Agency Supplemental Test Questions.
The seller accepted an offer on her property and must move immediately. Through a limited power of attorney, she authorized her listing agent to sign all documents for her at the closing. Legally, the agent is classified as a: A. special agent. B. general agent. C. closing agent. D. designated agent.
A
3-17. A listing agreement is considered: A. a written employment agreement between the owner and listing broker. B. an offer to sell. C. an offer to purchase. D. a power of attorney.
A
4-10. If a seller's agent knows that a buyer is using a fictitious name, are they required to disclose this to the seller? A. Yes, the agent owes the principal the duty of disclosure. B. Yes, this would be an anti-trust violation. C. No, the agent does not need to disclose this information. D. No, this would be confidential information.
A
4-17. A licensee is typically authorized to do which of the following on behalf of his principal? A. Submit all written offers to purchase. B. Place a client's money in the licensee's personal savings account to draw interest. C. Bind the principal to a contract. D. Withhold known information from a buyer concerning hidden defects in the listed property.
A
4-18. A licensee anxious to make a sale violates his duties toward his principal if he volunteers which of the following pieces of information to a prospective buyer? A. "You should make an offer for less than the listing price because the owner is anxious to sell." B. "If anything in the contract is changed by my client, you have the option of accepting or rejecting the counteroffer." C. "You can get your earnest money deposit back if the offer of financing is rejected." D. "This house has been listed for 5 months and 10 days."
A
4-2. Which of the following BEST indicates client level duties owed to the client by a broker? A. Loyalty, confidentiality, full disclosure and obedience. B. Loyalty, confidentiality, partial disclosure and obedience. C. Loyalty, full disclosure, obedience and honesty. D. Loyalty, confidentiality, disclosure and obey all instructions.
A
4-26. A buyer is interested in several listed homes that are located in predominantly Asian neighborhoods. If the buyer instructs the broker to show her these homes, the broker should: A. follow the buyer's instructions. B. not follow these instructions as this would be steering. C. not follow these instructions as this would be blockbusting. D. not follow these instructions as this would be puffing.
A
What do special, general, and universal types of agency have in common? A. They originate with the principal. B. They create ongoing work for the agent. C. They empower the agent to sign all contracts for the principal. D. They terminate upon acceptance of an offer to purchase.
A
4-32. A seller has rejected offers of $152,000 and $151,000. Another offer is presented from a cooperating broker who is representing a buyer. This offer is for $150,000. Which action by the listing broker is MOST appropriate? A. Present the offer with a new market analysis. B. Refuse to present the offer as it is a waste of time. C. Present the offer and tell the seller that the buyer will pay more. D. Refuse to present the offer until the cooperating broker attempts to induce an increase in offering price from the buyer.
A
4-7. A seller wishes to list a property with a broker for $125,000. The broker knows that the property is worth much more, but the seller disagrees with the broker's value assessment. What is the BEST action for the broker? A. Suggest the seller hire an appraiser. B. Purchase the property because of the investment potential. C. Refuse to take the listing because of the potential lawsuit. D. List the property and then buy it for himself.
A
5-5. In order to avoid a real estate commission, a buyer and seller agree to wait until after the listing expired before entering into a sales contract. Could the listing broker be awarded a commission by the courts? A. Yes, if the broker could prove collusion. B. Yes, but the fee would be subject to negotiation. C. No, the listing expired. D. No, the closing would occur after the listing period.
A
6-6. A severely handicapped buyer submitted a signed written offer on a seller's house. The seller's agent didn't present the offer to the seller because the agent felt the property would not be compatible with the buyer's handicap. Is the agent's action legal? A. No, the agent must present all written offers. B. No, the agent must present the offer and inform the seller they could refuse to sell to the buyer based on the buyer's handicap. C. Yes, the agent must be honest with the buyer. D. Yes, provided the seller was informed of the buyer's handicap.
A
6-7. A prospective buyer, who is listed on the National Do Not Call Registry, makes an inquiry on a listed property. The real estate licensee may call the buyer back within how many months after the inquiry? A. Three months. B. Six months C. Nine months D. Twelve months.
