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California Department of Real Estate
Reference Book - A Real Estate Guide
Reprinted from: The California Department of Real Estate
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Introduction
Cover, Preface, Location of Department of Real Estate Offices, Past Real Estate Commissioners, A Word of Caution
Chapter 1 - The State Department of Real Estate
Government Regulation of Brokerage Transactions, Original Real Estate Broker License, Corporate Real Estate License, Original Salesperson License, License Renewals – Brokers and Salespersons, Other License Information, Continuing Education, Miscellaneous Information, Prepaid Residential Listing Service License, Enforcement of Real Estate Law, Discrimination, Notice of Discriminatory Restrictions, Subdivisions, Department Publications, Recovery Account
Chapter 2 - The Real Estate License Examinations
Scope of Examination, Preparing for an Exam, Exam Construction, Examination Weighting, Exam Outline, Exam Rules - Exam Subversion, Materials, Question Construction, Multiple Choice Exam, Q and A Analysis, Sample Multiple Choice Items * NOTE: The exam format has changed since the Reference Book was last revised. Please refer to Salesperson Examination Content and Broker Examination Content for up to date information.
Chapter 3 - Trade and Professional Associations
Real Estate Associations and Boards, Related Associations, Ethics
Chapter 4 - Property
Historical Derivations, The Modern View, Personal Property, Fixtures, Legal Difference Between Real and Personal Property, Land Descriptions, Other Description Methods
Chapter 5 - Title to Real Property
California Adopts a Recording System, Ownership of Real Property, Separate Ownership, Concurrent Ownership, Tenancy in Partnership, Encumbrances, Mechanic's Liens, Design Professional's Lien, Attachments and Judgments, Easements, Restrictions, Encroachments, Homestead Exemption, Assuring Marketability of Title
Chapter 6 - Transfer of Interests in Real Property
Contracts in General, Essential Elements of a Contract, Statute of Frauds, Interpretation, Performance and Discharge of Contracts, Real Estate Contracts, Acquisition and Transfer of Real Estate
Chapter 7 - Principal Instruments of Transfer
A Backward Look, the Pattern Today, Deeds in General, Types of Deeds
Chapter 8 - Escrow
Definition, Essential Elements, Escrow Holder, Instructions, Complete Escrow, General Escrow Principles, General Escrow Procedures, Proration, Termination, Cancellation of Escrow - Cancellation of Purchase Contract, Who May Act As Escrow Agent, Audit, Prohibited Conduct, Relationship of Real Estate Broker and the Escrow Holder, Designating the Escrow Holder, Developer Controlled Escrows - Prohibition
Chapter 9 - Landlord and Tenant
Types of Leasehold Estates, Dual Legal Nature of Lease, Verbal and Written Agreements, Lease Ingredients, Contract and Conveyance Issues, Rights and Obligations of Parties to a Lease, Condemnation of Leased Property, Notice Upon Tenant Default, Non-Waivable Tenant Rights, Remedies of Landlord, Disclosures by Owner or Rental Agent to Tenant
Chapter 10 - Agency
Introduction, Creation of Agency Relationships, Authority of Agent, Duties Owed to Principals, Duties Owed to Third Parties, Rights of Agent, Termination of Agency, Special Brokerage Relationships, Licensee Acting for Own Account, Unlawful Employment and Compensation, Broker-Salesperson Relationship, Conclusion
Chapter 11 - Impact of the Penal Code and Other Statutes
Penal Code, Unlawful Practice of Law, Business and Professions Code, Civil Code, Corporations Code
Chapter 12 - Real Estate Finance
Background, The Economy, The Mortgage Market, Overview of the Loan Process, Details of the Loan Process, Federal and State Disclosure and Notice of Rights, Promissory Notes, Trust Deeds and Mortgages, Junior Trust Deeds and Mortgages, Other Types of Mortgage and Trust Deed Loans, Alternative Financing, Effects of Security, Due on Sale, Lender's Remedy in Case of Default, Basic Interest Rate Mathematics, The Tools of Analysis
Chapter 13 - Government Participation in Real Estate Finance
The Federal Housing Administration (FHA), Most Frequently Used FHA Programs, U.S. Department of Veterans Affairs (VA), California Veterans Farm and Home Purchase Program
Chapter 14 - Non-Mortgage Alternatives To Real Estate Financing
