Finance

Which of the following is considered a 'soft cost' in real estate development financing in North Dakota?

AConcrete and steel for the foundation
BArchitectural fees, engineering reports, permits, and legal fees✓ Correct
CExcavation and grading
DLumber for framing

Explanation

Soft costs are intangible development expenses such as professional fees (architects, engineers, attorneys), permits, financing costs, and administrative expenses, as opposed to 'hard costs' which are direct construction materials and labor.

Related North Dakota Finance Questions

Practice More North Dakota Real Estate Questions

1,500+ questions covering all exam topics. Start free — no signup required.

Take the Free North Dakota Quiz →