1.

Which of the following key factors may have a negative effect on real estate values?

I. availability of similar properties.

II. availability of substitutes for the type of property.

III. restrictions on the use of the property.

IV. low interest rates.

A.

II and IV only

B.

I, II, and III only

C.

I, II, III and IV

D.

I and III only

2. Demographics refers to measurable characteristics, such as household size, age structure, occupation, gender and marital status.

True

False

3. Speculative property typically includes raw land and investment properties that are expected to provide returns primarily from appreciation in value due to location, scarcity, and so forth, rather than from periodic rental income.

True

False

4.

The best time to invest in precious metals and stones is when

A.

international conditions are unstable and inflation is rising

B.

prices and international conditions are stable.

C.

prices for basic commodities and real estate are falling.

D.

the investor needs a reliable source of income.

6. Which of the following is an important general feature related to real estate investment

A.

Property rights

B.

Physical property

C.

Time horizon

D.

All of the above

E.

Geographic area