Chapter 1 Flashcards
The characteristic of land that causes the real estate market to be essentially a local market is the physical characteristic of:
A) indestructibility
B) immobility
C)availability
D) natural features
B) immobility
All of the following are separable ownerships in land EXCEPT:
A) surface of land
B) area below the surface
C) nonhomogeneity
D) air rights
C) nonhomogeneity
The nonhomogeneity of land:
A) is the basis for the legal remedy of specific performance
B) results from the uniqueness of every parcel of real estate
C) is a physical characteristic of land
D) all of the above
D) all of the above
An increase in the economic supply of land has resulted from:
A) increased utilization of the physical supply of land
B) modification by improvements to the land
C) high-density development
D) all of the above
D) all of the above
An increase in the economic supply of land has resulted from:
A) increased utilization of the physical supply of land
B) modification by improvements to the land
C) high-density development
D) all of the above
D) all of the above
The quality of the location of the land and consequently the value of the land can be changed by:
A) the principle of nonhomogeneity
B) relocation of the land
C) changes in the national scope of the real estate business
D) improvements to the land that result in accessibility not previously available
D) improvements to the land that result in accessibility not previously available
The employment of the concept of highest and best use:
A) includes consideration of the physical and economic factors affecting land use.
B) results in the greater present value of the land
C) must be a use feasible in the near future
D) all of the above
D) all of the above
An example of public land use controls is:
A) restrictive covenants
B) zoning laws
C) deed restrictions
D) protective covenants
B) zoning laws
Real estate investment offers the opportunity to produce a profit in the following ways EXCEPT:
A) appreciation
B) positive cash flow
C) specific performance
D) tax advantages
C) specific performance
The real estate market may be described in all the following ways EXCEPT:
A) a free market
B) a local market
C) a movable market
D) a market that is slow to react to changes in supply and demand
C) a movable market
The function of real estate agent in dealings with buyers and sellers in the real estate market may best be described as which of the following:
A) financier
B) counselor or advisor
C) contractor
D) salesperson
B) counselor or advisor
The real estate agent must have specialized knowledge of a variety of subjects that include all of the following except :
A) financing
B) contracts
C) legal advice
D) valuation of property
C) legal advice
Economic characteristics of real property include which of the following:
A) location
B) immobility
C) indestructibility
D) nonhomogeneity
A) location
Which of the following has the greatest effect on real property value?
A) tax rates
B) location
C) availability
D) indestructibility
B) location
Which of the following is an example of the private control of land use?
A) zoning
B) restrictive covenants
C) building codes
D) environmental controls
B) restrictive covenants
The term REALTOR designates:
A) any real estate license
B) a real estate license who is a member of the national, state and local association of REALTORS
C) only licenses who hold broker’s license
D) all of the above
B) a real estate license who is a member of the national, state and local association of REALTORS
Physical characteristics of land include all of the following EXCEPT:
A) location
B) nonhomogeneity
C) permanence
D) immobility
A) location
Then national association of REALTORS is
A) a government organization
B) a trade group
C) an organization for buyers and sellers of commercial real estate
D) all of the above
B) a trade group
Factors affecting supply and demand in real estate include all of these EXCEPT:
A) government regulations
B) interest rates
C) local economic conditions
D) real estate investment trusts
D) real estate investment trusts
Scarcity and location are examples of
A) physical characteristics of the land
B) highest and best use
C) permanence of investment
D) economic characteristics of the land
D) economic characteristics of the land B
All of the following are public land use restrictions EXCEPT:
A) building codes
B) protective covenants
C) zoning
D) regional planning
B) protective convenants
