CH 1 - 13 Combined (45 Hour Post-license 1st renewal)

Transaction Broker Relationship

1. Deal honestly + fairly 2. Account for all funds 3. Disclose all known facts that materially affect 4. Skill, care, diligence 5. Present all offers + counteroffers 6. Limited confidentiality 7. Additional agreed duties

No Brokerage Relationship

1. Dealing honestly + fairly 2. Disclosing all known facts that materially affect 3. Accounting for all funds

Single Agent Brokerage Relationship

1. Dealing honestly + fairly 2. Loyalty 3. Confidentiality 4. Obedience 5. Full Disclosure 6. Accounting for all funds 7. Skill, care, and diligence 8. Presenting all offers + counteroffers 9. Disclosing all known facts that materially affect

A licensee attempts to negotiate a rental for a fee paid by the tenant. If the tenant applicant does not like any of the rental properties available, what are they entitled to request within 30 days of the contract date? A. 75% refund of the fee paid B. Nothing. There is no refund. C. 100% refund of the fee paid D. One month;s rent in a comparable apartment

A. 75% refund of the fee paid If licensee attempts to negotiate information to a prospect for a fee they must provide a contract stating: 1. Applicant doesn't like any of the properties. May request 75% refund. 2. Applicant was misled or deceived. may request 100% refund. REQUESTS MUST BE MADE WITHIN 30 DAYS OF CONTRACT DATE

Which relationship is allowed under Florida real estate laws and rules? A. A SA represents a buyer or seller, but not both, in a single agency relationship B. A SA works for two different brokerage offices at the same time C. A SA represents both buyer and seller in a single agency relationship D. A SA changes from a single agency relationship to a transaction broker without disclosure or written consent of the customer

A. A SA represents a buyer or seller, but not both, in a single agency relationship

A seller remodels the kitchen, adding $30,000 to the value of the property. What is the $30k referred to in appraisal terms? A. Contribution value B. Depreciation C. Substitution value D. Intended use

A. Contribution value

SA, Chris, receives a deposit check from a buyer during business hours on Monday. What must Chris do? A. Deliver the check to their broker or employer by the end of business day on Tuesday B. Put the check in the pending file until there is a signed contract C. Hold the check until the seller accepts the offer D. Deliver the check to the broker or employer by the end of business day on Thursday

A. Deliver the check to their broker or employer by the end of business day on Tuesday

All of the following duties are included in the NAR Code of Ethics EXCEPT? A. Duties to the Department of Business and Professional Regulation (DBPR) B. Duties to clients and customers C. Duties to other real estate licensees C. Duties to the public in general

A. Duties to the Department of Business and Professional Regulation (DBPR)

To correct many of the problems discovered during the collapse of lending institutions in the US, Congress created what? A. FFIREA B. National Board of Appraisers (NBA) C. R.E.475 D. Real Estate Appraisal Privilege (REAP)

A. FFIREA

Licensees, at times, may be responsible for the implementation of ______. Examples of these that affect the practice of real estate include but are not limited to FIRPTA, the Clean Air Act, and the Federal Residential Lead-Based Paint Hazard Reduction Act of 1992. A. Federal Laws B. State Laws C. Local Laws D. FREC Regulations

A. Federal Laws

What term refers to a real estate related financial transaction that a Federal Financial Institution Regulatory Agency (FFIRA) has either contracted for or regulates, and requires the services of an appraiser? A. Federally related transaction B. Federally related purchase C. Federally related loan D. Federally related secured acquisition

A. Federally related transaction

After failing to complete the 14-hour CE requirements prior to the renewal deadline, what is the licensee's license status? A. Involuntary inactive B. Valid and active C. Voluntary inactive D. Null and void

A. Involuntary inactive

Licensees, in providing real estate services to the public, are bound to provide the following duties in all brokerage relationships, EXCEPT: A. Loyalty B. Disclosure of all known facts affecting the value of the property C. Accounting for all finds D. Dealing honestly and fairly

A. Loyalty

Which of the following provides a description of your business goals? A. Mission statement B. Policies and procedures manuals C. Do not call procedures D. Commission split procedures

A. Mission statement

What is the database called that REALTORS have access to that provides them with information about properties for lease or sales in their local market? A. Multiple Listing Service (MLS) B. Appraisers' database C. Florida Association of Realtors (FAR) guide D. Accredited Buyer Representatives (ABR) guide

