Florida Broker Practice Exam

What is an absentee owner best described as?

1. A property owner who lives on-site

2. A property owner reliant on a manager

3. Someone who invests in commercial properties only

4. A real estate broker

The correct answer is: A property owner reliant on a manager

An absentee owner is best described as a property owner who does not reside on the property they own. This individual is often unable to manage their property personally due to distance or other commitments, leading them to rely on a property manager or management firm to oversee the day-to-day operations and maintenance of the property. This arrangement allows absentee owners to maintain their investment without needing to be physically present, which is particularly common in rental situations or real estate investments. The other choices do not accurately describe an absentee owner. Living on-site contradicts the very definition of being absentee, while investing exclusively in commercial properties is too narrow and doesn't encompass the full scope of absentee ownership. Simply being a real estate broker also does not define an absentee owner, as brokers actively manage real estate transactions but may or may not own property themselves.