A
In a dual agency, who is considered to be the dual agent? A. Only the broker. B. Only the salesperson. C. Both the broker and salesperson. D. Both the principal and customer.
A
In accordance with the laws of agency, a real estate broker may represent: A. anyone who signs a brokerage engagement. B. only qualified buyers. C. all sellers. D. Buyers or sellers, but no both in the same transaction.
A
Which of the following does NOT create a fiduciary relationship? A. Exclusive right-to-sell listing. B. Transaction brokerage. C. Designated agency. D. Property management agreement.
B
3-10. A seller signs a written listing agreement giving a sole agent the right to find a buyer for a property within a specified time, but reserving the right for the owner to sell the property himself without owing a commission. What type of listing did the seller sign? A. Open. B. Exclusive agency. C. Exclusive right to sell. D. Net.
B
3-14. A seller listed a property with ABC Realty. The broker for XYZ Realty has the legal right to contact the seller. ABC Realty MOST likely has entered into: A. a net listing. B. an open listing. C. an exclusive listing. D. an exclusive right-to-sell listing.
B
3-15. A seller asked an agent which listing agreements would allow him to sell the property himself while using the services of a broker. The agent informed him that his option(s) included: A. only the exclusive right-to-sell listing. B. exclusive agency and open listings. C. open and net listings. D. only the net listing.
B
3-16. A buyer signed a written exclusive buyer agency agreement with an agent for a brokerage. The signing of this agreement creates a: A. fiduciary relationship wherein the agent is a general agent of the buyer. B. fiduciary relationship wherein the agent is a special agent of the buyer. C. customer relationship wherein the agent is a universal agent of the buyer. D. customer relationship wherein the agent is a designated agent of the buyer.
B
4-12. A listing agent decides to buy a property they have recently listed. To avoid a breach of their fiduciary duties to the seller the agent should: A. wait for the listing to expire and offer a lower price. B. buy it for the listed price. C. negotiate a lower price. D. have a friend buy it and transfer it to the agent.
B
4-15. A gas station in a rural area went out of business and was torn down. The site was vacant for several years. The owner is considering selling the commercial property. To assist the seller in making proper disclosures and the buyer in making an informed offer a licensee should recommend the seller obtain: A. a certificate of occupancy. B. an environmental site assessment. C. a plat map. D. a percolation test.
B
4-16. A licensee was taking a listing from a seller. The seller told her that they had lived in the neighborhood a long time, had many friends there, and wanted to be selective about their house. The licensee was to tell them the race and nationality of anyone making an offer. How should the licensee respond to this requirement? A. She should refuse to do so by explaining she would not always know the people making the offer. B. She should refuse to do so and explain that the seller's instructions could be a violation of federal law. C. She could take the listing as it is legal as long as no discriminatory advertising is used. D. She should agree to it because, as the agent of the seller, the licensee has the duty of obedience to the seller's instructions.
B
4-19. A licensee is representing prospective buyers. The licensee orally informed the buyers that the developer would be paving the streets in front of a house in a rural subdivision. The licensee had not verified this but assumed that it was true because the developer had done the paving in similar subdivisions. The buyers relied on the licensee's statement in deciding to buy the house. If no contract exists spelling out paving responsibilities, who can be held accountable for damages? A. The developer because it is a developer's responsibility to pave streets up to existing arteries. B. The licensee because his unverified statement was misrepresentation. C. The county because it has jurisdiction over roads in rural areas. D. No one because no written promise of street paving was made by either the licensee or the developer.
B
4-22. A buyer purchased one acre of land with a house and a septic tank. The buyer's agent recommended purchasing a home warranty protection plan that covers septic tanks. The buyer declined. Two days after the buyer took possession, there was a problem with the septic tank. The property disclosure statement said there was no problem with the septic tank. Which of the following is TRUE regarding this situation? A. The agent should have purchased a home warranty plan for the buyer. B. The agent is not liable because she recommended that the home warranty plan be purchased. C. The agent and sellers are guilty of fraud. D. The sellers should have purchased a home warranty plan for the buyer.
