1. A city takes possession of a property through eminent domain and pays the owner fair market value. What happens to the title of the property?
- A. The owner retains title
- B. The title is held in escrow
- C. The property is sold at auction
- D. The city takes title
2. A property owner installs a new, built-in oven in their kitchen. What type of property is the oven considered?
- A. Personal property
- B. Real property
- C. Trade fixture
- D. Fixture
3. Which of the following is an example of an encroachment?
- A. A fence built on the property line
- B. A fence built entirely on one's own property
- C. A building built entirely on one's own property
- D. A tree branch extending over the property line
4. What is the term for the process by which the state takes ownership of a property when the owner dies without a will or heirs?
- A. Escheat
- B. Eminent domain
- C. Adverse possession
- D. Tax foreclosure
5. What is the term for a law that regulates the use of private property for the benefit of the public?
- A. Eminent domain
- B. Zoning ordinance
- C. Escheat
- D. Police power
6. What is the term for a governmental power to take private property for public use, requiring just compensation to be paid to the property owner?
- A. Police power
- B. Taxation
- C. Escheat
- D. Eminent domain
7. What is the difference between a fixture and a trade fixture?
- A. A fixture is personal property, while a trade fixture is real property
- B. A fixture is attached to the property, while a trade fixture is not
- C. A fixture is used for residential purposes, while a trade fixture is used for commercial purposes
- D. A fixture is intended to be permanent, while a trade fixture is intended to be removable
8. A property owner grants an easement to a neighboring property owner, allowing them to use a shared driveway. What type of easement is this?
- A. Appurtenant easement
- B. Easement in gross
- C. Easement by necessity
- D. Prescriptive easement
9. A property owner installs a new fence that encroaches onto a neighboring property. What type of issue is this?
- A. Encroachment
- B. Trespass
- C. Nuisance
- D. Easement dispute
10. A utility company has the right to access a property to maintain its power lines. What is this an example of?
- A. Easement
- B. Lien
- C. CC&R
- D. Encroachment
11. A free-standing refrigerator in a rental property is considered what type of property?
- A. Real property
- B. Trade fixture
- C. Fixture
- D. Personal property
12. A property owner conveys their interest in a property to a buyer using a general warranty deed. What type of protection does this deed provide to the buyer?
- A. Protection against encumbrances only
- B. No protection at all
- C. Protection against fraud only
- D. Protection against title defects and encumbrances
13. A deed must include which of the following elements to be considered valid?
- A. The grantor's social security number
- B. The grantee's phone number
- C. The grantor's occupation
- D. A description of the property
14. A buyer purchases a property with a valid deed, but does not record it. What is the effect on the buyer's title?
- A. The buyer has no title to the property
- B. The buyer's title is invalid
- C. The buyer's title is protected against all subsequent claims
- D. The buyer's title is valid, but not protected against subsequent purchasers
15. Which type of deed warrants that the grantor has the right to convey the property and that the property is free from encumbrances?
