Mastering Real Estate Principles

by Cortesi, Gerald R.

• ISBN13: 9780793129904
• ISBN10: 0793129907
• Edition: 2nd
• Format: Paperback
• Copyright: 1999-02-01
• Publisher: Dearborn Trade

Summary

Destined to become one of the most powerful principles texts ever, Mastering Real Estate Principles goes beyond the limitations of traditional textbooks to provide a complete, interactive learning system. Using a combination of narrative text, examples, exercises and special side notes, it emphasizes "doing" not just passive reading to enhance learning for adults interested in real estate. Clear and simple text, real-life examples and self-testing exercises provide a complete, effective learning experience, with an emphasis on practical application of real estate concepts. The unique Study Tool Kit Appendices also provide invaluable aid for quick reference and review.

Table of Contents

About the Author	xi	(1)
Editorial Review Board	xi	(4)
Introduction	xv
UNIT I INTRODUCTION TO REAL ESTATE	3	(28)
Chapter 1 INTRODUCTION TO REAL ESTATE	3	(12)
SECTION 1 REAL ESTATE SERVICES AND CLASSES OF REAL ESTATE	4	(3)
Services Provided by the Real Estate Industry	4	(1)
Professional Organization	5	(1)
Classes of Real Estate	5	(1)
Section 1 Review Exercises	6	(1)
SECTION 2 REAL ESTATE CHARACTERISTICS	7	(3)
Physical Characteristics of Real Estate	7	(1)
Economic Characteristics of Real Estate	8	(1)
Section 2 Review Exercises	9	(1)
SECTION 3 THE REAL ESTATE MARKET	10	(3)
Characteristics of the Real Estate Market	10	(1)
Factors Affecting the Supply of Real Estate	11	(1)
Factors Affecting the Demand for Real Estate	12	(1)
Section 3 Review Exercises	13	(1)
Solutions for Section Review Exercises	13	(2)
Chapter 2 REAL ESTATE CONCEPTS	15	(16)
SECTION 1 BASIC CONCEPTS AND BACKGROUND OF REAL ESTATE LAW	16	(3)
Historical Background	16	(1)
Basic Legal Concepts	16	(2)
Section 1 Review Exercises	18	(1)
SECTION 2 REAL AND PERSONAL PROPERTY	19	(4)
Real versus Personal Property	19	(1)
Fixture versus Trade Fixture	20	(1)
Tests of a Fixture	21	(1)
Section 2 Review Exercises	22	(1)
Solutions for Section Review Exercises	23	(1)
Instructions for Using the Unit Diagnostic Tests	24	(1)
UNIT I DIAGNOSTIC TEST	25	(6)
UNIT II REAL ESTATE LAW	31	(60)
Chapter 3 GOVERNMENT POWERS	31	(11)
SECTION 1 POLICE POWERS	32	(4)
Purpose of Police Powers	32	(1)
Zoning	32	(3)
Building Codes	35	(1)
Section 1 Review Exercises	35	(1)
SECTION 2 OTHER GOVERNMENT POWERS	36	(2)
Taxation	36	(1)
Eminent Domain	36	(1)
Escheat	37	(1)
Section 2 Review Exercises	37	(1)
SECTION 3 ENVIRONMENTAL CONSIDERATIONS AFFECTING REAL ESTATE	38	(3)
Regulatory Agencies and Environmental Laws	38	(1)
Section 3 Review Exercises	39	(2)
Solutions for Section Review Exercises	41	(1)
Chapter 4 ENCUMBRANCES	42	(11)
