PA Real Estate Vocab
Accession
Acquiring property from a trade fixture.Trade fixtures that are not removed become the real property of the landlord.
Annexation
Changing personal property into real property. If landowner buys cement, stones, and sand and then mixes them into concrete and constructs a sidewalk, the owner has converted personal property into real property.
Usury
Charging interest in excess of the maximum rate allowed by law
Enabling Act
Confer zoning powers to local municipal governments
Erosion
Erosion is the gradual and imperceptible wearing away of the land by natural forces, such as wind, rain and flowing water.
Mold
Can be found almost anywhere and can grow on almost any organic substance, so long as moisture, oxygen, and organic food source are present
Blockbusting
Panic Selling to sell residential real estate in a particular neighborhood due to fear of declining real estate values when the fear is not based on facts relating to the intrinsic value of the real estate
Assemblage
Process of merging the two lots under one owner together
Joint Tenancy
Property owned by two or more people. Can be created only by the intentional act of conveying a deed or giving the property by will or living trust.
Graduated Lease
Provides for specific rent increases at et future dates.
Variance
Provides relief if zoning ordinances deprive an owner reasonable use of the property. To qualify for a Variance, the owner must prove that the regulations have caused harm or created a burden. Example: Homeowner wants to put up a garage but would be over the setback the neighbor would have opportunity to say they do not want this to change.
Alienation Clause
Provides that when a property is sold, the lender may either declare the balance of the seller's debt due immediately or permit the buyer to assume the loan at an interest rate acceptable to the lender
Purchase Option
Some Leases grant the lessee the option to purchase the leased premise
Personal Property
Sometimes called personalty, is all property that can be owned and does not fit the definition of real property. Personal property is moveable.
Ginnie Mae
Special Assistance loans: A governmental agency that plays an important role in secondary mortgage market. It sells mortgage-backed securities that are backed by pools of FHA and VA loans.
Market Value
The most probable price property would bring i an arm's length transaction under normal conditions on the open market. Three assumptions a competitive and open market, seller and buyer are both assumed to acting prudently and knowledgeably, market value depends on the price not being affected by unusual circumstances
hypothecation
The pledge of property as security for loan
Deed in lieu of foreclosure
This is carried out by mutual agreement rather than by lawsuit.
Coinsurance clause
This provision usually requires that owner maintain insurance equal to a specified percentage of the replacement cost new of the dwelling.
Percentage Lease
This type of lease is generally used for retail business leases. The rent is based on a minimum fixed rental fee plus a percentage of gross or net income received by the tenant doing business on leased property.
Antitrust Laws
Three Federal law form the basis of state: Sherman Act, Federal Trade Commission Act, Clayton Act
Accretion
Increases in the land resulting from the deposit of soil by the water's action
Lease
Is a contract between an owner of real estate and a tenant
Severalty
Occurs when property is owned by one individual or corporation
Inverse Condemnation
Is an action brought by a property owner seeking just compensation for land taken for a public use where it appears that the taker of property does not intend to bring eminent domain proceedings.
Fixture
Is personal property that has been so affixed to the land or a building that, by law, it becomes part of the real property. Examples: radiators, kitchen cabinets, light fixtures, and plumbing
Non homogeneity
Is the concept that no two parcels of property are exactly the same or in the same location.
Police Power
Is the inherent authority to create regulations necessary to protect the public health, safety and welfare.
Contract
Is voluntary, legally enforceable promise between two competent parties to perform (or not perform) some legal act in exchange for consideration.
lot-and-block description
uses lot and block numbers referred to in a plat map filed in the corder of deeds office
Anticipation
value is created by the expectation that certain benefits will be realized in the future
Real estate Recovery Fund
was established to provide a means for aggrieved persons to collect judgements awarded in civil court
Ground Water
water that exist under the earth's surface within the tiny spaces or crevices in geological formations.
time is of the essence
which means that the contract must be performed within a specific time
Municipalities are authorized to establish a comprensive plan with?
zoning ordinances, Subdivisions regulations to govern land use with their jurisdiction
Improvement
any artificial thing attached to land, such as a building or fence, or improvements such as streets, utilities and sewers.