B
4-24. Which of the following is NOT a consideration in a buyer agency agreement? A. Description of the property the buyer desires to purchase. B. Sales associate's compensation. C. Broker's accountability to the buyer. D. Disclosure of the dual agency relationship to the seller.
B
4-30. A buyer is interested in buying a home in the Willow Woods subdivision which is near the Catholic Church the buyer attends. The buyer hires a real estate agent to find homes for sale in that subdivision. Currently there are no homes listed for sale in the Willow Woods subdivision. The buyer's agent decides to call the homeowners in the subdivision to inquire if they are interested in selling their home. The agent should: A. get approval from the Willow Woods homeowners association before calling. B. check the National Do Not Call Registry to see if any of the homeowners are registered. C. avoid this practice as it would be considered blockbusting. D. avoid this practice as it would be considered steering.
B
5-1. A person who violates the provisions of the Sherman Antitrust Act is: A. guilty of a misdemeanor. B. subject to a fine of up to $1,000,000 ($100,000,000 if a corporation) and/or up to ten (10) years imprisonment. C. subject to a fine of up to $500,000 ($10,000,000 if a corporation) and/or up to five(5) years imprisonment. D. subject to a fine of up to $500,000 and/or up to ten (10) years imprisonment.
B
5-13. A seller agreed to pay the listing agent a 7% commission. The listing agent agreed to pay a 50-50 split of the commission with the selling agent. The selling agent agreed to pay the selling salesperson 30% of the commission received by the selling agent. The selling salesperson received a check for $2,100. What was the selling price of the property? A. $100,000 B. $200,000 C. $300,000 D. $400,000
B
5-14. A dual agent sold the N1⁄2 of the SW1⁄4 of Section 7 for $0.10 per square foot. The agent and the broker split the 5% commission. How much more would the agent have made had the firm been paid a 6% commission? A. $1,472.40 B. $1,742.40 C. $8,712.60 D. $10,454.40
B
5-17. Which of the following facts would LEAST LIKELY need to be proven in order for a broker to claim a commission in a court action? A. The broker is properly licensed at the time of the transaction. B. The transaction closed according to the contract. C. The broker produced a ready, willing and able buyer (procuring cause of sale). D. The broker was employed by the seller of the listed property.
B
5-6. A broker had a buyer agency agreement with a buyer. The broker finds the buyer a home listed with another broker. Can the buyer's broker receive a commission from the buyer and share in the commission from the listing broker. A. Yes, if both brokers are members of a multiple listing service. B. Yes, with prior written consent of all parties. C. No, listing brokers cannot share commissions with selling brokers. D. No, brokers can only collect one fee in a real estate transaction.
B
5-7. Once a commission rate has been agreed upon in a listing contract, can it be changed? A. Yes, if the property sells for more than the listed price. B. Yes, if both the client and broker agree to the change. C. No, the state's real estate commission sets the rate and it cannot be changed. D. No, real estate commissions are not negotiable.
B
6-12. A salesperson tells the buyer he thinks the house has approximately 2,800 square feet when it actually has 2,600 square feet. This would be considered: A. puffing. B. misrepresentation. C. a misdemeanor. D. fraud.
B
6-13. A licensee is advertising a seller's property. Which of the following advertisements would be considered a "blind ad"? A. The ad does not contain the property address. B. The ad does not contain the name of the real estate broker. C. The salesperson advertises the property in their name alone. D. The ad does not contain the property's listed price.
B
6-3. A buyer purchased a vacant lot in a new subdivision and asked the salesperson to recommend a builder. The BEST course of action for the salesperson would be: A. recommend a builder who would pay a referral fee to the salesperson. B. suggest several builders and have the buyer make the choice. C. recommend the builder with whom the salesperson has worked with previously. D. recommend the builder who has built the most homes in the subdivision.
