Q&A Hero

Q: In Hein v. Freedom From Religion Foundation, the Supreme Court had to decide whether the Freedom From Religion Foundation had standing to challenge an executive order creating a White House office and centers to ensure that faith based community groups are eligible to compete for federal financial support. The Court decided that: A.The plaintiff's lacked standing to sue because the executive branch cannot be sued. B.The plaintiff's lacked standing to sue because merely being tax payers does not give rise to standing to sue over federal expenditures. C.The plaintiffs had standing to sue because these expenditures violated the 1st Amendment separation of church and state. D.The plaintiffs had standing to sue because citizen tax payers have a right to challenge how their tax money is being spent by the federal government.

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: After the complaint is filed, the first thing the defendant must file is the: A.Writ. B.Notice of appeal. C.Request for discovery. D.Answer.

Q: Given the following information, determine the value of having an additional bathroom. 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 Today Bathrooms 1 1 2 2 Size 3500 sq. ft 3000 sq. ft. 3500 sq. ft 3000 sq. ft. Sale Price $150,000 140,000 $160,000 $156,000 A. $4,000 B. $6,000 C. $10,000 D. $16,000

Q: A comparable property sold 15 months ago for $105,000. If the appropriate adjustment for market conditions is 0.25% per month (without compounding), what would be the adjusted price of the comparable property? A. $105,262.50 B. $105,393.80 C. $108,937.50 D. $144,375

Q: Amanda has been a victim of identity theft because of a credit reporting agency leak of her information. A.Amanda may successfully sue the credit reporting agency because she has been injured. B.Amanda may successfully sue the credit reporting agency if she can prove that they were negligent in preventing the leak. C.Both a and b are correct. D.Amanda most likely does not have standing to sue the credit reporting agency.

Q: In using transaction data to determine the current value of the subject property, it is important to recognize that general market conditions may have changed since a particular transaction occurred. Property A sold 18 months ago for $235,000 and Property B sold 12 months ago for $215,000. If the two properties are priced today at $239,500 and $222,300, respectively, what is the average monthly rate of increase that can be used to adjust comparable prices for changes in market conditions? A. 0.09% B. 0.17% C. 0.19% D. 0.32%

Q: The criminal burden of proof is: A.Beyond all doubt. B.Beyond a shadow of a doubt. C.Beyond a reasonable doubt. D.Beyond a preponderance of the evidence.

Q: Courts are not yet in agreement on the legality of using peremptory challenges solely on the basis of: A.Race. B.Gender. C.Religion. D.None of the above. Courts agree that none of the above may be used to exclude a juror.

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: Which of the following statements is false concerning peremptory challenges? A.The number of them varies from state to state B.The number may vary between the parties C.One can be used to strike an Asian juror because he is a man. D.No reason needs to be given to use one.

Q: If bias is admitted, a juror is struck from the jury with a: A.Peremptory challenge. B.Challenge for cause. C.Challenge for diversity. D.Preemption challenge.

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: The following occur in a jury trial from first to last: A.Opening statements; voir dire; judgment; verdict. B.Pleadings; voir dire; discovery; judgment. C.Voir dire; discovery; closing arguments; judgment. D.Discovery; voir dire; verdict; judgment.

Q: The cost approach to valuation assumes the market value of a new building is similar to the cost of constructing it today. Which of the following terms refers to the expenditure required to construct a building of equal utility using modern construction techniques, materials, and design that eliminates outdated aspects of the structure? A. Reproduction cost B. Replacement cost C. Fixed cost D. Variable cost

Q: A frivolous lawsuit may be dismissed by all of the following except: A.A motion by the plaintiff. B.The jury. C.A motion by the defendant. D.The judge.

Q: The sequence of adjustments to the transaction price of a comparable property would make no difference if all adjustments were dollar adjustments. However, if percentage adjustments are involved then the sequence does matter. In making adjustments to a comparable property to arrive at a final adjusted sales price, the proper sequence for the following adjustments would be: A. Financing terms, market conditions, location. B. Location, market conditions, financing terms. C. Market conditions, location, financing terms. D. Location, financing terms, market conditions.

Q: Alan has committed a felony in Delaware and gone to Minnesota where he now lives permanently. He has a respectable job and is a respected citizen there. When the Delaware police locate Alan: A.They may go to Minnesota to arrest Alan and bring him back because of the felony committed in Delaware. B.Alan may be arrested and tried in Minnesota for the Delaware felony. C.As long as Alan commits no crimes in Minnesota, he cannot be arrested or detained for something that happened in another state. D.Delaware must seek extradition of Alan to have him returned to Delaware.

