SC Unit II - Agency

average flood insurance premium

$600

How many days does the buyer have to test for lead-based paint according to Federal law?

10 days

What is the period of time requirement for adverse possession in SC?

10 years

Loyalty

100% to principal

How many Americans live within 100 miles of an ocean?

200 million

What percent of claims against real estate agents arise from defects of property sold that impact the value of the property?

75%

What does an agent present after a substantive contract has been verbally confirmed?

Acknowledgment of Receipt of Disclosure of Brokerage Relationship form to the new client in person or electronically

Agents common law duties

COALD -Care -Obedience -Accounting -Loyalty -Disclosure

What organization played a major role in 1983 in researching and reporting about real estate agency?

FTC (Federal Trade Comission)

Federal lead-based paint disclosure laws apply to what type of residential housing?

Homes built prior to 1978

organization founded in 1995 that protects the interests of the real estate buyer

NAEBA National Association of Exclusive Buyer Agents

fiduciary duties

OLDCARD obedience loyalty disclosure confidentiality accounting reasonable care and dilligence

Care

Reasonable care and skill

What program in SC helps owners mitigate for wind damages associated with storms?

Safe Home Program South Carolina

What was established to ensure that residents living on the beach and some coastal areas of South Carolina would have a means of purchasing wind/hail insurance on their homes?

The South Carolina Wind and Hail Underwriting Association (SCWHUA)

probate

a court proceeding that settles a decedent's estate

Agency by estoppel

agency not created as an actual agency by a principal and an agent but that is imposed by law when a principal acts in such a way that leads a third party to believe that another is the principals agent and then the third party is injured by relying on and acting in accordance with that belief

How does a sinkhole form?

area forms underground where water drains and collects, usually form because of dry grounds and heavy rains

most commonly used type of asbestos in the U.S.

chrysotile (95%)

characteristics of radon

colorless, odorless and tasteless gas naturally occurring

holographic will

completely handwritten, dated and signed by testator does not require witnesses SC does not recognize them unless created and valid from another state

types of stigmatized properties

criminal debt murder/suicide phenomena public

Accounting

custodial care and record keeping of all money handled on behalf of principal

What are 3rd parties called?

customers

types of termites

damp wood dry wood subterannean

stigmatized property examples

death of an occupant murder suicide serious illness haunted

what must ultimately happen in order for a deed to be valid?

delivered and accepted by the grantee

Escheat

dies without will and without heirs property "escheats" to the state

Respondeat superior

doctrine making employee liable for wrong of an employee

Where can chrysotile asbestos be found today?

drywall compound plaster vinyl floor roofing tar brake pads and shoes fire blankets HVAC duct connectors

When did the NAR change their policies?

early 1990's

Who orders the preliminary title report?

escrow officer

type of agency that allows the buyer to reserve the right to purchase a property directly from the seller without the use of an agent:

exclusive agency

What type of agency agreement is the broker guaranteed a commission regardless of whether or not the buyer agent handled the transaction?

exclusive right to represent

most common disaster in the U.S.

flooding

examples of material facts

flooding basement problems with HVAC square footage of home environmental hazards termites easements and encroachments

type of deed that is risky for buyers

grant deed

Benefits to the broker in a buyer agency agreement:

greater client loyalty absence of liability of the acts of the listing broker avoidance of conflict of interest

Which form of consultation suggests that the agent is more of a consultant?

hourly rate

What is the company interested in most when working with a relocation client?

how efficiently agents work and follow the corporate relocation package benefits

material fact

issue that would be useful for a reasonable person to know when making a decision

Caveat Emptor

let the buyer beware, buy at your own risk

beach migration

long term chronic erosion

what can breathing radon cause

lung cancer

risks of prolonged inhalation of asbestos

lung cancer, mesothelioma

nuncupative will

made orally on deathbed and written down by a witness

executor/executrix

male/female designated by testator to oversee the settlement of the estate

main concerns of a fiduciary relationship

managing money or property for another

title irregularities that could negatively affect or cloud clear ownership and could potentially void pending sale:

mistakes (incorrect address, legal descriptions, etc.) forgery or fraud secret spouse easements and encroachments zoning violations

witnessed will

most common in writing, signed by testator with two witnesses includes signed acknowledgement from witnesses stating will is true and voluntary

common signs of termite infestation

mud tunnels mud like patches swarmers damaged wood

Disclosure

must provide the proper disclosure of material information

Can a team imply they are a separate entity from the brokerage of which it is employed>>

no

Can the broker in charge delegate supervisory duties to team members/leaders in SC?

no

Does SC statute require owner to disclose a stigmatized property to a buyer?

no

Does standard homeowners' insurance typically cover flooding in the US?

no

Obedience

obligation to obey principals instructions

approved will

on pre-printed forms meeting state requirments

fiduciary

one often in a position of authority who obligates himself to act on behalf of another

How can an owner avoid being a victim of adverse possession?

periodically inspecting the property evicting any trespassers found

biggest risk of USTs

petroleum or other hazardous substances can corrode and seep into soil over time and contaminate drinking water, also could cause fires or explosions

vicarious liability

principle responsible for acts of agent if the agent is following instructions of the principal

What can team names not include?

realty real estate realtors

What type of fee is most commonly used to week out buyers who are not serious in their commitment/may be just shopping around?

retainer fee

What happens to a homeowner who does not pay property taxes?

risks losing home to tax sale

Who is responsible for completing and delivering the SC Residential Property Condition Disclosure Statement form?

seller

Best companies to target when initiating contact for relocation employees?

small to medium size, with 10 or fewer people relocating every two years

other pests that must be disclosed to potential buyers

snakes, fire ants, spiders, bats, bees, bedbugs

asbestos was originally used for

sound absorption tensile strength resistance to fire and heat affordability

How to remove or contain asbestos

spot repair encapsulation enclosure removal

Where can you find the signature of the grantor?

testimonium clause

What is the tax amount due on a gift based on?

the homes fair market value

Conveyance

transfer of title to real estate using written instrument

Needs of the over-55 buyer may include:

vacation homes downsizing from current home access to recreational and cultural activities

dedication by a developer can be:

voluntary or involuntary

Do agents have to disclose the erosion rates of beachfront properties?

yes

Do you have to disclose asbestos related facts to potential buyers?

yes

do sellers and landlords have to disclose known lead based paint hazards?

yes

does an acknowledgment have to be notarized?

yes

Can an Acknowledgement of Receipt of the Disclosure of Brokerage Relationships be sent electronically?

yes, if first contact is made electronically or via telephone