Real Estate Quiz

Office buildings and retail space are examples of _______.

• commercial real estate

• special use real estate

• residential property

• industrial property

In terms of real estate investment, another name for depreciation is _______.

• cost recovery

• leverage

• liquidity

• intrinsic value

All of these factors will tend to affect demand for real estate EXCEPT _______.

• material costs

• employment levels

• wage rates

• demographics

When the population of a town suddenly increases, which of these is MOST likely to occur?

• Real estate prices will increase

• Rental rates will fall due to increased competition

• Demand for housing will decrease

• New housing starts will decrease

Property management, appraisal, financing, and development are all _______.

• separate professions within the real estate industry

• specializations directly linked to state and federal government financial policies

• real estate brokerage professions

• demographic factors that affect demand for real property in a commercial market

The idea that no two parcels of land are exactly alike is known as _______.

• uniqueness

• immobility

• subdivision

• location

All of these factors can affect the supply of real estate EXCEPT _______.

• demographics

• labor force

• construction costs

• government controls

A property owner who does not want to deal with the everyday tasks of managing a rental property can hire _______.

• a property manager

• an appraiser

• a home inspector

• a developer

When the supply of a certain commodity decreases while demand remains the same, the price of that commodity will tend to

• increase.

• remain the same.

• decrease by 10%.

• decrease by 20%.

All of these are examples of government policies that can affect the real estate market EXCEPT

• a shortage of skilled labor or building materials.

• the Federal Reserve Board's discount rate.

• land-use controls, such as zoning.

• federal environmental regulations.