1. What economic characteristic of land means that investments in land are long term?

a. Situs b. Modification c. Fixity d. Scarcity

2. What economic characteristic of land means that changes in land can affect its value?
a. Situs b. Fixity c. Modification d. Scarcity

3. Which economic characteristic reflects that buyers prefer some locations over others?
a. Situs b. Fixity c. Scarcity d. Immobility

4. Which characteristic explains that the supply of land is limited and cannot be increased?
a. Immobility b. Situs c. Scarcity d. Modification

5. What term refers to dividing real estate markets into smaller, specific submarkets?
a. Market segmentation b. Demographics c. Subdivision d. Planning

6. Which term describes the characteristics of a population, such as age and income?
a. Demographics b. Geography c. Subdivision d. Planning

7. What are laws developed through court decisions based on customs and usage called?
a. The allodial system b. Common law c. Statute law d. Emblements

8. What does the economic characteristic of scarcity refer to?

a. No two parcels of land are exactly alike
b. There may not be enough land in certain areas to satisfy demand
c. People prefer certain areas
d. The real estate industry has run out of land

9. What does the economic characteristic of situs refer to?

a. No two parcels of land are exactly alike
b. There may not be enough land in certain areas to satisfy demand
c. People prefer certain areas
d. Land cannot be destroyed

10. A warehouse is an example of what type of real estate?

a. Residential b. Special purpose c. Industrial d. Commercial

11. Which of the following is NOT a correct supply-demand relationship?

a. When demand decreases, prices increase
b. When supply increases, prices decrease
c. When demand decreases, prices decrease
d. When supply decreases, prices increase

12. What economic characteristic explains how land changes affect value positively or negatively?
a. Fixity b. Scarcity c. Non-homogeneity d. Modification
13. Which physical characteristic makes land easy to tax and subject to surrounding influence?
a. Indestructibility b. Nonhomogeneity c. Immobility d. Situs

14. Under which circumstances might a non-conforming use be brought into zoning compliance?
a. Following reasonable phase-out time
b. The structure is destroyed
c. The non-conforming use is abandoned
d. Title to the property is transferred

15. Which term means the property is wanted by someone with the means to buy it?
a. Demand b. Scarcity c. Utility d. Transferability

16. Which term refers to the relationship between how much of something exists and how many people
want it?
a. Scarcity b. Demand c. Utility d. Transferability

17. Which element of value refers to the ability to satisfy a need?

a. Scarcity b. Demand c. Utility d. Transferability

18. Which element of value refers to the ability to transfer ownership?

a. Transferability b. Demand c. Utility d. Scarcity

19. A property’s value is reduced due to not having a garage. This is an example of:
a. Contribution b. Plottage c. Change d. Progression

20. Adding a fourth bedroom increases value significantly, but a fifth bedroom adds little. This reflects:
a. Increasing return b. Diminishing return c. Contribution d. Both a and b

21. A buyer anticipates that rent control will soon be enforced. This reflects the principle of:
a. Plottage b. Anticipation c. Change d. Regression

22. A property would be most valuable if used as a strip mall, according to a buyer. This demonstrates:
a. Highest and Best Use b. Substitution c. Change d. Plottage

23. A developer combines four adjacent lots to build an office tower. This shows:
a. Plottage b. Contribution c. Regression d. Conformity

30. A property's value passes through a renewal phase.

a. Contribution b. Change c. Substitution d. Anticipation

31. A property owner's house is worth approximately the same as other similar houses on the block.
a. Substitution b. Conformity c. Progression d. Change

32. A homeowner's property value suffers because it is next to a house that has become rundown.
a. Contribution b. Regression c. Substitution d. Highest and Best Use
33. A homeowner's property value benefits because it is next to a house that recently has been renovated.
a. Substitution b. Progression c. Conformity d. Regression

34. The value of property is maximized if it is used in the same way as neighboring properties.
a. Substitution b. Conformity c. Contribution d. Change

35. The value of real estate does not remain constant.

a. Change b. Substitution c. Plottage d. Progression

36. Effect on the value of property based on some future event.

a. Change b. Contribution c. Anticipation d. Conformity

37. Effect of an improvement on a property's value.

a. Contribution b. Change c. Substitution d. Regression

38. Property values change as these two forces adjust themselves in the real estate market.
a. Supply and demand b. Regression and progression c. Conformity and substitution d.
Anticipation and change

39. Process of merging lots.

a. Plottage b. Consolidation c. Assemblage d. Combination

40. The value of a better property will decrease if it is near a poorer quality property.
a. Progression b. Regression c. Substitution d. Change

41. Combining lots to increase the value of the new larger lot over the sum of the smaller ones.
a. Assemblage b. Substitution c. Plottage d. Contribution

42. The value of a poorer property will increase if it is near a better quality property.
a. Change b. Regression c. Progression d. Conformity

43. The one legal use that provides a property its greatest value.
a. Highest and Best Use b. Anticipation c. Substitution d. Contribution

44. The maximum value of a property is equal to the cost of purchasing an equally desirable property.
a. Anticipation b. Change c. Substitution d. Plottage

45. What term is used to describe a study of the cost-benefit relationship of an economic endeavor?
a. Investment analysis b. Market analysis c. Feasibility study d. Cash flow analysis

46. The property of a person who dies leaving no heirs passes to the state by the right of
a. Acquisition b. Condemnation c. Escheat d. Eminent domain

47. The form of deed used to return title to real estate to its owner when the debt is paid in full is the
a. Warranty deed b. Quitclaim deed c. Reconveyance deed d. Tax deed
48. The form of deed that makes no warranties, express or implied, is the
a. Grant deed b. Quitclaim deed c. Reconveyance deed d. Tax deed

49. A type of real estate featuring ownership of air space as well as an interest in common in the entire
parcel is a
a. Subdivision b. CMP c. Condominium d. Life estate

50. A life estate is a(n)

a. Present, possessory interest b. Future interest c. Fee simple defeasible d. Estate of tenancy

51. Under our Family Code of 1988, property acquired by gift or inheritance by a spouse after marriage
with no pre-nuptial agreement made is under
a. Absolute community b. Conjugal partnership of gains c. Absolute separation d. All of the
above

52. The scientific study of population statistics is

a. Scientography b. Demography c. Segmentation d. Forecasting

53. The amount initially paid for a good or service is its

a. Price b. Investment value c. Market value d. Cost

54. Short-term financing instruments are part of the

a. Money market b. Absorption analysis c. Capital market d. Feasibility study

55. Longer-term financing instruments are part of the

a. Money market b. Absorption analysis c. Capital market d. Feasibility study

56. The appraisal approach that would be most useful in valuing single-family residential property is the
a. Sales comparison b. Cost approach c. Income approach d. Capitalization method

57. The appraisal approach that would be most useful in valuing investment property is the
a. Sales comparison b. Cost approach c. Income approach d. Market data

