1. Chapter 1Introduction to the Real Estate Business The real estate business is more than just houses. As this chapter says, “Real estate is big business,” and includes commercial properties, condominiums, and open land in addition to single-family homes.

3. Describe the five categories of real property

4. Explain the operation of supply and demand in the real estate market

5. Distinguish the economic, political and social factors that influence supply and demandModern Real Estate Practice17th Edition

6. National Association of REALTORS®Preamble to Code of Ethics Under all is the land. Upon its wise utilization and widely allocated ownership depends on the survival and growth of free institutions and our civilization

7. Vocabulary

8. Importance to economy 38% of GDP 1 ½ million real estate agents Hundreds of specialties – 10s of millions of people Appraising to zoning specialist Multiplier Effect Each dollar turns over Appraiser buys goods and services from their fees Those providers buy other things

9. Brokerage Multiplier Effect Brokerage Broker Agents Office Staff Landlord Government taxes Community

11. Appraisal

12. Property management

13. Financing

14. Subdivision and development

15. Home inspection

16. Counseling

17. EducationModern Real Estate Practice17th Edition

18. Broker Person or company who assists with a BARN SALE Buy Advertise Rent Negotiate Sell Aid Lease Exchange

20. Commercial

21. Agricultural

22. Industrial

23. Special PurposeModern Real Estate Practice17th Edition

25. Factors Affecting Supply

26. Factors Affecting DemandModern Real Estate Practice17th Edition

27. Chapter 2Real Property and the Law Many types of property define real estate’s “product.” Land is one of the fundamental concepts of real estate, as well as “improvements” in the form of houses and outbuildings. The fence suggests the limits of ownership.

29. Describe the difference between real and personal property, and the various types of personalty

30. Explain the types of laws that affect real estate

31. Distinguish among the concepts of land, real estate and real propertyModern Real Estate Practice17th Edition

33. Real Estate - Land at, above and below the earth’s surface, plus all things permanently attached to it, whether natural or artificial

34. Real Property-The interests, benefits and rights that are automatically included in the ownership of land and real estateModern Real Estate Practice17th Edition

35. 2Real Property and the Law Modern Real Estate Practice17th Edition

36. 2Real Property and the Law Bundle of Legal Rights Modern Real Estate Practice17th Edition

38. Subsurface Rights

39. Air Rights

40. Water RightsModern Real Estate Practice17th Edition

42. Plants

43. Fixtures

44. Intent

45. Method of annexation

46. Adaptation to real estate

47. Agreement

48. Trade FixturesModern Real Estate Practice17th Edition

50. Scarcity

51. Improvements

52. Permanence of investment

53. Location

54. Physical Characteristics

55. Immobility

56. Indestructibility

57. UniquenessModern Real Estate Practice17th Edition

59. General property law

60. Agency law

61. Real estate license law

62. Federal regulations

63. Federal, state and local tax laws

64. Zoning and land use laws

65. Federal, state and local environmental regulationsModern Real Estate Practice17th Edition

66. Chapter 3Concepts of Home Ownership A variety of housing types are available under the general heading of “home ownership”: single family, small multifamily residences, and high-rise condos.

68. Describethe issues involved in making a home ownership decision

69. Explain the tax benefits of home ownership and the provisions of recent changes to the Tax Code

70. Distinguish the various types of homeowner’s insurance policy coverageModern Real Estate Practice17th Edition

72. Condominium

73. Cooperative

74. Planned Unit Development (PUD)

75. Retirement CommunityModern Real Estate Practice17th Edition

77. Converted-use Property

78. Manufactured Housing

79. Modular Homes

80. Time-shareModern Real Estate Practice17th Edition

82. Ownership Expenses and Ability to Pay

83. Investment Considerations

84. Tax BenefitsModern Real Estate Practice17th Edition

86. Basic vs. Broad-form Policies

87. Liability

88. Coinsurance Clause

89. National Flood Insurance ProgramModern Real Estate Practice17th Edition

90. Chapter 4Agency Real estate is an industry about property, but it’s also an industry about people. The concept of agency is entirely about people, and relationships between and among them.

