1. Federal legislation has impacted all facets of the real estate industry to include fair housing laws, fair credit legislation and protection of civil rights. What is/are the primary law(s)/sources of the law that gives Congress the power to pass federal legislation dealing with fair housing? What, in your opinion, is the most significant piece of federal legislation impacting housing and the real estate industry? Why do you hold that opinion?
2. The current real estate market was discussed throughout the course of this class. What role does/did the principle of supply-demand play in the current real estate market as it applies to the real estate industry nationally and not limited to the particular market you currently live in? What role has the Federal Reserve System played in the current housing market?
3. What is the primary role of the real estate appraisal? What are the currently accepted four methodologies for appraising real estate? What role does market value and agreed contract price play in the process?
4. The right of the government (both federal and state) to tax, hold police power over private property, exercise eminent domain and escheat are often at odds with the individual's right to hold fee simple ownership to real estate. Explain your understanding of the legal concept of "fee simple" and balance that concept with the right of a government entity to exercise eminent domain and land-use control or zoning. Your answer must demonstrate a clear understanding of "fee simple".
5. Real estate contracts can be exceptionally complex documents that may require the use of an attorney in preparation. Identify the basic requirements for a binding contract; after identifying the basic requirements supplement your answer with the requirements for a legal real estate contract. Identify the concept known as "statue of frauds" and discuss its importance in the real estate transaction.
6. In order to legally take possession of a specific piece of real estate, the recorded deed will contain a legal description. Briefly describe each of the 4 currently accepted methods used to establish legal description. (This should not be a simple list but a brief description.) Which system of land description defines the best methodology?
7. Real estate holdings are often used as investment instruments to create cash flow and build equity for the ownership entity. A valid lease requires a written agreement and will create a contract and a leasehold arrangement. The principle of conveyance and leasehold estate are at the core of the lease agreements. What is your understanding of a leasehold estate? What methods can be used to set commercials rents? (You may simply provide a list of the various methods used to establish a commercial rent.) And, what does the concept of "quiet enjoyment" mean?
8. This course devoted class time to the mortgage process and the use of a deed as an instrument to transfer ownership of property and secure the property as the collateral for a real estate loan. 1. Define lien theory title theory. 2. Explain your understanding of a mortgage, the promissory note and the use of a deed of trust. In your opinion, which theory (lien or title) better protects the lender? Why?
9. Why do lenders require the mortgagor/trustor to secure property insurance as condition of making a mortgage loan to a homeowner? Generally speaking, what is the minimum insurance requirement the lender will require before making the loan?