FL RE Post-Licensing Practice Exam 2 The RE School , (Answered) Compete Verified Solution 2024.
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FL RE Post-Licensing Practice Exam 2 The RE School , (Answered) Compete Verified Solution 2024.
What is the relationship between a property's net operating income and it's present value?
Capitalization rate refers to the ratio of net operating income and property's present value. The correct an...
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FL RE Post-Licensing Practice Exam 2 The
RE School , (Answered) Compete Verified
Solution 2024.
What is the relationship between a property's net operating income and it's
present value?
Capitalization rate refers to the ratio of net operating income and property's present
value. The correct answer is: Capitalization rate
What is the occupancy rate of a 40-unit apartment building if 38 units are rented?
To calculate the occupancy rate we divide units rented by total units in the building. The
correct answer is: 95%
If you are showing a property to a buyer and he/she raises an objection to the
property, what would you do?
It is important to handle the objections from a positive perspective and it is not
necessary to answer many objections, if so probably that property is not for that buyer.
The correct answer is: Handle the objection from a positive perspective
When a Listing agreement is being negotiated, what topics must the broker and
the seller not discuss?
The listing agreement includes expiration date, broker's obligations and authority,
description of the property, seller obligations, compensation and cooperation with other
brokers, but it should not include personal characteristics of prospective buyers. The
correct answer is: The future buyer's religion
In the sale of a condominium, what should the sales associate not include in the
legal description of the property?
If it is a condominium, the description should include; county where the property is
located, name of the condominium, unit number or lot number, identification of common
elements, official records of condominium declaration and amendments, reference to
lease types if applicable. The correct answer is: The size of the property
If an electric bill and water bill increase in a rental investment property, how are
financial statements impacted?
Variable expenses includes utilities such as electricity, water, maintenance, garbage
collection, these expenses vary directly according to occupation. The correct answer is:
An increase in the variable expenses
Johanna is a sales associate who is planning to earn $80,000 next year. She
knows that 70% of her income is from her listings, and that 30% is from sales. If
her average earning per listing sold is $2,800, then how many listings does she
need to sell to meet the sales part of her goals?
$80,000 x 70% = $56,000, then $56,000÷$2,800= 20
Which of the following items should not be included in the tenant file?
Tenant files should include tenant rental application and screening reports,
Correspondence regarding approval or denial of rental application. The signed lease or
rental agreement, and any amendments, Security deposits, security deposit refunds,
and an itemized list for any deductions, Move-in inspection paperwork completed by you
, and your tenant, Move-out inspection paperwork, especially as it relates to a tenant's
security deposit, Rent payment records. The correct answer is: List of tenant personal
property
Mr. Smith, a prospective seller, built a swimming pool last year at his house.
When he asks you how the swimming pool and other home improvements should
be valued, what would your answer be?
Contribution to property value, when improvements are made to a property its value is
only what the property adds to its market value regardless of its cost. The correct
answer is: Their values are based on their contribution to the property value
Peter has agreed to buy Ana's house, which was listed by Broker Louis. The
agreed price was $195,000 with a $10,000 down payment. The seller will pay 3
points on a loan of $185,000. The closing date is July 15, and Peter is responsible
for the closing day. Peter will pay $900 for an insurance policy, $2,300 for city and
county taxes, and $640 for title insurance. Using the 365-day method for
proration, how will the tax proration break down between the seller and the
buyer?
Closing day belongs to buyer, days from 7/15/2017 to 12/31/2017 = 170 days Daily tax
rate $2,300 ÷ 365 = 6.30137 170 x 6.30137= 1,071.23 Annual tax $2,300 - 1,071.23 =
$1,228.77 The correct answer is: There will be a debit to Ana, and a credit to Peter for $
1,228.77
Which best describes a silent second mortgage?
In a silent second mortgage, the seller lends money for the down payment through a
secondary mortgage that is not disclosed. The lender with the first mortgage thinks that
the buyer has invested their own money. The correct answer is: The seller lends the
down payment money through a secondary mortgage that is not disclosed
What do you not expect to see in the legal description of a subdivision?
The legal description of a subdivision should include, county where it is located, lot and
block number, subdivision name, plat book and page where it is recorded. The correct
answer is: The number of rooms of the property
Which of the following is not considered a main reason to screen tenants?
There are three main reasons to screen tenants. These reasons are profit, property and
people. The correct answer is: To know where he/she works
What is recommended when showing properties to a potential buyer?
It is usually advised that a licensee show maximum 5 properties on a tour and show first
the best houses, this way a maximum standard is generated at the beginning because
when the best house is showed at the end generate expectations that there is
something better beyond. The correct answer is: Try to show no more than 5 houses,
and show the best house first
Which of the following activities could be considered a crime prevention
program?
Some cities in the state of Florida have crime prevention programs, and their police
departments have a crime prevention unit, this crime prevention unit invites the
community to participate in programs like: Trespass program and neighborhood watch
programs. The correct answer is: Neighborhood watch program
Which of the following types of property is not typically involved in property
management?
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