Real Estate Concepts and Terminology

The video tutorial covers essential real estate exam topics, including common questions, key concepts, government powers, legal terms, contracts, property types, leases, appraisal methods, and valuation. The instructor provides tips and insights to help students prepare effectively for the exam, emphasizing the importance of understanding concepts rather than memorizing questions. The session concludes with a Q&A and encouragement for students to engage with the material and community resources.

What is the term for a structure that extends onto another's property, such as a wall or fence?

• Encroachment

• Easement

• Estoppel

• Cytus

Which approach is most suitable for appraising a newly built property with no rental history?

• Income Approach

• Cost Approach

• Capitalization Approach

• Market Approach

Which of the following is NOT considered by an appraiser when valuing a property?

• Assessed Value

• Property Rights to be Valued

• Definition of Value

• Property Identification

What is the difference between eminent domain and police power?

• Both involve taking property without compensation.

• Both regulate property use without compensation.

• Eminent domain involves taking property with compensation; police power regulates use without compensation.

• Eminent domain regulates property use; police power involves taking property with compensation.

What must a broker do upon discovering a material defect in a property under contract?

• Keep it confidential

• Inform only the seller

• Inform only the buyer

• Inform both the buyer and seller

What is another term for a sandwich lease?

• Subletting

• Leaseback

• Tenancy at will

• Freehold

Which type of legal description outlines property boundaries using directions and distances?

• Rectangular

• Metes and Bounds

• Lot and Block

• Geodetic

What is the primary purpose of a deed?

• To give constructive notice

• To prevent adverse possession

• To prove ownership

• To transfer title rights

What is economic obsolescence in real estate?

• A type of depreciation as incurable

• A result of poor maintenance

• Due to architectural faults

• Caused by the aging process

Which principle explains why a smaller home in a neighborhood of larger homes might increase in value?

• Regression

• Substitution

• Progression

• Contribution