Course 1 Exam Prep questions with
answers.
What does a seller's market mean? ANS -Demand exceeds housing supply; sellers have negotiating
advantage; prices typically rise
What is a buyer's market? ANS -Housing supply exceeds demand; buyers have negotiating advantage;
prices typically fall
What is meant by a balanced market? ANS -Supply and demand are roughly equal; prices are stable
Name 6 career choices in real estate ANS -1. Residential resale
2. New home sales
3. Condos
4. Rural/Rec/Agriculture
5. Commercial
6. Leasing/Renting
Describe the Residential Resale career choice of real estate ANS -the most common initial career choice,
typically involves irregular hours and weekend work to align with buyer/seller timing, and disruptions to
personal life
describe the New Home Sales career choice of real estate ANS -typically more structures work hours;
similar to a retailing function with little or no listing activity; primarily qualifying buyers and preparing
agreements
Describe the Condos career choice of real estate ANS -requires specialized knowledge about how
condos are created and governed.
, Describe the Rural/Rec/Agri career choice of real estate ANS -requires specialized knowledge; eg.,
zoning, permitted uses, obtaining building permits, wells/septics, shoreline alterations, private
easements, etc.
Describe the commercial career choice of real estate ANS -includes commercial (office and retail),
industrial and investment. Can be further divided; eg., warehousing, manufacturing, big box retailing,
multi-family investment, etc.
Describe the leasing/renting career choice of real estate ANS -requires solid working knowledge of the
Commercial Tenancies Act and Residential Tenancies Act. Can also lead to property management
activities on behalf of investors
Compare Residential vs. Commercial careers in real estate ANS -residential real estate comes with
disruptions to personal life. Commercial is limited usually to normal business days, but knowledge and
skill level demands are higher
List at least 5 of the typical activities of a real estate agent ANS -1. listing
2. preparing/promoting the Listed property
3. target your advertising efforts
4. qualifying/showing
5. offer preparation
6. offer presentation
7. Beyond offer acceptance
Describe the activity of Listing ANS -a listing is an agreement w the brokerage, not with the employed
broker or salesperson. Duties in listing agreement (also known as the seller representation agreement)
are carried out by employed brokers and salespersons. They assist with setting a listing price, but
ultimately, pricing is up to seller. Listing obligations owed by the brokerage extend to all employed
brokers and salespersons
Describe the "Preparing/Promoting the Listed Property" activity of real estate ANS -make certain that
the property is ready for viewing (any repairs and maintenance need to be completed). Develop a
marketing plan so that the seller knows what will be done and when.
answers.
What does a seller's market mean? ANS -Demand exceeds housing supply; sellers have negotiating
advantage; prices typically rise
What is a buyer's market? ANS -Housing supply exceeds demand; buyers have negotiating advantage;
prices typically fall
What is meant by a balanced market? ANS -Supply and demand are roughly equal; prices are stable
Name 6 career choices in real estate ANS -1. Residential resale
2. New home sales
3. Condos
4. Rural/Rec/Agriculture
5. Commercial
6. Leasing/Renting
Describe the Residential Resale career choice of real estate ANS -the most common initial career choice,
typically involves irregular hours and weekend work to align with buyer/seller timing, and disruptions to
personal life
describe the New Home Sales career choice of real estate ANS -typically more structures work hours;
similar to a retailing function with little or no listing activity; primarily qualifying buyers and preparing
agreements
Describe the Condos career choice of real estate ANS -requires specialized knowledge about how
condos are created and governed.
, Describe the Rural/Rec/Agri career choice of real estate ANS -requires specialized knowledge; eg.,
zoning, permitted uses, obtaining building permits, wells/septics, shoreline alterations, private
easements, etc.
Describe the commercial career choice of real estate ANS -includes commercial (office and retail),
industrial and investment. Can be further divided; eg., warehousing, manufacturing, big box retailing,
multi-family investment, etc.
Describe the leasing/renting career choice of real estate ANS -requires solid working knowledge of the
Commercial Tenancies Act and Residential Tenancies Act. Can also lead to property management
activities on behalf of investors
Compare Residential vs. Commercial careers in real estate ANS -residential real estate comes with
disruptions to personal life. Commercial is limited usually to normal business days, but knowledge and
skill level demands are higher
List at least 5 of the typical activities of a real estate agent ANS -1. listing
2. preparing/promoting the Listed property
3. target your advertising efforts
4. qualifying/showing
5. offer preparation
6. offer presentation
7. Beyond offer acceptance
Describe the activity of Listing ANS -a listing is an agreement w the brokerage, not with the employed
broker or salesperson. Duties in listing agreement (also known as the seller representation agreement)
are carried out by employed brokers and salespersons. They assist with setting a listing price, but
ultimately, pricing is up to seller. Listing obligations owed by the brokerage extend to all employed
brokers and salespersons
Describe the "Preparing/Promoting the Listed Property" activity of real estate ANS -make certain that
the property is ready for viewing (any repairs and maintenance need to be completed). Develop a
marketing plan so that the seller knows what will be done and when.
