Basic Appraisal Principles All Chapters Flashcards
The basic requirements for state, licensed and state certified appraiser’s had their Genesis in Title _______ of FIRREA
XI
The number of required classroom education hours for certified residential appraisers under the 2018 AQB criteria is ____ hours
200
Which is a true statement regarding appraiser examinations?
They are the same in every state, with few exceptions
The current AQB real property appraiser qualification criteria went into affect:
May 1, 2018
An appraiser is “one who is expected to perform valuation services, competently, and in a manner that is independent, ______ and ______
Impartial, objective
The document transmitted to the client upon completion of an appraisal assignment is the:
Appraisal report
Which of the following situations would not normally require an appraisal?
Life insurance
Which of the following situations would not normally require an appraisal?
Title insurance
If you have specific questions about appraisal certification or licensure requirements in your state, you should:
Contact the appraiser licensing and certification agency in your state
The continuing education requirement in the 2018 AQB criteria (compared to the previous criteria):
Remain unchanged
The fair housing act of 1968, as amended, does not prohibit discrimination based on
Age
Which is considered to be “other communications” provided by the ASB
All of the above: advisory opinions, index, Q&A’s
ECOA Prohibits creditors from discriminating against credit applicants on the basis of all of these categories, except:
Employment status
The fair housing act of 1968 prohibits discrimination in all of these, except for:
Commercial leasing
The uniform standards of professional appraisal practice (USPAP) was copyrighted by:
The Appraisal Foundation
The professional society that specializes in appraising personal property is the
American Society of Appraisers
ECOA applies to all the following types of loans EXCEPT
Vacant land
The AQB and the ASB were created for the express purpose of promoting and maintaining a high level of:
Public trust
Which of the agencies or institutions listed below are NOT directly involved in fair lending?
VA
The savings and loan crisis happened in the
Late 1980s
An appraiser find that the pending sale price of the subject residential property is not supported by market data. To avoid causing a problem for the buyer and the seller, the appraisal reconciles the value conclusion to meet the sale price anyway. Which statement is true regarding this situation?
The appraiser has violated his ethical obligations by doing this.
Under USPAP, and appraiser would be permitted to base the fee for a residential mortgage lending appraisal on:
The gross living area (square footage) of the dwelling
True or false? Websters dictionary, defines ethics as relating to the principals, established by the world’s most common religions.
False
USPAPs addresses an appraisers ethical obligations in
The ETHICS RULE
Is an appraiser permitted to base his or her appraisal fee on the owners estimate of value of the subject property?
Yes, this is permissible
Websters dictionary, defines ethics as relating to:
What is good or bad
A common language called _______ Was developed and standardized so that most software companies produced a common language that could be read by most lending clients
XML
What is the name of the technology that allows the transmission of information from one computer application to another?
EDI
Today, most appraisals are delivered to the client by
Sharing through a comprehensive electronic system
In a GIS mapping system, ________ of data can be turned on and off for viewing or printing
Layers
The subject property had a prior transfer on October 15, 2012. When reporting that date of this prior sell in a UAD complaint appraisal report, what would be the correct way the state must be formatted.
10/15/2012
What would be the correct way to format the date March 15, 2013 in a UAD -complaint appraisal report?
03/15/2013
The public restriction on property rights that allows the government to place a lien on a property is:
Taxation
“The right to construct and maintain tunnels, subways, subcellars, pipelines, sewer, etc.” is the the definition _______
rights
Subsurface
“A development right can that cannot be used by the landowner, or that the owner chooses not to use, but can be sold to landowners in another location” are called_______ rights.
Transferable development
Which of the following would most likely be considered personal property?
Window air conditioner
An article that was once personal property, but has since been installed or attached to the land or building in a rather permanent manner is a(an)
Fixture
____ rights are considered to be vertical rights
Air
The right of government to take private property for public use upon the payment of just compensation is called
Eminent domain
“The interest, benefits, and rights, inherent in the ownership of Real Estate” is the definition of
Real property
Which would NOT be a characteristic of a good appraisal?