- A. General Warranty Deed
- B. Special Warranty Deed
- C. Quitclaim Deed
- D. Deed of Trust
16. What is the primary purpose of a title search?
- A. To determine the market value of a property
- B. To prepare a deed for recording
- C. To obtain title insurance
- D. To identify any defects in the chain of title
17. A title search reveals a defect in the chain of title. What is the purpose of title insurance in this situation?
- A. To guarantee the buyer's priority against later purchasers
- B. To provide constructive notice to potential buyers
- C. To create a contract between the buyer and seller
- D. To protect the buyer against losses due to defects in title
18. What is the primary purpose of recording a deed?
- A. To transfer title to the buyer
- B. To collect property taxes
- C. To pay off the mortgage
- D. To provide constructive notice to potential buyers
19. A title search is being conducted on a property. What is the primary purpose of this search?
- A. To determine the value of the property
- B. To prepare a survey
- C. To obtain title insurance
- D. To identify any defects in title
20. Which freehold estate provides the most complete ownership rights?
- A. Life estate
- B. Fee simple defeasible
- C. Estate for years
- D. Fee simple absolute
21. The concept of highest and best use considers which of the following factors?
- A. Only the property's current use
- B. Only the property's potential uses
- C. The property's replacement cost and depreciation
- D. The property's legally permissible, physically possible, financially feasible, and maximally productive uses
22. Which of the following is a key factor in determining a property's value using the cost approach?
- A. Replacement cost
- B. Market value of comparable sales
- C. Gross income multiplier
- D. Capitalization rate
23. What is the primary benefit of appraiser independence in the appraisal process?
- A. It allows the appraiser to work closely with the lender to determine the property's value
- B. It requires the appraiser to follow a strict set of guidelines and protocols
- C. It enables the appraiser to use their own judgment in determining the property's value
- D. It ensures that the appraiser is not influenced by external factors, such as the client's interests
24. A property has a physical depreciation of 20% due to wear and tear. What type of depreciation is this an example of?
- A. Functional depreciation
- B. External depreciation
- C. Economic depreciation
- D. Physical depreciation
25. What type of depreciation occurs when a property's design or layout is no longer functional or desirable?
- A. Physical depreciation
- B. Economic depreciation
- C. External depreciation
- D. Functional depreciation
26. Which type of depreciation is caused by external factors, such as proximity to a busy highway?
- A. Physical depreciation
- B. Functional depreciation
- C. Economic depreciation
- D. External depreciation
27. A Broker Price Opinion (BPO) is an estimate of a property's value provided by
- A. A licensed appraiser
- B. A lender or financial institution
- C. A property inspector
- D. A real estate broker or agent
28. A property appraiser is preparing a report for a client. Which approach to value would involve analyzing the income generated by the property?
- A. Sales Comparison Approach
- B. Cost Approach
- C. Residual Approach
- D. Income Approach
29. A property's market value is best described as its
- A. price paid at a foreclosure sale
- B. most recent tax assessment
- C. original purchase price
- D. most likely selling price in a competitive market
30. The income approach to value is most suitable for
- A. Residential properties with multiple bedrooms
- B. Vacant land with no development plans
- C. Agricultural properties with crop production
- D. Commercial properties with rental income
31. An appraiser is estimating the value of an income-producing property using the income approach. What is the primary factor being considered?
- A. The property's potential for appreciation
- B. The property's highest and best use
- C. The property's sales history
- D. The property's net operating income
32. A seller's agent breaches their fiduciary duty of confidentiality by disclosing the seller's personal information. What is the likely consequence for the agent?
- A. Loss of license
- B. Fine
- C. Civil lawsuit
- D. All of the above
33. A real estate contract contains a contingency for financing. If the buyer is unable to secure financing, what happens to the contract?
- A. It becomes binding and the buyer must purchase the property
- B. It is amended to remove the contingency
- C. It is put on hold pending further negotiations
- D. It is terminated and the buyer's earnest money is refunded
34. A real estate agent is working with a buyer to purchase a property. What is the agent's fiduciary duty of confidentiality?
- A. To disclose all information about the buyer to the seller
- B. To keep all information about the transaction confidential, unless required by law to disclose
- C. To disclose all information about the seller to the buyer
- D. To keep all information about the buyer confidential, unless authorized to disclose
35. A seller's agent has a fiduciary duty to disclose all known facts about the property to potential buyers. What is the extent of this duty?
- A. Only to disclose facts that are readily apparent
- B. Only to disclose facts that are requested by the buyer
- C. To withhold any information that could negatively impact the sale
- D. To disclose all known facts that could affect the buyer's decision, including any known defects or issues
36. A seller's agent is working with a buyer who is not their client. What is the agent's primary duty to the buyer?
- A. To act in the best interest of the buyer
- B. To disclose all known facts about the property
- C. To persuade the buyer to make an offer
- D. To treat the buyer honestly and fairly
37. A buyer makes an offer to purchase a property with a contingency for financing. The seller responds with a counteroffer that changes the price. What is the effect on the original offer?
