IAAO 102 Exam Latest Version Questions and Correct Answers Guaranteed Success
- Analysis Questions for Investors - - Correct Answer1. How much it cost?
- How much will I get back?
- When will I get it back?
- What are the risk?
- What are some comps ROI compared to my interested property?
Amortized Mortgage - Correct AnswerFixed rate mortgage permanent loan in which the sum of the principal and interest payments remains fixed throughout the term of the loan.
Anticipation - Correct AnswerValue is created by the expectation of benefits to be derived in the future
Chattel Mortgage - Correct Answera mortgage only on personal property.
Contribution - Correct Answerthe value of a component of real estate can be measured by the amount it contributes to net operating income because net operating income can be capitalized into value.
Effective Gross Income (EGI) - Correct Answerobtained after determining the potential income for the property
Effective Tax Rate (ETR) - Correct AnswerReflect the relationship between the real estate taxes and the value of the property.
Five Methods of Developing an overall capitalization rate - - Correct Answer1.Derivation from comparable **** This is the one on the test
- Band of Investment Technique (Mortgage & Equity Components)
- Net Income Ratio
- Debt coverage ratio
- Band of Investment Technique (LAND AND IMPROVEMENT COMPONENTS)
Four factors to capture overall yield rate (Yô) - - Correct Answer1. Safe rate
- Risk Rate
- Rate for non-liquidity
- Rate for Management
Gross Income Multiplier - Correct Answerrelationship between Effective gross income (EGI) and the sales prices or property value
Gross Leasable Area (GLA) - Correct Answerincludes the entire area of the building
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