DC PROPERTY MANAGERS EXAMS SCRIPT
QUESTIONS AND ANSWERS SURE A+
✔✔Asset Management focuses on - ✔✔The property's long term planning, leasing and
asking rates, negotiates commercial leases, evaluates mortgages & opportunities to
refinance the loan,considers strategies to maximize value and when to market the
property for sale.
✔✔What common method is used to determine a property's Investment Value? -
✔✔Net Operating Income is divided by the Capitalization Rate
(NOI/Cap Rate= Value)
✔✔What are the four categories related to Maintenance? - ✔✔Curative, Deferred,
Routine, & Prevenative
✔✔Curative Maintenance involves...... - ✔✔Fixing or repairing something after it has
already broken. An example would be fixing a broken sink
✔✔Deffered Maintenance - ✔✔Involves delaying needed repairs and maintenance to
save money.Is an ordinary maintenance item that is not performed at the time when a
problem is discovered. An example a manager notices some minor paint peeling in
stairwell.
✔✔Routine Maintenance - ✔✔Relates to the cleaning and upkeep that is needed every
day. An example is vacuuming the carpet in the building hallways.
✔✔Depreciated Value - ✔✔This is used for income tax purposes and affects a
property's tax basis
✔✔List Price - ✔✔The only price that the owner has offered to sell a property for.
, ✔✔Cash Flow - ✔✔is the amount of money that remains after Debt Service is
subtracted from Net Operating Income. Is often used by investors to determine the
owner's Return On Investment
✔✔Chart of Accounts - ✔✔is utilized to classify each of the different types of the income
and expenses.
✔✔Tenancy at Will - ✔✔Usually occurs in the absence of a written lease and can occur
after a lease expires. Tenant/resident continues to occupy space and landlord continues
to accept payment.
✔✔Tenancy at Sufferance - ✔✔Occurs after the expiration of lease has expired.
Tenant/resident continues to occupy the apartment or space without the landlord's
consent.
✔✔What are the objectives of a Maintenance Plan? - ✔✔Implement & accomplish the
owner's objectives, increase resident/tenant satisfact rates, reduce operating costs,
optimize the property's physical capabilities, increase the property's value, providing
safety of tenants, residents, visitors, and employees.
✔✔Primary objectives to consider prior to any property inspection - ✔✔What will be
inspected, what is the frequency of inspection, who will conduct the inspection, how will
results be reported.
✔✔Routine Maintenance - ✔✔relates to cleaning and upkeep that is needed everyday.
✔✔General Liability - ✔✔Insurance coverage that can protect the property owner from a
variety of claims including bodily injury, property damage, and personal injury.
✔✔Excess Liability - ✔✔an umbrella policy is issued to provide coverage limits in
excess of an underlying General Liability policy.
✔✔Marketing Plan - ✔✔Is necessary for every property to find new residents or tenants
primary goals is to identify as many qualified prospects as possible.
✔✔A Management Plan is made up of how many what 7 components? - ✔✔Regional
Analysis, Neighborhood Analysis, Property Analysis, Market Analysis, Analysis of
Alternatives, Proposed Property Analysis, Investment Analysis.
✔✔Functional Obsolescence can directly imapact - ✔✔Attainable rents at a building.
✔✔Deferred Maintenance - ✔✔Involves delaying needed repairs and maintenance to
save money.
QUESTIONS AND ANSWERS SURE A+
✔✔Asset Management focuses on - ✔✔The property's long term planning, leasing and
asking rates, negotiates commercial leases, evaluates mortgages & opportunities to
refinance the loan,considers strategies to maximize value and when to market the
property for sale.
✔✔What common method is used to determine a property's Investment Value? -
✔✔Net Operating Income is divided by the Capitalization Rate
(NOI/Cap Rate= Value)
✔✔What are the four categories related to Maintenance? - ✔✔Curative, Deferred,
Routine, & Prevenative
✔✔Curative Maintenance involves...... - ✔✔Fixing or repairing something after it has
already broken. An example would be fixing a broken sink
✔✔Deffered Maintenance - ✔✔Involves delaying needed repairs and maintenance to
save money.Is an ordinary maintenance item that is not performed at the time when a
problem is discovered. An example a manager notices some minor paint peeling in
stairwell.
✔✔Routine Maintenance - ✔✔Relates to the cleaning and upkeep that is needed every
day. An example is vacuuming the carpet in the building hallways.
✔✔Depreciated Value - ✔✔This is used for income tax purposes and affects a
property's tax basis
✔✔List Price - ✔✔The only price that the owner has offered to sell a property for.
, ✔✔Cash Flow - ✔✔is the amount of money that remains after Debt Service is
subtracted from Net Operating Income. Is often used by investors to determine the
owner's Return On Investment
✔✔Chart of Accounts - ✔✔is utilized to classify each of the different types of the income
and expenses.
✔✔Tenancy at Will - ✔✔Usually occurs in the absence of a written lease and can occur
after a lease expires. Tenant/resident continues to occupy space and landlord continues
to accept payment.
✔✔Tenancy at Sufferance - ✔✔Occurs after the expiration of lease has expired.
Tenant/resident continues to occupy the apartment or space without the landlord's
consent.
✔✔What are the objectives of a Maintenance Plan? - ✔✔Implement & accomplish the
owner's objectives, increase resident/tenant satisfact rates, reduce operating costs,
optimize the property's physical capabilities, increase the property's value, providing
safety of tenants, residents, visitors, and employees.
✔✔Primary objectives to consider prior to any property inspection - ✔✔What will be
inspected, what is the frequency of inspection, who will conduct the inspection, how will
results be reported.
✔✔Routine Maintenance - ✔✔relates to cleaning and upkeep that is needed everyday.
✔✔General Liability - ✔✔Insurance coverage that can protect the property owner from a
variety of claims including bodily injury, property damage, and personal injury.
✔✔Excess Liability - ✔✔an umbrella policy is issued to provide coverage limits in
excess of an underlying General Liability policy.
✔✔Marketing Plan - ✔✔Is necessary for every property to find new residents or tenants
primary goals is to identify as many qualified prospects as possible.
✔✔A Management Plan is made up of how many what 7 components? - ✔✔Regional
Analysis, Neighborhood Analysis, Property Analysis, Market Analysis, Analysis of
Alternatives, Proposed Property Analysis, Investment Analysis.
✔✔Functional Obsolescence can directly imapact - ✔✔Attainable rents at a building.
✔✔Deferred Maintenance - ✔✔Involves delaying needed repairs and maintenance to
save money.