92. Describe the fiduciary duties involved in an agency relationship

93. Explain the process by which agency is created and terminated and the role of disclosure in agency relationships

94. Distinguish the duties owed by an agent to his or her client from those owed to customersModern Real Estate Practice17th Edition

95. 4Agency Modern Real Estate Practice17th Edition

96. 4Agency Modern Real Estate Practice17th Edition

98. Definitions:

99. Agent

100. Subagent

101. Principal

102. Agency

103. Fiduciary

104. Client

105. Customer

106. NonagentModern Real Estate Practice17th Edition

108. Obedience

109. Loyalty

110. Disclosure

111. Accounting

112. ConfidentialityModern Real Estate Practice17th Edition

115. Death or incapacity

116. Destruction or condemnation of the property

117. Expiration

118. Mutual agreement

119. Breach

120. Operation of lawModern Real Estate Practice17th Edition

121. 4Agency Limitations on Authority Modern Real Estate Practice17th Edition

123. Subagency

124. Seller Representation

125. Buyer Representation

127. Disclosed Dual Agency

128. Designated Agency

129. Undisclosed Dual Agency

130. Disclosure Laws

131. Nonagency

133. Honest and fair dealing

134. Disclosure of all facts the licensee knows (or should be expected to know) that materially affect the value or desirability of the property

137. Chapter 5Real Estate Brokerage A real estate brokerage is more than a room full of desks. It’s a hive of activity, dependent on people, information, and technology to keep the business running.

139. Describe the various types of antitrust violations common in the real estate industry, and the penalties involved with each

140. Explain how a broker’s compensation is usually determined

141. Distinguish employees from independent contractors and explain why the distinction is importantModern Real Estate Practice17th Edition

142. 5Real Estate Brokerage Brokerage The business of bringing parties together. Real Estate Broker A person licensed to buy, sell, exchange or lease real property for others and to charge a fee for these services. Modern Real Estate Practice17th Edition

144. Employee – broker may require employee to follow rules for hours, attendance, etc.

145. Independent Contractor – broker cannot require specific office hours, attendance, etc.Modern Real Estate Practice17th Edition

147. Internet, Web Sites, E-mail

148. Cell Phones, Digital Cameras, PDAs

149. Internet Advertising

150. Security

151. Electronic ContractingModern Real Estate Practice17th Edition

153. Commission is usually earned when

154. a completed sales contract has been executed by a ready, willing and able buyer

155. the contract is accepted and executed by the seller

156. copies of the contract are in the possession of all partiesModern Real Estate Practice17th Edition

158. broker started a chain of events that resulted in a sale

159. Ready, willing and able buyer

160. one who is prepared to buy on the seller’s terms and ready to take positive steps toward consummation of the transactionModern Real Estate Practice17th Edition

162. Share of commission

163. 100% Commission Plan

164. Graduated Commission SplitModern Real Estate Practice17th Edition

165. 5Real Estate Brokerage Modern Real Estate Practice17th Edition

167. Group boycotting

168. Allocation of customers or markets

169. Tie-in agreements

170. PenaltiesModern Real Estate Practice17th Edition

172. Minimum Level of Service

173. Do-Not-Call RegistryModern Real Estate Practice17th Edition

174. Chapter 6Listing Agreements and Buyer Representation Whether representing sellers or buyers, the role of the real estate professional is one of building relationships. The property for sale is the “product” but the focus of the agent’s business is relationships with the parties.

