WY Real Estate key terms

The state agency created by Wyoming statute that licenses real estate brokers and salespeople, writes rules governing licensee conduct, investigates complaints, and imposes sanctions ranging from reprimand to license revocation.

Wyoming Statutes Title 33, Chapter 28, the body of law that sets licensing qualifications, defines brokerage relationships and prohibited conduct, and authorizes the Commission to regulate real estate practice in the state.

The licensed broker under whom a salesperson or associate broker works. This broker is legally responsible for supervising the licensee's activities, handling trust funds, and maintaining required transaction records.

A person licensed to perform brokerage services only while associated with an employing broker. A salesperson may not accept compensation directly from a client; payment flows through the broker.

A licensee who has qualified for and holds a broker's license but chooses to work under another broker instead of operating an independent brokerage firm.

A prohibited practice in which a licensee pays or splits a real estate commission with someone who is not licensed, because payment for brokerage services may go only to licensed persons.

A separate bank account a broker uses to hold money belonging to others, such as earnest money and security deposits. Commingling these funds with the broker's own money is prohibited.

A formal proceeding before the Commission in which evidence is presented on a complaint against a licensee and the Commission decides whether to dismiss the matter or impose sanctions such as fines, suspension, or revocation.

Credit hours in approved real estate courses that a licensee must complete during each renewal cycle to keep the license active, as required by Wyoming law and Commission rules.

A consensual arrangement in which a licensee agrees to act on behalf of a client and the client agrees to be represented, creating fiduciary obligations that run from the licensee to the client.

The heightened obligations a licensee owes a client, commonly remembered as loyalty, obedience, disclosure, confidentiality, reasonable care and diligence, and accounting for money and property entrusted to the licensee.

Wyoming's dual-representation status in which a broker, with the written consent of both parties, facilitates a transaction for both buyer and seller without advocating for one side and may assign different licensees to each party.

A written statement provided early in a transaction that identifies whom the licensee represents, describes the duties owed, and explains how the licensee will be paid.

The fiduciary duty to keep a client's non-public information, such as motivation to sell and financial circumstances, private; the duty generally survives termination of the agency relationship.

The obligation to tell parties about known facts that could reasonably affect their decision or the property's value, such as a leaky foundation, and to avoid concealing or misrepresenting such facts.

A contract between a seller and a broker that authorizes the broker to market the property and sets out the term, commission, and duties of each party.

A listing in which the broker earns a commission no matter who produces the buyer during the listing period, including the seller's own efforts, making it the strongest listing for the broker.

A written contract in which a buyer engages a licensee to represent the buyer's interests, defining the scope of services, duration, and how the licensee will be compensated.

A deposit a buyer provides with an offer to show good faith and to give the seller recourse if the buyer defaults without a valid excuse; it is credited to the buyer at closing.

A contract condition that must be satisfied before a party is obligated to complete the purchase, such as a satisfactory inspection, appraisal, or financing approval.

The legal rule requiring certain contracts, including agreements to sell real property and long-term leases, to be in writing and signed by the party to be charged.

A closing document that itemizes the money paid and received by buyer and seller, including price, loan proceeds, prorations, credits, and fees charged to each party.

The most complete form of property ownership, giving the owner unrestricted rights to use, transfer, and inherit the property, subject only to government powers and private encumbrances.

Co-ownership in which each owner holds a separate, transferable fractional share with no right of survivorship, so a deceased owner's share passes to that owner's heirs.

Co-ownership by two or more persons with equal undivided interests and the distinguishing feature that a deceased co-owner's share automatically passes to the surviving owners.

A right to use neighboring land that benefits and runs with a particular parcel (the dominant estate) and passes automatically when that parcel is sold.

Any right or interest in real property held by someone other than the owner that burdens the title or limits use, such as easements, liens, mortgages, and restrictive covenants.

A claim against property that secures a debt or obligation; if the obligation is not satisfied, the holder may enforce the lien, and liens are generally paid from sale proceeds in priority order.

Wyoming's water law rule that the right to use water is separate from land ownership and belongs to the first person to put the water to beneficial use, ranked by date of appropriation.

The federal rectangular survey method that divides land into townships, ranges, sections, and fractions of sections, using a base line and principal meridian as reference points for legal descriptions.

A local government exercise of police power that divides land into districts and regulates permitted uses, lot size, density, and building height within each district.

A three-party instrument in which the borrower conveys title to a trustee to secure a loan; the trustee may sell the property if the borrower defaults, and the lender is the beneficiary.

The borrower's written promise to repay a loan on stated terms, including the principal amount, interest rate, payment schedule, and any prepayment or default provisions.

The relationship between the loan amount and the property's appraised value or sale price, expressed as a percentage; a higher ratio generally means more risk and may require mortgage insurance.

A nonjudicial process in which a trustee sells a defaulted property under authority granted in a deed of trust, following required notice and publication, without a court lawsuit.

A licensee's study of recent listings, sales, and pending contracts for similar properties to estimate a likely selling price; it is not an appraisal and cannot be used where an appraisal is required.

An appraisal method that estimates value by comparing the subject property with recently sold similar properties and adjusting for differences in features, condition, size, and location.

The use of a property that is legally permitted, physically possible, financially feasible, and produces the greatest return, which sets the basis for most value opinions.

The most probable price a property should bring in a competitive and open market, assuming buyer and seller are informed, acting without undue pressure, and given reasonable exposure.

The broker's obligation to keep transaction files, agreements, disclosures, and trust account records for the period required by Wyoming law and Commission rules, available for inspection.