Voidable Contract
appears on the surface to be valid but may be rescinded or disaffirmed by one or both parties based on some legal principle. A contract with a minor under 18 is usually voidable.
Impact Fees
are charges made in advance to cover anticipated expenses involving off-site capital improvements such as expanding water and sewer facilities, additional roads, and school expansions
Riparian rights
are common-law rights granted to owners of land lying along the course of a river, stream, or similar body of water.
Underground storage tanks (USTs)
are commonly found on sites where petroleum products are used or where gas stations and auto repair shops are or were located
Restrictive Covenants
are declarations of conditions and restrictions that affect the use of all parcels of land within a specified development or subdivision plat
Brownfields
are defunct, derelict, or abandoned commercial or industrial sites, many of which are suspected to contain toxic wastes.
Monuments
are fixed objects used to locate the point of beginning, all corners of the parcel or ends of boundary segments
Electromagnetic fields (EMFs)
are generated by the movement of electric currents by any electric appliance: digital clocks, blow dryers, TV, and computers.
Campground membership
are interests that give the purchaser the right to use a unit of real property for the purpose of locating a recreation vehicle, trailer, tent, tent trailer, pickup camper on a periodic basis
Deed Restrictions
are limitations to the use of the property imposed by a past owner or current owner and are binding of the future grantees.
Chlorofluorocarbons (CFCs)
are nontoxic, nonflammable chemicals used as refrigerants in AC units, refrigerators, freezers, aerosol sprays, paints.
Freehold estates
are ownership interests that last for an indeterminable length of time, such as for a lifetime or forever. Could be passed along to owner's heirs
Benchmarks
are permanent reference points that have been established throughout the US. Embossed brass markers set into solid concrete or asphalt bases
Independent Contractor
are responsible for paying their taxes and cannot receive anything from the broker that could construed as employee benefit
Water rights
are special common-law rights held by owners of land adjacent to rivers, lakes, or oceans and are restriction on the rights of land ownership.
Subsurface rights
are the rights to the natural resources lying below the earths surface. An owner may transfer surface rights without transferring the subsurface rights
Non-freehold
are those for which the length of time can be determined
Discount points
are used to increase the lender's yield on its investment
Estate at sufferance
arises when a tenant who lawfully possessed real property continues in possession of the premises without the landlord's consent after the rights expire.
Cemetery associate broker
as an individual cemetery broker who is employed by another cemetery broker
Cemetery Broker
as an individual or entity who engages in the business in the capacity of a broker, exclusively within the limited field of business that applies to cemetery lots, plots, and mausoleum spaces or openings.
Cemetery Salesperson
as an individual who is employed by a broker or cemetery broker for the exclusive purpose of engaging in the specialized field of cemetery lot sales.
Campground membership salesperson
as an individual who, either as an employee or independent contractor, sells campground memberships under the supervision of a broker
Broker of records
as the individual broker responsible for the real estate transactions of a partnership, association, or corporation licensed as a broker.
Polychlorinated Biphenyls (PCBs)
consist of more than 200 organic chemical compounds that are not found naturally in nature. These flame resistant, chemicals were often used in electrical equipment
Limited partnership
consists of one or more general partners and limited partner
Community Property
consists of real and personal property acquired by either spouse during the marriage.
Deed of Trust
conveys naked title or bare legal title; this is, title without the right of possession
Homeowners' insurance policy
covers, fire or lighting, glass breakage, windstorm, hail, explosion, riot or civil commotion, theft,
Estate from period to period
created when landlord and tenant enter into an agreement for an indefinite time; that is, the estate does not contain a specific expiration date.