B
A real estate salesperson is making phone calls to solicit new listings. Which of the following databases should the salesperson check to see if the consumer has indicated their preference to limit telemarketing calls they receive? A. The Real Estate Commission's restricted advertising database and the National Do Not Call Registry. B. The National Do Not Call Registry and the brokerage firm's restricted call database. C. The Homeowners Association membership list and the county tax records. D. The local multiple listing database and the real commission licensee database.
B
All of the following would be considered an agent EXCEPT: A. a property manager hired by a property owner. B. an employee of a multiple listing service. C. a listing broker hired by a seller. D. an attorney-in-fact acting under a recorded power of attorney.
B
An agency relationship that arises by the actions of the parties rather than by expressed agreement is called a(n): A. dual agency. B. ostensible agency (implied agency). C. sub-agency. D. expressed agency.
B
Broker Bob is representing a seller in a transaction. Broker Jill is representing a buyer on the same property. This situation is MOST likely a: A. dual agency. B. single agency co-op. C. subagency co-op. D. designated agency.
B
Which of the following statement is TRUE of an exclusive right to sell listing agreement? A. The seller can sell their property without paying a real estate commission. B. The listing broker is guaranteed a fee if the property is sold. C. The listing broker must find the buyer to collect a fee. D. The seller usually appoints many brokers to find a buyer.
B
An agent involved in conducting a single business transaction under detailed instructions of a principal is considered: A. a general agent. B. a special agent. C. an implied agent. D. a universal agent.
B. a special agent.
3-9. A listing has expired. For up to how many months after the expiration of the listing may the agents in the listing brokerage firm call the seller, who is on the National Do Not Call Registry? A. 3 months. B. 12 months C. 18 months D. 24 months.
C
4-1. A broker lists a seller's property. A buyer makes a full price offer on the property. Can the broker accept the offer for the seller? A. Yes, the broker can bind the principal to any contract. B. Yes, only if it is a full price offer. C. No, the broker is a special agent and may not bind the principal. D. No, this would create a dual agency.
C
4-11. A broker listed a seller's property for $75,000. A customer told the broker they would make an offer for $73,000 but were willing to pay $75,000 if necessary. What should the broker do? A. Refuse to present the offer because it was less than the listed price. B. Present the offer and not mention the buyer was willing to pay $75,000. C. Present the offer and inform the seller of the buyer's intent to increase the price. D. Hold the offer and tell the buyer the seller rejected it.
C
4-14. A buyer's agent is showing their buyer a new home. The buyer asked the agent if the area had access to cable television. The agent knew cable was not presently available but access should be available in the near future. What should the agent tell the buyer? A. Cable is available. B. Cable will be available. C. Cable is not presently available but access might be available in the future. D. Cable will not be available.
C
4-21. An agent listed the property of an 85-year-old who is selling because health issues require her to move into an assisted living facility. The buyers have asked why the owner is selling. Can the agent disclose this information to the buyers? A. Yes, it is permissible because he is a dual agent. B. Yes, if his broker gives permission. C. No, it is confidential information and could reduce the negotiating position of the seller. D. No, the buyers have no right to know anything about the seller.
C
4-28. A buyer's earnest money check is dishonored at the bank and returned to the listing broker. The listing broker should: A. notify the buyer only. B. deposit the check again. C. promptly notify both the buyer and seller. D. let the transaction go through as earnest money is not required.
C
4-29. A salesperson should show perspective buyers only properties that: A. are listed with the salesperson's company. B. offer the highest brokerage fees. C. they are financially able to purchase. D. are compatible with their ethnic culture.
C
4-3. The seller asked their broker the buyer's race. The broker respectfully refused to answer their request. Did the broker violate their fiduciary relationship with the seller? A. Yes, the broker must make all disclosures. B. Yes, the broker must follow the seller's instructions. C. No, discussion of race would be a violation of the fair housing law. D. No, discussion of race would be a violation of the statute of fraud.
