SIE Understanding Products and Their Risks Question 78: Answer and Explanation

Question: 78

Which of the following statements is true regarding the Real Estate Investment Association?

• A. It was formed in 1987, after the 1986 tax act had reduced real estate opportunities.
• B. It was formed in 2008, after the 2007 real estate bubble burst.
• C. It was formed in 2018, as the economy was beginning to expand.
• D. It was formed in 2021, after the COVID pandemic reduced real estate activity.

Correct Answer: A

Explanation:

A: Choice A is the correct answer because, after the 1986 tax act, some real estate professions joined to research new opportunities in the real estate industry, and encourage communication by its members to share helpful information. Choices B, C, and D are incorrect.