Champions - Principles of Real Estate 1 - Chapter 1: Introduction to Real Estate with 100% complete solutions

Brokerage overseeing the needs of the parties to a real estate transaction and seeing it to its completion Property Management management of residential and commercial properties on behalf of investor-owner; day-to-day operations, maintenance, tenant relations Real Estate Development most often involves the acquisition of land for development into residential subdivisions, retail centers and other commercial uses. Economic Characteristics of Land scarcity, modification, fixity, situs Modification value is affected by man-made changes to the land; improved transportation Fixity Land and additions to the land take a long period of time to pay for itself; cannot be moved Situs Refers to the economic location of real estate; "location, location, location"; based on the preferences people have for specific characteristics in property, and the fact that location dominates those preferences Statutory Law body of laws and enacted by federal and state legislative bodies Appraisal Providing a professional opinion of the value of real property Apartment Locator locates units for tenants in multifamily complexes; must have license Petroleum Landmen Individuals with a real estate background who are employed by oil and gas companies; title work and determine mineral ownership Supply and Demand The primary determinants of real estate values Supply Affects - land costs - construction - taxation - economics (fiscal policy) - local govt codes/zoning Demand Affects - Employment (most important) - Transportation systems - personal preference (least important) - Availability of credit - Federal govt policy (income tax policy, for example) Most Important Determinant of Value in Residential Real Estate Size of the employment market Texas Real Estate License Act - 1939 - purpose is to protect public against unscrupulous brokers and sales agents - interpretation and enforcement is up to TREC who publishes the rules Mortgage Lending providing money to individuals or corporations Home Inspection - licensed by TREC Physical Characteristics of Land Indestructibility or durability, Immobility, Nonhomogeneity