Connecticut Real Estate Practice And Law Quiz Questions And Answers | 2024 Updated Quiz 100% Correct Answers

Buyer brokerage contracts in Connecticut a. must be in writing to be enforceable b. must be on specific forms c. are not regulated under the license laws d. are illegal -ANS- a. must be in writing to be enforceable In Connecticut, real estate commission and compensation are a. set by law b. set by the Real Estate Commission c. determined by local groups of brokers d. negotiable between the seller or the buyer and the broker -ANS- d. negotiable between the seller or the buyer and the broker In Connecticut, an exclusive right-to-buy contract a. is illegal b. is equivalent to a listing agreement c. requires the signature of the principal only d. must be indicated as such in the buyer agency agreement -ANS- d. must be indicated as such in the buyer agency agreement A broker who enters into an exclusive agency listing contract a. is guaranteed a commission b. must split his or her commission c. must make a diligent attempt to sell or lease the property d. has violated the law -ANS- c. must make a diligent attempt to sell or lease the property Betty Buyer contacts Hartfield Realty and is interested in potentially purchasing a home in the Hartfield area. Without entering into a buyer agency relationship with Betty, a salesperson from Hartfield realty can do all of the following for her except a. prequalify Betty for a mortgage b. give Betty information on mortgage interest rates and terms c. give Betty information on properties for sale in Hartfield d. explain to Betty about buyer agency, seller agency, and dual agency -ANS- a. prequalify Betty for a mortgage Betty is interested in seeing a house listed with Hartfield Realty but does not wish to enter into a buyer agency agreement with Hartfield Realty. A salesperson from Hartfield Realty can show Betty an in-house listing if a. the salesperson obtains the seller's permission b. Betty verbally agrees to buyer agency c. the salesperson provides Betty with an Agency Disclosure Notice, stating that Hartfield Realty represents the seller d. the salesperson provides Betty with a Dual Agency Consent Form -ANS- c. the salesperson provides Betty with an Agency Disclosure Notice, stating that Hartfield Realty represents the seller In Connecticut, a net listing is a. based on a set rate of commission b. similar to an open listing c. common d. illegal -ANS- d. illegal A broker who wishes to place a For Sale sign on a listed property must first a. obtain the consent of the owner of the property b. sell the property c. list the property d. get Connecticut law changed to permit for sale signs on properties -ANS- a. obtain the consent of the owner of the property Can a salesperson advertise property listed with his or her brokerage firm in his or her own name? a. Yes, the salesperson can, as long as it is that salesperson's listing b. Yes, as long as the salesperson is affiliated with the brokerage firm c. No, a salesperson can never advertise listed property under his or her name d. No, a salesperson cannot advertise -ANS- c. No, a salesperson can never advertise listed property under his or her own name Bob Broker has obtained permission from Sonjay Broker and Ken Broker to advertise Sonjay's and Ken's listings on his office website. Bob Broker now has an obligation to a. obtain the seller's permission for such advertising b. advertise Sonjay's and Ken's listings on the first page of the internet site c. include Sonjay's and Ken's names and email addresses under the listing information d. update the listing information at least every 72 hours -ANS- d. update the listing information at least every 72 hours A salesperson sends out an email to all the parents in her daughter's first-grade class, informing them that she is a real estate agent and providing them with pictures of houses that she has currently listed. In this email, the salesperson is legally required to also include a. the name of the real estate broker she is affiliated with b. listing prices of the properties c. the last date when the property information was updated d. none of these because a simple email such as this is not considered advertising -ANS- a. the name of the real estate broker she is affiliated with A person engaging in real estate activities for another and for a fee must hold a valid a. agent's license b. broker's license c. salesperson's license d. broker's or salesperson's license -ANS- b. broker's license A licensed real estate salesperson must be a. affiliated with a licensed real estate broker b. an employee of a licensed real estate broker c. an independent contractor d. willing to enter into agency relationships with clients -ANS- a. affiliated with a licensed real estate broker A real estate broker's license allows a broker to do all of the following EXCEPT a. sell real estate b. resell a mobile home c. collect rent on behalf of a landlord d. appraise real estate -ANS- d. appraise real estate Under Connecticut licensing law, a limited liability company will be granted a broker's license only if a. the LLC is owned exclusively by licensed brokers b. all owners of the LLC have either a broker or salesperson license, and a majority of the entity is owned by brokers c. the LLC passes a state exam d. Connecticut law is changed; currently a legal entity cannot be licensed as a broker -ANS- b. all owners of the LLC have either a broker or salesperson license, and a majority of the entity is owned by brokers A broker entered into a listing agreement with the seller. Through the multiple listing service, a broker from a different office had been working with the buyer, who is interested in making an offer on the seller's property. Typically, in this type of transaction, the broker working with the buyer would enter into a written representation contract with a. the seller as a subagent b. the buyer as an agent c. the buyer as a subagent d. neither the buyer nor the seller -ANS- b. the buyer as an agent In the previous question, if the broker wished to represent the buyer, Connecticut licensing law requires that the broker enter into a. an oral agency agreement b. a co-brokerage agreement c. a dual agency agreement d. a written agency agreement -ANS- d. a written agency agreement When a broker represents the seller of real estate, an agency disclosure must be given to a. any potential unrepresented purchaser, at the beginning of the first personal meeting with the purchaser b. all potential purchasers, at the beginning of the first personal meeting with the purchaser c. the purchaser, before the purchase and sale contract is signed d. the seller at the time the listing agreement is signed -ANS- a. any potential unrepresented purchaser, at the beginning of the first personal meeting with the purchaser A realty company has entered into agency agreements with both a seller and a buyer. The buyer is interested in making an offer on the seller's property. Can this occur? a. No, because the realty would then be a dual agent b. yes, as long as written agency agreements have been entered into with both parties c. yes, if both the buyer and the seller give their consent to dual agency d. yes, but only if the realty company designated separate agents to represent each party -ANS- c. yes, if both the buyer and the seller give their consent to dual agency A realty company has entered into agency agreements with both the seller and the buyer. The seller and the buyer agreed to dual agency but not designated agency. A salesperson with the same realty has been working with the buyer. Legally, the salesperson is not allowed to do any of the following EXCEPT a. provide comparable market data to the seller after the buyer requests and receives such data from the REALTOR b. disclose the buyer's financial qualifications to the seller c. disclose to the buyer that the seller will accept less than the listing price d. disclose to the seller that the buyer will pay more than the offering price -ANS- a. provide comparable market data to the seller after the buyer requests and receives such data from the REALTOR Sal's listing agreement with the seller has terminated. The seller now enters into a listing agreement with another brokerage firm. When Sal finds a buyer interested in the seller's property, Sal cannot a. become a dual agent b. disclose to the buyer offers received on the seller's property while it was listed with him c. disclose to the buyer information about the physical condition of the property d. represent the buyer -ANS- b. disclose to the buyer offers received on the seller's property while it was listed with him Buona Vista Realty has entered into agency agreements with both the seller and the buyer. Angela, a salesperson with Buona Vista, has been designated to represent the seller, and Bao, another salesperson, has been designated to represent the buyer. In this situation a. Angela and Bao are dual agents b. all the other salespersons that work for Buona Vista are dual agents, but not Angela and Bao c. Buona Vista Realty has violated the licensing laws d. Angela and Bao may reveal confidential information about their clients to each other -ANS- b. all the other salespersons that work for Buona Vista are dual agents, but not Angela and Bao An unlicensed personal assistant working for a real estate licensee is allowed to a. host an open house b. answer the phone and discuss questions about the licensee's listings c. write and prepare promotional material d. show property listed with the licensee -ANS- c. write and prepare promotional material A real estate broker has been working with buyers. After the broker helps them negotiate for their home, the buyers ask whether the broker can help them obtain a mortgage. A bank offers to pay the broker a fee for referring purchasers. This is a. not allowed b. allowed if the seller and the broker have entered into a written buyer agency