C
4-31. After a listing has been signed, the seller suggests that it is not necessary for the listing salesperson to tell any prospects the repairs that had been made to the basement foundation. Which of the following expresses how the salesperson should reply? A. "Under the principle of caveat emptor I cannot do as you request and keep prospects out of that area." B. "Iwill keep prospects out of that area unless I am being paid a fee by the buyer in which case I owe the same loyalty to both you and the buyer and would have to show that area." C. "It is my duty to disclose to all prospective purchasers all known defects in the property, even defects that have been repaired." D. "I will try to keep prospects out of that area."
C
4-4. Under a listing agreement, the seller instructs the broker not to put a "FOR SALE" sign on the property and only advertise in the local multiple listing service. Is this permissible? A. No, a broker is required to put a "FOR SALE" sign on all listed properties. B. No, only the broker can determine the method of advertising. C. Yes, the client has the right to give instructions that are legal to the broker. D. Yes, the seller has the responsibility of marketing the property.
C
4-5. A buyer's agent was showing property in a new subdivision. The agent informed the prospective buyer that the subdivision would have cable television. The agent had not verified this information, but assumed the developer would provide cable TV. The buyer purchased the property based on the agent's statement. The sales contract did not address the cable TV, and the developer did not provide it. Who could be held liable for damages? A. The cable TV company, because all new homes must have cable access. B. The developer, because it is included in the building costs. C. The agent, because the statement was a misrepresentation. D. No one, because it was not stated in the contract.
C
4-6. A buyer's broker tells a client the property was on sewer without disclosing that this information was not confirmed. After purchasing the property, the owner discovered the property was not on sewer. Who could be held liable for damages? A. The seller, because it's the sellers responsibility to disclose all defects. B. The county, because all properties are required to be on sewer. C. The broker, because the information was presented as being factual and was not verified. D. The broker, because the buyer should have the property inspected.
C
4-8. A licensee represents a prospective buyer. The buyer requests to see a particular listed property. Which of the following would be a valid reason not to show the property to the buyer? A. The listing agent will not split the commission. B. The property is "for sale by owner". C. The buyer is not financially qualified to buy the property. D. The property is not in a suitable neighborhood.
C
5-11. The real estate market in a property owner's area is deflated. During a listing period of 6 months, the owner lowered the price of her property a total of $20,000 before finally selling. Upset at taking such a loss on the property, the owner tells the licensee that she is going to lower the percentage of commission on the property. Does the owner have a legal basis for this action? A. Yes, the loss that the owner took on the property should rightfully be shared by the licensee through a lower commission rate. B. Yes, since commission rates are negotiated, they can be changed at any time by the licensee or the seller. C. No, once a commission rate has been negotiated and agreed upon in the listing contract, it cannot be changed unless both parties agree. D. No, commission rates are set by the state real estate commission and cannot be changed.
C
5-16. The real estate commission that is paid to a broker: A. is determined by the Federal Reserve. B. must be in writing, or it is a violation of the statute of frauds. C. is open to negotiation. D. must be fixed by the brokers in the area, or it is a violation of the Sherman Antitrust Law.
C
5-2. When a seller refuses to pay an earned commission in a transaction, the proper parties to a lawsuit would be: A. the listing broker against the buyer. B. the listing salesperson against the buyer. C. the listing broker against the seller. D. the listing salesperson against the seller.
C
5-20. A Georgia real estate broker publishes company commission rates indicating in the ad that these rates represent the "standard" rate charged by all brokers in the area. Which state law restricts this activity? A. BRRETA. B. Georgia Administrative Procedures Act. C. Fair Business Practice Act (FBPA). D. Georgia Fair Housing Law.
C
5-3. A broker's listing expired and the 90 day protection period had ended. Several weeks later the broker finds a new ready, willing and able buyer. Is the listing broker due a commission? A. Yes, the buyer was ready, willing and able. B. Yes, if the seller accepts the offer. C. No, the broker's listing agreement had expired. D. No, the buyer did not buy within the protection period.
C
5-4. The commission rate on the sale of property is MOST LIKELY determined by an agreement between: A. seller and buyer. B. broker and customer. C. broker and client. D. lender and broker.
