appraisal test

what's a real estate investment trust (REIT)

a company that owns and operates income-producing real estate and offers investment opportunities to shareholders in those properties

what's a bound

a physical feature that defines the boundaries of the land

when does escheat occur

a property owner dies without a will in place, and no heirs or creditors can be found

the element of a deed that signifies a grantor's intention to transfer title to the grantee is the _____

act of conveyance

What are improvements with regard to property

artificial attachments to land that include items such as fencing, buildings and walkways

why would an appraiser use gross income multiplier, direct capitalization, or yield capitalization-rather than gross rent multiplier-to determine the value of an income property

because the property has income from other sources in addition to rent

real estate, plus all of the interests, benefits, and rights included in ownership

definition of real property

a living trust differs from a living will in that a living trust is established to convey property, whereas a living will that is created to ___________

dictate terms of care in the event that trust creator becomes incapacitated

basic property rights include the rights of possession, control, exclusion, enjoyment and ______

disposition

to determine the ____ that a buyer is paying, subtract the loan amount from the purchase price

down payment

when can land trusts be created

either at the time the real estate is purchased or after it's been acquired

justin decided to build a privacy fence around his yard. he though the fence was along the property line, but it turns out he built it one foot inside his neighbor's property. what is this an example of?

encroachment

seth owns a property on a small island with six other property owners. recently, seth built a fishing pier along the water's edge; however, the pier is actually on his neighbor's property, which seth has no rights to. What might this be an example of?

encroachment

what's the best definition of personal property

everything that's not real property

michael installed a basketball hoop next to his driveway, six inches outside his property line

example of encroachment

a loss in value caused by an undesirable or hazardous influence offsite is which type of depreciation

external depreciation

nearby industrial odor is an example of which type of depreciation

external depreciation

discolored soil, soft spots, or mounds on the land could be indicators of an ___________

former waste disposal site

a poor floor plan is an example of which type of depreciation

functional obsolescence

according to national standards, under what circumstances may a pool house be included in total square footage

if it is attached to the main house by a hallway or stairway

which of these should tenants keep in mind regarding trade fixtures

installation and removal should not cause damage to the property

which of the following is the cost of replacing a building in the case of total loss

insured value

maria I

intention in placing item on land

which one of the following statements is true about land trusts

land trusts generally continue for a specified term, such as 10,20,30 years

"beginning at a stake and stones about 30 feet from the center of the brook that runs across the road..."

metes and bounds

what type of zoning applies to planned unit developments

mixed-use

radon is found in well water and ________

soil

_____ is co-ownership with inheritance rights

tenancy in common

the formula of NOI / V=R is used to calculate a capitalization rate, which is _____

the expected rate of return on investment

what is reconciliation

the final estimate of value based on results of the appraiser's approaches to value

limited liability companies and limited liability partnerships are favorable forms of business because __________

they don't require a general partner

as a sole proprietor, in what name may you conduct your business

you must use your own name or your own name in combination with a registers business name

the gross income multiplier for an area is 12x. if the estimated annual rent is $10,000, what's the property's estimated value

$120,000

the gross rent multiplier extracted from an area is 122. if the monthly rent is $800, what's the estimated value of the property

$97,600

bekah put down $50,000 toward the purchase price, financed the rest, and now has a cash flow of $10,000 after repairs and debt service. What's her ROI?

20%

steve puts down $10,000 toward a property's purchase price, financed the rest, and now has a cash flow of $2,800 after repairs and debt service. What's his ROI?

28%

the two A's in MARIA

ADAPTABILITY OF ITEM to lands just and agreement of the parties

can be used to remember factors that influence real property value

DUST

using the capitalization formula, what is the value if income is $20,000 and the rate of capitalization is 10%

$200,000

find the area of a square flower bed where each side measures 4.5m

20.25 meters squared

according to the EPA, at what level does radon become a health concern requiring mitigation

4.0 picocuries per liter of air

use ________ to determine a range of values based on comparing a subject property to comparable sales. He makes sure to use some comparables that lack features of his subject property and others that have even more desirable features, to balance out the comparison

bracketing

with the cost approach to value, what is the replacement cost

cost to build a functionally equivalent improvement

which type of REITS specialize in owning certain building types, such as apartments or office buildings

equity REITs

personal property includes which of the following

free-standing TV

a form of depreciation or loss in value caused by defects in design is called ________

functional obsolescence

which of the following might involve old wiring or plumbing

functional obsolescence

capitalization is the process of converting ________

income to value

which REITs make money by incurring short-term debt to acquire longer-term mortgage securities, earning the spread between the two rates

mortgage REITs

which types of REITs don't buy properties but instead invest in real estate debt

mortgage reits

beneficiary interest in land that's part of a land trust is considered

personal property

Marcia died, and her property wasn't held in a trust. Thus, her estate will go through _______ to ensure her property is distributed to her beneficiaries in accordance with her will

probate

The ________ method of legal description is based on a principal meridian

rectangular government survey

a lot and block survey usually references what first

rectangular survey or metes and bounds description

what a property's value is suffering because the neighboring property is filled with trash, and the neighbor's home is in a state of disrepair, you have an example of

regression

sam is looking at a residential structure and trying to determine how much longer from that point in time that house can be used as a residence. what is sam measuring

remaining economic life

the ______ is the whole number or amount of something

total

all trusts have three parties: the trustor, the beneficiary, and the _____

trustee

The size of a 3-D shape

volume