Chapter 2 Quizzes

Define a net listing and give an example.

For example, a seller tells a broker that he or she needs to "net" $100,000 from the sale, and if the property sells for $135,000, the broker gets to keep $35,000 as the commission.A net listing is a contract in which the broker receives as commission all monies over and above a minimum sales price agreed upon by the broker and the seller.

Define reciprocity.

If a nonresident broker or salesperson lives in a state that does not require New York licensees to take their exam or maintain an office in that state, then the nonresident can get a New York license without having to do either of those things.

Which of the following is required of a real property appraiser?

Real property appraisers who appraise property related to a federal transaction and is valued at $250,000 or more must be licensed or certified for a 2-year term, must pay a $300 license fee, have 2 years of appraisal experience (except appraisal assistants), and must be licensed or certified under one of the four levels of licensure.

Which of the following is NOT required for a broker from Rhode Island to legally practice real estate in New York?

Reciprocity agreement

The fee for changing a broker's name or status is ______, except if the change is made on the renewal application.

There is a $155 fee for changing a broker's name or status unless the change is made on the renewal application.

Which statement is true about pocket cards?

They are a kind of miniature license that licensees must carry and show on demand.

How can a broker from Connecticut legally practice real estate in New York?

Through reciprocity

Licensees must carry their_________________ with them and show them on demand.

pocket cards

No renewal license will be issued to any licensee unless

the licensee has completed 22 ½ hours of continuing education.

How many hours of continuing education are required for license renewal?

22.5

How many hours of continuing education is the licensee required to complete in fair housing?

3 hours

an a licensee hold more than one license? Explain.

A broker may hold two broker's licenses. A licensed broker may also become an associate broker with another firm. A salesperson or an associate broker can work under the association and supervision of more than one broker, as long as each sponsoring broker acknowledges it to the DOS and the person pays for two licenses.

A net listing is a contract in which the broker receives as commission all monies over and above a minimum sales price agreed upon by the broker and the seller. This type of listing is____________in New York.

A net listing is illegal in New York.

The NY Department of State requires a broker to maintain what kind of bank account for client funds?

A separate, federally-insured trust or escrow account.

How many hours of continuing education credit will a licensee receive for teaching an approved real estate course?

2 hours for each teaching hour

If there is a change of broker and/or address, how long does the licensee have to complete and submit the appropriate form to the Department of State?

5 days

Which of the following courses would not be acceptable to meet the continuing education requirement?

Basic Computer Skills

What kind of bank account must a broker maintain for client funds?

Because a real estate broker must not commingle money or other property belonging to others with his own funds, the broker must maintain a separate, federally-insured trust or escrow account exclusively for the deposit of client monies, and the broker must make the deposits as soon as possible.

If a licensee completes 25 hours of continuing education in one renewal period, how many hours will be applied to the following renewal period?

If the licensee takes more than the required 22.5 hours of continuing education in one 2-year period, the extra hours do not grandfather forward to the following renewal period.

How often must a licensee renew his or her license, and what happens if the license is not renewed within the specified time frame?

Licensees must renew their licenses every two (2) years. The Department will require any applicant who does not apply for license renewal within the two-year period to qualify by retaking and passing the written examination.

How many continuing education credit hours does a licensee receive for completing a course in Sales Psychology?

None

Who can maintain a branch office?

Only the owner broker to whom the branch office license is issued

What must a licensee do to renew a license after the 2-year renewal date?

Retake and pass the licensure examination

Who sets the rules for the content of continuing education courses?

The Secretary of State will set the rules for the content, setting, and other requirements for continuing education courses.

Explain what happens when a licensee receives his or her license and pocket card.

The broker keeps the license in a safe place. The licensee must carry the pocket card with him or her and show it on demand.

What information must a broker include in an advertisement?

The broker must indicate that the advertiser is a broker or give the broker's name and telephone number.

Which of the following is Not required for a broker from a state with a reciprocity agreement with New York?

The broker must maintain an office in his or her home state.

If a broker changes his or her business address,

The broker must pay a $10 change of address filing fee to the DOS for each licensee affiliated with the broker.

Is anyone exempt from the continuing education requirement?

The continuing education requirement does not apply to any broker who was licensed and engaged full time in the real estate business for at least 15 consecutive years prior to July 2008. However, any broker who had less than 15 years of real estate business experience as of July 2008 will be required to complete the 22.5 hours of continuing education prior to his or her 2010 renewal and every renewal period thereafter.

What score is required to pass the written examination if an individual failed to renew his or her license on time because the individual enlisted in the U.S. armed forces?

The exam is not required.

Which of the following is NOT a requirement regarding real estate business signs?

The sign must include the business telephone number.

What happens when a salesperson or associate broker wants to leave his or her current employing broker?

The sponsoring broker must file a termination of association notice. The salesperson or associate broker then files a change of association notice, pays a $20 filing fee and starts working for the new sponsoring broker.

Can a broker receive compensation from more than one party in a transaction?

Yes, but only with the full knowledge and consent of all parties.

Is every licensed broker required to maintain a definite place of business in New York?

Yes, except for nonresident brokers who are licensed and maintain a definite place of business in another state.

A licensed _______________ must display his or her license conspicuously in the principal place of business at all times.

broker

A broker maintaining more than one place of business must apply for and secure an additional____________ for each of the branch offices.

icense

When a salesperson or an associate broker wants to leave the service of his or her sponsoring broker, that broker must file a ___________________________ with the Department of State.

termination of association notice