Unit 1 Key Terms

Question 1

land

Answer 1

• the earth’s surface
• extends downward to the center of the earth with subsurface rights, and
• stretches upward to infinity with air rights

Question 2

real estate includes:

Answer 2

• land at, above, and below the earth’s surface

- all things permanently attached to the land both natural and man-made

Question 3

real property includes:

Answer 3

• interests,
• benefits, and
• rights that are atomically included in the ownership of land and real estate.

Question 4

The characteristics of real estate are:

Answer 4

Physical
- Immobility
- Indestructibility
- Uniqueness 
Economic
- Scarcity
- Location
- Improvements
- Permanence of Investment

Question 5

real estate brokerage

Answer 5

the business of bringing people together in real estate transaction conducted by:

• a broker
• a provisional broker

Question 6

appraisal:

Answer 6

the process of estimating a property’s value

Question 7

property management:

Answer 7

conducted by a property manager, person or company hired to maintain and manage on behalf