A sales associate is working with a buyer in a fiduciary capacity. With regard to disclosure, which form must be given by the broker to the buyer to clarify the role of the buyer and the licensee?
The NO Brokerage Relationship notice
The Transaction Broker form
The Consent to Transition to Transaction Broker form
The Single Agent notice
A broker represents a seller as a single agent on the sale of his property. A buyer comes to the house and wants the broker to sell her the house and represent her in the transaction. The broker agrees without any further notice to the seller. This is a case of
divided loyalty and is hard to handle.
undisclosed dual agency and is illegal in Florida.
disclosed dual agency and is legal.
the seller wanting his property sold, so he will be agreeable to the representation without further communication with the broker.
The mere payment or promise to pay compensation to a licensee does not determine whether an agency or transactional brokerage relationship exists. An agency relationship is created
when the seller asks to be represented, and the broker agrees.
as specified by statute.
whenever the buyer is purchasing a commercial property.
when the tenant is dealing with a property manager and not the owner.
All are residential property as defined by Florida law EXCEPT
a five-unit apartment house.
undeveloped agricultural land of 10 acres or less.
a single-family home.
a condominium unit.
The person who is empowered to act on behalf of another is called
an agent.
a customer.
a client.
a principal.
Which type of agent usually has a power of attorney?
A general agent
An agent coupled with an interest
A special agent
A universal agent
Laws that govern agency laws are called what?
Common law
Statutory Law
Statute of Frauds
Law of Agency
All are true about Florida real estate disclosure laws EXCEPT which of these statements?
Disclosure rules do not apply to Transaction Brokers.
Disclosure paperwork must be kept by a broker for three years.
Disclosure rules do not apply to auctions.
Disclosure rules do not apply to the rental or leasing of real property unless an option is given.
A listing sales associate who shows a property to a ready, willing and able buyer has certain obligations to the buyer. Which is NOT true?
The sales associate shall disclose to the buyer all material facts that will affect the value of the property.
The sales associate must promptly tender to the seller any contract offer that has been offered unless advised in writing not to present all offers.
The sales associate MUST disclose to the buyer that he is a Transaction Broker.
All of the above.
A subagency relationship would most likely occur in which of these situations?
A salesperson is working for a broker who is a single agent of the seller or buyer.
The broker represented both the buyer and seller in a transaction with both their consent.
A sales associate paid a motel clerk for leads.
A broker sold the property himself and represented only the seller.
Which agency is NOT allowed under Florida law?
Dual agency
Single agency
Nonrepresentation agency
Transaction brokerage
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Which is NOT required on a broker’s entrance sign?
The name of a sales associate registered with the firm
The name of the partnership as registered
The trade name if the firm operates under a trade name
A broker’s name with the wording “licensed real estate broker”
Broker Sally wants to work out of a trailer at a new home site. She will negotiate deals here and do closings. What is true about this situation?
This location is a temporary site and does not need to be registered.
New home trailers do not need to be registered as this is not a branch office.
Because Sally conducts closings and negotiations here, this would be considered a branch office and must be registered with the FREC.
No license or registration is necessary since this is a new home subdivision.
How often MUST a broker reconcile the Escrow Account?
Whenever they receive a bank statement
Monthly
At least once a quarter
Whenever their accountant asks them to review
Which CANNOT register with the Department to perform real estate services to the public?
A sole proprietor
A corporation
A partnership
A corporation sole
Mixing business and personal money is called
conversion.
blending.
commingling.
intermingling.
Three brokers get together and decide to form a corporation to sell real estate. They want to call their company “House of Brokers.” Each broker wishes to maintain contact with the public. What is necessary to do this?
At least one of the brokers must be licensed as an active broker, and the others may be inactive.
All three brokers must be active brokers, and the corporation must be registered.
All three must be licensed, but no registration is necessary since this is a corporation.
All three brokers must be active brokers, the corporation must be registered, and the trade name must be registered.
A broker took earnest money from a buyer. He deposited the money in the trust account, but when his electric bill was due, the broker deposited the buyer’s money into the broker’s business account. What is this action called?