Unsupported
Which is NOT considered to be Real Estate?
Property rights
In the rectangular survey system, a section contains _____ square mile(s)
1
Which system of legal description is found primarily in the Northeast?
Metes and bounds
A rod contains ______ feet
16.5
A rancher owns 8 full sections and 3 half sections. He sells off 5 quarter sections. How many acres are left?
5,280
The earliest system of legal descriptions is the _______ system.
Metes and bounds
A section contains ______ acres
640
Which system of legal descriptions uses townships?
Rectangular survey
The most desirable form of timesharing is called ______timesharing.
Fee
Which type of ownership can only be held by a married couple?
Tenancy by the entirety
“The holding of property by any form of title” is the definition of
Tenancy
Which ownership includes the right of survivorship?
Joint tenancy and tenancy by the entirety
Which is NOT a partial estate?
Fee simple estate
“And Estate held by two or more persons, each of whom has an undivided interest” is the definition of
Tenancy in common
A leasehold interest may have value when
The contract rent is less than market rent
“Absolute ownership unencumbered by any other interest or estate, subject only to the limitations imposed by the governmental powers of taxation, eminent domain, police power, and escheat” is the definition of
Fee simple
A facade easement is a type of ________
easement.
Historic preservation
An easement for a railroad or pipeline would be an example of a(n)
Easement in gross
A law changed after the contract was arranged, but before the full performance of the contract. The law prohibits the transaction from taking place. This would be an example of
Impossibility
“A lease that provides for specified changes in rent at one or more points during the lease term, e.g., step-up and step-down leases, or leases with a set percentage adjustment” is a ________ lease.
Graduated rental
The Uniform Commercial Code covers the sale of goods over $________
500
“A written, legal instrument that conveys an estate or interest in real property when is it is executed and delivered” is the definition of a
Deed
“A manifestation of willingness to be bound by the terms of an offer made in a manner invited or required by the offer” is the definition of
Acceptance
A deed of trust is similar to a
Mortgage
“A legally binding agreement between two or more persons that represents their promise to do or not to do a particular thing” is the definition of a(n)
Contract
“A writ (order) issued by a court ordering someone to do something or prohibiting some act after a court hearing” is the definition of
Injunction
“To finish, complete or perform as required, as in fulfilling one’s obligations under a contract or a court order” is the definition of
Execute
The seller of a property is called the
Grantor
Breach of contract is also known as
Default
All of the following are required ingredients of a valid contract EXCEPT
Legal description
“A form of conveyance in which any interest the grantor possesses in the property described in the deed is conveyed to the grantee without any warranty of title” is the definition of a ______ deed.
Quitclaim
The weakest form of deed is the ______ deed
Quitclaim
“Failing to perform any terms of a contract, written or oral, without a legitimate legal excuse” is the definition of
Breech of contract
The real property market is generally classified as a(n) ______ market.
Imperfect
“A market characterized by numerous transactions.” is the definition of a(n) ______ market.
Active
“The area associated with a subject property that contains its direct competition” is the definition of a
Market area
All the following are characteristics of a good market, except
Small number of buyers and sellers.
Good market: prices are stable, buyers and sellers act rationally, little regulation.
“A group of complementary land uses; a congruence grouping of inhabitants, buildings, or business enterprises” is the definition of
Neighborhood
Which is usually larger?
Market area
(Bigger than neighborhood, district, village)
“A market in which product differentiation exists, there is a lack of important product or market information, and some of the producers, and/or consumers are significant enough to affect the price and quantity of goods by their actions, alone” is the definition of a(n) _______ market.
Imperfect
“A neighborhood characterized by homogeneous land use, e.g., apartment, commercial. Industrial, agricultural” is the definition of
District
The FDIC insures deposits up to $_______
250,000
Which is NOT a short-term money instrument?
5 year balloon mortgage
Amenities such as a nice view are generally more important to
Homeowners
The rate that banks employ when lending money to their highest rated customers is called the ______ rate.
Prime
The capital market deals in all of the following EXCEPT
Real estate
Which investment alternative has the least liquidy?
