RECA FUNDAMENTALS EXAM ALBERTA
QUESTIONS AND ANSWERS
/. Real Estate - Answer-✅refers to the land and fixed improvements to the land
/.Classes of licence - Answer-✅associate, associate broker, broker and brokerage
/.four areas of practice - Answer-✅residential, commercial, property management and
mortgage
/.Industrial property - Answer-✅include warehouses and custom-built manufacturing
plants.
/.Residential income property - Answer-✅include low-rise and high-rise apartments,
duplexes, fourplexes and townhouses
/.supply and demand - Answer-✅characteristic that identifies the slow response of
these 2 market forces affecting real estate
/.scarce - Answer-✅characteristic that identifies real estate as a limited resource
/.durable - Answer-✅characteristic that identifies real estate as indestructible
/.fixed - Answer-✅characteristic that identifies real estate as immobile
/.unique - Answer-✅characteristic that identifies parcel of land as being different from
one another
/.private - Answer-✅characteristic that identifies how real estate transactions are
conducted between a buyer and seller
/.standardized - Answer-✅characteristic that identifies the inability to market properties
for all areas of real estate in a universal approach
/.local - Answer-✅characteristic that identifies real estate transactions as occurring in a
defined area
/.balanced market - Answer-✅-property prices generally stable
-supply of available properties and the number of buyers desiring to purchase properties
are somewhat equal
, -properties sold within a reasonable time frame
affordable interest rates for financing
/.sellers market - Answer-✅-local booming economy
-increasing property prices
-properties sell quickly
-market demand for properties in an area is greater than the available supply
/.buyers market - Answer-✅-properties remain on the market for a longer period of time
-properties remain on the market for a longer period of time
-declining property prices
-inventory of properties exceeds the number of buyers
/.1990-1999 - Answer-✅period during which the following events occured:
real estate industry self-regulation achieved and Real Estate Act established. RECA
approves pre-licensing and re-licensing education programs. RECA establishes
disciplinary processes for conduct of industry professionals
/.1928-1943 - Answer-✅period during which the following events occured:
Real Estate Agents Licensing Act replaces Real Estate Commission Act, Alberta Real
Estate Association is created
/.2010-present - Answer-✅period during which the following events occured:
RECA launches social media options to communicate with industry professionals.
RECA reviews validity of electronic signatures and contracts for real estate.
RECA implements 5 year plan and approves statement on self-regulation
/.2000-2009 - Answer-✅period during which the following events occured:
RECA implements measures to prevent and deal with mortgage fraud and amends its
mandate
RECA assumes jurisdiction over real estate appraisal
RECA develops and delivers pre-licensing and re-licensing courses online
/.1905-1927 - Answer-✅period during which the following events occured:
RECA, 1st legislation governing real estate is passed
/.1970-1979 - Answer-✅period during which the following events occured:
Alberta Consumer and Corporate Affairs prepares four objectives for real estate
industry, starting its transition from government regulation to self-regulation
/.1980-1989 - Answer-✅period during which the following events occured:
Real Estate Assurance Fund established for real estate and mortgage brokerage.
QUESTIONS AND ANSWERS
/. Real Estate - Answer-✅refers to the land and fixed improvements to the land
/.Classes of licence - Answer-✅associate, associate broker, broker and brokerage
/.four areas of practice - Answer-✅residential, commercial, property management and
mortgage
/.Industrial property - Answer-✅include warehouses and custom-built manufacturing
plants.
/.Residential income property - Answer-✅include low-rise and high-rise apartments,
duplexes, fourplexes and townhouses
/.supply and demand - Answer-✅characteristic that identifies the slow response of
these 2 market forces affecting real estate
/.scarce - Answer-✅characteristic that identifies real estate as a limited resource
/.durable - Answer-✅characteristic that identifies real estate as indestructible
/.fixed - Answer-✅characteristic that identifies real estate as immobile
/.unique - Answer-✅characteristic that identifies parcel of land as being different from
one another
/.private - Answer-✅characteristic that identifies how real estate transactions are
conducted between a buyer and seller
/.standardized - Answer-✅characteristic that identifies the inability to market properties
for all areas of real estate in a universal approach
/.local - Answer-✅characteristic that identifies real estate transactions as occurring in a
defined area
/.balanced market - Answer-✅-property prices generally stable
-supply of available properties and the number of buyers desiring to purchase properties
are somewhat equal
, -properties sold within a reasonable time frame
affordable interest rates for financing
/.sellers market - Answer-✅-local booming economy
-increasing property prices
-properties sell quickly
-market demand for properties in an area is greater than the available supply
/.buyers market - Answer-✅-properties remain on the market for a longer period of time
-properties remain on the market for a longer period of time
-declining property prices
-inventory of properties exceeds the number of buyers
/.1990-1999 - Answer-✅period during which the following events occured:
real estate industry self-regulation achieved and Real Estate Act established. RECA
approves pre-licensing and re-licensing education programs. RECA establishes
disciplinary processes for conduct of industry professionals
/.1928-1943 - Answer-✅period during which the following events occured:
Real Estate Agents Licensing Act replaces Real Estate Commission Act, Alberta Real
Estate Association is created
/.2010-present - Answer-✅period during which the following events occured:
RECA launches social media options to communicate with industry professionals.
RECA reviews validity of electronic signatures and contracts for real estate.
RECA implements 5 year plan and approves statement on self-regulation
/.2000-2009 - Answer-✅period during which the following events occured:
RECA implements measures to prevent and deal with mortgage fraud and amends its
mandate
RECA assumes jurisdiction over real estate appraisal
RECA develops and delivers pre-licensing and re-licensing courses online
/.1905-1927 - Answer-✅period during which the following events occured:
RECA, 1st legislation governing real estate is passed
/.1970-1979 - Answer-✅period during which the following events occured:
Alberta Consumer and Corporate Affairs prepares four objectives for real estate
industry, starting its transition from government regulation to self-regulation
/.1980-1989 - Answer-✅period during which the following events occured:
Real Estate Assurance Fund established for real estate and mortgage brokerage.
