Chapter 8 Qs

Lulu Carrizales

1. Highest and best use refers to the use of a given site resulting in the greatest productivity for the site.  True or False.
   
2. The purpose of productivity analysis is to evaluate a site's marketable capacity to satisfy the human need for space. True or False.
   
3. A permanent loan is a long-term loan issued to a property renter.  True or False.
   
4. A marketability study aims to estimate how much of the total demand in a competitive market can be captured by a particular property.  True or False.
   
5. The highest and best use of a site depends on the general contractor.  True or False.
   
6. A market analysis deals with the:
   a.  marketability study
   b.  highest and best use
   c.  estimating the existing and likely demand for a type of real estate.
   d.  analyzes what type of Realtor should sale the property.
   
7. A Bridge loan is:
   a.  Known as a "gap loan"
   b.  short term loan
   c.  designed to bridge the gap between the construction loan and the permanent loan.
   d.  None of the above.
   e.  All of the above.
   
8. Permitting refers to:
   a.  The Realtor permitting improvements to the property
   b.  The Owner permitting entrance to the property
   c.  Obtaining the necessary permits to begin/sustain a construction project.
   d.  The Renters permitting the land owners or managers to enter their premises while away.

Key
1.  T
2.  T
3.  F
4.  T
5.  F
6.  C
7.  E
8.  C