Quiz Ch. 1-3

Question 1

The California Legislature created the ________ to oversee, regulate, administer, and enforce the real estate law.

Answer 1

Department of Real Estate (DRE)

Question 2

The chief officer of the Department of Real Estate is the:

Answer 2

Real Estate Commisioner.

Question 3

To be eligible for a broker license, the applicant needs to be honest and truthful, complete mandatory education and:

Answer 3

pass the qualifying exam.

Question 4

All real estate brokers and agents need to complete at least _______ of continuing education (CE) every four years to renew a licensse issued by the Department of Real Estate (DRE).

Answer 4

45 hours

Question 5

The ________ is available to individuals who have obtained a judgment against a licensee and are unable to recover the judgment from the licensee for losses caused while acting as an agent.

Answer 5

Real Estate Recovery Fund

Question 6

A residential mortgage primarily for personal, family or household use and secured by a deed of trust on a dwelling is known as an:

Answer 6

customer purpose mortgage.

Question 7

Agency in real estate related transactions includes relationships between brokers and their:

Answer 7

principals and agents.

Question 8

A broker’s representation of a client, such as a buyer or seller, is best undertaken:

Answer 8

on a written employment agreement signed by both the client and the broker.

Question 9

The Agency Law Disclosure needs to be attached to a ________ and signed by all parties in targeted transactions.

Answer 9

purchase agreement, a lease agreement for a term exceeding one year, and a seller’s listing agreement.

Question 10

Failure of the seller’s agent to provide the seller with the Agency Law Disclosure prior to entering into the listing agreement may result in:

Answer 10

the loss of their fee.