\text{Revenue}&&\$5,000&\$160,000\\ Activities of management engaged to}\\ Neighborhood description commercial property is depreciated over how many years? a. It is prudent to improve property when the value added by the improvement exceeds cost of the improvement. underwriter approval. & \text{$\quad$productive and will help a business}\\ A lower interest rate is offered by the lender during the first year or more of the loan. CERCLA was designed to clean up sites contaminated with hazardous sub- stances, pollutants or contaminants. it gives notice of moving in, the passive increase of the value of a parcel due to market forces. & \text{$\quad$processes, and communicates financial}\\ responsible for: When preparing its planning budget the company estimated that it would serve 30 customers per month; however, during May the company actually served 35. grantor does not even claim to own the property. & \text{h. The intentional preparation of}\\ Operatingactivities7. added to the index to calculate interest rates, teaser rate- lower rate offered initially. Copy of most recent property survey 2. Here is what they had to say! real estate investment trust; created by Congress in 1960, real estate mortgage investment conduits. Financial accounting} & \text{$\quad$obtain adequate funds for beginning}\\ Deed that offers the most protection in which grantor fully warrants good clear title to the premises. Learning the principles and laws of real estate is Champions focus. The amount of money available for the purchase of goods and services. What does r2r^2r2 determine about the statistical significance of a relationship between a dependent and an independent variable? Principles of Real Estate 1 - Term flashcards - Champions School of 9. background information about the appraiser A rookie quarterback is negotiating his first NFL contract. PreviousPaymentsLateFinanceNewMinimumSUMMARYBalance/CreditsTransactionsChargeChargeBalancePayment$876.34$800.00$1,009.56$30.00$29.67$18.00\begin{array}{|c|c|c|c|c|c|c|c|} \hline seller is willing to take part or all of equity in the form of a note. a limit on the amount the interest rate can increase or decrease at each adjustment date. 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. Our focus has always been on providing you with an excellent education experience regardless of what stage of your Real Estate career you are in. when demand is high and supply is short, prices go up - and vice versa, presence of lower-priced properties in the area will cause a decline in the value of the subject property, presence of higher-priced properties in the area will cause an increase in the value of the subject property. closing disclosure, increases penalties for mortgage fraud 30 yrs$1mil, statute limitations 10 yrs. Increased competition will bring prices down. stating the exact nature of the estate being granted, metes& bounds, lot& block, govt survey system. tenant pays rent, plus taxes utlities ect. 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. Study Principles of Real Estate 1 - Term flashcards - Champions School of Real Estate - TEXAS flashcards. He is really good. Principles of real estate II (Champions) Flashcards | Quizlet final step in the appraisal process, in which the appraiser weights the estimates of value from sales comps, cost and income approaches to arrive at a final estimate of market value of the subject property. Title remains with the lender until loan is repaid. \text{6. transferring funds to a title co for disbursement when loan is approved. \text{7. The legal use that gives the greatest return in money and/or amenities. risk based pricing, no published rates. right of govt to exercise the right of eminent domain, govt acquires property for public satisfaction, occupation of land for statutory time, possesion is aquired from owner, any property weather real or personal that can be inherited, state in which a person dies leaving a valid wil, handwritten will, legal, easily contested. Loans that are short term, collateralized by the mortgage notes they fund, and are normally repaid through the sale of these notes to the secondary market. original conveyance o land by the sovereign, resulting document from an investigation of all documents recorded during the history of a property. doesn't indicate that they are legal owner, The government is the original owner of all land. PDF Champions school of real estate principles 1 quizlet The document that pledges the property as security for repayment of the note, is recorded in the county in which the property is located. Buildings are not typical of the area protect consumers from fraud in the sale or lease of land, CERCLA comprehensive environmental response compensation and liability act. specifies requirements found in regulation z. the grantor owns the property, has right to convey it to grantee, has not previously conveyed it to another. 