C
5-8. A broker working under an exclusive right to sell listing agreement appears to have found a willing and able buyer. The buyer is unable to obtain financing to purchase the home. Is the broker due a commission? A. Yes, the buyer signed a sales contract. B. Yes, under an exclusive right to sell listing if anyone buys the property the broker is due a commission. C. No, the broker did not produce a ready, willing and able buyer. D. No, the property did not go to closing.
C
5-9. Generally, the burden of proof of an agency appointment rests on the: A. real estate commission. B. courts. C. party asserting the agency. D. principal.
C
6-1. Seller Martha owns a property which was damaged by fire 5 years ago. All indications of the fire have been repaired with the exception of some charred roof joists in the attic. Martha has instructed the broker not to tell prospective buyers of the fire as the property has been repaired. Which of the following is true of this situation? A. Since the property has been repaired, no disclosure is required. B. If Martha has the charred joists replaced, no disclosure is required. C. Martha must disclose the fire damage and repair. D. Martha must disclose the fire damage and repair, unless she sells "as is."
C
6-10. Which of the following regulations established the guidelines for sending unsolicited commercial emails? A. The Federal Trade Commission's Do Not Call Registry. B. The Truth in Lending Act. C. The CAN-SPAM Act. D. The Federal Fair Housing Act.
C
6-11. A seller and their agent are aware of mold in the house. They do not disclose this information to the buyer. Who could be held liable for any damages? A. Only the seller. B. Only the agent. C. Both the seller and agent. D. Neither the seller or agent.
C
6-15. Which of the following facts about a seller's property should a listing salesperson disclose to a potential buyer? A. The seller is getting a divorce. B. The seller's original purchase price. C. A pending special assessment tax or zoning change. D. The seller is anxious to sell.
C
6-5. A buyer's agent is helping a married couple find a home. The couple wants to take title so that if anything happens to either of them the remaining spouse would recover the deceased spouse's interest by the right of survivorship. The agent should advise them to: A. take title as tenants by the entirety. B. take title as joint tenants with the right of survivorship. C. consult with an attorney. D. consult with a title company.
C
6-8. Which of the following would a salesperson be obligated to disclose to a prospective buyer? A. The property was formerly a beer brewery. B. The seller was arrested for possession of illegal drugs on the property. C. The property is subject to flooding. D. The property was occupied by someone who had AIDS.
C
An agent listed a property that was advertised on her company's website. A potential buyer emailed her for additional information. She responded and set an appointment to show the property. She showed the buyers other properties as well. Eventually, the buyers purchased her listing. Because the agent listed and sold the property, in most states she would MOST likely be considered a: A. transaction broker. B. buyer's agent. C. seller's agent. D. dual agent.
C
An agent notices a property she had listed a year ago is back on the market as a "FOR SALE BY OWNER." The owner is the same client she had one year ago. The agent checks the Do Not Call Registry and the owner is registered. Can the agent call the owner to solicit a listing? A. No, the owner is registered on the Do Not Call Registry. B. No, agents cannot call owner's of property being advertised as "FOR SALE BY OWNER". C. Yes, there was a prior relationship with the owner within the last 18 months. D. Yes, the National Do Not Call Registry does not apply to owner's of property being advertised for sale.
C
An agent of a brokerage listed a property. Three days later, the listing agent showed property to the potential buyers. After reviewing the agency disclosure statement, the potential buyers decided they wanted their own agent. They selected another agent with the brokerage. The listing agent will MOST likely be: A. an undisclosed dual agent. B. the buyers' agent. C. the designated agent for the seller. D. an agent coupled with an interest.
C
Can a licensee call a 'FOR SALE BY OWNER" whose number is on the National Do Not Call Registry if the licensee has a buyer interested in seeing the property? A. No, the interested buyer would have to call. B. No, the licensee can only call to solicit the listing. C. Yes, the licensee can call the registered seller. D. Yes, providing the licensee represents the buyer.