- A. The original offer is still valid
- B. The buyer must accept the counteroffer
- C. The counteroffer is accepted
- D. The original offer is terminated
38. What is the primary purpose of an earnest money deposit?
- A. To secure financing for the buyer
- B. To cover the seller's closing costs
- C. To pay for inspections and appraisals
- D. To demonstrate the buyer's good faith and commitment to the purchase
39. A real estate agent is working as a general agent for a client. What type of authority does the agent have?
- A. Limited authority to perform specific tasks
- B. Authority to act only in emergencies
- C. No authority to bind the client to any agreements
- D. Broad authority to act on behalf of the client in all matters related to the client's real estate interests
40. A buyer's agent is working with a client to purchase a property. What is the agent's fiduciary duty in this situation?
- A. To disclose all known information about the property to the seller
- B. To negotiate the best price for the seller
- C. To recommend the highest offer to the seller
- D. To act in the best interests of the buyer
41. A buyer and seller enter into a contract with a contingency for inspection. The buyer discovers a major defect during the inspection. What can the buyer do?
- A. Terminate the contract and receive a refund of earnest money
- B. Request the seller to repair the defect
- C. Negotiate a reduction in price
- D. All of the above
42. What happens to a buyer's earnest money deposit if the buyer breaches the contract and fails to close the transaction?
- A. It is automatically refunded to the buyer
- B. It is applied to the buyer's closing costs
- C. It is held in escrow until the dispute is resolved
- D. It is forfeited to the seller as liquidated damages
43. A buyer and seller enter into a contract that is subject to a financing contingency. If the buyer is unable to secure financing,
- A. The buyer is still obligated to purchase the property
- B. The seller can sue the buyer for specific performance
- C. The buyer can negotiate a new price with the seller
- D. The contract is terminated and the earnest money is returned
44. How is an agency relationship created in real estate?
- A. By a written agreement
- B. By a verbal agreement
- C. By the agent's actions and conduct
- D. By all of the above
45. A real estate agent is working with a buyer and seller in a transaction. What must the agent disclose to both parties?
- A. The agent's commission rate
- B. The agent's relationship with the other party
- C. The price the buyer is willing to pay
- D. The agency relationship and who the agent represents
46. A buyer's agent fails to disclose the agency relationship to the seller. What is the potential consequence?
- A. The buyer's agent can be held liable for damages
- B. The sale can be rescinded
- C. The buyer's agent's license can be revoked
- D. All of the above
47. A buyer backs out of a contract to purchase a property. What is the seller's primary remedy?
- A. To sue for specific performance
- B. To relist the property and try to find another buyer
- C. To sue for damages
- D. To keep the earnest money as liquidated damages
48. A group of real estate agents agree to fix their commission rates at a certain percentage. What federal law are they potentially violating?
- A. Sherman Antitrust Act
- B. Federal Trade Commission Act
- C. Real Estate Settlement Procedures Act
- D. Truth-in-Lending Act
49. A real estate sales agent is found to have commingled client funds with their own funds in a trust account. What is the likely consequence of this action?
- A. The agent's license will be suspended
- B. The agent will be required to take additional education courses
- C. The agent will be exempt from future audits
- D. The agent will be subject to a fine and possible license revocation
50. A sales agent is working with a buyer who is looking for a home in a specific school district. The buyer mentions that they want to avoid areas with a high concentration of families with young children. What should the sales agent do?
- A. Provide the buyer with information about the demographics of the area
- B. Avoid discussing the topic with the buyer
- C. Show the buyer homes in areas with a high concentration of families with young children
- D. Tell the buyer that they cannot discriminate based on familial status
51. The Real Estate Settlement Procedures Act (RESPA) prohibits
- A. Kickbacks and referral fees
- B. Price-fixing among competitors
- C. Unfair lending practices
- D. False advertising
52. A real estate sales agent is working with a buyer who is looking for a home in a specific neighborhood. The buyer asks the agent if a particular house is located in a 'good' school district. Which of the following responses by the agent would be a violation of the Federal Fair Housing Act?
- A. The agent responds by stating the racial demographics of the neighborhood.
- B. The agent provides the buyer with information about the school district's ratings and test scores.
- C. The agent tells the buyer that the neighborhood is 'up and coming' and has a lot of potential for growth.
- D. The agent recommends a different neighborhood with supposedly better schools.
