CALIFORNIA REAL ESTATE SALESPERSON

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CALIFORNIA REAL ESTATE SALESPERSON

FINAL EXAM AND PRACTICE EXAM NEWEST

2024-2025 ACTUAL EXAM COMPLETE 300

QUESTIONS AND CORRECT DETAILED

ANSWERS (VERIFIED ANSWERS) |ALREADY

GRADED A+

CALIFORNIA REAL ESTATE SALESPERSON FINAL EXAM

When a residential neighborhood is composed mostly of owner

occupied residential properties it tends to:

• attract commercial shopping centers to the neighborhood
• stabilize values
• deteriorate faster than areas with many rental properties
• lower property values - CORRECT ANSWER -B) stabilize

values

When an appraiser is trying to determine the amount of economic obsolescence suffered by commercial property, which of the following questions should he attempt to answer?

• Can this building be operated efficiently?
• Are the tenants in the neighborhood prospering? 1 / 4

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• Is the rental schedule of the building fair to the tenants?
• Should a fire sprinkler system be installed? - CORRECT

ANSWER-B) Are the tenants in the neighborhood prospering?

Which of the following would be an example of functional obsolescence?

• New zoning laws
• Incompatible land use in the neighborhood
• A deteriorated driveway
• A one-car garage - CORRECT ANSWER -D) A one-car

garage

The primary purpose of a site analysis by an appraiser is to

determine the:

• applicable zoning laws
• highest and best use
• soil condition
• available amenities - CORRECT ANSWER -B) highest and

best use

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In real estate appraisal, "market value" is primarily based upon which of the following?

• The asking price on the listing
• The reproduction cost of the property
• Whatever a buyer is willing to pay
• The willing buyer and willing seller concept - CORRECT

ANSWER-D) The willing buyer and willing seller concept

Which of the following expenses is not deducted from gross income to determine annual net income when using the capitalization approach to appraise an income producing property?

• Electricity
• Cost of capital
• Cost of management
• Replacement reserves - CORRECT ANSWER -B) Cost of

capital

For appraisal purposes, "capitalization" is a process used to:

• establish current market value 3 / 4

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• determine annual net income
• find interest rate
• convert income into value - CORRECT ANSWER -D)

convert income into value

Two buildings are leased on a long-term basis, one for a post office and the other for a hardware store. Using the capitalization approach to appraise the properties, the post office

would demand:

• a lower capitalization rate
• the same capitalization rate as the hardware store
• a higher capitalization rate
• the two capitalization rates could not be compared because

the properties involve different uses - CORRECT ANSWER -A) a lower capitalization rate

Which of the following is true with regard to the Alquist-Priolo Earthquake Special Studies Act?

• Most agents and sellers have a professional company prepare

these disclosures

• It applies to all counties in California
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