Colorado Real Estate National Exam Practice Exam | Questions with 100% Correct Answers | Verified | Latest Update 2024

which of these is a correct formula for calculations related to income-producing property? - rate of return x value = net operating income an optioner and optionee entered into an option contract for an industrial building. the optionee decided not to purchase the property. the optioner sued the optionee for breach of contract. assuming the optioner received an option fee, what damages will the optioner likely receive in the lawsuit? - none of these. explanation: an optioner (owner) receives an option fee for keeping an offer open while an optionee (prospective buyer) decides whether they'll buy the property. if the optionee decides not to buy the property, the optioner has no legal recourse other than to keep the option fee. as part of offering a lower-than-market interest rate on a loan to a borrower, the lender charges a percentage of the loan amount to increase the lender's yield. this fee is known as - loan discount points explanation: loan discount points are charged based on the cost to buy the lower interest rate, which impacts the yield the lender will receive over the life of the loan. a discount point helps to decrease the loss to the lender and is an upfront charge at closing. two unrelated, unmarried friends purchased a parcel of real estate together and did not specify the form of ownership they desire. the buyers will hold title as - tenants in common