Voc Flashcards
Seisin
Possession of land by freehold ; ownership of land
Acknowledgment clause
Formal declaration made before a notary by signing document
Grantor
Seller
Grantee
Buyer
Consideration
Seller has received some form of payment- usually money.
As a gift- love and affection would be consideration
Granting clause
Words of conveyance; convey and warrant, states sellers intentions
Habendum
To have and to hold and specify owner’s rights. As in time share or life estate… duration of natural life
Exceptions and reservations
Notes encumbrances, reservations, limitations or easements, restrictions….
Zoning, population density ,
Covenant of quiet enjoyment
Can take possession and will not interfere with use of property
Equitable title
After seller and buyer have signed contract, buyer has equitable title before acceptance of deed
Unenforceable contract
A contract w all elements of valid contract yet neither party can sue for preformance. Unsigned contract
Escrow agreement
Closing transaction through 3 rd party; escrow holder sets rights and responsibilities
Implied contract or agreement
A contract under which the agreement of parties is demonstrated by actions and conduct
Executors
During the period after contract is signed but before the title passes. Working toward execution
Oral contract
Is unenforceable
Unilateral contract
One sided contract where one party makes a promise as to induce a second party to do something. 2nd party is not bound to preform. However, I’d 2nd party complies, the 1st is obligated to keep promise
Voidable contract
Contract that seems valid on the surface but may be rejected by one or booth parties
Specific preformance
Legal action to compel a party to carry out terms of the contract. Buyers wants the seller to convey property as contract states
Land sell contract
Installment contract; deed is given to buyer when all payments are completed
Ground lease
Lease of land only; tenet usually owns building
Gross lease
Landlord pays all property charges normally associated with ownership. Repairs, taxes, insurance, operating expenses…. Residential leases are gross lease usually
Percentage lease
Commercial lease based on gross sales ; usually a base plus percentage of gross
Net lease
Lease w rent and maintenance… ie taxes insurance, utilities and repairs
Sherman Anti Trust
Bans Price fixing, or fixed fees or prices w other firms
Fees and commissions are always negotiable
Licensees may not discuss commissions outside the firm.
Each brokerage sets own rates.
Commission
No set commission. Broker can set fees.
Negotiation between listing broker and seller
Market will determine the commission price.
Sherman Antibtrust prohibition
Can’t Collude to boycott certain business
Establish rates paid to associates
Assign specific territory or price ranges
BPO
Broker Price Opinion
CMA
Competitive Market Analysis
CRSP
Circle formula for commission. Commission, rate, selling price
TAR
Circle formula for assessed value.
T tax
A assessed value
R rate
Teneancy at Will
No lease, willing to allow lease without a specific end date. Can be terminated at Will or death
FRESH CORN
Familial status Race Sex Handicap Color Religion National origin
Exclusive agency
Allows the seller to sell property himself w/o paying the brokerage any commission
In an open listing, where any brokerage can sell the property and get paid, the broker must be the _______ of the sale in order to receive a commission
Procuring cause
The buyer defaulted on a purchase contract, and the sellers only remedy is to keep the Ernest money. Seller’s remedy is know as___
Liquidated damages.
Lease contract that specifies an end date fir tenancy and does NOT require advanced notice of termination
Estate for years, a definite termination date defines an estate fir years
Attached to the land and automatically convey w property with deed without being listed
Fixtures are appurtenances
Must be listed on a bill of sale in order to be included in sale
Personal property
The government’s right to take private land for public uses.
Eminent Domain
The PROCESS by which government takes private land for public use
Condemnation
Mortgage title insurance
Lenders policy or loan policy. Requires Borrower purchases policy
Fiduciary relationship created by express written agency agreement between a person and a brokerage authorizing brokerage to work as agent for real estate services
Agency relationship
The brokerage authorized by express written consent to act as fiduciary; also associate broker authorized to act on behalf of qualifying brokerage
Agent
Associate broker
Engaged under qualifying broker . List, sells, managing property, leases, rents, advertises as being engaged in real estate, charges a fee
Brokerage
Licensed qualifying broker and real estate business and its affiliated licensees
Contractual relationship between a person and brokerage
Brokerage relationship
Client
Person who enter into express written agreement for real estate services subject to ann commission
Customer
Person who uses RE services w/o express written agreement w brokerage
Transaction broker
Qualifying broker, associate broker, or brokerage provides RE services w/o agency relationship
NM Real estate commission
5 members, residents of NM for 3 consecutive years, appointed by the governor.
4 associate brokers or qualifying brokers, 1 member of public whose never been a RE agent. One per county, 5 yr appt, Gov May remove for cause.
NM continuing Ed
30 hours every 3 yrs
Specialities as per NM RE commission
Exempted prior to July 1 2011
LTV
Loan to Value … find sale price or appraised value, whichever is less
Point
1% of loan value… after down payment
Defeasance Clause
In financing document , lender is required to release or satisfaction of mortgage when note is paid in full.
Deed of reconveyance
Release of deed when real estate loan secured by deed of trust has been completely repaid
