Specialty Areas Flashcards
Lead Based Paint
Federal law that imposes a disclosure on those who sell or lease a property built before 1978. Have atleast 10 days to inspect for lead
Equal Credit Opp Act
Prevents discrimination against credit applicants based on race, color, religion, etc.
Must inform applicant of denial within 30 days of application
Gross Lease
Most common rental agreement where the lessee pays rent at a fixed rate
Net Lease
Lessee pays a fixed amount and pays a prorated share of expenses associated with the building.
Percentage Lease
fixed minimum rent and percentage of business income
Graduated lease
Rent increases/decreases periodically
Proprietary Lease
A proportion share of the corporation
Restrictive Covenants
Landlord may restrict tenant use of the premises
Protective Convenants
Restrictions which promotes and protects a lessee’s interests
Subordinate Clause
States that the lease is subordinate to all future mortgages affecting the property
Option Clause
Establishes a right to act or refrain from acting at future date under specific circumstances
Escalator Clause
Lessor can adjust payments up or down to respond to specified contingencies
Sale Leaseback
An owner sells property to an investor then leases the same property back
Appreciation
Increase in the worth or value of property
Depreciation
The decrease in the value of an asset
