A person, corporation or firm, not otherwise in banking, that provides its own funds for mortgage financing as opposed to savings and loan associations or commercial banks that use other people's money (depositors) to originate mortgage loans, Building a file that will be used to make an underwriting decision. Terms of each contract are as follows: As his adviser, which contract would you recommend that he accept? state law requires law, real estate contracts and leases over a year to be in writing. The material (soil) that is deposited through the process of accretion that is the result of avulsion, erosion and reliction. The loss in a property's value due to daily wear and tear. Principles of real estate II (Champions) 5.0 (7 reviews) Term 1 / 127 Functional obsolescence Click the card to flip Definition 1 / 127 Refers to the loss in desirability of the style, layout or function of an element of a property over time Click the card to flip Flashcards Learn Test Match Created by Margaretcoltman Terms in this set (127) \text{7. transfer of title that is a free act of the grantor. ___________ 10. b) What confidence level did the pollsters use? loss in a property's value due to daily wear and tear. It is would suggest that an owner should not "over improve" a property. based on the assessed value of the property and the existing tax rate. 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. grantor promises uninterrupted use of the property, grantor is responsible for any doccumentation needed to ensure title transfer. The Property Report contains information about the subdivision and is required to be delivered to a purchaser before the signing of a purchase agreement. possible polluted who may be held liable under CERCLA for the contamination of a property or resource. Identify and explain the structures of language. very likely to be contested. If the property cannot be transferred, it is of little value. Income approach Analysis Fraudulent financial reporting} & \text{$\quad$accounting information in the}\\ 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. equalize air pressure between rooms in a house by adjusting air flow in supply and return ducts. When Calculating the LTV (loan-to-value) ratio, the lender will use the sales price or appraised Value? a mortgage is an actual transfer of ownership from the borrower to the lender. 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. 6. examining of the public records and constructed a chain of title and an abstract of title. (2) The Cost Approach, period between rate changes monthly, 3 mo,6mo, 1yr, 3yr,5yr, 7yr. Conventional-loans that have no federal guarantees or insurance Bank owns it now. A Rare 150 /- Acre Parcel in the . 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. sending monthly payment statements, and collecting monthly payments, maintaining records and balances. 3. 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. Included in the de nition is the energy required to acquire the materials, the manufacturing, ship- ping, distribution and ultimate disposal of the product. & \text{g. An information system that measures,}\\ Activities of management engaged to}\\ all consumers are given a equal chance to obtain credit. & \text{h. The intentional preparation of}\\ ( Champions School Of. specifies requirements found in regulation z. Profitabilityinformationfortheinternaluseofa3. original document of conveyance of land by the sovereign, investigation of all document that have been recorded relating to a property. \end{array} 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. Activitiesofmanagementengagedtospendcapitalinwaysthatareproductiveandwillhelpabusinessachieveitsobjectivesf. What documentation must the mortgage loan originator provide to the client no later than three business days after their mortgage loan application is received? can be voluntary or involuntary. They prepare you for life as a Realtor. Financingactivitiesb. value set on the property for tax purposes. & \text{e. Activities of management engaged}\\ Economic obsolescence The grantor promises to warrant and defend title, but only against claims which may have arisen during his or her period of ownership. divided into sections called "schedules," and must be delivered by the title company within 20 days of its receipt of the contract. ___________ 5. the value of a commodity if influenced by the cost of acquiring a substitute or comparable item. Real Estate Salesperson National Prep Exam 1.docx. & \text{$\quad$misleading financial statements}\\ PPossible polluter who may be held liable under CERCLA for the contamination of a property or resource, Texas Mold Assessment and Remediation Rules (TMARR). The interest rate and monthly payment change every month, 3 months, 6 months, 1 year, 3 years, 5 years or 7 years, what the lender uses as an instrument for measuring changes in interest rates, The percent added to the index in order to calculate the payment interest rate, Is equal to the margin plus the index and is usually to the nearest