FLORIDA REAL ESTATE PRINCIPLES,
PRACTICES & LAW UPDATED 2025
PRACTICE QUESTIONS & ANSWERS
business of bringing together buyers & sellers, owners & renters, & completing real
estate transactions - correct answers ✔✔Real estate brokerage
real estate as 4 or fewer residential units, vacant land zoned for 4 or fewer units, or
agricultural property of 10 or fewer acres - correct answers ✔✔residential
supports the Commission (FREC). under the Dept. of Business & Professional
Regulation (DBPR) - correct answers ✔✔Division of Real Estate (DRE)
, income-producing properties, investment analysis, & the various techniques for
increasing after-tax cash flow. Improved residential property of more than 4 units, retail
stores, office buildings, & shopping centers. - correct answers ✔✔commercial
property of more than 10 acres. Need to be familiar with operation of farms & the
economic problems associated with the various types of farming - correct answers
✔✔agricultural
real estate licensees who engage in the sale, purchase, or lease of businesses - correct
answers ✔✔business brokers
involves the sale or lease of an existing business, including the sale of tangible &
intangible assets - correct answers ✔✔business opportunity brokerage
one specific portion of a city, where a broker and sales associate are experts in that
particular portion - correct answers ✔✔farm area
the leasing, managing, marketing & overall maintenance of property for others - correct
answers ✔✔property management
property owner who does not reside on the property & who often relies on a
professional property manager to manage the investment - correct answers
✔✔absentee owner
local representative of the owner. Their primary task is to produce the greatest possible
net income over the longest possible time. - correct answers ✔✔property manager
process of estimating the value of real property. Fee based, unethical to get a
commission. An art not a science. - correct answers ✔✔appraisal
Uniform Standards of Professional Appraisal Practice. - correct answers ✔✔USPAP
USPAP. set of guidelines to follow when providing appraisal services. Only applies to
appraisals, not CMAs or BPOs. - correct answers ✔✔Uniform Standards of Professional
Appraisal Practice
regulates state-certified, licensed, & registered trainee appraisers. A state-certified or
licensed appraiser must prepare an appraisal that involves a federally related
transaction. - correct answers ✔✔Florida Real Estate Appraisal Board (FREAB)
analyzes past sales, computes the cost to reproduce a structure, & determines the
worth of future income that a property might produce - correct answers ✔✔Appraiser
duties
PRACTICES & LAW UPDATED 2025
PRACTICE QUESTIONS & ANSWERS
business of bringing together buyers & sellers, owners & renters, & completing real
estate transactions - correct answers ✔✔Real estate brokerage
real estate as 4 or fewer residential units, vacant land zoned for 4 or fewer units, or
agricultural property of 10 or fewer acres - correct answers ✔✔residential
supports the Commission (FREC). under the Dept. of Business & Professional
Regulation (DBPR) - correct answers ✔✔Division of Real Estate (DRE)
, income-producing properties, investment analysis, & the various techniques for
increasing after-tax cash flow. Improved residential property of more than 4 units, retail
stores, office buildings, & shopping centers. - correct answers ✔✔commercial
property of more than 10 acres. Need to be familiar with operation of farms & the
economic problems associated with the various types of farming - correct answers
✔✔agricultural
real estate licensees who engage in the sale, purchase, or lease of businesses - correct
answers ✔✔business brokers
involves the sale or lease of an existing business, including the sale of tangible &
intangible assets - correct answers ✔✔business opportunity brokerage
one specific portion of a city, where a broker and sales associate are experts in that
particular portion - correct answers ✔✔farm area
the leasing, managing, marketing & overall maintenance of property for others - correct
answers ✔✔property management
property owner who does not reside on the property & who often relies on a
professional property manager to manage the investment - correct answers
✔✔absentee owner
local representative of the owner. Their primary task is to produce the greatest possible
net income over the longest possible time. - correct answers ✔✔property manager
process of estimating the value of real property. Fee based, unethical to get a
commission. An art not a science. - correct answers ✔✔appraisal
Uniform Standards of Professional Appraisal Practice. - correct answers ✔✔USPAP
USPAP. set of guidelines to follow when providing appraisal services. Only applies to
appraisals, not CMAs or BPOs. - correct answers ✔✔Uniform Standards of Professional
Appraisal Practice
regulates state-certified, licensed, & registered trainee appraisers. A state-certified or
licensed appraiser must prepare an appraisal that involves a federally related
transaction. - correct answers ✔✔Florida Real Estate Appraisal Board (FREAB)
analyzes past sales, computes the cost to reproduce a structure, & determines the
worth of future income that a property might produce - correct answers ✔✔Appraiser
duties
