SC Property Management - Chapter 3 Questions And Answers Latest Update
SC Property Management - Chapter 3
Questions And Answers Latest Update
One of the principals to a property management agreement is the Property
Manager-in-charge. What type if agent is the Property Manager-in-charge?
a. general agent
b. special agent
c. universal agent
d. routine agent - ✔✔✔-b. special agent
Which of the following is not an essential element of a property management
agreement?
a. expiration date
b. tenant income requirements
c. identification of the parties
d. owner responsibilities - ✔✔✔-b. tenant income requirements
The first step for a property manager is to
a. identify owners objectives
b. identify tenant requirements
c. negotiate the commission
d. have the property appraised - ✔✔✔-a. identify owners objectives
When conducting a property analysis, which of the following is NOT typically a
consideration in determining the rental price?
a. operating costs
b. equipment
c. competition
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, SC Property Management - Chapter 3 Questions And Answers Latest Update
d. shopping - ✔✔✔-d. shopping
Many property managers may choose to establish a reserve fund for each
property. A reasonable percentage to put in the reserve fund for unforeseen issues
would be
a. 5-10%
b. 10-15%
c. 15-25%
d. 25-30% - ✔✔✔-b. 10-15%
Cash required over a given period for the payment of principal and interest on a
debt, such as mortgage payment on a property is considered
a. debt service
b. credit service
c. savings service
d. money management service - ✔✔✔-a. debt service
Property managers can determine a more realistic picture of a property's income
potential by forecasting the income and expenses for how many years out?
a. 3
b. 4
c. 5
d. 6 - ✔✔✔-c. 5
Non-freehold estates are established by
a. contract for deed
b. addendum
c. contract of sale
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SC Property Management - Chapter 3
Questions And Answers Latest Update
One of the principals to a property management agreement is the Property
Manager-in-charge. What type if agent is the Property Manager-in-charge?
a. general agent
b. special agent
c. universal agent
d. routine agent - ✔✔✔-b. special agent
Which of the following is not an essential element of a property management
agreement?
a. expiration date
b. tenant income requirements
c. identification of the parties
d. owner responsibilities - ✔✔✔-b. tenant income requirements
The first step for a property manager is to
a. identify owners objectives
b. identify tenant requirements
c. negotiate the commission
d. have the property appraised - ✔✔✔-a. identify owners objectives
When conducting a property analysis, which of the following is NOT typically a
consideration in determining the rental price?
a. operating costs
b. equipment
c. competition
©®™ Page 1
, SC Property Management - Chapter 3 Questions And Answers Latest Update
d. shopping - ✔✔✔-d. shopping
Many property managers may choose to establish a reserve fund for each
property. A reasonable percentage to put in the reserve fund for unforeseen issues
would be
a. 5-10%
b. 10-15%
c. 15-25%
d. 25-30% - ✔✔✔-b. 10-15%
Cash required over a given period for the payment of principal and interest on a
debt, such as mortgage payment on a property is considered
a. debt service
b. credit service
c. savings service
d. money management service - ✔✔✔-a. debt service
Property managers can determine a more realistic picture of a property's income
potential by forecasting the income and expenses for how many years out?
a. 3
b. 4
c. 5
d. 6 - ✔✔✔-c. 5
Non-freehold estates are established by
a. contract for deed
b. addendum
c. contract of sale
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