Comprehensive Environmental Response, Compensation, Liability Act (CERCLA)
established a fund of $9 billion, called the superfund, to clean up uncontrolled hazardous waste sites and to respond to spills.
executory contract
exists when one or both parties still have some act to perform
Special flood Hazard Areas (SFHA)
federally related loans require flood insurance
Estate at will
gives the tenant the right to possess property with the landlord's consent for an unspecified or uncertain term. It continues until it is terminated by either party giving proper notice.
Void contract
has no legal force or effect because it lacks some or all of the essential elements of a contract.
Plottage
holds that merging or consolidating adjacent lots into a single larger one produces a greater total land value than the sum of the two sites valued separtely.
Personal Assistant
is a combination office manager, marketer, organizer, facilitator who has a fundamental understanding of the real estate industry
Comprehensive Loss Underwriting Exchange (CLUE)
is a database of consumer claims history that enables insurance companies to access prior claims information in the underwriting and rating process
Legal description
is a detailed way of describing a parcel of land for documents such as deeds and mortgages that will accept in a court of law
Planned unit development (PUD)
is a development where land is set aside for mixed-use purposes, such as residential, commercial, and public areas
Trust
is a device by which one person transfers ownership of property to someone else to hold or manage for the benefit of a third person.
Asbestos
is a fire-resistant mineral that was once used extensively as insulation and to strengthen other materials
life estate
is a freehold estate that is limited in duration to the life of the owner or to the life os some other designated person or persons.
Estate for years
is a leasehold estate that continues for a definite period. May be years, months, weeks or even days. Lease will have an expiration date
Corporation
is a legal entity, an artificial person.is managed and operated by its board of directors
Foreclosure
is a legal procedure in which property pledged as security is sold to satisfy the debt
Partition
is a legal way to dissolve the relationship when the parties do not voluntarily agree to its termination
Mortgage
is a lien or encumbrance on the real property of a debtor
Depreciation
is a loss in value due to any cause
Radon
is a naturally occurring, colorless, odorless, tasteless, radioactive gas produced by the decay of other radioactive substances
Subdivider
is a person who buys undeveloped acreage and divides it into smaller lots
License
is a personal privilege to enter the land of another for a specific purpose.This can be terminated or cancelled
Datum
is a point, line, or surface from which elevations are measured or indicated. A surveyor would use one to determine the height of a structure or establishing the grade of the street
Offer
is a promise made by one party, requesting something in exchange for that promise
Tenancy by the entirety
is a special form of co-ownership used in some states that allows the husband or wife to inherit the other spouse's ownership interest upon death
Real Estate Licensing and Registration Act
is a statutory law, enacted by the state legislature and singed into law by the governor. May 1, 1929
Breach of contract
is a violation of any of the terms or conditions without legal reason
Dedication
is a voluntary transfer of private property by its owner to public for some public use, such as streets, schools, or parks
Sale and Leaseback
is an arrangement whereby the owners of property sell the property and then lease it back for an agreed period and rental
Partnership
is an association of two or more people who carry on a business for a profit as co-owners.
Appraisal
is an estimate or opinion of value based on supportable evidence
Appraiser
is an independent professional trained to provide unbiased estimate of value in an impartial and objective manner, according to the appraisal process.
Time-share salesperson
is an individual who either as an employee or independent contractor, sells time shares under the supervision of a broker
Associate Broker
is an individual who has met the broker license requirements but who is employed by a broker of record.
Easement in gross
is and individual or company interest in right to use someone else's land. Example: railroads, utility, pipelines,
Appurtenant easement
is attached to the ownership of one parcel of land and allows the owner the use of a neighbor's land
manufactured housing
is built at the factory under the following US Dept. of Housing and Urban Development (HUD) specifications: -Non-removable steel chassis -at least 8 feet wide and 40 feet long -At least 320 Square feet of living space -Capable of being lived in with our without a permanent foundation -Contains a red label indicating that the home has been built in compliance with HUD
Easement by condemnation
is created under the government's right of eminent domain. The easement is acquired for public purpose.
month-to-month tenancy
is created when a tenant takes possession with no definite termination date and pays monthly rent periodic tenancy is often used in residential leases
Factory-built housing
is defined as dwellings that are built off-site and trucked to a building lot where they are installed or assembled. Examples:modular, panelized,precut, mobile homes
Familial Status
is defined as one or more individuals younger that 18 living with a parent or guardian
Plat
is detailed map that illustrates the geographic boundaries of individual plats
Encroachment
is illegal extension of a building or a fence that extends beyond the land of the owner
Broker price opinion (BPO)
is less expensive alternative of valuating property often used by lender working with home equity lines, refinancing,.
