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COLIBRI REAL ESTATE FINAL EXAM 2025
COMPLETE 200 ACTUAL EXAM QUESTIONS AND
DETAILED VERIFIED ANSWERS (100% CORRECT)
GRADED A+
Factors that affect the real estate market - Correct Answer - PEGS Physical Economic Governmental Social
influence real estate markets include location, immobility (land cannot be moved), uniqueness (land cannot be duplicated, and no two parcels are the same) and scarcity (land cannot be created). - Correct Answer - Physical Factors
influence real estate markets include business cycles, housing cycles, supply and demand, inflation, cost of money (interest rates), and the economic base of an area - Correct Answer - Economic Factors
general swings of increasing or decreasing activity and property values; they depend on business cycles. - Correct Answer - Housing Cycles
impacts buyer's markets and seller's markets. - Correct Answer - Supply and Demand 1 / 4
pg. 2 Supply and demand impacts - Correct Answer - Buyer's markets and seller's markets
increase in cost of goods or services. - Correct Answer - Inflation
the interest rate one must pay to use another's money - Correct Answer - Cost of money
the main business or industry by which a community supports and is critical to maintaining home values and is a primary factor in determining the supply of real estate. - Correct Answer - Economic Base
influence real estate markets on state and local levels include revenue generating laws (taxation and specific tax policies) - Correct Answer - Governmental Factors
influence real estate include demographics, population growth, population age, the family size, and population migration. - Correct Answer - Social Factors
What can be considered is the most important factor in determining supply in the real estate market? - Correct Answer - Economic Base of an Area
What would more MOST LIKELY to contribute to a seller's market? - Correct Answer - High Construction Costs
BigTime Manufacturers are getting ready to build a new factory in Smithton that should attract hundreds of new workers to the small town. What would you expect the immediate effect on home prices in the area to be? - Correct Answer - Home prices should rise initially. 2 / 4
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What acronym can you use to remember the broad forces that can impact the real estate market? - Correct Answer - PEGS
Which situation would NOT likely result in a seller's market? - Correct Answer - migration out of an area
Who sets the interest rates that banks charge for mortgages? - Correct Answer - individual banks and other lenders
Brian attends his real estate company's party and, after having a few too many cocktails, drives home. He is pulled over and arrested for driving under the influence. Two months later Brian is convicted and serves a year of probation and pays a fine. Brian does not notify the regulatory agency of this conviction. Which best describes this situation? - Correct Answer - Brian may be punished for not disclosing the conviction Failing to notify a regulatory agency of the conviction is a violation.
A rental property has a return rate of 8%. The monthly net rental is $600.What is the market value of the property? - Correct Answer - $90,000 Rate of return is computed by dividing the annual net income by the rate of return. In this case, multiply the monthly $600 income by 12 to get the annual income. The gross annual income, $7,200, divided by 8%, is
$90,000.
In most states, the listing broker has a fiduciary duty to the - Correct Answer - client A broker has a fiduciary duty to the client, while the broker's salespeople have a duty to the broker.
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pg. 4 Which of the following property legal descriptions is NOT used in Georgia?
- Correct Answer - Rectangular survey system
The metes and bounds system and lot, block system are the only two legal descriptions for property used in Georgia.
The Real Estate Settlement Procedures Act (RESPA) is administered by the - Correct Answer - Department of Housing and Urban Development HUD administers RESPA rules and compliance. The Division of Real Estate regulates real estate professionals. ALTA regulates title companies. NAR promulgates a code of ethics.
Which of the following statements is true concerning Georgia's Real Estate Commissioner? - Correct Answer - The Commissioner is hired by the Real Estate Commission
Joe Alpha of ABC Real Estate Corp. has been very successful in buying houses, fixing them up, and reselling them. He put an advertisement in the local newspaper seeking investors to help him purchase property and pay for renovations, promising an excellent return on investment when the properties sold. Do you think that Joe needs a securities broker-dealer license? - Correct Answer – No
While determining the net operating income of an investment property, an appraiser will not take into account - Correct Answer - interest expense Although tax deductible, the amount of interest an owner pays is not used to calculate the net operating income. Remember, anything related to debt service is an owner's expense.
After listing a property that the agent believes is overpriced, the agent returns to the office and vents his frustration to a fellow licensee at the brokerage. Which duty has the agent breached? - Correct Answer - loyalty
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