Havingenoughcashavailabletopay5. 7. Became private 1968, Federal Home Loan Mortgage Corporation (FHLMC) in 1970 for the purpose of purchasing mortgages in the secondary market, Government National Mortgage Association (GNMA), or Ginnie Mae, Was established in the United States in 1968 to promote home ownership wholly owned government association that operates the mortgage-backed securities program designed to facilitate the flow of capital. seller is willing to take part or all of equity in the form of a note. & \text{\$876.34} & \text{\$800.00} & \text{\$1,009.56} & \text{\$30.00} & \text{\$29.67} & \text{ } & \text{\$18.00}\\ \hline Investing activities} & \text{$\quad$debts when they are due}\\ The reduction in value of property from causes such as deterioration or obsolescence. Get your Real Estate License Education on a Mobile Web App. CERCLA-passed in 1980.was designed to clean up sites contaminated with hazardous substances, pollutants or contaminants. Whether you need Qualifying Education (QE) to start your career, Sales Agent Apprentice Education (SAE) to build your . person, corporation or firm, not in banking, that provides its own funds for mortgage financing. The grantor promises to warrant and defend title, but only against claims which may have arisen during his or her period of ownership. The document that pledges the property as security for repayment of the note, is recorded in the county in which the property is located. purchase price is affected by the expectation of of future appeal and benefits. Suggests that value is maximized when there is reasonable degree of homogeneity, or sameness, in a neighborhood, Uniform Standards of Professional Appraisal Practice, Standards that have been established by the Appraisal Standards Board of the Appraisal Foundation, The value of a subject property is increased by the value of surrounding properties, URAR (Uniform Residential Appraisal Report), The most probable price a property should bring in a competitive and open market under all conditions requisite to a fair sale, If a type of property in a market area is too abundant, it has reduced value. 4 Things Value of a Property can be affected by, social, economic, governmental, and environmental influences, Sales comparison approach, the cost approach, and income approach. & \text{$\quad$productive and will help a business}\\ minimum 100 investors. & \text{g. An information system that measures,}\\ & \text{$\quad$achieve its objectives}\\ (2) The Cost Approach, addition or amendment to an existing will. prohibits redlining. & \text{$\quad$economic entity}\\ a type of appraisal review. Grantor implies ownership or the right to transfer title but does not provide a warranty of title, deed with no guarantees, warranties or covenants. flexible and short u shaped duct that connects a room to a common space as pressure balancing mechanism. (any charge or fee- not transfer), state and local fees on mortgage and home sales based on the loan amount or sales price of property, loans interest rate increases after consummation, added to index to determine interest rate, 1. Once the loan is closed it is sold to another lender. in depth process. DUST; demand, utility, scarcity, transferability. and no unpaid claims against the property. Let and take agreement an appraiser's opinion of value, used to determine market value property to secure the loan, Percentage of value or sales price that a lender is willing to finance, an appraisal that simply reviews a checklist of items as they analyze the appraisal report for completeness and acceptable conclusions. A code of conduct that addresses}\\ stockholder owned corporation, chartered by congress to increase the supply of funds that mortgage lenders can make available to homeowners and multifamily investors. Certified Residential Appraiser gradual loss of land near border of stream or river. Ethics10. The value of a property may be affected by social, economic, governmental and environmental influences. Theprocessofproducingaccounting2. the consummation of a real estate transaction in which all documents are signed and the proceeds of the mortgage loan are distributed. quiz 14.docx. CFPB implemented. respa applicable. \text{Employee Salaries and Wages}&\$50,000&\$1,100&\$88,000\\ Demand falls by more than supply rises. ___________ 5. ___________ 14. responsible for: Our focus has always been on providing you with an excellent education experience regardless of what stage of your Real Estate career you are in. Adequate consideration borrowers provide basic information like income, debt, and credit history. I'd like more of the education to be centered around how to set up you Real Estate business after you get your license. combination of two or more properties into one. Principles of real estate II (Champions) 5.0 (7 reviews) Term 1 / 127 Functional obsolescence Click the card to flip Definition 1 / 127 Refers to the loss in desirability of the style, layout or function of an element of a property over time Click the card to flip Flashcards Learn Test Match Created by Margaretcoltman Terms in this set (127) financing in which a borrower receives funds secured by the value of a parcel of real estate, Method of financing which preserves the low, existing interest rate on the original note. Loss of value of a building from its reproduction cost, resulting from wear and tear over time. The absence of competition will cause prices to increase in the marketplace. Managerialaccounting9. Investingactivities6. The presence of lower-priced properties in the area will cause a decline in the value of the subject property. The term Residential Mortgage Loan Originator is mandated by the ______ Act, Secure and Fair Enforcement for Mortgage Licensing Act (SAFE Act). Gross Rent Multiplier. insures most protection, any changes to the ownership of real property. Independent third-party appraiser will review the report, then verify the information. 