Syndicate Equity Financing, Commercial Loan, Bonds or Stocks, Long-Term Lease, Exchange, Sale-Leaseback, Sales Contract (Land Contract), Security Agreements (Personal Property)
Chapter 15 - Mortgage Loans
Broker's Role, The Loan Application, Advance Fees, Title Policy for Lender, Usury, Article 5–The Lender, Article 7–The Borrower, Truth in Lending Act
Chapter 16 - Real Estate Syndicates and Investment Trusts
Real Estate Syndication, Real Estate Investment Trusts
Chapter 17 - Appraisal and Valuation
Theoretical Concepts of Value and Definitions, Principles of Valuation, Basic Valuation Definitions, Forces Influencing Value, Economic Trends Affecting Real Estate Value, Site Analysis and Valuation, Architectural Styles and Functional Utility, The Appraisal Process and Methods, Methods of Appraising Properties, The Sales Comparison Approach, Cost Approach, Depreciation, Income (Capitalization) Approach, Income Approach Process, Income Approach Applied, Residual Techniques, Yield Capitalization Analysis, Gross Rent Multiplier, Summary, Appraisal of Manufactured Homes (Mobilehomes), Evaluating the Single Family Residence and Small Multi-Family Dwellings, Typical Outline for Writing the Single Family Residence Narrative Appraisal Report, Conclusion, Additional Practice Problems, The Office of Real Estate Appraisers (OREA)
Chapter 18 - Taxation and Assessments
Property Taxes, Taxation of Mobilehomes, Special Assessments, Certain Assessment Statutes, Federal Taxes, Documentary Transfer Tax, State Taxes, Miscellaneous Taxes, Acquisition of Real Property, Income Taxation
Chapter 19 - Subdivisions and Other Public Controls
Basic Subdivision Laws, Subdivision Definitions, Functions in Land Subdivision, Compliance and Governmental Consultation, Types of Subdivisions, Compliance With Subdivided Lands Law, Handling of Purchasers' Deposit Money, Covenants, Conditions and Restrictions, Additional Provisions, Grounds For Denial of Public Report, Subdivision Map Act, Preliminary Planning Considerations, Basic Steps in Final Map Preparation and Approval, Types of Maps, Tentative Map Preparation, Tentative Map Filing, Final Map, Parcel Map, Other Public Controls, Health and Sanitation, Eminent Domain, Water Conservation and Flood Control, Interstate Land Sales Full Disclosure Act
Chapter 20 - Planning, Zoning, and Redevelopment
The Need For Planning, General Plans, Redevelopment
Chapter 21 - Brokerage
Brokerage as a Part of the Real Estate Business, Other Specialists, Operations, Office Size - Management, Office Size, Career Building, The Broker and the New Salesperson, Specialization, A Broker's Related Pursuits, Professionalism, Mobilehome Sales
Chapter 22 - Contract Provisions and Disclosures in a Residential Real Estate Transaction
A Basic Transaction, A Basic Listing, Purchase Contract/Receipt of Deposit, Disclosures
Chapter 23 - Trust Funds
General Information, Trust Fund Bank Accounts, Accounting Records, Other Accounting Systems and Records, Recording Process, Reconciliation of Accounting Records, Documentation Requirements, Additional Documentation Requirements, Audits and Examinations, Sample Transactions, Questions and Answers Regarding Trust Fund Requirements and Record Keeping, Summary, Exhibits
Chapter 24 - Property Management
Professional Organization, Property Managers and Professional Designations, Functions of a Property Manager, Specific Duties of the Property Manager, Earnings, Accounting Records For Property Management
Chapter 25 - Developers of Land and Buildings
Subdividing, Developer-Builder, Home Construction
Chapter 26 - Business Opportunities
Definition, Agency, Small Businesses and the Small Business Administration, Form of Business Organization, Form of Sale, Why an Escrow?, Buyer's Evaluation, Motives of Buyers and Sellers, Counseling the Buyer, Satisfying Government Agencies, Listings, Preparing the Listing, Establishing Value, Valuation Methods, Lease, Goodwill, Fictitious Business Name, Franchising, Bulk Sales and the Uniform Commercial Code, California Sales and Use Tax Provisions, Alcoholic Beverage Control Act
Chapter 27 - Mineral, Oil and Gas Brokerage
History, Mineral, Oil and Gas Brokerage, 1994 - No Separate License Requirements
Chapter 28 - Tables, Formulas, and Measurements
Chapter 29 - Glossary
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