176. Describe the ways in which a listing may be terminated

177. Explain the listing process and the parts of the listing agreement

178. Distinguish among the characteristics of the various types of listing and buyer representation agreementsModern Real Estate Practice17th Edition

180. Exclusive-agency listing

181. Open listing

182. Multiple-listing (MLS)

183. Net listing

185. expiration of listing period

186. property isdestroyed or use is changed

187. title istransferred by law

188. mutual agreement of the parties

189. death or incapacity of either party

190. breachModern Real Estate Practice17th Edition

192. Basic information required

195. Broker’s authority and responsibilities

196. Names of all parties

197. Brokerage firm

198. Listing price

199. Real and personal property

201. Proposed closing and possession dates

202. Closing details

203. Evidence of ownership

204. Encumbrances

205. Home warranty program

207. Broker protection clause

208. Owner warranties

209. Indemnification

210. Equal opportunity

211. Antitrust

213. Exclusive-agency buyer agency agreement

216. Describe the various estates in land, and the rights and limitations they convey

217. Explain concepts related to encumbrances and water rights

218. Distinguish the various types of government powers, and how they are exercisedModern Real Estate Practice17th Edition

220. Eminent Domain

221. Taxation

222. EscheatModern Real Estate Practice17th Edition

224. Estate from period to period

225. Estates at will

226. Estates at sufferanceModern Real Estate Practice17th Edition

228. Fee simple defeasible

229. Fee simple determinable

230. Conventional life estate

231. Pur autre vie

232. Remainder and reversion

233. Legal life estate

234. Dower and curtesy

235. HomesteadModern Real Estate Practice17th Edition

236. 7Interests in Real Estate Modern Real Estate Practice17th Edition

237. 7Interests in Real Estate Modern Real Estate Practice17th Edition

238. 7Interests in Real Estate Modern Real Estate Practice17th Edition

240. Deed restrictions

241. Easements

242. Appurtenant

243. In gross

244. Party wall

245. By Necessity, Prescription or Condemnation

246. Licenses

247. EncroachmentsModern Real Estate Practice17th Edition

248. 7Interests in Real Estate Modern Real Estate Practice17th Edition

249. 7Interests in Real Estate Modern Real Estate Practice17th Edition

251. Littoral rights

252. Accretion, Erosion and Avulsion

253. Doctrine of Prior AppropriationModern Real Estate Practice17th Edition

254. 7Interests in Real Estate Modern Real Estate Practice17th Edition

255. 7Interests in Real Estate Modern Real Estate Practice17th Edition

256. Chapter 8Forms of Real Estate Ownership Many people visualize single-family homes when they think of real estate ownership but the same issues apply to all types of property. Here is a multifamily residence—possibly a condominium, cooperative, or timeshare vacation home.

258. Describe the ways in which various business organizations may own property

259. Explain how a tenancy in common, joint tenancy and tenancy by the entirety are created, and how they may be terminated

260. Distinguish cooperative ownership from condominium ownershipModern Real Estate Practice17th Edition

261. 8Forms of Real Estate Ownership Modern Real Estate Practice17th Edition

263. Co-OwnershipModern Real Estate Practice17th Edition

265. Joint tenancy

266. Four unities: Possession, Interest, Time, Title

267. Partition

268. Tenancy by the entirety

269. Married couples

270. Termination: Judgment sale, Death, Agreement or Divorce

271. Community propertyModern Real Estate Practice17th Edition

272. 8Forms of Real Estate Ownership Modern Real Estate Practice17th Edition

273. 8Forms of Real Estate Ownership Modern Real Estate Practice17th Edition

274. 8Forms of Real Estate Ownership Modern Real Estate Practice17th Edition

276. Trustor

277. Trustee

278. Beneficiary

279. Living and Testamentary Trusts

280. Land TrustsModern Real Estate Practice17th Edition

282. General

283. Limited

284. Corporations

285. Shareholders and Double-Taxation

286. S Corporation

287. Syndicates and Joint Ventures

288. Limited Liability Companies (LLCs)Modern Real Estate Practice17th Edition

290. Creation

291. Common elements

292. Operation and administrationModern Real Estate Practice17th Edition

293. 8Forms of Real Estate Ownership Modern Real Estate Practice17th Edition

295. Shareholder ownership

296. Operation and administration

297. Tax advantagesModern Real Estate Practice17th Edition

299. Fee simple ownership

300. Common elementsModern Real Estate Practice17th Edition

302. Time-share use

303. Membership campingModern Real Estate Practice17th Edition

304. Chapter 9Legal Descriptions This chapter is about how land is divided up for ownership and how to describe those divisions. This subdivision was developed based on a plat map, and clearly shows how the land has been sectioned off for each home.