A. Multiple Listing Service (MLS)

Which RE organization has adopted a Code of Ethics and is the largest RE organization in the US? A. National Association of Realtors (NAR) B. Multiple Listing Service (MLS) C. Counselor of Real Estate (CRE) D. Certified Commercial Investment Member (CCIM)

A. National Association of Realtors (NAR)

Effective use of technology and online tools are key to your success in today's internet-based society. All of the following are considered state-of-the-art tools, EXCEPT: A. Paper forms B. MLS C. Social Media D. E-mail

A. Paper forms

All of the following are required in order for a SA to complete their post-license (1st) renewal, EXCEPT: A. Passing a post-license state exam with a score of 70% or higher B. Completing a 45-hour of FREC approved education C. Paying a state renewal fee prior to the renewal deadline D. Passing an end-of-course post-license exam with a score of 75% or higher prior to the renewal deadline

A. Passing a post-license state exam with a score of 70% or higher

Florida statutes require that a licensee report to the Commission within 30 days after being convicted, found guilty, or entering no contest or guilty to a crime. The penalty resulting from a first violation of this law is likely to include all of the following, EXCEPT: A. Probation B. License suspension C. A full disciplinary hearing D. A fine ranging from $250 to $1000

A. Probation

Specific knowledge on market statistics, available inventory, and distressed properties have to do with an understanding of which knowledge base? A. Product Knowledge B. Valuation C. Procedural Skills D. Marketing Skills

A. Product Knowledge

Listing contracts, disclosures, and seller net sheets all have to do with an understanding of which skill set? A. Property Transfer B. Marketing C. Product Knowledge D. Valuation

A. Property Transfer

Licensed sales associates must report all of the following changes to the Department, EXCEPT: A. Report when their broker no longer holds deposit movies and now transfers them to a title company or attorney B. that they have been convicted of a crime within 30 days C. Report a change of mailing address D. Report a change of employing broker

A. Report when their broker no longer holds deposit movies and now transfers them to a title company or attorney

Who may directly compensate a sales associate for performing a service of real estate? A. The sales associate's employing broker B. A buyer in a real estate transaction C. A seller in a real estate transaction D. Anyone

A. The sales associate's employing broker

A licensee is required to provide a written disclosure that specifies the nature of the relationship they have with a member of the public. Which relationship does not require such disclosure? A. Transaction broker B. Individual C. Single agent D. No brokerage relationship

A. Transaction broker

In what three areas in a RE professional is expected to have expert knowledge? A. Valuation, Marketing, Property Transfer B. Banking, Technology, Marketing C. Federal regulations, Forms Programs, Goal Setting D. Property Management, MLS use, Valuation

A. Valuation, Marketing, Property Transfer

How to change the Involuntary Inactive Status to Voluntary Inactive or Active:

Anytime during the first 12 months (1st year) of being inactive: - Complete 14-Hour CE course - Pay additional fee Anytime during months 13-24 (2nd year) of being inactive: - Complete 28-Hour CE course - Pay additional fee

F.S.455.275(1) defines current mailing address as the current residential address that is used by a licensee to receive mail through the USPS. A licensee is required to notify the Department in writing of their current mailing address and any changes in the current mailing address within how many days after the change? A. 30 days B. 10 days C. 60 days D. 7 days

B. 10 days

Which Florida Administrative Code authorizes the FREC to enforce rules against its members? A. 475 B. 61J2 C. 455 D. 61J1

B. 61J2

A licensee must never refer to a CMA as what? A. An estimate B. An appraisal C. An opinion D. An approximation

B. An appraisal

In the early 1980s, banks as well as savings and loan associations in the US went through a period of instability. Part of the responsibility was placed on whom? A. Buyers B. Appraisers C. Real Estate Licensees D. Real Estate Instructors

B. Appraisers

Which statute regulates Florida real estate licensees, schools, and appraisers? A. F.A.C. 61J2 B. Chapter 475 C. Chapter 455 D. Chapter 718

B. Chapter 475

What are the unique duties of a licensee in a single agent relationship? A. Dealing honestly and fairly, accounting for all finds, and disclosing all known facts B. Confidentiality, obedience, loyalty, and full disclosure C. Using skill, care, and diligence D. Presenting all offers and counteroffers, limited confidentiality

