is serves the same function as a circuit breaker?
Fuse
What type of the state is created when only one person hold title to the real property?
Ownership in the severalty
How much are the seller reimburse the buyer for refusing to provide a property disclosure form?
$500
Seller tells a listing agent he filed for bankruptcy bankruptcy the previous year. The seller end up not listing the property with the agent. Still, what duty does the agent or the seller
Confidentiality
What type of financing is used to purchase a new property when the whole property hasn’t been sold yet
Swing loan or bridge loan
Who is the borrower of a mortgage loan
The mortgagor
What does the real estate settlement procedures act require
Good faith estimate of the closing cost for federally funded loans
What is the rate reserve for the condo association I give them the first opportunity to buy or lease a unit when it becomes available
Right of first refusal
A coop is what type of ownership?
Leasehold
What is a summary of the chronological history of title and related documents to that called
Abstract of title
What type of mortgage is one a new mortgage that is higher in amount wraps around an existing first Mortgage that’s smaller and amount
Wraparound mortgage
What document provide a detailed information on a condo or coop project
Offering plan
What is the process called that calculates the value of an asset in the past, present and future?
Time value of money
What is it called when a building loses its desirability Because of an outdated design feature
Obsolescence
What type of investment properties are warehouse and distribution centers
Manufacturing
What government issues such as noise, pets and a condo or a coop?
House rules
What are Homestead properties?
Residential condos, 1-4 family homes, mobile homes and farm dwellings
What’s the area the tenant actually occupies and uses
Usable square footage or net square footage
Who signed the contract first?
Purchaser
What is a budget that is set aside for repairs in large improvements
Capital reserve budget or replacement reserve budget
What’s another name for land lease
Ground lease
What allows landlords to raise rent during the term of the lease
Escalation clause
What are tax advantages on investment properties called?
Tax shelters
What type of listing agreement is it where the listing broker gets commission for the sale of the property even if the owner of themselves sell the property?
Exclusive right to sell
What’s an Implied clause in a deed?
Grantor owns a property and has right to convey it or right of quiet enjoyment
What does regulation Z require besides disclosure of interest rates
Down payment
What does a secondary mortgage market do
Bye and sells mortgages
