Comprehensive Real Exam Questions And Verified
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What are the four major decisions to consider User & investor -
ANSWER-.
Acquisition decisions
. Holding Period Decisions
. Disposition Decisions
Describe the four quadrants of Real Estate investment -
ANSWER-.1 Private
Equity, individuals, pension funds, insurance company
(cash purchase)
2. Public Equity, Equity trust REIT(
stock shares)
3. Private Debt, Commercial Bank, pension funds ,
insurance company
4. Commercial back
securities
What are the two different types of capital asset - ANSWER-
Debt asset and
, equity
asset
What is an example of a Debt asset - ANSWER-A mortgage
What is an example of an Equity asset - ANSWER-ownership of
the equity
position in the property or a share of stock in a REIT that
invests in equity
ownership in real
estate
What is the definition of rate of return? - ANSWER-The
percentage returned on
each dollar investment for each period it
is invested
What are the Three major asset classes - ANSWER-Stock
market, Real estate,
and Bond
Market
Explain the bond market concept - ANSWER-Bonds are a
financing mechanism
typically utilize by the large corporation to generate large
sums of money
quickly. The investors are the lender and the corporation serve
as the borrower.