Realtor, state exam
The Indiana Consumer Protection Division has forwarded a complaint about a licensee to the real estate commission. What's the maximum amount of time the commission can use to negotiate a settlement in the matter before the division undertakes a formal investigation?
30 days
The Indiana Real Estate Commission may impose an emergency suspension of a broker's license, which lasts for how long?
90 days
Non-residents filing broker applications in Indiana must affiliate with ______.
An Indiana broker company
An Indiana listing agreement must include ______.
An agreement expiration date
Woodrow helps his neighbor sell his home in Carmel by assisting with negotiations. He receives no compensation for his assistance. Based on this one transaction, Woodrow ______.
Doesn't need a real estate license
Ed is an Indiana broker associated with managing broker Petra. What's true about the CE requirements Ed and Petra must meet?
Ed and Petra must each take 12 hours of CE each year between July 1 and June 30.
The Indiana Real Estate Commission requires ________ records to include information about deposits, disbursements, and any accrued interest.
Escrow account
Ryan recently landed an inside sales job selling cemetery plots. In Indiana, Ryan is ______.
Exempt from real estate licensing requirements
The Indiana Code makes it a real estate licensee's duty to ______ when representing a seller or landlord in a transaction.
Exercise reasonable care and skill
When you sign a listing agreement with an Indiana seller, which of these actions will you take to fulfill your duties as a listing agent?
Expose the property to the greatest number of potential buyers through your marketing.
If you work for a ______, you don't have to have a real estate license to perform a comparative market analysis.
Financial institution
Indiana listing agent Simone gave her client a closing statement. How long does the law require Simone to retain a copy of this statement for her records?
Five years
Indiana real estate law also regulates the licensing of real estate appraisers. It requires appraisers, and real estate brokers conducting appraisals, to ________.
Follow USPAP
Indiana broker Marcus has several clients who have closings scheduled in the coming weeks. Which of these closings must Marcus attend, according to state law?
For client Alice, who sold a three-bedroom home
Natasha is conducting an appraisal of a five-bedroom single family home but must be supervised while doing so. Which level of Indiana appraiser license does she hold?
Licensed appraiser trainee
Indiana broker Ralph hasn't been the most trustworthy real estate agent, and a hearing before the Real Estate Commission found him guilty of several license law violations. Among other things, he's assessed a civil penalty of $3,000. Ralph refuses to pay, even though he has plenty of money to cover it. What's NOT true about this situation?
The commission can suspend Ralph's license until he pays the $3,000 fine.
Derek is having postcards printed to advertise his services as an Indiana real estate broker. He'll use his name, Derek Dibbley, on the card. What else do Indiana real estate advertising rules require him to include?
The company name of his associating brokerage, as it appears on the company's license
The Indiana Real Estate Commission has imposed penalties on licensees Jethro and Carrie. Since the licensees committed similar violations, but Jethro has been licensed much longer than Carrie, whose license was issued just last year, what's true about this situation?
The penalties imposed must be consistent because the violations were similar.
The Indiana Real Estate Commission has the power to inspect ______ of licensees and brokerage companies.
Transaction files and escrow account records
Which document describes ethical standards for conducting real estate appraisals?
Uniform Standards of Professional Appraisal Practice
The Butlers have countered an offer from Conner, but then they receive an even better offer from Audrey. What should the Butlers do before accepting Audrey's offer?
Withdraw their counter-offer to Conner.
Trust funds the managing broker receives must be deposited ______.
Within two business days of receipt
James is 18 and wants to be a real estate broker in Indiana. If he completes the 90 hours of required education and passes the exam, is there anything that might prevent him from becoming a broker?
Yes, a prior conviction for certain crimes may disqualify him from becoming a broker.
Indiana affiliated broker Larry is in trouble with the commission for a possible license law violation. Larry works from one of Atlas Realty's seven branch offices. Who bears responsibility for Larry's actions and may be disciplined by the commission along with Larry?
Madge, the managing broker at Atlas Realty
In Indiana, which license type allows the licensee to perform real estate activities independently, without supervision from another broker?
