Chapter 1A
Everything from the surface of the Earth Down to the center of the earth
Land
Land and the things that are permanently attached and runs with the land
Real Property
Real property is referred to as
Real Estate, Realty and Land
Real property is transferred between a Buyer and a Seller with a
Deed
Any right or privilege that is considered to run with the land. Everything that is attached. Intangible items such as Rights, Easements, covenants and Restrictions
Appurtenance
Personal property is transferred between a buyer and a Seller
Bill of Sale
Real Estate plus BIRTH: Benefits, Interest, Rights, Tenements, Hereditaments
Real Property
Ownership interest in anything Immobile and considered part of the real property
Ex. Tree or deck
Tenements
Anything/any rights that is capable of being Inherited such as an Easement
Hereditaments
Building codes
zoning
Regional planning
Public land use restricgtions
Nonhomogeneity(Uniqueness)
Permanence(Indestructibility)
Immobility
Physical Characteristics of Land
City planning, zoning, state and regional planning, building codes, suitability for occupancy requirement and environmental control laws
Public land use controls
Public buildings, public parks, watersheds, street, highways
Government ownership
Has the greatest effect on real property value
Location
Scarcity, Location, Permanence of Investment
Economic Characteristics of real property
A free market, A local Market, A market that is slow to react to changes in supply and demand
Real Estate Market
the increase in market value during the time the investor holds the property
Appreciation
includes consideration of the physical and economic factors affecting land use, results in the greatest present value of the land and must be a use feasible in the near future
The concept of highest and best use
Real Estate investments offers the opportunity to produce profit in the following ways:
Appreciation
Positive Cash Flow
Tax Advantages
Scarcity, Permanence of investment, Location(situs)
Economic Characteristics of Land
Residential, Commercial, Industrial, Agricultural, Special Purpose
Main Uses of Real Estate
The real estate agent must have specialized knowledge in:
Financing, contracts and valuation of property
A real estate licensee who is a member of the national state and local association.
REALTORS
An American trade association for those who work in the real estate Industry
The National Association of REALTORS
Real Estate investments offers the opportunity to produce a profit in the following ways
Appreciation, positive cash flow, tax advantages