B. Confidentiality, obedience, loyalty, and full disclosure

What is the law that specifically regulates Real Estate licensees, Schools, and Appraisers? A. F.S.720 B. F.S.475 C. F.S.455 D. 61J2

B. F.S.475

John decides to concentrate is marketing efforts in one particular neighborhood that is located outside of the city limits. What is this called? A. Agricultural marketing B. Farming C. Speciality marketing D. Steering

B. Farming

What percentage of buyers start their search for a new home on the internet? A. Less than 30% B. More than 85% C. Between 30-60% D. Between 60-85%

B. More than 85%

In addition to laws and rules, where could RE licensees find a written code of ethical standards to conduct their business by? A. Florida statutes B. NAR Code of Ethics C. Marketing guides D. Technology manuals

B. NAR Code of Ethics

A variety of situations may call for an appraisal. All of these are valid reasons EXCEPT which one? A. Federal estate taxes B. Property lien evaluations C. Insurance claims D. Eminent domain

B. Property lien evaluations

What RE service requires a greater level of knowledge and experience than any other facet of the RE profession? A. Listing seller's home for sale B. Real estate counseling C. Assisting buyers in purchasing a home D. Preparing a Comparative Market Analysis for a seller

B. Real estate counseling

Which brokerage relationship situation is not permitted in the following instance under Florida laws and rules? A. Representing both buyer and seller in the same transaction as a transaction broker B. Representing a buyer with limited confidentiality in a single agency relationship C. Representing a seller as a transaction broker without written notice D. Representing a seller in a no brokerage relationship

B. Representing a buyer with limited confidentiality in a single agency relationship

An appraiser conducts an independent, impartial, and objective analysis based on research and data pertaining to the value of what? A. Previous appraisals of the specified real property B. The specified real property C. Properties in the same neighborhood D. Similar properties listed in the last 6 months

B. The specified real property

Once a sales associate receives a deposit from a buyer, he/she must give it to their employing broker during what time frame? A. They must give it to their employing broker within 3 business days B. They must give it to their employing broker by the end of the next business days C. They must give it to their employing broker within 24 hours D. They must place it in the file until the offer is accepted

B. They must give it to their employing broker by the end of the next business days

If a licensee advertises false, inaccurate, misleading, or exaggerated information, in addition to being issued a citation, how much would they likely be fined? A. $1000 B. $1500 C. $500 D. $5000

C. $500

A license may remain in an involuntary inactive status for no more than how many years? A. 3 B. 1 C. 2 D. 4

C. 2

Which disciplinary action would typically result for minor violations of F.S. 475 or F.A.C 61J2? A. Probation B. License suspension C. A citation or notice of noncompliance D. License revocation

C. A citation or notice of noncompliance

The Commission has heard cases where the sales associate's employing broker does not handle property management, so the sales associate set up their own company to handle property management. This is an example of what? A. A licensee acting beyond the scope of a transaction broker B. A licensee acting beyond the scope of an investor C. A licensee acting beyond the scope of a sales associate D. A licensee acting beyond the scope of an owner-devloper

C. A licensee acting beyond the scope of a sales associate

Which of the following is considered residential property as defined by Florida Statute? A. A 15 acre farm B. A 6 unit apartment building C. A triplex D. Vacant lot zoned for a 5-unit condo building

C. A triplex

The MLS system is one of the most important resources for success in the RE business. All of the following are MLS benefits, EXCEPT: A. Access to market data and statistics B. Ability to market listings to a wide audience C. Access to database of prospect names and contact information D. Access to large database of properties for sale and lease

C. Access to database of prospect names and contact information

Jake has decided to specialize in working with clients who purchase and sell investment property such as malls and shopping centers. In what property type will jake specialize? A. Agricultural B. Residential C. Commercial D. Industrial

C. Commercial

Attaining ________ will increase your credibility in the marketplace and provide another tool to separate you from the competition. A. Fancy cars B. Expensive marketing experts C. Designations and certifications D. Large offices

C. Designations and certifications

Even if you have been in RE business for many years, you need to continue your RE _________ to ensure long-term success. A. Logo B. Jargon C. Education D. Business cards

