45 HOUR
REAL ESTATE
PA
QUESTIONS
Real estate is a relatively illiquid economic product, meaning:
it cannot always be readily sold for cash.
it is influenced by economic factors.
it is in high demand.
it follows growth patterns. - Answers -it cannot always be readily sold for cash
In real estate, supply is the amount of property available for sale or lease at any given
time. Note that supply is generally not the number of properties available, except in the
case of:
industrial real estate.
residential real estate.
land.
commercial real estate. - Answers -residential real estate.
How do the elements of supply, demand, and price interact in a market?
In a continuous manner
In a balanced state
In opposite forces
In opposing forces - Answers -In a continuous manner
Real estate is classified as:
liquid assets.
illiquid assets.
moveable assets.
secondary assets. - Answers -illiquid assets.
,REO real estate agents specialize in handling:
short sales.
rehab properties.
bank-owned properties.
multi-dwelling properties. - Answers -bank-owned properties.
The competition for the resort home real estate buyer, and even many sellers, begins:
with an agent.
on the internet.
with an attorney.
with a broker. - Answers -on the internet.
Creating real properties from raw land involves capital formation, financing, construction
contracting, and:
performance.
regulatory approvals.
management.
maintenance. - Answers -regulatory approvals.
In a real estate auction if the property is sold to the highest bidder regardless of the
price, this is a(n):
absolute auction.
reserve price auction.
minimum bid auction.
resolute auction. - Answers -absolute auction.
Agent selection, declaration and proof of hardship, property valuation, agreement,
application, finding a buyer, negotiating, and closing are steps in a:
normal real estate transaction.
commercial real estate transaction.
land sales contract.
short sale real estate transaction - Answers -short sale real estate transaction
Most newly licensed practitioners choose to begin their real estate careers in:
residential brokerage.
land brokerage.
commercial brokerage.
investment brokerage - Answers -residential brokerage.
A property manager acts in the best interests of:
the public.
the owner.
him or herself.
the tenants. - Answers -the owner.
What refers to property that is owned and used for habitation?
,Investment property
Residential property
Industrial property
Commercial property - Answers -Residential property
Who is a direct agent of the principal (buyer or seller) who is hired for compensation to
perform a stated service, such as negotiating the sale of property?
A broker
A property manager
An agent
A lender - Answers -broker
What is an area of landscape, including various structures, for the practice of raising
grazing livestock such as cattle or sheep, for meat or wool?
An estate
A farm
A grange
A ranch - Answers -ranch
Who services mortgage loans?
Mortgage brokers
Surveyors
Mortgage bankers
Attorneys - Answers -Mortgage bankers
Who holds money or documents until certain terms and conditions of the escrow are
met?
An insurance company
A property manager
An escrow company
An agent - Answers -An escrow company
The principal areas of government regulation of real estate are usage, taxation, and:
goal conflict.
technology.
housing administration.
maintenance. - Answers -housing administration.
Who can offer prospective buyers information about the various aspects of purchasing,
using, or investing in property?
Attorneys
Mortgage brokers
Appraisers
Real estate counselors - Answers -Real estate counselors
, When a buyer can afford a significant expense to purchase and maintain a vacation
property, he or she is generally:
an uneducated buyer.
a naïve buyer.
a ready buyer.
an intelligent buyer. - Answers -an intelligent buyer.
Who generally pays the expenses of a real estate employee?
The buyer
The Commission
The seller
The broker - Answers -The broker
How much does a broker withhold from the commission when paying an independent
contractor?
0%
7%
10%
23% - Answers -0
If a licensee lists and sells a property, what side will he or she receive commission
from?
The selling side
Neither side
The listing side
The listing and selling side - Answers -The listing and selling side
Commission can be calculated through a percentage of the transaction, a flat fee, a fee
for service or:
earned income.
a salary.
renumeration.
an hourly rate. - Answers -an hourly rate.
What is the utility feature of a hammer?
To drive nails
To increase sales
To reduce expenses
To cut pipe - Answers -To drive nails
What is the primary force that moves the real estate market?
