Section 1 Flashcards
Absentee Owner
.
Appraisal
.
Appraiser
.
Broker Price Opinion (BPO)
.
Business Opportunity
.
Comparative Market Analysis (CMA)
.
Dedication
.
Farm Area (Target Market )
.
Follow - Up
.
Property Management
.
Real Estate Brokerage
.
Special Purpose Property
.
Subdivision Plat Map
.
USPAP
.
MLS
.
2005 - 2007 saw excessive amounts of subprime
referring to credit or loan arrangements for borrowers with a poor credit history, typically having unfavorable conditions such as high interest rates.
Which increased the risk that buyers were likely to default
Subprime loans were sold as mortgage backed securities :
Which then had values plummet as homeowners failed to make their mortgage payments
Example of a subprime loans
Where buyers didn’t have to provide documentation of their income
They were able to fill out a loan application and claim anything they wanted in order to buy the property - as a result buyers couldn’t afford the loans and defaulted
Since the destruction of subprime loans were so severe, it changed the way that loans were processed
Today, the mortgage industry now complies with laws that were passed to keep history from repeating itself.
Since the changes in the Florida industry occurred, it has made it one of the top states people move to, which gives strength to the Florida real estate market
Since real estate is a business of many specializations:
Expert information is the product that a broker or a sales associate must market:
Knowledge of property transfer
Knowledge of market conditions
Knowledge of how to market real estate
Consumers seek out real estate agents expecting them to have knowledge of the market conditions, about how to successfully market real estate and to be guided in a real estate purchase
Specializing in expert information is the product that a broker or a sales associate contributes to a real estate transaction which includes:
Knowledge of property transfer, knowledge of market
conditions, and knowledge of how to market real estate
Real estate licenses must market these skill areas
- Knowledge of property transfer
- Knowledge of market conditions
- Knowledge of how to market real estate
“Is it a good time to buy?” is a common question casually put to a real estate licensee .
The public looks to the licensee to guide them in a real estate investment.
Most importantly, consumers expect licensees to have expert knowledge regarding property transfers ensuring their interests are protected