Managing broker
shonda is an Indiana broker who's been designated by her broker company, Power Realty LLC, to oversee transactions and other licensees. What is Shonda's role?
Managing broker
Indiana makes it unlawful, and against the professional standards of practice, for a broker to do which of the following?
Neglect to remit or to account for escrow funds
You're representing a seller client, Angela, who has mentioned she may not accept any offers lower than $200,000 for her home. If you receive an offer for less than $200,000, what must you do?
Present the offer and let Angela decide whether or not to accept it.
Refusing to draft a written offer for your buyer client or submit a written offer to a seller on your buyer client's behalf is _______.
Prohibited
An Indiana broker requests to be assigned to a managing broker of a referral company. Her license will be put on ______ status, and she won't be allowed to actively work with real estate transactions.
Referral
An Indiana licensee who's representing a seller splits the commission earned on the transaction with the broker who represents the buyer. Is this compensation permitted?
Yes, commission-splitting among persons licensed to perform real estate activities is permitted with seller authorization.
A broker associated with ABC Realty moves to the other side of town. However, she doesn't want to change brokerages and continues working out of its main office. Which of these actions is she responsible for taking?
She must update her contact information with the real estate commission.
Shenandoah can't wait to get her broker's license and start practicing real estate in Indiana. Which of these might prevent her from starting to live her dream?
She's only 17.
Sherry's just completed a successful transaction helping an old school friend sell her condo. The commission she earned isn't paid to her, even though she put many hours of hard work into the sale. Why not?
Sherry's a broker affiliated with a broker company. The commission earned in the transaction is paid to her managing broker or broker company.
Which one of these individuals needs an Indiana real estate license?
Someone performing real estate services for others for a fee
Sophie's had an ethical difference of opinion with her managing broker, and they've agreed to terminate her association with the brokerage. Sophie hasn't yet agreed to associate with another brokerage. What happens to Sophie's license?
Sophie's license will be unassigned and inactive when she and her current broker notify the commission of the termination, which must be done within five days.
Indiana brokers are required to provide their clients with a(n) ______ at closing.
Statement itemizing all client funds the broker handled
Which of these agency relationships is prohibited by Indiana law?
Sub-agency
In Indiana, an emergency suspension is also known as a(n) ______.
Summary suspension
You're planning to tweet information about a property you've just listed. You cram the tweet as full of details about the property as you can, knowing that you don't need to include the name of your associating brokerage. Why is this true?
You include a link to another site where the brokerage name is clearly displayed.
You employ an unlicensed assistant, Ruby. You instruct Ruby to host an open house for you while you're busy at a closing for another client. What could happen?
You may face disciplinary action for allowing your unlicensed assistant to perform tasks requiring a real estate license.
After several months on the market, your seller client has accepted an offer for his home that was significantly less than he was hoping for. A week later, you receive another offer for the full list price. What's your legal duty in this situation?
You must present the offer immediately to your client.
You're representing buyer Clancy, who has made an offer on a home in Bloomington. The seller would like you to verify Clancy's claim that he has enough money in the bank to pay cash for the property. Which response is consistent with your agency duties as outlined in the Indiana Code?
Your client's ability to pay cash isn't something you're required to investigate or verify for the seller.
If you are negotiating for the purchase of a house for ______, you don't need a real estate license.
Yourself
When presenting offers, Indiana licensees must ______.
Present all offers in a timely manner
Which of these situations would the Indiana Real Estate Commission consider sanctionable conduct in a licensee?
Brad fails to notify the commission that he's been convicted of a drunk driving charge.
Generally speaking, which of the following may be considered a stigmatized property?
A home where a homicide, suicide, or haunting occurred
Rick and Jane are a married couple in Indiana who decide to start a broker company. What's NOT true about licensing their new company as a partnership?
A qualified employee, who can't be one of the partners, must be designated as the managing broker.
Which of these situations on a property is NOT considered a psychological stigma in Indiana and would require seller disclosure?
