Section 1 - Chapter 1

Question 1

brokerage

Answer 1

business of bringing people together in a real estate transaction

Question 2

licensee

Answer 2

point of contact between two parties in negotiating sale or rental of property

Question 3

sponsoring broker

Answer 3

ultimately responsible for actions of all licensees under umbrella of that firm

Question 4

appraisal

Answer 4

process of estimating property’s market value based on established methods and appraiser’s professional judgement

Question 5

subdivision

Answer 5

splitting of siingle property into smaller parcels

Question 6

development

Answer 6

construction of imporvements on the land

Question 7

types of real property

Answer 7

residentail, commercial, industrial, agricultural, special purpose

Question 8

residential

Answer 8

all property used for single-family or multi-family housing

Question 9

commercial

Answer 9

business property; office space, shopping, theaters, hotels, etc

Question 10

industrial

Answer 10

warehouses, factories, power plants

Question 11

agricultural

Answer 11

farms, ranches, orchards

Question 12

special purpose;

Answer 12

schools, churches, cemetaries, governemnt held lands

Question 13

2 forces that have most impact on land’s market value:

Answer 13

uniqueness and immobility

Question 14

factors affecting supply;

Answer 14

labor force, construction costs, government controls, government financial policies

Question 15

factors affecting demand:

Answer 15

population, demographcis, employment and wage levels