South Dakota Property Management Practice Test

These questions are part of the practice quiz. Start practicing

• A management plan should include which of the following?
• What essential information should a valid lease clearly identify?
• When must a landlord provide utilities according to lease agreements?
• What is the primary role of a property manager in tenant selection?
• Which lease is most commonly utilized by industrial tenants?
• What does “tenant screening” involve?
• What is the most important action to take when showing a property to a new prospect?
• What is the most important operating record kept by the property manager?
• What document would typically be used to communicate financial performance of a property?
• What serves as a basis for setting rental schedules and estimating property income and expenses?
• What should be a priority in a long-term lease agreement?
• What should property managers do to respect tenants' privacy rights?
• Which situation could lead to the loss of a security deposit?
• What is the significance of “due diligence” in property management?
• Where must a property manager deposit all security deposits and rental proceeds?
• What type of education is required for obtaining a property manager's license?
• What is the legal process for returning a security deposit?
• The requirement for property managers to renew their licensing is intended to ensure what?
• Which factor exerts the strongest influence over the design of the marketing plan?
• Which of the following is not a disciplinary option for the commission against a property manager?
• What does an abundance of available space relative to tenant demand signify?
• What type of estate does most residential property managers use?
• What is the outcome of economic oversupply in the rental market?
• How should a budget forecast be developed, according to property management principles?
• If a building is 100% occupied, what should the property manager consider?
• When someone buys shares in a corporation that owns an entire apartment building, what is this arrangement called?
• What is the Fair Housing Act focused on?
• What is a potential consequence of failing to follow the statute of frauds regarding lease agreements?
• Which type of leasehold estate is most commonly used by residential property managers?
• Which of the following actions is a primary responsibility of property management concerning lead-based paint?
• What is one common feature of property management software?
• What is a critical reason for including a termination clause in a lease?
• What document outlines the agreement between the property owner and the manager?
• If a property owner requests a property manager to act in violation of civil rights laws, what should the property manager do?
• For how many years must records relating to rental funds be maintained after a management contract ends?
• Which law indicates that most leases should be in writing to be enforceable in most states?
• What is the primary purpose of property management software?
• In the absence of a prohibition against assignment or subletting in a lease, what can a tenant do?
• What is an essential reason for retaining lead-based paint disclosures?
• Which of the following is NOT one of the four major classifications of real estate?
• What is the proper way to handle tenant complaints?
• Which aspect is vital for a property manager to communicate with the owner?
• What legal document conveys title to a condominium unit?
• Can a person obtain a residential rental agent license without education or examination?
• What constitutes an "unauthorized tenant?"
• What is an operating budget?
• Which financial report gives insights into cash flow for the month and the sources and uses of funds?
• What is typically the first step in preparing a management plan?
• What is the primary purpose of maintaining tenant security deposits in a separate ledger?
• What important document must a landlord provide to tenants regarding their rights?
• How is the principal-agent relationship in property management typically established?
• What specific detail must an apartment lease include when describing the premises?
• What is a lease?
• What is one of the primary interests of a landlord when drafting a lease?
• Is supervision required for a person holding a residential rental agent license?
• Why might a property manager be required to conduct a lead-based paint inspection?
• Which of the following is a responsibility of property managers regarding tenant privacy?
• What is the maximum allowable late fee that can be charged for rent in South Dakota?
• Which document establishes condominium ownership?
• Which aspect of property management involves understanding local rental laws?
• What typically happens when disbursements exceed receipts in a month according to the management agreement?
• What benefits do online rent payment options provide?
• What is the financial and operational strategy for managing a property called?
• When evaluating data in a neighborhood market survey, what is a residential property manager most concerned with?
• What is a key reason to carefully consider the "option to renew" clause in a lease?
• What is the primary purpose of the operating pricing worksheet?
• Which factor is NOT typically considered during a market analysis for rent pricing?
• Which of the following is typically required in a lease regarding maintenance responsibilities?
• What type of properties are generally managed by their owners?
• Which aspect differs markedly between managing residential and office properties?
• Who typically bears the cost of tenant alterations and remodeling above the building standard?
• What must be provided for a residential rental agent to obtain licensing?
• What right does an individual with a membership certificate in a cooperative community obtain?
• What is meant by “eviction”?
• What must property managers do to avoid legal repercussions related to tenant security deposits?
• What clause should be included in a long-term lease to protect an owner from missing out on rising market rates?
