PSI NJ Real Estate 121 Practice Exam With Answers|2024

Three identical homes in a neighborhood were listed at the same time in a market where demand was constant. According to the law of supply and demand, which would have sold for the lowest price? - ️️The first sold. When compiling a competitive market analysis, a broker would look for comparable properties that - ️️were located near the property being listed. If an older building cannot be air-conditioned, it is an example of - ️️functional obsolescence. A prospective seller asks a salesperson to recommend a listing price for a property. The salesperson should suggest - ️️a competitive market analysis to determine the property's value. A competitive market analysis is MOST often used for - ️️setting a listing price. Which rule-of-thumb formula for estimating property value is being offered to an investor who is told that a house renting for $900 a month should sell for about $90,000? - ️️GRM. (gross rent multiplier) A broker and the buyers he represents are anxiously awaiting the closing on their new home. The closing is scheduled in 4 days. The buyers inform the broker that they just received revised Loan Estimate and Closing Disclosure forms from the lender, indicating the Annual Percentage Rate on their loan has increased by 0.3%. Based on the TILA-RESPA Integrated Disclosure rule, what action should the broker take in this situation? - ️️Confirm with the seller's broker, the lender and the closing entity that the closing must be delayed to allow for a new seven-day waiting period because of the interest rate revision.