Environmental site assessment (ESA)
is often performed on a property to show that due care was exercised in determining whether any environmental impairments exist
executed contract
is one in which all parties have fulfilled their promises and thus the contract has been performed
Ready, willing, and able buyer
is one who is prepared to buy on the seller's terms and ready to take positive steps toward consummation of the transaction
Certified general real estate appraiser
is permitted to appraise any residential or nonresidential property
Broker/Appraiser
is permitted to appraise only properties valued under $250,000
defeasible fee estate
is qualified estate that is subject to the occurrence or nonoccurrence of specified event.
Separate Property
is real or personal property that was owned solely by either spouse before the marriage, by gift or inheritance during the marriage as well as any property purchased with separate funds after the marriage.
Consideration
is something of legal value offered by one party and accepted by another as an inducement to act or to refrain from some act
Promissory note
is the borrower's personal promise to repay a debt
Interest
is the charge for the use of the money
Reproduction cost
is the construction cost at current prices of an exact duplicate of the subject improvement, including both the benefits and drawback of the property
Replacement Cost new
is the cost at current prices to construct an improvement similar to the subject property, but not necessarily an exact duplicate, using current construction methods and material
Capital Gains
is the difference between the original cost of the property and what it sells for today, minus certain expenses.
Fee Simple
is the highest interest in real estate recognized by law. Fee simple is ownership in which the owner is entitled to all rights to the property by law. The estate is intended to run forever.
Competition
is the interaction of supply and demand
Business name
is the name under which a broker, cemetery broker, rental listing refferal agent license is issued.
Demand
is the number of buyers who desire the property and who have the financial ability to acquire the property
The Lessor
is the owner of real estate
Price-fixing
is the practice of setting prices for products or services rather than letting competition in the open market establish those prices.
Condemnation
is the process by which the government exercises eminent domain right, by either judicial or administrative proceedings
Mine Subsidence
is the process of downward land shifts due to the collapse of underground mine shafts and ground water flows, usually resulting in sinkholes or troughs
Acceptance
is the promise by the offeree to be bound to the exact terms proposed by the offeror.
Conciliation
is the resolution of a complaint by obtaining assurance that the person against whom the complaint was filed will remedy any violation that may have occurred
Eminent Domain
is the right of the government to acquire privately owned real estate for public use
easements
is the right to use the land of another party for a particular purpose
Pennsylvania Human Relations Act (PHRA)
is the state law deemed to substantially equivalent to the federal fair housing act.
Novation
is the substitution of a new contract in place of the original one
Federal Reserve System (the Fed)
is to maintain sound credit conditions, help counteract inflationary and deflationary trends, and create a favorable economic climate.
Lease Purchase
is used when a tenant wants to purchase the property but is unable to do so.
Conditional-use Permit
is usually granted to a property owner to allow for a special use of a property that is defined as an allowable conditional use within that zone, such as house of worship or day camp center in a residential district.
Primary mortgage market
is where borrowers directly interact with lenders
Real Estate
land at, above, and below the earth's surface, and all things permanently attached to it, whether natural or artificial.
Loan origination fee
loan fee to cover the expenses involved in generating the loan
Unenforceable contract
may also appear on the surface to be valid; however, neither party can sue the other to force performance.
fee simple determinable
maybe inherited. the language used to distinguished a special limitations- words such as so as or while or during.
