Answer all questions:

The mid-term exam is an open book and a take home exam. Read the questions carefully and answer all questions. Points will be awarded for clarity of expression, understanding and not filling of paragraphs. Answers should be substantive, analytical and descriptive. Please do not write bullet form or copy paste from power point notes. Also, do not submit hand written answers. Show the detailed work sheet of the problem wherever needed. Please do not resort to any unethical behavior such as copying from the internet and the book or fellow students. Also, write the answers on your own. Your answers should not exceed one page (single s ace 12 font er uestion exce t for calculation-based uestions e. . 1a&b in one page single space). Upload answers by due date on assignment folder. Word process your answers and upload as word or pdf document as a single file. 01a. Real estate can be used in three different fundamental ways. List them and provide definitions. 01 b. Real estate assets and markets are unique when compared with other assets or markets. Discuss the primary ways that real estate markets are different from the markets for other assets that trade in well-developed public markets (Chapter 1, Real Estate). [8+12=20] QZaDefine the term ad valorem tax. What are the three criticisms of the property taxes of local government? Elaborate. 02b. A property tax owner owes eight mills in school taxes, 10 mills in city taxes, and five mills in county taxes. He/she qualifies for a $25,000 homestead exemption. How much would he/she owe on a properly assessed at $80,000? (Chapter 4, Government Control) [10+10=20] 03. You have heard the saying real estate is about 'iocation, iocation and iocation'. Real estate market analysis is a very important component in real estate development projects. What are the various steps in real estate marketing and how does geographical information system play a cruciai role in the success of land development projects? (Read Week 4, Analyze This, and Dr. Location). [10+10=20] Q4. Define and differentiate between market value. investment value and transaction prices. In addition, explain the process of appraisal and market valuation of real estate assets. Explain. (Chapter 7, pages 163-166). [8+12=20] 1|Page 05. A property comparable to the single-family home you are appraising sold three months ago for $380,500. You have determined that the adjustments required for differences in the comparable and subject property are as follows: Transaction characteristics Property rights conveyed None Financing terms None Conditions of sale None Expenditures immed. after purchase +3258 Market conditions +05% Imonth, not compounded Property characteristics Location +396 Physical characteristics: 41% Economics characteristics NA. Use None Non-realty compone nts found -7000 in comparable What is the final adjusted sale price of the comparable? Make the adjustments in the order suggested by Exhibit 7-6 {page 175). Show complete working in the determination of the final adjusted sale price (Week 7, Watch video for 00-1) [20]