Real estate
How do investors typically compensate for higher risk in an investment?
They demand a higher rate of return
“ A tangible or intangible benefit of real property that enhances its attractiveness, or increases the satisfaction of the user” is the definition of
Amenity
Which of the following is an insured loan?
FHA
(Not insured: VA, personal, ARM)
Which of the following is a guaranteed loan?
VA
Which of the following entities guarantees mortgage loans?
VA
“A pledge of a described property interest as collateral or security for the repayment of a loan under certain terms and conditions” is the definition of a
Mortgage
The primary participants in the secondary mortgage market are:
Fannie Mae, Freddie Mac, and Ginnie Mae
Which type of loans are assumable without the permission of the lender?
Very few loans are assumable without lender approval
A property has a first mortgage of $120,000, a second mortgage of $30,000, And a third mortgage of $15,000. It is foreclosed and sold for $155,000. The holder of the third mortgage gets $______ In the holder of the second mortgage receives $______
$5,000, $30,000
Another name for an installment sale contract is a(n)
Contract for deed
A point is _____ percent of the amount of the _______.
1, mortgage loan
What kind of mortgage is not fully amortized at maturity, and thus requires a lump sum payment of the outstanding balance?
Balloon
A type of mortgage design for retirees and other fixed income homeowners who owe little or nothing on their homes and want to top their equity is called a _____ mortgage.
Reverse annuity
Mortgage assumptions are
Attractive when rates are rising
The FHA mortgage insurance program is funded by
Mortgage insurance premiums paid by borrowers
“Mortgages that are neither insured nor guaranteed by an agency of the government, although they may be privately insured” are called ________ mortgages.
Conventional
A mortgage that has priority over all other mortgage liens on a property is a
First mortgage
The government entity that overseas the conservatorship of Fannie Mae and Freddie Mac is
Federal Housing Finance Agency (FHFA)
Another name for an installment sale contract is a(n)
Contract for deed
“The ability of a product to satisfy a human want, need or desire” is the definition of
Utility
The most prominent federal agency in the environmental arena is
EPA
Which federal agency is responsible for reviewing coastal development, and water projects that may alter or destroy habitat?
NOAA
Total construction costs are a combination of __________ costs.
Land, materials, and labor
“The present or anticipated undersupply of an item relative to the demand for it…” is the definition of
Scarcity
“The ability of a property or building to be useful and to perform the function for which it intended, according to current market tastes and standards; the efficiency of a buildings use in terms of architectural style, design and layout, traffic patterns, and the size and type of rooms“ is the definition of
Functional utility
Which of the following is NOT a governmental force?
Family formations
“A purchasers wish for an item to satisfy human needs (e.g., shelter, clothing, food, companionship) or individual wants beyond essential life support needs“ is the definition of
Desire
The federal agency responsible for navigation of flood control is
US Army Corps of Engineers
All of the following are forms of community, living ownership, except:
Farmsteads
If a property has no utility, and therefore has
No value
Taxes would be an example of a(n) ________ force affecting property values
Governmental
Governmental forces would include all of the following, EXCEPT
Unemployment rates
(Includes: zoning, Taxes, fire protection)
The first city wide zoning regulations occurred in
New York City
A large good quality mansion is built in a market area, where no one can afford to purchase it. This demonstrates a lack of
Affective purchasing power
“The ability of an individual or group to participate in a market, I.e., to acquire a goods and services with cash or its equivalent“ is the definition of
Affective purchasing power
The four main categories of external market forces are: governmental, ________, social, and ______.
Environmental, economic
The majority of American households today consist of _______ person(s).
One or two
When analyzing an income property, it is generally true that a property that is more valuable should
Be able to generate more rent 
A one acre parcel in the middle of a swamp have little to no value because it lacks
Utility
Most insurance companies will give you a break on your fire insurance if you are within a certain distance from a
Fire hydrant
Governmental forces would include all of the following, except
Unemployment rates
Which is NOT a reason for a smaller household sizes?