58. The appraisal approach that would be most useful in valuing public and religious use properties is the
a. Sales comparison b. Cost approach c. Income approach d. Gross rent multiplier

59. Another term for developer's profit is

a. Contractor's profit b. Project profit c. Entrepreneurial profit d. Management profit

60. A church in a residential area is an example of

a. Police power b. A nonconforming use c. Forecast absorption d. Private restriction

61. Zoning is an exercise of a government's

a. Police power b. Condemnation c. Eminent domain d. Right of priority
62. All improvement costs, less depreciation, are subtracted from sales price to derive land value in the
process of
a. Ground rent capitalization b. Assemblage c. Extraction d. Cost approachnn

63. Private deed of restrictions often are enforced through a

a. Zoning variance b. Homeowners association c. Zoning board d. Housing cooperative

64. The cost of improvements identical in design and material to those of the subject property is called the
subject's—
a. Reproduction cost b. Sales price c. Replacement cost d. Market value

65. The cost of improvements identical in utility to those of the subject property is called the subject's—
a. Reproduction cost b. Sales price c. Replacement cost d. Market value

66. In using the cost approach to appraising, the estimated construction cost of improvements usually will
be based on
a. Their original cost b. The cost of new improvements at current prices c. Book value d. The
national cost average of all components

67. The index method of estimating construction cost is based on

a. Original cost of improvement b. The cost of new improvements at current prices c. Book
value d. The national cost average of all components

68. The amount of entrepreneurial profit

a. Reflects the success of the project b. Is based on how project expenses are categorized c. Will
always be the same provided the project is completed within its estimated budget d. Cannot be
estimated accurately

69. Determine the depreciation category of each of the following items as specifically as you can:
Choices: physical curable, physical incurable, functional curable, functional incurable, external
incurable
a. Residential location on heavily traveled highway
b. Severe termite damage throughout a structure
c. Office space adjacent to extremely noisy factory
d. Newer split-level house in good condition but with potholes in cemented driveway
e. Deterioration in attic beams
f. Major commercial airport built in 1940, with runways too short for modern jet planes
g. Three-bedroom house with one bathroom

70. The ratio of total operating expenses to effective gross income is the
a. Operating expense ratio b. Effective gross income ratio c. Net income ratio d. Break-even
ratio
71. The ratio of net operating income to effective gross income is the
a. Operating expense ratio b. Effective gross income ratio c. Net income ratio d. Break-even
ratio

72. The ratio of operating expenses plus annual debt service to potential gross income is the
a. Operating expense ratio b. Effective gross income ratio c. Net income ratio d. Break-even
ratio

73. In the list below, check each item that is not an expense from the appraiser's point of view:

1. Gas and electricity 2) Depreciation of the building 3) Water 4) Realty tax 5)

Building insurance
2. Income tax 7) Supplies 8) Payment on air conditioners 9) Janitor’s salary 10)
Management fees
3. Repairs and maintenance 12) Legal and accounting fees 13) Principal and interest on
mortgage
4. Advertising 15) Painting and decorating 16) Depreciation on equipment 17) Salaries
and wages of employees
5. Reserve for replacements 19) Payments on stoves and refrigerators

74. If a property's net income ratio is 0.85, what is its operating expense ratio?
a. 0.15 b. 1.50 c. 0.58 d. 0.015

75. Personal property that is often included with real estate is called:
a. Fee estate b. Chattel c. Serfs d. Pawn

76. A fiduciary is
a. A person who is a lawyer b. A person who lends money c. A person in a relationship of
financial trust d. A person who invests in real estate

77. The first central bank in the world was:

a. Bank of United States b. The Federal Reserve System c. The National Banking System d.
The Bank of England

78. A central bank

a. Has the power of issue b. Regulates the economy of the nation c. Is a depository for a nation’s
treasury d. All of the above

79. Usury is defined as

a. A legal tender b. An excessive interest rate

80. Predatory loan practices include:

a. Usury b. Small or no down payment c. Overpriced housing d. Deception
81. When the demand for housing increases:
a. It is a buyer’s market b. Prices decrease c. Prices increase d. Prices remain in balance

82. Value is created and maintained by:

a. Buyers b. Political regulation c. The secondary market d. Balance

83. Disintermediation is:

a. A loss of savings deposits to higher paying investments b. A gain of savings deposits by local
lenders
c. Mortgage securities sales to investors by the secondary market d. The sale of mortgages to the
secondary market by primary lenders

84. The primary market

a. Is local b. Makes mortgage loans c. Accepts savings deposits d. All of the above

85. Which of the following is a false statement regarding political regulation of the housing market
a. Regulations serve to protect consumers from deceptive practices
b. Regulations help keep housing prices low
c. Regulations may increase housing prices
d. Regulations protect health and safety

86. The collection of principal and interest payments by one lender on behalf of another is called:
a. Loan seasoning b. Loan participation c. Loan portfolio d. Loan servicing

87. A mortgage broker:

a. Acts as a loan coordinator b. Loans his/her own money c. Services loans d. All of the
above

88. The practice of holding a loan for a specified period before it may be sold into the secondary market:
a. Loan seasoning b. Loan participation c. Loan portfolio d. Loan servicing

89. Money market funds are:

a. Privately insured b. Insured by PDIC c. Not insured d. None of the above

90. Loans that are sold to the secondary mortgage market are called:
a. Seasoned loans b. Participation loans c. Portfolio loans d. Serviced loans

103. An escrow agent

a. Fills out the loan application b. Acts on the instructions of the parties to the loan
c. Determines the value of the property d. Depository of titles

104. A loan origination fee:

a. Is the commission paid to loan brokers b. Paid to the lender for the privilege of processing the loan
c. A fee to cover administrative costs d. Payable to the developer
105. In a loan with negative amortization, the balance owed:
a. Decreases over time b. Increases over time c. Remains the same d. Will never get paid

106. The greatest risk of default is generally caused by:

a. Large down payments b. Small or no down payment c. Overpriced housing d. High
interest rates

107. A loan balance that grows rather than decreases due to unpaid interest being added back into the loan
is said to have:
a. A split term b. Negative amortization c. A margin d. Positive amortization

108. Alternative financing plans are popular:

a. During times of low interest rates b. During times of high interest rates c. With older
borrowers d. With younger borrowers

109. The process of qualifying both a borrower's ability to pay and a property's worth is called:
a. Net worth assessment b. Stabilization of income c. Loan underwriting d. Credit
investigation

110. A stated interest rate of 6% is an example of:

a. Simple interest b. An effective rate c. Compound interest d. A nominal rate

111. If a borrower is actually paying more than the stated rate due to a quarterly conversion, the rate is an
example of:
a. Simple interest b. A nominal rate c. An effective rate d. Proration

