Statutory & Regulatory Requirements Flashcards
Compensation paid a broker for services in a real estate transaction; usually a percentage of sales price, rather than a flat fee
Commission
A written agency contract between seller and a real estate broker, stating the broker will be paid a commission for finding a buyer for the sellers real property.
Listing
A contract that has not been put into words, but is implied by the actions of the part
Implied contract
A non-exclusive listing, given by a seller to as many brokers as they choose. If the property is sold, a broker is only entitled to a commission if they are the procuring cause of the sale.
Open listing
- Agreeing to the terms of an offer to enter into a contract, thereby creating a binding contract. 2. Taking delivery of a deed.
Acceptance
A listing agreement that entitles the broker to a commission if anyone, including the seller, find a buyer for the property during the listing term.
Exclusive right to sell
Money offered as an indication of good faith regarding the future performance of a purchase agreement.
Earnest money
A response to an offer to enter into a contract, changing some of the terms of the original offer. It is a rejection of the original offer, and does not create a binding contract unless the new is accepted by the original offer.
Counter offer
Anything value, such as money, services, goods, or promises, given to induce another to enter into a contract.
Consideration
A contract that has been put into words, either spoken or written.
Express contract
Any present right to acquire legal title to
Property
Equitable title
The interest in property held by the rightful owner. Also, the vendor’s (sellers) interest in property under a land contract.
Legal title
A legal remedy in which a court orders someone who has breached a contract to perform as agreed, rather than simply paying money damages.
Specific Performance
A law that requires certain types of contracts to be in writing and signed in order to be enforceable.
Statute of Frauds
A contract in which a seller promises to convey title to real property to a buyer in exchange for the purchase price.
Purchase Agreement
A contract that one of the parties can disaffirm, without liability, because of a lack of capacity or a negative factor such as fraud or duress.
Voidable contract
Person to whom an option is given
Optionee
When only one party makes a legally binding promise and the other has not. The promise will become legally binding if the other party chooses to accept it (similar to an offer).
Unilateral contract
The seller in a land contract
Vendor
The buyer in a land contract
Vender
Person who gives an option
Optionor
An alternative to going to court whereby the parties agree to submit facts and evidence to an impartial third property
Arbitration
The process in which a higher court reviews the decision of a lower court or an administrative tribunal
Appeal
Any public notification of property being offered for sale, which this must follow guidelines of Regulation Z of Truth-In-Lending Act.
Advertising
A court order prohibiting an act or compelling an act to be done
Injunction
The document a plaintiff files with the court to start a lawsuit
Complaint
A principle affecting value in real estate which says that all factors which influence real estate—economic, governmental, social, physical— are constantly changing, and thus property value itself is subject to constant change as well.
Change
Legally responsible
Liable
A persons lineal descendants— children, grandchildren, great grandchildren, and so on
Issue
The process whereby cases already filed with the court are speeded up by referring certain matters to a court referee.
Mediation
A court that oversees the distribution of property under a will or intestate succession
Probate court
Document ordering a person to appear at a deposition or court proceeding to testify or produce evidence
Subpoena
A prescribed period of time; especially, the length of time a borrower has to pay off a loan, or the duration of a lease
Term
The body of law concerned with the rights and liabilities of one individual in relation to another; includes contract, tort, and property law.
Civil law
The fundamental court proceeding in a lawsuit, in which a judge (and in some cases, a jury) hears evidence presented by the plaintiff and defendant and issues a judgement.
Trial
A provision in a contract or fees that makes the parties’ rights and obligations depend on the occurrence (or nonoccurrence) of a particular event. Also: condition
Contingency clause
