CONFIDENTIAL APIJUN 2019/RES411 UNIVERSITI TEKNOLOGI MARA FINAL EXAMINATION COURSE : INTRODUCTION TO PROPERTY VALUATION COURSE CODE RES411 EXAMINATION : JUNE 2019 TIME : 3 HOURS INSTRUCTIONS TO CANDIDATES 1 This question paper consists of two (2) parts: PART A (2 Questions) PART B (2 Questions) 2 ‘Answer ALL questions in the separate Answer Booklets. Start each answer on a new page. 3 Do not bring any material into the examination room unless permission is given by the invigilator. 4 Please check to make sure that this examination pack consists of i) the Question Paper ji) two Answer Booklets — provided by the Faculty 5. Answer ALL questions in English DO NOT TURN THIS PAGE UNTIL YOU ARE TOLD TO DO SO This examination paper consists of 4 printed pages (© Hak Cipta Universit! Teknologi MARA CONFIDENTIALCONFIDENTIAL 2 APIJUN 2019/RES411 PART A QUESTION 1 Without using Parry's Valuation Tables, solve the following problems by showing appropriate calculations. a) i) If Annual Sinking Fund for 15 years @ 7% is 0.0398, calculate the Amount RM 1 per annum for 15 years @ 7%, (3 marks) ji) If Years Purchase of a reversion to perpetuity for 20 years @ 8% is 2.6819, calculate the Present Value of RM 1 for 20 years @ 8%. (3 marks) iil) Year's Purchase for 10 years @ 5% is 7.7217, calculate the Annual Sinking Fund for 10 years @ 5%. (4 marks) ») Delisha requires RM350,000 to buy a single storey terrace house and she plans to apply a loan from Maybank Bhd in Kuala Selangor. However, she can only afford to pay a maximum payment of RM 1,500 per month. If the bank charges her an interest rate of 6.5% per annum for a period of 20 years, calculate the monthly repayment and suggest whether or not she is entitling for the loan ( marks) ©) A housing development company bought a machine worth of RM500.000. Calculate the ‘number of years the machine worth a value of RM 5,000 if the rate of depreciation is 8% er annum, ( marks) 9) Farah bought a leasehold interest for RM450,000 which has 20 years of unexpired terms. Calculate her net income per annum if she expected a rate of return of 8% and 2.5%0 for the sinking fund rate. ( marks) (© Hak Cipta Universiti Teknologi MARA CONFIDENTIAL,CONFIDENTIAL, 3 APIJUN 2019/RES411 QUESTION 2 a) Property interest is one of the considerations when buying a property. Many of us offen asked whether we should choose freehold or leasehold properties. Explain the freehold interest and leasehold interest in land administration in Malaysia. (10 marks) b) Under the National Land Code 1965 (Amended) (NLC), a land tile is @ legal document Which proves ownership or possession of a property, whether it is land or buildings developed on the land. Generally, in Malaysia all land title records are kept at the Land Office or Registry Office. ’) Give with a suitable example three (3) categories of land use which are available in the land title. (6 marks) ji) Discuss the various forms of land title under Registry Office Title and Land Office Title. (9 marks) © Hak Cipta Universiti Teknologi MARA CONFIDENTIALCONFIDENTIAL, 4 APIJUN 2019/RES411 PARTB QUESTION 1 a) Explain four (4) qualities of investment. (8 marks) b) Elaborate two (2) advantages of property investment. (5 marks) ©) Sufian Suhaimi plans to spend his wedding money and the money he won in Anugerah Juara Lagu for investment purpose. Identify four (4) types of investments suitable for him to choose, (12 marks) QUESTION 2 a) Give a definition of rental value. (2 marks) 5) Identity four (4) types of outgoings bear by the owner when investing in property (8 marks) ©) Describe the following methods of valuation i) Comparison ( marks) ii) Profit (6 marks) ili) Cost (6 marks) END OF QUESTION PAPER (© Hak Cipta Universit Teknologi MARA CONFIDENTIAL