122 cards Real Estate Real Estate Principles Practice all cards Appraisal defined as an appraiser's Opinion of Value. An independent 3rd party appraiser will be contracted to review the appraisal report to verify accuracy of data, elements and procedures used. ___________ 11. the loan origination market where borrowers and lenders negotiate mortgage terms. Identify what will happen to the equilibrium price and equilibrium quantity in each of the following: a. something of value given in exchange for a conveyance. 5. no guarantee for approval, property must fit criteria . Additional support documents, 1. very likely to be contested. The Board of Directors of a publicly traded company says that a proposed amendment to their bylaws is possible to win approval in the upcoming election because a poll of 1505 stock owners indicated that 52%52 \%52% would vote in favor. buying the market pools. Consumer Financial Protection Bureau (CFPB) enforces what Acts? Texas Qualifying Education (Pre-Licensing), Texas Sales Agent Apprenticeship Education (SAE), Texas Continuing Education (CE), Real Estate Professional Assistant Certificate, "I cannot say enough good about Champions School. Liquiditycompanysmanagement4. Texas Principles 2 Scenarios Questions - Champions School of Real Estate Margaret Sullivan died in Texas without a will on file. designed to clean up sites contaminated with hazardous substance. Investment instruments that are secured by pool of mortgages and are used to channel funds from securities markets to housing markets, Market in which borrowers and mortgage lenders come together to create and negotiate terms of a mortgage transaction. Principal of contribution the value of a property is equal to the sum of the contributory value of each of its component parts. a deed is considered to be delivered and accepted when it is delivered into escrow. b. 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. & \text{$\quad$makers outside the organization}\\ special form of insurance which is designed to allow lender to increase the LTV. founded in 1993 membership based non-profit organization that promotes sustainability in how buildings are designed, built, and operated. Type of asset-backed security that is secured by a mortgage or collection of mortgages. loss value caused by factors outside of the property (demand, zoning, condemnation, highways), for income-generating rental properties, neighborhood-specific, GRM = Sales Price/Monthly Rent, Property acquired by lender through foreclosure, Borrowers and lenders come together to create mortgage, Mortgage bankers, mortgage brokers, and correspondent lenders, The detailed process of evaluating a borrower's loan application, The consummation of a real estate transaction, signed and paid. PPossible polluter who may be held liable under CERCLA for the contamination of a property or resource, Texas Mold Assessment and Remediation Rules (TMARR). used to clear up cloud on title, no protection, no ownership claimed by grantor. Havingenoughcashavailabletopaydebtswhentheyareduec. The loan becomes due upon the sale of the property or the death of the owner. 2. Champions Real Estate School Review - Investopedia Agreements that combine the sale of securities with an agreement to buy the securities back at a later date. Cost approach Analysis The loss in desirability of the style, layout, or function of an element of a property over time. transfer of ownership against the will of owner. original document of conveyance of land by the sovereign, investigation of all document that have been recorded relating to a property. ese are non-conforming loans. 4 Things Value of a Property can be affected by, social, economic, governmental, and environmental influences, Sales comparison approach, the cost approach, and income approach. 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. increase in land area when water gradually withdraws, sudden addition or loss of land by river/ stream, something of value given in exchange for a conveyance, indicates the extent of the premises being conveyed. in depth process. & \text{f. The ability to earn enough income to}\\ lender has evaluated the borrower in the underwriting process. Such as the oversupply and consequent drop in demand for a particular kind of property, government actions, such as zoning changes or condemnation proceedings, and proximity to undesirable land uses, such as highways or factories. allows funding of the repairs through a series of draws. Began in 1938 federal agency. 2. major functional obsolescence The most probable price a property should bring in a competitive and open market. Associated Board of Realtors - helpful for residential buyers' agents, return on the property when it is sold for a profit, method of raising funds for the purchase of real estate, passive increase in the value of a parcel due to market forces, potential income of a property in the amount of rent that would be collected in a year, additional capital or property included in a transaction to even out the exchange. What is the probability that Bob receives no tweets during his lunch hour? ", "Amazing staff and instructors that can help streamline the process of licensing or your continuing education. type of insurance required when the LTV exceeds 80%. must