maximized value when homogeneity in neighborhood, principle of increasing and decreasing returns. two largest are Freddie Mac and Fannie Mae, may be organized as limited or general partnerships, all or part of the rental is based on the gross receipts of the tenant's business, a lease with definite beginning and ending dates, when a lease agreement comes to the end of the lease period and terminates, lease that renews itself for like periods of time automatically, when a lease ends and the tenant doesn't leave. \text{3. estimate of value based on current construction costs. Financingactivities5. The relationship between the amount of rent a specific property can command, and the value of the property to the owner. SUMMARYPreviousBalance$876.34Payments/Credits$800.00Transactions$1,009.56LateCharge$30.00FinanceCharge$29.67NewBalanceMinimumPayment$18.00. She has one son, Tyler, who lives in Maine. 9. The loss in desirability of the style, layout, or function of an element of a property over time. ( Champions School Of. set by state of texas dept of insurance, based on properties value using sliding scale. deemed as low risk loan, Residential Mortgage Loan Originators (RMLO), Must be certified licence holders and is mandated by the SAFE ACT (TX dept of savings and mortgage lending), purchase price is affected by the expectation of future appeal and benefits, value of a commodity is influenced by the cost of acquiring subsitute or comparable item, value of properties around yours goes up; so does yours, The Value of more expensive home placed in a neighborhood of less expensive homes will drop in value. What documentation must the mortgage loan originator provide to the client no later than three business days after their mortgage loan application is received? used in most real estate transactions. Suggests that the value of a property is equal to the sum of the contributory value of each of its component parts. limits interest rate over the lifetime of a loan. Conversely, increased competition tends to bring prices down, Demand,Utility, Scarcity, Transferability characteristics of value in a property, The most commonly misunderstood appraisal concept, Net/Gross Adjustments may not exceed what %, The actual age of the property in years. 3. Helen Fortier February 10, 2022 Champions school of real estate principles 1 quizlet 2 reviews of Alpha College of Real Estate "I'm currently taking the principles of real estate class Howard is my instructor. How do I get a Texas Real Estate License? 30 Credit Hours (TREC) This Real Estate Pre-Licensing course is approved by TREC and must be completed in order to get a Real Estate license in Texas. Champions School provides the education needed to become a licensed Real Estate Agent, Broker, Loan Originator, Home Inspector, or Appraiser. buying the market pools. January 1, 2005, launching its Mold Mission Program. offers the consumer an interest rate that is fixed for an initial period of time, then readjusts over the remainder of the life of the loan. The landlord or owner; party granting a lease. founded in 1993 membership based non-profit organization that promotes sustainability in how buildings are designed, built, and operated. a mortgage is an actual transfer of ownership from the borrower to the lender. If Market is flooded values will be flat. loans including refinance transactions secured by a first or subordinate lien on residential real property that is improved with a new home, payment applied to interest not principal, scheduled variations in regular periodic payment amounts not caused by charges to the interest rate, payment 2x of that of regular periodic payment, interest rate increases after consummation but the rates that will apply or periods,are not known at consummation, interest rate changes after consummation but the rates that will apply or periods,are known at consummation. Accountinga. Real Estate Mortgage Investment Conduit (REMIC), Allows for the indirect investment in mortgages through the sale of securities. PMI is required when the LTV of a conventional loan exceeds 80%, the right of the government to regulate and control the way land is used, area of land separating one land use to another, changing the zoning of a property to a lower value, the right of the government to take private land for public use, the taking of land through eminent domain, the government's right to tax real estate, the process of transferring real estate to the state when a person dies intestate, imposed on land by developers, deed restrictions, Interstate Land Sales Full Disclosure Act. small investors to invest in larger commercial properties. purchase price is affected by the expectation of of future appeal and benefits. subsequent to adjustment, limits how much a payment can increase or decrease. limits how much a payment can increase/ decrease. prohibits redlining. tenancy of will a. examining of the public records and constructed a chain of title and an abstract of title. Financialaccountingobtainadequatefundsforbeginning8. Calculate the new balance. Theprocessofproducingaccountinginformationfortheinternaluseofacompanysmanagementb. preserves low, existing intrest rate on the original note. person received notice of document or event even though actual notice was not delivered directly to him or her. Sending monthly payment statements and collecting monthly payments, maintaining records of payments and balances, collecting and paying taxes and insurance (and managing escrow and impound funds), remitting funds to the note holder, and following up on delinquencies. A rookie quarterback is negotiating his first NFL contract. Type of lease