Basic RE Concepts

[Landen Ward]

First of all, I apologize for those of you primarily looking to help people out with actual problems or decisions on their hands, because I don't have either of those. I am simply looking to learn.

If anyone would please help me out a little, the real state game so far is quite overwhelming. At the moment, I'm a freshman in college and don't have the prerequisites required to take a real estate course. What would help me out a ton would be if anyone could list a few basic real estate concepts for me to research. I don't mind researching on my own and currently do a lot, so explanations are optional. But frankly for now, I don't know where to start.

Any help would be great. Thanks!

[Bill Gulley]

Gotta say.... Nope! wholesaling is not a basic RE concept or function of real estate.

You may not meet the school requirements, but I bet you can go to the book stor and find the text for RE 101/102.

Here are some basic concepts to understand;
What is RE? What are the social, economic, financial and physical attributes of RE? Why is it valuable? Look up "DUST", Demand, utility, scarcity and transferability.

What are the legal aspect to RE, the rights held, the bundle of rights, ownership rights, what goes with the land? Possession, use, enjoyment, disposition and exclusions. Private, public ownerships, easements and rights of way, the difference between real and personal property, tangible and intangible property.

How is RE described legally, the two methods and what is meant when someone says "the description doesn't close"? What are the differences between liens, encumbraces and encroachments? What is an easement and the difference between appurtenant easement and an easement ig gross. How would they be conveyed or constructed?

Look up 'allodial system' What types of rights may be held, whate is estate, freehold, fee simple, absolute, qualified fee and the fee tail? What life estates are passed by and between parties or by operation of law? What is meant by 'future interests' and nonpossessory interests? What is an 'easement in gross'and servient estate?

What are riparian rights or prior appropriation and then rights created by covenants and conditional deeds. What is a quit claim, special warranty, warranty, reversionary and beneficiary deed? Any other deeds....granted by governments or special use deeds? What is joint tenancy and tenancy by the entirety?

What is required by the statute of frauds and why? What are the requirements for a legal and binding contract? When is an offer really made? What constitutes acceptance of an offer? What is a contingency contract, what does a lease contract convey and what is an option contract?

I'll come back to this, there is much more and it's the basics I harp about all the time, glad you asked, to date, no one has I don't think.

It sounds like legal mobo-jombo, some of it is and if you can't understand that real estate, from the center of the earth to infinity is governed by law, you better get out of the business. It's how we define it, measure it, value it, assign it, convey it, trade it, lease it, rent it, sell it, use it, how we divide it and the particles, minerals, water, gas and all elements are economically identified and advanced, leased, sold and conveyed. It is under law that we finance it, encumber it and secure it. Laws apply to every aspect of land and improvements as well as everyting that is placed upon it or is grown out of it. If you never learn the basics and theory behind transaction you will be doomed to performing stupid pet tricks in RE. :)

I'm going to knock it off for the day :) Later....