53. A real estate agent is showing homes to a client with a disability. What is the agent's responsibility under the Americans with Disabilities Act (ADA)?
- A. To provide a list of ADA-compliant homes in the area
- B. To ensure that all properties shown are accessible to the client
- C. To refuse to show properties that are not ADA-compliant
- D. To inform the client of any known accessibility features or limitations of the properties
54. A real estate agent is making calls to potential clients, but is not registered with the National Do-Not-Call registry. What is the potential consequence of this action?
- A. A fine from the Federal Trade Commission
- B. A lawsuit from a consumer
- C. Loss of real estate license
- D. All of the above
55. A real estate agent is handling trust funds on behalf of a client. What is the agent's primary responsibility?
- A. To commingle the funds with the agent's own money
- B. To deposit the funds into a non-interest-bearing account
- C. To use the funds for business expenses
- D. To maintain the funds in a separate, escrow account
56. A real estate agent is handling client funds in a trust account. What is the agent's primary responsibility regarding these funds?
- A. To commingle the funds with the agent's own money
- B. To use the funds for business expenses
- C. To deposit the funds into a non-interest-bearing account
- D. To keep the funds separate from the agent's own money and use them only for the client's benefit
57. A real estate broker is found to have fixed prices with a competitor, which is a violation of
- A. federal antitrust law
- B. state license law
- C. Real Estate Settlement Procedures Act
- D. Federal Trade Commission regulations
58. A buyer purchases a property that contains asbestos. Who is potentially liable for the cost of asbestos removal?
- A. The seller, if they knew about the asbestos and did not disclose it
- B. The buyer, as the current owner of the property
- C. The previous owner, if they installed the asbestos-containing materials
- D. The government, as a regulatory agency
59. What is the purpose of the lead-based paint disclosure form required for properties built before 1978?
- A. To disclose the presence of lead-based paint
- B. To disclose the risks associated with lead-based paint
- C. To provide the buyer with a 10-day period to inspect for lead-based paint
- D. All of the above
60. A seller fails to disclose a material defect in the property's foundation. What is the buyer's remedy?
- A. Rescission of the contract
- B. Punitive damages
- C. Specific performance
- D. Damages for breach of contract
61. Which environmental hazard is commonly associated with older buildings and can pose health risks to occupants?
- A. Radon
- B. Asbestos
- C. Mold
- D. All of the above
62. A buyer is purchasing a home in a wetland area. What type of environmental concern should the buyer be aware of?
- A. The risk of flooding
- B. The presence of endangered species
- C. The risk of soil contamination
- D. The presence of asbestos
63. Which of the following is a requirement for sellers of properties built before 1978?
- A. Providing a termite inspection report
- B. Conducting a mold remediation
- C. Providing a home warranty
- D. Disclosing the presence of lead-based paint
64. A property is located near a wetland, which is a protected environmental area. What law may apply to this property?
- A. CERCLA
- B. Endangered Species Act
- C. Clean Water Act
- D. All of the above
65. A seller of a pre-1978 residential property is required to provide which of the following disclosures to the buyer?
- A. Lead-based paint disclosure and a Seller's Disclosure Notice
- B. Only a Seller's Disclosure Notice
- C. Only a lead-based paint disclosure
- D. No disclosures are required
66. A seller is required to disclose the presence of an underground storage tank on their property. What is the primary reason for this disclosure requirement?
- A. to inform the buyer of a potential environmental hazard
- B. to inform the buyer of a potential fire hazard
- C. to inform the buyer of a potential health hazard
- D. to inform the buyer of a potential economic liability
67. A buyer is obtaining a mortgage with a loan-to-value ratio of 82%. What is the likely result regarding private mortgage insurance?
- A. The lender will pay the PMI
- B. The buyer will not be required to pay PMI
- C. The seller will pay the PMI
- D. The buyer will be required to pay PMI
68. A borrower signs a promissory note with an acceleration clause. What does this clause do?
- A. Requires the borrower to make monthly payments
- B. Increases the loan term by 5 years
- C. Reduces the interest rate if the borrower makes timely payments
- D. Allows the lender to demand full payment if the borrower misses a payment
69. A lender charges the borrower 2 points on a $200,000 loan. How much will the borrower pay in points?
- A. $2,000
- B. $4,000
- C. $10,000
- D. $20,000
70. A borrower signs a promissory note and a deed of trust to secure a loan. Which clause in the deed of trust allows the lender to demand full payment if the borrower sells the property?