Functional obsolescence
means a loss in value from the market's response to the item. building without air condition suffer from incurable functional obsolescence
Conformity
means that maximum value is realized when a property is in harmony with its surrounding and the use of land conforms to existing neighborhood standards
Valid Contract
meets all the essential requirements of a contract that make it legally sufficient, or enforceable, and is binding in a court of law
highest and best use
of a property is its most profitable single use that is legal and feasible and will bring the most money over time. can be social, political, economic
Urea-formaldehyde foam insulation
once popular, then banned, now legal again, is rarely used. Must be disclosed
Rescission
one party may cancel or terminate the contract as though it had never been made.
unilateral contract
one-sided agreement.
amortized loan
partially pays off both principal and interest
Fair Housing Act
prohibits discrimination based on race, color, religion, sex, disability, family status, national orgin
Title VIII of the civil rights act of 1968
prohibits discrimination in housing because of race, color, religion, and national origin
Equal Credit Opportunity Act (ECOA)
prohibits discrimination in lending process based on race, color, religion, national origin, sex, marital status, or age or the receipt of public assistance in granting of credit
Small business Liability Relief and Brownfields Revitalization
provides funds to assess and clean up brown fields, clarifies liability protections, and provides tax incentives toward enhancing state and tribal response programs.
Capitalization rate
rate of return and is determined by comparing the relationship of net operating income to the sales prices of similar properties that have sold in the current market
Superfund Amendments and Reauthorization Act (SARA)
reauthorized CERCLA, Provides funds for studying the use of new technologies, and required the EPA to assess the risk to human environmental health at every site of the superfund list
Assignment
refers to a transfer of rights or duties under a contract.
Supply
refers to the available number of properties in the market at a certain price
Housing for older Persons Act (HOPA)
repealed the requirement that 55-and old housing have significant facilities and services designed for seniors
Americans with Disabilities (ADA)
requires reasonable accommodations in employment and access to goods, services and public building
Protecting Tenants at Foreclosure Act (PTFA)
requires that owners of foreclosed properties follow certain requirements with regards to tenants who are current with their rental payments. The law intents to provide tenants with time to find alternative living arrangements.
Prepayment penalty
requires the borrower to pay a prepayment penalty against the unearned portion of the interest for any payments made ahead of schedule
base lines
run east and west
principal meridians
run north and south
Lien Theory
states, the mortgagor retains both legal and equitable title
Avulsion
sudden removal of soil by an act of nature
Implied contract
the agreement of the parties is demonstrated by their acts and conduct.
Procuring Cause
the broker must have started an unbroken chain of events that ultimately results in a sale
Multiple Listing service (MLS)
the brokers formalized this exchange of information by creating this
Point of beginning (POB)
the metes-and-bounds description starts at a designated place on the parcel
TItle Theory
the mortgagor actually gives legal title to the mortgagee and retain equitable title
Water Table
the natural level at which the ground is saturated
fee simple estate subject to a condition subsequent
the owner gives real estate, on condition of ownership, but it differs in the way the estate will terminate if there is a violation to the condition.
Express Contract
the parties state the terms and show their intentions in words, either oral or written
The Lessee
the person that will be the tenant
Townships
the principal unit of the rectangular survey system. A township is a square with six-mile sides and area of 36 square miles
Survey
the process by which boundaries are measured by calculating the dimension and area to determine the exact location of a piece of land
Air rights
the rights to use the space above the earth, may be sold or leased independently, provided the rights have not been preempted by law.
