TEXAS SAE REAL ESTATE INVESTMENT 2 2024-2025
UPDATED EXAM QUESTIONS AND ANSWERS
VERIFIED
Terms in this set (337) QUESTIONS VERIFIED ANSWERS
1) Which class of office building is aimed at tenants Class C
requiring functional space at below-average rents for
the area? Class C office buildings
command below-average
rates for the area.
They're functional, but
not prestigious.
2) With a triple net lease, the tenant pays _______ Taxes, insurance, and
separately from the base rent. maintenance
3) When two very similar properties are for sale in the The lower priced home
same neighborhood, which one will sell first
according to the principle of substitution?
4) To protect themselves from liability, it's a good idea Stay up to date on local
for property managers to ______. landlord-tenant laws
,5) According to the International Council for Shopping Factory outlet
Centers, which commercial property comprises only
1% of the retail industry?
6) Which payment plan consists of the borrower paying a Fully amortized loan
constant amount made up of principal and interest on payment plan
a periodic basis (usually monthly)?
7) Why are many middle-income cooperatives converted To make resale easier
to condominiums?
8) What type of lease is used most often with community percentage
shopping centers?
9) Property taxes generate approximately ______ of local one third (1/3)
government revenue.
10) Brittany has a small office in a professional building. Gross lease
She has a set monthly lease payment that has been
calculated to include maintenance of the common
areas in the building, such as the restroom and small
kitchen, and all nets, utilities, and janitorial charges
for her space. The payment also includes taxes and
insurance. The landlord takes these payments and pays
the individual expenses himself. What type of lease
does Brittany have?
11) Which of the following statements best describes the The lender must seek the
judicial foreclosure and sale process? court's permission to
, foreclose on the property
used as collateral for the
loan.
12) What's compound interest? Interest that's reinvested
into an account that then
earns interest
13) The owner's covenants and an insurance provision are Property management
included in which of the following documents? agreement
14) What's the name of the tax program that requires a Foreign Investment in
withholding of a portion of the gross purchase price Real Estate Property Tax
when foreign owners of real estate in the U.S. sell that Act (FIRPTA)
property?
15) Jenner purchased his first home, to which he'll have A freehold estate
access forever, as far as he knows. Jenner owns
______.
16) What is the formal action to impose the property tax? levy
17) Which clause in a commercial lease determines how Use
the tenant may use the space?
18) The element of a deed that signifies the grantor's Act of conveyance
intention to transfer title to the grantee is the ______.
19) Lyn runs a brokerage and maintains a master file for As long as Lyn's state
all the office transactions. The file must be maintained requires
for how long?
, All files must be
maintained on state law
requirements.
20) Milo is interested in converting his rental properties Make certain the
into condominiums. He's completed his feasibility conversion will be
study and determined that the conversion costs will allowed by the local
pay for themselves at sale time and the market will government
support the conversion. What else does Milo need to
do prior to conversion?
21) Ricky Nubbins is three months behind in his rent and Eviction
has received several reminders from the landlord that
the rent is past due. As a result, the landlord has begun
working through proper channels to legally end
Ricky's lease before the contract end date. The
landlord is terminating his lease through ______.
22) If you and a sibling both inherited your father's Quitclaim deed
property when he died, what type of deed would you
need to get from your sibling in order to be the sole
owner of the property?
23) What is the name of the tenant group that, along with Merchants' association
the property manager, is responsible for regional
shopping center promotional activities?
24) Quentin is a victim of fair housing discrimination who There is no limit
UPDATED EXAM QUESTIONS AND ANSWERS
VERIFIED
Terms in this set (337) QUESTIONS VERIFIED ANSWERS
1) Which class of office building is aimed at tenants Class C
requiring functional space at below-average rents for
the area? Class C office buildings
command below-average
rates for the area.
They're functional, but
not prestigious.
2) With a triple net lease, the tenant pays _______ Taxes, insurance, and
separately from the base rent. maintenance
3) When two very similar properties are for sale in the The lower priced home
same neighborhood, which one will sell first
according to the principle of substitution?
4) To protect themselves from liability, it's a good idea Stay up to date on local
for property managers to ______. landlord-tenant laws
,5) According to the International Council for Shopping Factory outlet
Centers, which commercial property comprises only
1% of the retail industry?
6) Which payment plan consists of the borrower paying a Fully amortized loan
constant amount made up of principal and interest on payment plan
a periodic basis (usually monthly)?
7) Why are many middle-income cooperatives converted To make resale easier
to condominiums?
8) What type of lease is used most often with community percentage
shopping centers?
9) Property taxes generate approximately ______ of local one third (1/3)
government revenue.
10) Brittany has a small office in a professional building. Gross lease
She has a set monthly lease payment that has been
calculated to include maintenance of the common
areas in the building, such as the restroom and small
kitchen, and all nets, utilities, and janitorial charges
for her space. The payment also includes taxes and
insurance. The landlord takes these payments and pays
the individual expenses himself. What type of lease
does Brittany have?
11) Which of the following statements best describes the The lender must seek the
judicial foreclosure and sale process? court's permission to
, foreclose on the property
used as collateral for the
loan.
12) What's compound interest? Interest that's reinvested
into an account that then
earns interest
13) The owner's covenants and an insurance provision are Property management
included in which of the following documents? agreement
14) What's the name of the tax program that requires a Foreign Investment in
withholding of a portion of the gross purchase price Real Estate Property Tax
when foreign owners of real estate in the U.S. sell that Act (FIRPTA)
property?
15) Jenner purchased his first home, to which he'll have A freehold estate
access forever, as far as he knows. Jenner owns
______.
16) What is the formal action to impose the property tax? levy
17) Which clause in a commercial lease determines how Use
the tenant may use the space?
18) The element of a deed that signifies the grantor's Act of conveyance
intention to transfer title to the grantee is the ______.
19) Lyn runs a brokerage and maintains a master file for As long as Lyn's state
all the office transactions. The file must be maintained requires
for how long?
, All files must be
maintained on state law
requirements.
20) Milo is interested in converting his rental properties Make certain the
into condominiums. He's completed his feasibility conversion will be
study and determined that the conversion costs will allowed by the local
pay for themselves at sale time and the market will government
support the conversion. What else does Milo need to
do prior to conversion?
21) Ricky Nubbins is three months behind in his rent and Eviction
has received several reminders from the landlord that
the rent is past due. As a result, the landlord has begun
working through proper channels to legally end
Ricky's lease before the contract end date. The
landlord is terminating his lease through ______.
22) If you and a sibling both inherited your father's Quitclaim deed
property when he died, what type of deed would you
need to get from your sibling in order to be the sole
owner of the property?
23) What is the name of the tenant group that, along with Merchants' association
the property manager, is responsible for regional
shopping center promotional activities?
24) Quentin is a victim of fair housing discrimination who There is no limit