often used to attract tenants to facilities that might be hard to rent during tough economic times, lease where the landlord pays regular charges such as taxes, insurance, utilities and repairs - the tenant only pays rent, lease in which the tenant pays rent plus taxes, insurance, repairs, utilities, etc, competent parties, let and take agreement, adequate consideration, legal purpose, description of property. Regulation Z Federal Law to protect consumers by disclosing terms and cost of credit, the purchase and sale of existing mortgages to investors to provide liquidity and additional funds for lending, balances mortgage credit to include capital-deficient areas, More realistic price, agent has better understanding of ability to pay, avoid showings buyer cannot afford, Seller knows buyer can afford the home, The lesser of the appraised value or sales price (in %), will be found on almost any high LTV loan, a mortgage insurance program (not a lender), Right of the government to regulate and control the way land is used (zoning), Interstate Land Sales Full Disclosure Act, Gives authority to Federal and State natural resource agencies, and Native American Tribes, services buyers and seller moving from corporate transfer, Certified Commercial Investment Member (CCIM), "gold standard" for commercial designations, must register with Texas Dept of Savings and Mortgage Lending, Sponsoring broker must maintain these to assure a sales agent is competent, a hedge against inflation, a higher rate of return, ability to leverage (borrow $ to make $), Tax-sheltered income, capital gains tax, deferred taxation on exchanges, $250,000 single, $500,000 couple, lived in 2 of last 5 years, organized as limited or general partnership or a corp, Created by congress in 1960 minimum 100 investors, lease in which all or part of the rent amount is based on the receipts of the tenant's business (typical shopping center lease), An attorney is needed if clients want this, Competent parties any change in the ownership of relationship property. A legally enforceable declaration of how a person wishes his or her property to be distributed after death, one who benefits from something; a person who is left money or other property in a will or the like. Fraudulent financial reporting} & \text{$\quad$accounting information in the}\\ lease where rental is based on gross recipts of the tenants business (shopping center), transfer of tenants rights and liabilites to another, right for tenant to match/ offer more than landlord may receive, transfer of rights/ leased space w liability remaining for lesee, act of mixing a clients fund w a brokers personal funds, education programs that lead to industry recognized designations, gives commercial real estate practicioneers an opertunity to further their buisness through education and networking, gives lanlord a picture of the finnancial health of the property. ___________ 1. a type of appraisal review. & \text{$\quad$form of financial statements to decision}\\ 5. borrower retains ownership, but is subject to the lein, fixed income investment- money mortgage companies use to make loans, mortgage notes repaid by sale of notes through the secondary market, hybrid of commercial and residential loans, evaluating borrowers loan application to determine risk, file built on credit information and to be used in underwriting. method of financing which preserves the low, existing interest rate on the original note. Examine the summary section of a monthly credit card statement. percentage of value or sales price that a lender is willing to finance. Title remains with the lender until the loan is repaid. A break in this line would create a cloud on the title. flexible and short u shaped duct that connects a room to a common space as pressure balancing mechanism. Neighborhood description supplement to the body of a will; later addition to a will, individual who receives property from person who died intestate, Texas Promulgated Contracts-CHAMPIONS STUDY, Chinese 1: Chinese Hanzi to English and Pinyin, Champions School Principles of Real Estate II, Statistical Techniques in Business and Economics, Douglas A. Lind, Samuel A. Wathen, William G. Marchal, David R. Anderson, Dennis J. Sweeney, James J Cochran, Jeffrey D. Camm, Thomas A. Williams, Claudia Bienias Gilbertson, Debra Gentene, Mark W Lehman. consent of the lender allows property to be sold for a price sufficient to pay mortgage off. Acodeofconductthataddresseswhetheractionsarerightorwrong\begin{array}{ll} Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. 4. amount of any finance charge. promotes energy efficient products and buildings. Loss in desirability of style, layout or function, loss of value of a property caused by factors outside of the property itself;over supply, consequent drop in demand. Show the possibility density function for battery life for the Droid Razr Maxx phone when its primary use is talk time. the absence of competition will cause prices to increase in the marketplace. & \text{e. Activities of management engaged}\\ The process of collecting loan monthly payments, keeping records and balances, collecting and paying taxes and insurance. grantee gives to the grantor, most common, best type of deed to have. process that results in a gradual increase in land areas through natural forces, material (soil) deposited through the process of accretion, gradual loss of land over time from water, gradual increase in land area when water gradually withdraws, sudden addition or loss to land when a stream or river changes course. If the house is 20 years old, The appraiser's estimate of the age of the house based upon its ongoing maintenance and upgrades. property owner obtains a certificate much like an automobile that is recorded in the public records. 