Course Review Part 3 Flashcards
A PMIC’s failure to include the name of the company in the advertising of a property under a management agreement would be what type of ad?
A blind ad
All monies received by the PMIC must remain in the new escrow account until:
The contract is executed/completed
The purpose of the Real Estate Commision is to:
Protect the public from unqualified licenses
The relationship between the client and the PMIC in a management agreement would be what, a special agent or a general agent?
General Agent
A PMIC is showing a property. He tells the prospective tenant that the house is believed to have lead paint. In making this statement, the PMIC’s actions are:
Justified
Under the Fair Housing Act of 1968, family is defined as:
Person or persons w/ children under 18 or the expectation of same
The demand for professional property management occurred in the late 1800s resulted primarily from:
Reshaping the urban center by building tall buildings with elevators
What should be the goals of the professional property manager?
Generate income to the owner, increase value of the property, accomplish the objectives of the owner.
Incubator spaces are most likely to be found in:
Research parks
Nursing homes, hotels, cemeteries and schools are examples of what type of properties?
Special purpose properties
Which type of real estate utilizes more professional property managers than the others?
Residential
Rising land and construction costs have stimulated the construction of what type of residential properties?
Multi family properties
Income producing properties that offer services are known as:
Office property and business parks
The ability of a property manager to assess a market and implement sales promotion is most critical when dealing with:
Retail property
If a property owner asks a property manager to manage the property in violation of the current civil rights laws, the property manager should:
Terminate the management agreement
Socially or culturally imposed rules of conduct that go beyond the letter of the law refers to:
Ethics
In the operating budget, what is the name of the expenditure that accounts for money for replacement expenditures?
Reserve funds
What should the manager do if the building is 100 percent occupied?
Consider raising the rents
Prospective tenants form their initial impression of a rental property based on the:
Curb appeal of the property
A good management plan is based on a:
Operating budget for one year
Cash flow from a property is calculated by what formula?
Anticipated revenue minus total adjusted operating expenses and minus debt service
What will be the deciding factor in the adoption of a proposed management plan?
The owner’s objectives
While longer lease terms are most desirable, to protect the owner from missing out on rising market rates, the lease should contain what type of clause?
An escalation clause
The number of square ft. of office space that has historically been leased per year is called the:
Absorption rate
The ratio of rentable space to usable space is sometimes called the:
Loss factor or load factor
A list of amenities and alterations that a building owner will provide to an incoming tenant without additional charge is called the:
Building standard
Generally, the cost of tenant alterations and remodeling expenses above the building standard in an office property is the responsibility of the:
Lessee
industrial real estate facilities may be classified according to their:
Adaptability: single purpose, special purpose or general purpose
A building is still quite usable and in fairly good condition. However, the supporting pillars are placed only ten feet apart and the walls are solid. It is nearly impossible to thread computer cable in the walls. This property is:
Functionally obsolete
