Comments about the OREA admissions test

 

As you know if you don’t have a high school diploma you are required to pass the OREA admissions test. The OREA admissions test is a three hour multiple choice test. It purports to test basic Math and English up to the end of high school. A calculator is allowed. OREA does NOT publish a sample test. This has led to much anxiety and confusion.

We believe that for most people the OREA admissions test will NOT be an impediment to your entering the program. This post is designed to create a community of comments about the test. Pleases share your experiences.

Your problem should not be getting into the OREA program. Your problem will be passing the program. Learn what skills are necessary to pass the six OREA exams.

But, for now, what are your experiences with the OREA admissions test?

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18 thoughts on “Comments about the OREA admissions test

  1. beverly

    hi i have read the above post…and i am stressed over the admissions test cosidering i have been out of school since 1994….so its been a while does anyone have any advice for me please let me know what to expect so i know what areas to study mainly cocearning the math….i would like to narrow down what i should be focusing on…thanks i need any sorta advice…or helpfull area what to expect!!

    Reply
    1. OREA

      Hello
      I am also looking for more info about passing OREA admission test.. any advise … is there a practice test..?

      Reply
    2. Ross

      I was out of school the early 1970’s.
      Test is not hard,I too was worried but ended up aceing it.
      Just study basic math and you will do ok.

      Reply
      1. realestateprep Post author

        What do you remember about the kinds of questions? Any specifics? What was the level of math required?

      2. Ross

        It was just basic math fractions ,multiply,division perecentages etc nothing too hard ,you can google questions to practise ? A little knowledge about Real Estate would help as well.
        if I passed anyone can.

      3. realestateprep Post author

        Thanks for your reply – interesting. They are making sure that you have the background skills (arithmentic, percentages, etc.) to actually learn the Real Estate Math Skills that you will need in the complete OREA program.

        Most of the math the OREA program can be learned.

        That said, if you can’t do the math, you will not get through. There are just enough math based questions on the test to cause trouble.

        Here the math skills that required. This comes from Math Magic Toronto:

        http://www.mathmagic.ca/test-preparation/real-estate-math/

        What Are The Specific Math Skills Required To Become A Real Estate Agent?

        The Ontario Real Estate College (OREA) describes the personal skills needed to become a successful real estate agent. Not surprisingly they include:

        “Math – basic fundamentals, including multiplication, division, fractions, and percentages”

        This is hardly a surprise. In fact “Course 1″ is quite “math heavy”. Your success or failure in course 1 will depend on your math skills. One of the four sections is called: “Introduction to Math Skills”.

        Introduction To Math Skills is described by OREA as follows:

        “… focusing on math and related skills required in a real estate career. Chapter 7 highlights basic calculation skills involving fractions, decimals and percentages including the use of a calculator followed by area, volume and building measurements. Chapter 8 concentrates on mortgage mathematics with particular emphasis on mortgage financing fundamentals including mortgage qualifications and interest rate calculations. The final chapter highlights calculations that arise at various points in the negotiating and closing processes including using capitalization rates, taxation (land transfer tax and real property tax) and adjustments made at closing.”

        These real estate math skills establish the prerequisites for the real estate and real estate problem solving questions that appear in later courses. It is interesting that the basic concepts of geometry (areas, volumes, etc.) are included in your real estate math tool box. Knowledge of the basic concepts of geometry is necessary to determine building area measurements.

        Examples of Real Estate Math – Commercial Real Estate – Math Skills Required

        In addition, to the math covered in course 1, passing the OREA commercial real estate exam requires you to know (at a minimum the following):

        – calculation of minimum rents

        – calculation of additional rent

        – calculation of percentage rents

        – determining valuation and cap rates

        – total cost of building per square foot

        – determining total return, return on equity, leverage and the determination of whether the leverage is positive or negative

        – valuation with the direct capitalization method

        – Calculation of depreciation (CCA), the undepreciated capital cost (UCC) and recapture

        – income vs. capital gain

        – and more

        Examples of Real Estate Math – Mortgages – Skills Required

        – Interest: effective, nominal

        – Present and Future Value, term, amortization period, term, early discharge

        – Bonus, discounting of mortgages, interest penalties, amortization, blended payments

        – monthly payments, compounding frequencies, pre-payment, mortgage buy downs

        Many people have forgotten these skills or never had them to begin with. Either way our “Real Estate Math Prep” has been designed to:

        First, teach the toolbox of math skills so that you can pass the exam; and

        Second, ensure that you are able to apply these skills to solve problems on your OREA real estate exams and in your real estate career!

