allodial system
Gives the property owner absolute independence over the land and is the highest form of property ownership possible., Land ownership system in which used in the United States. In this system no rent or service fees are due to the gov't by land owners.
ARELLO
Association of Real Estate License Law Officials
feudal system
A system of ownership usually associated with pre-colonial England, in which the king or other sovereign is the source of all rights. The right to possess real property was granted by the sovereign to an individual as a life estate only. Upon the death of
free market
when both the seller and the buyer of an item or a service agree on a fair price without anyone else's influence or control
heterogeneity
The quality of being diverse and not comparable in kind, lack of similarity
highest and best use
The appraisal principle which states that value should be based on the utilization of the property which will bring the greatest return to the owner. That use must be legal and feasible.
homogeneity
Neighborhoods made up of similar and compatible properties.
immobility
Incapable of being moved; fixed in location, important physical characteristic of land.
indestructibility
a physical characteristic of real estate referring to the fact that it can't be destroyed.
investment
putting money into something in order to make a profit
land use controls
are any public or private restricions on how land may be used and are usually government-enacted zoning laws.
leverage
ability to finance an investment through borrowed funds
listing contract
An agreement between an owner of real estate and a real estate broker that obligates the broker to attempt to sell the property under specified conditions and terms. It obligates the property owner to pay a commission to the broker if the broker is succes
location
an economic characteristic of land having the greatest effect on value in comparison to any other characteristic.
NAR
National Association of Realtors
personal property
Movable objects, not real property, sometimes called chattels, such as cars, cash, stock
real estate
land and everything permanently attached to land; sometimes used interchangeably with the terms real property and realty.
real property
Interests, benefits, and rights associated with real estate ownership
realty
Land and everything permanently attached to land
scarcity
An economic characteristic of real property. In appraisal, supply of property in relation to effective demand.
supply and demand
an economic concept that states that the price of a good rises and falls depending on how many people want it (demand) and depending on how much of the good is available (supply)