306. Describe how a survey is prepared

307. Explain how to read a rectangular survey description

308. Distinguish the various units of land measurementModern Real Estate Practice17th Edition

310. point of beginning (POB)

311. monumentsModern Real Estate Practice17th Edition

312. 9Legal Descriptions Modern Real Estate Practice17th Edition

314. principal meridians

315. base lines

316. township lines and township tiers

317. ranges

318. township squares

319. sections

320. correction lines

321. government check

322. fractional sections and government lotsModern Real Estate Practice17th Edition

324. plat map

325. lot

326. blockModern Real Estate Practice17th Edition

327. 9Legal Descriptions Modern Real Estate Practice17th Edition

329. Datum

330. BenchmarksModern Real Estate Practice17th Edition

331. Chapter 10Real Estate Taxes and Other Liens One type of lien is the mechanic’s lien, commonly found in home construction, rehabilitation, and addition projects.

333. Describe how real estate taxes are applied through assessments, tax liens, and the use of equalization ratios

334. Explain how nontax liens, such as mechanics’ liens, mortgage liens, and judgment liens are applied and enforced

335. Distinguish the characteristics of voluntary, involuntary, statutory, and equitable liensModern Real Estate Practice17th Edition

337. Involuntary – created by law

338. Statutory – created by statute

339. Equitable – created by common lawModern Real Estate Practice17th Edition

341. affect all property, both real and personal

342. Specific

343. secured by specific property

344. Priority

345. SubordinationModern Real Estate Practice17th Edition

346. 10 Real Estate Taxes and Other Liens Modern Real Estate Practice17th Edition

348. Exemptions

349. Assessed value

350. Equalization

351. Calculation and billing

352. Enforcement

353. tax sale

354. right of redemption – equitable or statutory

355. Special Assessments

356. Homeowner Tax ReliefModern Real Estate Practice17th Edition

358. Mechanic’s Liens

359. Judgment Liens

360. Lis pendens

361. AttachmentModern Real Estate Practice17th Edition

363. Liens for Municipal Utilities

364. Bail Bond Lien

365. Corporation Franchise Lien

366. IRS Tax LienModern Real Estate Practice17th Edition

367. Chapter 11Real Estate Contracts The signing of a valid real estate contract is the keystone of a real estate transaction.

369. Describe the various types of contracts used in the real estate business

370. Explain how contracts may be discharged

371. Distinguish among bilateral and unilateral, executed and executory, and valid, void and voidable contractsModern Real Estate Practice17th Edition

373. agreement or promise between

374. legally competent parties

375. supported by legal consideration

376. to perform (or not perform) a legal actModern Real Estate Practice17th Edition

378. Bilateral or Unilateral

379. Executed or ExecutoryModern Real Estate Practice17th Edition

381. Consideration

382. Reality of consent

383. Legal purpose

384. Legally competent partiesModern Real Estate Practice17th Edition

386. Void: lacks some or all of the essential legal elements

389. Assignment: transfer of existing contractual rights or duties

390. Novation:substitution of a new contract in place of the originalModern Real Estate Practice17th Edition

392. Statute of Limitations

393. Partial Performance

394. Substantial Performance

395. Impossibility of Performance

396. Mutual Agreement

397. Operation of Law

398. RescissionModern Real Estate Practice17th Edition

400. Buyer Agency Agreements

401. Real Estate Sales Contracts

402. Options

403. Land Contracts or Contracts for Deed

404. Leases

405. Escrow AgreementsModern Real Estate Practice17th Edition

407. Counteroffer

408. Acceptance

409. Binder

410. Earnest Money Deposit

411. Equitable Title

412. Destruction of the Premises

413. Liquidated Damages

414. Contingencies

415. Amendments and Addendums

416. DisclosuresModern Real Estate Practice17th Edition

417. Chapter 12Transfer of Title Despite technology, real estate is not a paperless industry. A wide variety of documents are needed to establish title, transfer title, and track ownership rights.