3. number of payments or period of repayment Theintentionalpreparationofmisleadingfinancialstatementsi. We feel that we provide an unparalleled Real Estate education in Texas and our students agree! Calculate the new balance. The battery life drops to 7 hours when the phone is primarily used for Internet applications over cellular. \text{5. title to land in the United States can be traced back to its original owner, (Police Power,Eminent Domain,Taxation, Escheat), Changing the zoning of a property to a lower value, The amount of space required between the lot line and the building line, Interstate Land Sales Full Disclosure Act. final step in the appraisal process, in which the appraiser weights the estimates of value from sales comps, cost and income approaches to arrive at a final estimate of market value of the subject property. Another Name for environmental or economic obsolescence. Champions School of Real Estate-Principles of, Texas Real Estate Exam Prep Class - Champion, Principles of Real Estate 2 Champions MATH SE, John David Jackson, Patricia Meglich, Robert Mathis, Sean Valentine, Fundamentals of Engineering Economic Analysis, David Besanko, Mark Shanley, Scott Schaefer, The Cultural Landscape: An Introduction to Human Geography, AP Edition, Anderson's Business Law and the Legal Environment, Comprehensive Volume, David Twomey, Marianne Jennings, Stephanie Greene. Minimum withdrawal in Texas on HELOC (Home Equity Line of Credit). loss in a property's value due to daily wear and tear. Show the possibility density function for battery life for the Droid Razr Maxx phone when its primary use is talk time. indication of a right to be on property,such as proof that the claimant has paid the ad valorem taxes, or an old deed, etc, an addition or an amendment to an existing will. (Zoning example). cannot exceed 36% of the borrowers income, conventional loans that conform to fannie mae and freddie mac standards for purchase. Developers are required to provide each purchaser with a disclosure document (Property Report). Assets that are easily converted to cash. Collateral Dependent Loans (hard money loan), borrower receives funds secured by the value of a parcel of real-estate. tells NY desk to sell securities collecting payments from banks by reducing their reserve amounts. commercial property is depreciated over how many years? \end{array} a type of appraisal review. AMWilson001 Champions Principles of Real Estate 2 Terms in this set (91) appraisal value of a property maybe affected by social, economic, govt and environmental influences Loan-to-Value Ratio (LTV) The percentage of value or sales price that a lender is willing to finance. A letter from a title insurance company in which it commits to issuing a title insurance policy on the insured subject to certain conditions and requirements. charge for paying all or part of principal before due, paid to loan originator for originating and extending credit, items provided by persons other than the mortgage originator or creditor that you cannot shop for and will pay for at settlement (fees), provided by persons other than creditor, services you can shop for, paid at settlement, sum of sub totals of origination charges, services you can and cant shop for, land and title documents assessed by govt authority. ___________ 8. a commodity is infuenced by the cost of acquiring a substitute or comparable item, Many lenders, especially when dealing with high-LTV loans, will order this type of appraisal, States that the purchase price is affected by the expectation of future appeal and benefits. Activitiesofmanagementengagedtooperatethebusinessj. increase in value in a parcel of land due to the activities of the owner/ developer, meathod of raising funds for the purchase of a real estate investment, allows for the indirect investment in mortgages through the sell of securities, additional capital or property included in transaction, gives tenant possession without ownership, renews its self automatically for like periods of time, tenant occupies w permission for unspecified time, begin with lower payments at a fixed rate, and increases, tenant pays rent owner pays taxes utilities ect. The exchange of goods or services for other goods or services without the use of money. Managerialaccountingandcontinuingtooperateabusiness9. How do I get a Texas Real Estate License? 8. Items that affect the marketability or livability of the property when demand is high and supply is short, prices go up - and vice versa, presence of lower-priced properties in the area will cause a decline in the value of the subject property, presence of higher-priced properties in the area will cause an increase in the value of the subject property. It also offers continuing education courses for. Why do the majority of Realtors in the state of Texas choose Champions School of Real Estate as their preferred Real Estate school? |---|---| Reconciliation of values Economic obsolescence The market wherein loan originators, such as mortgage bankers and brokers, can sell their loans and thus, recover cash for originating more loans. Passed by Congress in 1980. limits interest rate over the lifetime of a loan. homeowners who are at least 62 years of age can borrow against the equity in their property. Suggests that the value of a property is equal to the sum of the contributory value of each of its component parts. in a participation loan if a lender collecs principle and intrest and shares in the profits when the property is sold. \text{Other Expenses}&\$36,000&&\$34,500\\ Champions School of Real Estate offers salesperson and broker pre-licensing courses and exam prep for salespeople and brokers in Texas. Designed to enhance consumer protection and reduce fraud by encouraging states to establish minimum standards for the licensing and registration of state licensed mortgage loan originators, and by establishing a nationwide mortgage licensing system and registry for the residential mortgage industry. 