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21. When a landowner leases unimproved land to a tenant for a term of 50 years,

ID: 2649426 • Letter: 2

Question

21. When a landowner leases unimproved land to a tenant for a term of 50 years, and the tenant agrees to erect a building on the land, the lease is usually called

A. an improvement lease

B. a triple net lease

C. a ground lease

D. a gross lease

22. A man operates a small store in a shopping center. Under the terms of lease, they landlord pays all operating expenses. The man pays a base rent of $1,000 per month, plus 15% of monthly gross pro?ts over $10,000. The man has a

A. variable lease

B. Gross lease.

C. net lease

D. percentage lease.

The characteristics of value include

A. popularity, location, price, and transferability

B. demand, utility, price, and transferability

C. demand, scarcity, price, and popularity

D. demand, utility, scarcity, and transferability

24. All of these are principal responsibilities of the property manager EXCEPT

A. preserving and/or increasing the value of the property

B. Generating income for the owners

C. forcibly removing tenants for nonpayment of rent.

D. Achieving the objectives of the owners

25. A broker is showing a house to a prospective buyer. He points out the rustic of the sagging front porch and refers to a weed-choked backyard as a delightful garden. The broker is engaging in

A. Puffing

B. fraud

C. intentional misrepresentation

D. negligent misrepresentations

26. A borrower defaulted on his mortgage loan, leaving an unpaid balance of $95,000. After receiving only $85,000 from the sale of the property, the lender will most likely ?le for a

A. de?ciency judgment

B- lis pendens

C. release deed

D. Satisfaction piece.

27. The decision whether to buy or rent should involve consideration of

A. the availability of a reverse mortgage

B. the terms of the security agreement

C. whether or not the property is located in a title theory state.

D. housing affordability and current mortgage interest rates

28. The principle of value that is the interaction of supply and demand is called

A. competition

B. anticipation

C. conformity

D. contribution

29. All of these are ways for a broker to charge for services EXCEPT

A. hourly rate

B. standard community rate

C. ?at fees

D. commission based on a percentage of the selling price

30. Which of these reports would a real estate salesperson most likely create and deliver a prospective seller?

A. An appraisal

B. A cost bene?t analysis

C. A comparative market analysis

D. A letter of intent

This is Fin real estate

Explanation / Answer

Answer:21 C. a ground lease

Answer:22 B. Gross lease

Answer:23 D. demand, utility, scarcity, and transferability

Answer:24 C. forcibly removing tenants for nonpayment of rent.

Answer:25 A. Puffing

Answer:26 D. Satisfaction piece.

Answer:27 D. housing affordability and current mortgage interest rates

Answer:28 C. conformity

Answer:29 A. hourly rate

Answer:30 D. A letter of intent

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