Real Estate Basics
This term refers to the legal document that transfers ownership of real property from one party to another.
What is a deed?
This term refers to the income generated from an investment property after deducting operating expenses.
What is net operating income?
The organization that sets ethical standards and provides education and certification for real estate professionals in the United States is known as what?
What is the National Association of Realtors (NAR)?
A form used to withdraw an offer prior to acceptance.
What is the Withdrawal of Offer (C.A.R. form WOO)?
If you receive a call from a ghoulish prospect, you can always use this to check them out prior to meeting.
What is Forewarn?
In most cases, a listing must be filed with the local association within this time period after being fully executed.
What is 48 hours?
A popular real estate investing strategy where an investor purchases a property, renovates it, and then sells it quickly for a profit is known as what?
What is flipping?
When a real estate broker represents both the buyer and the seller in the same transaction, they are acting in this capacity.
What is a DUAL Agent
A seller can immediately cancel an escrow 3 days after delivering to the buyer this form, assuming seller has fully performed.
What is a Demand to Close Escrow (C.A.R. form DCE)?
Failing to disclose this spooky presence on the property could land a seller in legal trouble, especially if it's known to haunt buyers after closing.
What is a material defect?
The professional process of determining the value of a property is known as?
What is an appraisal?
Allows you to postpone paying tax on the profit gained from the sale of an investment property if you reinvest the proceeds in similar property as part of a qualifying like-kind exchange.
What is a 1031 Exchange?
In order to legally practice real estate in California, you must work under a supervising party called this.
What is a broker?
A seller can immediately cancel an escrow 2 days after delivering to the buyer this form if the buyer not take take corrective action.
What is a Notice to Buyer to Perform (C.A.R. form NBP)?
When multiple spooky offers come in at once, this can send chills down a listing agent’s spine as they decide how to manage the storm.
What is a multiple offer situation?
Time periods in a transaction begin when this occurs.
What is a contract being fully executed?
A metric used in real estate to estimate the rate of return on an income-producing property based on its net operating income (NOI) relative to its current market value
What is a Cap Rate?
This term refers to the process of verifying a buyer's financial qualifications before showing them homes, typically done by a lender or mortgage broker.
What is pre-qualification/pre-approval?
A form used to cancel a transaction either unilaterally or mutually.
What is a Cancellation of Contract, Disposition of Deposit and Cancellation of Escrow (C.A.R. form CC)?
It’s terrifying to think if this document is not executed prior to touring a home, you may risk not being compensated.
What is a Buyer Broker Agreement?
A sum of money a buyer deposits to demonstrate their serious intent to purchase a property or complete a deal
What is Earnest Money Deposit (Escrow Check)?
A scientific investigation conducted to evaluate the environmental risks and liabilities associated with a property.
What is Phase 1 Report (Phase I Environmental Site Assessment)?
You should do this if you have a client that requires services outside your area of expertise.
What is refer to another agent?
In real estate law, this term refers to the process by which the government takes private property for public use, with fair compensation to the property owner.
What is eminent domain?
In a residential transaction, this is the maximum amount that can be retained by the seller if the buyer fails to complete the purchase due to buyer default.
What is 3%?