| About the Author | xv |
| Preface | xvii |
| Introduction | xviii |
| Unit I | Introduction to Real Estate | |
| Chapter 1 | Introduction to Real Estate | 3 |
| Section 1 | The Real Estate Business | 4 |
| Section 2 | Classes and Characteristics of Real Estate | 8 |
| Section 3 | The Real Estate Market | 12 |
| Chapter 2 | Real Estate Concepts | 18 |
| Section 1 | Basic Concepts and Background of Real Estate Law | 19 |
| Section 2 | Real and Personal Property | 23 |
| Unit I Diagnostic Test | 29 |
| Unit II | Real Estate Law | |
| Chapter 3 | Government Powers | 37 |
| Section 1 | Police Powers | 39 |
| Section 2 | Other Government Powers | 44 |
| Section 3 | Environmental Considerations Affecting Real Estate | 46 |
| Chapter 4 | Encumbrances | 53 |
| Section 1 | General Notes on Encumbrances and Easements | 54 |
| Section 2 | Types of Easements | 60 |
| Chapter 5 | Encumbrances: Liens | 66 |
| Section 1 | General Notes on Liens | 67 |
| Section 2 | Real Estate Tax Liens | 70 |
| Section 3 | Liens Other than Real Estate Taxes | 77 |
| Chapter 6 | Legal Descriptions | 82 |
| Section 1 | Metes-and-Bounds Method | 83 |
| Section 2 | Rectangular Survey System | 87 |
| Section 3 | Plat-of-Survey Method and Measuring Elevations | 92 |
| Unit II Diagnostic Test | 96 |
| Unit III | Real Estate Ownership | |
| Chapter 7 | Freehold Interests in Real Estate | 105 |
| Section 1 | Fee Simple and Defeasible Freehold Estates | 106 |
| Section 2 | Life Estates | 110 |
| Section 3 | Water Rights | 113 |
| Chapter 8 | Leasehold Estates in Real Estate | 117 |
| Section 1 | Types of Leasehold Estates | 118 |
| Section 2 | Types of Lease Agreements | 121 |
| Section 3 | Lease Characteristics | 125 |
| Chapter 9 | Forms of Ownership | 131 |
| Section 1 | Severalty and Co-Ownership | 133 |
| Section 2 | Forms Commonly Used by Business | 138 |
| Section 3 | Other Forms of Ownership | 141 |
| Unit III Diagnostic Test | 148 |
| Unit IV | Transferring Real Estate | |
| Chapter 10 | Transferring Title | 157 |
| Section 1 | Methods of Transferring Title to Real Estate | 159 |
| Section 2 | Types of Deeds | 164 |
| Section 3 | Parts of a Deed | 169 |
| Chapter 11 | Recording Title | 174 |
| Section 1 | Public Records and Recording | 175 |
| Section 2 | Evidences of Title | 178 |
| Section 3 | Title Insurance | 180 |
| Chapter 12 | Real Estate Closings | 185 |
| Section 1 | The Closing Process and RESPA | 187 |
| Section 2 | The Closing Statement and Prorations | 192 |
| Section 3 | Preparation of a Closing Statement | 199 |
| Unit IV Diagnostic Test | 206 |
| Unit V | Real Estate Brokerage | |
| Chapter 13 | Agency and Real Estate Brokerage | 215 |
| Section 1 | Defining Agency Relationships | 217 |
| Section 2 | Principal and Agent Duties | 222 |
| Section 3 | The Broker-Principal Relationship | 229 |
| Chapter 14 | Real Estate Contracts | 237 |
| Section 1 | General Contract Concepts | 239 |
| Section 2 | The Required Elements of a Contract | 245 |
| Section 3 | Ending the Contract | 249 |
| Chapter 15 | Listing Agreements | 254 |
| Section 1 | Types of Listing Agreements | 255 |
| Section 2 | Creating and Terminating Listings | 258 |
| Chapter 16 | Real Estate Licensing Laws | 264 |
| Section 1 | Administration of Licensing Laws | 265 |
| Section 2 | Licensing Requirements | 269 |
| Chapter 17 | Fair Housing Laws | 273 |
| Section 1 | Illegal Practices and Fair Housing Acts | 274 |
| Section 2 | The Fair Housing Act of 1968 | 278 |
| Section 3 | Enforcement of the Fair Housing Laws | 283 |
| Unit V Diagnostic Test | 289 |
| Unit VI | Real Estate Valuation | |
| Chapter 18 | The Appraisal Process | 299 |
| Section 1 | The Concept of Value | 300 |
| Section 2 | Principles of Value | 303 |
| Section 3 | Appraisal Procedures | 306 |
| Chapter 19 | Methods of Estimating Value | 314 |
| Section 1 | The Sales Comparison Approach | 315 |
| Section 2 | The Cost Approach | 319 |
| Section 3 | The Income Approach | 324 |
| Section 4 | Gross Rent and Gross Income Multipliers | 327 |
| Unit VI Diagnostic Test | 332 |
| Unit VII | Real Estate Finance | |
| Chapter 20 | Loan Instruments | 341 |
| Section 1 | Types of Loan Instruments | 342 |
| Section 2 | The Mortgage | 346 |
| Chapter 21 | Lending Practices | 349 |
| Section 1 | The Loan Process | 351 |
| Section 2 | Providers of Mortgage Money | 356 |
| Section 3 | Foreclosure and Redemption | 361 |
| Chapter 22 | Types of Real Estate Loans | 366 |
| Section 1 | Mortgage Plans | 367 |
| Section 2 | Government Insured and Guaranteed Loans | 377 |
| Chapter 23 | Lending Laws and Government Activities | 383 |
| Section 1 | Government Activities | 384 |
| Section 2 | Laws Affecting Lending | 387 |
| Section 3 | Bank Reporting Acts | 391 |
| Unit VII Diagnostic Test | 394 |
| Unit VIII | Specialty Topcs | |
| Chapter 24 | Property Management | 403 |
| Section 1 | Property Management Objectives and Activities | 404 |
| Section 2 | The Property Management Agreement and Professional Organizations | 409 |
| Section 3 | Homeowner's Insurance Policies | 411 |
| Chapter 25 | Tax Advantages of Home Ownership | 419 |
| Section 1 | Income Tax: Homeowners Deductions | 420 |
| Section 2 | Income Tax: Excluding Capital Gain on Home Sale | 422 |
| Chapter 26 | Real Estate Investments | 427 |
| Section 1 | Terminology, Advantages, and Disadvantages of Real Estate Investments | 429 |
| Section 2 | Tax Rules and Real Estate Investments | 432 |
| Section 3 | Investment Types | 437 |
| Unit VIII Diagnostic Test | 441 |
| Study Tool Kit | |
| Summary of Hints and Tips | 449 |
| List of Real Estate Abbreviations | 454 |
| Summary of Laws Affecting Real Estate | 456 |
| Real Estate Internet Sites | 461 |
| State Licensing Agencies | 464 |
| Construction Basics | 467 |
| Real Estate Math Review | 478 |
| Math Review Practice Exercises | 492 |
| Solutions to the Math Review Exercises | 495 |
| Flash Cards | 497 |
| Comprehensive Practice Examinations | 543 |
| Examination 1 | 546 |
| Examination 2 | 555 |
| Diagnostic Worksheets and Solutions to Unit Diagnostic Tests | 564 |
| Solutions to Comprehensive Tests | 592 |
| Glossary | 598 |
| Index | 620 |
