REAL ESTATE FINANCE AND ECONOMICS

1. Basically a result of the interplay of supply and demand of a certain product, such as real
estate housing.
a. Price
b. Area
c. Construction
2. Another element which affects the movement of real estate
a. statement b and c
b. the availability financing, both for the production side or the developers
c. the demand side which is the buying market
3. Involves generally the acquisition of property through loan financing sources
a. Real Estate Financing
b. Real Estate Service Practice
c. Real Estate Economics
4. The application of economic techniques to real estate markets.
a. Real estate economics
b. Real Estate Financing
c. Real Estate Service Practice
5. Simply means the effect of one aspect of the economy with the other economic activities.
a. Multiplier effect of Real estate
b. Binding effect
c. Repulsion effect
6. If a corporation builds a factory, it will employ construction workers and their suppliers as
well as those who work in the factory. The statement best explains .
a. an effect in Economics
b. an effect in Society
c. an effect in Macroeconomics
7. Real estate Economics tries to describe, explain, and predict patterns of
a. prices, supply, and demand
b. prices, income , and demand
c. prices, consumer , and demand
8. In the case where there are more buyers than sellers, then it is considered a seller’s market as
there are fewer real properties available vis-à-vis a higher demand for it. In this case,
a. the movement of prices will tend to go up because of the higher demand
b. the movement of prices will tend to go down because of the higher demand.
c. the movement of supply will tend to go up because of the higher demand
9. The price of real estate has a tendency to go down in view of the excess in supply vs. the
actual demand of the market, is normally referred to as
a. Buyers Market
b. Suppliers Market
c. Wet Market
10. Real estate financing involves generally the acquisition of property through loan
financing sources, which may be sourced from the following ,except
a. Pilfering from Relatives/Friends
b. Bank Financing and lending companies
c. Assumption of Loan/Mortgages and Government Financing
11. The movement of prices will tend to go up because of the higher demand.
a. Sellers Market
b. Public market
c. Buyers Market
12. Refers to the total quantity of goods and services that the nations businesses
willingly produce and sell in the given period.
a. Aggregate Supply
b. Consumption
c. Investment
13. Which occurs because a good becomes relatively more expensive when its price rises?
a. Substitution effect
b. Market demand
c. Income effect
14. A key determinant of demand
a. Size of the market
b. Special Influences
c. Average Income
15. When the price of a commodity is raised, buyers tend to buy less of commodity.
a. Law of downward –sloping demand
b. Law of Demand
c. Law of Supply
16. When there are changes in factors other than a good’s own price which affect the
quantity purchased, we call these changes .
a. Shifts in Demand
b. Shifts in Supply
c. Shifts in Income
17. If demand rises ,the demand curve shifts to the .
a. Right
b. Left
c. center
18. If supply falls ,the supply curve shifts to the left, and .
a. Price rises and quantity goes down
b. Price rises and quantity goes down
c. Price falls and quantity goes down
19. The price at which quantity demanded equals quantity supplied.
a. Market equilibrium
b. Demand curve
c. Shifts in Supply
20. The equilibrium price is also called .
a. Market –clearing price
b. Equilibrium cost
c. Increased supply
21. Shifts in the supply and demand curves change the .
a. Equilibrium price and quantity
b. Equilibrium price and demand
c. Equilibrium price and supply
22. An increased in supply ,which shifts the supply curve to the right ,will
a. Decrease price and increase quantity demanded
b. Increase price and increase quantity demanded
c. Decrease price and decrease quantity demand
23. Quantity supplied generally responds positively to price ,so the supply curve is .
a. Upward-sloping
b. Downward-sloping
c. No slope
24. The spirit of unity, harmony, camaraderie, cooperation and professional relationship among
the practitioners is essential, and shall be promoted under .
a. The principle of solidarity
b. Standards of the practice
c. Government authorities
25. Net revenues, or the difference between total sales and total costs.
a. Profits
b. Price
c. Demand
26. The change in revenue that is generated by an additional unit of sales .
a. Marginal revenue
b. Total revenue
c. Average revenue
27. Important kinds of market structures are .
a. Monopoly , oligopoly, monopolistic and perfect competition .
