practice of RE and disclosures Flashcards
A real estate broker’s advertisements need to include:
the name of the broker and license number
that the advertiser is a broker or agent
the address of the broker
the name of the broker and license number.
An unlicensed assistant may:
show property to prospective buyers
encourage a prospective client to use the broker’s services
discuss the terms or conditions of a possible sale
prepare a comparative market analysis (CMA) for a client
prepare a comparative market analysis (CMA) for a client.
Roland, a broker, arranges a sale and opens escrow. Before escrow closes, his license is revoked by the California Bureau of Real Estate (CalBRE). What happens to Roland’s commission?
Roland gets his commission.
Robert, a developer who is unlicensed, hires Yvonne, a broker, to sell his properties. While Yvonne is out of town, Robert shows property, quotes prices and makes sales. Have Robert or Yvonne violated the Real Estate Law?
Neither Robert nor Yvonne has done anything wrong.
Which of the following is true?
Every real estate broker needs to maintain a definite place of business in California.
An advertisement must include the licensee’s name and license number.
Both a. and b
Neither a. nor b
Both a. and b.
A salesperson’s commission is paid by:
the broker.
The __________ prohibits an employer from discriminating against a person with a disability seeking employment based on their disability.
Americans with Disabilities Act (ADA)
Salesperson Sally advertised in a newspaper that anyone who bought a home through her services would receive a free home appliance valued up to $500. Such an advertisement is:
legal, provided full disclosure is made to all interested parties.
A prohibition against a “For Sale” sign in a residential neighborhood is:
violates the First Amendment.
A newspaper advertisement is considered “blind” when it:
fails to state the fact the advertiser is a broker or agent and does not include their California Bureau of Real Estate (CalBRE) license number.
If a group of brokers agreed to divide a market area or set commission rates, it would:
violate Anti-Trust Law.
Any suggestion by a licensee that the racial makeup of a neighborhood is changing to induce panic selling is an example of:
blockbusting.
The Uniform Commercial Code, which pertains to a bulk sale transfer, exists primarily for the protection of:
creditors.
When purchasing a business, the buyer needs to be certain a certificate of clearance has been issued by the:
State Board of Equalization (SBOE).
The best guideline to determine whether an action is ethical can be found in:
the Business and Professions Code.
A prospective buyer is interested in purchasing a vacant lot in a rural subdivision. The buyer wishes to know about sewer assessments, liens, utilities to the lot, blanket encumbrances and street maintenance. The source that provides all of this information is the:
Real Estate Commissioner.
If a licensee’s name is on a list of obligors who have not complied with a court-ordered payment of child support, the licensee’s renewal application will:
renew as a temporary license, but the debt must be paid within 150 days.
State regulations in California contain a statement that prohibits discrimination due to race, color, religion, marital status, national origin, or ancestry. Discrimination in which of the following areas would be a violation of the code?
Unimproved land to be used for a home
Vacant housing accommodations
4 unit apartment building
Any of the above
Any of the above.
Commingling involves the mixing of one client’s monies with:
the brokerage firm’s general account
other clients’ monies
the sales licensee’s personal account
All of the above
All of the above.
Commingling involves the mixing of one client’s monies with:
the brokerage firm’s general account
other clients’ monies
the sales licensee’s personal account
All of the above
All of the above.
In California, commission fees charged on residential properties cannot exceed:
an amount which is determined by the broker’s contract with their principal.
When a real estate broker who has listed a property chooses to buy it in the name of a separate investment company, they need to:
serve the client’s best interest
disclose to the client that they are the buyer
disclose to the client that they are licensed
All of the above
All of the above.
A buyer of a common interest development (CID) is entitled to receive all except copies of:
a homeowner warranty.
Under the Alquist-Priolo Special Studies Act, a subdivider is required to disclose to potential purchasers:
earthquake fault lines.
Under no circumstances may a real estate broker misrepresent a material fact to a buyer. If they do, the broker faces:
disciplinary action by the California Bureau of Real Estate (CalBRE).
criminal action
civil action
Any of the above
Any of the above.
It is least likely to be a violation of the Real Estate Law for a broker to pay a portion of the commission to a(n):
buyer or seller in the transaction.
A Natural Hazard Disclosure Statement (NHD) needs to be given to a buyer when the property is located within which of the following areas?
A special flood hazard area
A very high fire hazard severity zone
An earthquake fault zone
Any of the above
Any of the above.
Earthquake fault zones need to be disclosed to prospective buyers of certain properties in California. Typically, earthquake fault zones are:
0.25 miles wide.