Maria Center
Real Estate Exam Vocabulary included topics:
  • various types of listings such as exclusive agency listing, where the seller can bypass the broker's commission if they sell the property themselves, and net listings, which are mostly illegal due to potential conflicts of interest.
  • The concept of downzoning, where commercially zoned areas are converted to residential zoning, is explained.
  •  Insurance is defined as a contract where one party indemnifies another against loss under specific conditions.
  •  Riparian rights pertain to property owners' rights regarding the water of a navigable river or stream that borders their property.
  • The cost approach to property appraisal involves estimating the value by adding the replacement cost of the building and the land value, then subtracting depreciation.
  • The terms vendee and vendor are clarified as referring to the buyer and seller, respectively, in transactions, including those involving land contracts.
  • Deed of trust arrangements are explained, highlighting roles such as the trustor (borrower), beneficiary (lender), and trustee (holds the deed for safekeeping).
  • Personal property, distinct from real estate, is exemplified by movable objects not considered real estate, and the term "chattel" is introduced as synonymous with personal property.
  • Equity in real estate is defined as the market value of the property minus existing liens.
  •  Legal descriptions of property, including lot and block, meets and bounds, and government rectangular survey method, are discussed.
  • Tax-deferred exchanges (1031 exchanges) allow postponing tax on gains if the proceeds are reinvested in similar property.
  • The government rectangular survey system's use of townships and sections to describe land parcels is detailed.
  •  Foreclosure processes vary by state, with distinctions between judicial (court action required) and non-judicial processes, as well as the concepts of equitable and statutory rights of redemption.

About the Author Maria Center

I began my career in real estate in Ohio in 2003 and currently work as a PrepAgent real estate exam tutor/instructor. 
I am licensed in Ohio, Florida, Alabama, Virginia, and Kentucky. I work as a Real Estate Broker at 1st Class Real Estate Expert Realtors in Philpot, Kentucky; Managing Broker at Renwick Realty in Middletown, Ohio; Associate Broker at 1st Class Real Estate Premier Homes in Ashland, Virginia; and as a broker in both Florida and Alabama. I am a licensed real estate instructor in Florida and teach finance and appraisal in Ohio. I look forward to helping you prep for success!

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