SECTION 1 GENERAL NOTES ON ENCUMBRANCES AND EASEMENTS	43	(5)
Encumbrances	43	(1)
Easements	43	(2)
License	45	(1)
Encroachments	45	(1)
Deed Restrictions	46	(1)
Section 1 Review Exercises	47	(1)
SECTION 2 TYPES OF EASEMENTS	48	(4)
Appurtenant Easements	48	(1)
Easement in Gross	49	(1)
Easement by Prescription (Prescriptive Easement)	50	(1)
Section 2 Review Exercises	51	(1)
Solutions for Section Review Exercises	52	(1)
Chapter 5 ENCUMBRANCES: LIENS	53	(16)
SECTION 1 GENERAL NOTES ON LINES	54	(3)
Description of Liens	54	(1)
Classifying Liens	54	(1)
Creation of Liens	55	(1)
Priority of Liens	55	(1)
Section 1 Review Exercises	56	(1)
SECTION 2 REAL ESTATE TAX LIENS	57	(6)
General (Ad Valorem) Real Estate Tax	57	(3)
Enforcement of Tax Liens	60	(1)
Special Assessments	61	(1)
Section 2 Review Exercises	61	(2)
SECTION 3 LIENS OTHER THAN REAL ESTATE TAXES	63	(4)
Mortgage Lien	63	(1)
Mechanics' Liens	63	(1)
Judgment Lien	63	(1)
Liens Against a Deceased Person's Estate	63	(1)
Vendor's and Vendee's Liens	63	(1)
Income Tax Lien	63	(1)
Municipal Utilities Lien	63	(1)
Lis Pendens (Pending Litigation)	63	(1)
Section 3 Review Exercises	63	(4)
Solutions for Section Review Exercises	67	(2)
Chapter 6 LEGAL DESCRIPTIONS	69	(22)
SECTION 1 METES-AND-BOUNDS METHOD	70	(3)
Purpose of Legal Descriptions	70	(1)
Metes-and-Bounds Description	70	(2)
Section 1 Review Exercises	72	(1)
SECTION 2 RECTANGULAR SURVEY SYSTEM	73	(5)
Principal Meridians and Base Lines	73	(1)
Range Lines	73	(1)
Township Lines	73	(1)
Sections	74	(1)
Legal Description	75	(1)
Correction Lines	76	(1)
Fractional Sections and Government Lots	76	(1)
Section 2 Review Exercises	77	(1)
SECTION 3 PLAT OF SURVEY METHOD AND MEASURING ELEVATIONS	78	(3)
Plat of Survey Method	78	(1)
Measuring Elevations	79	(1)
Air Lots	79	(1)
Key Measurements To Remember	80	(1)
Section 3 Review Exercises	80	(1)
Solutions for Section Review Exercises	81	(2)
UNIT II DIAGNOSTIC TEST	83	(8)
Unit III Real Estate Ownership	91	(50)
Chapter 7 FREEHOLD INTERESTS IN REAL ESTATE	91	(12)
SECTION 1 FEE SIMPLE AND DEFEASIBLE FREEHOLD ESTATES	92	(3)
Estates in Land	92	(2)
Section 1 Review Exercises	94	(1)
SECTION 2 LIFE ESTATES	95	(3)
Conventional Life Estates	95	(2)
Legal Life Estates	97	(1)
Section 2 Review Exercises	97	(1)
SECTION 3 WATER RIGHTS	98	(3)
Riparian Rights	98	(1)
Littoral Rights	99	(1)
Prior Appropriation	99	(1)
Accretion and Erosion	99	(1)
Section 3 Review Exercises	100	(1)
Solution for Section Review Exercises	101	(2)
Chapter 8 LEASEHOLD ESTATES IN REAL ESTATE	103	(13)
SECTION 1 TYPES OF LEASEHOLD ESTATES	104	(2)
Estate for Years	104	(1)
Periodic Estate	104	(1)
Tenancy (Estate) at Will	105	(1)
Tenancy (Estate) at Sufferance	105	(1)
Section 1 Review Exercises	105	(1)
SECTION 2 TYPES OF LEASES	106	(3)
