Virginia Real Estate License Exam

If the Transaction Recovery Fund falls below the statutory minimum, licensees may be assessed to restore the Fund. What is the maximum that one licensee may be assessed during a two-year period?

$20

The minimum balance of the Virginia Real Estate Transaction Recovery Fund is...

$400,000

When a real estate license has expired how long does the licensee have to reinstate the license, without monetary penalty?

30 days

A nonresident who obtains a license as an active salesperson in VA is required to do which of the following?

4. Activate with a VA licensed broker.

A licensee who is actively engaged in real estate brokerage works at least..

40 hours per week

The statute of VA mandates the number of people on the Real Estate Board. Currently the Board consists of...

9 members; 7 licensees and 2 citizens

Which of the following persons may not obtain a real estate license in VA?

A 17 year old college graduate who majored in real estate.

The requirement that funds be held in an escrow account does not apply to..

A commission received from an out-of-state broker

Two brokers are involved in a dispute over a commission split. Which of the following could become involved in the settlement dispute?

A court having jurisdiction over the brokers.

The broker must return to the Board the license of any active licensee in all of the following situations except

A licensee refuses to hold an open house

Ed, a licensed salesperson, moved to a new home. What is Ed required to do?

Advise the Board in writing within 30 calendar days of the change

A broker has received an earnest money deposit to support a valid contract. If the contract is breached and does not close, the broker is required to hold the escrow funds until...

All principals to the contract agree to the intended distribution

General requirements for licensure as either salesperson or broker include which of the following?

An applicant must at least be 18 years of age

A broker, in an attempt to sell a property quickly, offers a bonus of $500 to the person that submits as acceptable offer on the property. To whom may the broker pay this bonus?

Any other licensed cooperating broker

To become licensed in VA it is necessary to take and pass an examination. Which of the following could become licensed and not be required to take an examination?

Any person currently licensed in another jurisdiction and meets all requirements for reciprocity

A licensee was out of town on personal business. When she returned on July 5 she realized that her license had expired on May 31. What is required if the licensee wants to remain licensed?

Apply for reinstatement and pay a reinstatement fee

Board regulations require that complete records of real estate transactions...

Are subject to audit by Board investigators

A licensee contacts a homeowner in an attempt to obtain a listing for the property. When must agency disclosure be provided to the homeowner?

At the time the owner agrees to list the property

If the sole proprietor of a real estate brokerage dies or becomes disabled, the Board will appoint someone to operate the business for 180 days. During this 180-day period, the person so appointed...

Can only do what is necessary to conclude the business affairs of the brokerage

When Lori passed her license examination she placed her license on inactive status. Two years later she decides to activate her license with a local firm. Lori needs to...

Complete an active form and pay a fee

George, an independent broker, lists property. George offers broker Martha a portion of the fee if she can sell the property. Martha sells the property and George pays her the agreement. The amount of the payment is never disclosed to either buyer or seller. According to VA regulations...

Disclosure of the information is not required

A real estate licensee could be suspended without investigation if the licensee...

Does not pay the Transaction Recovery Fund assessment

When are real estate licenses renewed?

Every 2 years on the last day of the month in which they were issued

A salesperson is alleged to have violated the license law which could result in disciplinary action. TRUE or FALSE? The salesperson is entitled to a jury trial before any action can be taken.

FALSE. An investigation will be conducted unless the law specifically provides otherwise.

A property was sold by Bob, a licensed associate broker. Several weeks after closing, the seller send Bob $500 and a thank you note for a job well done. Bob accepted the check because he felt he deserved it for working hard. TRUE or FALSE? Bob may keep the bonus because he is licensed as an associate broker.

FALSE. Bob has violated the Board regulations

Persons appointed to the Real Estate Board, serve for..

Four years and may serve for one additional four year term

When a broker is representing both buyer and seller in a transaction without the full knowledge and consent of all parties to the transaction, it is...

Grounds for suspension or revocation of the broker's license

Jerald has been a licensed broker in VA since 1980. Which of the following is incorrect?

He is exempt from CE requirements by virtue of the "grandfather" clause associated with that regulation

A licensed real estate salesperson may receive money or other valuable consideration for services rendered in connection with property management from...

His or her employing broker

Under what circumstances could a broker pay a "finders fee" to an insurance broker?

If the insurance broker is also licensed as a real estate broker.

A VA lender refuses to make a loan to purchase real property on the basis that the applicant was over 60 years old and would not live long enough to repay the loan. In this situation, the lender is...

In violation of Virginia Fair Housing Laws

Virginia real estate offices are required, by regulations, to...