C. Education

After a real estate transaction closes, who is the only person that may pay the licensee for real estate services? A. Seller B. Buyer C. Employing broker D. An attorney

C. Employing broker

What rules did the commission create in order to enforce F.S.475? A. F.S.475 B. F.S.432 C. F.A.C.61J2 D. F.S.455

C. F.A.C.61J2

What is the law that regulates specific professions, for the preservation of the health, safety, and general welfare of the public? A. F.S.475 B. 61J2 C. F.S.455 D. F.S.718

C. F.S.455

Which shows the penalties for violations of Florida real estate license law in order of least to most? A. Revocation, denial, suspension B. Suspension, fine, revocation C. Fine, suspension, revocation, D. Reprimand, denial, probation

C. Fine, suspension, revocation,

Which of the following is a common NAR designation? A. REE - Real Estate Expert B. ASAP - American Sales Associate Profession C. GRI - Graduate, REALTOR Institute D. MRET - Master Real Estate Trainer

C. GRI - Graduate, REALTOR Institute

If a sales associate concentrated their business on manufacturing facilities and warehouses, what type of RE would it be said that they are specialized in? A. Agricultural sales B. Residential sales C. Industrial sales D. Business brokerage

C. Industrial sales

Who enforces the code of Ethics to which licensees are held accountable for? A. FREC B. NAR C. Local Real Estate Boards D. Florida REALTORS

C. Local Real Estate Boards

When presenting themselves to the public, who may use the designation of REALTOR? A. Anyone with a RE license B. Anyone performing RE related services C. Only members of NAR D. Any licenses RE broker

C. Only members of NAR

Sales Associates must accomplish all of the following before their first renewal deadline, EXCEPT: A. Pay a required renewal fee B. Pass a FREC approved end-of-course exam with a 75% C. Pass a state post-licensing exam with a 75% D. Complete a 45 hour of FREC approved education

C. Pass a state post-licensing exam with a 75%

Consumers view property listings on the internet more than 300% more if they have more than 16 what? A. Realtors B. Sellers C. Pictures D. Forms

C. Pictures

If a licensee acts as an investor, the licensee must ensure that all parties are aware that the licensee is not acting as what? A. FREC representative B. Broker C. Real Estate licensee D. DBPR representative

C. Real Estate licensee

A sales associate who fails to complete the post-license requirement by the renewal deadline may no longer practice RE. What action must they take to regain their license? A. Repeat the 45-hour post-license education course B. Complete the 28-hour reactivation education within 24 months and pay a fee C. Repeat the 63-hour pre-license education and submit a new license application package D. Complete the 28-hour reactivation education within 12 months and pay a fee

C. Repeat the 63-hour pre-license education and submit a new license application package

After the first renewal has been completed, what is the license status if the licensee fails to complete their 14 hours of CE by the 2nd renewal date? A. Is null and void B. Revert to voluntary inactive status C. Reverts to involuntary inactive, licensee has 12 months to complete the 14 hour CE and pay a late fee D. Becomes inactive; licensee has 12 months to complete the 28 hour Reactivation course

C. Reverts to involuntary inactive, licensee has 12 months to complete the 14 hour CE and pay a late fee

Florida Statute 475.278 defines a residential transaction as the sale of any of the following, EXCEPT: A. The sale of a 5 acre dairy farm B. The sale of a 3-unit apartment building C. The sale of a 15-unit condominium building D. The sale of a single condominium unit in a 100-unit building

C. The sale of a 15-unit condominium building

Most disclosure laws came about from a class action lawsuit that took place from 1986 to 1992. To whom did a large real estate company in Minnesota fail to disclose that they were representing both buyers and sellers in the same transaction? A. DBPR B. NAR C. Their customers (the sellers) D. FREC

C. Their customers (the sellers)

Real Estate licensees who specialize in properties that include interval ownership would want to concentrate on what type of sales? A. Residential B. Commercial C. Timeshares D. Industrial

C. Timeshares

Federally-related transactions must be performed by a registered, licensed, or certified appraiser in compliance with which of the following? A. Comparative Market Analysis (CMA) B. Brokers Price Opinion (BPO) C. Uniform Standards of Professional Appraisal Practice (USPAP) D. National Association of Realtors (NAR)