b. Monopolistic competition and perfect competiton
c. oligopoly, monopolistic and perfect competition
28. The pag-ibig maximum loan amount.
a. P3 Million
b. P1 Million
c. P6 Million
29. Pagibig Principal borrower’s age shall not exceed .
a. 70 years old at date of loan maturity
b. 48 years old at date of loan maturity
c. 55 years old at date of loan maturity
30. Penalty of the amount due for everyday of delay of pag-ibig loan.
a. 1/20 of 1%
b. 1/20 of 2%
c. 1/20 of 5%
31. The primary asset of modern commercial banks, accounting for nearly two thirds of assets.
a. Loans
b. Securities
c. Funds
32. Government credit agencies that provide loans directly for farmers and home mortgagors.
a. Government-sponsored enterprises
b. Finance companies
c. Securities firm
33. Take deposits and make loans; they are what most people think of as bank.
a. Depository Institutions
b. Insurance Company
c. Pension Funds
34. Listed are the different depository institutions except
a. Insurance companies
b. Commercial banks
c. Saving banks
35. A financial institution that include brokers, investment banks, under writers and mutual fund
companies.
a. Securities firms
b. Pension funds
c. Saving banks
36. Issue stocks and bonds to the corporate customers, trade them, and advise costumers.
a. Brokers and investment banks
b. Real estate
c. Mutual fund companies
37. The structure of the financial industry that includes insurance companies, securities firms,
and mutual fund companies and pension funds.
a. Financial Institutions
b. Depository Institutions
c. Nondepository institutions
38. Which of the statement is not correct
a. Not all securities firms are very much in the business of producing information
b. Finance companies are in the lending business.
c. Brokers also provide loans to the customers
39. The shares of stock of the REIT must be registered with the Commission and listed in
accordance with the rules of the Exchange.
a. Registration and Listing
b. Investment in the REIT
c. Nationality Requirement
40. Income payment to a REIT shall be subject to a lower creditable withholding tax of 1%.
a. Creditable Withholding Tax
b. Income Taxation of REIT
c. Transfer of Real Property
41. Which of the following does not describe the loans purpose
a. Analyzes financial and economic conditions ,both domestic and international
b. Refinancing of an existing mortgage, specifically a lot loan, with house construction
c. Purchase of a residential house and lot, townhouse or condominium unit
42. Which of the following statement is not true about policy declaration
a. Use the capital market as an instrument to help finance only
b. Promote the development of the capital market;
c. Democratize wealth by broadening the participation of Filipinos in the ownership of real
estate in the Philippines
43. Basic borrower eligibility requirements
a. Not more than 65 years old upon filing, not more than 70 years old upon loan maturity
b. Not more than 65 years old upon filing, not more than 80 years old upon loan maturity
c. more than 65 years old upon filing, not more than 70 years old upon loan maturity
44. Which statement is true
a. Maximum of three qualified pag ibig members may be tacked into a single loan
b. Maximum of two qualified pag ibig members may be tacked into a single loan
c. Maximum of five qualified pag ibig members may be tacked into a single loan
45. Loans over P400 to P3M maybe subject to repricing
a. Every 3 years but not to exceed 2% from the original rate
b. Every 2 years but not to exceed 2% from the original rate
c. Every 4 years but not to exceed 2% from the original rate
46. What is the maximum loan term
a. 30 years
b. 20 years
c. 50 years
47. Failure to pay 3 consecutive monthly amortizations and/or membership contributions.
a. Default
b. Redemption
c. Inflation
48. Refinancing loan 5% of the loan amount retained to ensure cancellation of mortgage/s
prior to PAG-IBIG Fund is referred to
a. Retail Accounts
b. Real Interest Rate
c. Investment
49. Which of the statement is not true
a. Borrower will start the 3 construction if the total cost is lower than the approval loan
b. Borrower will start the 3 construction if the total cost is higher than the approval loan
c. Borrower to request inspection prior to every release of loan proceeds
50. A REIT that owns land located in the Philippines must comply with the foreign ownership
limitations imposed under the Philippine law.
a. Nationality Requirement
b. Registration and Listing
c. Investment in the REIT
51. A REIT must have a minimum paid-up capital of P300,000,000.00.
a. Capitalization
b. Profit
c. Finance
52. Provides and sets of a domino effect on other economic activities which can be referred to
the “multiplier effect of real estate”.
