What Does Subservient Mean In Real Estate?
The servient estate is a parcel of land that benefits another parcel of land. It might be a road, stream, or even an easement on the property.
The servient estate is subject to the rule of a dominant estate, which is the property of the neighboring landowner that profits from the servient estate. The servient estate is subservient because it must yield to the dominant estate.
What Is Broker Reciprocity?
Broker Reciprocity is a mechanism in which brokers grant each other permission to show their listings on each other’s websites. Brokers who engage in the scheme (known as Broker Reciprocity Subscribers or BRSs) can view each other’s active listings.
The system is designed to prevent other brokers from competing by premarketing their listings on the system. Brokers can also sell these listings to each other and profit from this system; however, they need consent from each other before doing so.
Can A Felon Get A Real Estate License?
No state automatically disqualifies persons with prior crimes or misdemeanors from obtaining a real estate license; nevertheless, you must petition the state’s real estate commission for a waiver or permission.
As part of your application, most states need a fingerprint-based background check or a criminal history report. The commission will then determine if you are eligible to obtain a real estate license.
If you have been convicted of any crime, felony, or misdemeanor at any time in your life, including juvenile cases, the commission might refuse to grant you a license.
You will also face added scrutiny and scrutiny from the state’s attorney general office, which looks into every licensee’s background.
Can A Felon Get A Real Estate License In Florida?
If you committed a felony, such as tax evasion or breaking and entering, and it has been 15 years, your application may be accepted. It all depends on the individual offences on your record and how much time has elapsed since they occurred.
For example, your application will be refused if you have a major or first-degree crime. The commission will look at your offense, the severity of it, and how much time has passed since your conviction.
What Is Defeasance Real Estate?
Defeasance decreases the fees that must be paid when a borrower decides to prepay a fixed-rate commercial real estate loan. Instead of paying cash to the lender, the defeasance option allows the borrower to exchange another cash-flowing asset for the original security on the loan.
The asset is typically a bond issued by another company that the borrower owns through an affiliate. The bonds must be in the same amount as the loan, and the cash flows must be sufficient to cover all future payments on both loans. Defeasance is not allowed for adjustable-rate loans.
What Is A Reciprocal Real Estate License?
States that have complete real estate license reciprocity permit you to transfer your real estate license from any state in the country after passing the state-specific component of the real estate test in your target state.
The real estate exam is a national exam created by the National Association of Realtors (NAR), and it has both state-specific questions and national questions.
When you take the real estate exam in your target state, you answer the state-specific component first. You will likely be asked different questions within that component than in the national component.
You will need to score at least 70 percent on that section to pass overall and move on to complete the national component of the real estate exam.
What Is Meant By The Executed Lease?
A formally executed contract is a finalized agreement that has passed the signing stage and been agreed to by all necessary parties. In simple contracts, the parties may exchange drafts of the agreements they have agreed to without formally signing them.
In more complicated arrangements, all parties may meet in one room, rather than exchanging their documents via the mail, and sign their documents at once.
The parties to the lease also certify their ability under the law to enter into the lease agreement by completing a form called a “statutory declaration of intent.”
What Is The Prepayment Clause In Real Estate?
A prepayment clause allows the borrower to make a lump-sum payment that matches or is greater than the amount of interest due for a specified period of time.
The prepayment may be made at any time; however, it must be paid in full before the period ends. The borrower must pay an additional fee for the privilege of prepaying interest.
For example, if you have a loan that carries an interest rate of 5 percent for two years, you might decide to pay off the loan early. If you make a prepayment during the first year, you will be charged more than 5 percent because some of your interest has not accrued yet.
To avoid such charges, many loans have “interest-only” periods. As with any other charge on the loan, the fees are negotiable and vary depending on the market conditions at the time of negotiation.
Prepaid interest can also be a clause in adjustable-rate mortgages (ARMs) that allows both parties to take advantage of increasing home values. The rate on these loans starts at zero percent and increases to a certain preset amount.