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Real Estate Fundamentals Flashcards
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1
Question
What is an abstract of title in real estate?
Page 1
Answer
An abbreviated history of a property, including transfers, grants, wills, conveyances, liens, and encumbrances
2
Question
What information is included in an abstract of title?
Page 1
Answer
Transfers, grants, wills, conveyances, liens, and encumbrances
3
Question
What triggers an acceleration clause in a mortgage?
Page 1
Answer
Default by the borrower
4
Question
What does an acceleration clause make due immediately?
Page 1
Answer
The entire loan amount
5
Question
What is accession in property rights?
Page 1
Answer
The right to all that one's own property produces, including additions by natural or human action
6
Question
How does accretion increase land area?
Page 1
Answer
Through gradual deposits of soil by natural forces
7
Question
What land measurement equals 43,560 square feet?
Page 1
Answer
An acre
8
Question
What is actual eviction?
Page 1
Answer
The legal process expelling someone from a property and preventing re-entry
9
Question
How are ad valorem taxes calculated?
Page 1
Answer
According to the assessed value of real estate
10
Question
What feature defines an adjustable-rate mortgage (ARM)?
Page 1
Answer
Interest rate that adjusts based on fluctuations in the cost of money
11
Question
How does adverse possession transfer title?
Page 1
Answer
Involuntarily from an unused owner to someone who possesses and claims the land for years
12
Question
What is an affiliate broker?
Page 1
Answer
A licensee operating under the sponsorship, authority, and guidance of their principal broker
13
Question
What authority does a real estate agent have?
Page 1
Answer
To act on behalf of another, requiring a state license
14
Question
What is alienation in real property?
Page 1
Answer
The transfer of ownership (title), which may be voluntary or involuntary
15
Question
What does an alienation clause (due on sale) trigger?
Page 1
Answer
Lender's right to demand full loan payment upon property sale or conveyance
16
Question
What does the Americans with Disabilities Act (ADA) prohibit?
Page 1
Answer
Discrimination against people with disabilities and sets accessibility standards
17
Question
What is amortization in a mortgage?
Page 2
Answer
Paying off debt in regular installments based on a fixed schedule
18
Question
What does annual percentage rate (APR) represent?
Page 2
Answer
The yearly cost of borrowing, including interest
19
Question
What do antitrust laws prevent in real estate?
Page 2
Answer
Unfair practices like price fixing, collusion, and monopolies
20
Question
What is an appraisal?
Page 2
Answer
An official valuation of a property by a licensed appraiser
21
Question
Who performs an appraisal?
Page 2
Answer
A trained and licensed appraiser
22
Question
What causes appreciation in property value?
Page 2
Answer
Increase in the property's market value over time
23
Question
What does payment in arrears mean?
Page 2
Answer
Payment at the end of a period for charges accrued during that time
24
Question
What health risks does asbestos pose?
Page 2
Answer
Severe respiratory issues if airborne or inhaled
25
Question
What is assemblage in real estate?
Page 2
Answer
Combining contiguous pieces of property into one tract, often increasing value
26
Question
What is assessed value used for?
Page 2
Answer
Calculating property taxes by a governmental unit
27
Question
What is assessment in taxation?
Page 2
Answer
Determining property value for tax purposes
28
Question
What does assignment transfer in a contract?
Page 2
Answer
Rights and obligations from one party to another
29
Question
What happens in an assumption of a mortgage?
Page 2
Answer
Transferring the mortgagor's obligation to another party who pays the note
30
Question
What are attachments in real property?
Page 2
Answer
Physical objects permanently attached to land, natural or human-made