Government
Market Forecasts
Employment
Deficit Spending - Answers -Employment
REAL ESTATE
PA
QUESTIONS
Real estate is a relatively illiquid economic product, meaning:
it cannot always be readily sold for cash.
it is influenced by economic factors.
it is in high demand.
it follows growth patterns. - Answers -it cannot always be readily sold for cash
In real estate, supply is the amount of property available for sale or lease at any given
time. Note that supply is generally not the number of properties available, except in the
case of:
industrial real estate.
residential real estate.
land.
commercial real estate. - Answers -residential real estate.
How do the elements of supply, demand, and price interact in a market?
In a continuous manner
In a balanced state
In opposite forces
In opposing forces - Answers -In a continuous manner
Real estate is classified as:
liquid assets.
illiquid assets.
moveable assets.
secondary assets. - Answers -illiquid assets.
,REO real estate agents specialize in handling:
short sales.
rehab properties.
bank-owned properties.
multi-dwelling properties. - Answers -bank-owned properties.
The competition for the resort home real estate buyer, and even many sellers, begins:
with an agent.
on the internet.
with an attorney.
with a broker. - Answers -on the internet.
Creating real properties from raw land involves capital formation, financing, construction
contracting, and:
performance.
regulatory approvals.
management.
maintenance. - Answers -regulatory approvals.
In a real estate auction if the property is sold to the highest bidder regardless of the
price, this is a(n):
absolute auction.
reserve price auction.
minimum bid auction.
resolute auction. - Answers -absolute auction.
Agent selection, declaration and proof of hardship, property valuation, agreement,
application, finding a buyer, negotiating, and closing are steps in a:
normal real estate transaction.
commercial real estate transaction.
land sales contract.
short sale real estate transaction - Answers -short sale real estate transaction
Most newly licensed practitioners choose to begin their real estate careers in:
residential brokerage.
land brokerage.
commercial brokerage.
investment brokerage - Answers -residential brokerage.
A property manager acts in the best interests of:
the public.
the owner.
him or herself.
the tenants. - Answers -the owner.
What refers to property that is owned and used for habitation?
,Investment property
Residential property
Industrial property
Commercial property - Answers -Residential property
Who is a direct agent of the principal (buyer or seller) who is hired for compensation to
perform a stated service, such as negotiating the sale of property?
A broker
A property manager
An agent
A lender - Answers -broker
What is an area of landscape, including various structures, for the practice of raising
grazing livestock such as cattle or sheep, for meat or wool?
An estate
A farm
A grange
A ranch - Answers -ranch
Who services mortgage loans?
Mortgage brokers
Surveyors
Mortgage bankers
Attorneys - Answers -Mortgage bankers
Who holds money or documents until certain terms and conditions of the escrow are
met?
An insurance company
A property manager
An escrow company
An agent - Answers -An escrow company
The principal areas of government regulation of real estate are usage, taxation, and:
goal conflict.
technology.
housing administration.
maintenance. - Answers -housing administration.
Who can offer prospective buyers information about the various aspects of purchasing,
using, or investing in property?
Attorneys
Mortgage brokers
Appraisers
Real estate counselors - Answers -Real estate counselors
, When a buyer can afford a significant expense to purchase and maintain a vacation
property, he or she is generally:
an uneducated buyer.
a naïve buyer.
a ready buyer.
an intelligent buyer. - Answers -an intelligent buyer.
Who generally pays the expenses of a real estate employee?
The buyer
The Commission
The seller
The broker - Answers -The broker
How much does a broker withhold from the commission when paying an independent
contractor?
0%
7%
10%
23% - Answers -0
If a licensee lists and sells a property, what side will he or she receive commission
from?
The selling side
Neither side
The listing side
The listing and selling side - Answers -The listing and selling side
Commission can be calculated through a percentage of the transaction, a flat fee, a fee
for service or:
earned income.
a salary.
renumeration.
an hourly rate. - Answers -an hourly rate.
What is the utility feature of a hammer?
To drive nails
To increase sales
To reduce expenses
To cut pipe - Answers -To drive nails
What is the primary force that moves the real estate market?
Government
Market Forecasts
Employment
Deficit Spending - Answers -Employment