Gross Lease	106	(1)
Net Lease	106	(1)
Percentage Lease	107	(1)
Variable Leases	107	(1)
Ground Lease	107	(1)
Oil and Gas Leases	108	(1)
Lease-Purchase	108	(1)
Sale-Leaseback	108	(1)
Section 2 Review Exercises	109	(1)
SECTION 3 LEASE CHARACTERISTICS	109	(5)
Requirements for a Valid Lease	109	(1)
Destruction of Premises	110	(1)
Transfer of Leasehold Interests	111	(1)
Options	111	(1)
Breach of Lease	111	(1)
Termination of Leases	112	(1)
Uniform Residential Landlord and Tenant Act	112	(1)
Section 3 Review Exercises	113	(1)
Solution for Section Review Exercises	114	(2)
Chapter 9 FORMS OF OWNERSHIP	116	(25)
SECTION 1 SEVERALTY AND CO-OWNERSHIP	117	(5)
Ownership in Severalty	117	(1)
Joint Tenancy	117	(2)
Tenants in Common	119	(1)
Termination of Co-Ownership	119	(1)
Tenancy by the Entirety	120	(1)
Community Property	120	(1)
Section 1 Review Exercises	121	(1)
SECTION 2 FORMS COMMONLY USED BY BUSINESS	122	(3)
Partnerships	122	(1)
Corporations	122	(1)
S Corporation	123	(1)
Limited Liability Companies	123	(1)
Syndications	124	(1)
Joint Venture	124	(1)
Section 2 Review Exercises	124	(1)
SECTION 3 OTHER FORMS OF OWNERSHIP	125	(6)
Trusts	125	(1)
Some Types of Trusts	125	(1)
Condominiums	126	(2)
Cooperatives	128	(1)
Time-Sharing	128	(1)
Section 3 Review Exercises	129	(2)
Solutions for Section Review Exercises	131	(2)
UNIT III DIAGNOSTIC TEST	133	(8)
UNIT IV TRANSFERRING REAL ESTATE	141	(52)
Chapter 10 TRANSFERRING TITLE	141	(16)
SECTION 1 METHODS OF TRANSFERRING TITLE TO REAL ESTATE	142	(5)
Transfer by Voluntary Alienation	142	(2)
Transfer by Involuntary Alienation	144	(1)
Transfer Taxes	145	(1)
Section 1 Review Exercises	145	(2)
SECTION 2 TYPES OF DEEDS	147	(4)
General Warranty Deed	147	(1)
Special Warranty Deed	148	(1)
Bargain and Sale Deeds	148	(1)
Quitclaim Deeds	148	(1)
Grant Deeds	148	(1)
Special Purpose Deeds	148	(2)
Section 2 Review Exercises	150	(1)
SECTION 3 PARTS OF A DEED	151	(4)
Required Parts of a Deed	151	(2)
Requirements for a Valid Deed	153	(1)
Section 3 Review Exercises	153	(2)
Solutions for Section Review Exercises	155	(2)
Chapter 11 RECORDING TITLE	157	(9)
SECTION 1 PUBLIC RECORDS AND RECORDING	158	(2)
Necessity for Recording	158	(1)
Establishing Title	158	(1)
Foreign Language Documents	159	(1)
Section 1 Review Exercises	160	(1)
SECTION 2 EVIDENCES OF TITLE	160	(2)
Evidences of Title	160	(2)
Section 2 Review Exercises	162	(1)
SECTION 3 TITLE INSURANCE	162	(3)
Description	162	(1)
Policy Types	163	(1)
Policy Coverage	163	(1)
Title Insurance Process	163	(1)
Parts of a Policy	163	(1)
Section 3 Review Exercises	164	(1)
Solution for Section Review Exercises	165	(1)
Chapter 12 REAL ESTATE CLOSINGS	166	(27)
SECTION 1 THE CLOSING PROCESS AND RESPA	167	(5)
The Closing Process	167	(2)
Real Estate Settlement Procedures Act (RESPA)	169	(2)