- A. Acceleration clause
- B. Defeasance clause
- C. Subordination clause
- D. Alienation clause
71. What type of loan is guaranteed by the Department of Veterans Affairs and typically requires no down payment?
- A. FHA loan
- B. USDA loan
- C. Conventional loan
- D. VA loan
72. A borrower is charged points on a loan. What are points?
- A. A type of loan origination fee.
- B. A type of credit score.
- C. A type of appraisal fee.
- D. A type of title insurance premium.
73. Which of the following loans is guaranteed by the Department of Veterans Affairs?
- A. FHA loan
- B. Conventional loan
- C. USDA loan
- D. VA loan
74. How many square feet are in a 1-acre parcel? (1 acre = 43,560 sq ft)
- A. 43,650 sq ft
- B. 21,780 sq ft
- C. 87,120 sq ft
- D. 43,560 sq ft
75. A property valued at $260,000 is assessed at 25% of value. The tax rate is $2.00 per $100 of assessed value. What is the annual tax?
- A. $1,300
- B. $13,000
- C. $5,200
- D. $130
76. A property valued at $330,000 is assessed at 50% of value. The tax rate is $2.00 per $100 of assessed value. What is the annual tax?
- A. $3,300
- B. $33,000
- C. $330
- D. $6,600
77. A lender charges 3 discount points on a $200,000 loan. One point equals 1% of the loan amount. What is the cost of the points?
- A. $12,000
- B. $600
- C. $8,000
- D. $6,000
78. A home sells for $520,000 with a 7% commission and no other closing costs. What does the seller net?
- A. $478,400
- B. $520,000
- C. $36,400
- D. $483,600
79. An investor bought a property for $320,000 and wants to sell it for a 10% profit. What must the sale price be?
- A. $320,000
- B. $288,000
- C. $32,000
- D. $352,000
80. A commercial property has a net operating income of $46,000 and the market cap rate is 10%. Using the income approach, what is its estimated value?
- A. $230,000
- B. $383,333
- C. $4,600
- D. $460,000
81. How does a consumer apply for payment from the Real Estate Recovery Fund?
- A. By filing a complaint with the Pennsylvania State Real Estate Commission
- B. By submitting a claim directly to the Fund
- C. By hiring an attorney to file a lawsuit
- D. By contacting the real estate licensee
82. A consumer has filed a complaint with the Pennsylvania State Real Estate Commission against a real estate licensee. What is the next step in the process?
- A. The Commission will immediately suspend the licensee's license
- B. The Commission will ignore the complaint
- C. The Commission will refer the complaint to the local association of realtors
- D. The Commission will conduct an investigation to determine the validity of the complaint
83. What type of conduct is grounds for disciplinary action by the Pennsylvania State Real Estate Commission?
- A. Negligence in a real estate transaction
- B. Practicing law without a license
- C. Failure to pay licensing fees
- D. Fraud, misrepresentation, or deceit in a real estate transaction
84. What is the result of a finding of fraud, misrepresentation, or deceit by the Pennsylvania State Real Estate Commission?
- A. The licensee is required to take additional education courses
- B. The licensee is required to pay a fine to the Commission
- C. The licensee is exempt from future disciplinary action
- D. The licensee is subject to disciplinary action, including possible payment from the Real Estate Recovery Fund
85. Who is eligible to file a complaint with the Pennsylvania State Real Estate Commission?
- A. Only real estate licensees
- B. Only consumers who have been harmed by a real estate licensee
- C. Only attorneys
- D. Any person who has a grievance against a real estate licensee
86. What is a requirement for a salesperson to obtain a real estate license in Pennsylvania, in addition to completing the required pre-licensing education?
