Real Estate Consulting 01/25

If there are 15 houses available for sale in a city but only 8 families are looking to buy, what will likely happen to property prices?

• Prices will increase.

• Prices will decrease.

• Prices will remain stable.

• Prices will fluctuate.

A city's population is increasing, but the majority of new residents are single individuals. Which type of housing will most likely see a rise in demand?

• Large family homes

• Smaller apartments

• Luxury villas

• Agricultural land

What is the primary reason a piece of land converted from agricultural use to residential use typically increases in value?

• It generates higher income as residential land.

• Agricultural land is inherently less valuable.

• Residential land is closer to the city center.

• There are no taxes on residential land.

A government converts an agricultural plot into a residential subdivision. What process describes this action?

• Land titling

• Land registration

• Land use planning

• land use conversion

In an area with limited rental properties but high demand for housing, what will likely happen to rental values?

• Rental values will decrease.

• Rental values will remain constant.

• Rental values will increase.

• Rental values will depend on government policy.

If a landlord rents out a property for ₱40,000 per month, what can this amount be classified as?

• Fair market value

• Rental value

• Land title cost

• Licensing royalty

Which of the following best explains why elderly individuals living longer may reduce housing availability?

• They sell their homes less frequently.

• They need larger homes.

• They continue to occupy homes longer.

• They require specialized housing.

If a property purchased for ₱8,000,000 rents for ₱70,000 per month, does it pass the 1% rule?

• a) Yes

• b) No

• c) Only if expenses are low

• d) It depends on market conditions

A landlord licenses their property to a telecom company for a cell tower. The monthly payment the landlord receives is referred to as:

• a) Rental income

• b) Royalty

• c) Fair market value

• d) Leasehold value

What happens to the value of land in urban areas compared to rural areas?

• It decreases due to overcrowding.

• It increases due to higher demand.

• It remains unchanged.

• It depends on agricultural productivity.