• From where is condominium income primarily derived?
• What is the implication of the "disclosure requirements" in property management?
• How often should property managers reassess market rent prices?
• What type of bond should any employee who handles the owner's funds have?
• What is the term for transferring a tenant's rights and remaining interest to a third party?
• How often should rent be reviewed and potentially adjusted?
• What does “positive cash flow” mean in property management?
• How can tenant feedback improve property management?
• What is the principal responsibility of a property manager?
• What is a key goal for property managers in a competitive market?
• Which function is a key responsibility in property management?
• What is the primary purpose of property management?
• Within how many days must a security deposit be returned to tenants after termination?
• What is a "break lease" clause?
• How many years must required disclosures regarding lead-based paint be retained?
• The Equal Credit Opportunity Act (ECOA) prohibits discrimination in regards to which of the following?
• What rights do tenants have regarding maintenance issues?
• Which license is required for property management in South Dakota?
• What type of depreciation is most influenced by technological changes in specialized industries?
• How many hours of education must an applicant complete for a property manager's license within the last two years?
• What must a property manager disclose to the client during their dealings?
• What is a lease called in which the tenant pays a flat fee while the landlord covers all building expenses?
• When should property managers focus on current economic conditions?
• What is the term for an estate that occurs at the end of a lease term without the consent of the owner?
• What is the primary goal of preventive maintenance in property management?
• Which of the following is classified as commercial real estate?
• The residential rental agent license is categorized as what type of license?
• What is the result when both fixed and variable expenses are deducted from gross collectible income?
• Where must tenant security deposits be maintained?
• Which is a commonly required aspect of lead-based paint disclosure?
• How can property managers enhance tenant satisfaction?
• What does the term "lease termination" refer to?
• What action should a property manager take if they experience a shortfall in income for the month?
• What does a property management agreement typically outline?
• A residential rental agent shall provide to the Commission proof of participation in not less than how many hours of approved continuing education?
• What is the potential disadvantage for property managers who do not retain lead-based paint disclosures for the required time?
• What type of journal must a property manager prepare and maintain?
• Who can authorize a residential rental agent to sign leases?
• What is the primary function of a property manager?
• What is considered "adverse action" in tenant screening?
• What is one of the duties of a professional property manager acting as an agent for the owner?
• What is the purpose of a move-in checklist?
• What are the grounds for eviction in South Dakota?
• What is the purpose of a property inspection?
• What can property managers do to ensure compliance with fair housing laws?
• What is the term used when a tenant must leave the premises due to a landlord's failure to provide essential services?
• Monthly fees paid by condo owners primarily support which aspect of condominium operations?
• After analyzing comparables, what should a property manager be able to provide the owner?
• Under what circumstance can an agent terminate a management contract early without facing a claim for damages from the owner?
• When a property manager analyzes the owner's objectives, what are they primarily doing?
• What primarily drove the demand for professional property management in the late 1800s?
• Which maintenance type is focused on fixing issues after they occur?
• In property management, what must be retained for a specified period related to lead-based paint?
• What is necessary for someone to act as a property manager in South Dakota?
• What is a key benefit of using property management software?
• To prevent surprises when taking over a new property, what should a property manager do first?
• Which three tools are essential in formulating a management plan?
• What illegal activity involves mixing the owner's funds with personal funds?
• How should property managers respond to discrimination complaints?
• What is the significance of a monthly cash flow report in property management?
• How can effective communication with tenants be achieved?
• True or False: Net operating income is total income minus operating expenses before debt service.
• Why is a fidelity bond important for employees in property management?
• Which method is most effective for reducing tenant protests over rent increases?
• What is a key characteristic of condominiums?
• What is an important aspect of property management related to financial reporting?
• How many hours of continued education must a property manager complete in the initial licensing cycle?
• In the context of property management, what does an operating budget typically include?
• If a property manager deposits a tenant's security deposit into a regular account, this action is classified as?
• What are security deposits primarily used for?
• What can a tenant claim if a landlord fails to provide essential services, allowing them to terminate the lease?
• What is a lease in which the rental rate changes based on business volume called?
• Which of the following is NOT a concern for property managers when assessing a rental market?
• What can property managers use to document market rent prices?
• To determine if occupancy levels for a specific type of property are changing, what should a property manager do?
• In what case can a tenant be charged late fees according to lease terms?
• What is the contractual document called that outlines the duties of both the owner and the agent?
