California Real Estate- Course 1 Exam Preparation
Questions and Answers 2024-2025.
What does a seller's market mean? - Correct Answer-Demand exceeds housing supply;
sellers have negotiating advantage; prices typically rise
What is a buyer's market? - Correct Answer-Housing supply exceeds demand; buyers
have negotiating advantage; prices typically fall
What is meant by a balanced market? - Correct Answer-Supply and demand are roughly
equal; prices are stable
Name 6 career choices in real estate - Correct Answer-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 - Correct Answer-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 - Correct Answer-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 - Correct Answer-requires specialized
knowledge about how condos are created and governed.
Describe the Rural/Rec/Agri career choice of real estate - Correct Answer-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 - Correct Answer-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 - Correct Answer-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 - Correct Answer-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 - Correct Answer-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 - Correct Answer-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 - Correct
Answer-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.
Describe the "Target Your Advertising Efforts" activity of real estate - Correct Answer-
focus advertising effort on the 'typical buyer' for the listed property based on the property's
main features and location
Questions and Answers 2024-2025.
What does a seller's market mean? - Correct Answer-Demand exceeds housing supply;
sellers have negotiating advantage; prices typically rise
What is a buyer's market? - Correct Answer-Housing supply exceeds demand; buyers
have negotiating advantage; prices typically fall
What is meant by a balanced market? - Correct Answer-Supply and demand are roughly
equal; prices are stable
Name 6 career choices in real estate - Correct Answer-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 - Correct Answer-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 - Correct Answer-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 - Correct Answer-requires specialized
knowledge about how condos are created and governed.
Describe the Rural/Rec/Agri career choice of real estate - Correct Answer-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 - Correct Answer-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 - Correct Answer-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 - Correct Answer-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 - Correct Answer-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 - Correct Answer-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 - Correct
Answer-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.
Describe the "Target Your Advertising Efforts" activity of real estate - Correct Answer-
focus advertising effort on the 'typical buyer' for the listed property based on the property's
main features and location