Truth-in-Lending Act	171	(1)
Section 1 Review Exercises	171	(1)
SECTION 2 THE CLOSING STATEMENT AND PRORATIONS	172	(5)
Preparation of the Closing Statement	172	(1)
Disposition of Charges	172	(1)
Prorations	173	(1)
Section 2 Review Exercises	173	(4)
SECTION 3 PREPARATION OF A CLOSING STATEMENT	177	(6)
Statement Format	177	(1)
Real Estate Settlement Example	177	(6)
Solution for Section Review Exercises	183	(2)
UNIT IV DIAGNOSTIC TEST	185	(8)
UNIT V REAL ESTATE BROKERAGE	193	(72)
Chapter 13 AGENCY AND REAL ESTATE BROKERAGE	193	(18)
SECTION 1 DEFINING AGENCY RELATIONSHIPS	194	(4)
Brokerage	194	(1)
Agency	194	(2)
Termination of an Agency	196	(1)
Agency Coupled with an Interest	196	(1)
Section 1 Review Exercises	197	(1)
SECTION 2 PRINCIPAL AND AGENT DUTIES	198	(6)
Agent's Duties to the Principal	198	(1)
Agent's Duties to Others(Third Parties)	199	(1)
Disclosure	200	(1)
Principal's Duties to Agent	200	(1)
Commissions	201	(1)
Antitrust Violations	202	(1)
Section 2 Review Exercises	202	(2)
SECTION 3 THE BROKER-PRINCIPAL RELATIONSHIP	204	(5)
The Broker as Agent of the Seller (Seller Agency)	204	(1)
The Broker as Agent of the Buyer (Buyer Agency)	205	(1)
The Broker as Agent of Seller and Buyer (Dual Agency)	205	(1)
The Broker-Sales Associate Relationship	206	(2)
Section 3 Review Exercises	208	(1)
Solution for Section Review Exercises	209	(2)
Chapter 14 REAL ESTATE CONTRACTS	211	(14)
SECTION 1 GENERAL CONTRACT CONCEPTS	212	(5)
General Rules Regarding Contracts	212	(1)
Classification of Contracts	213	(1)
Real Estate Sales Contracts	214	(2)
Section 1 Review Exercises	216	(1)
SECTION 2 THE REQUIRED ELEMENTS OF A CONTRACT	217	(4)
Legally Competent Parties	217	(1)
Offer and Acceptance	218	(1)
Reality of Consent	218	(1)
Legally Sufficient Consideration	219	(1)
Legality of Object	219	(1)
Proper Legal Form	220	(1)
Section 2 Review Exercises	220	(1)
SECTION 3 ENDING THE CONTRACT	221	(3)
Discharge of a Contract	221	(1)
Default--Breach of a Contract	222	(1)
Withdrawing from Contracts	222	(1)
Section 3 Review Exercises	223	(1)
Solution for Section Review Exercises	224	(1)
Chapter 15 LISTING AGREEMENTS	225	(8)
SECTION 1 TYPES OF LISTING AGREEMENTS	225	(3)
Open Listing	226	(1)
Exclusive-Agency Listing	226	(1)
Exclusive-Right-to-Sell Listing	226	(1)
Multiple Listing	227	(1)
Net Listing	227	(1)
Buyer Broker Agreements	227	(1)
Section 1 Review Exercises	228	(1)
SECTION 2 CREATING AND TERMINATING LISTINGS	228	(4)
Information Included in Listings	228	(1)
Commission Calculations	229	(1)
Termination of Listing Agreements	230	(1)
Section 2 Review Exercises	231	(1)
Solutions for Section Review Exercises	232	(1)
Chapter 16 REAL ESTATE LICENSING LAWS	233	(8)
SECTION 1 ADMINISTRATION OF LICENSING LAWS	234	(3)
Licensing Agencies	234	(1)