be done in some way, when a person dies intestate acquires property under provisions of the Texas statue, formal judicial proceeding to prove or confirm the validity of the will, gradual increase in land through natural force. I'd like more of the education to be centered around how to set up you Real Estate business after you get your license. & \text{\$876.34} & \text{\$800.00} & \text{\$1,009.56} & \text{\$30.00} & \text{\$29.67} & \text{ } & \text{\$18.00}\\ \hline the legal use that gives the greatest return in money or amenities. periodic tenancy, you've done nothing and the appreciation of the land value assists in the increase, 2 Types of REITS (real estate investment trust), Equity and Mortgage. \text{Employee Salaries and Wages}&\$50,000&\$1,100&\$88,000\\ Champions School of Real Estate is proud to be one of the most respected Real Estate schools in Texas! Grantor implies ownership or the right to transfer title but does not provide a warranty of title, deed with no guarantees, warranties or covenants. they are bonded, much like a bank statement and it shows all cash received, expenses during a reporting period. grantee gives to the grantor, most common, best type of deed to have. combination of two or more properties into one. Principles of Real Estate Exam 1 Study Guide - Principles a mortgage is an actual transfer of ownership from the borrower to the lender. Title remains with the lender until the loan is repaid. Designed to enhance consumer protection and reduce fraud by encouraging states to establish minimum standards for the licensing and registration of state licensed mortgage loan originators, and by establishing a nationwide mortgage licensing system and registry for the residential mortgage industry. & \text{$\quad$attract and hold investment capital}\\ The landlord or owner; party granting a lease. At Champions School of Real Estate, our number one focus is your successful career in the Real Estate industry. The battery life drops to 7 hours when the phone is primarily used for Internet applications over cellular. 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. quiz 14.docx. Principles of Real Estate Exam 1 Study Guide Chapter 1: Either directly or indirectly for the purpose of bringing about a sale, purchase, or option to purchase, exchange, auction, lease, or rental of real estate, or any interest in real estate is required to hold a valid real estate license. Champions makes sure you are ready to take your State and National exam. NOTE: leases for more than one year must be in writing, defines the rights and obligations of both landlord and tenant in the leasing of residential and commercial properties, Leadership in Energy and Environmental Design; a building certification for properties that are "green", servicing a property and its equipment in order to prevent mechanical failure and keep property values high, Building Owners and Managers Association; an organization that advocates on the part of building owners and managers, the property manager's employment contract with the owner, deterioration of a property due to delayed maintenance, the transfer of a tenant's rights and liabilities to another, the rent the property could currently command on the open market, the renal income as stipulated by the parties in a lease, Institute of Real Estate Management; affiliate of NAR and offers educational programs, International Council of Shopping Centers, lists all cash that came into and all expenses incurred by a property during the reporting period, advocacy on the part of building owners and managers, any property, real or personal, that is capable of being inherited, title acquired through hostile, actual, continuous occupation of the land fo the statutory period, evidence of an individuals' right to possess land, document that conveys an interest in real estate from one party to another, document that transfers ownership from the government to an individual. value added to improvement exceeds the cost of improvement. Activitiesofmanagementengagedtooperatethebusinessj. (3) The Income Approach. When Calculating the LTV (loan-to-value) ratio, the lender will use the sales price or appraised Value? Included in the de nition is the energy required to acquire the materials, the manufacturing, ship- ping, distribution and ultimate disposal of the product. homeowners who are at least 62 years of age can borrow against the equity in their property. 3. number of payments or period of repayment Champions School of Real Estate-Principles of, Texas Real Estate Exam Prep Class - Champion, Principles of Real Estate 2 Champions MATH SE, John David Jackson, Patricia Meglich, Robert Mathis, Sean Valentine, Fundamentals of Engineering Economic Analysis, David Besanko, Mark Shanley, Scott Schaefer, The Cultural Landscape: An Introduction to Human Geography, AP Edition, Anderson's Business Law and the Legal Environment, Comprehensive Volume, David Twomey, Marianne Jennings, Stephanie Greene. ENERGY STAR program was established in 1992 under this Act. & \text{$\quad$misleading financial statements}\\ Real estate prices in Germany remain the same, although overall sales are declining. 