C. Uniform Standards of Professional Appraisal Practice (USPAP)

Title XI of FFIREA was directed toward the appraisal profession and required that appraisals utilized by federally regulated lenders in federally related transaction be developed and reported in conformity with what entity? A. Fixed Housing Standards for All Appraisers (FHSAA) B. Appraisers by Congress Division (ABCD) C. Uniform Standards of Professional Appraisal Practice (USPAP) D. Uniform Standards of Professionally Teamed Appraisers (USPTA)

C. Uniform Standards of Professional Appraisal Practice (USPAP)

Comparative market analysis (CMA) preparation and investment analysis fall under which category? A. Multiple Listing Service B. Marketing Skills C. Valuation D. Interpreting Deeds

C. Valuation

What area of RE deals with absentee owners who buy income producing property as an investment? A. Special use B. Residential C. Property Management D. Agricultural

C.Property Management

A licensee must notify the DBPR within how many days after changing their employer? A. 7 days B. 60 days C. 30 days D. 10 days

D. 10 days

Which chapter of the Florida Administrative Code provides rules for FREC enforcement of Chapter 475 of the Florida Statutes? A. 61J1 B. 455 C. 718 D. 61J2

D. 61J2

Which statement correctly describes the role of the sales associate? A. A SA is employed by multiple brokers to transact real estate B. A SA represents both the buyer and the seller in a single agency relationship C. A SA receives compensation directly from the customer in a real estate transaction D. A SA is an agent of and acts on behalf of their employing broker

D. A SA is an agent of and acts on behalf of their employing broker

Greg grew up and lives in a rural farming area. He's very comfortable selling that type of property and knows he can work well with clients in that area. What property type will most likely be his speciality? A. Timeshare/Vacation B. Industrial C. Commercial D. Agricultural

D. Agricultural

Which type of value is the value assigned by the property appraiser for ad valorem tax purposes? A. Liquidation value B. Investment value C. Insured value D. Assessed value

D. Assessed value

All entities are regulated by Florida Statute 475, EXCEPT: A. Real estate schools B. Real estate licensees C. Appraisers D. Building codes and standards

D. Building codes and standards

Florida real estate law requires that all of the following changes be reported to the DBPR, EXCEPT: A. New plea of nolo contendere to a crime B. Change of employer C. Change of current mailing address D. Change of specialty area from residential sales to property management

D. Change of specialty area from residential sales to property management

Upon failing to complete the 14-hour renewal requirements prior to license expiry, a licensee may change the involuntary inactive status of their license to voluntary inactive or active during the first 12 months. What must a licensee do to accomplish this? A. Submit a new application to the DBPR B. Complete a 28-hour reactivation course C. Complete a 63-hour post-license course D. Complete a 14-hour CE Course and pay an additional fee along with the renewal

D. Complete a 14-hour CE Course and pay an additional fee along with the renewal

Licensees are held accountable for rules in general, and for acting ethically and responsibly. Most violations that could require full disciplinary hearing are identified with specific procedural actions under which Florida Administrative Code? A. F.A.C 5J-20.002 B. F.A.C 64C-10.001 C. F.A.C. 40E-1.800 D. F.A.C. 61J2-24

D. F.A.C. 61J2-24

What entity was formed to enforce the Florida real estate law in F.S. 475? A. DBPR B. USPAP C. NAR D. FREC

D. FREC

What is the largest trade organization in the State of Florida? A. MLS B. Military Relocation Professional (MRP) C. Certified Residential Specialist (CRS) D. Florida Association of Realtors (FAR)

D. Florida Association of Realtors (FAR)

The type of brokerage relationship between a customer and a licensee determines the duties of the licensee to that customer. However, all licensees, in any brokerage relationship, are required to perform all of the following duties, EXCEPT: A. Accounting for all funds B. Disclosing all known facts that affect the value of the property C. Dealing honestly and fairly D. Full confidentiality

D. Full confidentiality

All of the following actions would be a violation of F.A.C. 61J2-10.025 as it applies to advertising, EXCEPT: A. Failing to list the registered name of the brokerage firm in the advertisement B. Using the first name of the sales associate as registered with the commission C. Not listing the brokerage name in advertisements for rentals D. Including the brokerage name adjacent to, immediately above or below "point of contact" information