a. The housing or real estate sector
b. Real Estate Finance
c. Real Estate Economics
53. In pag-ibig, the six months interim insurance and 2k processing fee is referred to as .
a. Deductions on the first loan release
b. Deductions on final loan releases
c. Deductions on prospective loan releases
54. Must have at least 2 years repayment history with current bank/institution
a. Refinancing
b. Capitalization
c. Insurance
55. In REIT, A fine of not less than P200,000 nor more than P5,000,000.00 or imprisonment of
not less than 6 years and 1 day nor more than 21 years referred as
a. Penal Provision
b. Penalty
c. Imprisonment
56. It is said that for every P1 million invested in housing it is translated to P16.6 million of
economic housing activity in the country
a. True
b. Maybe
c. False
57. Pag-ibig loan charges and deductions processing fee.
a. P3,000.00
b. P2,000.00
c. P4,000.00
58. To be deducted from the loan proceeds
a. Interim Mortgage Redemption Insurance
b. One year prepayment insurances
c. Retail Accounts
59. Is a stock corporation established in accordance with the Corporation Code of the
Philippines and the rules and regulations promulgated by the Commission principally for the
purpose of owning income-generating real estate assets.
a. Real Estate Investment Trust
b. Investment in the REIT
c. Nationality Requirement
60. Deductions on the first loan release:
a. 6 months interim insurance and 2k processing fee
b. 2 months interim insurance and 2k processing fee
c. 3 months interim insurance and 2k processing fee
61. The 1st release of loan is based on lot value or 40% of the approved loan whichever is lower
a. Incorrect
b. Correct
c. Statement a and B
62. Refinancing must have how many years for repayment history with current bank/institution
a. at least 2 years
b. at least half year
c. at least 4 years
63. Interim interest and advance one year insurances.
a. Deductions on final loan releases
b. Deductions on first loan releases
c. Deductions on second loan releases
64. NOT ALLOWED for Pag-IBIG Housing Loan
a. Less than 28 sqm. Lot area
b. Less than 30 sqm. Lot area
c. Less than 50 sqm. Lot area
65. Married individuals not legally separated and cannot secure marital consent or Special
Power of Attorney (SPA) from spouse is allowed for Pag ibig housing.
a. No
b. Yes
c. Maybe
66. Revenues will increase when price
a. Decreases
b. Increases
c. Unchanged
67. Percentage change in quantity demanded greater than percentage change in price.
a. Elastic demand
b. Inelastic demand
c. Unit elastic demand
68. The percentage change in quantity supplied divided by the percentage change in price .
a. Price elasticity of supply
b. Price elasticity
c. Price elasticity of demand
69. Is by definition equal to price times quantity (PxQ)
a. Total Revenue
b. Total Sales
c. Total Income
70. Properties with “Rights” instead of “Title” as proof of ownership.
a. NOT ALLOWED for Pag-IBIG Housing Loan
b. Maybe ALLOWED for Pag-IBIG Housing Loan
c. ALLOWED for Pag-IBIG Housing Loan
71. When demand is price inelastic ,a price decrease and makes the total revenue
a. Reduces
b. Unchanged
c. Increases
72. The practice of charging different prices for the same service to different customers
a. Price Discrimination
b. Price
c. Price Elasticity
73. We mean the ultimate economic effect of a tax on the real incomes of producers and
consumers by
a. Incidence
b. Choice
c. Random
74. A tax is shifted forward to consumers if the demand is inelastic relative to supply
a. The statement is correct
b. The statement is not true
c. Statement A & B is correct
75. Whether or not the country provides equal health care for all its residents ,health care must
be rationed because .
a. Supply is limited
b. Supply is available
c. Public goods is needed
76. Takes large individual risks and spreads them so broadly that they become acceptable to a
large number of individuals
a. Insurance
b. Loans
c. Banks

77. Is the largest insurance program

a. Health care
b. Social
c. Educational
78. Refers to the flow of wages ,interest payments ,dividends ,and other things of value
accruing during a period of time .
