The Real Estate License Professor

A financial statement showing a person's assets liabilities and net worth.

When the final payment on a note is greater than the preceding normal installments the final installment is termed a balloon payment. An installment promissory note providing for the last payment to be much larger than any previous payment. By statute any payment more than twice the smallest payment is a balloon payment although in practice generally the term refers only to the last payment.

Imaginary lines used by surveyors from which they find measure and describe the location of lands.

Molding used at the top of the baseboard.

Molding used at junction of baseboard and floor sometimes called a carpet strip.

A board that goes around the room against the wall and next to the floor.

Narrow strips of wood or metal used to cover joints on the interior or exterior of a building; they are also used for decorative effect.

A horizontal structural member supporting a load.

A wall or partition that supports any vertical load in addition to its own weight.

A location indicated on a permanent marker by surveyors.

(1) One entitled to benefit from a trust. (2) The lender on the security of a note and deed of trust. The creditor (lender) under a deed of trust.

Statement by owner of a deed of trust or mortgage against the property setting forth the present status of the debt and lien. Also called a beneficiary statement.

To leave by will.

Personal property that is given by the terms of a will. A gift of personal property by will.

An improvement on real property that increases the value and is considered a capital asset.

A contract in which the consideration given by each party is a promise: that is a promise for a promise.

A written instrument given by the seller to the buyer to pass title to personal property.

A written statement that binds the parties to an agreement until formal contracts can be drawn; an agreement to cover a down payment as evidence of good faith.

Asphalt paving used in streets and driveways.

A deed of trust binding more than one parcel of property as security. It is frequently encountered in subdivisions where every lot in the subdivision is bound by the same deed of trust. As the lots are sold they are released from the deed of trust by a partial release provision.

One mortgage or deed of trust that covers more than one piece of real property.

An area in which real property is declining in value because of destructive economic forces.

A unit of measurement for lumber: one foot wide one foot long one inch thick (144 cubic inches).

Good faith.

A purchaser who pays fair value for property in good faith and without notice of adverse claims.

An obligation under seal. Real estate bonds are issued on the security of a mortgage or deed of trust. A certificate representing a contract for the payment of money often used to repay certain loans or held as security to ensure the performance of a stated act.

An accounting term which is the difference between cost and the total amount of depreciation that has been taken.

Frame lumber nailed at an angle in order to provide stability to the structure.

The breaking of or failure of duty either by an act or omission. The violation of or failure to perform an obligation.

A covered porch or passage open on two ends that connects the house and garage or two parts of the house.

Wood or metal pieces used to brace floor joists.

A person employed for a fee by another to carry on any of the activities listed in the license law definition of a broker.

A systematic regulation of construction of buildings within a municipality established by ordinance or law.

Often called a setback line a building line is a line running a certain distance from the street in front of which an owner cannot build. These lines are set by law.

A heavy waterproofed paper used as sheathing in exterior walls or in roof construction as insulation and protection against moisture.

Zoning regulation requirements or provisions in a deed limiting size and use of a building.

Cabinets and other features built in as a part of the house.

A term used to describe a business including its stock-in-trade fixtures and goodwill.