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UTD REAL 3305 Final Exam (5) with verified solutions A+ rated passed

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UTD REAL 3305 Final Exam (5) with verified solutions A+ rated passed

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UTD REAL 3305 Final Exam (5) with
verified solutions A+ rated passed

Types of Real Estate Business - correct answer ✔✔- Brokerage

- Sub-divider

- developer

- Builder/Contractor

- Mortgage Broker / Banker

- Valuation/ Appraisal

- Corporate Real Estate

- Property Management

- Government Services

- Consulting

- Research & Education

- Legal & Governmental (RE attorney)

- Secondary Mortgage Market



Types of Real Estate Decisions - correct answer ✔✔- Investment

- Renovation

- Refinancing

- Exchange (IRC 1031)

- Defaulting

- Location

- Rent vs. Buy

- Diversification

,- Disposition



Types of Real Estate - correct answer ✔✔- Residential

- Commercial

- Industrial

- Land



Residential Real Estate - correct answer ✔✔- Single-Family Dwelling (SFD)

- condo

- townhouse

- cooperative

- Multi-Family

- apartments



Commercial Real Estate - correct answer ✔✔- Office

- shopping center

- hotel

- retail

- special-use



Industrial Real Estate - correct answer ✔✔- Warehouse

- manufacturing

- plant

- factory



Land Real Estate - correct answer ✔✔- Lots

,- acreage

- farm

- timber

- agriculture



Types of Real Estate Contracts - correct answer ✔✔- Mortgage/Deed of Trust

- Promissory Note

- Listing Agreement_

- Earnest Money Contract

- Lease

- Option

- Mortgage-Backed Securities (MBS)

- Title / Deed



How to Raise Capital - correct answer ✔✔- Sell Assets: Receive cash, but no longer have use of
asset

- Borrow: add restrictions and loss of control

- Issue Commercial Paper: very short-term solution

- Issue Stock: Dilution of Ownership



Competitive Market Characteristics - correct answer ✔✔- Free Entry & Exit

- Large Number of Buyers and Sellers

- Perfect Information

- Homogeneous Asset



Real Estate Market Characteristics - correct answer ✔✔- Restricted Entry & Exit

, - Few Buyers and One Seller

- High Information Costs

- Heterogeneous Asset



Economic Characteristics of Land - correct answer ✔✔scarcity, modification, fixity, situs



Scarcity - correct answer ✔✔uniqueness of land may make parcel scarce



Modification - correct answer ✔✔improvement by development



Fixity - correct answer ✔✔permanence due to long economic life



Situs - correct answer ✔✔location preference - how it interacts with other parcels



Physical Characteristics of Land - correct answer ✔✔immobility, indestructibility, and
heterogeneity



Immobility - correct answer ✔✔fixed in one location



indestrucability - correct answer ✔✔land is permanent



heterogeneity - correct answer ✔✔unique location



Legal Characteristics of Land - correct answer ✔✔- Possession

- Use and Enjoyment

- Control

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