PSI Real Estate Salesperson Exam (2023/
2024) 100% Correct| Questions and Verified
Answers| Grade A
QUESTION
A four bedroom house with one bathroom would be an example of:
1. physical deterioration
2. functional obsolescence
3. economic obsolescence
4. environmental obsolescence
Answer:
2. functional obsolescence
QUESTION
which of the following is not a stage in the appraisal process?
1. state the problem
2. analyze the tax consequences of the property owner
3. reconcile the date for the final value estimate
4. analyze an interpret the data
Answer:
2. analyze the tax consequence of the property owner
QUESTION
An appraiser uses the cost approach in appraising a home. The appraiser should not use which of
the following types of information?
1. physical deterioration
2. cost of replacement of house
3. depreciation of land
4. economic obsolescence
,Answer:
3. depreciation of land
QUESTION
A house that is the least expensive in its neighborhood has nevertheless grown significantly in
value over the years bc of the increasing number of larger, more expensive houses being built
nearby. This growth in value is an example of the principle of
1. regression
2. competition
3. progression
4. highest and bestuse
Answer:
3. progression
QUESTION
You are preparing a competitive market analysis on a house that you hope to list for sale. Which
of the following approaches to value will be used in the development of the estimated value?
1. cost approach
2. gross rent multiplier
3. income approach
4. sale comparison approach
Answer:
4. sale comparison approach
QUESTION
A competitive market analysis reflects the use of the
1. cost approach
2. income approach
3. sale comparison approach
4. gross rent multiplier method
, Answer:
3. sale comparison approach
QUESTION
Bank A holds the lien on a home in which Bank B already had a lien. The lenders subsequently
entered into an agreement in which Bank A moved into a first lien position. This is an example
of a (an):
1. hypothetication agreement
2. disintermediation agreement
3. reverse annuity mortgage
4. subordination agreement
Answer:
4. subordination agreement
QUESTION
If the Federal Reserve board raises its discount rate, which of the following is likely to occur?
1. mortgage money will become more available
2. interest rates will stay the same
3. mortgage money will become less available
4. interest rates will decline
Answer:
3. mortgage money will become less available
QUESTION
You have a mortgage in which you make the same payment each month for principal and
interest, with the principal payment increasing and the interest payment decreasing from month-
to-month. This is called a (an):
1. amortized mortgage
2. term mortgage
3. reverse annuity mortgage
4. partially amortized mortgage
2024) 100% Correct| Questions and Verified
Answers| Grade A
QUESTION
A four bedroom house with one bathroom would be an example of:
1. physical deterioration
2. functional obsolescence
3. economic obsolescence
4. environmental obsolescence
Answer:
2. functional obsolescence
QUESTION
which of the following is not a stage in the appraisal process?
1. state the problem
2. analyze the tax consequences of the property owner
3. reconcile the date for the final value estimate
4. analyze an interpret the data
Answer:
2. analyze the tax consequence of the property owner
QUESTION
An appraiser uses the cost approach in appraising a home. The appraiser should not use which of
the following types of information?
1. physical deterioration
2. cost of replacement of house
3. depreciation of land
4. economic obsolescence
,Answer:
3. depreciation of land
QUESTION
A house that is the least expensive in its neighborhood has nevertheless grown significantly in
value over the years bc of the increasing number of larger, more expensive houses being built
nearby. This growth in value is an example of the principle of
1. regression
2. competition
3. progression
4. highest and bestuse
Answer:
3. progression
QUESTION
You are preparing a competitive market analysis on a house that you hope to list for sale. Which
of the following approaches to value will be used in the development of the estimated value?
1. cost approach
2. gross rent multiplier
3. income approach
4. sale comparison approach
Answer:
4. sale comparison approach
QUESTION
A competitive market analysis reflects the use of the
1. cost approach
2. income approach
3. sale comparison approach
4. gross rent multiplier method
, Answer:
3. sale comparison approach
QUESTION
Bank A holds the lien on a home in which Bank B already had a lien. The lenders subsequently
entered into an agreement in which Bank A moved into a first lien position. This is an example
of a (an):
1. hypothetication agreement
2. disintermediation agreement
3. reverse annuity mortgage
4. subordination agreement
Answer:
4. subordination agreement
QUESTION
If the Federal Reserve board raises its discount rate, which of the following is likely to occur?
1. mortgage money will become more available
2. interest rates will stay the same
3. mortgage money will become less available
4. interest rates will decline
Answer:
3. mortgage money will become less available
QUESTION
You have a mortgage in which you make the same payment each month for principal and
interest, with the principal payment increasing and the interest payment decreasing from month-
to-month. This is called a (an):
1. amortized mortgage
2. term mortgage
3. reverse annuity mortgage
4. partially amortized mortgage