Misrepresentation
Puffing
Commingling
Conversion
John, the actively licensed broker in a partnership, has died. The sales associate working for that partnership
may continue as the FREC will appoint another broker.
will become involuntarily inactive, as the partnership will be canceled.
will be suspended, as the whole firm will be suspended.
will be revoked.
Desmond employs a licensed assistant to assist with closing paperwork. The assistant may . . .
Advertise on behalf of Desmond and Desmond’s broker
be paid directly by Desmond
NOT advertise on behalf of Desmond and Desmond’s broker.
Advertise themselves as a REALTOR® under the broker
How long does a sales associate have to deliver earnest money to the broker?
Immediately
3 banking days
5 banking days
10 banking days
Javier, a real estate broker, decides to register his real estate business as “J Block Brokerage”, this is a “Trade Name”. Other than registering with the FREC, where else must Javier Register?
Division of Finance for Florida
Sunbiz
Florida Department of Agriculture
NMLS
A broker desires to keep an escrow account in an interest-bearing account. Would this be legal?
Yes, if both the buyer and seller agree in writing that it goes into an interest-bearing escrow account.
Yes, if the buyer agrees in writing that the buyer’s funds may go into an interest-bearing account.
Yes, if the seller agrees in writing that the seller’s future funds go into an interest-bearing account.
Yes, if all parties to the transaction agree, in writing, that the funds will go into an interest-bearing account and who is to receive the interest.
What must a broker do with his trust account?
Reconcile monthly with a statement of any discrepancies.
Reconcile every six months and files maintained two years.
Reconcile once a year with the files maintained five years.
Reconciling is not necessary if the files are kept for five years.
Jeremy wants to contact the owners of expired listings in the MLS by telephone. In order to do this, Jeremy MUST:
Check the National Do Not Call List
Check the Florida Do Not Call List
Check state and National Do Not Call Lists and the brokers updated lists
Just call, no one checks on this
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When a licensee is being served with the Final Order of the FREC, how many days does he have to file an appeal with the District Court?
15 days
20 days
30 days
90 days
The administrative law judge has issued a Recommended Order. How many days will a party to the hearing have to file an exception to the Recommended Order?
5 days
15 days
40 days
60 days
The Real Estate Recovery fund is financed through money received from administrative fines and surcharges on new and renewing licenses. What is the dollar amount accumulated in the fund where surcharges are no longer levied on licenses?
$500,000
$750,000
$1,000,000
$1,500,000
_______________________________provides independent Administrative Law Judges to conduct hearings pursuant to Florida Statutes, pursuant to other law, and under contract with governmental entities.
The Division of Administrative Hearings (DOAH)
The Division of Real Estate in Florida
The Division of Housing and Urban Development
The Division of Florida Statutes and Laws
A licensee has been issued a Final Order of the FREC, suspending his license. How long a time period is the maximum a suspension can last?
The maximum is 90 days.
The maximum is 10 years.
There is no maximum; the FREC sets the maximum time.
The maximum time is set by the Department.
A licensee is sued for damages, and payment is made from the real estate recovery fund. The licensee in this case
must sell a lot of homes to reimburse the fund.
is suspended from real estate practice until he reimburses the fund in full.
pays into the fund, so he doesn’t need to do anything.
can only receive money from the fund if he is a broker.
The probable cause panel
Holds an investigation and issues punishment to the subject of the investigation.
Holds an investigation and issues the Final Order.
Holds an investigation and, if probable cause is found to exist, will direct the Department to file a formal complaint against the subject of the investigation.
Holds an investigation and issues a citation.
The __________ administers and enforces the real estate license law, Chapter 475, Part I, Florida Statutes.
HUD
RESPA
FREC
FNMA
The licensee charged in a DBPR complaint is made public when?
20 days after the formal hearing
Immediately, when the DBPR feels the complaint is legally sufficient
At the conclusion of the Recommended Order
10 days after probable cause is found to exist
If Joe violated a rule under Chapter 475 F.S. and this is his first offense, what is the period of time of probation he could receive unless otherwise stated by the Commission?
