©SOPHIABENNETT_2024/2025 EXAM SERIES Monday, September 2, 2024 9:52 AM
Texas Real Estate Property Management
Exam Practice Questions and Answers
Candidates for a CPM certification must meet the criteria established by: - Answer✔️✔️-
IREM
An Advisory Services Specialist would be a member of _______ - Answer✔️✔️-SIOR
Which organization would you turn to in order to obtain rental forms for Texas apartment
housing? - Answer✔️✔️-TAA
Which of the following factors is unimportant in determining the amount of rent a
landlord could charge? - Answer✔️✔️-Corporate entity
What should a landlord do if it becomes necessary to reduce rent to fill vacancies? -
Answer✔️✔️-Reduce the length of lease terms
When a property manager has funds in an account designed to pay for emergency
items, the account is known as a ________. - Answer✔️✔️-Reserve
Who maintains the physical integrity of the property and develops a plan for building
adequate reserves for replacement? - Answer✔️✔️-The property manager
If there is a person who works for both the property owner and the property manager,
what document defines whose employee the person is? - Answer✔️✔️-The management
agreement
What is the most important thing to do when implementing a marketing plan? -
Answer✔️✔️-stay with the plan long enough for it to work
Page | 1
, ©SOPHIABENNETT_2024/2025 EXAM SERIES Monday, September 2, 2024 9:52 AM
Regulation Z is which of the following? - Answer✔️✔️-The Truth in Lending Act
When marketing residential properties, direct mail should be used _____________. -
Answer✔️✔️-to reach specific audiences
What could the rent increase be tied to? - Answer✔️✔️-The Consumer Price Index (CPI)
What is the component of the business plan that includes staffing, startup budget, and
sales forecasts? - Answer✔️✔️-The Financial Plans
What item will most likely be the most expensive equipment for the office? - Answer✔️✔️-
Telephones
What is the first thing you should do when starting a property management business? -
Answer✔️✔️-Put together a business plan
What is an escalation clause? - Answer✔️✔️-A lease clause that allows for set increases
in rent
What is your best source for information on retail market data? - Answer✔️✔️-ICSC
An employer must pay FUTA to workers if their wages are more than __________per
year - Answer✔️✔️-$1,500
What is the simplest form of business ownership? - Answer✔️✔️-Sole proprietorship
The management agreement can be modified by ____________. - Answer✔️✔️-written
agreement
If a tenant purchases a property from the owner, the broker's fee is usually
___________. - Answer✔️✔️-a percentage of the sales price
Page | 2
Texas Real Estate Property Management
Exam Practice Questions and Answers
Candidates for a CPM certification must meet the criteria established by: - Answer✔️✔️-
IREM
An Advisory Services Specialist would be a member of _______ - Answer✔️✔️-SIOR
Which organization would you turn to in order to obtain rental forms for Texas apartment
housing? - Answer✔️✔️-TAA
Which of the following factors is unimportant in determining the amount of rent a
landlord could charge? - Answer✔️✔️-Corporate entity
What should a landlord do if it becomes necessary to reduce rent to fill vacancies? -
Answer✔️✔️-Reduce the length of lease terms
When a property manager has funds in an account designed to pay for emergency
items, the account is known as a ________. - Answer✔️✔️-Reserve
Who maintains the physical integrity of the property and develops a plan for building
adequate reserves for replacement? - Answer✔️✔️-The property manager
If there is a person who works for both the property owner and the property manager,
what document defines whose employee the person is? - Answer✔️✔️-The management
agreement
What is the most important thing to do when implementing a marketing plan? -
Answer✔️✔️-stay with the plan long enough for it to work
Page | 1
, ©SOPHIABENNETT_2024/2025 EXAM SERIES Monday, September 2, 2024 9:52 AM
Regulation Z is which of the following? - Answer✔️✔️-The Truth in Lending Act
When marketing residential properties, direct mail should be used _____________. -
Answer✔️✔️-to reach specific audiences
What could the rent increase be tied to? - Answer✔️✔️-The Consumer Price Index (CPI)
What is the component of the business plan that includes staffing, startup budget, and
sales forecasts? - Answer✔️✔️-The Financial Plans
What item will most likely be the most expensive equipment for the office? - Answer✔️✔️-
Telephones
What is the first thing you should do when starting a property management business? -
Answer✔️✔️-Put together a business plan
What is an escalation clause? - Answer✔️✔️-A lease clause that allows for set increases
in rent
What is your best source for information on retail market data? - Answer✔️✔️-ICSC
An employer must pay FUTA to workers if their wages are more than __________per
year - Answer✔️✔️-$1,500
What is the simplest form of business ownership? - Answer✔️✔️-Sole proprietorship
The management agreement can be modified by ____________. - Answer✔️✔️-written
agreement
If a tenant purchases a property from the owner, the broker's fee is usually
___________. - Answer✔️✔️-a percentage of the sales price
Page | 2
