Accounting
Anthropology
Archaeology
Art History
Banking
Biology & Life Science
Business
Business Communication
Business Development
Business Ethics
Business Law
Chemistry
Communication
Computer Science
Counseling
Criminal Law
Curriculum & Instruction
Design
Earth Science
Economic
Education
Engineering
Finance
History & Theory
Humanities
Human Resource
International Business
Investments & Securities
Journalism
Law
Management
Marketing
Medicine
Medicine & Health Science
Nursing
Philosophy
Physic
Psychology
Real Estate
Science
Social Science
Sociology
Special Education
Speech
Visual Arts
Question
In more complex development projects, a developer may choose to combine the roles of the architect and general contractor into one in order to mitigate design-cost conflicts that otherwise must be negotiated when plans are revised. This arrangement is more commonly referred to as a:A. build-to-suit
B. subordination agreement
C. design-build
D. fast-track
Answer
This answer is hidden. It contains 1 characters.
Related questions
Q:
It would be hard to overstate the importance of the Federal Housing Administration (FHA) in the history of housing finance. Which of the following instruments created by the FHA is considered the single most important financial instrument in modern housing finance?
A. Level-payment, fully amortizing loan
B. Adjustable rate mortgage
C. Partially-amortizing balloon loan
D. Subprime mortgage loan
Q:
The Federal Housing Administration (FHA) insures loans made by private lenders that meet FHA's property and credit-risk standards. Which of the following statements concerning FHA insurance is true?
A. The insurance is paid by the lender and protects the lender against loss due to borrower default.
B. The insurance is paid by the borrower and protects the lender against loss due to borrower default.
C. The insurance is paid by the lender and protects the borrower against loss due to lender default.
D. The insurance is paid by the borrower and protects the borrower against loss due to lender default.
Q:
Mortgage insurance rates vary with the perceived riskiness of the loan. Which of the following scenarios would result in a higher mortgage insurance premium?
A. Lower loan-to-value ratio
B. Shorter loan term
C. Stronger credit record of the borrower
D. A "cash-out" refinancing loan
Q:
Considered the most common type of home loan, which of the following refers to any standard home loan that is not insured or guaranteed by an agency of the U.S. government?
A. Conventional home loan
B. Federal Housing Administration loan
C. Veterans Affairs loan
D. Section 203 loan
Q:
Foreclosure is considered the ultimate recourse of the lender because it allows the lender to bring about sale of the property to recover the outstanding indebtedness. All of the following statements regarding foreclosure are true EXCEPT:
A. Foreclosure is a costly process for all parties involved.
B. Only those claimants who are properly notified and engaged in the foreclosure suit can lose their claims to the property.
C. When a lender forecloses on a property, it extinguishes all superior liens, bringing about a free and clear sale of the property. .
D. The net recovery by a lender from a foreclosed loan seldom exceeds 80 percent of the outstanding loan balance and commonly is much less than this amount.
Q:
In a mortgage agreement, the borrower conveys to the lender a security interest in the mortgage property. The lender, i.e. the individual who receives the mortgage claim, is known as the:
A. broker
B. mortgagor
C. agent
D. mortgagee
Q:
Certain mortgage loans contain a due-on-sale clause, which gives the lender the right to terminate the loan at sale of the property. Which of the following types of loans is the most likely to contain a due-on-sale clause?
A. Federal Housing Administration (FHA) loan
B. Veterans Affairs (VA) loan
C. Conventional home loan
D. An assumable home loan
Q:
Because the mortgage conveys a complex claim for a long period of time, clauses are included in anticipation of possible future complications. Which of the following clauses requires a borrower to make monthly deposits into an account in order to pay obligations such as property taxes, community association fees, or causality insurance premiums?
A. Demand clause
B. Insurance clause
C. Escrow clause
D. Exculpatory clause
Q:
Added to the index of the adjustable rate is a margin, which is the lender's "markup." For standard Adjustable Rate Mortgage (ARM) loans, the average industry margin has been stable at approximately:
A. 75 basis points
B. 175 basis points
C. 275 basis points
D. 375 basis points
Q:
Suppose that you are attempting to value an income producing property using the direct capitalization approach. Using data from comparable properties, you have determined the overall capitalization rate to be 11.44%. If the projected first year net operating income (NOI) for the subject property is $44,500, what is the indicated value of the subject using direct capitalization?
A. $49,590.80
B. $50,225.73
C. $388,986.00
D. $509,080.00
Q:
Given the following information, calculate the appropriate going-in cap rate using general constant-growth formula. Overall market discount rate = 12%, Constant growth rate projection: 3% per year, Sale price: $1,950,000, Net operating income: $390,000, Potential gross income: $520,000.
A. 8%
B. 9%
C. 10%
D. 11.5%
Q:
Given the following information, calculate the effective gross income. Property: 4 office units, Contract rents per unit: $2500 per month, Vacancy and collection losses: 15%, Operating Expenses: $42,000, Capital Expenditures: 10%A. $100,000B. $102,000C. $120,000D. $135,000
Q:
When calculating the net operating income of a property, it is important to identify any expenses that will be incurred in attempts to maintain the property. All of the following would be considered operating expenses EXCEPT:
A. Property taxes
B. Property insurance premiums
C. Mortgage payments
D. Utility expenses
Q:
Net operating income is similar to which of the following measures of cash flow in corporate finance?
