Texas Principles of Real Estate II Exam| Complete with Questions and Verified Answers| Grade A+| 2023/ 2024 Newly Updated

Texas Principles of Real Estate II Exam| Complete with Questions and Verified Answers| Grade A+| 2023/ 2024 Newly Updated Q: Tim and Sue have the smallest home in a sought-after neighborhood. The value of their home is increased because of the higher value of the other homes in the neighborhood. This is an example of what principle? Answer: progression Q: What aspects of a property site should a licensee consider when collecting information about a seller's property for analysis? Answer: Shape Landscape Position and orientation Q: What is an example of a pitfall of overpricing? Answer: A home failing to sell and becoming an expired listing Q: What are the most reliable comparables to collect for a CMA? Answer: Sold homes that are most similar to the seller's property Q: A licensee has a listing with very close matching pending sale compara- bles. Using the comparables what should a licensee do to see if they have a good price for the listing? Answer: Contact the listing agent on the pending sale for price and sale information Q: When an appraiser is looking for comparables that have recently sold, they should look at similar properties that have sold within the last how many months? Answer: Three (3) to six (6) months Q: When doing a CMA, what is the minimum number of sold properties that should be included? Answer: three Q: Why should a licensee keep in mind that the information on pending sales is not as reliable as on sold homes? Answer: The sale price could even be lower or higher than the listing price. Q: Where can a licensee find most of the information they need to do a good analysis? Answer: From the multiple listing service (MLS) Q: For recently sold properties, the licensee should also be concerned with what? Answer: Date of the sale Financing TermsSale conditions Q: If a licensee has prepared a CMA, they make a comparison based on loca- tion, physical characteristics sale date and financing terms. The licensee will use the differences in these factors to make small adjustments to what? Answer: Sale price or the listing price. Q: When completing the CMA a licensee has a comparable that has a feature the seller's property does NOT have—for example, an extra bedroom—what adjustment must be made on the comparable? Answer: If a comparable has a feature that the seller's property does not have, subtract the value of that feature from the price of the comparable. Q: There are several factors that determine the value of a home at any given point in time, including Answer: Location Property condition Improvements Supply and demand Financing terms Q: Appraisal. Answer: An opinion or estimate of value performed by a licensed appraiser. Q: Comparative Market Analysis. Answer: Process a listing agent performs similar to an appraisal to give the seller an idea of the sales prices of similar homes in the area. Q: Principle of substitution. Answer: A buyer won't pay more for a property than they would pay for a property that is similar in characteristics and amenities. Q: Frontage Answer: The measurement of the length along the front boundary of a property either along a street or along a lake, river, or body of water. Q: Pending sales. Answer: Homes whose offers have been accepted by the sellers, but the sales haven't closed and the titles have not transferred. Q: Expired listings. Answer: Homes comparable to the seller's home that were listed but ultimately did not sell. Q: Cash equivalent sale Answer: When a buyer uses a conventional loan to purchase a property.