Surface rights
the rights to use the surface of the earth
Gross Lease
the tenant pays a fixed rental and landlord pays all taxes, insurance, mortgage payments, repairs, utilities. Residential and commercial office leases are most often gross leases
Net Lease
the tenant pays all or most of the operating expenses in addition to rent. The monthly rental is net income for the landlord after operating costs have been paid. This is mostly done with large commercial and industrial leases
Progression
the value of a modest home would be higher if were location among larger, fancier properties
supply and demand
the value of a property depends on the number of properties available in the market
Contribution
the value of any part of a property is measured by its effect on the value of the whole parcel
State Real Estate Commission
to administer the Act and supervise the activities of licensees in PA
Acceleration clause
to assist the lender in foreclosure
Bulk zoning
to control density and avoid overcrowding by imposing restrictions such as setbacks, building heights, and percentage of open area or by restricting new construction projects
Buffer Zones
to ease transition from one use to another. Usually a strip of land separating land dedicated to one use from land dedicated to another use. Example: land scaped parks, Playground, hiking trails are used to screen residential areas from nonresidential zones
Incentive zoning
to ensure that certain uses are incorporated into developments, such as requiring the street floor of an office building to house retail establishments
Interstate Land Sales Full disclosure Act
to prevent fraudulent marketing schemes that may arise when land is sold without being seen by the purchasers
Aesthetic Zoning
to specify certain types of architecture for new buildings
rectangular survey system
to standardize the description of land acquired by the newly formed federal government
Cost approach
to value is also based on the principle of substitution. 5 steps 1)estimate the value of the land, 2)estimate the current cost of constructing building, 3)estimate the amount of accrued depreciation, 4)deduct the accrued deprecation, 5)add the estimated land value
Income approach
to value is based on the present value of the rights to future income. Examples: apartment building, office buildings, shopping centers
doctrine of prior appropriation
under the doctrine, the right to use any water, with the exception of limited domestic use, is controlled by the state rather than the landowner adjacent to the water.
Elevation Certificate
a notarized form supplied by a licensed surveyor, enigineer, or architect that shows compliance with community flood plain regulations.
bilateral Contract
both parties promise to do something; one promise is given in exchange for another
Party Wall
can be an exterior wall of a building that straddles the boundary line between lots, or it can be commonly shared partition wall between tow connected properties.
Statue of Frauds
certain types of contracts must be in writing to be enforceable in a court of law
General partnership
all partners participate to some extent in the operation and management of the business and share full personal liability for business losses and obligations.
Right of first refusal
allowing the tenant the opportunity to buy the property before the owner accepts an offer from another party.
Sales comparison approach (market data approach)
an estimate of value is obtained by comparing the subject property with recently sold comparable properties.
liquidated damages
clause in a real estate purchase contract specifies the amount of money to which the seller is entitled if the buyer breaches the contract
Certificate of occupancy
Once the completed structure has been inspected and found satisfactory, the municipal inspector issues and Certificate of occupancy.
Limited Liability Company (LLC)
enjoy the Limited liability offered by a corporate form of ownership and the tax advantages of a partnership.
Civil Rights Act of 1866
equal housing opportunities to all US citizens
Straight loan
essentially divides the loan into two amounts to be paid off separately
Life tenant
The life tenant has full enjoyment of the ownership until the death of the person against whose life the estate is measured.
Lien
is a charge against property that provides security for a debt or obligation of the property owner
Encumbrance
is a claim, charge, or liability that attaches to real estate.
Pur autre vie
(for the life of another) provides for inheritance by the life tenant's heirs only until the death of the third party
Appurtenance
(runs with land) is a right or privilege associated with the property, although not necessarily a part of it. Example: Parking spaces in multiunit buildings, easements, water rights
Requirements of a Valid Lease
-Capacity to contract: the parties must have legal capacity to contract -Legal Objectives: the objectives of the lease must be legal -Offer and acceptance: the parties must reach a mutual agreement on all the terms of the contract -Consideration: The lease must be supported by valid consideration, and exchange of promises
Bundle of Legal Rights
-right of possession -right to control the property within the framework of the law -right of enjoyment(to use the property in any legal manner) -right of exclusion(to keep others from entering or using the property) -right of disposition(to sell, will, transfer, or otherwise dispose of or encumber the property)
Transaction Licensee
A licensed broker or salesperson who provides communication or document preparation services or performs acts described under the definition of broker or sales person for which a license is required, without being an agent or advocate of the consumer
Nonconforming use
A lot or an improvement does not conform to the zoning use b/c it existed before the enactment or amendment of a zoning ordinance.
defeasance clause
A clause used in leases and mortgages tat cancels a specified right upon the occurrence of a certain condition, such as cancellation of a mortgage upon repayment of the mortgage loan.