30 days
90 days
120 days
10 years
Suspension of a license can last up to
10 years.
6 months.
2 years.
15 years.
The Department receives an unsigned complaint. What can the Department do?
Ignore the complaint since it is unsigned.
Investigate the complaint if the Department wishes.
It is against the law for the Department to investigate complaints that are not notarized.
All complaints must be investigated.
What Florida agency is responsible for investigating real estate complaints?
FREC
The Governor’s office
DBPR
DAH
Why is a summary suspension order given?
Because a broker suspects a sales associate of fraudulent acts
Because the FREC feels that a broker has committed a minor violation
Because the Division feels that a broker has committed a first-time offense
Because the Department feels that there is an immediate danger to public health, safety, and welfare
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The ______is a federal civil rights law designed to prevent discrimination and enable individuals with disabilities to participate fully in all aspects of society.
DHUD
ADA
RESPA
GNMA
The Civil Rights Act of 1866 prohibits discrimination in real estate transactions based on a consumer’s
national origin.
sex.
handicap.
race.
A buyer requests to be shown homes only in an Asian area of town. In this case the sales associate should
just show the homes in the area the buyer has requested.
tell the buyer that you cannot only show houses in that area.
provide the buyer with listings that meet the buyer’s criteria and price in all parts of town, then let the buyer decide which homes he wants to be shown.
have the buyer meet with a person of his nationality to better provide service.
An aggrieved party with a Fair Housing violation has how long to file a complaint with the Department of Housing and Urban Development?
1 week
1 month
1 year
10 years
All fall under the description of “handicapped” or persons with a disability under the Fair Housing Laws EXCEPT
a sight-impaired person.
a person in a wheelchair because of a broken leg.
a hearing-impaired person.
a child with a learning disability.
The purpose and intent of _______________ is to incorporate into the law of this state the accessibility requirements of the Americans with Disabilities Act of 1990, and to obtain and maintain United States Department of Justice certification of the Florida Accessibility Code for Building Construction as equivalent to federal standards for accessibility of buildings, structures, and facilities.
the Florida Landlord and Tenant Act
the Florida Americans with Disabilities Accessibility Implementation Act
the Florida BACA Code Law
the Florida Protection For Disabled Persons Law
Under the Federal Fair Housing Act of 1988, which qualifies as a protected class under the definition of familial status?
Two persons 55 or older
A person not currently married
A college student and his parents
A family with children 18 and younger
Which would be exempt under the Federal Fair Housing Acts of 1968?
An owner of an 8-unit apartment building who lives in one of the units
An individual selling a personal residence who does not use a broker or discriminatory advertising
A lender who gives home loans as well as commercial loans
An Elk’s Club who rents rooms in its residence to the public
The illegal practice of directing minorities to areas of the city that are populated by the same race or religion is called
steering.
blockbusting.
redlining.
panic peddling.
A garden-style apartment building was completed in 1990. It has two stories but does not have an elevator. According to the Americans with Disabilities Act (ADA) which area must meet specifications for handicap accessibility?
Only the first floor
The first and second floor
Only the second floor
No modifications necessary
Under the Federal Fair Housing Act, ______________ is not a protected class.
religion
national origin
handicap
age
A savings and loan would be violating the Federal Fair Housing Act by denying a loan to Mr. and Mrs. Happy Buyer because
they are 65.
they have too many car and credit card payments.
they have low salary earnings.
they want to live in an area that is considered by the bank to be declining.
The Federal Fair Housing Act provides that a prima facie case against a broker for discrimination has been established after a complaint has been received because the broker has failed to:
Display a HUD Equal Opportunity poster.
Join an affirmative marketing program.
Join the HUD anti-discriminatory task force.
Attend mandatory CE classes on fair housing.
The purpose of the Interstate Land Sales Disclosure Act is to
provide consumer protection.
regulate large parcel development within Florida.
prevent unscrupulous building.
revoke offers made by buyers who are pressured to purchase.