agreement c. allowed if the broker discloses the referral fee to the buyers d. allowed if the bank offers the best interest rates and terms available in the market -ANS- a. not allowed To secure payment of compensation for her services, a broker may place a lien on a. a condominium unit b. a four-family apartment building c. an office building d. all of these -ANS- d. all of these The real estate license law is administered by the a. Department of Banking b. Real Estate Commission c. Connecticut Association of REALTORS d. Department of Housing -ANS- b. Real Estate Commission A person must be licensed as a real estate broker or salesperson if that person a. selling her house b. buying a house for her personal use c. engaging in real estate business d. constructing houses -ANS- c. engaging in real estate business "Engaging in real estate business" consists of acting for another and for a fee in all of the following activities EXCEPT a. investing in real estate b. reselling a mobile home c. selling real estate d. collecting rent for the use of real estate -ANS- a. investing in real estate Which of the following is exempt from the real estate licensing requirement? a. Attorney-at-law when serving as legal counsel to a client b. appraiser when also valuing a client's property c. associations, partnerships, corporations d. real property securities dealers -ANS- a. Attorney-at-law when serving as legal counsel to a client The primary responsibilities of an office manager for a local real estate firm include coordinating the flow of paperwork through the office, preparing forms and advertising copy, and hiring and supervising clerical personnel. The office manager a. is violating license law b. is required to have a broker's license c. is required to have a salesperson's license d. does not need a real estate license for this job -ANS- d. does not need a real estate license for this job Applications for any real estate license in Connecticut must a. be completed before taking the written exam b. contain a picture of the applicant c. be made before May 31 of each year d. be accompanied by a sworn statement attesting the applicant's character -ANS- a. be completed before taking the written exam You are employed by an apartment complex as a residential on-site property custodian. Part of your duties involves negotiating leases for the apartments. In the position you a. must have a salesperson's license b. must have a broker's license c. are exempt from the licensing requirements if you reside at the apartment complex d. are violating the license law -ANS- c. are exempt from the licensing requirements if you reside at the apartment complex In addition to a course in real estate principles and practices, a broker applicant must also take courses in a. real estate appraisal and contracts b. leasing and landlord-tenant law c. are scheduled for a review session with the Commission d. real estate brokerage principles and practices and legal compliance -ANS- d. real estate brokerage principles and practices and legal compliance Applicants who fail a license examination a. are notified of the results at the examination site b. must wait 180 days before a retake c. are scheduled for a review session with the commission d. must score 80% on a subsequent retake to pass -ANS- a. are notified of the results at the examination site The initial salesperson's license fee is presently ________ and annual renewals are _______. a. $285/$285 b. $565/$285 c. $285/$75 d. $565/$375 -ANS- a. 285/285 After moving to Connecticut, Alan applies for a real estate salesperson's license. The Commission discovers from his application that he was refused a license in his former state because he was not yet 18 years old. Alan is now 18 and possesses all the other qualifications. How long from the date of the earlier refusal must Alan wait to be issued a Connecticut License? a. He must wait one year. b. He must wait five years. c. He can be issued a license immediately. d. He is ineligible until he has been a resident of Connecticut for one year. -ANS- a. He must wait one year A nonresident license applicant must file within the Commission a(n) a. certificate of specific performance b. irrevocable consent to suit c. copy of his or her birth certificate d. corpus delicti -ANS- b. irrevocable consent to suit All real estate salespersons' licenses a. are granted in perpetuity b. do not need to be renewed unless previously revoked c. expire annually on march 31 d. expire annually on may 31 -ANS- d. expire annually on may 31 To maintain their licenses, real estate licensees are required to take _________ of continuing education every __________. a. 6 hours, one year b. 12 hours, one year c. 12 hours, two years d. 60 hours, two years -ANS- c. 12 hours, two years All listings in Connecticut must include all of the following EXCEPT a. written confirmation b. date of expiration c. signatures of owners and brokers d. certificate of title insurance -ANS- d. certificate of title insurance To change broker affiliation, a salesperson must a. register the change with the Commission b. register the change with his or her new broker c. apply for a new license d. apply for a broker's license -ANS- a. register the change with the Commission Kathleen accompanies a young couple during an open house on a property listed with her agency. The couple is so impressed with the house and Kathleen's response to their questions that they decide to make an offer. Before the offer is presented to the principal, they ask Kathleen's personal opinion as to whether they should require that the seller give them a warranty deed or a quitclaim deed at the closing. Kathleen should a. make a decision and support it with facts b. refer the couple to an attorney for legal advice c. assure the couple that either is acceptable d. admit she does not know -ANS- b. refer the couple to an attorney for legal advice If a broker tells a lender that the sales price on a property is something above its actual sales price, the a. broker has done nothing wrong as long as the appraisal substantiates this price b. buyer is likely to receive an interest rate break c. broker can lose his or her license and be fined and imprisoned d. buyer can receive a higher mortgage amount -ANS- c. broker can lose his or her license and be fined and imprisoned The Commission has the power to revoke a salesperson's license, if the salesperson a. attempts to represent a real estate broker other than his employer, after obtaining the employer's consent b. attempt to represent a buyer c. enters into an exclusive listing contract d. deposits a buyer's down payment in his own bank account -ANS- d. deposits a buyer's down payment in his own bank account A licensee represents a seller in the sale of the seller's house. The licensee is aware that the seller's basement periodically floods, but the seller has instructed the licensee not to disclose this fact to potential buyers. In this case, the licensee a. must disclose the flooding because it is a material fact b. is not required to disclose the flooding because it is not a material fact c. must disclose the flooding because the licensee owes fiduciary duties to the potential buyer d. cannot disclose the flooding because the licensee owes fiduciary duties to the seller -ANS- a. must disclose the flooding because it is a material fact A licensee represents a seller in the sale of the seller's house. The licensee is aware that the seller's husband had been murdered in the house, but the seller has instructed the licensee not to disclose this fact because she is fearful that people may not want to buy a house where someone was recently killed. In this case, the licensee a. must disclose the murder because it is a material fact b. is not required to disclose the murder because it is not a material fact c. must disclose the murder because the licensee owes fiduciary duties to the potential buyers d. cannot disclose the murder because the licensee owes fiduciary duties to the seller -ANS- b. is not required to disclose the murder because it is not a material fact A saleswoman regularly communicates with all of her clients and potential clients via email. The licensing law requires that her email contain all of the following EXCEPT a. her name and office address b. the name of the broker she is affiliated with c. her license certificate number d. all the states where she is licensed -ANS- c. her license certificate number Ben Broker maintains a website that highlights all of the property listings that he has. Ben knows that the licensing law requires that he include certain information on this website, including the a. address of all properties listed b. seller's contact information for all of the properties listed c. last date when Ben showed any of the properties listed d. last date when the website property information was updated -ANS- d. last date when the website property information was updated Ben Broker wishes to include information about other property listed with another broker on his website. To do so, Ben must a. get the permission of the other broker b. get the permission of the Commission c. include a disclosure on the website that he may not have the rights to all properties advertised d. forget the idea because he cannot advertise property listed with another broker -ANS- a. get the permission of the other broker Ben Broker has entered into an agency agreement with Sallie Seller. Such an agency agreement imposes a duty on Ben to a. make a diligent effort to sell the property b. accept all offers on Sallie's behalf c. update the property information on his website every 72 hours d. buy the property if it does not sell quickly -ANS- a. make a diligent effort to sell the property Ben Broker has entered into an agency agreement with Sallie Seller and has been marketing her property. Several potential buyers are interested in the property, and he has appointments