Real Estate Business Flashcards
A professional opinion of a property’s market value, based on established methods and using trained judgement, is performed by
A real estate appraiser
Prices in the real estate market are established by
Supply and demand
Mixed-use real estate is property that allows for
Two uses – commercial and residential – in the same building
Industrial real estate includes
Warehouses, factories, land in industrial districts, and power plants
Which factor primarily affects supply in the real estate market?
Government monetary policy
What is real estate appreciation?
An increase in value
What doesn’t affect real estate demand?
Monetary policy
The supply of homes on the market decreases, but demand remains steady. What will happen to the price of homes?
It will increase
What is not a category of use of real property?
Developmental
Property management, appraisal, financing, and development are all examples of
Specialization within the real estate industry
Special purpose real estate includes
Churches, schools, cemeteries, and govt-held lands
What demographic metric wouldn’t affect supply if increased
Population
Property managers basic responsibility is to
Protect owners investment and maximize return
Property management, appraisal, financing, development are all
Separate professions within the real estate industry
Nationwide Multistate Licensing system and Registry was created to register
Mortgage loan originators
Person who performs a visual survey of a property structure and writes a report for a buyer is
A home inspector
Difference between the cost basis of property and its net selling price is
Capital gain
Another name for depreciation
Cost recovery
The business of bringing people together in a real estate transaction
Real estate brokerage
Process of developing an opinion of a property’s market value based on established methods
Appraisal
Splitting a single property into smaller parcels
Subdivision
Two characteristics of real estate govern the way the market reacts to the pressures of supply and demand.
Uniqueness and Immobility
