Unit 1 - part 1 Flashcards
What is brokerage?
Brokerage is the business of bringing people together in a real estate transaction.
How is broker defined?
Broker is defined as a person or company licensed to buy, sell, exchange, or lease real property for others and to charge a fee for those services.
Licensed RE salesperson?
Licensed RE salesperson is employed by or associated with the broker to perform brokerage activities on behalf of or for the broker. (may be referred to as sales associate or associate licensee.)
RE licensee?
RE licensee is a person who has satisfied the requirements of a licensing agency, as authorized by state legislation. (the requirements includes course hours… and passing a state-mandated RE exam.)
Appraisal?
Appraisal is the process of developing an opinion of property’s market value, based on established methods and appraiser’s professional judgement.
Property management?
A property manager is a person or company hired to maintain and manage property on behalf of the property owner.
What is financing?
Financing is the business of providing the funds that make RE transactions possible. Most transactions are financed by a loan that is secured by a mortgage or deed of trust (DOT) (in CO) on the property purchased.
For who financing persons work for?
Individuals involved in financing RE may work in
- Commercial banks
- Thrifts (savings association)
- Credit unions
- Mortgage brokers (individuals)
- Mortgage bankers (work for banks).
What is subdivision?
Subdivision is the dividing of a single property into smaller parcels. - book
a portion of land divided into lots for real-estate development. - dictionary
A tract of land which has been divided into smaller pieces (called lots) - internet
A subdivision is a parcel of land divided from a larger area. Its purpose is to split a large tract of land into smaller ones that are easier to develop and can be developed independently of one another to increase growth and maximize the use of space. - internet
What is development?
Development involves the construction of improvement that benefit the land. It can be on-site and off-site.
Off-site are made on public lands to serve the new development (such as water lines, storm sewers….)
On-site improvements are made on individual parcels (such as new homes, swimming pools…)
What is home inspection?
Home inspector conducts a thorough visual survey of property’s structure, systems, and site conditions. The property is examined from chimney to the basement, being alert to deterioration, water intrusion, mechanical, or other observable problems.
