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Real Estate Massachusetts Real Estate Salesperson Sample Questions:

1. A licensee must provide disclosure of licensed status when acting as a principal if

A) the agent of the other party asks about this specifically.
B) any relative of the licensee has ever lived in the residence.
C) the licensee has any economic interest in the property.
D) the licensee does not have errors and omission insurance.

2. In a jurisdiction where the common law of agency applies, a broker has listed a home and then presented to the seller an offer from another client of the broker. The offer has been accepted. The broker has what type of agency relationship with the parties?

A) dual agency
B) seller agency, buyer sub-agency
C) seller agency, no agency relationship with buyer
D) no agency relationship; in this situation the broker becomes a facilitator only

3. Two top licensees in a small town have agreed not to show listings of a new real estate firm charging a low commission rate to sellers. This behavior is a violation of the

A) federal fair housing laws.
B) Blue-Sky laws.
C) Sherman Antitrust Act.
D) Equal Credit Opportunity Act.

4. An escrow or trust account is often held by a lender to pay

A) interest on a loan.
B) the bank's outstanding invoices.
C) mortgage payments.
D) property taxes and insurance payments.

5. Which of the following is incorrect regarding carbon monoxide inspection?

A) The inspection must be completed as a prerequisite to sell a residential property burning fossil fuel.
B) There is no additional fee if the inspection is done at the same time as the smoke detector inspection.
C) The inspection must be completed by a building inspector.
D) The inspection must be completed by the local fire department.

Solutions: