Chapter 3 - Part 2

Card Set Information

Author:
kaylyn63
ID:
10662
Filename:
Chapter 3 - Part 2
Updated:
2010-03-15 23:11:58
Tags:
Real Estate Practice
Folders:

Description:
Concepts of Home Ownership
Show Answers:

Home > Flashcards > Print Preview

The flashcards below were created by user kaylyn63 on FreezingBlue Flashcards. What would you like to do?


  1. Home Owners can take tax deductions from gross income from....
    • Mortgage interest payments on 1st and 2nd homes (for balances below 1 mill for couples and 500 thous for singles)
    • Real estate taxes
    • Loan discount points
    • Loan prepayment penalties
  2. This requires homeowners to provide insurance equal to at least 80% of replacement cost of the dwelling (not including the cost of the land).
    Co-insurance clause
  3. If a home owner holds insurance less than 80% of replacement cost, either the loss will be setttled for ________ __________ ________ (cost less depreciation) or it will be __________ ____ _________ the percentage of replacement cost actually covered by the policy by the minimum coverage requirement.
    • actual cash value
    • prorated by dividing
  4. What is CLUE?
    Comprehensive Loss Underwriting Exchange
  5. What does CLUE do?
    keeps a record of insurance claims for 5 years (personal property claim history)
  6. What is the NFIP?
    National Flood Insurance Program
  7. The National Flood Insurance Act of 1963 was enacted by Congress to help homeowners in flood prone areas by....
    subsidizing flood insurnace for people in flood prone areas
  8. What organization administers the National Flood Insurance Act of 1963?
    FEMA
  9. Personal belonging coverage includes off ________ coverage (covered anywhere in the world).
    premises
  10. What organization prepare maps to identify flood prone areas?
    Army Corps of Engineers
  11. Basic insurance policies cover:
    fire, lightning, windstorm, hail, glass breakage, damage by aircrafts and civil commotion, vandalism, theft, malicious mischief
  12. This is a guage of sale prices in the country's major markets
    S&P/Case Shiller Home Price Index
  13. Broad form insurance policies include:
    • falling objects, and damage due to weight of ice, snow, or sleet
    • Collapse of all or part of building
    • Water damage from pipes or appliances by steam or accidental discharge, or freezing
  14. Many appraisers use this service to determine approximate building costs.
    Marshall and Swift
  15. Damage by most disasters are covered in most basic insurance policies with the exception of....
    earthquake, floods, and poor maintenance
  16. Most standard insurance polices covered detatched buildings on your property at __________ of the amount of insurance you have.
    10%
  17. Most companies provide coverage for personal belongings destroyed by fire, hurricane, etc, up to ________________ of the coverage you have in your home.
    50-70%
  18. Most insurance policies cover damage to fructus naturales at _____ or __________ per item - wind or disease are not covered.
    • 5%
    • $500.00
  19. Liability limits usuall start at _____________. but many experts recommend ________________.
    • $100 M
    • $500 M
  20. The total debt including car pmts, student loans, credit card minimum payments is called.....
    back end ratio

What would you like to do?

Home > Flashcards > Print Preview