a. Income
b. Salary
c. Status
79. The earnings in the market economy are distributed to the owners of the economy’s factors
of production in the form of :
a. Wages ,profit, rent , and interest
b. National income corporate profits and rental income
c. National income ,salaries and labor income
80. The largest source of wages ,rents and interest payment at every level form
a. Government
b. Bank
c. International income
81. It tries to describe, explain, and predict patterns of prices , demand and supply
a. Real Estate Market Economy
b. Real Estate economics
c. Real Estate
82. Real Estate Investment Trust Act of
2009 (R.A. no. 9856)
a. An act providing the legal framework for real estate investment trust and for other
purposes
b. An act Providing areas and facilities
c. An act for maintenance and insurance policies,including power to enforce the provision
of declarations of restrictions
83. Use as an instrument to help finance and develop infrastructure projects
a. Capital Market
b. Economic Market
c. Community
84. What is the interest rate if the pag-ibig loan amount is over P2M-P3.0M ?
a. 11.5%
b. 12%
c. 10%
85. Income payment to a REIT shall be subject to a lower creditable withholding tax of
a. 1%
b. 0.5%
c. 25%
86. Based on Pag-IBIG Membership Contribution if you have loan entitlement up to 500,000
,how much is the Monthly Contribution?
a. 200
b. 350
c. 250
87. The sale or transfer of real property to REITs, which includes the sale or transfer of any and
all security interest thereto, shall be subject to 50% of the applicable DST.
a. True
b. False
c. None of the above
88. To carry out the purposes of this Act the Commission shall retain and use 50% of all fees
paid to it, relative to the establishment of REITs and the registration of their securities to
annual budget.
a. Use of Registration Fees
b. Registration
c. Transfer of Real Property
89. A very important formula for the computation involving real estate financing is:
MONTHLY AMORTIZATION [ M A ] = Principal to be financed x Amortization Factor
a. True
b. False
c. Both A and B
90. Refinancing must have at least 2 years repayment history with current bank/institution
a. True
b. False ,at least 3 yrs
c. False , at least 4 yrs
91. In refinancing latest one year amortization must reflect default is true
a. No ,must not reflect default
b. Yes
c. A & B is correct
92. Based on the Pag-ibig membership Contribution if the loan entitlement over P1.7 M to 1.8
M ,what will be the monthly contribution ?
a. 850
b. 950
c. 700
93. Retail and Developer Accounts with Transferred Titles Under Borrower’s Name (REM
Accounts) referred as
a. Effects of default
b. Effects of sales
c. Effects of loan
94. To be paid upon filing of pag-ibig Housing Loan Application, non-refundable
a. 1,000.00
b. 10,000.00
c. 2,000.00

95. To be deducted from the loan proceeds of pag-ibig loan

a. 2,000.00
b. 3,000.00
c. 4,000.00
96. The loan amount retained to ensure cancellation of mortgage/s prior to PAG-IBIG Fund.
a. 5%
b. 2%
c. 3%
97. Loan charges and deduction Processing Fee of pag-ibig
a. P3,000.00
b. P1,000.00
c. P2,000.00
98. Loan purpose is Refinancing of an existing mortgage with home improvement
a. Yes
b. No
c. Maybe
99. For something to have value, it must first have .
a. Utility
b. Scarce
c. Demand
100. Even if a thing has utility, it will not have value if it is overabundant.
a. Scarcity
b. Demand
c. Market
101. Number of contribution inorder that a borrower elible for pag-ibig loan.
a. 24
b. 12
c. 48
102. Not more than years old at the date of loan application and must be insurable;
provided further, that he is not more than seventy (70) years old at loan maturity.
a. 65
b. 70
c. 75
103. Pag-ibig monthly repayment shall not exceed of the borrowers gross
monthly income for loans not exceeding P1,250,000.
a. 35%
b. 30%
c. 25%
 104. The pag-big ratio of the loan amount to the appraisal value of the collateral up to
1,250,000.00
a. 90%
b. 80%
c. 50%
105. REIT act of 2009
a. RA 9856
b. RA 9756
c. RA 9586
106. REIT distribute at least of its distributable income as dividend.
a. 90%
b. 80%
c. 50%

107. Minimum total stock public ownership of shareholders in REIT

a. 50,000 shares
b. 1,000 shares
c. 5,000 shares
108. Refers to a professional administrator of real properties who is engaged by the REIT to
provide property management services and lease management services.
a. Property Manager
b. Property owner
c. Property administrator
109. Refer to funds of the REIT that can be placed in investment vehicles other than income
generating real estate
a. Investible Funds
b. Investment fund
c. Investors fund
110. Means a corporation that directly or indirectly, through one or more intermediaries, is
controlled by, or is under the common control of another corporation, which thereby
becomes its parent corporation.
