CompuCram CA PRACTICE OF REAL ESTATE AND MANDATED DISCLOSURES

Redlining

When a lender refuses to make loans secured by property in a certain neighborhood because of the racial or ethnic composition of the neighborhood.

Civil Rights Act of 1866

Federal law prohibiting public and private racial discrimination in any property transaction in the U.S.

Federal Fair Housing Act

An act contained in Title 8 of the Civil Rights Act of 1968 that prohibits discrimination in selling or renting residential property based on race, color, religion, sex, national origin, familial status, or handicap status.

Agency Disclosure Statement

A form that states whether an agent is representing the seller or the buyer, or both, in a transaction.

Joint and several liability

A legal concept where persons are individually held liable for damages along with the group.

Latent Defect

A defect that is not visible or apparent; a hidden defect that would not be discovered in a reasonably thorough inspection of property.

Strict Liability

When someone is held legally responsible for an injury to another, even though they did not act negligently.

Disclosure Statement

A document required by law that reveals specific information, such as the actual cost of borrowing money from a lender.

Disclosures

Points or facts that must be revealed.

Untenantable

Not fit for occupancy; used to describe rental property.

Waste

Destruction, damage, or material alteration of property by someone in possession who holds less than a fee estate.

Real Estate Settlement Procedures Act (RESPA)

Federal law dealing with real estate closings, setting forth specific procedures and guidelines for disclosure of settlement costs.

Radon Gas

A naturally occurring radioactive gas that is odorless, colorless, and tasteless, identified as a cancer-causing agent.

Stigmatized Property

A property that is undesirable to most people because of a past event, often a crime or environmental hazard.

Federal Housing Administration (FHA)

A federal agency established in 1934 to increase home ownership by providing an insurance program to safeguard lenders against the risk of non-payment.

Annual Percentage Rate (APR)

The total cost of financing a loan in percentage terms, relating total finance charges to the total amount financed.

Steering

Channeling prospective buyers or tenants to particular neighborhoods based on their race, religion, national origin, or ancestry.