C
In a listing agreement the broker receives as commission all excess monies above the minimum sales price agreed on by the broker and seller. This would be considered: A. an open listing. B. an exclusive right to sell listing C. a net listing D. an implied listing.
C
Telemarketers are required to check the National Do Not Call Registry every: A. 10 days B. 20 days. C. 31 days D. 90 days.
C
The owner of a condominium complex hired a broker to find buyers for the last two available units. The broker would be considered a: A. universal agent. B. general agent. C. special agent. D. dual agent.
C
What is a primary difference between a client and a customer? A. A client is owed fairness; a customer is not. B. A customer is owed loyalty; a client is not. C. A client signs a brokerage engagement; a customer does not. D. A customer signs a brokerage engagement; a client does not.
C
Which of the following relationships would be considered a general agency? A. A broker representing a buyer. B. A broker representing a seller. C. A broker managing an owner's rental property. D. A listing broker working with a customer buyer.
C
Which of the following statements about the Do Not Call Registry is correct? A. A licensee may call a "FOR SALE BY OWNER" whose number is on the Registry to solicit a listing. B. A licensee cannot call a "FOR SALE BY OWNER" whose number is on the Do Not Call list even is the licensee has a client interested in seeing the property. C. If a listing has expired, the agents affiliated with the listing brokerage firm may contact the owner for up to 18 months after the listing has expired, even if the owner is on the Do Not Call Registry. D. A buyer whose phone number is listed on the Do Not Call Registry that has made an inquiry on a listing can be contacted for up to six months.
C
5-10. Investor A listed their property with broker Carr and agreed to pay a $5000 commission. Investor B also listed their property with broker Carr and agreed to pay a $6000 commission. Investor A and B decide to do a Section 1031 exchange of their properties. How much commission is broker Carr paid? A. $0. B. $5000. C. $6000. D. $11000.
D
5-12. A licensee with firm A had a listing from a seller with a commission rate of 8%. The licensee in firm A listed it in a listing service, offering a 4% commission to the selling company. Licensee B, with a different company, cooperated with firm A and sold the listing for $150,000. At closing how much will the seller owe firm A? A. $0 B. $6,000 C. $10,500 D. $12,000
D
5-15. In which of the following listing agreements will a broker NOT have to prove that she was the procuring cause of the sale? A. Exclusive agency listing. B. All-inclusive listing. C. Open listing. D. Exclusive right-to-sell listing.
D
4-25. A seller has set an appointment with an agent to list a property. The agent knows the property is stigmatized. What is the BEST action for the agent to take? A. List the property and ignore the fact that the property is stigmatized. B. Secure the listing and advertise the property as stigmatized without the seller's permission. C. Disclose the fact that the property is stigmatized only to those buyers the agent thinks are interested in knowing that the property is stigmatized. D. Discuss the matter with the broker and secure legal advice before listing the property.
D
4-27. A buyer's agent is showing a prospective buyer a residential house built in 1972. The property is approximately one acre, adjacent to a creek. The neighborhood is predominately Catholic and located near a shopping center. The agent should advise the buyer to investigate all of the following EXCEPT: A. if the property is located in a flood plain. B. if the property has lead-based paint. C. if the property is on sewer. D. if the neighborhood is predominately Catholic.
D
4-9. When showing a seller's property a buyer's agent would have to disclose all of the following to the buyer EXCEPT? A. The seller is getting a divorce. B. The house appears to need repairs. C. The property appears to be over priced. D. The neighborhood is predominately Catholic.
D
3-11. A broker obtained an exclusive agency listing from the sellers. The broker would NOT be entitled to a commission if: A. he sold the property himself. B. the property were sold through another broker. C. the property were sold through the multiple listing service. D. the seller sold the property to a neighbor across the street.
D
3-12. A seller wants to retain the right to sell his property while listing it with only one real estate brokerage firm. The seller should execute: A. an exclusive right-to-sell listing. B. an open listing. C. a net listing. D. an exclusive agency listing.
