Pa Real Estate Fundamentals
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Test
RELRA - 🧠ANSWER ✔✔Statutory law enacted by the state legislature and
signed into law by the governor
Types of leases - 🧠ANSWER ✔✔gross lease, net lease, percentage lease
Government Powers (PETE) - 🧠ANSWER ✔✔Police power
Eminent domain - right of the government to get privately owned estate for
public use. Condemnation refers to the process of exercising that right
,Taxation- charge on real estate to raise funds to meet the needs of a govt
they include annual real estate taxes, school taxes etc.
Escheat - process by which the state may acquire privately owned real or
personal property
What happens when a seller breaches agreements? - 🧠ANSWER ✔✔If
seller breaches a real estate agreement of sale, the buyer may sue for
specific performance unless the contract specifically states otherwise "suit
for specific performance " - buyer asks the court to force the seller to go
thru with the sale and convey the property as previously agreed
Novation - 🧠ANSWER ✔✔Substitution of a new contract In place of the
original one
Statute of Limitations - 🧠ANSWER ✔✔State law that limits the time with in
which the parties to a contract and may bring legal suit to enforce their
rights. In PA it's 4 years
Statute of Frauds - 🧠ANSWER ✔✔The part of a state law that requires that
certain instruments, such as deeds, real estate sales contracts, and certain
leases, be in writing to be legally enforceable.
, Title Insurance - 🧠ANSWER ✔✔a contract under which the policyholder is
protected from losses arising from defects in the title.
proof of ownership - 🧠ANSWER ✔✔evidence that title is marketable. In PA
it's a certificate of title
Chain of Title - 🧠ANSWER ✔✔The succession of conveyances, from some
accepted starting point, whereby the present holder of real property derives
title.
Asbestos - 🧠ANSWER ✔✔a mineral that forms long, thin, microscopic
fibers; used as an insulator against heat and sound that can cause
respiratory diseases.
Encapsulation - 🧠ANSWER ✔✔Can prevent asbestos from becoming
airborne
Assessment - 🧠ANSWER ✔✔The imposition of a tax, charge, or levy,
usually according to established rates.
Constructive Notice - 🧠ANSWER ✔✔The legal presumption that information
has been obtained by an individual through due diligence.
COPYRIGHT©JOSHCLAY 2025/2026. YEAR PUBLISHED 2026. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE. PRIVACY
3
STATEMENT. ALL RIGHTS RESERVED
2026 Expert Verified | Ace the
Test
RELRA - 🧠ANSWER ✔✔Statutory law enacted by the state legislature and
signed into law by the governor
Types of leases - 🧠ANSWER ✔✔gross lease, net lease, percentage lease
Government Powers (PETE) - 🧠ANSWER ✔✔Police power
Eminent domain - right of the government to get privately owned estate for
public use. Condemnation refers to the process of exercising that right
,Taxation- charge on real estate to raise funds to meet the needs of a govt
they include annual real estate taxes, school taxes etc.
Escheat - process by which the state may acquire privately owned real or
personal property
What happens when a seller breaches agreements? - 🧠ANSWER ✔✔If
seller breaches a real estate agreement of sale, the buyer may sue for
specific performance unless the contract specifically states otherwise "suit
for specific performance " - buyer asks the court to force the seller to go
thru with the sale and convey the property as previously agreed
Novation - 🧠ANSWER ✔✔Substitution of a new contract In place of the
original one
Statute of Limitations - 🧠ANSWER ✔✔State law that limits the time with in
which the parties to a contract and may bring legal suit to enforce their
rights. In PA it's 4 years
Statute of Frauds - 🧠ANSWER ✔✔The part of a state law that requires that
certain instruments, such as deeds, real estate sales contracts, and certain
leases, be in writing to be legally enforceable.
, Title Insurance - 🧠ANSWER ✔✔a contract under which the policyholder is
protected from losses arising from defects in the title.
proof of ownership - 🧠ANSWER ✔✔evidence that title is marketable. In PA
it's a certificate of title
Chain of Title - 🧠ANSWER ✔✔The succession of conveyances, from some
accepted starting point, whereby the present holder of real property derives
title.
Asbestos - 🧠ANSWER ✔✔a mineral that forms long, thin, microscopic
fibers; used as an insulator against heat and sound that can cause
respiratory diseases.
Encapsulation - 🧠ANSWER ✔✔Can prevent asbestos from becoming
airborne
Assessment - 🧠ANSWER ✔✔The imposition of a tax, charge, or levy,
usually according to established rates.
Constructive Notice - 🧠ANSWER ✔✔The legal presumption that information
has been obtained by an individual through due diligence.
COPYRIGHT©JOSHCLAY 2025/2026. YEAR PUBLISHED 2026. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE. PRIVACY
3
STATEMENT. ALL RIGHTS RESERVED
