Question

The most common source of equity in commercial real estate is from A. REITS B. Pension...

  1. The most common source of equity in commercial real estate is from

    A.

    REITS

    B.

    Pension Funds

    C.

    High Net Worth Individuals

    D.

    Sovereign Wealth Funds

  2. Contingencies in real estate contracts allow for buyers/borrowers to

    A.

    Perform due diligence without the risk of losing their deposit as long as they don't let the contingency period expire

    B.

    Negotiate the best terms

    C.

    Default on the contract

    D.

    Perform market research to help increase the appraised value

  3. Loan Servicing usually pays

    A.

    .15 to .25 percent of the loan balance annually

    B.

    .25 to .44 percent of the loan balance annually

    C.

    .45 to .85 percent of the loan balance annually

    D.

    1 to 3 percent of the loan balance annually

  4. Real Estate Agents

    A.

    Provide a buffer between buyers and sellers, Market Research and Transparency in Real Estate

    B.

    Are paid up front by buyers before the property is purchased

    C.

    Usually represent both the buyer and the seller at the same time

    D.

    Are usually paid a salary so they don't lead clients to buy the wrong piece of real estate

Homework Answers

Answer #1

The common source of equity in real estate is equity investors so REITS is the best source

REITS means Real Estate Investment Fund. REITS generally own or manage income producing commercial real estate. Hence option 'A is correct.

2)contingencies in real estate contracts allow for buyers toperform due diligence without the risk of losing their deposit.cobtingnecy is a provision in a real estate contract that makes the contract null and void.Hence option A is correct

3). Servicing fees generally range from .25,% to .44% hence optionc is correct

4). Real estate agents are can acts as a dual agent. They acts as representative of both buyer and seller at time

Hence option A is correct

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