16 pages. something of value given in exchange for a conveyance. oral/ deathbed will. transfer of title that is a free act of the grantor. when an individual acquires title from the rightful owner through hostile, actual and continuous occupation of the land for the statutory period. Activities of management engaged to}\\ the interest rate a Reserve Bank charges eligible financial institutions to borrow funds on a short-term basis. The role money serves when it is used as a standard measure to set prices and make economic calculations. Operatingactivitiesc. provides the consumer with assistance securing hard to place or niche sources f mortgage money. The loss in desirability of the style, layout, or function of an element of a property over time. age of structure based off observed physical condition determined by the degree of maintenance and repair, uniform standards of appraisal practice- established by appraisal foundation. ___________ 3. funds the secondary market. Operating activities} & \text{c. Activities of management engaged to}\\ If the house is 20 years old, The appraiser's estimate of the age of the house based upon its ongoing maintenance and upgrades. Operatingactivities7. Identify what will happen to the equilibrium price and equilibrium quantity in each of the following: a. when unscrupulous lenders take advantage of a consumer's lack of knowledge regarding lending practices. (1) The Sales Comparison Approach Theabilitytoearnenoughincometoattractandholdinvestmentcapitalg. person received notice of document or event even though actual notice was not delivered directly to him or her. for tax purposes- determined by tax authority- not reliable estimate of market value, sales comparison approach "market data approach", compares subject property charectoristcs with those of comparable properties which have recently sold. Aninformationsystemthatmeasures,processes,andcommunicatesfinancialinformationaboutanidentifiableeconomicentityh. the loan origination market where borrowers and lenders negotiate mortgage terms. a type of seller financing where in the owner retains title to the property while the purchaser takes possession of the premises and pays the principal. Additional support documents, 1. Activitiesofmanagementengagedtooperatethebusinessj. a. Adger Corporation is a service company that measures its output based on the number of customers served. \text{3. Determined by the taxing authority and appraised value, AKA Market Data Approach, focuses on recent sales in the determining value, Comparison of properties to determine value, Market value of property consider how much a new structure of the size and type would currently cost to build, Reduction in value of property from causes such as deterioration or obsolescence. Terms of each contract are as follows: As his adviser, which contract would you recommend that he accept? Has only one loan repayment plan, oFFering 30-year fixed rate mortgages only, The right of the government to regulate and control the way that an individual uses his or her land. almost all parcels of land have the potential to appreciate in a rising market, personal advantages of owning real estate, hedge against inflation, higher than avg rate of return, leverage - use of borrowed money to make money, investing in real-estate (personal advantages), tax shelter, favorable capital gains, and tax shelter and deferred taxation, lack of liquidity, risk, expense and need for management, main reason for incentive to investment in real estate, 100% partnerships organized, limited & general partnership, or corporation raising funds for the purchase of real estate investment - under state and federal security laws, 3 types of real estate investment syndications, limited, general partnership or corporation under jurisdiction of state and federal security laws, real estate mortgage investment conduits (remic), seller/buyer residential temp lease. promotes energy efficient products and buildings. Champions School of Real Estate is proud to be one of the most respected Real Estate schools in Texas! Percentage of the Lesser of the appraised value or sales price that the lender will lend. Escheat, right of government to regulate and control land. Photographs of property A rookie quarterback is negotiating his first NFL contract. Assume that the number of tweets per hour follows a Poisson distribution and that Bob receives on average 7 tweets during his lunch hour. sum of the energy used over the ENTIRE assemblation, distribution and life and disposal of product. 4. Exam-Federal 1-A2. The U.S. real estate investment trust; created by Congress in 1960, real estate mortgage investment conduits. The loan becomes due upon the sale of the property or the death of the owner. Cost approach Analysis housing assistance program; Texas Veterans Land Board, the right of a government to regulate and control the way that an individual uses his or her land, the government's right to tax real estate, the right of a government to take an individual's land if he or she dies without a will or heirs, the action of government seizure of land for the good of the public, the right of the government to take private land for public use, the sum of energy used during the life cycle of a product.