419. Describe the seven fundamental types of deeds

420. Explain how property may be transferred through involuntary alienation

421. Distinguish transfers of title by will from transfers by intestacyModern Real Estate Practice17th Edition

423. A grantee receives property from a grantor

424. A deed is the instrument that conveys property from a grantor to a granteeModern Real Estate Practice17th Edition

426. Identifiable, named grantee

427. Recital of consideration

428. Granting clause

429. Habendum clause

430. Accurate legal description of the property conveyed

431. Exceptions or reservations

432. Signature of the grantor

433. Delivery and acceptanceModern Real Estate Practice17th Edition

435. Special warranty deed

436. Bargain and sale deed

437. Quitclaim deed

438. Deed executed pursuant to court order

439. Deed in trust

440. Trustee’s deed

441. Reconveyance deedModern Real Estate Practice17th Edition

442. 12 Transfer of Title Modern Real Estate Practice17th Edition

443. 12 Transfer of Title Modern Real Estate Practice17th Edition

445. Transfer of title by descent

446. Probate proceedingsModern Real Estate Practice17th Edition

447. Chapter 13Title Records The recording of property ownership is a serious undertaking, and the storage and maintenance of ownership and title records is a function of government.

449. Describe recording, notice and chain of title issues

450. Explain the process and purpose of a title search

451. Distinguish constructive and actual noticeModern Real Estate Practice17th Edition

453. Notice: constructive, actual and inquiry

454. Priority: the order of rights in time

455. Chain of title: the record of a property’s ownership

456. Title Search and abstract of title

457. Marketable titleModern Real Estate Practice17th Edition

459. Abstract and Attorney’s Opinion of Title

460. Title Insurance

461. Standard Coverage

462. Extended Coverage

463. Owner’s Policy

464. Lender’s Policy

465. Torrens SystemModern Real Estate Practice17th Edition

466. Chapter 14Real Estate Financing: Principles This financing chapter focuses on the documents and concepts involved in real estate lending.

468. Describe the effect of discount points on yield

469. Explain the procedures involved in a foreclosure

470. Distinguish between lien and title theories

471. Explain the three methods of foreclosureModern Real Estate Practice17th Edition

473. Mortgagee = Lender

474. Title Theory

475. Lien Theory

476. Intermediate TheoryModern Real Estate Practice17th Edition

478. Promissory Note

479. Interest

480. Usury

481. Loan Origination Fee

482. Discount Points

483. Prepayment PenaltyModern Real Estate Practice17th Edition

485. Default

486. Assignment

487. Release

488. Tax and Insurance Reserves

489. Flood Insurance Reserves

490. Assignment of Rents

491. “Subject to,” Assumption or Novation

492. Alienation

493. Recording and PriorityModern Real Estate Practice17th Edition

494. 14 Real Estate Financing: Principles Modern Real Estate Practice17th Edition

495. 14 Real Estate Financing: Principles Modern Real Estate Practice17th Edition

497. Other financing may not be available

498. Buyer = vendee

499. Seller = vendor

500. Owner FinancingModern Real Estate Practice17th Edition

502. Nonjudicial

503. Strict

504. Deed in Lieu of Foreclosure

505. Redemption

506. Equitable

507. Statutory

508. Deed to Purchaser at Sale

509. Deficiency JudgmentModern Real Estate Practice17th Edition

510. 14 Real Estate Financing: Principles Modern Real Estate Practice17th Edition

511. Chapter 15Real Estate Financing: Practice This chapter focuses on the institutions and logistics of real estate lending. Banks are among the lending institutions involved in the real estate financing process.