a. Affiliate
b. Subsidiary
c. intermediary
REAL ESTATE FINANCE AND ECONOMICS
111. Basically a result of the interplay of supply and demand of a certain product, such as
real estate housing.
a. Price
b. Area
c. Construction
112. Another element which affects the movement of real estate
a. statement b and c
b. the availability financing, both for the production side or the developers
c. the demand side which is the buying market
113. Involves generally the acquisition of property through loan financing sources
a. Real Estate Financing
b. Real Estate Service Practice
c. Real Estate Economics
114. The application of economic techniques to real estate markets.
a. Real estate economics
b. Real Estate Financing
c. Real Estate Service Practice
115. Simply means the effect of one aspect of the economy with the other economic activities.
a. Multiplier effect of Real estate
b. Binding effect
c. Repulsion effect
116. If a corporation
builds a factory, it will employ construction workers and their suppliers as well as those
 who work in the factory. The statement best explains .
a. an effect in Economics
b. an effect in Society
c. an effect in Macroeconomics
117. Real estate
Economics tries to describe, explain, and predict patterns of
a. prices, supply, and demand
b. prices, income , and demand
c. prices, consumer , and demand
118. In the case where there are more buyers than sellers, then it is considered a seller’s
market as there are fewer real properties available vis-à-vis a higher demand for it. In this
case,
a. the movement of prices will tend to go up because of the higher demand
b. the movement of prices will tend to go down because of the higher demand.
c. the movement of supply will tend to go up because of the higher demand
119. The price of real estate has a tendency to go down in view of the excess in supply vs.
the actual demand of the market, is normally referred to as
a. Buyers Market
b. Suppliers Market
c. Wet Market
120. Real estate financing involves generally the acquisition of property through loan
financing sources, which may be sourced from the following ,except
a. Pilfering from Relatives/Friends
b. Bank Financing and lending companies
c. Assumption of Loan/Mortgages and Government Financing
121. The movement of prices will tend to go up because of the higher demand.
a. Sellers Market
b. Public market
c. Buyers Market
122. Refers to the total quantity of goods and services that the nations businesses
willingly produce and sell in the given period.
a. Aggregate Supply
b. Consumption
c. Investment
123. Which occurs because a good becomes relatively more expensive when its price rises?
a. Substitution effect
b. Market demand
c. Income effect
124. A key determinant of demand
a. Size of the market
b. Special Influences
c. Average Income
125. When the price of a commodity is raised, buyers tend to buy less of commodity.
a. Law of downward –sloping demand
b. Law of Demand
c. Law of Supply
126. When there are changes in factors other than a
good’s own price which affect the quantity purchased, we call these changes .
a. Shifts in Demand
b. Shifts in Supply
c. Shifts in Income
127. If demand rises ,the demand curve shifts to the .
a. Right
b. Left
c. center
128. If supply falls ,the supply curve shifts to the left, and .
a. Price rises and quantity goes down
b. Price rises and quantity goes down
c. Price falls and quantity goes down
129. The price at which quantity demanded equals quantity supplied.
a. Market equilibrium
b. Demand curve
c. Shifts in Supply
130. The equilibrium price is also called .
a. Market –clearing price
b. Equilibrium cost
c. Increased supply
131. Shifts in the supply and demand curves
change the .
a. Equilibrium price and quantity
b. Equilibrium price and demand
c. Equilibrium price and supply
132. An increased in supply ,which shifts the supply curve to the right ,will
a. Decrease price and increase quantity demanded
b. Increase price and increase quantity demanded
c. Decrease price and decrease quantity demand
133. Quantity
supplied generally responds positively to price ,so the supply curve is .
a. Upward-sloping
b. Downward-sloping
c. No slope
134. The spirit of unity,
harmony, camaraderie, cooperation and professional relationship among the practitioners
is essential, and shall be promoted under .
a. The principle of solidarity
b. Standards of the practice
c. Government authorities
135. Net revenues, or the difference between total sales and total costs.
a. Profits
b. Price
c. Demand
136. The change in revenue that is generated by an additional unit of sales .
a. Marginal revenue
b. Total revenue
c. Average revenue
137. Important kinds of market structures are .
a. Monopoly , oligopoly, monopolistic and perfect competition .
b. Monopolistic competition and perfect competiton
c. oligopoly, monopolistic and perfect competition
138. The pag-ibig maximum loan amount.
a. P3 Million
b. P1 Million
c. P6 Million
139. Pagibig Principal borrower’s age shall
not exceed .