A test revealed high levels of radon.
When you're representing a seller client, which of these actions does the Indiana Code require you to take?
Account for all money and property received from the client.
Indiana licensees should inform the commission immediately when changing their names or ______.
Addresses
You're representing Sally in the sale of her older home. Which of these is your legal duty as her agent, according to the Indiana code?
Advise her to seek expert advice regarding matters outside your scope of practice.
Which of the following statements about real estate advertisements in Indiana is true?
All advertising must be under the supervision and approval of a managing broker.
Which of these statements about licensee compensation in Indiana is true?
All licensee compensation from real estate activities must come from the licensee's managing broker.
Lorraine is an unlicensed assistant. Which of the following tasks is she permitted to perform for her broker?
Assemble closing documents.
The Indiana real estate commission will NOT issue a broker's license to which of the following business structures?
Association
As a buyer's agent, writing a quality offer will help your clients _______.
Avoid legal trouble
The policies and procedures manual is designed to _______.
Be a reference for all firm members
Georgia has been practicing real estate for 15 years as a broker at Bar None Real Estate. She decides she'd rather open her own sole proprietorship and practice independently. What must she do?
Become licensed as a managing broker
A real estate advertisement in Indiana that doesn't identify a broker or broker company, and uses only a phone number or address, is known as what?
Blind ad
Gemini Realty has a main office and three branch offices. Ten affiliated brokers work from the main office. Brenda, the managing broker at Gemini Realty, also manages one of the branch offices. Ted and Linda manage the other two branches. There are six affiliated brokers working from each branch office. Whose place of business is considered the main office of Gemini Realty?
Brenda and the 10 affiliated brokers who work with her there
The Indiana Real Estate Recovery fund paid a $16,000 claim to the Dansons, who won a judgment against licensee Bridget. What else will happen as a result of the payment from the recovery fund?
Bridget's license will be suspended, and she must repay the $16,000 plus 12% interest if she wants to be eligible for relicensure.
Which of these methods of valuation falls under Indiana's definition of an appraisal?
Broker price opinion
Which of these situations would most likely result in a cease-and-desist order from the Indiana Office of the Attorney General?
Bruno continues performing real estate services for payment after his license has been revoked.
If an Indiana licensee wants to reactivate an expired license within three years of expiration, the broker has to pay the renewal fee and ______.
Complete all continuing education requirements for the current licensing period
Marcus earned his broker's license almost two years ago and has been happily practicing real estate ever since. What does he need to do soon in order to comply with commission requirements as an initial licensee?
Complete his post-licensing education
Cease and desist orders are issued by the Indiana Office of the Attorney General when a complaint alleges that a person is ______.
Practicing real estate without a license
What must an Indiana broker do in order to legally offer gifts or prizes to real estate sellers or buyers to encourage a listing or a purchase?
Disclose the offer and payment of the incentive to all parties in the transaction.
You're representing a seller who asks you to keep certain facts about the property to yourself, such as the need for some foundation repairs. How does Indiana state law guide you in this situation?
Disclosure of adverse material facts is a legal requirement, so this doesn't fall within your duty of confidentiality to the seller.
If Steve, an Indiana real estate broker, performs an appraisal for a fee, which of these actions must he take?
He must follow USPAP in his appraisal and report.
When representing seller clients, Indiana licensee Phoebe is careful to avoid disclosing ______, since to do so would violate her statutory duties as a seller's agent.
Her client's motivation to sell
Pete has just been issued his Indiana broker's license. He's affiliated with a great brokerage and is getting his feet wet in his new career. How will completing his required post-licensing education help him succeed?
His post-licensing education requirement provides 30 hours of approved education focused on the practice of real estate.
When advertising real estate, which of these actions is required of an Indiana licensee?
Identifying clearly that the property advertised for sale is being offered by someone licensed in real estate, not a private party
Under what circumstances can a broker be held liable for not supervising a licensee?
If a lawsuit is brought against the broker's licensee due to misconduct
You've just received an offer from a potential buyer for a property you listed. When should you present the offer to your client?