112. Interest paid on accrued interest as well as principal is known as:

a. Compound b. Prorated c. Simple d. All of the above

113. Dividing pre-paid property expenses fairly between buyer and seller is known as:
a. Discounting b. Terms of sale c. Proration d. Compounding
Real Estate Multiple Choice Questionnaire

1. Private deed of restrictions often are enforced through

a. zoning variance b. homeowners association c. zoning board d. housing cooperative
2. The cost of improvements identical in design and material to those of the subject property is
called the subject's
a. reproduction cost b. sales price c. replacement cost d. market value
3. The cost of improvements identical in utility to those of the subject property is called the subject's
a. reproduction cost b. sales price c. replacement cost d. market value
4. In using the cost approach to appraising, the estimated construction cost of improvements is
usually based on
a. their original cost b. the cost of new improvements at current prices c. book value
d. the national cost average of all components
5. The index method of estimating construction cost is based on
a. original cost of improvement b. the cost of new improvements at current prices
c. book value d. the national cost average of all components
6. The amount of entrepreneurial profit
a. reflects the success of the project b. is based on how project expenses are categorized
c. will always be the same provided the project is completed within its estimated budget
d. cannot be estimated accurately
7. Determine the depreciation category of each of the following items:
a. Residential location on heavily traveled highway b. Severe termite damage throughout a
structure
c. Office space adjacent to extremely noisy factory d. Potholes in driveway of newer house
e. Deterioration in attic beams f. Runways too short for modern jets g. 3-bedroom house
with one bathroom
8. The ratio of total operating expenses to effective gross income is the
a. operating expense ratio b. effective gross income ratio c. net income ratio d. break-even ratio
9. The ratio of net operating income to effective gross income is the
a. operating expense ratio b. effective gross income ratio c. net income ratio d. break-even ratio
10. The ratio of operating expenses plus annual debt service to potential gross income is the
a. operating expense ratio b. effective gross income ratio c. net income ratio d. break-even ratio
11. Check each item that is not an expense from the appraiser's point of view:
a. depreciation of the building b. income tax c. principal and interest on mortgage d. depreciation
on equipment e. payments on stoves and refrigerators
12. If a property's net income ratio is 0.85, what is its operating expense ratio?
a. 0.15 b. 1.50 c. 0.58 d. 0.015
13. Personal property that is often included with real estate is called:
a. Fee estate b. Chattel c. Serfs d. Pawn
14. A fiduciary is
a. A person who is a lawyer b. A person who lends money c. A person who has a relationship of
financial trust d. A person who invests in real estate
15. The first central bank in the world was:
a. Bank of United States b. The Federal Reserve System c. The National Banking System d. The
Bank of England
16. A central bank
a. Has the power of issue b. Regulates the economy of the nation c. Is a depository for a nation’s
treasury d. All of the above
17. Usury is defined as
a. A legal tender b. An excessive interest rate c. Fraud d. A mortgage lien
18. Predatory loan practices include:
a. Usury b. Small or no down payment c. Overpriced housing d. Deception
19. When the demand for housing increases:
a. It is a buyer’s market b. Prices decrease c. Prices increase d. Prices remain in balance
20. Value is created and maintained by:
a. Buyers b. Political regulation c. The secondary market d. Balance
21. Disintermediation is:
a. A loss of savings deposits to higher paying investments b. A gain of deposits by local lenders
c. Mortgage securities sales to investors by secondary market d. The sale of mortgages to the
secondary market
22. The primary market
a. Is local b. Makes mortgage loans c. Accepts savings deposits d. All of the above
23. Which is a false statement regarding political regulation of the housing market?
a. Protects consumers from deceptive practices
b. Helps keep prices low
c. May increase prices
d. Protects health and safety
24. The collection of principal and interest payments by one lender on behalf of another is called:
a. Loan seasoning b. Loan participation c. Loan portfolio d. Loan servicing
25. A mortgage broker:
a. Acts as a loan coordinator b. Loans his/her own money c. Services loans d. All of the above
26. The practice of holding a loan for a specified period before selling to the secondary market:
a. Loan seasoning b. Loan participation c. Loan portfolio d. Loan servicing
27. Money market funds are:
a. Privately insured b. Insured by PDIC c. Not insured d. None of the above
28. Loans sold to the secondary mortgage market are called:
a. Seasoned loans b. Participation loans c. Portfolio loans d. Serviced loans
29. An escrow agent
a. Fills out loan application b. Acts on instructions of the parties c. Determines value d.
Depository of titles
30. A loan origination fee:
a. Commission to loan brokers b. Paid to lender for processing
c. Covers admin costs d. Payable to developer
31. In a loan with negative amortization, the balance owed
a. Decreases b. Increases c. Remains the same d. Will never get paid
32. The greatest risk of default is caused generally by:
a. Large down payments b. Small/no down payment
c. High interest d. Overpriced housing
33. Loan balance that grows due to unpaid interest added back into the loan is called:
a. Split term b. Negative amortization c. Margin d. Positive amortization
34. Alternative financing plans are popular:
a. During low interest b. During high interest
c. With older borrowers d. With younger borrowers
35. The process of qualifying both borrower and property is called:
a. Net worth assessment b. Stabilization of income
c. Loan underwriting d. Credit investigation
36. A stated interest rate of 6% is an example of:
a. Simple interest b. Effective rate c. Compound interest d. Nominal rate
37. If borrower pays more due to quarterly compounding, it’s called:
a. Simple interest b. Nominal rate c. Effective rate d. Proration
38. Interest paid on accrued interest and principal is:
a. Compound b. Prorated c. Simple d. All of the above
39. Dividing prepaid property expenses fairly between buyer and seller is known as:
a. Discounting b. Terms of sale c. Proration d. Compounding