a. 70 years old at date of loan maturity
b. 48 years old at date of loan maturity
c. 55 years old at date of loan maturity
140. Penalty of the amount due for everyday of delay of pag-ibig loan.
a. 1/20 of 1%
b. 1/20 of 2%
c. 1/20 of 5%
141. The primary asset of modern commercial banks, accounting for nearly two thirds of assets.
a. Loans
b. Securities
c. Funds
142. Government credit agencies that provide loans directly for farmers and home mortgagors.
a. Government-sponsored enterprises
b. Finance companies
c. Securities firm
143. Take deposits and make loans; they are what most people think of as bank.
a. Depository Institutions
b. Insurance Company
c. Pension Funds
144. Listed are the different depository institutions except
a. Insurance companies
b. Commercial banks
c. Saving banks
145. A financial institution that include brokers, investment banks, under writers and mutual
fund companies.
a. Securities firms
b. Pension funds
c. Saving banks
146. Issue stocks and bonds to the corporate customers, trade them, and advise costumers.
a. Brokers and investment banks
b. Real estate
c. Mutual fund companies
147. The structure of the financial industry that includes insurance companies, securities
firms, and mutual fund companies and pension funds.
a. Financial Institutions
b. Depository Institutions
c. Nondepository institutions
148. Which of the statement is not correct
a. Not all securities firms are very much in the business of producing information
b. Finance companies are in the lending business.
c. Brokers also provide loans to the customers
149. The shares of stock of the REIT must be registered with the Commission and listed
in accordance with the rules of the Exchange.
a. Registration and Listing
b. Investment in the REIT
c. Nationality Requirement
150. Income payment to a REIT shall be subject to a lower creditable withholding tax of 1%.
a. Creditable Withholding Tax
b. Income Taxation of REIT
c. Transfer of Real Property
151. Which of the following does not describe the loans purpose
a. Analyzes financial and economic conditions ,both domestic and international
b. Refinancing of an existing mortgage, specifically a lot loan, with house construction
c. Purchase of a residential house and lot, townhouse or condominium unit
152. Which of the following statement is not true about policy declaration
a. Use the capital market as an instrument to help finance only
b. Promote the development of the capital market;
c. Democratize wealth by broadening the participation of Filipinos in the ownership of real
estate in the Philippines
153. Basic borrower eligibility requirements
a. Not more than 65 years old upon filing, not more than 70 years old upon loan maturity
b. Not more than 65 years old upon filing, not more than 80 years old upon loan maturity
c. more than 65 years old upon filing, not more than 70 years old upon loan maturity
154. Which statement is true
a. Maximum of three qualified pag ibig members may be tacked into a single loan
b. Maximum of two qualified pag ibig members may be tacked into a single loan
c. Maximum of five qualified pag ibig members may be tacked into a single loan
155. Loans over P400 to P3M maybe subject to repricing
a. Every 3 years but not to exceed 2% from the original rate
b. Every 2 years but not to exceed 2% from the original rate
c. Every 4 years but not to exceed 2% from the original rate
156. What is the maximum loan term
a. 30 years
b. 20 years
c. 50 years
157. Failure to pay 3 consecutive monthly amortizations and/or membership contributions.
a. Default
b. Redemption
c. Inflation
158. Refinancing loan 5% of the loan amount retained to ensure cancellation of mortgage/s
prior to PAG-IBIG Fund is referred to
a. Retail Accounts
b. Real Interest Rate
c. Investment
159. Which of the statement is not true
a. Borrower will start the 3 construction if the total cost is lower than the approval loan
b. Borrower will start the 3 construction if the total cost is higher than the approval loan
c. Borrower to request inspection prior to every release of loan proceeds
160. A REIT that owns land located in the Philippines must comply with the foreign
ownership limitations imposed under the Philippine law.
a. Nationality Requirement
b. Registration and Listing
c. Investment in the REIT
161. A REIT must have a minimum paid-up capital of P300,000,000.00.
a. Capitalization
b. Profit
c. Finance
162. Provides and sets of a domino effect on other economic activities which can be referred
to the “multiplier effect of real estate”.