More families with more than four children
The value of an income property is based primarily on
The net income it can produce
“The ability of a property or building to be useful and to perform the function for which it is intended according to current market, tastes and standards; the efficiency of a building to use in terms of architectural style, design and layout, traffic patterns, and the size and type of rooms” is the definition of
Functional utility 
Which federal agency is responsible for reviewing coastal development and water projects that may alter or destroy habitat?
NOAA
To get a permit to drain a wetland area you must contact
US Army Corps of Engineers
“The monetary relationship between properties and those who buy, sell, or use these properties” is the definition of
Value
_______ may be more prevalent when appraising industrial properties
Value in use
What is the most common type of value sought by appraisers?
Market value
A property owner purchases a lot for $200,000 and pays $800,000 to have a Home constructed on it. When it is completed, the owner sells a home for $960,000. The appraiser for the buyers mortgage company values the home at $910,000. The sales contract for $960,000 represents the _______ of the property.
Price
“The amount a particular purchaser agrees to pay, and a particular seller agrees to accept under the circumstances surrounding their transaction” is the definition of
Price 
A property owner has a long-term lease on the property with a tenant who is paying $12 per square foot, but the market rental rate for the space is $8 per square foot. This is an example of
Intangible value
An artificial amount that is constructed using accounting procedures is called _____ value.
Book
True or false? Market value must be as of a specific point in time.
True
The value of a property according to the tax rolls in ad valorem taxation is the definition of ______ value.
Assessed
“The total dollar expenditure to develop an improvement” is the definition of
Cost
The principle of _____ is the basic principle that underlies all three of the appraisal approaches.
Substitution
Supply and price move in a(n) _______ relationship.
Inverse
The concept of highest and best use
applies to
Both vacant land and improved property
Supply and demand will tend to move towards
Equilibrium
“In appraisal, the concept that the value of an inferior property is enhanced by its association with better properties of the same type” is the definition of the principle of
Progression
The four criteria for highest and best use are
Legally permissible, physically possible, financially feasible, maximally productive
The agents of production are
Land, labor, capital, entrepreneurial coordination
The perception that value is created by the expectation of benefits to be derived in the future” is the definition of the principle of
Anticipation
Identifying the most probable user for a particular type of property is a component of ________ analysis.
Demand
A subject property’s market area would be defined as
The area from which demand comes in that contains it’s direct competition 
A market analysis examines the supply and demand for _______, while a marketability analysis examines __________.
A type of property, a specific property
“Study of the economy as an aggregate system, focusing on national/domestic production, national/domestic income, the supply of money, the rate of inflation, the national budget, the balance of trade, and that into relationships among constitute sectors” is the definition of
Macroeconomics
“Buyers and sellers of particular Real Estate and the transactions that occur among them” is the definition of a(n)
Real estate market
“The rate at which vacant space in a property or group of properties for sale or lease has been or is expected to be successfully sold, or least over a specified period of time” is the definition of a(n) _______ rate.
Absorption
Which field of study focuses on the economics of individual firms, industries, or consumer segments?
Microeconomics
The study of the economics of individuals, fears of activity or patterns and behaviors, e.g., a firm, and industry, a retail market, a consumer, segment, pricing, local employment is the definition of
Microeconomics
A market analysis examines the supply and demand for __________, while marketability analysis examines ___________.
A type of property, a specific property
Market areas are defined in terms of
Competition 
Which of the following would NOT be considered in supply analysis for a residential property?
Income and wage levels
“A division of a total market that reflects the preferences of a particular set of buyers and sellers, e.g., fast food, restaurants as a sub market of the overall restaurant market” is the definition of
Submarket 
“Study of the economy as an aggregate system, focusing on national/domestic production, national/domestic income, the supply of money, the rate of inflation, the national budget, the balance of trade, and the into relationships among constituent sectors” is the definition of
Macroeconomics 
Researching and analyzing the number of building conversions in process would be considered part of ________ analysis
Supply
You bought a property two years ago for 400,000. You sold it today for 376,000. What was your average percent of loss per year
3.00%
The median price of homes sold in your county six months ago was 209,000. Prices have been increasing at a rate of 8% per year. What is the median price of homes today?