Pennsylvania Uniform Condominium Act
A condominium is created and established when the owner of an existing building or the developer of unimproved property executes and records a declaration of condominium.
Physical deterioration
A curable item is one that can be repaired, is economically feasible. painting walls
satisfaction of mortgage
A document acknowledging the payment of a mortgage debt
Tenancy in common
A parcel of real estate may be owned by two or more people as tenants. Each tenant holds an undivided fractional interest in the property.
deficiency judgement
A personal judgement levied against the borrower when a foreclosure sale does not produce sufficient funds to pay the mortgage debt in full
Sections
A portion of township under the rectangular survey system. A section is a square with mile-long sides and area of one square mile or 640 acres
Leasehold estate
A tenant's right to possess real estate for the term of the lease
Trade Fixtures
An article owned by a tenant and attached to a rented spaces or building or used in conducting a business. Trade fixtures are considered personal property and can be removed by the tenant. Examples: bowling alleys, store shelves, restaurant equipment, chicken coops, tool shed
Severance
An item of real property can become personal property. Example: An apple becomes personal property once it is picked from a tree
Air lots
An owner may subdivide the air above the land
Reconciliation
Analyzing the results obtained by the three approaches to value to determine a final estimate of value. is the art of analyzing and effectively weighing the findings from the three approaches.
Easement by necessity
And easement that is created when an owner sells a parcel of land that has no access to a street or public way except over the seller's remaining land.
Emblements
Annual cultivated crops of fruit, vegetables and grain are Emblements which are generally considered personal property.
When can a Lot be Revoked
Any contract to purchase a lot covered by this act may be revoked at the purchaser's option until midnight of the seventh day following the signing of the contract
Frannie mae
Conventional: A government- sponsored enterprise established to purchase any kind of mortgage loans in the secondary mortgage market from the primary lenders
Littoral Rights
Granted to owners of land bordering commercially navigable lakes, seas, and oceans
Secondary mortgage market
Helps lenders raise capital to continue marking mortgage loans. is especially useful when money is in short supply; it stimulates both the housing construction market and the mortgage loans
Four economic characteristics of Real Estate
Scarcity Improvements Permanence of Investment Location or area preference
Encapsulation
Sealing off of disintegrating asbestos, is an alternate method of asbestos control that may be preferable to removal in certain circumstances
Holdover tenancy
If no lease was created and there lease expired they are a holdover tenant.
Easement by prescription
If the claimant has made us of another's land for a certain period of time as defined by state law. The ue must be visible, open and notorious and the owner must have been able to learn of it.
Land has Three Physical Characteristics of Real estate
Immobility- location is fixed/ immobile Indestructibility Uniqueness- No land is exactly the same
Zoning Ordinances
Implement the comprehensive plan and regulate and control the use of land and structures within designated land-use districts, in part by separating conflicting land uses.
Regression
In a neighborhood of modest homes, for example a structure that is larger, better maintained, more luxurious would tend to be valued in the same range as the less lavish
Chattels
Include such tangibles as chairs, tables, clothing, money, bonds, and bank accounts
Real Property
Includes both land and real estate. The interests, benefits, and rights that are automatically included in the ownership of the land and real estate.
Comprehensive plan
Local governments establish development goals by creating a Comprehensive plan. It is not a regulatory document, but rather a guide to planning for change rather than reacting to proposals
Mortgagee
Mortgage to the lender
Building Codes
Most municipalities have enacted ordinances to specify construction standards that must be met when repairing or erecting buildings. Such things as materials and standard of workmanship, sanitary equipment, electrical wiring, and fire prevention
Freddie Mac
Mostly Conventional: A government-sponsored enterprise established to purchase mortgage loans in secondary market
Redlining
Practice of refusing to make mortgage loans or issue insurance policies in specific areas for reasons other than the economic qualifications of the applicants.
