Real 4000 - Study guides, Class notes & Summaries

REAL 4000 UGA Test 1 | Latest Update | 2024/2025 | Graded A+ What is the definition of real estate? Real estate refers to land and anything permanently attached to it, including buildings and improvements. What is the role of a real estate agent? A real estate agent assists clients in buying, selling, and renting properties. What does market value mean in real estate? Market value is the estimated amount for which a property should sell on the open market. What is a mor...

ad valorem taxes - tax base is on the value of the property, not the income generated amortization - refers to the separating of the principle of a payment from the interest portion of the payment annuity - you have the same set of cash flows every single month of the same amount (loan payments) annuity due - payments at the beginning of a period FV/PV AD = (1+R)(FV/PV of RA) Assessed value - % of the market value as determined by an appraiser, GA 40% basic premise of urban economic grow...

UGA REAL 4000 EXAM 3 Dietz Questions and Answers | Latest Update | 2024/2025 | Graded A+ What is the role of appraisals in real estate transactions? Appraisals provide an objective estimate of a property's value, ensuring that buyers and sellers agree on a fair price. How does the principle of highest and best use affect property valuation? The principle of highest and best use determines the most profitable and legally permissible use of a property, influencing its overall va...

clustering - examples: apparel stores in a mall or any business where customers like to comparison-shop raw land - land that does NOT include structures or any improvements role of government in real estate - - local govt has the most influence - state govt has the least effect - national govt also has significant impact how is the term "real estate" used? - 1. used to identify tangible assets of land/buildings 2. used to denote the bundle of rights associated w/ ownership of assets 3....

REAL 4000 UGA Test 1 | Questions And Answers Latest {} A+ Graded | 100% Verified

_______ leverage will ________ expected return when the investor's rate of return WITHOUT leverage exceeds the cost of debt - increased, increase -as long as each borrowed dollar is earning a greater return than it cost, the net difference goes to the owner, enhancing the equity return -also increases risk "Commercial" Mortgage Loans vs. Home Loans - commercial aren't as standardized, documents are longer and more complex, often no personal liability *Note, these are the same assumpti...

REAL 4000 UGA Dietz Final Exam | Latest Update | 2024/2025 | 100% Verified What is investment value in real estate? Investment value refers to the value of a property to a particular investor based on individual investment criteria and objectives. What is the purpose of a property tax assessment? A property tax assessment determines the value of a property for the purpose of calculating property taxes. What is a capitalization rate? The capitalization rate is used to estimate...

1 square mile (acres) - 640 acres 1. limited in time 2. right of disposition 3. no titled interests - how do leasehold estates differ from freehold estates? 1. location monopoly 2. externalities 3. incomplete information - what is the economic basis for government regulation of real estate 1. mortgage 2. financial crisis 3. recession - 3 phases of 2007 collapse 1. user market 2. financial/capital market 3. government sector - Which markets is real estate influenced by? 3 ways to des...

UGA REAL 4000 EXAM 4 Dietz | Latest Update | 2024/2025 | 100% Verified What is a contingency clause in a real estate contract? A contingency clause specifies conditions that must be met for the contract to be binding, such as securing financing or completing a home inspection. What does earnest money signify in a real estate transaction? Earnest money is a deposit made by the buyer to demonstrate seriousness about purchasing the property. What is real estate syndication? Real e...

Mortgage bankers are highly leveraged - Very sensitive to disruptions in the loan making and selling pipeline and can fail in days Alt-A loans - Conventional loans with less stringent underwriting requirements higher LVT lower credit scores reduced documentation of income or assets Somewhere in between conventional and subprime in terms of quality. Commercial banks - Depository lenders that typically made business-related real estate loans and only home loans for business clients. They ...