Chapter 1 ( The Real Estate Business)

Question 0

A real estate brokerage can be described as a

Answer 0

Service business

Question 1

A real estate appraiser’s fee for professional service is based on

Answer 1

The time and difficulty of the appraisal.

Question 2

The principal in an agency relationship is the

Answer 2

Employer

Question 3

The responsibilities of a property manager does not include

. Renting property for an absentee owner

. Collecting rent

. Overseeing maintenance

. Preparing leases

Answer 3

. Preparing leases. (Preparing leases is a legal action)

Question 4

A mortgage broker

. Is the same as a mortgage banker

. Must have a separate license

. Originates loans

. Must have a real estate license

Answer 4

Must have a separate license.

Question 5

Concentrating on one neighborhood or style of property is

Answer 5

A practice called farming

Question 6

Which insurance policies can a real estate licensee offer to the public without additional state licensing?

Answer 6

None

Question 7

The purpose of the National Association Of Realtors is to.

. Preserve the right of individuals to own real property through an exchange of information.

. Organize antigovernment activities

. Promote unethical practice of real estate professionals

. Award unearned educational designations

Answer 7

.Preserve the right of individuals to own real property through an exchange of information.

Question 8

What does the designation Realtor signify?

. Anyone in possession of a real estate license is a REALTOR

. The designation identifies the real estate professional as a member NAR

. The designation is evidence that the license has an extensive background in the real estate profession

. The designation is evidence that the licensee has completed extensive real estate studies

Answer 8

. The designation identifies the real estate professional as a member of NAR

Question 9

A developer contracts to build a home on a buyer’s lot to buyer’s specifications. This is an example of which type of business?

. Tract

. Custom

. Speculative

. Subdivision

Answer 9

Custom

Question 10

In their relationships with customers, brokers

. Work for them

. Work with them

. Represent them

. Are always their agent

Answer 10

. Work with them

Question 11

Licensees in business brokerage

. Must be able to analyze financial statements and analyze balance sheets.

. Are not required to know much about the business they are selling

. Must have a separate license

. Never become involved in the tax aspects of the business

Answer 11

. Must be able to analyze financial statements and analyze balance sheets.

Question 12

Real estate brokers are NOT required to to be knowledgable regarding

. Marketing

. Valuation

. Property transfer

. Accounting

Answer 12

. Accounting

Question 13

The service provided by real estate brokers that is considered to require the most knowledge and experience is

. Property management

. Counseling

. Appraising

. Agricultural sales

Answer 13

. Counseling

Question 14

Appraisers that are registered , licensed or certified under F.S. 475, Part II, must be utilized in

. All appraisals

. The appraisal of residential property

. The appraisal of non-residential property

. Federally related transactions

Answer 14

. Federally related transactions