Q: Adjustments for physical characteristics are intended to capture the dimensions in which a comparable property differs physically from the subject property. If the only physical difference between the subject property and the comparable is that the comparable does not have a fireplace, which of the following adjustments should take place? 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: A series of written questions to the opposing parties concerning the lawsuit is called: A.A deposition. B.A request for production. C.A request for an admission. D.An interrogatory.

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: In the pleadings phase, which of the following is false? A.The defendant's response cannot contain affirmative defenses. B.The complaint starts the lawsuit. C.The defendant's response is called an "answer". D.The clerk of the court issues the summons to be served on the defendant.

Q: When employing the sales comparison approach, appraisers must consider numerous adjustments to convert each comparable sale transaction into an approximation of the subject property. Adjustments are divided into two groups: transactional adjustments and property adjustments. All of the following are transactional adjustments EXCEPT: A. Financing terms B. Market conditions C. Conditions of Sale D. Location

Q: To establish standing to sue: A.Plaintiff must allege a personal stake in the outcome of the controversy. B.Plaintiff must evidence that the court has subject matter jurisdiction over the matter before the court. C.Plaintiff must show that personal jurisdiction has been obtained over the defendant. D.All of the above must be shown.

Q: While there is no specific number of comparables that is required for every appraisal assignment, how many comparable sales are considered adequate as long as the properties are very similar to the subject property? A. One B. Three C. Five D. Ten

Q: Which of the following statements is not true concerning a criminal matter: A.Jurisdiction is obtained by arrest. B.A crime must have been committed in the state of prosecution. C.A defendant may not waive jurisdiction D.Extradition involves the requesting and transporting of a prisoner from one state to another.

Q: Real estate appraisal is often considered "more art than science," since identifying truly comparable properties is a subjective process. Therefore, it is essential that a comparable property transaction at least meets the requirement that it was fairly negotiated under typical market conditions. Which of the following types of transactions would be most appropriate for use in the sales comparison approach to valuation? A. Commingled business transactions B. Low-interest financing programs C. Real estate auctions D. Arm's-length transactions

Q: To have standing to sue, the plaintiff must prove: I. A case or controversy. II. A personal stake in the resolution. III. At least $100,000 in damages. A.I, II and III. B.I and III. C.I and II. D.II and III.

Q: Most appraisers would say that report writing is one of the most important functions that they perform. Assume that an appraiser is putting together a report for a single family home. Which of the following reporting options would be the most commonly used in this scenario? A. Self-contained appraisal report B. Summary appraisal report C. Restricted appraisal report D. Oral appraisal report

Q: Typically, the winner at the trial court level is called the ________ on appeal. A.Appellee. B.Appellant. C.Counterplaintiff. D.Third Party.

Q: Several techniques can be used to obtain an indication of land value. The cost approach to valuation would most likely be used for which of the following properties? A. One-family residential property B. Retail office space C. Education facility D. High-rise apartments

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: Which of the following is a feature of appellate review: A.Calling witnesses. B.Oral argument. C.Introduction of new evidence. D.All of the above are part of typical appellate review procedures.

Q: The plaintiff in a civil case must prove his case beyond a reasonable doubt.

Q: It may be appropriate for a real estate professional to utilize different approaches for estimating the market value of a property depending upon the particular property type and use. Which of the following approaches would be most applicable when considering the valuation of retail office space (i.e., which approach would receive the most weight in the valuation process)? A. Income approach B. Sales comparison approach C. Cost approach D. Investment approach

Q: The verdict is the final decision of the case entered by the judge.

Q: While there are several conventional approaches used to estimate the market value of real estate, which of the following is typically considered the most reliable approach? A. Income approach B. Sales comparison approach C. Cost approach D. Investment approach

Q: As part of the data analysis step in the appraisal process, it is necessary to consider the highest and best use of the property in question. In regards to determining highest and best use, all of the following statements are true EXCEPT: A. The proposed property use must be legally permissible B. It must be physically possible for the property to be used in the manner specified. C. No financial limits are considered when determining the property's best use. D. The property use must provide the greatest benefit to the owner.

Q: Peremptory challenges may not be used to shape the gender makeup of a jury.

Q: Counterclaims are filed by the plaintiff after the answer is filed.