a. The housing or real estate sector
b. Real Estate Finance
c. Real Estate Economics
163. In pag-ibig, the six months interim insurance and 2k processing fee is referred to as .
a. Deductions on the first loan release
b. Deductions on final loan releases
c. Deductions on prospective loan releases
164. Must have at least 2 years repayment history with current bank/institution
a. Refinancing
b. Capitalization
c. Insurance
165. In REIT, A fine of not less than P200,000 nor more than P5,000,000.00 or imprisonment
of not less than 6 years and 1 day nor more than 21 years referred as
a. Penal Provision
b. Penalty
c. Imprisonment
166. It is said that for every P1 million invested in housing it is translated to P16.6 million
of economic housing activity in the country
a. True
b. Maybe
c. False
167. Pag-ibig loan charges and deductions processing fee.
a. P3,000.00
b. P2,000.00
c. P4,000.00
168. To be deducted from the loan proceeds
a. Interim Mortgage Redemption Insurance
b. One year prepayment insurances
c. Retail Accounts
169. Is a stock corporation established in accordance with the Corporation Code of the
Philippines and the rules and regulations promulgated by the Commission principally for the
purpose of owning income-generating real estate assets.
a. Real Estate Investment Trust
b. Investment in the REIT
c. Nationality Requirement
170. Deductions on the first loan release:
a. 6 months interim insurance and 2k processing fee
b. 2 months interim insurance and 2k processing fee
c. 3 months interim insurance and 2k processing fee
171. The 1st release of loan is based on lot value or 40% of the approved loan whichever is lower
a. Incorrect
b. Correct
c. Statement a and B
172. Refinancing must have how many years for repayment history with current bank/institution
a. at least 2 years
b. at least half year
c. at least 4 years
173. Interim interest and advance one year insurances.
a. Deductions on final loan releases
b. Deductions on first loan releases
c. Deductions on second loan releases
174. NOT ALLOWED for Pag-IBIG Housing Loan
a. Less than 28 sqm. Lot area
b. Less than 30 sqm. Lot area
c. Less than 50 sqm. Lot area
175. Married individuals not legally separated and cannot secure marital consent or
Special Power of Attorney (SPA) from spouse is allowed for Pag ibig housing.
a. No
b. Yes
c. Maybe
176. Revenues will increase when price
a. Decreases
b. Increases
c. Unchanged
177. Percentage change in quantity demanded greater than percentage change in price.
a. Elastic demand
b. Inelastic demand
c. Unit elastic demand
178. The percentage change in quantity supplied divided by the percentage change in price .
a. Price elasticity of supply
b. Price elasticity
c. Price elasticity of demand
179. Is by definition equal to price times quantity (PxQ)
a. Total Revenue
b. Total Sales
c. Total Income
180. Properties with “Rights” instead of “Title” as proof of ownership.
a. NOT ALLOWED for Pag-IBIG Housing Loan
b. Maybe ALLOWED for Pag-IBIG Housing Loan
c. ALLOWED for Pag-IBIG Housing Loan
181. When demand is price inelastic ,a price decrease and makes the total revenue
a. Reduces
b. Unchanged
c. Increases
182. The practice of charging different prices for the same service to different customers
a. Price Discrimination
b. Price
c. Price Elasticity
183. We mean the ultimate economic effect of a tax on the real incomes of producers
and consumers by
a. Incidence
b. Choice
c. Random
184. A tax is shifted forward to consumers if the demand is inelastic relative to supply
a. The statement is correct
b. The statement is not true
c. Statement A & B is correct
185. Whether or not the country provides equal health care for all its
residents ,health care must be rationed because .
a. Supply is limited
b. Supply is available
c. Public goods is needed
186. Takes large individual risks and spreads them so broadly that they become acceptable
to a large number of individuals
a. Insurance
b. Loans
c. Banks

187. Is the largest insurance program

a. Health care
b. Social
c. Educational
188. Refers to the flow of wages ,interest payments ,dividends ,and other things of
value accruing during a period of time .
