Study Study Study Flashcards
Property taxes are a ……… January 1 st.
Lien
Property tax liens are the …………..- nothing comes ahead of a property tax lien
Primary lien
Property taxes are based on the …………of a property.
Assessed value
To calculate the assessed value, the following rates are used
Residential 10%
Land 16%
Property taxes are…………
Levied annually
First half taxes are January - June. They are due ……….and late………. second half taxes are July - December. They are due ………..late ……… of the following year
October 1st November 1 st
March 1st May 1st
Property taxes are paid in ……….
Arrears
When property taxes are pro-rated at close of escrow use ……..-day year, close of escrow is the buyers day. Property taxes will appear on a closing statement as…………..
Debit seller
Credit buyer
First half taxes are pro-rated using the prior………….
Years figures
Lien priority is ……….,……….
Property taxes
Special assessments
When a property tax sale is held, the low interest bidder receives a……….
Certificate of purchase
The certificate of purchase holder must give the owner………years to redeem before a foreclosure can begin.
3 years
Arizona property taxes would always be in …….. lien position
1st
The buyer is most likely to accept title with a………..
Property tax lien for the current year’s taxes
Which of the deeds have the best warranties?
General warranty
Who receives title through a deed of conveyance
Grantee
Deed restrictions that run with the land and liens are
Encumbrances
Escrow company works for
Buyer and seller
A deed is legally enforceable if it is
Recorded
What is the purpose of a closing statement
Shows all monies/costs involved in a transaction
Who signs the settlement sheet
Buyer
Seller
Escrow agent
The covenant of seisin promises
The grantor has the right to convey the property
Title insurance has ………….on property value
No impact
When an abstract of title was completed, it indicates that a …………
Title search was completed
When a conventional loan is greater than 80% ………….must be paid at time of closing?
PMI (private mortgage insurance)
Owners title insurance is for protection of the
Buyer
……….payments will never show on a closing statement
Principal
When taxes are pro-rated at close of escrow they would read
Debit seller
Credit buyer
When the buyer is buying a rental property, the security deposits are ………..
Not pro-rated
Owners title policy would not cover
Parties in possession
When the escrow company turns the matter over to the court to settle a dispute, this is called
Interpleader
If a property is sold with no………or……….,this must be stated in the deed
Ingress
Egress
The document that is recorded along with the deed is the
Affidavit of value
An affidavit of value is used by the county assessor to help the assessor determin
Property value for taxation
The point when the docket number are assigned is
Recordation
Real estate salespeople should ………………..on how to take title
Not give advice
An extended policy of title insurance would not cover
Encroachments
In order to recorded a deed it must be………..and………..
Signed
Acknowledged
When a party is given a life estate based on the life of another person is called?
“For the life of another”
Pur autre vie
This give the appearance of title, but is not
Color of title
If a buyer gives earnest money and signs a contract and then decides not to complete the terms of the contract the seller may……….
Retain the earnest money
When one party has the right of rescission in a contract, it is called
Voidable
If a buyer can’t qualify for a loan, what clause in a contract would benefit the buyer
Contingency
When a contract is signed by the buyer and seller, what is not required
Notarized signatures
All contracts must have
Consideration
When a contract is made between a competent party and a minor it is
Voidable by the minor
When an offer is written on another broker’s listing, the selling agent is required to
Contact the listing broker
When a purchase contract has handwritten and preprinted language the ……….language would have priority
Handwritten
All contracts are required to be in writing per
Statute of frauds
When a contract is based on fraud it is……….by the party the fraud was committed against
Voidable
Examples of a unilateral contract would be
Option
First right of refusal
Reward poster
A contract is not considered valid until there is an
Offer and acceptance
When a contract is for illegal act or purpose it is
Void
Q makes an offer to Y…the offer is signed by Y who make a counter and dies before Q accepts, what is the contract status
Unenforceable
………….is a court action to compel a buyer or seller to carry out the terms of a contract
Specific performance
Purchase contract would be determined by
Eminent domain
Condemnation
When a contract has pre-printed language, the agent should
Review and alter if necessary
Which agent has the original contract and the earnest money
Selling agent
When an option to buy is exercised, the option is
Unilateral executed
When an option to buy is exercised, the contract is
Bilateral executory
A real estate agent may modify a contract, only if it is signed by the………and……….
Buyer and seller
W makes an offer to X, all parties sign,and then X dies, you have a
Valid contract
If a sales contract is signed only by one spouse the status is………..against both
Unenforceable
A client or principal is owed………..duties from their agent
Fiduciary
An ………..listing gives the broker the least protection
Open
An …………..listing gives the broker the greatest protection
Exclusive right to sell
Owner hires a broker but may sell the property for sale by owner and not pay a commission
Exclusive agency listing
Care Obedience Loyalty Accountability Confidentiality Disclosure
Fiduciary duties
Mechanics liens take priority
The day work began
A general contractor has ………days to file their lien after notice of completion
120
Arizona homestead exemption will protect the equity in a personal residence up to………..
$150,000
Judgments are valid for …….yrs
5
Judgments that attach to real and personal property are
General lien
Utility, scarcity, transferability are used to determine
Value
When conducting a neighborhood analysis, the appraiser is interested in
Economic depreciation
What is an example of economic obsolescence
Air pollution
Noise
The cap rate and capitalization value are based on
Net income
When appraising a special usage property (church) the appraiser would use the ……….approach
Cost
A house with four bedrooms and one bathroom is an example of
Functional obsolescence
When cap rates go up ……….goes down
Value
Economic depreciation is always
Incurable
Square footage of residential property is based on
Exterior measurements
Security deposits may not exceed
One and one half months rent
A landlord must give the tenant how much notice before entering the unit
48 hrs
A broker must keep a copy of all rental contracts for not less than
1yr
When subdividing lots, the legal description used is
Lot and block
Before a public report is issued, a developer may only take
Lot reservations
If a subdivision is sold with no ingress or egress, the sale would be
Voidable by the buyer
A public report is required when you sell more than
5 lots
A broker must keep a copy of the public report for
5 yrs
If a buyer buys unimproved subdivided property sight unseen, they have ………to rescind the sale
6 months
A licensee must notify the real estate department within ……… of a conviction of a felony or misdemeanor
10 days
What is similar to medical malpractice insurance
Errors and omissions insurance
A broker is required to keep rejected offers for at least
1 yr
This is required when 5 or fewer parcels other than subdivided land are located in an unincorporated area of a county
Land disclosure affidavit
When you use borrowed money to buy real estate this is called
Leverage
A conveys to B for the life of B, and upon Bs death it goes to As daughter. This is referred to as
Estate in reversion
A mortgage is a
Voluntary lien
What clause in a loan would cause the entire loan balance due if the borrower does not make a timely payment
Acceleration clause
When the lender charges a fee for paying off a loan before it’s time, it is called
Pre-payment penalty