513. Describe the various types of financing techniques available to real estate purchasers and the role of government financing regulations

514. Explain the requirements and qualifications for conventional, FHA and VA loan programs

515. Distinguish among the different types of “creative” financing techniques that address borrowers’ different needs

516. Review legislation affecting real estate financingModern Real Estate Practice17th Edition

518. Discount Rates

519. Primary Mortgage Market

520. Thrifts, savings associations, commercial banks

521. Insurance companies

522. Credit unions

523. Pension funds

524. Endowment funds

525. Investment group financing

526. Mortgage banking companies

527. Mortgage brokersModern Real Estate Practice17th Edition

529. Fannie Mae

530. Ginnie Mae

531. Freddie MacModern Real Estate Practice17th Edition

533. Interest-Only Mortgages

534. Balloon Payment Loans

535. Amortized Loans

536. Adjustable-Rate Mortgages (ARMs)

537. Growing-Equity Mortgages (GEMs)

538. Reverse-Annuity Mortgages (RAMs)Modern Real Estate Practice17th Edition

539. 15 Real Estate Financing: Practice Modern Real Estate Practice17th Edition

540. 15 Real Estate Financing: Practice Modern Real Estate Practice17th Edition

541. 15 Real Estate Financing: Practice Modern Real Estate Practice17th Edition

543. Loan-to-Value Ratio (LTV)

544. Private Mortgage Insurance (PMI)

545. FHA-Insured Loans

546. VA-Guaranteed Loans

547. Agricultural Loan ProgramsModern Real Estate Practice17th Edition

549. Package Loans

550. Blanket Loans

551. Wraparound Loans

552. Open-End Loans

553. Construction Loans

554. Sale-and-Leaseback

555. Buydowns

556. Home Equity LoansModern Real Estate Practice17th Edition

558. Special creditor definition

559. 3-day right of rescission

560. Advertising trigger terms

561. Penalties

562. Equal Credit Opportunity Act (ECOA)

563. Community Reinvestment Act (CRA)

564. Real Estate Settlement Procedures Act (RESPA)Modern Real Estate Practice17th Edition

566. Scoring and Automated UnderwritingModern Real Estate Practice17th Edition

567. Chapter 16Leases Rental units come in all shapes and sizes, from single-family homes to multistory high-rises that contain hundreds of units. This block of historic apartment buildings is another type of rental property.

569. Describe the requirements and general conditions of a valid lease, and how a lease may be discharged

570. Explain the rights of landlords and tenants in an eviction proceeding, and the effect of pro-tenant legislation and civil rights laws on the landlord-tenant relationship

571. Distinguish the various types of leasesModern Real Estate Practice17th Edition

573. Estate from Period to Period (Periodic Tenancy)

574. Estate at Will

575. Estate at SufferanceModern Real Estate Practice17th Edition

576. 16 Leases Modern Real Estate Practice17th Edition

578. Consideration

579. Capacity to contract

580. Legal ObjectivesModern Real Estate Practice17th Edition

582. Use of premises

583. Term

584. Security Deposit

585. Improvements

586. MaintenanceModern Real Estate Practice17th Edition

588. Assignment and subleasing

589. Recording a lease

590. Nondisturbance clause

591. OptionsModern Real Estate Practice17th Edition

593. Net Lease

594. Percentage Lease

595. Variable Lease

596. Ground Lease

597. Oil and Gas Lease

598. Sale and Leaseback

599. AgriculturalModern Real Estate Practice17th Edition

601. Suit for possession: actual eviction

602. Tenants’ remedies: constructive eviction

603. Pro-tenant legislationModern Real Estate Practice17th Edition

605. Cannot discriminate against protected classesModern Real Estate Practice17th Edition

606. Chapter 17Property Management A property manager is also a “people manager” and relationships are important. This manager may be checking a property’s plans for adequate fire planning, for upgrading the HVAC system, or for a remodeling project.

