Question 1

Principal broker

Accepted Answer

The licensed broker who supervises and oversees the activities of real estate agents within a brokerage.

Question 2

Commission

Accepted Answer

The fee paid to a real estate agent or broker for their services in facilitating a real estate transaction.

Question 3

Dual agency

Accepted Answer

When a real estate agent represents both the buyer and seller in a transaction.

Question 4

Seller's market

Accepted Answer

A market condition where there are more buyers than available properties, giving sellers the advantage in negotiations.

Question 5

Buyer's market

Accepted Answer

A market condition where there are more properties available than buyers, giving buyers the advantage in negotiations.

Question 6

Earnest money

Accepted Answer

A deposit made by the buyer to show their serious intent to purchase a property.

Question 7

Comparative market analysis (CMA)

Accepted Answer

A report prepared by a real estate agent that analyzes the prices of similar properties in the area to determine a property's market value.

Question 8

Exclusive listing

Accepted Answer

An agreement between a seller and a real estate agent giving the agent the exclusive right to market and sell the property.

Question 9

Escrow

Accepted Answer

A neutral third party that holds funds and important documents during a real estate transaction.

Question 10

Listing agreement

Accepted Answer

A contract between a seller and a real estate agent that establishes the terms and conditions for marketing and selling the property.

Question 11

Title

Accepted Answer

The legal ownership of a property.

Question 12

Appraisal

Accepted Answer

An evaluation of a property's value by a licensed appraiser.

Question 13

Zoning

Accepted Answer

Local government regulations that dictate how a property can be used.

Question 14

Deed

Accepted Answer

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

Question 15

Contingency

Accepted Answer

A condition that must be met in order for a real estate contract to become binding.

Question 16

Mortgage

Accepted Answer

A loan secured by a property, used to finance its purchase.

Question 17

Home inspection

Accepted Answer

A professional examination of a property's condition, usually conducted before a sale.

Question 18

Closing costs

Accepted Answer

Expenses incurred by the buyer and seller during the real estate transaction, such as title insurance, appraisal fees, and attorney fees.

Question 19

Multiple listing service (MLS)

Accepted Answer

A database that provides real estate agents with information about properties for sale.

Question 20

Fair Housing Act

Accepted Answer

A federal law that prohibits discrimination in housing based on race, color, religion, sex, disability, familial status, or national origin.

Question 21

Easement

Accepted Answer

The right of someone to use a portion of another person's property for a specific purpose.

Question 22

Condominium

Accepted Answer

A type of property ownership where individuals own units within a larger building or complex.

Question 23

Cooperative (co-op)

Accepted Answer

A type of property ownership where residents own shares in a corporation that owns the building or complex.

Question 24

Title insurance

Accepted Answer

Insurance that protects the buyer and lender against any defects in the property's title.

Question 25

Real Estate Settlement Procedures Act (RESPA)

Accepted Answer

A federal law that requires lenders to provide borrowers with certain disclosures and prohibits certain practices during the mortgage loan process.

Question 26

Lease

Accepted Answer

A legal agreement between a landlord and tenant that grants the tenant the right to use a property for a specified period of time.

Question 27

Radon

Accepted Answer

A colorless, odorless gas that can seep into homes and pose a health risk.

Question 28

Lead-based paint

Accepted Answer

Paint containing lead, which can be hazardous, especially in older homes.

Question 29

Curb appeal

Accepted Answer

The attractiveness of a property when viewed from the street.

Question 30

Assessed value

Accepted Answer

The value of a property as determined by a tax assessor for the purpose of calculating property taxes.

Question 31

Flood zone

Accepted Answer

An area that is at risk of flooding, as designated by the Federal Emergency Management Agency (FEMA).

Question 32

Homeowners association (HOA)

Accepted Answer

An organization that enforces rules and regulations for a specific neighborhood or community.

Question 33

Right of way

Accepted Answer

The legal right of a person or entity to pass through or use a portion of another person's property.

