CA Real Estate Practice Exam 2024 Questions with Correct Answers

CA Real Estate Practice Exam 2024 Questions with Correct Answers Agent Brook is preparing for a listing appointment and has gathered information to prepare a report of recent market data for the seller to review. The report agents reconcile to obtain a reasonable list price for a property based on current listings, recent sales, and expireds would be called: Comparable marketing analytics (CMA) Broker price opinion (BPO) Comparative market analysis (CMA) Agent market analysis (AMA) - Answer-Comparative market analysis (CMA) Paul owns an older residential property in an area now zoned for commercial use. Paul decides to renovate the home into a laundry mat. The change in the properties functionality for Paul's financial gain is an example of: Highest and best use Substitution Assemblage Conformity - Answer-Highest and best use The transition of the residential property to an income producing business is an example of the property being put to its highest and best use. Jon's Tire Store is being built across the street from Big Bob's Tires. What appraisal principle describes this situation? Substitution Plottage Competition Progression - Answer-Competition The appraisal principle of competition states that two similar businesses attract more customers when within close proximity than they would separately. Buyer Sam purchased a run down residential home in a neighborhood with many nice well kept properties. Sam intends to renovate the home and resell it for a profit. Considering the nicer homes in the neighborhood help raise his property value, what appraisal principle is Sam leveraging?