608. Describe a property manager’s functions

609. Explain the role of environmental regulations and the Americans with Disabilities Act in the property manager’s job

610. Distinguish the various types of insurance alternativesModern Real Estate Practice17th Edition

612. Time period

613. Definition of the manager’s responsibilities

614. Statement of the owner’s purpose

615. Extent of the manager’s authorityModern Real Estate Practice17th Edition

617. Compensation

618. Allocation of costs

619. Antitrust provisions

620. Equal opportunity housing statementModern Real Estate Practice17th Edition

622. Renting the Property

623. Marketing

624. Selecting Tenants

625. Collecting Rents

626. Maintaining Good Tenant RelationsModern Real Estate Practice17th Edition

628. Preventive

629. Repair or Corrective

630. Routine

631. Construction

632. Tenant ImprovementsModern Real Estate Practice17th Edition

634. Fair Housing Act

635. The Americans with Disabilities ActModern Real Estate Practice17th Edition

636. 17 Property Management Modern Real Estate Practice17th Edition

638. Tenant SecurityModern Real Estate Practice17th Edition

640. Flood

641. Consequential loss, use and occupancy

642. Contents and personal property

643. Liability

644. Fire and hazard

645. Casualty

646. Surety bonds

647. Handling Environmental ConcernsModern Real Estate Practice17th Edition

648. Chapter 18Real Estate Appraisal Measurement is vital to the appraiser. Not just physical measurement in feet and inches, but measurement of value and cost.

650. Describe the three basic valuation approaches used by appraisers

651. Explain the steps in the appraisal process

652. Distinguish the four methods of determining reproduction or replacement costModern Real Estate Practice17th Edition

654. Specific data

655. Data for each approach4. Determine the highest and best use 5. Estimate the land value 6. Estimate value by each of the three approaches 7. Reconcile the estimated values 8. Report the final value estimate Modern Real Estate Practice17th Edition

657. Market value vs. Market price

658. Market value vs. CostModern Real Estate Practice17th Edition

660. Change

661. Competition

662. Conformity

663. Contribution

664. Highest and best useModern Real Estate Practice17th Edition

666. Plottage

667. Regression and progression

668. Substitution

669. Supply and demandModern Real Estate Practice17th Edition

671. Property rights

672. Financing concessions

673. Market conditions

674. Conditions of sale

675. Market conditions since date of sale

676. Location

677. Physical features and amenitiesModern Real Estate Practice17th Edition

679. Square-foot method

680. Unit-in-place method

681. Quantity-survey method

682. Index method

683. Depreciation

684. Physical deterioration

685. Functional obsolescence

686. External obsolescenceModern Real Estate Practice17th Edition

688. Effective gross income

689. Annual operating expenses

690. Capitalization rate

691. Gross rent multiplier (GRM)

692. Gross income multiplier (GIM)Modern Real Estate Practice17th Edition

693. Chapter 19Land-Use Controls and Property Development Issues controlled by local land-use controls include how close developers can place units to each other, and how to protect historic characteristics of an area.

695. Describe how a comprehensive plan influences local real estate development

696. Explain the various issues involved in subdivision

697. Distinguish the function and characteristics of building codes and zoning ordinancesModern Real Estate Practice17th Edition

699. Housing needs

700. Movement of people and goods

701. Community facilities and utilities

702. Energy conservationModern Real Estate Practice17th Edition

704. Nonconforming use

705. Conditional use

706. VarianceModern Real Estate Practice17th Edition

708. Bulk zoning

709. Aesthetic zoning

710. Incentive zoning

711. 14th Amendment and Takings Clause (5th Amendment)

712. Inverse condemnationModern Real Estate Practice17th Edition

714. Land planning

715. plat

716. Subdivision plan

717. Density

718. Curvilinear street pattern

719. Gridiron street pattern

720. Clustering for open spaceModern Real Estate Practice17th Edition

722. Restrictivecovenants

723. May be more restrictive than zoning ordinances

724. Regulation of Land Sales

725. Interstate Land Sales Full Disclosure ActModern Real Estate Practice17th Edition

726. Chapter 20Fair Housing and Ethical Practices Fair housing is not just “nice to have”—it’s the law. Fair housing practices are established by local, state, and national laws and regulations, and the judicial system actively enforces them.