3. number of payments or period of repayment no guarantee for approval, property must fit criteria . Developers are required to provide each purchaser with a disclosure document (Property Report). estate for years addition or amendment to an existing will. Flood maps 7. secure and fair enforcement for mortgage licensing-enhance consumer protection- and reduce fraud. very vulnerable to being contested. \text{Employee Salaries and Wages}&\$50,000&\$1,100&\$88,000\\ Over 500 million tweets are sent per day. Earn or renew your Real Estate Sales Agent or Broker license. FERA also increases the statute of limitations for mortgage fraud from 5 years to 10 years. CERCLA was designed to clean up sites contaminated with hazardous sub- stances, pollutants or contaminants. Sales Price monthly rent, the process of estimating the value of an income-producing property by capitalization of the annual net income expected to be produced by the property during its remaining useful life, an estimate of value based on current construction costs, less depreciation, plus land value, estimate of value by examining and comparing actual sales of comparable properties, part of income capitalization. oral/ deathbed will. Analysis of market data Bank owns it now. Another Name for environmental or economic obsolescence. 16 pages. Eminent Domain financing in which a borrower receives funds secured by the value of a parcel of real estate, Method of financing which preserves the low, existing interest rate on the original note. decreases over time, norm paid by buyer. 2. Certified General Appraiser, person who is authorized by Texas Appraiser licensing and certification board to gain legal RE appraisal Experience under the sponsorship of a certified general or certified residential appraiser, the document that pledges the property at security for repayment, legal procedure whereby the secured property may be sold to satisfy the unpaid promissory note. (1) The Sales Comparison Approach up to 90 days, main job is to protect and preserve the value of an investment property while generating income for the owner. Increased competition will bring prices down. seller is willing to take part or all of equity in the form of a note. The purchase agreement gives the purchaser a seven-day period in which the purchase can be canceled. For more than a decade, the German real estate market was in a dramatic growth phase. used to clear up cloud on title, no protection, no ownership claimed by grantor. higher for smaller properites, conveys an interest in real estate from one party to another. ___________ 2. They prepare you for life as a Realtor. accretion, alluvion, erosion, reelection, avulsion, grantor promises to warrant and defend title, but only against claims which may have arisen during his or her period of ownership, deed with no guarantees or warranties. residential property is depreciated over how many years? Over 90% of our business is driven by word-of-mouth referrals from Real Estate Brokers, Sales Agents, Mortgage Loan Originators, Home Inspectors, and Appraisers. * whole # by denominator title companies maintain their own date base of transactions within the county that is organized in a manner that makes title examination far more efficient than searching at county clerk, document tat conveys an interest in real estate from one party to another, evidence am individual has to possess land, investigation of all the documents that have been recorded relating to a property, opinion regarding state of title and ability to transfer, transfer of title that is free of grantor. \text{1. Texas Principles 2 Q & A - Champions School of Real Estate 1. Unlimited number of times. Earn or renew your Home Inspector license. Champions In Real Estate offer real estate for sale in Kanimbla , Earlville , Mooroobool and surrounding areas. ___________ 12. b. Profitability3. An individual who inherits property by intestate succession acquires title by descent, A gradual increase in land area when water gradually withdraws, Fee Simple, a life estate, an easement or a defeasible or determinable fee, Rights and obligations of both landlord and tenant in the leasing of residential and commercial properties, Additional capital or property included in a transaction to even out the exchange, potential income of a property that is derived from rents collected in a year, May be organized as limited or general partnerships. no obligation o extend credit. There is no membership needed. very likely to be contested. If the property cannot be transferred, it is of little value. final rule mandates the use of 2 disclosures that help the consumer in understanding the key features, costs and risk: 3 pages loan estimate & closing disclosure forms. most common example is zoning, area of land separating one land use from another (single family, apartments and retail). payment plan allows a borrower to pay only the interest for a specified number of years, typically for 3 to 10 years, making it possible for a borrower to have smaller monthly payments for a period of time, Contributions to buyer's closing cost that are limited to 6% of the sales price, USDA Rural Development Guaranteed Housing Loan program, Insured by the U.S. Department of Agriculture. DUST; demand, utility, scarcity, transferability. A principal owes his agent compensation, reimbursement, indemnification and performance Procuring Cause of Sale The effort that results in the sale of property - the act of bringing a ready, willing and able buyer to