Question 34

Title search

Accepted Answer

An examination of public records to verify the ownership and history of a property's title.

Question 35

Leasehold

Accepted Answer

A type of property ownership where the buyer has the right to use and occupy the property for a specified period of time, typically through a lease agreement.

Question 36

Capitalization rate

Accepted Answer

A measure used to estimate the potential return on investment for an income-generating property.

Question 37

Real Estate Agent Code of Ethics

Accepted Answer

A set of ethical standards and guidelines that real estate agents are expected to adhere to in their professional conduct.

Question 38

1031 Exchange

Accepted Answer

A tax-deferred exchange of like-kind properties that allows real estate investors to defer capital gains taxes.

Question 39

Conveyance

Accepted Answer

The transfer of ownership of a property from one party to another.

Question 40

Due diligence

Accepted Answer

The process of conducting thorough research and investigation on a property before entering into a real estate transaction.

Question 41

Rent control

Accepted Answer

Government regulations that limit the amount landlords can charge for rent and restrict rent increases.

Question 42

Pre-approval

Accepted Answer

A process where a lender reviews a borrower's financial information to determine the maximum loan amount they qualify for.

Question 43

Amortization

Accepted Answer

The process of gradually paying off a mortgage loan through regular payments of principal and interest.

Question 44

Capital gains

Accepted Answer

The profit made from the sale of a property or investment, subject to taxation.

Question 45

Assumption

Accepted Answer

The transfer of an existing mortgage loan from the seller to the buyer during a property sale.

Question 46

Dual tracking

Accepted Answer

When a lender simultaneously proceeds with foreclosure proceedings while considering a borrower's application for loan modification or other foreclosure alternatives.

Question 47

Net operating income (NOI)

Accepted Answer

The income generated from an investment property after deducting operating expenses, but before deducting mortgage payments and taxes.

Question 48

Real Estate Owned (REO)

Accepted Answer

Properties that have been acquired by a lender through foreclosure and are now owned by the bank or lending institution.

Question 49

Capital improvement

Accepted Answer

A permanent structural or aesthetic modification made to a property that increases its value or extends its useful life.

Question 50

Real Estate Professional Liability Insurance

Accepted Answer

Insurance coverage that protects real estate agents and brokers from potential lawsuits related to errors, omissions, or negligence in their professional services.

Question 51

Homeowners insurance

Accepted Answer

Insurance coverage that protects homeowners against financial loss due to damage or liability claims on their property.

Question 52

Property disclosure statement

Accepted Answer

A document completed by sellers that discloses any known defects or issues with a property.

Question 53

Gross income multiplier

Accepted Answer

A valuation method used to estimate the value of an income-generating property by multiplying its gross annual income by a predetermined factor.

Question 54

Certificate of occupancy

Accepted Answer

A document issued by a local government agency indicating that a property meets all building codes and is suitable for occupancy.

Question 55

Abatement

Accepted Answer

The reduction or elimination of a tax or fee, often used in the context of property tax abatement programs.

Question 56

Radon mitigation

Accepted Answer

The process of reducing radon gas levels in a building to protect occupants from potential health risks.

Question 57

Property manager

Accepted Answer

A professional responsible for the day-to-day operations, maintenance, and leasing of rental properties on behalf of the owner.

Question 58

1033 Exchange

Accepted Answer

A tax-deferred exchange of real property resulting from an involuntary conversion, such as due to destruction or condemnation.

Question 59

Bulk zoning

Accepted Answer

A zoning regulation that establishes minimum lot size and density requirements for a specific area or development.

Question 60

Real Estate Syndication

Accepted Answer

The pooling of resources and investment funds from multiple individuals or entities to finance a real estate project.

Question 61

Off-market property

Accepted Answer

A property that is not actively listed for sale on the open market but may be available for purchase through private negotiations.

Wyoming Real Estate Agent Flashcards