40. 33. Unless extended for justifiable cause, the period of completion of development of a
subdivision project, counted from issuance of license to sell, is:
a. Six months b. Twenty four months c. Twelve months d. Eighteen months
41. 34. The rate of return earned by an investor which does not include allowance for capital recovery
is:
a. Discount rate b. Investment rate c. Interest rate d. Recapture rate
42. 35. Has ruled that all agricultural lands that are already classified as commercial, industrial or
residential before June 15, 1988 no longer need any conversion clearance even if it is still devoted
to agricultural activity:
a. Republic Act 6657 b. DOJ Opinion No. 44, SERIES OF 1990 c. Republic Act
7279 d. PD27
43. 36. During the entire year of 2014, total receipts from the lease of 30 residential units is
P2,200,000.00. How much is the output tax for the year 2014?
a. P220,000.00 b. P900,000.00 c. P200,000.00 d. P600,000.00 e. None of the
above
44. 37. Unpaid real property tax is subject to 2% per month interest, up to a maximum period of:
a. 12 months b. until paid c. 24 months d. 36 months
45. 38. Filipino citizens can acquire agricultural lands by patent under 1987 Constitution of the public
domain not exceeding:
(Please provide the choices to complete this question.)
46. 45. Under the Pag-IBIG housing loan program, the maximum loan value for socialized housing
is:
a. P300,000.00 b. P450,000.00 c. P500,000.00 d. P600,000.00
47. 46. Under the Pag-IBIG housing loan program, the maximum loan paying period is:
a. 20 years b. 25 years c. 30 years d. 35 years
48. 47. Under the Pag-IBIG housing loan program, if a 65-year-old loan applicant has the capacity to
pay and is insurable, the maximum paying period is only:
a. 3 years b. Not qualified c. 5 years to pay d. 10 years to pay
49. 48. Under the Pag-IBIG housing program, what percent of the net disposable income (NDI) per
month of the loan applicant should be allotted to monthly amortization of the loan?
a. 20% b. 30% c. 40% d. 50%
50. 50. A contract where real estate is hypothecated to secure an obligation where the creditor is
given the right to possess the property and collect the fruits thereof is known as:
a. Equitable mortgage
b. Blanket mortgage
c. Real estate mortgage (possession of property is still with the mortgagee)
d. Antichresis
(The loan is called turn-key loan)
51. 51. If a deceased owner of a land died intestate without any debt or obligation, the document to be
executed to transfer title to the sole heir is:
a. Extrajudicial settlement of estate
b. Deed of Donation
c. Affidavit of adjudication
d. Deed of conveyance
52. 52. A former natural-born Filipino citizen may, in addition to acquiring residential land under
B.P. 185, still acquire land for business or other purposes under R.A. 8179 provided the area does
not exceed:
a. One (1) hectare of urban land or 2 hectares of rural land
b. 5,000 square meters of urban land or 3 hectares of rural land
c. 5,000 square meters of urban land or 5 hectares of rural land
d. 1,000 square meters of urban land or 3 hectares of rural land
53. 53. The rate of real estate tax in municipalities within Metro Manila is not more than:
a. One-half percent of assessed value
b. Two and a half percent of assessed value
c. One percent of assessed value (if province)
d. Two percent of assessed value (if Metro Manila)
54. 54. In payment of estate tax, an allowed deduction to the gross estate of a decedent is funeral
expense which is:
a. 5% of gross estate or P200,000.00 whichever is lower
b. 5% of gross estate or P200,000.00 whichever is higher
c. 10% of gross estate or P200,000.00 whichever is lower
d. 10% of gross estate or P200,000.00 whichever is higher
55. 55. After a Deed of Absolute Sale was made, signed, and notarized, when should the
Documentary Stamp Tax on sale of real property be paid?
a. Within 24 hours from date of sale
b. Within 30 days from date of notarization
c. Within 10 days after the close of the month of notarization
d. Within 5 days after the close of the month of notarization
56. 56. Spouses who were married after the effectivity of the Family Code (August 3, 1988) without
any pre-nuptial agreement shall be governed by:
a. Conjugal partnership of gains (with pre-nuptial)
b. Absolute separation of property (with pre-nuptial)
c. Absolute community of property (without pre-nuptial or default)
d. None of the above
57. 57. Under the rule of conflict of interest, the following persons are disqualified to become lessee,
except:
a. Lawyers with respect to property of their clients under litigation which they take part
b. Executors and administrators of properties
c. Husband and wife when there is separation of property in marriage settlement and when there
is judicial separation of property
d. Guardian with respect to property of ward under guardianship
58. 58. The priority right of a tenant to buy the land located in an urban land reform area is known as:
a. Tenant's possessory right
b. Tenant's retention right
c. Tenant's incremental right
d. Tenant's right of first refusal (good faith, 10 years occupancy, if the owner is selling the land)
59. 59. A petition may be filed by one or more unit owners of a condominium project when damage
to the project has rendered one-half or more of the units untenantable and unit owners holding
more than what percent interest in the common areas are opposed to repair or restoration of the
project:
60. 59. A petition may be filed by one or more unit owners of a condominium project when damage
to the project has rendered one-half or more of the units untenantable and unit owners holding
more than what percent interest in the common areas are opposed to repair or restoration of the
project:
a. 30%
b. 60%
c. 40%
d. 50%
61. 60. The capital gains tax due on the sale of ₱2,000,000.00 property with ₱500,000.00 initial
payment is:
a. ₱100,000.00
b. ₱30,000.00
c. ₱120,000.00
 d. ₱20,000.00
(Installment sale: ₱500,000 × 6% = ₱30,000)
62. 61. The best evidence of fee simple ownership is a Torrens Title because it is:
a. Imprescriptible
b. Binding against the whole world
c. Indefeasible
d. Superior than tax declaration
e. All of the above
63. 62. Under R.A. 8791, the maximum redemption period after extrajudicial foreclosure of a
mortgage executed by a corporation in favor of the bank is:
a. 3 months
b. 6 months
c. 12 months
d. Before the court approves the sale
(Or upon registration of Certificate of Sale, whichever comes first)
64. 63. A clause used in leases and mortgages that cancels a specified right upon the occurrence of a
certain condition, such as cancellation of mortgage upon repayment of loan:
a. Acceleration Clause
b. Defeasance Clause
c. Automatic Redemption Clause
d. Hold Over Clause
65. 64. In a sale with assumption of mortgage, the basis of the documentary stamp tax is:
a. The down payment
b. The contract price
c. The selling price
d. The mortgage assumed
(DST is based on contract price: selling price less mortgage assumed)
66. 65. Under R.A. 6732, administrative reconstitution of lost or destroyed original copies of
certificates may be availed of when the lost or destroyed certificates in the registry of deeds
consist of at least:
a. 10% of all titles in the registry
b. 5% of all titles in the registry
c. 20% of all titles in the registry
d. 30% of all titles in the registry
(But not less than 500 titles)
67. 66. To avail of exemption from capital gains in the sale of a family home, the seller is required to
notify the BIR of intent within:
a. 15 days from the date of sale
b. 18 months from the date of sale
c. 30 days from the date of sale
d. 45 days from the date of sale
(Also within 30 days from date of purchase)
68. 67. The documentary stamp tax for Donor's Tax shall be paid on:
a. After 30 days from notarization of the Deed
b. Within 30 days from notarization of the Deed
c. Within 30 days from date of execution of the Deed
d. Donation is not subject to DST
(Donations and estate transfers are not subject to DST)
69. 68. When the interest of participation of condominium unit owners in the common area is
proportionate, the formula applied is:
a. Unit area divided by total area of the common area
b. Unit area divided by total area of all condominium units
c. Unit area divided by total area of all condominium units and common area
d. Unit area divided by total floor area of condominium building
70. 69. Under PD 957, total refund to buyer for developer's failure to complete the development