- A. Passing a background check
- B. Having a high school diploma
- C. Having 2 years of sales experience
- D. Being sponsored by an employing broker
87. How many hours of approved pre-licensing education are required for a Pennsylvania real estate salesperson license?
- A. 60 hours
- B. 120 hours
- C. 90 hours
- D. 75 hours
88. In Pennsylvania, a salesperson's license is renewed:
- A. annually
- B. every 10 years
- C. every 5 years
- D. biennially
89. Who is the only party that can compensate a real estate salesperson for their services?
- A. The client
- B. The buyer
- C. The seller
- D. The employing broker
90. What is the term of a Pennsylvania real estate salesperson license?
- A. Annual
- B. Quadrennial
- C. Triennial
- D. Biennial
91. What is the minimum age requirement for an individual to be eligible for a Pennsylvania real estate salesperson license?
- A. 18 years old
- B. 21 years old
- C. 25 years old
- D. 30 years old
92. What type of license is required for an individual to list rental properties for a fee in Pennsylvania?
- A. Salesperson license
- B. Broker license
- C. Associate broker license
- D. Rental listing referral agent license
93. What is the minimum age to be eligible for a real estate salesperson license in Pennsylvania?
- A. 18 years old
- B. 21 years old
- C. 25 years old
- D. 30 years old
94. A Pennsylvania real estate salesperson meets with a buyer to discuss representation. What must the salesperson provide to the buyer at this initial interview?
- A. A written agreement outlining the terms of representation
- B. A copy of the salesperson's license
- C. A list of all properties currently for sale
- D. The Consumer Notice disclosing available business relationships
95. In a designated agency relationship, which of the following is true?
- A. The designated agent represents both parties
- B. The designated agent is a transaction licensee
- C. The designated agent has no fiduciary duties
- D. The designated agent represents only one party
96. Which of the following business relationships is permitted in Pennsylvania with written consent of all parties?
- A. Designated agency
- B. Transaction licensee
- C. Seller agent
- D. Dual agent
97. What determines the agency relationship in Pennsylvania?
- A. The amount of compensation paid to the salesperson
- B. The type of property being sold
- C. The salesperson's verbal representation
- D. The written agreement between the parties
98. A buyer and seller have both agreed to be represented by the same real estate broker in a transaction. What type of relationship can this broker have with both parties, with their written consent?
- A. Seller agent and buyer agent
- B. Transaction licensee
- C. Designated agent
- D. Dual agent
99. A Pennsylvania real estate salesperson is working as a buyer agent. What is the salesperson's duty of loyalty?
- A. To act in the best interests of the seller
- B. To act in the best interests of the transaction
- C. To act in the best interests of the broker
- D. To act in the best interests of the buyer
100. What is required for a dual agent to represent both the buyer and seller in the same transaction in Pennsylvania?
- A. Verbal consent from both parties
- B. No consent is required
- C. The consent of the broker only
- D. Written consent from both parties
101. A real estate salesperson is working with a buyer and discovers a material defect in the property. What must the salesperson do?
- A. Disclose the defect to the buyer
- B. Keep the defect confidential
- C. Inform the seller of the defect
- D. Do nothing
102. When must a Pennsylvania real estate licensee provide the Consumer Notice to a potential client?
- A. At the closing of the transaction
- B. When the client signs the agreement of sale
- C. After the client has selected a property
- D. At the initial interview
103. A real estate salesperson in Pennsylvania is working with a buyer and a seller in the same transaction. With written consent from both parties, the salesperson can act as a:
- A. Seller Agent
- B. Buyer Agent
- C. Transaction Licensee
- D. Dual Agent
104. What happens to a salesperson's license when they change brokers in Pennsylvania?
- A. The license is automatically transferred to the new broker
- B. The license is suspended until the salesperson completes additional education
- C. The license is revoked
- D. The license must be transferred to the new broker before the salesperson can work
105. A Pennsylvania real estate salesperson is found to have engaged in prohibited conduct under RELRA §604. What may happen to the salesperson's license?
- A. It will be suspended
- B. It will be revoked
- C. It will be placed on probation
- D. Any of the above, depending on the circumstances
106. A Pennsylvania real estate salesperson advertises a property for sale without including the name of their employing broker. What type of advertisement is this?
