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