728. Describe how the Fair Housing Act is enforced

729. List the exemptions allowed in the Fair Housing ActModern Real Estate Practice16th Edition

731. Distinguish the protections offered by the Fair Housing Act, the Housing and Community Development Act, the Fair Housing Amendments Act, the Equal Credit Opportunity Act and the Americans with Disabilities ActModern Real Estate Practice16th Edition

733. Fair Housing Act

734. HUD

735. “housing”

736. “familial status”

737. “disability”

738. Prohibited Actions

739. ExemptionsModern Real Estate Practice16th Edition

740. Modern Real Estate Practice16th Edition

742. Equal Credit Opportunity Act

743. Americans with Disabilities ActModern Real Estate Practice16th Edition

745. Steering

746. Advertising

747. Appraising

748. Redlining

749. Intent and Effect

750. Response to Concerns of TerrorismModern Real Estate Practice16th Edition

751. Chapter 21Environmental Issues and the Real Estate Transaction Pollution, such as hazardous runoff into local waterways, is a serious issue for homeowners, developers, and real estate professionals.

753. Describe the warning signs, characteristics, causes and solutions for the various environmental hazards most commonly found in real estate transactions

754. Explain the fundamental liability issues arising under environmental protection laws

755. Distinguish lead-based paint issues from other environmental issuesModern Real Estate Practice17th Edition

757. Lead-based Paint and Other Lead Hazards

758. Radon

759. Formaldehyde

760. Carbon Monoxide

761. Polychlorinated Biphenyls (PCBs)

762. Chlorofluorocarbons (CFCs)

763. Mold

764. Electromagnetic FieldsModern Real Estate Practice17th Edition

765. 21 Environmental Issues and the Real Estate Transaction Modern Real Estate Practice17th Edition

767. Water table

769. Exempted types of tanksModern Real Estate Practice17th Edition

771. capping

772. Hazardous and radioactive waste

773. Brownfields

774. Comprehensive Environmental Response, Compensation, and Liability Act (CERCLA)

775. Superfund Amendments and Reauthorization ActModern Real Estate Practice17th Edition

777. Environmental site assessments

778. Environmental Impact Statements (EIS)

779. Disclosure of environmental hazardsModern Real Estate Practice17th Edition

780. Chapter 22Closing the Real Estate Transaction Some closings are face-to-face, and some are conducted through escrow. But in all cases, once again, it’s a people-related business.

782. Describe the steps involved in preparing a closing statement

783. Explain the general rules for prorating

784. Distinguish the procedures involved in face-to-face closings from those in escrow closingsModern Real Estate Practice17th Edition

786. Seller’s deed

787. Removal of liens and encumbrances

788. Survey

789. Inspection results

791. Buyer financing

794. Disclosure Requirements

795. Information Booklet

796. Good-faith estimate of settlement costs

797. Uniform Settlement Statement (HUD-1)

798. Prohibition on Kickbacks and Referral FeesModern Real Estate Practice17th Edition

800. Broker’s Commission

801. Attorney’s Fees

802. Recording Expenses

803. Transfer Tax

804. Title Expenses

805. Loan Fees

806. Tax and Insurance Reserves

807. Appraisal Fees

808. Survey Fees

810. Prepaid Items

811. Rules for Prorating

812. ownership on closing day

813. calendar for calculating prorations

814. taxes

815. assessments

816. Interest

817. rents

818. security depositsModern Real Estate Practice17th Edition