Champions Real Estate - Principles 1 Exam

brokerage - Answer- the aspect of the real estate business that pertains to overseeing the needs of the parties and completing a transaction; a brokerage transaction may or may not involve agency relationships The role of a property manager - Answer- Generally responsible for the day to day operations of the property, maintenance, and tenant relations How are home inspectors licensed? - Answer- Home inspectors are licensed in Texas by TREC. Real Estate Development - Answer- most often involves the acquisition of land for development into residential subdivisions, retail centers and other commercial uses. National Association of Realtors (NAR) - Answer- the nationwide association is divided into state associations, and further divided into local associations or boards. The local associations or boards operate the MLS in markets throughout the US. The benefits of home ownership include: - Answer- Pride of Ownership, Occupancy, Tax Benefits, Investment, Security: POOTIS=m Physical Characteristics of Land: Indestructibility - Answer- Indestructibility refers to the fact that land cannot be destroyed. The other two characteristics are immobility and non-homogeneity (uniqueness) Demand for real estate is affected by: - Answer- 1. Growth in employment 2. Personal preference 3. Availability of credit as well as transportation systems and Federal government policy Common Law vs. Statutory Law - Answer- Common Law was developed in England and based on common sense and local custom; under this system, a court looks to the findings of prior courts when rendering a decision Statutory law is enacted by federal and state legislative bodies What is the purpose of the Texas Real Estate Licensing Act (TRELA 1939)? - Answer- The purpose of TRELA is to protect the public against unscrupulous brokers and sales agents. What is TREC (1949)? - Answer- TREC was created by the state legislature in 1949. It has 9 members who carry out the provisions in TRELA. TREC has