Alabama Post-License Exam Flashcards

Alabama Post-License Exam Flashcards All of the following are residential properties except which one?Motel The most common addendum in a sales contract is the seller's property condition disclosure, and the most common contingency is financing What Type of office buildings are usually one or two stories that can accommodate warehouse and industrial activities in addition to offices?Flex Space Office Buildings.The CAN-SPAM Act prohibits sending unwanted "commercial e-mail messages" to wireless devices without Express Prior Authorization Which of the following is NOT and disadvantage when investing in a Single-Family Home?Many tenants rent unfurnished homes.Which of the following is an advantage of investing in a two-to-four unit dwelling?Tenants often pay for their own utilities and repairs.Which of the following best defines Risk? The chance of experiencing a loss.What do you call a person who obtains information, advice, or services concerning real estate from a real estate licensee?A consumer Which of this is an advantage of investing in a single-family home?The market for single-family investment homes will not be inundated with competitive rentals.What is is based on the capacity of the manager and their ability to innovate, respond to competitive situations, and operate the business activity competently?Management Risk The government is most likely to pass rent controlled laws on which kind of property?Apartment Buildings What type of survey gives the estimated location of a home and improvements on the lot, with the accuracy of plus or minus one foot?Spot The primary advantage/s for investing in a single-family is/are?They are the most liquid real estate asset and easiest to rent.Leasehold estates are distinguished from freeholds bytheir temporary nature.Which type of retail center is anchored by three or more full-line department stores?Mega Mall Which protected classes were added by the Fair Housing Amendments Act in 1988?Handicap and familiar status What type of database segmentation system is designed to collect, store, and retrieve industry-specific functional data?Application Areas Which of the following is NOT a way investors can realize profits in real estate?Inflation Which of the following is NOT and advantage when investing in commercial properties?During times when many buildings are being built, the market can become flooded with unused commercial

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Why is investment in land riskier than other forms of investment?Since there are no improvements, the property cannot be depreciated for tax purposes.An agent can identify and evaluate competitors by using a valuable tool called a competitive analysis.What tactic do negotiators use to pretend that an issue of little or no importance is very important to them and then, later in the negotiation, the issue can be traded for a major concession of actual importance?Bogey What do we call the frequent refinancing of a mortgage that results in little or no economic benefit to the borrower and is undertaken with the primary purpose of generating additional loan fees, prepayment penalties, and financing fees from the borrower?Loan flipping What does an official Alabama Wood Infestation Inspection report determine?The visible presence of an active or previous infestation of wood destroying organisms in an existing structure Can investor take depreciation tax deductions with their vacation homes?Yes, if they live in the home 14 days or less a year When talking about closing costs, what is meant by the concept of variance testing range?Costs stated in the loan disclosure cannot vary by a certain amount on the closing disclosure.A disadvantage to investing in a two-to-four unit dwelling isthey are becoming harder to find.What is money that the buyer or seller needs to pay at closing known as?A debit What term is used when a contractor provides all materials and labor for a job?Turnkey What type of database management system feature will allow you to easily open up a contact name and update the listing?Updating Files Which of the following is not a type of industrial properties?Corporate headquarters.What is the primary advantage/s of owning a condominium as an investment property?Condos are easy to rent and condo's association provides exterior and ground maintenance.Property is considered a/n _____ assets if it cannot be transferred as easily as other assets, such as stock or bonds illiquid The final step a licensee will take when preparing a CMA isThe final step a licensee will take when preparing a CMA is What is the concept of using other people's money for investing?Leverage With 2-to-4 family dwelling as an investment, which of the following expense would the owner probably not pay for?Gas The ______ is based on the idea that money available at the present time is worth more then in the future, due to it's potential earning capacity.Time value of the money.How many months of property taxes does a buyer need to pay in advance?3 When a home is listed, typically demand and interest fade after three or four weeks.

Which social media site allows agents to establish their professional reputation and gain access to other real estate professionals such as mortgage lenders, home inspectors, lawyers, title closing personnel, and building contractors?LinkedIn What risk occurs when the real estate market is slow with not many buyers, sellers, or transactions?Liquidity Risk When dealing with fixer-upper, which principle of value will not have an effect on the property?Progression Which of the following is NOT a characteristic of liquidity?Lull in the regular-trade market What type of properties have total of leasable area of up to 30,000 SQF and are usually anchored by a convince store, such as minimarket?Strip Center As a courtesy, a licensee should schedule appointments and showings as far as in advance as possible.Unexpected inflations can diminish an investor's rate of return if the income does not increase enough to make up for the effect of the inflation. This risk is known as Inflation Risk