Chapter 19: The Real Estate Market (FITB) Flashcards
A good balance between supply and demand for residential real estate is indicated when the vacancy rate is approximately ____.
5%
The four factors of production include ____, ____, ____ and ____.
capital, entrepreneurial ability, land and labor.
The real estate market can best be described as being ____ and ____.
inefficient and unorganized
An economic term used to identify value resulting from the location of a parcel of land is ____.
situs
If two or more parcels have a greater value as a single tract than the sum of their individual values as separate sites, their combination results in ____ value.
plottage
The use that creates the highest value to the land is its ____ and ____ use.
highest and best use
Cost, materials, labor and productivity are all associated with the ____ of real estate.
supply
Population, credit, income and consumer preferences are related to the ____ for real estate.
demand
The real estate market is ____ to respond to changes in supply or demand.
slow
Many for sale signs visible and an increased number of rentals may indicate the neighborhood has entered a period of ____.
decline
Immigration and emigration into and out of a neighborhood is an influence on value that can be categorized as a ____ force.
social
____ is the first stage in the business cycle.
expansion
A ____ market exists when there is an excess of demand over supply.
seller’s
Price and demand are ____ related.
inversely
The social, economic, governmental and environmental forces that affect real estate value are called ____.
externalities