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. insures most protection, any changes to the ownership of real property. Comprehensive Environmental Response, Compensation, and Liability Act CERCLA. We are equipped to help anyone who is seeking an exceptional Real Estate education regardless of schedule or location. 6. 2 categories Residential Loans are divided into: If a residential property contains ____ or more living units, the sale is considered a commercial A value for existing properties method for comparing similar properties to the subject property. ratio of borrowers total recurring monthly debts. Adger Corporation is a service company that measures its output based on the number of customers served. Theprocessofgeneratingandcommunicatingaccountinginformationintheformoffinancialstatementstodecisionmakersoutsidetheorganizatione. Choosing a Real Estate School is the first step to an exciting and eventful career in the Real Estate industry! Examine the summary section of a monthly credit card statement. &\textbf{Fixed Element}&\textbf{Variable Element}&\textbf{Actual Total }\\ Government-FHA, VA or USDA loans, used to qualify a borrower for a loan based on the proposed house payment and his or her gross monthly income. Texas Real Estate License Qualifying Education (QE) - Champions School AMWilson001 Champions Principles of Real Estate 2 Terms in this set (91) appraisal value of a property maybe affected by social, economic, govt and environmental influences Loan-to-Value Ratio (LTV) The percentage of value or sales price that a lender is willing to finance. 4. amount of any finance charge. Description of the property (street address is sufficient), Maintenance (maintained vs. deferred maintenance), Both landlord and tenant are expected to keep property. \text{Travel Expenses}&&\$600&\$19,000\\ a type of appraisal review. The money that mortgage companies use to make loans comes from the sale of __________. price a wiling seller will sell for & price willing buyer will buy. These are non conforming loans. risk based pricing, borrowers are rated A-F with prime borrows having a A rating. Gross Rent Multiplier. Developers are required to provide each purchaser with a disclosure document (Property Report). a. Activitiesofmanagementengagedtospendcapitalinwaysthatareproductiveandwillhelpabusinessachieveitsobjectivesf. &\textbf{Per Month}&\textbf{Per Customer Served}&\textbf{for May}\\ We make it easy and convenient! Aninformationsystemthatmeasures,processes,andcommunicatesfinancialinformationaboutanidentifiableeconomicentityh. passed to ensure that banks would serve the needs of the community in which hey were chartered. Earn or renew your Home Inspector license. It was signed into law by President Barack Obama in May 2009. It basically insures the difference between the borrower's down payment and LTV. The right of the government to take an individual's land if he or she dies without a will or heirs. history or list of all owners back to the sovereignty of the soil. What documentation must the mortgage loan originator provide to the client no later than three business days after their mortgage loan application is received? The sum of the energy used during the life cycle of a product. \text{2. Acodeofconductthataddresseswhetheractionsarerightorwrong\begin{array}{ll} low emissive gas coated with metallic oxide layer. Rental survey tenancy of sufferance permanent and absolute tenure of an estate in land w freedom to dispose at will. goes through items as they analyze the appraisal report for completeness and acceptable conclusions, independent 3rd party appraiser will be contracted to review the appraisal report then verify the accuracy, exterior only/ drive by inspection (low risk loans), gives greatest return in money or amenities. 6. Financingactivities5. Theprocessofproducingaccounting2. Refers to the loss in desirability of the style, layout or function of an element of a property over time, best indicator of value for existing properties, the legal use for property that gives the greatest return in money and/or amenities, the loss in value of a property caused by factors outside the property itself, suggests the value of a property is equal to the sum of the contributory value of each of its components. Mr. Manning, a former neighbor of Margaret's, claims that he and Margaret were "common law" married, and that it had been Margaret's dying wish to leave the house and all of its contents to him. purchases "pools" or mortgages. The borrower retains ownership of the property , subject to the lien that secures repayment of the loan. a type of appraisal review. Also known as a real estate lien notes the borrower's unconditional promise to repay, and includes the amount borrowed, payment amount, due date and rate of interest. & \text{$\quad$operate the business}\\ transaction, GMI x 28% =(House Payment as % of income), GMI x 36% =( Sum of regular debt plus house payment). For more than a decade, the German real estate market was in a dramatic growth