      1. Sunil Dhanpaul

        Hi. I am taking the test next week and would like to know if you can share some examples as to what to look for. Can you help with this?

  2. New2012

    Hi reading all the comment I am now curious on this admission test.. This is the first step that I have read,, So can anyone share their thoughts on the test if done it recently? pls

    Reply
  3. Frances

    I need help on this text, if anyone can has a practice test on this admission, since I’ve been out of school since the 70’s

    Reply
    1. Ross

      Frances i had to take admission test and had also been out of school since the early 70’s,what I did to refresh myself was to take math questions off youtube to practise.
      The test was not that hard but if your math skills are rusty I would tell you just to study study.
      Good luck

      Reply
  4. Pingback: OREA pre-registration stage – Should your third course be residential real estate or commercial real estate? « Ontario Real Estate Preparation Course – OREA Exams

  5. realestateprep Post author

    Here are some comments courtesy of someone who recently took the test – 50% required for pass.

    “Hello again John,

    As mentioned before, I belong to the old school and not happy if my
    mistakes are not pointed out!! Since I am changing careers, I want to
    succeed & be on the top of my class – No not a teachers pet.ha! ha!

    On a serious note, with respect to the questions, approximately 30
    were based on English comprehension. The answer is in the paragraph
    however, due to the length of the paragraph, it can be a bit
    misleading as similar words and not always the same are used in the
    statement on which the question & answer is based.

    eg: Due to the current political and economic situation in the world,
    in most countries the real estate market has been affected. The
    interest rates have risen and there is no dearth of properties
    available.

    a. The buyer has an advantage over the seller
    b. The seller has an advantage over the buyer
    c. The interest rates have risen therefore it is a good time to buy
    d. The real estate market is not affected by the economic situation

    The math questions, were all decimals, percentages, multiplication &
    division very similar to the questions you posed on your work sheet.

    1. What is 25%

    a. 4/5 b. 1/2 c. 7/8 d. 1/4

    2. If Mr Adams is earning 65 K and the bank will finance based on 28%
    of his gross income. What would be his monthly mortgage?

    3. Mr Adams purchased a new house for the original listed price of
    220,000 plus various high end upgrades. As a result, the the original
    price represented only 82% of the selling price. What was the final
    selling price.

    4. Brokerage A completed 310 transactions in 1 year of which
    Salesperson Ms. Clark was involved in 17. What percentage involvement
    does it represent ( round to 2 decimal pts)

    There were no conversions and calculations based on area and
    dimensions of homes.

    Note|:

    The HP calculator calculates only up to 2 decimal pts ( I just bought
    it hence did not know if I cud get 3 pts). Some of the questions
    requested for 3 decimal points in the answer- I took my old calculator
    as well hence was saved!

    A must- Pen, Pencil, eraser, & sharpener – they supply pencils but
    they have only a few erasers and you have to request for it when
    required! The pencils are used more than the pens.

    They are VERY strict with respect conduct in the exam room – nothing
    other than the above are allowed. Rough work has to be on the work
    sheet. Only 1 person at a time is allowed to use the washroom as they
    said that there has been impersonation and fraud in the past!

    3 hours is far too long- I finished mine in 1 hr 20 minutes –
    hindsight- I guess I should have looked over my answers twice over!:)
    Something my dad insisted on and I never adhered to – lesson learnt in
    my old age.

    I would appreciate if you would let me know when you commence your
    test prep classes and I will now make a mental note of the questions &
    revert in the future if that would be of assistance to future
    students.

    Have a wonderful weekend John.
    Sincerely,

    Reply

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