Aceable Agent Principles of Real Estate II
Level 6 Real Estate Investments Summary
Questions With Solutions 100% Correct
Capital Gains The tax benefits of _______ versus ordinary income is one of the incentives
to invest in real estate.
Section 1031 Exchange When investors sell a property and wish to defer payment of
capital gain taxes on that sale, they can do so via a _______.
Real Estate Mortgage Investment Conduit (REMIC) A _______ allows individuals to
indirectly invest in mortgages through the purchase of securities.
Depreciation The reduction in the value of a property over time is known as _______.
Feasibility Study A _______ is a detailed analysis of the viability of an idea or
undertaking.
, Aceable Agent Principles of Real Estate II
Level 6 Real Estate Investments Summary
Questions With Solutions 100% Correct
Limited Partnership A _______ must have one or more general partners with unlimited
liability.
Leverage The investment strategy of taking on debt in order to realize a greater return is
called _______
Debt Service _______ is the money necessary to make payments on the principleand
interest of a loan.
Syndicate A _______ is not a legally recognized organization.
Investment Is the implementation of money to realize profit or gain, usually with an
understanding that some degree of risk may be involved.
The three main reasons to invest in real estate 1. Income/Cash Flow
Level 6 Real Estate Investments Summary
Questions With Solutions 100% Correct
Capital Gains The tax benefits of _______ versus ordinary income is one of the incentives
to invest in real estate.
Section 1031 Exchange When investors sell a property and wish to defer payment of
capital gain taxes on that sale, they can do so via a _______.
Real Estate Mortgage Investment Conduit (REMIC) A _______ allows individuals to
indirectly invest in mortgages through the purchase of securities.
Depreciation The reduction in the value of a property over time is known as _______.
Feasibility Study A _______ is a detailed analysis of the viability of an idea or
undertaking.
, Aceable Agent Principles of Real Estate II
Level 6 Real Estate Investments Summary
Questions With Solutions 100% Correct
Limited Partnership A _______ must have one or more general partners with unlimited
liability.
Leverage The investment strategy of taking on debt in order to realize a greater return is
called _______
Debt Service _______ is the money necessary to make payments on the principleand
interest of a loan.
Syndicate A _______ is not a legally recognized organization.
Investment Is the implementation of money to realize profit or gain, usually with an
understanding that some degree of risk may be involved.
The three main reasons to invest in real estate 1. Income/Cash Flow
