ASREB (Arizona School of Real Estate and Business) |
Advanced Problem Set Practice: Fully Solved Questions for
Guaranteed Success 2025/2026
States that a property's value tends to increase when surrounded by higher-valued
properties. Tom's property values may benefit from the higher average property value of
his neighbors.
Bob Jones, who lacks a real estate license, hires Sally Salesperson to sell his property.
During Sally's absence, Bob shows the property, provides price quotations, and accepts
deposits. What are the implications of Bob's actions? - correct answer Bob's actions
are illegal and can lead to legal consequences
Conducting real estate activities without a license is prohibited in most jurisdictions.
Bob's actions, such as showing the property, quoting prices, and accepting deposits,
violate licensing requirements and can result in legal consequences.
What is the general purpose for cities to require building permits? - correct answer To
require a minimum level of construction standards.
This maintains the safety and well being of the public.
What is a true statement regarding the recording of a deed? - correct answer
Recording a deed establishes ownership rights
Recording a deed in the appropriate government office establishes the legal proof of
ownership and protects the property rights of the owner.
The city of Brownwood plans to build a new water treatment facility but the land that is
required is privately owned. Eminent domain allows the city to: - correct answer Take
possession of the land against the owner's wishes, yet the owner must be compensated
, Eminent Domain allows the government to take possession of privately owned land for
use by the public even at the objection of the owner as long as the property owner
receives compensation.
When the appraised value of a property is given, it is based on: - correct answer
Comparable sales
The appraised value of a property is given by comparable sales as well as an opinion of
the properties fair market value.
Agent Brook is preparing for a listing appointment and has gathered information to
prepare a report of recent market data for the seller to review. The report agents
reconcile to obtain a reasonable list price for a property based on current listings, recent
sales, and expireds would be called: - correct answer Comparative Market Analysis
(CMA)
The report agents reconcile to obtain a reasonable list price for a property based on
current listings, recent sales, and expireds is called a Comparative Market Analysis
(CMA)
What does the term "merchantable title" (or marketable title) refer to? - correct answer
A title free from defects and legal encumbrances
Refers to a property title that is considered clear and free from defects, liens, and other
legal issues that could affect ownership rights or transferability.
Jon's tire store is being built across the street from Big Bob's tires. What appraisal
principle describes this situation? - correct answer The appraisal principle of
Competition states that two similar businesses attract more customers when within
close proximity than they would separately.
If a landlord receives rent at the start of the month and sells the property 10 days later,
how should the rent be prorated at settlement? - correct answer The rent is divided
based on the number of days owned by the seller and buyer.
Advanced Problem Set Practice: Fully Solved Questions for
Guaranteed Success 2025/2026
States that a property's value tends to increase when surrounded by higher-valued
properties. Tom's property values may benefit from the higher average property value of
his neighbors.
Bob Jones, who lacks a real estate license, hires Sally Salesperson to sell his property.
During Sally's absence, Bob shows the property, provides price quotations, and accepts
deposits. What are the implications of Bob's actions? - correct answer Bob's actions
are illegal and can lead to legal consequences
Conducting real estate activities without a license is prohibited in most jurisdictions.
Bob's actions, such as showing the property, quoting prices, and accepting deposits,
violate licensing requirements and can result in legal consequences.
What is the general purpose for cities to require building permits? - correct answer To
require a minimum level of construction standards.
This maintains the safety and well being of the public.
What is a true statement regarding the recording of a deed? - correct answer
Recording a deed establishes ownership rights
Recording a deed in the appropriate government office establishes the legal proof of
ownership and protects the property rights of the owner.
The city of Brownwood plans to build a new water treatment facility but the land that is
required is privately owned. Eminent domain allows the city to: - correct answer Take
possession of the land against the owner's wishes, yet the owner must be compensated
, Eminent Domain allows the government to take possession of privately owned land for
use by the public even at the objection of the owner as long as the property owner
receives compensation.
When the appraised value of a property is given, it is based on: - correct answer
Comparable sales
The appraised value of a property is given by comparable sales as well as an opinion of
the properties fair market value.
Agent Brook is preparing for a listing appointment and has gathered information to
prepare a report of recent market data for the seller to review. The report agents
reconcile to obtain a reasonable list price for a property based on current listings, recent
sales, and expireds would be called: - correct answer Comparative Market Analysis
(CMA)
The report agents reconcile to obtain a reasonable list price for a property based on
current listings, recent sales, and expireds is called a Comparative Market Analysis
(CMA)
What does the term "merchantable title" (or marketable title) refer to? - correct answer
A title free from defects and legal encumbrances
Refers to a property title that is considered clear and free from defects, liens, and other
legal issues that could affect ownership rights or transferability.
Jon's tire store is being built across the street from Big Bob's tires. What appraisal
principle describes this situation? - correct answer The appraisal principle of
Competition states that two similar businesses attract more customers when within
close proximity than they would separately.
If a landlord receives rent at the start of the month and sells the property 10 days later,
how should the rent be prorated at settlement? - correct answer The rent is divided
based on the number of days owned by the seller and buyer.
