OR Real Estate flashcards
OR Real Estate · Build recall with a focused review session.
32 cards. Read the term and the definition here. The deck at the top of this page is optional.
- Fee simple absolute
- The most complete ownership estate; it lasts indefinitely, is inheritable, and is limited only by police power, taxation, eminent domain, and escheat.
- Tenancy in common
- A form of co-ownership in which each owner holds an undivided fractional share, may sell or devise that share, and has no right of survivorship.
- Easement appurtenant
- An easement that benefits a dominant parcel and burdens a servient parcel; it runs with the land and passes automatically when either parcel is conveyed.
- Nonconforming use
- A use that lawfully existed before the current zoning ordinance but no longer conforms; it may generally continue but cannot be enlarged or resumed after abandonment.
- Fiduciary duty of loyalty
- A broker's obligation to act solely in the client's best interest, avoiding self-dealing, undisclosed compensation, and any personal advantage taken at the client's expense.
- Disclosed limited agency
- Oregon's term for dual agency, in which one brokerage represents both parties with written consent and may not advocate for one side over the other.
- Implied agency
- An agency relationship created by the parties' conduct rather than by a written agreement; it can arise unintentionally and carries the same fiduciary duties as an express agency.
- Statute of frauds
- A rule requiring real estate sale contracts, leases over one year, and agency agreements to be written and signed by the party to be charged.
- Liquidated damages
- A sum agreed in advance as compensation for breach, commonly forfeited earnest money; it is enforceable only if it is a reasonable forecast and not a penalty.
- Contingency clause
- A contract provision making a duty conditional on a stated event, such as financing, inspection, or appraisal, so that failure of the event permits cancellation without breach.
- Loan-to-value ratio
- The loan amount divided by the lower of purchase price or appraised value, expressed as a percentage and used to measure lender risk and mortgage insurance requirements.
- Discount points
- Prepaid interest paid at closing to reduce the note rate; one point equals one percent of the loan amount.
- Escrow account
- An account a lender or servicer uses to collect monthly portions of property taxes and insurance and then pay those bills when due for the borrower.
- Highest and best use
- The use of a property that is legally permissible, physically possible, financially feasible, and maximally productive, producing the highest present value.
- Sales comparison approach
- A valuation method that estimates value by adjusting recent sale prices of similar properties for differences in size, condition, location, and features.
- Capitalization rate
- The ratio of a property's net operating income to its value or price; value equals net operating income divided by the capitalization rate.
- General warranty deed
- A deed in which the grantor warrants title against all defects, including those created by earlier owners, and promises to defend the title.
- Quitclaim deed
- A deed that conveys whatever interest the grantor may have without any warranty or covenants, often used to clear a title defect.
- Constructive notice
- Knowledge the law presumes because a document is recorded in public records or otherwise publicly available, whether or not the person actually knew it.
- Security deposit
- Money a landlord holds to cover unpaid rent or damage beyond normal wear; Oregon requires an itemized accounting and return within 31 days after the tenancy ends.
- Gross lease
- A lease in which the tenant pays a fixed rent and the landlord pays operating expenses such as property taxes, insurance, and maintenance.
- Constructive eviction
- A landlord's act or failure to act that substantially interferes with the tenant's use of the premises, allowing the tenant to vacate and claim breach.
- Steering
- Directing prospective buyers or renters toward or away from neighborhoods based on a protected characteristic; it is illegal even when based on an assumed preference.
- Blockbusting
- Inducing homeowners to sell by suggesting that members of a protected class are moving into the neighborhood; a prohibited fair housing practice.
- Familial status
- A protected class covering households with a child under 18, pregnant women, and persons securing legal custody; housing designed for older persons is exempt.
- Oregon Real Estate Agency
- The state agency that administers ORS Chapter 696 and OAR Chapter 863, licenses brokers and property managers, and enforces Oregon real estate law.
- Initial Agency Disclosure Pamphlet
- Oregon's required consumer pamphlet explaining agency relationships, which a broker must deliver at first substantive contact with a party to a transaction.
- Seller's property disclosure
- Oregon's written statement in which a residential seller of up to four units discloses known material defects; a buyer may revoke if it is delivered late.
- Principal broker
- In Oregon, the licensee who supervises a brokerage office and its affiliated brokers and is accountable for compliance with real estate statutes and rules.
- Gross rent multiplier
- The property price or value divided by gross rent; a lower multiplier implies a faster recovery of the investment.
- Proration
- The proportional split of expenses such as taxes, rent, and interest between buyer and seller at closing based on the days each owns the property.
- Commission split
- The division of a total commission between the brokerage and its licensee or between cooperating brokerages according to a pre-agreed percentage.