ARELLO	234	(1)
Who Is Required To Be Licensed	234	(1)
Who Is Exempt from the Laws	235	(1)
License Categories	235	(1)
Corporations and Partnership Licenses	236	(1)
Nonresident (Reciprocal) Licenses	236	(1)
License Renewal or Transfer	236	(1)
Section 1 Review Exercises	236	(1)
SECTION 2 LICENSING REQUIREMENTS	237	(3)
Requirements for Licensing	237	(1)
Operating a Real Estate Business	238	(1)
Suspending or Revoking a License	238	(1)
Real Estate Recovery Fund	238	(1)
Surety Bonds	239	(1)
Section 2 Review Exercises	239	(1)
Solutions for Section Review Exercises	240	(1)
Chapter 17 FAIR HOUSING LAWS	241	(24)
SECTION 1 UNETHICAL PRACTICES AND FAIR HOUSING ACTS	242	(3)
Unethical Practices	242	(1)
Federal Fair Housing Laws	242	(2)
Section 1 Review Exercises	244	(1)
SECTION 2 THE FAIR HOUSING ACT OF 1968	245	(5)
Groups Protected under the Act	245	(1)
Groups Not Covered	245	(1)
Activities Prohibited under the Act	245	(2)
Real Estate Transactions Exempted under the Act	247	(1)
Amendments to the Fair Housing Act of 1968	247	(2)
Section 2 Review Exercises	249	(1)
SECTION 3 ENFORCEMENT OF THE FAIR HOUSING LAWS	250	(3)
Complaints Filed with HUD (under the 1968 Fair Housing Act)	250	(1)
Civil Suit Filed in Federal District Court	251	(1)
Action Taken by the Department of Justice	251	(1)
Responsibility of the Licensee	251	(1)
Section 3 Review Exercises	252	(1)
Solutions for Section Review Exercises	253	(2)
UNIT V DIAGNOSTIC TEST	255	(10)
UNIT VI REAL ESTATE VALUATION	265	(40)
Chapter 18 THE APPRAISAL PROCESS	265	(15)
SECTION 1 THE CONCEPT OF VALUE	266	(2)
Multiple Meanings of Value	266	(1)
Basic Elements of Value	267	(1)
Section 1 Review Exercises	267	(1)
SECTION 2 PRINCIPLES OF VALUE	268	(3)
Section 2 Review Exercises	270	(1)
SECTION 3 APPRAISAL PROCEDURES	271	(7)
Description of the Appraisal Process	271	(3)
Appraisal Organizations	274	(1)
Appraisal Regulation	275	(1)
Appraiser Qualifications	275	(1)
Section 3 Review Exercises	276	(2)
Solutions for Section Review Exercises	278	(2)
Chapter 19 METHODS OF ESTIMATING VALUE	280	(25)
SECTION 1 THE SALES COMPARISON APPROACH	281	(4)
Making Adjustments	281	(3)
Type of Property Best Suited for This Approach	284	(1)
Section 1 Review Exercises	284	(1)
SECTION 2 THE COST APPROACH	285	(4)
Steps in Using the Cost Approach	285	(1)
Type of Property Best Suited for This Approach	286	(1)
Approaches for Estimating Current Cost of Construction	286	(1)
Estimating the Amount of Accrued Depreciation	287	(1)
Section 2 Review Exercises	288	(1)
SECTION 3 THE INCOME APPROACH	289	(3)
Steps in Using the Income Approach	289	(2)
Type of Property Best Suited for This Approach	291	(1)
Section 3 Review Exercises	291	(1)
SECTION 4 GROSS RENT AND GROSS INCOME MULTIPLIERS	292	(3)
Type of Property Best Suited for These Approaches	292	(1)
