Vocabulary Unit 1

Question 1

Broker

Answer 1

is defined as a person or company licensed to buy, sell, exchange, or lease real property for others and to charge a fee for these services

Question 2

salesperson

Answer 2

is employed by or associated with the broker to perform brokerage activities on behalf of or for the broker, and may also be referred to as a sales associate or associate licensee.

Question 3

Real Estate Licensee

Answer 3

is a person who has satisfied the requirements of a licensing agency, as authorized by state legislation.

Question 4

Appraisal

Answer 4

is the process of developing an opinion of a property’s market value, based on established methods and the appraiser’s professional judgment.

Question 5

property manager

Answer 5

is a person or company hired to maintain and manage property on behalf of the property owner.

Question 6

Financing

Answer 6

s the business of providing the funds that make real estate transactions possible.

Question 7

Subdivision

Answer 7

is the dividing of a single property into smaller parcels

Question 8

Development

Answer 8

involves the construction of improvements that benefit the land.

Question 9

Home inspection

Answer 9

is a profession that combines a practitioner’s interest in real estate with skills and training in the construction trades.

Question 10

Counseling

Answer 10

involves providing clients with competent independent advice based on sound professional judgment.

Question 11

The largest is the National Association of

Answer 11

REALTORS® (NAR)

Question 12

NAR

Answer 12

⬛️is composed of state, regional, and local associations.

⬛️NAR also sponsors various affiliated organizations that offer professional designations to brokers, salespersons, appraisers, and others who complete required courses in areas of special interest. Members of NAR are entitled to be known as REALTORS® or REALTOR-ASSOCIATES®.

Question 13

NAR Affiliates
NAR has many affiliated institutes, societies, and councils that are available to members who wish to increase their knowledge of a specialized area of real estate practice and earn the accompanying designation. These include the following:

Answer 13

Counselors of Real Estate (CRE) www.cre.org
Commercial Investment Real Estate Institute (CIREI) www.ccim.com
Institute of Real Estate Management (IREM) www.irem.org
REALTORS® Land Institute (RLI) www.rliland.com
Certified Real Estate Brokerage Manager (CRB) www.crb.com
Certified Residential Specialist (CRS) www.crs.com
Graduate, REALTOR® Institute (GRI) www.realtor.org
Council of Residential Specialists (CRS) www.crs.com
Society of Industrial and Office REALTORS® (SIOR) www.sior.com
Women’s Council of REALTORS® (WCR) www.wcr.org

Question 14

Professional Ethics

Answer 14

They establish standards for integrity and competence in dealing with consumers of an industry’s services.
They define a code of conduct for relations within the industry among its professionals.

Question 15

Code of Ethics’s

Answer 15

is a written system of standards for ethical conduct.

Question 16

home

Answer 16

home is an investment that can appreciate in value, especially over many years of ownership.

Question 17

cooperative

Answer 17

also has units that share common walls and facilities within a larger building.

Question 18

single-family detached house

Answer 18

has been one of the most popular housing types, although it has been adapted in urban areas to take the form of the row house that may share a wall with an adjoining property. Often, multistory residences in cities like New York and Chicago have one or more separate living units on each floor, offering the possibility of an owner-occupied building that also provides rental income.

Question 19

The apartment building

Answer 19

was the response to housing demand in crowded urban areas. Modern highrise structures can offer residents many amenities. In the suburbs, multifamily housing has taken advantage of greater availability of large tracts of affordable land. An apartment complex is made up of a group of apartment buildings with a varying number of units in each building. The buildings may be lowrise or highrise, and the complex may include parking, security, clubhouse, swimming pool, tennis court, and even a golf course.

Question 20

The condominium is

Answer 20

a popular form of residential ownership, offering the security of owning property without the care and maintenance responsibilities a house demands.

Question 21

Planned unit developments(PUD)

Answer 21

sometimes called master-planned communities, might consist entirely of residences, but they can also serve to merge such diverse land uses as housing, recreation, and commercial units into one self-contained development.

Question 22

Highrise developments

Answer 22

sometimes called mixed-use developments (MUDs), combine office space, stores, theaters, and apartment units into a single vertical community.

Question 23

Factory-built housing

Answer 23

was once the often-derided mobile home, the most temporary of residences.

Question 24

market

Answer 24

is a place where goods can be bought and sold.

Question 25

supply

Answer 25

the quantity of goods or services that can be sold at a given price.

Question 26

Demand

Answer 26

refers to the quantity of goods or services that consumers are willing and able to buy at a given price