D
3-13. Which of the following statements regarding brokerage agreements is false? A. Each exclusive brokerage agreement must fully set forth its terms and have a definite expiration date. B. At the time of securing a brokerage engagement, the licensee securing such engagement must furnish each person signing it a true copy thereof. C. The Commission prohibits the acceptance by brokers of net brokerage engagements. D. Each exclusive brokerage engagement must include the street address of the property.
D
4-13. A buyer has a house inspected by a professional home inspector. The inspector discovers black mold in the carpeting. Which of would be the best recommendation to the buyer by the salesperson? A. Don't buy the property. B. Get the carpet cleaned by a professional. C. Have the carpets replaced. D. Seek advice from a knowledgeable professional concerning the matter.
D
4-20. The sellers signed a listing agreement with a brokerage firm. The listing agreement MOST likely does NOT require the brokerage to: A. market and advertise the property. B. use due diligence to find a ready, willing, and able buyer. C. present offers to the seller. D. prepare title for closing.
D
4-23. An earnest money check of $5,000 was presented with an offer. The seller accepted. The agent gave the $5,000 check to her broker, who deposited it in the firm's business account. Is this a legal action? A. Yes, with permission of the seller B. Yes, with permission of the buyer C. No, because it violates the statute of frauds D. No, because it is commingling
D
5-18. Due to poor market conditions a seller sold his property for considerably less than the listed price. Could the seller lower the broker's commission to make up for the loss? A. Yes, since the commission rates are negotiated they can be changed at any time by the broker or seller. B. Yes, the loss that the seller took would be shared by the broker through a lower commission rate. C. No, the rate of commission is set by the state's real estate commission and cannot be changed. D. No, once the commission rate has been negotiated and agreed upon it cannot be changed unless both parties agree.
D
5-19. Which of the following statements about the broker's real estate commission is correct? A. A minimum commission rate is set by the Federal Trade Commission. B. The maximum commission rate is preprinted in the brokerage agreement to protect the public. C. The amount of commission is regulated by the Georgia Real Estate Commission to insure compliance with the antitrust laws. D. The commission is a matter of agreement between the broker and principal.
D
6-14. An owner listed their property with a broker. The owner informs the broker he is selling because of a serious financial condition. What should the broker tell potential buyers? A. The seller is probably willing to accept less than the listed price. B. The seller is anxious to sell. C. If the property is foreclosed, you might bid on it at public sale. D. Do not discuss the seller's financial condition with any buyers without the seller's consent.
D
6-2. Which of the following would a seller's agent NOT have to disclose to a potential buyer concerning the listed property? A. The house is built on a landfill. B. The house had been damaged by fire several years ago. C. The property is located on a flood plain. D. The house had not been inspected by a home inspector.
D
6-4. An owner listed their property with a broker. The owner informs the broker he is selling because of a serious financial condition. What should the broker tell potential buyers? A. The seller is probably willing to accept less than the listed price. B. The seller is anxious to sell. C. If the property is foreclosed, you might bid on it at public sale. D. Do not discuss the seller's financial condition with any buyers without the seller's consent.
D
6-9. Which of the following is NOT a guideline of the CAN-SPAM Act? A. The header information (To, From) cannot be false or misleading. B. The email must include a valid physical postal address. C. The subject line must be identified as an advertisement. D. An "opt out" provision must be conspicuously displayed and honored within 30 business days.
D
A licensee plans to send out an e-mail offering services. According to the CAN-SPAM Act, the licensee must: A. include only the brokerage firm's name in the "Reply-To" line. B. email individuals who have given prior permission to be emailed. C. hire a company to market services. D. tell recipients how to opt out of receiving future emails.
D
A licensee who finds a buyer a house listed with his own firm and is paid a fee by the buyer for finding a suitable house has what type of agency? A. Universal. B. General. C. Implied. D. Dual.
D
A seller hires a broker to find a buyer for their apartment building. The agreement signed would be: A. a purchase and sale agreement. B. a property management agreement. C. an option agreement. D. a listing/agency agreement.
D