- A. A legitimate advertisement
- B. A deceptive ad
- C. A misleading ad
- D. A blind ad
107. A Pennsylvania real estate salesperson is found guilty of commingling client funds with personal funds. What is a potential consequence?
- A. The salesperson's license will be automatically renewed.
- B. The salesperson will receive a warning letter.
- C. The salesperson will be required to take additional education courses.
- D. The salesperson's license may be suspended or revoked.
108. In Pennsylvania, what is the required procedure for handling earnest money deposits in a real estate transaction?
- A. The salesperson should hold the deposit in their personal account
- B. The broker should hold the deposit in their business account
- C. The deposit should be given to the seller
- D. The deposit should be placed in the broker's escrow account
109. A broker fails to supervise a salesperson, resulting in the salesperson's unauthorized practice of law. What may happen to the broker's license?
- A. It will be automatically revoked
- B. It will be subject to a fine, but not suspension or revocation
- C. It will not be affected, as the broker is not responsible for the salesperson's actions
- D. It may be suspended or revoked, depending on the severity of the offense
110. A Pennsylvania real estate salesperson creates an advertisement for a property without including the name of their employing broker. What is the result?
- A. The ad is approved by the broker
- B. The ad is permitted as long as it includes the salesperson's name
- C. The ad is only allowed on social media
- D. The ad is considered a blind ad and is prohibited
111. What is the consequence for a Pennsylvania real estate licensee who is found to have engaged in unlawful acts under RELRA §604 and has a payout from the Real Estate Recovery Fund?
- A. The licensee's license is automatically revoked
- B. The licensee receives a warning
- C. The licensee is fined but can continue practicing
- D. The licensee must repay the Recovery Fund with interest before their license can be reinstated
112. A salesperson in Pennsylvania is working under a broker and decides to change brokers. What must the salesperson do first?
- A. Notify the state real estate commission
- B. Start working with the new broker immediately
- C. Obtain a new real estate license
- D. Transfer their license to the new broker
113. A Pennsylvania real estate salesperson engages in conduct that is considered unlawful under RELRA §604. What may happen to the salesperson's license?
- A. It will be automatically renewed
- B. It will be subject to a fine
- C. It will be placed on probation
- D. It will be suspended or revoked
114. What is the consequence of a salesperson commingling escrow funds with personal funds?
- A. A warning from the broker
- B. A fine from the State Real Estate Commission
- C. No consequence, as it is allowed
- D. Disciplinary action, including possible license suspension or revocation
115. A rental property owner is refusing to rent to a prospective tenant because of their age. What law has the owner potentially violated?
- A. The Pennsylvania Human Relations Act
- B. The federal Fair Housing Act
- C. The Uniform Residential Landlord and Tenant Act
- D. The Pennsylvania Landlord and Tenant Act
116. Under the Pennsylvania Seller's Property Disclosure Law, what must a seller deliver to the buyer before the buyer signs the agreement of sale?
- A. A written disclosure of all possible defects
- B. A copy of the property's title search
- C. A written warranty of the property's condition
- D. A written disclosure of known material defects
117. A salesperson is working with a buyer who is interested in purchasing a condominium. What law governs the condominium association's documents and procedures?
- A. Uniform Condominium Act
- B. PA Seller's Property Disclosure Law
- C. Pennsylvania Human Relations Act
- D. Real Estate Licensing and Registration Act
118. Which of the following is a protected class under the Pennsylvania Human Relations Act that is not protected under federal law?
- A. ancestry
- B. national origin
- C. disability
- D. familial status
119. A Pennsylvania real estate salesperson is working with a buyer who wants to purchase a time-share. What should the salesperson do?
- A. Provide the buyer with a public offering statement
- B. Disclose the risks of time-share ownership
- C. Recommend a time-share resale company
- D. None of the above
120. A salesperson is working with a buyer who is interested in purchasing a condominium. What document should the salesperson review to understand the condominium's governance structure?
- A. The agreement of sale
- B. The title report
- C. The property disclosure statement
- D. The condominium's bylaws