A. Dividend yield
B. Earnings before deductions for interest, depreciation, income taxes, and amortization (EBIDTA)
C. Price-earnings ratio
D. Discount rate
Q:
At the conclusion of the traditional sales comparison approach to valuation, the appraiser evaluates and reconciles the final adjusted sale prices into a single value for the subject property. This single value is commonly referred to as:
A. indicated value
B. investment value
C. transaction value
D. replacement value
Q:
Which of the following would be categorized as a cause of external obsolescence?
A. Lack of adequate insulation
B. Deterioration of indoor carpets
C. Increased traffic flow due to more intensive use in the local area
D. Outdated fixtures
Q:
Accrued depreciation is the difference between the current market value of a building and the total cost to reproduce it new. One reason for this difference is related to changes in tastes, preferences, technical innovations, or market standards. This is commonly referred to as:
A. physical deterioration
B. functional obsolescence
C. external obsolescence
D. tax depreciation
Q:
Favorable mortgage financing may have a significant impact on the transaction price of the particular property. If the comparable property was known to have had favorable financing terms negotiated into the transaction price, which of the following adjustments should take place? (Note: Assume that the comparable property cannot be dropped from the analysis as there are already limited comparable sales transactions)
A. The transaction price of the comparable property should be adjusted downward.
B. The transaction price of the comparable property should be adjusted upward.
C. The transaction price of the subject property should be adjusted downward.
D. The transaction price of the subject property should be adjusted upward.
Q:
If all appraisal methods are appropriate for use in valuing a particular property, there is a clear order of preference that real estate professionals adhere to. Which of the following depicts the preferred order, with the most preferable approach being listed first and the least preferable listed last?
A. Sales comparison approach, cost approach, income approach
B. Income approach, Sales comparison approach, cost approach
C. Cost approach, income approach, sales comparison approach
D. Sales comparison approach, income approach, cost approach
Q:
Suppose that an appraiser has just completed her analysis using the cost approach to valuation. She has determined that the market value of the subject property is $400,000. If the
added value of the site was $80,000 and accrued depreciation amounted to $50,000, what was the reproduction cost of the building?
A. $270,000
B. $370,000
C. $430,000
D. $530,000
Q:
Given the following information, determine the value of having an additional bedroom. Assume that the comparable properties are similar in all other attributes besides those listed in the table below. Comparable 1
Comparable 2
Comparable 3
Comparable 4 Time Sold
Today
1 Year Ago
Today
1 Year Ago Bathrooms
2
2
2
3 Bedrooms
4
5
5
5 Sale Price
$250,000
$265,000
$275,000
$270,000 A. $5,000
B. $15,000
C. $20,000
D. $25,000
Q:
In considering the main components of a construction budget, which costs would be expected to constitute the largest portion of a development project's expense?
A. Land costs
B. Hard construction costs
C. Soft construction costs
D. Marketing costs
Q:
With a site under control, the developer will begin to evaluate the feasibility of the project. The main tool that a developer will use in determining the financial feasibility of a project is:
A. Net present value (NPV) analysis
B. Cost approach to valuation
C. Repeat-sales approach
D. Direct capitalization
Q:
While the risks of construction lending may be less in a number of respects than those associated with land acquisition, banks still require a premium in their lending rate as compensation for the risks involved. For construction loans, banks typically require a premium above LIBOR that ranges from:
A. 0-50 basis points
B. 50-150 basis points
C. 150-250 basis points
D. 250-350 basis points
Q:
Assume a retail tenant is paying a base rent of $120,000 per year (or $10,000 per month). In addition, the tenant must pay 7 percent of gross store sales in excess of $143,000 per month as percentage rent. If the store produces $170,000 in gross sales in a month, what is the total rent due for the month?A. $10,000B. $10,158C. $11,890D. $21,900
Q:
Given the following information, calculate the load factor for this office property. Total usable area: 20,000 sq. ft., Tenant's prorated share of common area: 5,000 sq. ft.
A. 0.25
B. 0.80
C. 1.25
D. 4.00
Q:
Lenders may request that property owners of rental properties include a clause in their lease agreement that gives the lender the right to terminate the lease and evict the tenant, even if the tenant has fulfilled all of its responsibilities under the lease, in the case that the owner of the property defaults on her mortgage. This part of the lease agreement is more commonly referred to as a:
A. Subordination clause
B. Non-disturbance agreement
C. Relocation option
D. Expansion option
Q:
The majority of residential units in the U.S. are contained in multifamily structures, or apartment buildings that contain five or more housing units. Which of the following multifamily structures will range in height from four to nine stories and are typically found in both cities and suburbs?
A. High-rise apartment buildings
B. Midrise apartment buildings
C. Garden apartments
D. Condominiums
Q:
While a sublease and an assignment are two distinct choices for a tenant who wishes to transfer his rights during the term of a lease, both agreements:
A. transfer all of a tenant's rights to another party
B. transfer only a subset of rights to another party
C. grant another party the right to cancel the original lease before expiration
D. maintain that the original tenant be held liable for fulfilling the original lease unless otherwise specified
Q:
When the supply of space exceeds the demand, it is common for owners to provide the tenant with a period of free or perhaps reduced rent. This is commonly referred to as a(n):
A. tenant improvement allowance
B. concession
C. sublease
D. expense stop