phase. Texas Principles 1 Exam Practice Questions - Champions School of Real Estate 1. a: BOMA's major concern is advocacy on the part of: (a) Building owners and managers (b) Landlords and tenants (c) Employment law and managers (d) None of these are correct ( a ) Building owners and managers (b) Landlords and tenants (c) Employment law and managers Champions School of Real Estate is proud to be one of the most respected Real Estate schools in Texas! Get your Real Estate License Education on a Mobile Web App. passed by congress in 1968. passed to protect consumer from fraud in the sale or lease of land. The role money serves when it is used as a form of payment. Demand falls by more than supply rises. Includes deeds, foreclosures, liens, wills, marriage,s, deaths, life estates, fee simple estates and everything else. & \text{i. Terms of each contract are as follows: As his adviser, which contract would you recommend that he accept? 7. Frequently asked questions Appraisal certification, Appraisal Factors that affect loan approval, 1. Fraudulentfinancialreportinga. certified commercial investment member (part of NAR). They prepare you for life as a Realtor. \text{4. Financing activities} & \text{b. Legal purpose set by state of texas dept of insurance, based on properties value using sliding scale. a commodity is infuenced by the cost of acquiring a substitute or comparable item, Many lenders, especially when dealing with high-LTV loans, will order this type of appraisal, States that the purchase price is affected by the expectation of future appeal and benefits. title is conveyed when the deed is signed and. Alexander Holmes, Barbara Illowsky, Susan Dean, Fundamentals of Engineering Economic Analysis, David Besanko, Mark Shanley, Scott Schaefer, Claudia Bienias Gilbertson, Debra Gentene, Mark W Lehman. exterior only/drive by inspection. Permits additional borrowing on the same note and mortgage. This ensures you quickly get to the core! method of financing which preserves the low, existing interest rate on the original note. Suggests that the value of a property is equal to the sum of the contributory value of each of its component parts. \end{array} Suggests that value is maximized when there is reasonable degree of homogeneity, or sameness, in a neighborhood, Uniform Standards of Professional Appraisal Practice, Standards that have been established by the Appraisal Standards Board of the Appraisal Foundation, The value of a subject property is increased by the value of surrounding properties, URAR (Uniform Residential Appraisal Report), The most probable price a property should bring in a competitive and open market under all conditions requisite to a fair sale, If a type of property in a market area is too abundant, it has reduced value. increase in value in a parcel of land due to the activities of the owner/ developer, meathod of raising funds for the purchase of a real estate investment, allows for the indirect investment in mortgages through the sell of securities, additional capital or property included in transaction, gives tenant possession without ownership, renews its self automatically for like periods of time, tenant occupies w permission for unspecified time, begin with lower payments at a fixed rate, and increases, tenant pays rent owner pays taxes utilities ect. If tenant moves out, owing rent, and leaves personal property, The government is the original owner of all land. 1. Shorter version of the appraisal report for underwriting, rather than requiring a full appraisal report, which includes interior inspection. Assets that are easily converted to cash. offers the greatest protection of any deed. Texas State Portion Real Estate Exam part 2.docx. Champions School provides the education needed to become a licensed Real Estate Agent, Broker, Loan Originator, Home Inspector, or Appraiser. The consummation of a real estate transaction in which all appropriate documents are signed and the proceeds of the mortgage loan are disbursed by the lender. TILA, FCRA, RESPA, ECOA. any change in the ownership of relationship property. transfer of ownership against the will of the owner. a type of seller financing where in the owner retains title to the property while the purchaser takes possession of the premises and pays the principal. Accountinga. provides the consumer with assistance securing hard to place or niche sources f mortgage money. 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. \text{1. Champions In Real Estate offer real estate for sale in Kanimbla , Earlville , Mooroobool and surrounding areas. A supply curve usually has a negative x-axis intercept because, a) price elasticity of supply is usually negative, c) the firm will not supply goods for free. 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. Texas principles of real estate 2 - YouTube based on the assessed value of the property and the existing tax rate. origination, loan processing, underwriting, close, fund, servicing, Residential Mortgage Loan Originator (term mandated by the SAFE act), Consumer Financial Protection Bureau; signed into law in 2010.