within the reglamentary period is equivalent to:
a. 50% of total payment inclusive of amortization interest less penalty interest
b. 50% of total payment inclusive of amortization interest and penalty interest
c. 100% of total payment inclusive of amortization less penalty interest
d. 100% of total payment less penalty plus legal interest
71. 70. In the cost approach to value, physical deterioration is estimated by the formula:
a. Economic life divided by chronological age
b. Chronological life divided by economic life
c. Economic life divided by effective age
d. Effective age divided by economic life
(Standard formula: Accrued Depreciation = Effective Age / Economic Life)
72. 71. In appraisal of an old building, economic life is the sum of:
a. Actual age plus remaining physical life
b. Actual age plus remaining economic life
c. Effective age plus remaining economic life
d. Effective age plus chronological age
73. 72. In appraisal, the difference between appraised value and net book value of the property is
called:
a. Increase in asset value
b. Unearned Increment
c. Increase in owners' equity
d. Earned increment
74. 73. The principle of value which states that the value of a property tends to be enhanced when
there is reasonable homogeneity in use:
a. Principle of Highest and Best Use
b. Principle of Increasing Return
c. Principle of Conformity
d. Principle of Progression
75. 74. The law that reverted the nature of Pag-IBIG membership to mandatory for all SSS and GSIS
members earning at least ₱4,000.00 a month:
a. Republic Act 7742
b. Presidential Decree 1530
c. Presidential Decree 1752
d. Executive Order No. 90
76. 75. A building is depreciated at 2.5% per year on a straight-line basis. What is the estimated
useful life of the building?
a. 30 years
b. 50 years
c. 40 years
d. 60 years
(100% ÷ 2.5% = 40 years)
77. 76. Several houses valued at ₱1,000,000.00 and ₱2,000,000.00 were built in an area where an
existing house valued at ₱300,000.00 is located. As a result, the value of the latter increased. The
real estate principle of value that applies is:
a. Substitution
b. Progression
c. Non-conformity principle
d. Regression
78. 77. The listing and selling brokers split the 6% commission equally. If the selling broker received
₱36,000.00, what is the selling price of the property?
a. ₱3,600,000.00
b. ₱800,000.00
c. ₱600,000.00
d. ₱1,200,000.00
(₱36,000 is 3% of ₱1,200,000.00)
79. 85. The type of loan wherein the lender has some or complete control over the project and the
income for a certain period, part or all of which is assigned to him to amortize the project:
a. Straight Loan
b. Amortizing Loan
c. Flat Loan
d. Turn Key Loan
(Antichresis setup – possession, fruits, and realty tax)
80. 86. The best evidence of ownership is:
a. Transfer Certificate of Title
b. Possession
c. Tax Declaration
d. Realty Tax
81. 87. The seller realized a 30% gross profit over cost. If the selling price is ₱1,950,000.00, what is
the cost?
a. ₱1,365,000.00
 b. ₱1,350,000.00
c. ₱1,650,000.00
d. ₱1,500,000.00
(₱1,950,000 ÷ 1.30 = ₱1,500,000.00)
82. 88. Registration of mortgage covering projects can only be effected when the deed is
accompanied by a permit to mortgage issued by:
a. Housing and Urban Development Coordinating Council
b. Home Insurance Guarantee Corporation
c. Housing and Land Use Regulatory Board
d. National Housing Authority
83. 89. The sale of property worth ₱1,500,000.00 considered an ordinary asset by a person not
habitually engaged in real estate shall be subject to a creditable withholding tax rate of:
a. 1.5%
b. 3.0%
c. 5.0%
d. 6.0%
84. 90. The documentary stamp tax on lease of real estate is ₱3.00 for the first ₱2,000.00 or fraction
thereof, and:
a. ₱0.50 for every ₱1,000.00 in excess of the first ₱2,000.00
b. ₱1.00 for every ₱1,000.00 in excess of the first ₱2,000.00
c. ₱1.50 for every ₱1,000.00 in excess of the first ₱2,000.00
d. ₱2.00 for every ₱1,000.00 in excess of the first ₱2,000.00
85. 91. Under BIR Revenue Regulation No. 17-2003, the seller of a family home who fails to utilize
the proceeds to acquire a new residence within 18 months from the sale shall be assessed
deficiency capital gains tax inclusive of penalties and:
a. 10% interest per annum
b. 20% interest per annum
c. 15% interest per annum
d. 25% interest per annum
86. 92. The annual registration fee for a VAT-registered real estate broker is:
a. ₱500.00
b. ₱1,500.00
c. ₱1,000.00
d. None of the above
87. 93. The selling price of house and lot is ₱800,000.00. If its appraised value is ₱720,000.00 and
the loan-to-collateral ratio is 80%, what is its loan value?
a. ₱640,000.00
b. ₱720,000.00
c. ₱576,000.00
d. ₱648,000.00
(₱720,000 × 80% = ₱576,000)
88. 94. The capital gains tax on the sale of a ₱2,000,000.00 property with ₱600,000.00 initial
payment is:
a. ₱100,000.00
b. ₱30,000.00
c. ₱120,000.00
d. ₱36,000.00
(Deferred CGT: ₱2M × 6% = ₱120,000)
89. 95. What is the cost of the fence with a total length of 75 meters, height above ground of 2 meters
and 0.5 meter below, if cost per square meter is ₱1,500.00?
a. ₱225,000.00
b. ₱140,625.00
c. ₱281,250.00
d. ₱112,500.00
(75 × 2.5 × ₱1,500 = ₱281,250)
90. 96. Using the 4-3-2-1 rule (depth rule), if a 5-hectare property belonging to different owners was
sold for ₱10,000,000.00, what is the share of lot owners owning the first quarter abutting the
road?
a. ₱2,500,000.00
b. ₱5,000,000.00
c. ₱4,000,000.00
d. ₱6,000,000.00
(40% × ₱10M = ₱4,000,000)
91. 102. When the loan is fully amortized by equal monthly payments, the amount applied to the
principal:
a. Decreases while interest payment increases
b. Increases while interest decreases
c. Increases by a constant amount
d. None of the above
(Diminishing balance method)
92. 103. Total refund to buyer for developer’s failure to complete the development within the
reglamentary period is equivalent to:
a. 50% of total payment inclusive of amortization interest less penalty interest
b. 50% of total payment inclusive of amortization interest and penalty interest
c. 100% of total payment inclusive of amortization less penalty interest
d. 100% of total payment less penalty plus legal interest
93. 104. The use of borrowed funds to increase purchasing power to enhance investment profitability
is called:
a. Limited Liability
b. Leverage
c. Debt Coverage
d. Interim Financing
94. 105. The amount of family home equivalent to fair market value considered as allowable
deduction from the estate of a decedent:
a. ₱500,000.00
b. ₱2,000,000.00
c. ₱1,000,000.00
d. ₱750,000.00
(Or 50% of BIR’s value for family home, whichever is lower)
95. 106. The estate tax return shall be filed and paid with the BIR within:
a. 60 days from death of decedent
b. 120 days from death of decedent
c. 90 days from death of decedent
d. 180 days from death of decedent
(Notice of death: within 60 days)
96. 107. Under the Urban Land Reform Law (P.D. 1517), an area is considered urban when it has a
population density of at least ______ and at least 50% of the economically active residents are
engaged in non-agricultural activities:
a. 500 residents per square kilometer
b. 1,500 residents per square kilometer
c. 1,000 residents per square kilometer
d. 2,000 residents per square kilometer
97. 108. An appraisal technique in which comparative estimates are made between prices paid in
actual transactions and the current listings:
a. Cost Approach
b. Market Approach
c. Income Approach
d. Economic Approach
98. 109. A subdivision plan needs only the approval of the Land Registration Authority or Land
Management Bureau to effect segregation of titles when the resulting number of lots is:
a. Nine (9) or less
b. Twelve (12) or less
c. Ten (10) or less
d. Fifteen (15) or less
(Simple subdivision: 9 or fewer lots)
99. 110. A four-storey building has a regular shape with street frontage of 10 meters and depth of 20
meters, and height of 16 meters. If cost to construct is ₱4,000.00 per cubic meter, what is the
reproduction cost of the new building?
a. ₱12,800,000.00
b. ₱12,560,000.00
c. ₱13,200,000.00
d. ₱15,120,000.00
(10 m × 20 m × 16 m × ₱4,000 = ₱12.8M)
111. Husband and wife can sell property to each other in the following circumstances except when:
a. A separation of property was agreed upon in the prenuptial agreement
b. There has been a judicial separation of property
c. There has been a legal separation
d. Spouses have been separated for more than 10 years