Immediately
Jan has been practicing real estate in Indiana, but wants to put her license on hold while she does a six-month outreach trip overseas. What license status is Jan going to pursue?
Inactive
What does the Indiana Real Estate Commission have the right to do relative to brokerage records?
Inspect them at any time.
How does the brokerage policies and procedures manual work to reduce the risk of misconduct or mistakes from licensees?
It documents the guidelines for behavior and steps for handling business that all members of the brokerage must use.
What's NOT true about the Indiana Real Estate Commission?
It exists to protect the rights and interests of licensed real estate professionals.
Which of these statements describes USPAP and its use?
It provides guidelines for conducting and reporting an appraisal.
An Indiana broker discloses to a potential buyer that she's not only the listing agent, she's also the owner of the property the buyer's interested in. She makes this disclosure of personal interest because ___________.
It's required by Indiana's real estate license law.
Kylie has just received her managing broker designation. She decides to work independently as a sole proprietor. Which of the following is NOT true?
Kylie must employ a qualified person to be the managing broker for her broker company.
Brittany is preparing to sit for her broker licensing exam in Indiana, but one day she was in a hurry and ended up with a ticket for speeding. Now she's worried that she'll be denied a real estate license. Is she right to be worried?
No. The real estate commission may only deny a license for crimes that could affect an individual's ability to safely practice real estate.
Jose's client verbally agrees to a buyer's offer. This is considered _______.
Non-binding
An unrepresented buyer would like to make an offer on an Indiana property you've listed. What will you need to do in order to represent both the seller and the buyer in this transaction?
Obtain both parties' written informed consent to limited agency.
Reginald has just written a check out of the brokerage escrow account to pay a home inspector he hired on behalf of his buyer client. What's true about this disbursement?
Reginald must record the check number, date, name of the payee, purpose of the disbursement, and the amount paid in the escrow account journal.
Appraisers and real estate licensees conducting appraisals are expected to _________.
Remain impartial and find an independent opinion of value
When you're representing a buyer and presenting an offer on your buyer client's behalf, which of these actions is considered best practice?
Retain exact and complete copies of all documents related to the offer and transaction.
Jim is an unlicensed assistant at Peabody Real Estate in Indiana. Which of these tasks can he legally do at his broker's request?
Schedule property showings.
When representing a buyer in Indiana, one of your statutory duties is to ______.
Seek a property with a price and terms satisfactory to the client
When the Indiana Real Estate Commission chooses to examine a licensee's records, what is its purpose in doing so?
To ensure the licensee's records comply with the commission's rules and standards
You're representing a seller in a transaction. Which of these must you disclose to your client?
That you'll share your compensation with the brokerage that procures the buyer
Who sets a broker's license renewal date in Indiana?
The Indiana Real Estate Commission
The commission has determined that Indiana licensee Boyd owes restitution to a seller he represented. Boyd's unable to come up with the amount of the judgment—$15,000—and can't pay the seller. What's true about this situation?
The seller can apply for payment from the Indiana Recovery Fund, which will cover up to $20,000 per judgment.
What does Indiana law require licensees to disclose to potential clients?
Their brokerage's written policy regarding allowed agency relationships
License renewal in Indiana occurs every ______ years.
Three
If an Indiana licensee lets his or her license expire, how long does the licensee have to complete the renewal requirements before the licensee has to pay a penalty?
Three years
You will be affiliating with one of Regal Realty's branch offices, and you sign an employment agreement with your managing broker. What's the purpose of the employment agreement?
To describe the terms of your working relationship, including your compensation
Five consumers won a judgment against a licensee for a total of $65,000. The consumers applied to the recovery fund, and they discovered that they won't each receive full payment since the fund liability is limited to $50,000 per licensee. How will they be paid?
When losses exceed the liability, consumers are paid in a rate proportional to their losses.
In many states, including Indiana, a real estate license is required ______.
When performing real estate activities for others, for compensation of any kind