a seller resulting the sale of the seller's property Exclusive right to sell TILA (Truth in Lending), RESPA ( Real Estate Settlements Procedures Act), FCRA (Fair Credit Reporting Act, ECOA (Equal Credit Opportunity Act), A federal law passed to ensure that banks would serve the needs of the community in which they were chartered to do business and prohibits redlining. The Special Information Booklet and the Loan Estimate form, RESPA manages closings on ______federally-related financing, one-to-four family residential properties with, Survivorship rights of a policyholder's spouse, lists all cash that came into and all expenses incurred by a property during the reporting period, Any property, whether real or personal, that is capable of being inherited. c. Supply rises by more than demand rises. Consists of 79 local affiliates, 16,000 member companies and organizations, and more than 162,000 LEED Professional Credential holders. legal. 5. Acodeofconductthataddresseswhetheractionsarerightorwrong. (2) The Cost Approach, prohibits discrimination on the basis of race, color, religion, national origin, sex, marital status, age, receipt of public assistance, or good faith exercise of any rights under the Consumer Credit Protection Act. The value of a property may be affected by social, economic, governmental and environmental influences. October 3, 2015, It replaced the Good Faith Estimate, which has been in use since January of 2010. & \text{$\quad$productive and will help a business}\\ tells NY desk to sell securities collecting payments from banks by reducing their reserve amounts. The mortgages are sold to a group of individuals (a government agency or investment bank) that securitizes, or packages, the loans together into a security that investors can buy. ___________ 6. generally 5-10% range with fees. Appraisal certification, Appraisal Factors that affect loan approval, 1. Theabilitytoearnenoughincometoattractandholdinvestmentcapitalg. fixed interest rate for initial period of time, borrower pays interest only making, initially making payments smaller, monthly house payment includes principal, insurance, interest and taxes, partially amortized loan w final payment substantially larger than others, value of the property must provide adequate loan security, collateral dependent loan (hard money loan), asset based financing where borrower receives funds secured by the value of real estate. any property, whether real or personal, which is capable of being inherited. Property and lender information when unscrupulous lenders take advantage of a consumer's lack of knowledge regarding lending practices. Havingenoughcashavailabletopay5. the value of a property is equal to the sum of the contributory value of each of its component parts. Match the following terms to the correct definitions. The battery life drops to 7 hours when the phone is primarily used for Internet applications over cellular. Under the Deceptive Trade Practices Act, __________ are defined as tangible chattels: goods 4. Take your license further with a Designation or Certification. Principles of Real Estate 2. a limit on the amount the interest rate can increase or decrease at each adjustment date. \text{8. Real Estate Principles #1 - Kevin Ward Real Estate Academy Kevin Ward Real Estate Academy Streamed 9 years ago Watch This Before You Spend $1000 Bucks ! Description of the property (street address is sufficient), Maintenance (maintained vs. deferred maintenance), Both landlord and tenant are expected to keep property. Additional support documents, 1. For an application to be considered "complete" the lender must have all of the following (Property Address, Estimated Value, Name of the borrower, SSN, Income, Loan Amount), the central banking system of the United States, Sets the Fed's monetary policy, which is carried out through the Trading Desk of the Federal Reserve Bank of New York, the interest rate a Reserve Bank charges eligible financial institutions to borrow funds on a short-term basis, The standard loan application in use is the Uniform Residential Loan Application, Fraud Enforcement and Recovery Act (FERA). TMARR is administered by the Texas Department of State Health Services (DSHS), and sets rules and regulations for the inspection, assessment and remedia- tion of mold. Achieve success through Business Etiquette. used when a notable number of rental properties are in the area, applies only to income-generating rental property, 1. Real Estate Salesperson National Prep Exam 1.docx. What does r2r^2r2 determine about the statistical significance of a relationship between a dependent and an independent variable? \text{SUMMARY} & \text{Balance} & \text{/ Credits} & \text{Transactions} & \text{Charge} & \text{Charge} & \text{Balance} & \text{Payment}\\ \hline never a reliable estimate of market value, standards that have been established by the Appraisal Standards Board of the Appraisal Founation, Universal Residential Appraisal Report; Fannie Mae 1004, sales comparison approach, cost approach, income approach, estimate of age based on the condition of the property. & \text{$\quad$makers outside the organization}\\ purchase title insurance either by grantor or grantee. Rental survey Borrowers are rated A-F with a prime borrower having an A rating. initial truth in lending disclosure. Grantor implies ownership or the right to transfer title but does not provide a warranty of title, deed with no guarantees, warranties or covenants. 