Question 1

MLS

Accepted Answer

Multiple Listing Service used to list and advertise properties for sale in Prince Edward Island.

Question 2

CREA

Accepted Answer

Canadian Real Estate Association, a national organization that represents real estate agents and brokers in Canada.

Question 3

Real Property Report

Accepted Answer

A legal document that shows the boundaries and features of a property, including any encroachments or easements.

Question 4

Land Transfer Tax

Accepted Answer

A tax imposed on the transfer of land or property ownership in Prince Edward Island.

Question 5

Offer to Purchase

Accepted Answer

A formal written agreement outlining the terms and conditions of a buyer's offer to purchase a property.

Question 6

Comparative Market Analysis

Accepted Answer

An evaluation of similar properties in the area to determine the fair market value of a property.

Question 7

Appraisal

Accepted Answer

A professional assessment of the value of a property conducted by a licensed appraiser.

Question 8

Down Payment

Accepted Answer

The initial payment made by a buyer when purchasing a property, typically a percentage of the total purchase price.

Question 9

Mortgage Pre-Approval

Accepted Answer

A process in which a lender assesses a buyer's financial situation to determine the maximum loan amount they qualify for.

Question 10

Title Insurance

Accepted Answer

Insurance that protects against any defects or issues with the title of a property.

Question 11

Landlord and Tenant Board

Accepted Answer

A provincial organization that oversees disputes between landlords and tenants and enforces rental laws.

Question 12

Condominium

Accepted Answer

A type of housing where individual units are owned privately, and common areas are shared among residents.

Question 13

Strata Fees

Accepted Answer

Monthly fees paid by owners of condominiums or strata properties to cover maintenance and common expenses.

Question 14

Multiple Offers

Accepted Answer

When several buyers submit competing offers for the same property.

Question 15

Closing Costs

Accepted Answer

Additional expenses incurred by the buyer and seller during the transfer of property ownership, such as legal fees and land transfer taxes.

Question 16

Zoning

Accepted Answer

Municipal regulations that determine how land can be used and what types of buildings can be constructed.

Question 17

Easement

Accepted Answer

A legal right that allows someone to use another person's property for a specific purpose, such as accessing a public road.

Question 18

Resale Value

Accepted Answer

The estimated value of a property when it is sold in the future.

Question 19

Appurtenances

Accepted Answer

Any structures or features attached to a property, such as fences, sheds, or driveways.

Question 20

Deposit

Accepted Answer

A sum of money paid by the buyer as a sign of good faith and commitment to the purchase of a property.

Question 21

Capitalization Rate

Accepted Answer

A measure used to estimate the potential return on an investment property based on its net income.

Question 22

Amortization Period

Accepted Answer

The length of time it takes to fully pay off a mortgage loan, usually expressed in years.

Question 23

Open House

Accepted Answer

A scheduled period where a property is made available for potential buyers to view without an appointment.

Question 24

Home Inspection

Accepted Answer

A professional evaluation of a property's condition, typically conducted by a certified home inspector.

Question 25

Rental Market Vacancy Rate

Accepted Answer

The percentage of available rental units that are currently unoccupied.

Question 26

Landlord Insurance

Accepted Answer

Insurance coverage specifically designed for property owners who rent out their properties.

Question 27

Pre-Construction

Accepted Answer

The purchase of a property before it is built or completed.

Question 28

Conveyancing

Accepted Answer

The legal process of transferring property ownership from the seller to the buyer.

Question 29

Counter Offer

Accepted Answer

A response to an initial offer, proposing different terms and conditions for the sale of a property.

Question 30

Non-Disclosure Agreement

Accepted Answer

A legally binding contract that prevents one party from disclosing confidential information to third parties.

Question 31

Property Management

Accepted Answer

The administration, operation, and maintenance of real estate properties on behalf of the owner.

Question 32

HST

Accepted Answer

Harmonized Sales Tax, a consumption tax in Canada that combines the Goods and Services Tax (GST) and provincial sales tax.

Question 33

Vacant Land

Accepted Answer

Land that is not currently developed or occupied by any structures.

Question 34

Capital Gain

Accepted Answer

The profit realized from the sale of a property or investment, calculated by subtracting the purchase price from the selling price.

Question 35

Real Estate Commission

Accepted Answer

The fee paid to a real estate agent or broker for their services in facilitating the sale or purchase of a property.

Question 36

Chattels

Accepted Answer

Moveable personal property that is not permanently attached to the land or structure, such as furniture or appliances.

Question 37

Rescission

Accepted Answer

The cancellation or termination of a contract, typically due to a breach of terms or mutual agreement between parties.

Question 38

Exclusive Listing

Accepted Answer

A contract that grants one real estate agent the sole right to market and sell a property for a specified period.

Question 39

Land Use Planning

Accepted Answer

The process of determining how land should be used and developed, taking into account factors such as zoning and community needs.

Question 40

Earnest Money

Accepted Answer

A deposit made by the buyer as a demonstration of their serious intent to purchase a property.

Question 41

Rent-to-Own

Accepted Answer

A lease agreement that allows tenants to rent a property with the option to purchase it at a later date.

Question 42

Encumbrance

Accepted Answer

Any claim, lien, or restriction that affects the title or use of a property, such as a mortgage or easement.

Question 43

Principal Residence

Accepted Answer

The main home where an individual resides and is eligible for certain tax benefits and exemptions.

Question 44

Conveyance Tax

Accepted Answer

A tax imposed on the transfer of property ownership, typically based on the sale price or assessed value.

Question 45

Environmental Assessment

Accepted Answer

An evaluation of the potential environmental impacts of a development project or land use change.

Question 46

Lease Agreement

Accepted Answer

A legally binding contract between a landlord and tenant that outlines the terms and conditions of renting a property.

Question 47

Gross Rent Multiplier

Accepted Answer

A formula used to estimate the value of an income-producing property based on its gross rental income.

Question 48

Buyer's Market

Accepted Answer

A market condition where there are more properties available for sale than there are buyers, giving buyers more negotiating power.

Question 49

Seller's Market

Accepted Answer

A market condition where there are more buyers looking for properties than there are available listings, giving sellers more negotiating power.

Question 50

Rent Control

Accepted Answer

Government regulations that limit the amount or frequency of rent increases on certain residential properties.

Question 51

Deed

Accepted Answer

A legal document that transfers ownership of a property from one party to another.

Question 52

Joint Tenancy

Accepted Answer

A form of property ownership where two or more individuals hold equal shares and have the right of survivorship.

Question 53

Title Search

Accepted Answer

An investigation of public records to verify the legal ownership and any existing encumbrances on a property.

Question 54

Real Estate Investment Trust (REIT)

Accepted Answer

A company that owns, operates, or finances income-generating real estate properties and allows investors to purchase shares.

Question 55

Power of Sale

Accepted Answer

A legal process that allows a lender to sell a property to recover unpaid mortgage debt in the event of default by the borrower.

Comprehensive Flashcards for Prince Edward Island Real Estate Agents