a. Income
b. Salary
c. Status
189. The earnings in the market economy are distributed to the owners of the economy’s
factors of production in the form of :
a. Wages ,profit, rent , and interest
b. National income corporate profits and rental income
c. National income ,salaries and labor income
190. The largest source of wages ,rents and interest payment at every level form
a. Government
b. Bank
c. International income
191. It tries to describe, explain, and predict patterns of prices , demand and supply
a. Real Estate Market Economy
b. Real Estate economics
c. Real Estate
192. Real Estate Investment Trust Act of
2009 (R.A. no. 9856)
a. An act providing the legal framework for real estate investment trust and for other
purposes
b. An act Providing areas and facilities
c. An act for maintenance and insurance policies,including power to enforce the provision
of declarations of restrictions
193.Use as an instrument to help finance and develop infrastructure projects
a. Capital Market
b. Economic Market
c. Community
194. What is the interest rate if the pag-ibig loan amount is over P2M-P3.0M ?
a. 11.5%
b. 12%
c. 10%
195. Income payment to a REIT shall be subject to a lower creditable withholding tax of
a. 1%
b. 0.5%
c. 25%
196.Based on Pag-IBIG Membership Contribution if you have loan entitlement up to 500,000
,how much is the Monthly Contribution?
a. 200
b. 350
c. 250
197. The sale or transfer of real property to REITs, which includes the sale or transfer of any
and all security interest thereto, shall be subject to 50% of the applicable DST.
a. True
b. False
c. None of the above
198. To carry out the purposes of this Act the Commission shall retain and use 50% of all
fees paid to it, relative to the establishment of REITs and the registration of their
securities to annual budget.
a. Use of Registration Fees
b. Registration
c. Transfer of Real Property
199. A very important formula for the computation involving real estate financing is:
MONTHLY AMORTIZATION [ M A ] = Principal to be financed x Amortization Factor
a. True
b. False
c. Both A and B
200. Refinancing must have at least 2 years repayment history with current bank/institution
a. True
b. False ,at least 3 yrs
c. False , at least 4 yrs
201. In refinancing latest one year amortization must reflect default is true
a. No ,must not reflect default
b. Yes
c. A & B is correct
202. Based on the Pag-ibig membership Contribution if the loan entitlement over P1.7 M to
1.8 M ,what will be the monthly contribution ?
a. 850
b. 950
c. 700
203. Retail and Developer Accounts with Transferred Titles Under Borrower’s Name
(REM Accounts) referred as
a. Effects of default
b. Effects of sales
c. Effects of loan
204. To be paid upon filing of pag-ibig Housing
Loan Application, non-refundable
a. 1,000.00
b. 10,000.00
c. 2,000.00

205. To be deducted from the loan proceeds of pag-ibig loan

a. 2,000.00
b. 3,000.00
c. 4,000.00
206. The loan amount retained to ensure cancellation of mortgage/s prior to
PAG-IBIG Fund.
a. 5%
d. 2%
e. 3%
207. Loan charges and deduction Processing Fee of pag-ibig
a. P3,000.00
b. P1,000.00
c. P2,000.00
208. Loan purpose is Refinancing of an existing mortgage with home improvement
a. Yes
b. No
c. Maybe
209. For something to have value, it must first
have .
a. Utility
b. Scarce
c. Demand
210. Even if a thing has utility, it will not have value if it is overabundant.
a. Scarcity
b. Demand
c. Market
211. Number of contribution inorder that a borrower elible for pag-ibig loan.
a. 24
d. 12
e. 48
212. Not more than years old at the date of loan application and must be insurable;
provided further, that he is not more than seventy (70) years old at loan maturity.
a. 65
d. 70
e. 75
213. Pag-ibig monthly repayment shall not exceed of the borrowers gross
monthly income for loans not exceeding P1,250,000.
a. 35%
b. 30%
c. 25%
214. The pag-big ratio of the loan amount to the appraisal value of the collateral
up to 1,250,000.00
a. 90%
b. 80%
c. 50%
215. REIT act of 2009
a. RA 9856
d. RA 9756
e. RA 9586
216. REIT distribute at least of its distributable income as dividend.
a. 90%
b. 80%
c. 50%

217. Minimum total stock public ownership of shareholders in REIT

a. 50,000 shares
b. 1,000 shares
c. 5,000 shares
218. Refers to a professional administrator of real properties who is engaged by the
REIT to provide property management services and lease management services.
a. Property Manager
b. Property owner
c. Property administrator
219. Refer to funds of the REIT that can be placed in investment vehicles other than
income generating real estate
a. Investible Funds
b. Investment fund
c. Investors fund
220. Means a corporation that directly or indirectly, through one or more
intermediaries, is controlled by, or is under the common control of another
corporation, which thereby becomes its parent corporation.
a. Affiliate
b. Subsidiary
c. intermediary