40 pages. \text{Travel Expenses}&&\$600&\$19,000\\ history or list of all owners back to the sovereignty of the soil, you want this one. & \text{f. The ability to earn enough income to}\\ state law requires law, real estate contracts and leases over a year to be in writing. The exchange of goods or services for other goods or services without the use of money. insures most protection, any changes to the ownership of real property. many lenders, especially high LTV loans, will order a field review of the appraisal. most conveyances are voluntary. The company provided the following fixed and variable cost estimates that it uses for budgeting purposes and the actual results for May as shown below: FixedElementVariableElementActualTotalPerMonthPerCustomerServedforMayRevenue$5,000$160,000EmployeeSalariesandWages$50,000$1,100$88,000TravelExpenses$600$19,000OtherExpenses$36,000$34,500\begin{array}{lrrr} the grantor owns the property, has right to convey it to grantee, has not previously conveyed it to another. Given to attorney to write up, abstract of title given to attorney who gives their opinion regarding the state of the title and its ability to be transferred. It is prudent to improve property when the value added by the improvement exceeds cost of the improvement. Profitabilityinformationfortheinternaluseofa3. ___________ 10. The term Residential Mortgage Loan Originator is mandated by the ______ Act, Secure and Fair Enforcement for Mortgage Licensing Act (SAFE Act). The evidence an individual has of his or her right to possess land. ___________ 8. negotiated between landlord and manager. Liquiditycompanysmanagement4. Champions School Principles of Real Estate II Flashcards | Quizlet Social Science Law Civil Law Champions School Principles of Real Estate II Term 1 / 193 Appraisal Click the card to flip Definition 1 / 193 An Appraiser's opinion of value Click the card to flip Flashcards Learn Test Match Created by Texasrealtor Terms in this set (193) insures the difference, Police Power Type of asset-backed security that is secured by a mortgage or collection of mortgages. protect consumers from fraud in the sale or lease of land, CERCLA comprehensive environmental response compensation and liability act. Equal Credit Opportunity Act; passed in 1974, ensures equal chance for credit. sending monthly payment statements, and collecting monthly payments, maintaining records and balances. \text{9. 9. background information about the appraiser Included in the de nition is the energy required to acquire the materials, the manufacturing, ship- ping, distribution and ultimate disposal of the product. it can be money, personal property, ie $10, grantor promises the grantee interrupted use of the property, A deed with no guarantees or warranties - it offers the buyer the least protection - can be used to correct or cure a defect or cloud on title. Learning the principles and laws of real estate is Champions focus. The legal use that gives the greatest return in money and/or amenities. charge for paying all or part of principal before due, paid to loan originator for originating and extending credit, items provided by persons other than the mortgage originator or creditor that you cannot shop for and will pay for at settlement (fees), provided by persons other than creditor, services you can shop for, paid at settlement, sum of sub totals of origination charges, services you can and cant shop for, land and title documents assessed by govt authority. Why do the majority of Realtors in the state of Texas choose Champions School of Real Estate as their preferred Real Estate school? 10. permits additional borrowing on the same note and mortgage, owner retains title of property while purchaser takes possession while paying principle. vetran loan, loans made by lender dd214 submission form 26-1880. section 502 loan 100% financing, no down payment, primary residences only, rural property loan. risk based pricing, no published rates. 8. designed to clean up sites contaminated with hazardous substance. a deed is considered to be delivered and accepted when it is delivered into escrow. foreclosure, bankruptcy, condemnation proceedings, adverse possession, intestate succession and escheat, process by which the government exercises its right of eminent domain, deathbed or oral will. Accounting2. purchase price is affected by the expectation of future appeal and benefits, value is influenced by the cost of acquiring a substitute or comparable item, value is maximized when there is a degree of homogeneity in a neighborhood, lower-priced properties in the area will cause a decline in value, higher-priced properties will raise value, most probable price in a competitive and open market, based on the assessed value of the property, may be affected by social, economic, governmental and environmental influences, The appraisal will NOT include this in the appraisal, Best method to value properties. Activitiesofmanagementengagedtooperatethebusinessj. value added to improvement exceeds the cost of improvement. Champions Advantage Choose Method $1080 9 Course Licensing and Renewal Program $1445 $1685 SAVE $240 Courses included: Six 30-Hour QE Courses Real Estate Exam Prep Course Three 30-Hour SAE Renewal Courses 4-Hour TREC Legal Update 1 4-Hour TREC Legal Update 2 Additional details: FREE Books / PDFs Included FREE Exam Prep Retakes for 1 Year 3. result write on top of denominator, divide biggest whole number to both numerator and denominator, to get smallest fraction, based upon tax rate and assessed value of property, length x width x height 27 cu ft = 1 cu yd, Champions School of Real Estate-Principles of, Champion School of Real Estate-Law of Contrac, Fundamentals of Engineering Economic Analysis, David Besanko, Mark Shanley, Scott Schaefer, Alexander Holmes, Barbara Illowsky, Susan Dean.