112. In a sale of property on installment plan where the buyer is not engaged in trade or business, the
applicable rate of tax is based on:
a. Gross Selling Price
b. BIR market value
c. a or b, whichever is higher
d. Assessed Value

113. Under R.A. 7279, ______ shall be resorted to only when other modes of acquisition have been
exhausted.
a. Negotiated Purchase
b. Expropriation
c. Land Consolidation
d. Joint-Venture Agreement

114. The sale of a piece of land when made through an agent whose authority is verbal is:
a. Voidable
b. Rescissible
c. Unenforceable
d. Void
(Statute of Frauds)

115. A broker's complaint for non-payment of commission by the developer shall be filed with:
a. HLURB
b. HUDCC
c. DTI-BTRCP
d. Regular Court

116. The schedule of market value for ad valorem tax in municipalities outside Metro Manila is
prepared by:
a. Municipal Assessor
b. Sangguniang Panglalawigan
c. Provincial Assessor
d. Provincial Treasurer

117. Property escheated to the government is considered as:

a. Public Dominion
b. Regalian Property
 c. Patrimonial Property
d. Land of Public Domain

118. Total refund to buyer for developer’s failure to complete the development within the reglamentary
period is equivalent to:
a. 50% of total payment inclusive of amortization interest less penalty interest
b. 50% of total payment inclusive of amortization interest and penalty interest
c. 100% of total payment inclusive of amortization less penalty interest
d. 100% of total payment less penalty interest plus legal interest

119. Under DILG Memorandum Order No. 15-2002, the time frame for processing and action on
applications for approval of subdivision plans is:
a. 15 days
b. 45 days
c. 30 days
d. 60 days

120. The use of borrowed funds to increase purchasing power to enhance the profitability of an
investment is:
a. Limited Liability
b. Leverage
c. Debt Coverage
d. Interim Financing

121. The income approach in estimating the value of an investment property is an application of
a. Principle of Substitution
b. Principle of Contribution
c. Principle of Progression
d. Principle of Anticipation

122. The law that reverted the nature of Pag-IBIG Membership to mandatory to all SSS & GSIS members
earning at least P4,000.00 a month
a. Republic Act 7742
b. Presidential Decree 1530
c. Presidential Decree 1752
d. Executive Order No. 90

123. Under Urban Land Reform Act (PD 1517), the acquisition of lots of varying ownership through,
among others, expropriation or negotiated purchase for the purpose of planning is
a. Land Banking
b. Land Use Plan
c. Land Exchange
d. Land Assembly for Consolidation
124. The commission rate for sale of real estate is determined by:
a. Discretion of the Seller
b. Standard rate Approved by the BTRCP
c. Agreement between seller and broker
d. Fixed scale approved by RESCOP

125. The principle of value which states that the value of a property tends to be enhanced where there is
reasonable homogeneity in use
a. Principle of Highest and Best Use
b. Principle of Conformity
c. Principle of Increasing Return
d. Principle of Progression

126. It refers to a grid of north and south (meridians), and east and west (parallels) lines surveyed by the
government in identifying Philippine boundaries.
a. Meters and Bounds
b. Cardinal Direction
c. Rectangular survey
d. Monuments

127. It is the ratio that expresses the relation between gross income and sales price of a property.
a. Capitalization
b. Recapture
c. Gross Income Multiplier
d. Effective Gross Income

128. A "loss in value from any cause" is a common definition of

a. Effective Age
b. Depreciation
c. Functional Obsolescence
d. Economic Obsolescence

129. The value placed on taxable property by the assessor for AD VALOREM purposes is
a. Appraised Value
b. Fair Market Value
c. Assessed Value
d. Economic Value

130. The following are modes of acquiring lands for purposes of Urban Development and Housing Act,
except:
a. Community mortgage
b. Negotiated purchase
c. Foreclosure
d. Joint venture agreement
e. Land swapping

131. Where a conflict arises on the issue of just compensation, the concerned government agency
expropriating is required to initially pay an amount equivalent to 100% of the
a. Offered amount
b. Assessed Value
c. Appraised Value
d. Zonal value

132. The following are types of property descriptions ordinarily used in deeds, contracts, offer to sell, and
leases, except:
a. Rectangular survey
b. Bearings and azimuth
c. Metes and bounds
d. Lot number
e. Monuments

133. Refers to an imaginary line connecting from a reference point "1" of any given lot plan
a. Cardinal direction
b. Azimuth
c. Boundary line
d. Tie Line

134. In the absence of any provision in the master deed of a condominium project, the share of the unit
owners in the common area is
a. Proportionate to his unit area
b. Decided by the majority of owners
c. Based on the value of his unit
d. Determined by the condominium corporation
e. Equal to all other units

135. The right of an owner-lessor to receive the contract rent and reversion of the property at the end of
the lease is called
a. Fee simple
b. Sandwich lease
c. Leasehold
d. Leased fee estate
e. Subleasehold
136. In case of false or fraudulent Estate, Donor or Capital Gains Tax BIR form willfully made, how
much surcharge based on the taxes or deficiency tax shall be imposed?
a. 20%
b. 25%
c. 30%
d. 50%