Formulas for Finding the GRM and GIM	292	(1)
Applying the GRM and GIM	293	(1)
Section 4 Review Exercises	294	(1)
Solutions for Section Review Exercises	295	(2)
UNIT VI DIAGNOSTIC TEST	297	(8)
UNIT VII REAL ESTATE FINANCE	305	(56)
Chapter 20 LOAN INSTRUMENTS	305	(7)
SECTION 1 TYPES OF LOAN INSTRUMENTS	306	(3)
Lending Concepts	306	(1)
Mortgage Law	306	(1)
Loan Instruments	307	(1)
Section 1 Review Exercises	308	(1)
SECTION 2 THE MORTGAGE	309	(2)
Mortgage Requirements	309	(1)
Mortgagor's Duties	309	(1)
Section 2 Review Exercises	310	(1)
Solutions for Section Review Exercises	311	(1)
Chapter 21 LENDING PRACTICES	312	(15)
SECTION 1 THE LOAN PROCESS	313	(4)
Qualifying for a Loan	313	(1)
Closing the Loan Transaction	314	(2)
Assumptions versus Subject-to Mortgages	316	(1)
Section 1 Review Exercises	316	(1)
SECTION 2 PROVIDERS OF MORTGAGE MONEY	317	(5)
Primary Sources of Loans	317	(2)
Secondary Mortgage Market	319	(2)
Section 2 Review Exercises	321	(1)
SECTION 3 FORECLOSURE AND REDEMPTION	322	(3)
Foreclosure Methods	322	(1)
Redemption	323	(1)
Possession	324	(1)
Section 3 Review Exercises	324	(1)
Solutions for Section Review Exercises	325	(2)
Chapter 22 TYPES OF REAL ESTATE LOANS	327	(15)
SECTION 1 MORTGAGE PLANS	328	(7)
Adjustable Rate Mortgage	328	(1)
Amortized Loan	328	(1)
Balloon Loan	329	(1)
Biweekly Mortgages	329	(1)
Blanket Loan	330	(1)
Budget Loan	330	(1)
Buydowns	330	(1)
Construction Loan	330	(1)
Fifteen-Year Loan	330	(1)
Graduated Payment Mortgage	331	(1)
Home Equity Loan	331	(1)
Land Contract	331	(1)
Open-End Loan	332	(1)
Package Loan	332	(1)
Purchase-Money Mortgage	332	(1)
Reverse Annuity Mortgage	332	(1)
Term Loan	333	(1)
Wraparound Loan	333	(1)
Section 1 Review Exercises	333	(1)
SECTION 2 GOVERNMENT INSURED AND GUARANTEED LOANS	335	(6)
Conventional and Nonconventional Loans	335	(1)
FHA Loans	335	(1)
VA Loans	335	(5)
Section 2 Review Exercises	340	(1)
Solutions for Section Review Exercises	341	(1)
Chapter 23 LENDING LAWS AND GOVERNMENT ACTIVITIES	342	(19)
SECTION 1 GOVERNMENT ACTIVITIES	343	(2)
The Federal Reserve System	343	(1)
The Financial Institutions Reform, Recovery and Enforcement Act (FIRREA)	344	(1)
Section 1 Review Exercises	345	(1)
SECTION 2 LAWS AFFECTING LOAN ORIGINATIONS	345	(4)
Usury Laws	345	(1)
The Truth-in-Lending Act	346	(2)
Federal Equal Credit Opportunity Act	348	(1)
Real Estate Settlement Procedures Act (RESPA)	348	(1)
SECTION 2 Review Exercises	348	(1)
SECTION 3 BANK REPORTING ACTS	349	(3)
Fair Credit Reporting Act	349	(1)
Community Bank Reinvestment Act	350	(1)
Home Mortgage Disclosure Act (Regulation C)	350	(1)
Section 3 Review Exercises	350	(2)
Solutions for Section Review Exercises	352	(1)
UNIT VII DIAGNOSTIC TEST	353	(8)
UNIT VIII SPECIALTY TOPICS	361	(68)
