California Real Estate Salesperson Exam Practice – Question 10

Question

In comparing the cost of reproduction of two buildings of the same square footage, a two-story house usually:

Selections

• A. Costs more than a one-story house

• B. Costs less than a one-story house

• C. Costs the same as a one-story house

• D. Can’t be compared with a one-story house


Answer: B


5 Keys Summary

1. A two-story house generally costs less to reproduce than a one-story house with the same total square footage.

2. This lower cost is due to the structure being more cost-effective to build on a per-square-foot basis.

3. The efficiency is gained by stacking the living space vertically, maximizing use “under the same roof and over the exact same foundation”.

4. Since the foundation and roof are major construction expenses, a two-story house requires less foundation footprint and smaller roof surface area, lowering overall reproduction costs.

5. Reproduction cost is an estimate to rebuild an exact replica, which demonstrates that a comparable one-story building is inherently more expensive due to its larger required roof and foundation.

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