$217,360
.0091 is the same as
.91%
In the following set of numbers (18, 26, 29, 18, 44) what is the mean?
27
A rectangular lot has 128 feet frontage on a commercial highway and runs back 342 feet deep. It’s sold for 250,000. What did it sell per front foot?
$1,953.13
Your living room measures 14 x 24’. Do you want to re-carpeted. The carpet company says it will cost $15.50 per square foot plus $2.75 per square yard for the pad. How much will it cost you? (Hint their 9 ft.² in a square yard)
$681.27
8.8% is the same as
.088
How is the appraisal subcommittee funded?
Through a national Registry fee charged to each appraiser
“A market in which a drop in demand is accompanied by a relative over supply and a decline in the prices” is the definition of a(n) ________ market
Depressed
“A right or interest in property” is a(n)
Estate
In the 1970s who developed uniform rules for mortgage underwriting?
Fannie Mae and Freddie Mac 
“A business arrangement in which two or more persons jointly own a business and share it, and its profits and losses” is the definition of
Partnership 
USPAP defines ________ as the amount asked, offered, or paid for a property.
Price
“The study of economics of individual spears of activity or patterns and behaviors, e.g., a firm, and industry, a retail market, a consumer, segment, pricing, local employment” is the definition of
Microeconomics
Which statement about price cost and value is true?
Price and value can be the same in some situations
Transportation would be an example of a(n) _______ force affecting property values
Governmental
Which of these phrases acceptable for use in an appraisal report assuming it is accurate?
Declining property values
(No personal opinions)
“The rate at which vacant space in a property or group of properties for sale or lease has been or is expected to be successfully sold, or least over a specified period of time” is the definition of
Absorption rate
The four components of the appraiser qualification criteria are:
Qualifying education, examination, experience, continuing education
Under the current educational criteria, and the applicant for appraiser trainee must have completed _____ credible class hours, as specified in the required core curriculum appendix
75
“Trespassing on the domain of another” is the definition of
Encroachment
Real Estate includes all of the following EXCEPT
Property rights
In USPAP, the word “ethics” is defined
Nowhere
“A mortgage in which the interest rate may move up or down, following a specified schedule, or in accordance with the movement of a standard, or index to which is tied” is the definition of a(n) ________ mortgage
Adjustable rate
All of the following could lead to a non-arms length transaction, except
Knowledgeable buyer and seller
Which of the following is not a characteristic of land?
Mobility
A market analysis examines ________, where a marketability analysis examines_______.
A type of property, a specific property
An appraiser pay the fee for the procurement of an assignment. Where in the appraisal report does this payment have to be disclosed?
In the certification and transmittal letter where conclusions are stated
An appraisal report is defined as “the ______ communication of an appraisal; the document transmitted to the ________ upon completion of an appraisal assignment”
Written or oral, client
Under the current qualifying, education, criteria, there are college level course requirements for __________ classifications
Both certified residential and certified general
The ______ maintains a national Registry of appraisers
ASC
The ETHICS RULE of USPAP is the ______ of 5 rules in USPAP.
First
The management section of the ethics rule, states, in part, “an appraiser must ______ that he, or she paid a fee, your commission, or gave a thing of value in connection with the procurement of the assignment.“
Disclose
The intent of USPAP is to ______ a high level of _______ in professional appraisal practice.
Promote and maintain, public trust
Police power would include which of the following
All of the above:
Building codes, zoning, environmental regulations
The real property market is generally classified as a(n) _______ market
Imperfect
Which agency is charged with monitoring coastal habitats
NOAA
In analyzing a real estate purchase contract, you should be able to find all of the following items except
Prior transfer date and purchase price
“An active market, in which sellers of available properties can obtain higher prices than those obtainable and immediately preceding period; a market in with you available properties are demanded a prevailing prices by many users, and potential users” is the definition of a(n) _______ market
Sellers
Which two of the following it would be private restrictions on property rights?