Q: Real estate professionals have long supported strict standards of ethics and practice. Followed by all states and federal regulatory agencies, which of the following imposes ethical obligations and minimum standards that must be followed by all real estate professionals providing formal estimates of market value? A. Uniform Standards of Professional Appraisal Practice (USPAP) B. Multiple Listing Services (MLS) C. Department of Housing and Urban Development (HUD) D. Office of Federal Housing Enterprise Oversight (OFHEO)

Q: While it is often sufficient to rely on informal methods of estimating the market value of real estate assets, the complexity and large dollar value of many real estate decisions dictate that formal estimates based on methodical collection and analysis of relevant market data should be utilized. The unbiased written estimate of the market value of a property is commonly referred to as a(n): A. arm's length transaction B. appraisal C. property adjustment D. reconciliation

Q: One of the potential jurors is the defendant's brother. The best way for the plaintiff to get the brother off of the jury panel is by using a peremptory challenge.

Q: In real estate markets, a transaction occurs only when the investment value of the buyer exceeds the investment value of the seller. The buyer's investment value is the ________ that he or she would be willing to pay for a particular property, while the seller's investment value is the _______ that he or she would be willing to accept. A. minimum; minimum B. minimum; maximum C. maximum; minimum D. maximum; maximum

Q: If a lawsuit is filed that is totally lacking in merit, the attorney filing the lawsuit can be fined according to Federal Rule 11.

Q: A judgment not withstanding the verdict is generally a pretrial motion.

Q: Real estate appraisers generally distinguish among the concepts of market value, investment value, and transaction value. Which of the following statements best describes the concept of market value? A. It is an estimate of the most probable selling price of a property in a competitive market. B. It is the value a particular investor places on a property. C. It is the price we observe when a property is sold. D. It is the maximum amount that a seller would be willing to accept.

Q: Discovery procedures are intended to be used freely by the parties to litigation without the court's direct supervision.

Q: Estimating the market value of real estate is complicated by the unique characteristics of real estate markets. In contrast to stock markets, real estate markets are characterized by all of the following EXCEPT: A. No two assets are considered perfect substitutes for one another. B. Market prices are revealed almost instantaneously to prospective buyers. C. Transactions occur infrequently. D. The physical location of the asset being sold plays an important role in the pricing process.

Q: Suppose a developer is interested in building a new apartment community. Through her market research, the developer has determined that the target market segment potential in year 1 consists of 100 households. The developer believes that the target market segment potential will grow by 5% annually over the next five years. If the developer projects a capture rate of 25% for each of the next five years, but is only to sell 26 apartment units in each of the next five years, in which year will her actual sales first fail to meet her projected sales numbers?A. Year 2B. Year 3C. Year 4D. Year 5

Q: A statute of limitations determines the maximum amount of money that a plaintiff may sue for.

Q: One method of discovery, called depositions, involves written questions for the opposing parties to answer.

Q: A developer of a new townhome community has gathered the following market information for University City. The developer estimates that there will be 1,200 home (all types) sales in University City over the next year. An analysis of demographic information has revealed that the core market share for the townhome project within the community is 10%. Assuming a capture rate of 20%, what is the developer's first year projection of townhome sales in the new community? A. 24 units B. 120 units C. 240 units D. 600 units

Q: The federal courts are unanimous in holding that a challenge to a juror's qualifications based on religion should not be banned.

Q: A developer of a new planned unit development (PUD) has gathered the following market information for University City. The developer estimates that there will be 1,500 home (all types) sales in University City over the next year. If an analysis of demographic information has revealed that the core market share for the PUD project within the community is 14.0%, what is the total market segment potential for this project? A. 42 units B. 105 units C. 210 units D. 1290 units

Q: Personal jurisdiction over the defendant is automatically obtained when the plaintiff files the complaint.

Q: Suppose that you have begun to gather some demographic data in order to project the potential sales of a new development project. The developer hopes to be able to target the following household types who fall in the upper 10% of income brackets: Empty Nesters, Single Parents, and Unrelated Individuals. Utilizing the following population information, determine the core market share that the development project yearns to target with this project. Total Owner Occupant Households: 48,000; Traditional Families in the Upper 10% of Income Brackets: 25,000; Empty Nesters in the Upper 10% of Income Brackets: 5,000; Single Parents in the Upper 10% of Income Brackets: 10,000; Unrelated Individuals in the Upper 10% of Income Brackets: 8,000 A. 4.17% B. 47.92% C. 52.08% D. 92.00%

Q: In Elk Grove Unified School Dist. v. Newdow, the court determined that a father, regardless of custody or relationship with his child, automatically has standing to sue in a suit protecting or shielding his child.