D. Including the brokerage name adjacent to, immediately above or below "point of contact" information

A licensee who practices beyond their scope as a sales associate could be subject to a full disciplinary hearing and what other penalty for their first violation? A. $3000 fine B. $5000 fine C. $4000 fine D. License suspension to revocation

D. License suspension to revocation

What does Florida Statute 475.23 require a real estate licensee to do upon changing employing brokers? A. Nothing, all real estate licensees may sell real estate anywhere in the State of Florida B. The new employing broker must contact the previous broker to transfer the license C. Licensees must provide notice to FREC within 15 days after the change D. Licensees must provide notice to FREC within 10 days after the change

D. Licensees must provide notice to FREC within 10 days after the change

Whenever a licensee negotiates a contract for the resale of a timeshare resale unit, the contract must contain specific language, EXCEPT: A. Ad valorem taxes B. Common area expenses C. Other ownership charges D. List of counteroffers

D. List of counteroffers

What are considered to be extenuating, and reduce the degree of culpability? A. Legal separation B. Reliability C. Electronic monitoring D. Mitigating circumstances

D. Mitigating circumstances

Which of these is the largest national real estate organization in the United States? A. MLS B. Florida Association of REALTORS C. Local Association of REALTORS D. National Association of REALTORS

D. National Association of REALTORS

Real estate licensees would be expected to perform all of the following duties while providing RE services to the public, EXCEPT: A. Prepare a Purchase and Sale contract B. Prepare a Listing Agreement C. Prepare a Comparative Market Analysis D. Prepare an appraisal for a federally-related transaction

D. Prepare an appraisal for a federally-related transaction

Which of the following terms best describes the amount which is actually paid in a real estate transaction? A. Assessed value B. Cost C. Market price D. Price

D. Price

What type of RE profession has come into prominence due to absentee ownership? A. Community Association Manager B. Real Estate Broker C. Escrow Agent D. Property Manager

D. Property Manager

Which type of broker relationship requires licensees to provide the specific duties of confidentiality, obedience, loyalty, and full disclosure? A. All brokerage relationships B. Transaction brokerage relationship C. No brokerage relationship D. Single agency relationship

D. Single agency relationship

Whom must the commission inform when any disciplinary action is taken against any of its licensees according to F.S. 475-455? A. A licensees current client B. A licensees supervisor C. The Local Board of Disciplinary Actions for Real Estate Agents D. The Division of Florida Condominiums, Timeshares, and Mobile Homes

D. The Division of Florida Condominiums, Timeshares, and Mobile Homes

Under what condition may a real estate licensee who is not a state certified appraiser perform an appraisal? A. The licensee may perform an appraisal on any type of transaction, without restriction B. The licensee may never perform an appraisal C. The valuation is performed in conformance with USPAP D. The valuation is not to be used in a federally related transaction

D. The valuation is not to be used in a federally related transaction

A sales associate may only receive compensation from who, and not from any other source in regards to the transaction of real estate? A. The bank B. The customer C. The acting principal D. Their employing broker

D. Their employing broker

What happens to a sales associate that does not complete their Sales Associate Post-License requirements (1st renewal) before the renewal deadline? A. They will revert to involuntary inactive status B. They can return to active status by completing the SA Post-license requirements within 12 months and paying a late fee C. They will be placed on probation until the SA Post-license course is completed D. They will have their license become null and void

D. They will have their license become null and void

The NAR has a Code of Ethics which is the standard that Realtors agree to comply with. All of the following duties are included, EXCEPT: A. Do not provide misleading information B. Provide equal non-discriminatory services C. Do not make false statements about other licensees D. Use laws as the maximum standard

D. Use laws as the maximum standard

All of the following are considered residential property according to the Florida statutes, EXCEPT? A. two -acres of farmland B. A condominium unit C. A vacant lot zoned for a single-family home D. A 50-unit motel

D.A 50-unit motel

Continuing Education Requirements

Sales Associate + Broker: 14 Hour Course every 2 Years Pay Renewal Fee Classroom: No Course Exam Online: Exam Pass 80% or higher

Post License Requirements

Sales Associate: One Course 45 Hour FREC-approved course Renewal Fee 75% or higher on Final Course Exam Broker: Multiple Courses 60 Hour FREC-approved courses Renewal Fee 75% or higher on Final Course Exam