Unit 1

Question 1

What is a broker

Answer 1

a person or company licensed to buy, sell, exchange, or lease real property for others and to charge a fee for these services.

Question 2

What are the agents working for brokers called

Answer 2

real estate salesperson
sales associate
associate licensee

Question 3

What is an appraisal

Answer 3

the process of developing an opinion of a property’s market value

Question 4

What does caveat emptor mean

Answer 4

buyer beware

Question 5

What are the types of real property

Answer 5

Residential
Commercial
Mixed-use
Industrial
Agricultural
Special purpose

Question 6

What is a residential property

Answer 6

all property used for single-family or multifamily housing, whether in urban, suburban, or rural areas;

Question 7

What is a commercial property

Answer 7

business property, including office space, shopping centers, stores, theaters, hotels, and parking facilities;

Question 8

What is a mixed use property

Answer 8

property that allows for two or more commercial and residential uses in the same building;

Question 9

What is a industrial

Answer 9

warehouses, factories, land in industrial districts, and power plants;

Question 10

What is agricultural property

Answer 10

farms, timberland, ranches, and orchards

Question 11

What is special purpose property

Answer 11

privately owned properties, such as places of worship, schools, and cemeteries, as well as publicly held properties, such as schools, municipal service buildings, and parks

Question 12

Apartment complex vs an apartment building

Answer 12

a complex is a group of apartment buildings on one property

Question 13

What is a condominium

Answer 13

a building or complex of buildings containing a number of individually owned apartments or houses.

Question 14

What are the shared things that the owners of condominiums called and give examples

Answer 14

common elements

like the hallways, laundry rooms etc

Question 15

What types of ownership are condos

Answer 15

single family

commercial

Question 16

What other type of housing are condos similar to

Answer 16

cooperatives (co-ops)

Question 17

What are co-ops

Answer 17

leased property shared by a group of people who have purchased stock in the company owning and running the property

Question 18

What are Planned unit developments

Answer 18

also called master planned communities
may be only residences or a merger of different types of land uses
has a owners assc. for common areas

Question 19

What are mixed use developments or highrise developments

Answer 19

same as PUD’s but in a more vertical fashion

Question 20

What are converted use properties

Answer 20

Converted-use properties are factories, warehouses, office buildings, hotels, schools, churches, and other structures that have been converted to residential use.

Question 21

What are factory built housing

Answer 21

once called mobile homes

built in a factory

Question 22

What are some advantages of factory built homes

Answer 22

relatively low production costs

construction is unaffected by the elements

Question 23

What are modular homes

Answer 23

factory built homes that are assemble in parts at the site of the property

Question 24

What are some factors that can affect the real estate supply

Answer 24

labor force, construction, and material costs;
government controls and financial policies; and
local government factors.

Question 25

High transfer costs, such as taxes and construction permit fees could cause what to the supply

Answer 25

discourage development by causing high construction costs and higher rents causing a decrease in supply

Question 26

What are some factors that affect demand

Answer 26

population,
demographics, and
employment and wage levels.

Question 27

Nationwide Multistate Licensing System and Registry was created to register

Answer 27

mortgage loan originators