Area Preference/ Situs
Refers not only to geography but also to peoples's preference for a specific area. Based on several factors, such as convenience, reputation, history
Title
Relates to Real Property. Two meanings 1)the right to ownership of the land, including the owner's bundle of legal rights 2)evidence of the ownership by a deed
Density Zoning
Restrict the average maximum number of houses per acre that may be built within a particular subdivision
Security deposit
Tenants are often required to provide, which is held by the landlord during the lease terms
Construction eviction
Terminates the lease. The tenant must prove that the premise have become unusable because of the conscious neglect of the landlord
Rules and Regulations
That implement and further define the statutory law.
Condominium
The absolute ownership of a unit in a multiunit building based on a legal description of the airspace the unit actually occupies, plus an undivided interest in the ownershp of the common elements, which are owned jointly with the other condominium unit owners.
Mortgagor
The borrower
Employees
The broker is required to withold state income tax and pay unemployment and works compensation.
Suit for specific performance
The buyer asks the court to force the seller to go through with the sale and convey the property as previously agreed
Reversionary Interest
The creator of the life estate may choose not to name a remainder man. In that case, ownership is said to revert to the original owner upon the end of the life estate
Remainder Interest
The creator of the life estate may name a remainderman as the person to whom the property will pass when the life estate ends
Short Sale
The delinquent property owner may ask the lender to accept less than what is owed
Land
The earth's surface extending downward to the center of the earth and upward into space, including permanent natural objects such as trees and water.
Equity
The increasing ownership interest represents the paid-off share of the property held free of any mortgage.
Common Elements
The individual unit owners also own a specified share of the undivided interest in the remainder of the building and land
Equitable right of redemption
The right of a defaulted property owner to recover the property prior to its sale by paying the appropriate fees and charges
Environmental impact statement
These statements detail the impact the project will have on the environment
Right of Survivorship
Upon the death of a joint tenant, the deceased's interest transfers directly to the surviving joint tenant or tenants.
Suit for possession/ actual eviction
WHen a tenant breaches a lease or improperly retains possession of the premises, the landlord may regain possession through a legal process
Hold Over
When a tenant fails to surrender possession, the tenant is responsible for the payment of monthly rent at existing terms and rate.
Assigned
When a tenant transfers all leasehold interests to another person, the lease has been assigned. The new tenant is legally obligated for all the promises the original tenant made in the lease.
Subleased
When a tenant transfers less than all the leasehold interests by leasing them to a new tenant, the original tenant has subleased the property
Ground Lease
When landowner leases unimproved land to a tenant who agrees to erect a building on it
Co-ownership
When title to one parcel of real estate is held by two or more individuals
Index Lease
Which allows rent to be increased or decreased periodically based on changes in consumer price index
Formaldehyde
a colorless chemical with strong, pronounced odor, is used widely in the manufacture building materials and many household products because of its preservative characteristics
Cooperative
a corporation holds title to the land and the building. You are then offered shares of stock to the prospective tenant
rental listing referral agent
an individual or entity who owns or manages a business that collects rental information for the purpose of referring prospective tenants to rental units
Carbon Monoxide
is a colorless, odorless gas that occurs as a by-product of burning fuels such as wood, oil, and natural gas, owing to incomplete combustion
Estate in land
defines the degree, quantity, nature, and extent of an owners interest in real property.
External depreciation
depreciation is always incurable if caused by negative factors not on the subject property, such as environmental, social, or economic forces. example close to a factory, deteriorating neighborhood
Economic life
depreciation is assumed to occur at an even rate over a structures
Metes-and-bounds description
descriptions locate property boundaries by referencing the direction and distance of the property lines
Developer
improves the land by building streets and constructing homes or other buildings on the lots
Group Boycotting
occurs when two or more businesses conspire against other businesses or agree to withold their patronage to reduce competition