MA Real Estate Exam Study Guide Questions with Complete Solutions (Latest 2025) An estimation of a property's value, usually prepared by a professional who is licensed in this field. - Correct Answers ✅Appraisal The business of bringing people together in a real estate transaction. - Correct Answers ✅Brokerage The types of properties that include office spaces, shopping centers, stores, theaters, hotels, parking facilities, etc. - Correct Answers ✅Commerical The term for the construction of improvements upon the land.
- Correct Answers ✅Development
Insurance agents are required to obtain one of these on any property before issuing quotes for flood insurance. - Correct Answers ✅Elevation Certificate The pledging of real property and collateral for the repayment of a loan through a mortgage or deed of trust. - Correct Answers ✅Financing This agency can fine and withdraw its insurance from lenders that do not carry flood insurance on required mortgages. - Correct Answers ✅Federal Deposit Insurance Corporation 1 / 4
MA Real Estate Exam Study Guide Questions with Complete Solutions (Latest 2025) This type of homeowner's insurance policy covers "rising water" problems such as a burst water main, overloaded drains, and melting snow. It is usually an optional add-on policy that becomes effective 30 days after purchase, unless the property is in a specific area and is collateral for a federal loan, in which case it is a mandatory policy and effective immediately. - Correct Answers ✅Flood Insurance This is the basic form of a homeowner's hazard insurance policy, and the default policy when a property has been empty for any length of time. It covers fire, lightning, hail, and other perils. - Correct Answers ✅HO1 This form of a homeowner's hazard insurance policy covers more than the basic form, but not as much as the special form. It is often available for second homes. - Correct Answers ✅HO2 This special form homeowner's hazard insurance policy offers the most coverage for the most reasonable price, and is the preferred policy on primary residences. It covers both real and personal property. - Correct Answers ✅HO3 This form of a hazard insurance policy is designed for condominiums and can be customized to comply with the condo association's bylaws. - Correct Answers ✅HO6 2 / 4
MA Real Estate Exam Study Guide Questions with Complete Solutions (Latest 2025) This renter's insurance policy is similar to the homeowner's insurance policy carried on primary residences, but doesn't include coverage on real property owned by someone else. - Correct Answers ✅HO4 Additions to property that increase its value or enhance its appearance. It can include buildings, fixtures, and landscaping. - Correct Answers ✅Improvements This insurance policy is the reverse of a renter's policy and covers only the real property. - Correct Answers ✅Landlord's policy A broad term for a person or company hired to maintain and manage a property on behalf of its owners, and who are to maximize the owner's returns. - Correct Answers ✅Property Management These people provide clients with competent, independent real estate advice without representing them as an agent. - Correct Answers ✅Real Estate Counsellors Properties in this area are required by federal law to have special insurance as part of any federally-backed mortgages.
- Correct Answers ✅Special Flood Hazard Area 3 / 4
MA Real Estate Exam Study Guide Questions with Complete Solutions (Latest 2025) The process of splitting a single property into smaller parcels.
- Correct Answers ✅Subdivision
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The type of properties that include single and multi-family homes. - Correct Answers ✅Residential The types of properties that include warehouses, factories, power plants, and other manufacturing areas, even if the property has a storefront attached. - Correct Answers ✅Industrial The types of properties that include farmlands, timberlands, orchards, and ranches. - Correct Answers ✅Agricultural The types of properties that include churches, schools, cemeteries, and government-held lands. - Correct Answers ✅Special Purpose The setting where real property is bought and sold and prices are established. - Correct Answers ✅Real Estate Market A real estate market defined by property type and/or geographic location. - Correct Answers ✅Submarket