Missouri Real Estate Broker Exam (2023) | Questions & Answers (100% Verified)

Missouri Real Estate Broker Exam (2023) | Questions & Answers (100% Verified) Missouri Real Estate Broker Exam (2023) | Questions & Answers (100% Verified) Heterogeneity or Nonhomogeneity - ANSWER - Every parcel of land is different Immobility - ANSWER - Location of a parcel of land can never be changed Durable - ANSWER - Refers to land that is indestructible, meaning improvements can depreciate or be destroyed, but the land still remains Scarcity - ANSWER - When supply is limited, the price will increase Improvements - ANSWER - May increase or decrease the value of the property Permanence of Investment - ANSWER - Refers to the capital and labor used to develop a large fixed investment (water lines, sewage systems, electric, roads) Area preference or situs - ANSWER - location of the property and is based on factors such as reputation, aesthetic beauty (river view) geography and convenience. People will pay more for location. Emblements - ANSWER - Trees, grasses and perennial shrubbery that does not require annual culvitavion are considered real property (fruits of nature) Are house keys real property or personal? - ANSWER - Real because of their adapted use to the property Depreciation - ANSWER - causes loss of property value Curable Depreciation - ANSWER - reasonable and economically feasible to correct Incurable Depreciation - ANSWER - Not economically feasible to correct Physical Depreciation - ANSWER - May be curable or incurable and is caused by lack of maintenance and ordinary wear and tear Functional obsolescence - ANSWER - May be curable or incurable and occurs because of poor floor plan, outdated items, or changes in technology (examples - a low ratio of bathrooms to bedrooms; older home with few electrical outlets; new home built with one-car garage) External Obsolescence - ANSWER - Incurable and occurs because of factors located outside the property. Also known as Economic, Locational, or Environmental