California Real Estate Practice Exam

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Study for the California Real Estate Exam with confidence. Engage with interactive questions designed to enhance your understanding of real estate principles, laws, and practices. Prepare thoroughly for your licensing test and ensure you have the knowledge to succeed in your real estate career!

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What is the indicated value of a subject property with four bedrooms, if the comparable three-bedroom property sold for $225,000 and a bedroom is valued at $30,000?

$255,000
$245,000
$265,000
$235,000

The correct answer is: $255,000

Context All of the choices except for A are incorrect because they do not correctly calculate the value of the subject property. The value of the subject property with four bedrooms would be $255,000 because the comparable three-bedroom property sold for $225,000 and each bedroom is valued at $30,000. This means that the additional bedroom adds $30,000 to the overall value of the property, resulting in a final value of $255,000. Options B, C, and D would either not take into account the value of the additional bedroom or incorrectly apply the value, resulting in an inaccurate calculation. Therefore, A is the correct answer.