Keep records for a period of three years

Lisa is a licensed salesperson and selling her own townhouse. She advertises her townhouse as a FSBO as follows: "Beautiful, 3 bedroom townhouse. Excellent assumption. Single females only. Call 123-4567 for details. Owner is licensed". Which of the following is not true?

Lisa, acting as the owner of the property, is exempt from VA Fair Housing Laws

A licensee whose license has been on inactive status for more than 3 years will have to do what in order to activate the license?

Meet current educational requirements

When the Board issues an active license, the license...

Must be made available to the public at the broker's main place of business

When a salesperson terminates affiliation with a broker, what is the salesperson required to do?

Nothing

Mike, a broker, has decided to open a brokerage partnership. His long time friend Peter is a licensed stock broker and has agreed to finance the partnership and share in the profits. Peter will be designated as the senior partner. What is true of Peter and the partnership?

Peter may not engage in acts of brokerage. Peter may be the senior partner, but he cannot be the principal broker. The partnership must have a separate license, issued by the Board.

The objective of the Virginia Fair Housing Law is to...

Protect and ensure the welfare of the general public

The purpose of the VA real estate license law and Board related rules and regulations is to...

Protect the public interest

If the Board receives a written complaint regarding the actions of a regulant, what is the first thing the Board will do?

Review the complaint for possible violation

Sally decides to transfer from ABC Realty to XYZ Realty. What must Sally do to affect the transfer of her license?

Submit to the Board a transfer application, certified by XYZ Realty

A broker manages 3 properties for the same owner. One property is in need of repairs but there is not enough money in the management account to cover the cost. The broker borrows money from the escrow account of one of the other properties to make repairs. TRUE or FALSE? The broker is in violation of regulations for improperly handling escrow funds

TRUE

TRUE or FALSE? When there is a possible violation of the Virginia Fair Housing Law, the burden of proof is on the complainant.

TRUE

Which of the following would be a violation of the Virginia Fair Housing Law?

Taking a listing with the intent to change the racial make-up of the neighborhood

The Board feels a broker is not properly managing an escrow account. Upon request, the court appoints a receiver to manage the account. After the investigation, it is determined that the broker is innocent of any wrongdoing. Who is responsible for the expenses and fees of the court appointed receiver?

The Board, using money from its operating budget

When a person wants to file a claim for payment from the Virginia Real Estate Transaction Recovery Fund, where is the claim filed?

The Real Estate Board

A licensee presents a seller a full price offer to purchase, subject to a home inspection. The selling agent orders the inspection from a friend who pays the agent a fee for the referral. Such action would be considered a violation of Board regulations unless..

The fee is disclosed, in writing, to the parties to the contract

When a broker places a "For Sale" sign on property, what must appear on the sign?

The firms license name

An unlicensed investor plans to open a real estate brokerage business. The business will be operated as a sole proprietorship. Which of the following is true?

The investor must hire a broker to manage the business.

Which of the following is true regarding a branch office of a VA real estate firm?

The office must have a separate license.

Once a listing agreement is obtained from a seller and is accepted by the broker, an agency relationship is created between...

The seller and the broker

What is the greatest risk when a licensee assists a family member with the purchase of real property?

There is the potential of creating an undisclosed dual agency

The Virginia Residential Landlord Tenant Act allows a landlord to require a security deposit as a condition of a lease, but has established a maximum amount. The amount of such deposit cannot exceed...

Two month's rent

A licensed salesperson can be licensed with more than one VA broker under what circumstances?

Under no circumstances

If a broker opens a branch office in VA, which of the following is true?

Upon proper application, the Board will issue a license for the Branch.

When may a broker remove money from his or her escrow account?

When closing is completed

A broker may be licensed with more than one VA brokerage firm or sole proprietorship under what circumstances?

With the written consent of the principal brokers represented

Licensee Helen is showing a property listed by another firm. Helen's buyer asks her to prepare an offer $7,500 below the listed price but tells Helen that he is willing to pay the full price, if necessary. The seller accepts the lower offer as presented. Did Helen act properly?

Yes

Joe is a licensed sales agent with XYZ Realty Corp. Joe is working with a customer interested in leasing property owned by XYZ. Is Joe required to disclose his relationship with XYZ to his customer?

Yes, Joe must disclose the license status and relationship with XYZ

The tenant of an apartment entered into a 1 year lease on July 1, 2001 and gave the owner a security deposit. On October 31, 2003 the tenant vacated the apartment. is the tenant entitled to interest on the security deposit and if so, how much?

yes, 16 months interest