#2789 When a residential appraiser starts looking for comparables and a sales comparison approach is used he's interested in homes that have been occupied for at least two out of the last three years. Is this fact true or false ? Please remember to take your time. The solution is posted below the wildlife photo. A. False When a residential appraisal is undertaken and the appraiser wants to use comparables the appraiser wants to include homes that were sold within six months of the appraisal. When a sales comparison approach is used it considers the sales prices of homes sold within the last six months. 06/23/2014

  #2788 A contract to build a new home is signed with a builder to build a luxury home costing 675 thousand dollars in a neighborhood of homes valued 150 thousand dollars and less. The new new will lose value. This loss of value is known as aversion. Is this true or false ? Take your time. The soution is posted below the wildlife photo. A. False The loss of value is known as regression. Regression is defined as a that which reduces the value of a property because of the impact of the lower value properties adjacent to the more valuable property. Aversion is an intense feeling of dislike or the act of turning away from something. 06/23/2014

#2787 When we speak of an appraiser collecting data which is accumulated in a general manner the appraiser has conducted an analysis of the building as well as analyzed the site. Is this true or false ? Take your time. the solution is posted below the wildlife photo. A. False If the appraiser is collecting general data this is data that is collected outside of the subject property and the outside data accumulated is studied to consider the impact on the value of the subject property. The analysis of the building and it's site involve specific data and is not generalized. 06/23/2014

#2786 An owner of a multi-family property thinks that a hot tub area with a shower would be a nice addition to the work-out area on the property. He's asked an appraiser if the addition of the new hot tub and shower area would create value for the property.  The appraiser is concerned with the principle of regression. Is this true or false. Take your time. The solution is posted below the wildlife photo. A. False The appraiser is concerned with the principle of contribution which determines whether or not the addition of the hot tub area would add enough to the value of the property to justify the improvement. 06/23/2014

   #2785 When a developer declares that he or she plans to build a mixed-use development, which includes a beautiful shopping mall, and this development will occur adjacent to your lot which is zoned commercial, property values start to increase because of the developers project. When the property values increase because of the developers declaration this is a reflection of the highest and best use of the property. Is this true or false ? Please take your time. The soultion is posted below the wildlife photo. A. False If property values increase because of the developers declaration the principle of anticipation has occurred. Anticipation is an increase in value which may be created based on what is expected to be future benefits to property adjacent to the new development. 06/23/2014

#2784 When an appraiser is using an income approach to value mortgage payments are generally figured in as part of the property's operating expenses. Is this fact true or false ? Please take your time. The solution is posted below the wildlife photo. A. False Mortgage payments are not considered to be operating expenses by the appraiser when using the income approach to value. Mortgage payments are the property's existing debt service. 06/23/2014

#2783 When an appraiser considers the early phases of a property's life cycle they're referring to the phase which is commonly referred to as the phase of appreciation. Is this fact true or false ? Please take your time. The solution is posted below the wildlife photo. A. False The phase they're referring to which is the early part of the property's life cycle is referred to as the phase of integration. Integration is the developmental period of the property, the earliest phase. 06/23/2014

#2782 When we speak of the highest and best use of a property we're generally speaking of the best way that a property could benefit the community and satisfy the needs of the neighborhood. is this fact true or false. Please remember to take your time. The solution is posted below the wildlife photo. A. False A property's highest and best use is use that produces the greatest net return. Other considerations include restrictions of use, regulation of zoning in effect and how they combinatively affect the highest and best use. 06/23/2014

#2781 The Uniform Standards of Professional Appraisal Practice endorse the use of letter reports when communicating with a client. Is this fact true or false ? Remember to take your time. The solution is posted below the wildlife photo. A. False Letter reports are not acceptable to the USPAP. Letter reports do not meet the requirements for the acceptable report formats conforming to USPAP standards which include form reports and narrative reports. 06/23/2014