Chapter 24 PROPERTY MANAGEMENT	361	(15)
SECTION 1 PROPERTY MANAGEMENT OBJECTIVES AND ACTIVITIES	362	(4)
Growth of Property Management	362	(1)
Property Management Objectives	362	(1)
Property Management Activities	362	(1)
Maintaining the Premises	363	(2)
Section 1 Review Exercises	365	(1)
SECTION 2 THE PROPERTY MANAGEMENT AGREEMENT AND PROFESSIONAL ORGANIZATIONS	366	(3)
Purpose of the Agreement	366	(1)
Provisions of the Agreement	366	(1)
Property Management Organizations	367	(1)
Section 2 Review Exercises	368	(1)
SECTION 3 HOMEOWNER'S INSURANCE POLICIES	369	(5)
Policy Classifications	369	(1)
Policy Endorsements	369	(1)
Liability Coverage	369	(1)
Homeowner's Policy	370	(1)
Insurance for Business Property	370	(1)
Lender's Insurance Requirements	370	(1)
Private Home Warranty Programs	370	(1)
Insurance Claims	370	(1)
Subrogation	371	(1)
National Flood Insurance Act of 1968	371	(1)
Section 3 Review Exercises	372	(2)
Solutions for Section Review Exercises	374	(2)
Chapter 25 TAX ADVANTAGES OF HOME OWNERSHIP	376	(7)
SECTION 1 INCOME TAX DEDUCTIONS	377	(2)
Deductions	377	(1)
Mortgage Interest	377	(1)
Real Estate Taxes	377	(1)
Tax Treatment of Deductions	378	(1)
Section 1 Review Exercises	378	(1)
SECTION 2 EXCLUDING CAPITAL GAIN	379	(3)
Calculation of Gain or Loss	379	(1)
Improvements versus Repairs Determine the Capital Gain Exclusion	380	(1)
Section 2 Review Exercises	380	(2)
Solutions for Section Review Exercises	382	(1)
Chapter 26 REAL ESTATE INVESTMENTS	383	(20)
SECTION 1 TERMINOLOGY, ADVANTAGES AND DISADVANTAGES OF REAL ESTATE INVESTMENTS	384	(3)
Investment Terms	384	(1)
Advantages of Real Estate Investments	385	(1)
Disadvantages of Real Estate Investments	385	(1)
Section 1 Review Exercises	386	(1)
SECTION 2 TAX RULES AND REAL ESTATE INVESTMENTS	387	(4)
Tax Rates	387	(1)
Types of Income	387	(1)
Types of Investors	388	(1)
Limits on Deducting Losses	388	(1)
Exchanges	388	(1)
Depreciation	389	(1)
Tax Credits	390	(1)
Section 2 Review Exercises	390	(1)
SECTION 3 INVESTMENT TYPES	391	(3)
Direct Ownership	391	(1)
Real Estate Investment Syndications	392	(1)
Real Estate Investment Trusts	392	(1)
Real Estate Mortgage Investment Conduit	392	(1)
Section 3 Review Exercises	393	(1)
Solutions for Section Review Exercises	394	(2)
UNIT VIII DIAGNOSTIC TEST	396	(7)
STUDY TOOL KIT	403	(26)
Progress Chart	403	(1)
List of Real Estate Abbreviations	404	(2)
Summary of Laws Affecting Real Estate	406	(4)
Real Estate Internet Sites	410	(3)
Real Estate Math Review	413	(12)
Math Review Practice Exercises	425	(3)
Solutions to the Math Review Exercises	428	(1)
COMPREHENSIVE PRACTICE EXAMINATIONS	429	(2)
EXAMINATION I	431	(8)
EXAMINATION II	439	(10)
SOLUTIONS TO UNIT DIAGNOSTIC TESTS AND COMPREHENSIVE PRACTICE EXAMINATIONS	449	(32)
GLOSSARY	481	(16)
INDEX	497