If interest rates decrease from 7% to 5%, a property owner should ____________.

a. refinance their loan.

b. wait for interest rates to drop further.

c. refinance if the expected savings exceed the cost of refinancing.

d. refinance if they intend to keep the home for more than another year.

A Net Present Value equal to zero informs an investor of each of the following except _____________.

a. They should purchase the property.

b. The IRR exceeds their minimal required rate of return.

c. The IRR is expected to be exactly the investors minimum required rate of return.

d. The investment meets the investors investment requirements.

Properties are appraised for the following reasons except for

a. property tax appeals

b. estate tax purposes

c. insurance purposes

d. determining your loan payoff

Redevelopment of real estate should consider?

a. current market trends

b. current and intended use of the property

c. impact on neighboring properties

d. all of the above should be considered