• When acting as an agent, what responsibilities does a property manager owe to the principal?
• Which of the following is NOT required to be disclosed concerning lead-based paint?
• What is considered a key component of a good property management plan?
• Which provision is typically excluded from a lease agreement?
• What is typically the first step in establishing a financial plan for property management?
• What is a primary reason for conducting property analysis in commercial real estate?
• Who is typically responsible for the hiring and firing of maintenance personnel in property management?
• What must property managers disclose regarding liabilities to their clients?
• If a tenant is consistently late on rent, what should a property manager do?
• What should be included in a tenant’s lease regarding property use?
• What does the monthly earnings report provide?
• How is a residential rental agent's authority structured?
• What does a situation with more available units than tenants indicate?
• In what manner will the Commission discipline a residential rental agent?
• What should a property manager do to ensure effective management?
• What is the best approach to ensure timely payment of rent?
• What is one of the responsibilities of a property manager regarding client information?
• What does “capital expenditures” refer to in property management?
• What is often the responsibility of the leasee regarding office property remodeling?
• What is an eviction notice?
• How can landlords enforce lease provisions?
• What action must landlords take regarding security deposits in South Dakota?
• Who are considered the main parties involved in a lease?
• What role do property managers play in maintaining a condominium?
• What does the term "occupancy rate" indicate?
• What disclaimer must be included in advertisements for rental properties?
• What type of broker's license is required for Property Management in South Dakota?
• What is the definition of subleasing?
• In an operating budget, what term refers to the funds set aside for replacement expenditures?
• How long must lead-based paint disclosure forms be retained?
• Which financial report necessitates the determination of optimum rents?
• When conducting a market analysis for an office property, what factors should the manager pay close attention to?
• What is a requirement for disbursing rental proceeds?
• What term is used to describe the loss of building value due to postponed repairs?
• What does the term "rent control" imply?
• Which type of maintenance focuses on preserving the physical integrity of a property?
• What term describes individual ownership in a unit with an undivided interest in common elements?
• What constitutes a “material breach” of a lease agreement?
• How should a property manager handle security deposits?
• What is a “walk-through” inspection?
• Which of the following best describes the responsibilities of a property manager?
• How does the commission discipline a property manager?
• What document often defines the relationship between owner and property manager?
• How does a tenant differ from a licensee?
• What is the role of a tenant association?
• What is fair housing legislation designed to do?
• What are leases that automatically renew until notice is given called?
• What is an acceptable practice for setting rent prices?
• What should a property manager do if a tenant declares bankruptcy?
• Which of the following is NOT a function of property management?
• How are properties designed for heavy industry typically managed?
• What is the primary focus of an operating pricing worksheet in property management?
• What is a good management plan based on?
• Why is it essential to determine optimum rents in property management?
• What is included in a market analysis for property management?
• How can property managers effectively assess market rent prices?
• What does "maintenance request" refer to?
• Which of the following actions may lead to an agent's dismissal according to property management standards?
• If a tenant fails to leave the property after the lease expires, what type of tenancy is created?
• What is the primary purpose of a management contract?
• What is the primary objective of conducting a market analysis in property management?
• What determines the pricing strategy for rental properties?
• Why do managers prefer the authority to hire and fire property personnel?
• Which entities must be licensed as firms under South Dakota law?
• Which governmental agency outlines the regulations regarding lead-based paint disclosure?
• Which of the following is a key responsibility of a property manager?
• What is the minimum term that should be set in a management contract for a large property?
• Who can act as a residential rental agent in South Dakota?
• What is the typical duration of standard lease agreements?
• Who do condominium property managers have fiduciary responsibilities to?
• Under what condition can leases often be automatically canceled?
• What influences a prospective tenant's first impression of a rental property the most?
• What is the principle of “constructive eviction”?
• What must a licensed property manager keep track of according to South Dakota regulations?
• According to the statutes of frauds in most states, what is required for leases longer than one year?
• A bank employee managing properties for the bank should at the very least have what form of authorization?
• What is the role of the South Dakota Real Estate Commission?
• What should property managers do if they suspect a lease violation?
• Which of the following describes a document that gives a real estate agent authority to act on behalf of a property owner?
• What constitutes a fiduciary relationship in property management?
• Why is it important for a property manager to maintain accurate records?
• How do managers of cooperative and condominium communities typically determine their management fees?
• What does a tenant's right to privacy entail?
• How long must security deposits be held after a tenant vacates?