Deed restriction, and mechanics lien
The federal, financial institutions regulatory agencies directly involved in fair lending, include all of the following, except
Fannie Mae
Includes FDIC, OCC, FRB
All of the following would be social influences on value EXCEPT
Educational facilities
The federal financial institutions regulatory agencies directly involved in fair lending, include all of the following, except
ASB
All of the following would be considered to be economic influences on value except
Zoning 
Which of the following would NOT be considered a negative easement?
Access right of way
In the property measurement, a chain contains 100 links, which measures ____ feet
66
“An analysis of the market conditions of supply, demand, and pricing for a specific type in a specific area” is the definition of
Market study
A client has requested that an appraiser value of property that has improved with an old dilapidated, single-family home, and ask the appraiser to not mention existence of the home and the appraisal report. Which statement is true regarding the situation?
It would be misleading if the appraiser did not disclose the existence of the structure in the report
What is the problem with bias in appraisal practice?
It precludes an appraisers objectivity 
Supply and demand move in a(n) _______ relationship
Inverse
What is a corporation or trust that functions like a mutual fund for Real Estate, by combining the capital of many investors to acquire Real Estate?
REIT
Which of these would be considered a public restriction on real property ownership?
Escheat
Bias is described as _______ way of thinking.
A subjective
Which statement regarding unconscious bias is true?
Everyone has unconscious biases to some extent.
For agents of production are land,_____, capital, and _______.
Labor, entrepreneurial coordination
In a residential appraisal, Fannie may require is the appraiser to
Perform an objective neighborhood analysis 
Which is not an economic force affecting property values?
Transportation
The _____ has oversight authority over state appraisal boards
ASC
Under the current qualification criteria, and applicant for appraiser trainee must have completed ______ credible hours of experience
0
Which entity is responsible for making periodic changes to the USPAP?
Appraisal standards board 
“The party or parties, who engage, by employment or contract, an appraiser in a specific assignment” is the definition of 
Client
Reporting requirements for real property appraiser set forth in standard ______ of the uniform standards of professional appraisal practice
2
An appraisal is best described as
An opinion of value
A(n) ______ contract is one that is not fully performed are completed.
Executory 
An appraisal is defined as the act or process of developing an _____ of _____
Opinion, value
In a particular market, there is a demand for 500 houses per year, and there are currently 1500 houses for sale. What does this most likely indicate?
There is a three year supply of homes currently for sale
Which of the following is a characteristic of an effective market?
All of the above
-prices relatively low,
-supply and demand operate freely
-buyers and sellers act rationally
All of the following could be participants in real property market, except
Assessors
Could be participants:
Sellers, landlords, appraisers
Today, most appraisal data is sent to the client by
Transmitting the appraisal report through an EDI
The federal, financial institutions regulatory agencies directly involved in fair lending, include all of the following, except
Fannie Mae
______ is a computerized mapping system for encoding, retrieving, analyzing a presenting, geographical or spatial data.
GIS
Which of these phrases is acceptable for use in an appraisal report, assuming it is accurate?
Declining property values
Police power would include which of the following
All of the above: building codes, zoning, environmental regulations
Short term money instruments are traded on the
Money market
In a trust deed state, title to a property is vested in the _____ until the mortgage lien is satisfied
Trustee
All of the following could lead to a non-arms length transaction, except
Knowledgeable buyer and seller
Which of the following would be private restrictions on property rights
Deed restriction, and mechanics lien
Which is the fullest and most complete type of Estate?
Fee simple 
Which is NOT true concerning the highest and best use of land as though vacant?
The analysis can only be applied if there are no existing improvements
Is true: it could be to leave it vacant, it could be for project development, it could be the existing use 
The ____ maintains a national Registry of appraisers.
ASC
The _____ maintains a national Registry of state, certified and licensed appraisers, who are eligible to perform appraisals in federally related transactions
Appraisal subcommittee
Which entity is responsible for monitoring, state appraiser licensing and certification agencies?
The appraisal subcommittee
The federal reserve can influence the level of economic activity by
Both of these:
Regulating the availability of money, regulating the rate of interest 
The strongest form of deed is the ____ deed.