137. The real estate broker is usually authorized to do all the following acts, except:
a. Advertise the listing
b. Place "for sale" sign on the property
c. Cooperate with other brokers
d. Bind the principal in a contract

138. For purposes of determining whether a seller/transferor can be considered as habitually engaged in
real estate business, he should offer satisfactory evidence that he consummated at least _____ taxable real
estate transactions during the preceding year.
a. Five
b. Eight
c. Twelve
d. Six

139. The Articles of Incorporation of subdivision or condominium homeowners association is registered

with
a. Securities and Exchange Commission
b. Home Guaranty Corporation
c. Housing and Land Use Regulatory Board
d. Bureau of Trade Regulation & Consumer Protection

140. A Pag-Ibig member can now purchase residential lot not exceeding _____ sqm.
a. 300 sqm
b. 1,000 sqm (should be developed)
c. 500 sqm
d. 2,000 sqm

141. Conversion permit of agricultural land of not more than 5 hectares shall be approved by the:
a. Municipal Agrarian Reform Office
b. Undersecretary of DAR
c. Provincial Agrarian Reform Office
d. Secretary, DAR
e. Regional Agrarian Reform Office

142. A contract to sell entered into the name of, and subsequently ratified by a licensed broker, by a sales
agent who was not granted authority to sell, is:
a. Voidable contract
b. Rescissible contract
c. Enforceable contract
d. Void contract

143. The ratio that expresses the relation between gross income and sales price of a property is
a. Effective Gross Income
b. Capitalization
c. Recapture
d. Gross Income Multiplier

144. If TCT has an annotation that says "subject Rule 74, Section 4 of the Rules of Court", it means that
the property is an inherited property and any heir unduly deprived of his lawful participation in the estate
has _____ years to assert his rights over said property.
a. Two (2) years
b. Five (5) years
c. Four (4) years
d. Ten (10) years

151. It refers to the acquisition of lots of varying ownership, through purchase or expropriation for the
purpose of planned and rational development and socialized housing program without individual property
boundary restrictions.
a. Land banking
b. Land assembly
c. Land swapping
d. Land-use plan

152. The following are modes of acquiring lands for the purposes of the Urban Development and Housing
Act of 1992 except:
a. Joint Venture agreement
b. Community mortgage
c. Expropriation
d. Negotiated purchase
e. Accretion

153. In mixed-use condominium projects, the master deed may be amended by simple majority of the unit
owners. Majority is based on:
a. Number of Condominium units
b. Total area of condominium units
c. Floor area of ownership
d. Any of the above
154. Conjugal partnership may be dissolved by:
a. Legal Separation
b. Judicial Decree of Separation of Property
c. Annulment of Marriage
d. Any of the above

155. Amendment to the master deed of a condominium project approved by majority of the registered
owners need also be approved by the city/municipal engineer and:
a. Local government
b. Housing and Urban Development Coordinating Council
c. Housing and Land Use Regulatory Board
d. Land Registration Authority

156. The income approach to value is an application of the principle of:

a. Highest and Best Use
b. Substitution
c. Progression
d. Anticipation

157. A provision in mortgage contract which releases the property from the encumbrance when the
obligation is fully paid is:
a. Automatic redemption clause
b. Defeasance clause
c. Non-liability clause
d. Exculpatory clause

158. Unless revalidated, tax credit life is up to:

a. One (1) year
b. Three (3) years
c. Five (5) years
d. Two (2) years
e. Four (4) years

159. BIR Certificate Authorizing Registration (CAR), unless revalidated, can only be used and accepted
by the Register of Deeds for from date of issuance.
a. 6 months
b. 12 months
c. 18 months
d. 2 years

160. The maximum period that an individual foreigner may lease real estate including renewal is:
a. 25 years
b. 50 years
c. 75 years
d. 99 years

161. The maximum period that foreign corporate investors may lease real estate including renewal is:
a. 25 years
b. 50 years
c. 75 years
d. 99 years

162. The principle holds that when two or more commodities with substantially the same utility are
available, the one with the lowest price receives the greatest demands and widest distribution.
a. Principle of Contribution
b. Principle of Balance
c. Principle of Highest and Best Use
d. Principle of Substitution
e. Principle of Completion

169. The schedule of Fair Market Value in the municipalities in Metro Manila is prepared by:
a. MMDA
b. Bureau of Internal Revenue
c. Concerned Municipal Assessor
d. Sangguniang Bayan by ordinance

170. The following compose the Board of Assessment Appeals in the city of Makati, except:
a. Register of Deeds (HEAD)
b. City Prosecutor
c. City Assessor (conflict of interest)
d. City Engineer

171. A taxpayer has to redeem his real property which was levied and subsequently forfeited and acquired
by the Local government unit due to tax delinquency within:
a. 1 year
b. 4 years
c. 60 days
d. 3 years

172. In addition to the basic real property tax, a province may levy an annual tax on agricultural land
planted to perennial crops with less than 50 trees to a hectare at the rate of not exceeding _____ of the
assessed value of the property. It is called idle land tax.
a. 1%
b. 2%
c. 3%
d. 5%
173. Seizure of a property by a court order, usually done to have it available in the event of adverse
judgment of a pending suit, is:
a. Escheat
b. Forfeiture
c. Foreclosure
d. Attachment

174. This government agency is responsible for the preparation of Comprehensive land use in a locality.
a. Local government unit
b. DAR
c. HUDCC (City or Municipal Planning)
d. HLURB

