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49 Cards in this Set
- Front
- Back
- 3rd side (hint)
Land |
Includes earths surface and any naturally attached components down to earths core and up to infinity |
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Surface Rights |
Includes everything on the lands surface (vegetation and/or water) |
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Subsurface Rights |
Rights to space below ground level (minerals, oil, water, natural gas) |
(Mineral Rights) |
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Air Rights |
Rights of land extending upward (height established by law) limited because can’t prevent plane and helicopter flying overhead |
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Water Rights |
Divided into riparian rights and littoral rights. Owners rights of water meeting their property. |
What are the 2 categories? |
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Riparian Rights |
If owners property meets shoreline of moving water (rivers/lakes/streams) owner has reasonable rights to water IF user doesn’t impair use by others or cause pollution |
Flowing water rights |
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Littoral Rights |
If owners property boarders still waters (oceans/lakes/ponds) they have reasonable rights to water. Extends to land next to water up to average high-water mark. |
Non-flowing water rights |
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Accretion |
Gradual buildup of land due to deposit of sand/soil from body of water on property. Increases land owned |
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Erosion |
Wearing away of land by flowing water or other natural sources. Causes loss of property/land. |
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Alluvion |
Sand/soil buildup that increases land owned |
Result of accretion |
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Reliction |
Land left behind as water recedes |
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Real Estate |
includes land plus all artificially attached items (improvements). Improvements are permanent, human-created enhancements to the land |
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Improvements |
Permanent man made upgrades making land more usable |
For example: roads, buildings, sidewalks, utilities |
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Real Property |
Includes interests, rights, and benefits of ownership. Includes land and everything permanently attached to land and rights of ownership |
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Bundle of Legal Rights |
- right to possession and use - right to profit from use of land - right to dispose of encumber land - right to exclude others |
AKA Tenements and Hereditaments |
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Tenements |
Buildings permanently attached to land |
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Hereditaments |
Real estate interests (property) that can be inherited |
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Residential Property |
Housing in any area |
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Commercial Property |
Business properties |
Hotels, offices, theaters, etc. |
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Industrial property |
properties where something is produced |
Warehouses, power plants, etc. |
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Agricultural Properties |
Lands used for agricultural purposes |
Farms, ranches, vineyards, etc. |
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Special Purpose Properties |
Misc. properties + government owned property |
Churches, schools, cemeteries, etc. |
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Personal Property |
Any property that is not real property |
Property not included in sale. Staging furniture, anything not included in building and land. |
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Immobility |
Property can’t move (unless it’s a mobile home ofc)! Impacts value greatly |
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Indestructibility |
Land itself can’t be destroyed or erased |
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Uniqueness |
Every property is different. Geographic features affect value |
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Scarcity |
Supply of land is fixed! |
“They aren’t making anymore land, get what you can!” Economic characteristic |
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Location |
Value of land in desired places increase over time. |
Economic characteristic |
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Situs |
physical site where a property or entity is located |
Preference |
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Private improvements |
Improvements ON land for private benefit |
Pool built on land, add on, renovation |
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Public Improvements |
Benefits everyone. Improvements TO land. |
New roads and sidewalks, a paved bike path, new sewage system, etc. |
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Permanenance of Investment |
Investments in real estate are long term due to physical characteristics and immobility |
Economic characteristic |
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Highest and Best Use Concept |
Refers to real estate improvements in land parcel that most closest fit demand of lands location |
Is real estate being used to the best of its ability and producing max investment return available? |
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Land Use Restrictions |
Local government have land use ordinances for the benefit of community |
What government says goes Examples: painting all houses in subdivision the same color for aesthetic purposes, requiring lawn to be kept neat, etc. |
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Investor Goals |
Goal of investor |
Should consult tax expert or real estate attorney |
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Profit on Sale |
Determined by completion of renovations, refurbish costs, unforeseen problems, mortgage interest and brokers commission |
How much money will be made when all is said and done |
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Market Fluctuation |
Changes in market/ cause and affect |
When inflation is high cost of construction rises, when new homes are built in an area sale prices of existing homes in area rise |
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Provisional Broker |
Entry level, can perform activities of broker under supervision of BIC. Completing post licensing courses makes a professional broker an actual broker |
Baby Broker |
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Broker (full broker) |
Can engage in brokerage if working for licensed brokerage |
Under BIC |
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Broker in Charge (BIC) |
Highest level of real estate licensure in NC. Every firm must have at least 1 BIC. Must be a full broker w at least 2 yrs full time (or 4 yrs part time) experience and completed additional 12 hr course |
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Real Estate Agent |
Blanket term used to describe someone who helps clients sell and buy real estate |
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Realtor |
Must be a member of national association of realtors |
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Appraisal |
Estimate of value of property |
Estimated _____ of property |
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Property Management (manager) |
Handles tasks for owners and inveetors |
Collects rent, handles maintenance, finds renters, etc. |
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Financing |
Act of securing money got a loan on a real estate purchase |
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Property Development |
Purchase of raw land that is subdivided, turned into lots, builds and sells houses on land |
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Real Estate Counseling |
Provides advice on how to resolve real estate issues |
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Buyer/Seller Market |
When supply of real estate to buy (or lease) exceeds demand, prices (or rents) will decline bc there are more sellers than buyers. When there are more buyers than sellers rent is raised and homes sell for more |
Sellers market is good for making money/buyers market is bad for making money but great for jumping in the game |
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Demand/Supply |
If the demand for real estate is high then prices are high. If supply of real estate exceeds demand then money is lost. |
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