Industry

Question 1

What are the different types of property

Answer 1

Residential

Commercial

Industrial

Agricultural

Business opportunity

Special purpose

Question 2

What is residential property

Answer 2

Family homes single two quad or

Vacant land zoned for four units or less

Farm/agriculture residential less than 10 acres

Question 3

What is commercial property

Answer 3

Income producing property such as retail center or apartment complex of more than four units.

Professional must be able to convey to their clients information about how to produce income and create after-tax cash flow

Question 4

What is industrial

Answer 4

Manufacturers or distributors such as factory or warehouse

Sites in industrial parks or subdivisions, redeveloped industrial parcels in central areas and undeveloped industrial acreage

Question 5

What is agricultural property

Answer 5

Farm or ranch land of more than 10 acres

Question 6

What is business opportunity

Answer 6

Investor purchases and income producing business

Maybe real estate along with the business or just the business within least space

Knowledge of business practices, specific business loans, and the characteristics of valuation as they apply to the business is necessary

Question 7

What is special purchase property

Answer 7

Schools, churches, nursing homes, post office is and hospital

Districts look at combination of land and improvements with highest and best use in mind

Question 8

What are the types of maintenance a property manager needs to be familiar with

Answer 8

Preventive such as caulking windows changing filters

Routine such as lawn mowing

Repair such as broken water heater

Construction such as total remodel or addition

Question 9

What is the summary of the property manager’s role

Answer 9

Preserve the owners investment.

Maximize the owners returns

Question 10

What is it called when a real estate professional specializes in a certain area

Answer 10

Farming

Question 11

Where is the specific role of the property manager described

Answer 11

In the property manager agreement

Question 12

How big is the real estate industry versus the economy

Answer 12

25%

Question 13

What is it called when an individual sets up real property for public use such as streets, parks, schools

Answer 13

Dedication

Question 14

What are the three types of homes

Answer 14

Spec

Tract

Custom

Question 15

What are the three methods to value a home

Answer 15

Appraisal

Broker price opinion

Competitive market analysis

Question 16

What is the organization which regulates

Answer 16

Uspap

Uniform standards of professional appraisal practice

Question 17

What types of situations require an appraisal

Answer 17

Loans, capital gains, divorces

Question 18

How does the broker come up with the broker price opinion

Answer 18

Based on properties recently sold in the market

Question 19

How is a CMA created

Answer 19

A competitive market analysis uses

• recent home sales
• homes currently on the market
• Homes that were listed but did not sell

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Question 20

What are the rules for doing a

Answer 20

Use current information preferably one-year-old ass

Use the same neighborhood, model and type of home

Use at least three comparables

Question 21

What is it called when you’re guessing the possible days a house will be on the market

Answer 21

Absorption analysis

Question 22

What information goes into creating an absorption analysis

Answer 22

Current properties on market an average days on market

Question 23

What are the four stages of large land development

Answer 23

Land acquisition

Subdividing and development

Subdivision plat map and recording

Construction

Question 24

What is the term for buyer beware

Answer 24

Caveat emptor

Question 25

What is an arms length transaction

Answer 25

Both sides informed and knowledgeable about what they’re buying and selling

Equal footing

Each own self interest