175. Conversion permit of agricultural land of not more than 5 hectares shall be approved by:
a. Municipal Agrarian Reform Officer
b. Provincial Agrarian Reform Officers
c. Secretary of DAIL
d. Regional Agrarian Reform Officer of DAlt
176. Under the Rent Control Law of 2009 (RA 9653), the lessor may ask for a deposit not
exceeding:
a. 1 month
b. 2 months
c. Depending on the agreement between the lessor and lessee
177. Under the Rent Control Law of 2009 (RA 9653), the lessor may ask for rental advance
not exceeding:
a. 1 month
b. 2 months
c. 3 months
d. Depending on the agreement between the lessor and lessee
178. Under the new BIR ruling, acquired assets of banks regardless of amount are subject to
the creditable withholding tax of:
a. 1.5%
b. 3%
c. 5%
d. 6%
179. The Articles of Incorporation of homeowners association is registered with:
a. Securities and Exchange Commission
b. Housing and Land Use Regulatory Board
c. Home Guaranty Corporation
d. Bureau of Trade Regulation and Consumer Protection
180. Any amendment to the master deed of a condominium project decided by the majority of
owners must be approved by the HLURB and:
a. City/Municipal Mayor
b. City/Municipal Assessor
c. City/Municipal Council
d. City/Municipal Development Planning Officer
e. City/Municipal Engineer
181. Easement is to real property; Usufruct is to:
a. personal property
b. personal or real property
c. real property
d. none of the above
182. Which of the following statements is NOT true?
a. Full ownership equals naked ownership plus usufruct
b. Usufruct equals naked ownership plus full ownership
c. Naked ownership equals full ownership minus usufruct
d. Usufruct equals full ownership minus naked ownership
183. If Contract of Sale is to Deed of Sale; Contract to Sell is to:
a. Retro Sale Pact
b. Deed of Sale with Mortgage
c. Deed of Conditional Sale
d. Donation in Payment
184. The following are priorities of lands that may be acquired for socialized housing purpose
under RA No.7279, except:
a. lands owned by the government
b. alienable lands of public domain
c. privately owned lands
d. BLISS not yet acquired
e. registered but idle lands
185. In subdivision selling, the sale is considered a paid-up sale when the buyer has paid the:
a. fifty percent of the purchase price
b. stipulated earnest money
c. reservation deposit
d. required down payment
186. The rate of real property tax in a municipality or city within Metro Manila is:
a. Not more than one percent of the assessed value
b. Not more than two percent of the assessed value
c. Not more than ten percent of the assessed value
d. Not more than fifteen percent of the assessed value
187. A kind of survey where the shape of the earth is taken into account in computing results
is known as:
a. plane survey
 b. cadastral survey
c. geodetic survey
d. topographic survey
188. The rational approach of allocating available land resources as equitably among
competing user groups is:
a. land assembly
b. on-site development
c. land use plan
d. urban renewal
189. Registration of a real estate instrument can be given due course without the presentation
of the owner's duplicate certificate of title when the document is:
a. Notice of Adverse Claim
b. Notice of lis pendens
c. Writ of attachment
d. Writ of execution
e. all of the above
190. Special power of attorney are necessary in the following cases, except:
a. to perform acts of administration (GENERAL POWER OF ATTORNEY)
b. to lease any real property for more than a year
c. to convey real rights on immovable property
d. to cancel any obligation gratuitously
191. In a sale a retro where it is stipulated that the vendor has the right to repurchase the
property "when he has the means"; he has to redeem it within:
a. three (3) years
b. twenty (20) years
c. four (4) years (not stipulated)
d. ten (10) years (if stipulated)
192. The minimum educational requirement that an applicant for a license as a broker must
have is:
a. forty four (44) units of college undergraduate study
b. seventy two (72) units in college
c. college graduate with four-year course
d. one hundred forty four (144) units in college
193. Which of the following government agencies is in charge of the overall strategies for the
country's National Housing Program?
a. National Housing Authority
b. Housing and Land Use Regulatory Board
c. Housing and Urban Development Coordinating Council (Jejomar Binay-Pres)
d. Home Insurance Guaranty Corporation

194. Registration of sale of a five (5) hectare agricultural land must be accompanied by:
a. DAR Conversion Permit
 b. DAR Clearance
c. HLURB License to Sell
d. LGU Development Permit

195. The following are public dominion, except:

a. Navigable river converted into fishpond
b. Public plaza converted into housing
c. Canal
d. Subdivision roads
e. Natural resources

196. In case of real property, prescription in good faith is:

a. 5 years
b. 15 years
c. 30 years (bad faith)
d. 10 years (good faith – RA 10023)

197. Ownership of a piece of land can be acquired through any of the following modes, except:
a. Tradition
b. Prescription
c. Occupation
d. Accretion
e. Succession

198. The area of a triangular plot is computed by the formula:

a. length × width
b. 2 × length × width
c. ½ × length × width
d. length × width × height

199. It means that short of foreclosure, the mortgagor agrees to sell and transfer the mortgaged property to
the mortgagee:
a. Dacion en pago
b. Pacto de retro
c. Redemption
d. Auction
e. Foreclosure

200. Excluded from the coverage of CARP: How many percent slope?
a. Nine percent
b. Twelve percent
c. Fifteen percent
d. Eighteen percent or more
201. An annual levy on real property equivalent to 1% of the assessed value, which shall be in addition to
the basic real estate tax, is called:
a. Special Education Fund Tax
b. Idle Land Tax
c. Ad Valorem Tax
d. Socialized Housing Tax

202. A subdivision where 9% of the gross area is open spaces with 66 to 100 family lots per hectare is
called (ref. PD 1216):
a. Economic subdivision
b. Socialized subdivision
c. Open market subdivision
d. Low-cost subdivision

203. The value placed on taxable property by the assessor for ad valorem tax purposes is:
a. Market Value
b. Appraised Value
c. Assessment Value
d. Assessed Value

204. The documentary stamp tax for Deed of Real Estate Mortgage pursuant to RA No. 7660 is:
a. P15.00 for every P1,000.00 of the mortgage amount
b. P10.00 for every P1,000.00 of the mortgage amount
c. P10.00 for the first P5,000.00 of the mortgage plus P5.00 for every P5,000.00 thereafter
d. P20.00 for the first P5K mortgage plus P10.00 for every succeeding P5K and fraction thereof

205. In the computation of depreciation of real properties, the method widely used by practitioners is the:
a. Straight line method
b. Sum-of-the-years digits method
c. Declining balance method
d. Cost-benefit method

206. The technical description in the TCT of a real property can readily be plotted on a sheet by using the
following data:
a. Bearing and lot points
b. Bearing and tie line
c. Distance and lot points
d. Distance and bearing from lot points

207. A scale of 1:200 means:

a. 1 cm in paper is equal to 200 meters on the earth's surface
b. 1 meter in paper is equal to 200 meters on the earth's surface
c. 1 cm in paper is equal to 200 centimeters on the earth's surface
d. 1 meter in paper is equal to 200 meters on the earth's surface

208. When the deceased registered owner is survived by a sole heir, the estate of the former may be
transferred to the latter with the execution of a document known as:
a. Deed of Transfer
b. Affidavit of Self-Adjudication
c. Extra-Judicial Settlement of Estate
d. Declaration of Ownership

209. It refers to land located in the fringes of built-up communities which has the provincial
characteristics but is flavored with metropolitan utilities, facilities, and amenities:
a. Urban land
b. Rurban land
c. Urbanizable land
d. Rural land

210. Jurisdiction for adjudication of buyer’s complaints against subdivision developers is with the:
a. Housing and Urban Development Coordinating Council
b. National Housing Authority
c. Housing and Land Use Regulatory Board
d. Regular Courts

211. On estate tax, the maximum allowed for funeral expenses beginning Jan. 1, 1998 is:
a. 5% of gross estate or P200,000.00, whichever is lower
b. 5% of gross estate or P200,000.00, whichever is higher
c. 10% of gross estate or P200,000.00, whichever is lower
d. 10% of gross estate or P200,000.00, whichever is higher

212. The bundle of rights which is inherent in ownership without any limitations other than those imposed
by law or contract is:
a. Fee estate
b. Fee simple
c. Lease fee estate
d. Freehold