one-eighth of a percent. Financialaccounting8. Grantor implies ownership or the right to transfer title but does not provide a warranty of title, deed with no guarantees, warranties or covenants. secured property may be sold ti satisfy the unpaid promissory note. (PETE) police power, escheat, taxation, eminent domanin. a type of appraisal review. person designated to execute the terms of a will. tells NY desk to sell securities collecting payments from banks by reducing their reserve amounts. most reasonable price a property should bring in a competitive open market. Includes deeds, foreclosures, liens, wills, marriage,s, deaths, life estates, fee simple estates and everything else. % of the lesser of the appraised value or sales price that lender will lend. a limit on the amount the interest rate can increase or decrease at each adjustment date. 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. document that pledges the property as security for repayment of the note. borrowers provide basic information like income, debt, and credit history. the most probable pice a property should bring in a competitive and open market under all conditions requisite to a fair sale. Liquidity4. What is one of the most important ways through which the behavior becomes integrated? oral/ deathbed will. standard financial index used in U.S. capital markets, and can be found in the Wall Street Journal. b. \text{SUMMARY} & \text{Balance} & \text{/ Credits} & \text{Transactions} & \text{Charge} & \text{Charge} & \text{Balance} & \text{Payment}\\ \hline the market in which borrowers and mortgage lenders come together to create and negotiate terms of a mortgage transaction. ", Texas Department of Savings and Mortgage Lending, Texas Appraiser Licensing and Certification Board. zoning, highways. Comprehensive Environmental Response, compensation, and Liability Act. 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. October 3, 2015, It replaced the Good Faith Estimate, which has been in use since January of 2010. \text{4. Financing activities} & \text{b. 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. 1. doesn't indicate that they are legal owner, The government is the original owner of all land. The Loan Estimate form combines elements of the Good Faith Estimate and the initial Truth In Lending disclosure into one. cannot exceed 36% of the borrowers income, conventional loans that conform to fannie mae and freddie mac standards for purchase. title to land in the United States can be traced back to its original owner, (Police Power,Eminent Domain,Taxation, Escheat), Changing the zoning of a property to a lower value, The amount of space required between the lot line and the building line, Interstate Land Sales Full Disclosure Act. transaction, GMI x 28% =(House Payment as % of income), GMI x 36% =( Sum of regular debt plus house payment). Fraudulentfinancialreportinga. Texas State Portion Real Estate Exam part 2.docx. the interest rate a Reserve Bank charges eligible financial institutions to borrow on a short term basis, the rate remains fixed for the entire term of loan, an interest rate increases or decreases at specified intervals over the life of the loan, monthly payment includes principal, interest, taxes and insurance. limits how much a payment can increase/ decrease. the loan origination market where borrowers and lenders negotiate mortgage terms. Exam-Federal 1-A2. Neighborhood description set by state of texas dept of insurance, based on properties value using sliding scale. homeowners who are at least 62 years of age can borrow against the equity in their property. Title remains with the lender until the loan is repaid. 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. 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. only legal for personal property. Texas Principles 2 Q & A - Champions School of Real Estate 1. 2.amount of any payment lender has evaluated the borrower in the underwriting process. Why do the majority of Realtors in the state of Texas choose Champions School of Real Estate as their preferred Real Estate school? Principle of Increasing and Decreasing Returns. Champions School of Real Estate (CSRE) * School Info San antonio, Texas All Departments Documents Q&A Most Popular documents 5 pages Texas Principles 1 Exam Practice Questions - Champions School of Real Estate.docx 2 pages exam-missed (1).pdf 21 pages Texas State Portion Real Estate Exam part 2.docx 5 pages FERA also increases the statute of limitations for mortgage fraud from 5 years to 10 years. value is maximized when there is a reasonable degree of homogeneity or sameness in a neighborhood. Investing activities} & \text{$\quad$debts when they are due}\\ Flood maps covering more than one parcel of real estate, Texas Promulgated Contracts-CHAMPIONS STUDY, Principles Real Estate II- Practice Exam 2, Champions School of Real Estate-Principles of, Statistical Techniques in Business and Economics, Douglas A. Lind, Samuel A. Wathen, William G. Marchal, Claudia Bienias Gilbertson, Debra Gentene, Mark W Lehman.