Use LEFT and RIGHT arrow keys to navigate between flashcards;
Use UP and DOWN arrow keys to flip the card;
H to show hint;
A reads text to speech;
32 Cards in this Set
- Front
- Back
Offer |
An intention expressed in writing to enter into an agreement |
|
Contract |
An offer that is fully negotiated, agreed to & signed by all parties |
|
Listing agent responsibility |
To present all offers prior to the sellers acceptance of any offer |
|
Termination of an Offer |
An offer can be terminated before acceptance of the other party with a written withdrawal notice to the other side |
|
Laws & rules for agents |
May only receive commission from their broker |
|
Conforming Loans |
Loans that meet the loan purchase requirements of both Fannie Mae & Freddy Mac |
|
REITS Real Estate Investment Trusts |
A company must distribute at least 90% of its taxable income to shareholders annually in the forms of dividends |
|
Fannie Mae FNMA |
Exchanges mortgage back securities for a block or pool of mortgages |
|
FNMA Fannie Mae |
Nation's largest investor in residential media |
|
FNMA Fannie Mae |
Primary responsibility is to maintain an active secondary market for mortgages |
|
Secondary Market |
Main activities are buying loans & issuing mortgage backed securities |
|
Jumbo Loans |
Over the conforming loan limit, tend to be tied to luxury residences |
|
Wrap around mortgage |
Seller uses his equity to create a loan for the buyer (new financing wrapped around the existing mortgage) |
|
Balloon mortgage |
Amortized payment of mortgage remains constant over the period of the loan but leaves an outstanding balance to be paid at the end of the term |
|
Blanket mortgage |
Usually used to finance the purchase of raw land. Allows developer to include more than one property |
|
Budget mortgage |
Equal payments to be made by the borrower to cover principle & interest for the life of the loan |
|
Budget mortgage |
Equal payments to be made by the borrower to cover principle & interest for the life of the loan |
|
Construction Mortgage |
Don't receive all funds at once, but receive draws as construction is completed |
|
ECOA Equal Credit Opportunity Act |
Prohibits any creditor or banker from discrimination |
|
Executed Contract |
Both parties have fulfilled their promises & have performed on their contract |
|
Single Agency Company |
Works only with a buyer or seller, not both |
|
Special Warranty Deed |
Does not go back to the sovereignty of the soil, but only for the duration of the title was held by that owner |
|
General Warrant Deed |
An instrument conveying title & promises to forever defend the title. This provides the buyer the most protection |
|
Civil Rights Act of 1866 |
1st Civil Rights Act. Federal Law protecting race |
|
Deed |
Legal instrument which guarantees against defects in title & convoys title. The title to the property transfers at the time the deed is delivered. |
|
Attorney-In-Fact |
One who has the right to sign the name of a principal on a sales contract. |
|
Tenants in Common |
Each party has the right to alienate or transfer the ownership of their ownership interest. If 1 Omer does, the property goes to their heirs, not the other owners. |
|
Joint Tenancy |
Creates "Right of Survivorship". If 1 member dies, estate goes to other tenant, not heirs of deceased. |
|
RESPA required disclosures |
APR, Good Faith Estimate by lender, HUD-1 settlement statement |
|
Client duties |
Compensation, indemnification, information, cooperation. |
|
Open Listing |
Seller gives each listing broker the right to attempt to sell the property, but only the broker who produces a buyer & closes gets paid a commission |
|
Exclusive agancy |
Seller reserves the right to sell the property himself & not pay a commission to the listing broker |