Warranty 
“A business arrangement in which two or more persons, jointly owned business and share in its profits and losses” is the definition of
Partnership
Janet has a property with no road frontage. She has an access right of way across the property of her neighbor Ivan for ingress egress and regress. Who has the servient tenement in this situation?
Ivan
A client asks an appraiser to omit the clients identity from the appraisal report. What can the appraiser do?
Omit the clients identity from the report, but identify the client in the work file
“An analysis of the market conditions of supply, demand, and pricing for a specific property type in a specific area” is the definition of
Market study
Which of the below is a requirement of a valid real estate contract?
All of the above: consideration, in writing and signed, lawful objective
An appraisal report is defined as “the_____ communication of an appraisal; the document transmit it to the ______ upon completion of an appraisal assignment“
Written or oral, client
Which of the following would be private restrictions on property rights?
Deed restriction, and mechanics lien
As part of the overall requirement for continuing education, certified in licensed appraiser must complete the southern our national USPAP update course or it’s equivalent, _____ calendar year(s)
2
Transportation would be an example of a(n) _____ force affecting property values.
Governmental
Which is not a requirement of a valid deed?
Must be recorded
ECOA progibits creditors from discriminating against credit applicants on the basis of all of these categories, except:
Employment status
The primary operators in the secondary mortgage market include all of the following, except
FHA
The appraisal foundation is a
Not-for-profit organization
“The act of transferring an interest in property or some right (such as contract benefits) to another” is the definition of
Assignment
The first appraiser organizations were formed in the
1930s
Low interest rates encourage ____, while high interest rates encourage _______.
Borrowing, saving
“The interaction of buyers and sellers who trade, long-term or immediate-term money instruments” is the definition of the _____ market. 
Capital
“For for real property, a personal, unassignable, and typically revocable privilege or permit, to perform some activity on the land, or of another, without obtaining an interest in the property” is the definition of
License
“A market in which a drop in demand is accompanied by a relative over supply, and a decline in prices” is the definition of a(n) _____ market.
Depressed
A homeowner fears, the construction of a factory nearby will decrease the value of her property. This illustrates the principle of
Externalities 
“The study of the cost-benefit relationship of an economic endeavor” is the definition of
Feasibility analysis
“A development right that cannot be used by the landowner, or that the owner chooses not to use, but can be sold to landowners in another location” are called ______ rights.
Transferable development
The four components of the Appraiser Qualification Criteria are
Qualifying, education, examination, experience, continuing education
In analyzing a real estate purchase contract, you should be able to find all of the following items, EXCEPT
Amount of property taxes
The four elements of value, are desire, _____, scarcity, and ______.
Utility, effective purchasing power
“The study of the economics of individual spears of activity or patterns and behaviors, e.g., a firm, and industry, a retail market, a consumer, segment, pricing, local employment” is the definition of
Microeconomics
Which would not be considered factors in Supply analysis?
Employment rates
Which would not be an example of demand in real property market?
Decreasing building permits
Which is not a characteristic of tenancy in common?
There is a right of survivorship
If a fair housing violation has taken place, _____ may file a complaint with the secretary of HUD within one year after the alleged discriminatory housing practice has occurred or terminated. 
And aggrieved person 
The current number of appraisal, education hours required for certified general appraiser applicants is _____ hours
300
“An active market in which sellers of available properties can obtain higher prices than those obtainable, and then immediately preceding period; a market in which you available properties are demanded at prevailing prices by many users, and potential users in “is the definition of a(n) _____ market.
Sellers
When estimating the value of a fireplace in a single family home, the most important principle is the principle of
Contribution
Normally the first step in the highest and best use analysis is to research the uses that are
Legally permissible
“A firm agreement to perform an act, refrain from acting, or make a payment or delivery” is the definition of
Promise
Bias is described as ______ way of thinking.
A subjective
Property owner A has the right to develop his property into 10 lots. He sells this right to nearby property owner B, who wishes to develop his property into additional lots. This is an example of:
Transferable development rights 