Q: Suppose a developer is interested in building a new residential subdivision. Through his market research, the developer has determined that the target market segment potential in year 1 consists of 160 households. If the developer projects that he will be able to sell 24 homes in the first year, what is his assumed capture rate? A. 6.67% B. 15% C. 24% D. 85%

Q: Challenges for cause are also called peremptory challenges.

Q: Suppose a developer is interested in building a new townhome community. Through his market research, the developer has determined that the target market makes up 10% (core market share) of the households that currently reside in the metropolitan area. If an analysis of data from the MLS indicates that there should be approximately 500 residential sales in this area over the next year, what is the projected number of units the developer could expect to sell in year 1 if he is able to capture 50% of the market potential? A. 500 units B. 250 units C. 50 units D. 25 units

Q: Evidence in the form of a sworn statement is called an affidavit.

Q: At the federal level, the Supreme Court encourages class action suite because it consolidates cases and reduces the total case load burden on the courts.

Q: Suppose that you were interested in building a luxury apartment complex in your hometown. In your analysis of local demographics, you discover that the target market makes up only 5% (core market share) of the households that currently rent (or would be interested in renting) in this town. If market experts believe that a total of 5,000 apartment units will be rented in your entire hometown within the next year, what is the projected number of units the developer could expect to lease in year 1 if he is able to capture 20% of the market potential? A. 1000 units B. 500 units C. 250 units D. 50 units

Q: The only way to obtain personal jurisdiction over a defendant is to have them served with a summons.

Q: While predicting real estate cycles is difficult, a key indicator used to evaluate where a property is within the cycle is: A. the level of household income B. the form of land use C. the size of the property D. the number of building permits issued

Q: The party appealing is usually referred to as the appellee.

Q: Survey research has been applied to real estate markets at many levels. Despite its frequent application, analysts must be cautious with survey use because: A. it is difficult to implement B. interviews and questionnaires are not received well by consumers C. it cannot be used in a small sample area D. it can be fraught with abortive errors

Q: A tool used by real estate analysts to relate a consumer's activities, interests, opinions, and values to a consumer's demographics is referred to as: A. geographical information systems (GIS) B. psychographics C. survey research D. census mapping

Q: If a defendant alleges that there cannot be a complete determination of a controversy without the presence of other parties, he may bring in the new parties who are called third-party defendants.

Q: The person against whom a criminal charge is filed by the prosecution is called the defendant, whereas the person sued in a civil case is called the respondent.

Q: Computer software systems that enable one to manipulate and "map" information with great flexibility and speed are referred to as: A. geographical information systems (GIS) B. psychographics C. survey research D. census mapping

Q: The Chief Justice of the Supreme Court during its activist period in the 1950's and 1960's was: A.Warren Burger. B.Earl Warren. C.James Earl Ray. D.Warren Buffett.

Q: Development of subdivisions, apartments, offices, or other commercial structures can have a lead time of two years or more. In general, the longer the construction lead time: A. the lower the construction cost B. the greater the supply of units C. the lower the market value D. the greater the amplitude of real estate cycles

Q: Judicial restraint is sometimes referred to as: I. Strict constructionism. II. Judicial abstention. III. Judicial liberalism. A.I, II, and III. B.II and III. C.I and II. D.I and III.

Q: The presence of real estate cycles presents a major challenge when forecasting real estate market parameters. If the market value of a residential developer's project exceeds its construction costs, an increase in the supply of units will occur. As the market becomes oversupplied, we would expect which of the following to occur? A. an increase in occupancy levels B. an increase in market values C. a decrease in real rental rates D. a decrease in construction costs

Q: The most common definition of a city used for government data collection and reporting, identified as a single labor market area centered around a city with a population of at least 50,000 people, is referred to as a: A. township B. central business district C. metropolitan statistical area D. county

Q: _______ believes that judicial review should be utilized when the needs of society justify its use. A.Judicial restraint. B.Judicial activism. C.Judicial realism. D.Judicial liberalism.

Q: How many Supreme Court justices does it take to vote for a writ of certiorari for it to be granted? A.Five. B.Four. C.One. D.Nine.