PERRY REAL ESTATE COLLEGE FINAL EXAM 2026 ACCURATE REAL EXAM
QUESTIONS AND VERIFIED CORRECT ANSWERS JUST RELEASED
Advantages of an investment in real estate include all of the following EXCEPT
-the use of leverage to increase rates of return
-tax deductions
-the possibility of a tax-deferred exchange
-high liquidity ANS >>>high liquidity
The defeasance clause in a mortgage requires the mortgagee to execute a(n)
-assignment of mortgage
-satisfaction of mortgage
-subordination agreement
-partial release agreement ANS >>>satisfaction of mortgage
Which of the following investments cannot be depreciated?
-commercial building
-single family home
-100 acres of vacant land
-shopping mall ANS >>>100 acres of vacant land
a broker who is the agent of the buyer should do which of the following?
-present to the seller only offers that are acceptable
-disclose to the seller that the buyer is a minority person
-disclose to the seller the maximum price the buyer is willing to pay
,-advise the buyer if the listing price of the seller's house is unrealistic ANS >>>advise the
buyer if the listing price of the seller's house is unrealistic
a sales associate with one year of experience is managing a broker's branch office, which
is 45 miles from the main office. Which of the following is TRUE?
-the sales associate is acting legally because she has enough experience
-the sales associate is acting illegally because she does not have enough experience
-the sales associate's experience does natter under license law
-none of the above ANS >>>The sales associate is acting illegally because she does not have
enough experience
a recorded subdivision plat is used in the
-metes and bounds system
-rectangular survey system
-geodetic survey system
-lot and block system ANS >>>lot and block system
The Commission cannot have more than members from one political party
ANS >>>4
A parcel of land described as "the NW 1/4 and the SW 1/4 of Section 6, T4N, R8W of the
Third Principal Meridian" was sold for $2,500 per acre. The listing broker will receive a 5%
commission on the total sales price. How much will the broker receive? ANS >>>$5,000
, What is the cost of constructing a fence 6 ft 6 in high around a lot measuring 90' x 175', if
the cost of erecting the fence is $1,25 per linear ft and the cost of material is $.825 per sg
ft offence? ANS >>>$3,505
A building is valued as $215,000 and contains 4 apartments that rent for $470 each per
month. The owner estimates that the net operating income is 65% of the gross rental
receipts. What is the capitalization rate?
-3.7%
-14.2%
-10.5%
-6.8% ANS >>>6.8%
Carbon monoxide is not
-quickly absorbed in the body
-a result of incomplete combustion
-a natural result of combustion
-easy to detect ANS >>>Carbon monoxide is not easy to detect
When compared with a 30-year payment period, taking out a loan with a 20-year payment
period would result in
-lower monthly payments
-higher monthly payments
-greater impound requirements
-slower equity buildup ANS >>>higher monthly payments
All of the following are subject to real property ownership rights EXCEPT
QUESTIONS AND VERIFIED CORRECT ANSWERS JUST RELEASED
Advantages of an investment in real estate include all of the following EXCEPT
-the use of leverage to increase rates of return
-tax deductions
-the possibility of a tax-deferred exchange
-high liquidity ANS >>>high liquidity
The defeasance clause in a mortgage requires the mortgagee to execute a(n)
-assignment of mortgage
-satisfaction of mortgage
-subordination agreement
-partial release agreement ANS >>>satisfaction of mortgage
Which of the following investments cannot be depreciated?
-commercial building
-single family home
-100 acres of vacant land
-shopping mall ANS >>>100 acres of vacant land
a broker who is the agent of the buyer should do which of the following?
-present to the seller only offers that are acceptable
-disclose to the seller that the buyer is a minority person
-disclose to the seller the maximum price the buyer is willing to pay
,-advise the buyer if the listing price of the seller's house is unrealistic ANS >>>advise the
buyer if the listing price of the seller's house is unrealistic
a sales associate with one year of experience is managing a broker's branch office, which
is 45 miles from the main office. Which of the following is TRUE?
-the sales associate is acting legally because she has enough experience
-the sales associate is acting illegally because she does not have enough experience
-the sales associate's experience does natter under license law
-none of the above ANS >>>The sales associate is acting illegally because she does not have
enough experience
a recorded subdivision plat is used in the
-metes and bounds system
-rectangular survey system
-geodetic survey system
-lot and block system ANS >>>lot and block system
The Commission cannot have more than members from one political party
ANS >>>4
A parcel of land described as "the NW 1/4 and the SW 1/4 of Section 6, T4N, R8W of the
Third Principal Meridian" was sold for $2,500 per acre. The listing broker will receive a 5%
commission on the total sales price. How much will the broker receive? ANS >>>$5,000
, What is the cost of constructing a fence 6 ft 6 in high around a lot measuring 90' x 175', if
the cost of erecting the fence is $1,25 per linear ft and the cost of material is $.825 per sg
ft offence? ANS >>>$3,505
A building is valued as $215,000 and contains 4 apartments that rent for $470 each per
month. The owner estimates that the net operating income is 65% of the gross rental
receipts. What is the capitalization rate?
-3.7%
-14.2%
-10.5%
-6.8% ANS >>>6.8%
Carbon monoxide is not
-quickly absorbed in the body
-a result of incomplete combustion
-a natural result of combustion
-easy to detect ANS >>>Carbon monoxide is not easy to detect
When compared with a 30-year payment period, taking out a loan with a 20-year payment
period would result in
-lower monthly payments
-higher monthly payments
-greater impound requirements
-slower equity buildup ANS >>>higher monthly payments
All of the following are subject to real property ownership rights EXCEPT