to show the property throughout the next week. The first buyer he shows the property to makes an immediate offer. Ben does not tell Sallie about the offer right away, thinking that additional offers may come in over the next few days, and he will present them all to her at the end of the week. Ben has a. violated the licensing law because he planned to continue to show the property after an offer was submitted to him b. violated the licensing law because he did not submit the offer received to Sallie as quickly as possible c. taken Sallie's best interests into account and is in compliance with the licensing law d. made a diligent effort to sell the property and has therefore not violated licensing law -ANS- b. violated the licensing law because he did not submit the offer received to Sallie as quickly as possible Ben Broker has entered into an agency agreement to sell Sallie's property. A salesperson affiliated with another broker introduces a buyer to the property, and that buyer actually purchases it. Ben would like to share some of his commission earned with the salesperson. Can he do so? a. Yes, he can do so as long as the salesperson is licensed b. Yes, he may do so as long as Sally agrees c. No, the compensation from Sallie cannot be paid to more than one party in a transaction d. No, a real estate broker cannot compensate another broker's salesperson directly -ANS- d. No, a real estate broker cannot compensate another broker's salesperson directly Ben Broker has entered into an agency agreement to sell Sallie's property. Sallie meets Betty, another broker, at a church event. Betty tells Sallie that she could do a much better job advertising Sallie's property and suggests that Sallie terminate her agreement with Ben and enter in a listing agreement with her. Betty's action amounts to a. interfering with an agency relationship, which violates the licensing law b. protecting the fiduciary duties of her potential client, which is in keeping with the licensing law c. counseling a potential client, which is in keeping with the licensing laws d. fair dealing because Ben has not actually sold the property -ANS- a. interfering with an agency relationship, which violates the licensing law Who may receive compensation from the Real Estate Guaranty Fund? a. a broker who does not receive an earned commission b. a seller who pays a commission to a broker under false pretenses c. a buyer who pays a fee to a broker under a buyer agency agreement d. a cooperating broker who does not receive a commission split -ANS- b. a seller who pays a commission to a broker under false pretenses The maximum compensation that will be paid frmo the Real Estate Guaranty fund for any single transaction is a. $5,000 b. $10,000 c. $25,000 d. $50,000 -ANS- c. $25,000 In Connecticut, who is responsible prior to closing for calculating the prorations between the buyer and the seller, searching the title, and preparing the mortgage note and deed? a. Closing attorney b. salesperson c. Broker d. Lender -ANS- a. closing attorney In Connecticut, most closings are typically held a. in limbo b. in escrow c. at noon d. face-to-face -ANS- d. face-to-face Where do closings usually take place? a. Broker's office b. Lender's office c. Attorney's office d. Town clerk's office -ANS- c. Attorney's office A seller has paid the monthly condominium charges of $180 for the month of June. If the closing occurs on June 20, what type of adjustment would usually be made? a. $120 in the favor of the seller b. $120 in favor of the buyer c. $60 in favor of the seller d. $60 in favor of the buyer -ANS- c. $60 in favor of the seller The broker or salesperson may perform all of the following in preparation for the closing EXCEPT a. maintaining a tie schedule and providing net data b. explaining closing procedures to both buyer and seller c. coordinating inspections and delivering documents and escrow monies to the appropriate attorney d. preparing the deed -ANS- d. preparing the deed A salesperson represents Buyer #1 in the purchase of 1st Avenue. The salesperson also represents Buyer #2, who is interested in making an offer on a property on 2nd Avenue. To make an informed offer, Buyer #2 asks the salesperson what was the price Buyer #1 contracted to purchase 1st Avenue. The salesperson can disclose this information to Buyer #2 only after Buyer #1's a. offer is accepted b. mortgage commitment has been signed c. closing has occurred d. deed has been recorded in the land records -ANS- d. deed has been recorded in the land records A salesperson represents both Buyer one and Buyer two. To make an informed offer, Buyer two asks the salesperson how Buyer one was able to afford the property that Buyer one bought. When can the salesperson disclose this information? a. only after buyer one's closing has occurred b. only after buyer one's deed has been recorded in the land records c. only after buyer one's buyer agency agreement has expired d. never -ANS- d. never