    #2780 Appraisals are performed so that the seller and the broker can determine a fair sales price for the property. Is this true or false ? Take your time. the solution is posted below the wildlife photo. A. False Appraisals are usually performed in order to determine the market value of the property. The market value is the most probable price that a property should bring in the open market faced with normal avenues of competition. 06/22/2014

  #2779 When a comparative market analysis is prepared it uses an approach much like the method used in the income approach to appraisal. Is this fact true or false ? Take your time. The solution is posted below the wildlife photo. A. False A comparative market analysis or cma most closely follows the sales comparison approach in an appraisal. 06/22/2014

  #2778 An appraisal is generally considerd to be based on value according to a specific calendar and time element imposed on the various factors involved in estimating value. Is this true or false ? Please take your time. The solution is posted below the wildlife photo. A. True An appraisal is an opinion of value and coincides with market conditions and other conditions of value as of a specific date associated with the appraisal. 06/22/2014

  #2777 A house had been appraised for the loan at $516,000 and the sales price is $510,000. The loan-to-value ratio is 85%. What is the eligible amount of the loan based on this loan-to-value ratio ? How much additional money will the buyer have to bring to the closing table based on the loan-to-value amount ? Take your time. The solution is posted below the wildlife photo.   A. $438,600 at 85% LTV     $71,400 additional needed to close $516,000 appraised valuex0.85 LTV=$438,600 loan amount based on 85% LTV $510,000 Sales priceminus$438,600 LTV amount of loan=$71,400 additional needed at closing 06/22/2014

   #2776 If a lender wants to produce a better yield on a loan the lender may  increase the loan amount by 3% which will be paid at the closing table as a charge known as an origination fee. Is this fact true or false ? Please take your time. The solution is posted below the wildlife photo. A. False When the lender wants to produce a better yield on the loan the lender may charge discount points which are a percentage of the loan amount. The yield is the profit return on the loan. 06/22/2014

#2775 When we talk about an adjustable rate mortgaqge we're talking about a loan that is adjusted in a way to increase and decrease the amount but the payment always remains the same. Is this fact true or false ? Take your time. The solution is posted below the wildlife photo. A. False The payment amount and the interest rate on an adjustable rate mortgage are adjusted at intervals in the loan cycle. The adjustable rate mortgage is based on an index and the payment may increase or decrease depending on the index. The index is a published statistical revue that analyzes the costs of borrowing money. It's the foundation for the adjustable rate mortgage. COFI is an example. 06/22/2014

  #2774 When a conventional loan is sought by the borrower, private mortgage insurance to protect the loan is usually not required if the loan-to-value ration of the laon is over 95%. Is this fact true or false ? Please remember to take your time. The solution is posted below the royalty free wildlife photo. A. False If the loan-to-value ration of a loan is more than 80% private mortgage insurance will be required. 06/22/2014

#2773 The FHA buys and sells loan in the secondary mortgage market as well as makes loans to borrowers in the primary mortgage market. Is this fact true or false ? Remember to take your time. The solution is posted below he wildlife photo. A.False The only thing the FHA does is insure a loan made by the lender and doesn't actually make any loans. The FHA doesn't deal in loans in the secondary mortgage market either. 06/22/2014

#2772 It is well known that if a borrower's credit is excellent a downpayment is not required for an FHA loan. Is this fact true or false ? Pleaser take your time. The solution is posted below the wildlife photo. A. False A downpayment is always required for an FHA loan. 06/22/2014

#2771 A VA loan is a loan that may never be assumed by anyone other than an eligible veteran. Is this true or false ? Please take your time. The solution is posted below the wildlife photo. A. False It's possible for anyone to assume a VA loan and the person assuming the loan doesn't have to be a veteran. The buyer has to pass a credit check before they're allowed to assume the loan, however. 06/22/2014

#2770 Once the trustee's sale has been held and all of the expenses related to the foreclosure have been paid and all of the liens have been satisfied, if there is any money left over it belongs to the court. Is this fact true or false ? Please take your time. The solution posted below the wildlife photo. A. False If anything is left over after everybody's been paid off, what remains belongs to the borrower or the owner that was foreclosed. 06/19/2014