NYS REAL ESTATE EXAM QUESTIONS AND ANSWERS .Buy
Quality Materials
What are the other DOS Licenses? (5)
1. Notary public
2. Apartment Information Vendor
3. Apartment Sharing Agent
4. Appraiser
5 Home inspector
Office regulations
1. Must have appropriate office signage
2. Kickbacks are illegal!
3. Blind ads are illegal! (bait and switch)
Administrative discipline for misdeeds (3)
1. suspension of license
2. Revocation of license (must wait one year before applying for licensing privilege)
3. Article 78 proceeding - Appeal a decision
Stigmatized property disclosure
Article 443, sellers and seller agents do not have to disclose this info and may or may
not disclose upon written request of the buyer or buyer agent. A seller agent can
disclose only with permission of the seller. A buyer or buyer agent may provide written
request for disclosure to the seller or seller agent during negotiations for purchase.
Do Attorneys need a license to practice real estate brokerage?
No, except for when they employ licensee to work under their supervision
Revocation of a broker's license...
suspends the license of salespersons and associate brokers in the broker's employ
Property Condition Disclosure Statement
must be provided to the buyer's agent before the sellers accept the purchase offer
Uncapped natural gas wells
must be disclosed by seller to buyer before entering into a contract of sale.
Agent
usually works for seller, but can also work for a buyer, representation, looks for best
interest of party, for the buyer an agent usually services, goes through motions but no
fiduciary responsibilty
Customer
the party whom the agent brings to the pricipal as a seller or buyer of the property
Client
the person who selects the agent to acts on his behalf
dual agency
when agent acts for both buyer and seller (they only have fucidicary responsibilty to
whom hired them)
Fudiciary responsibilities
OLD CAR
Obedience
Loyalty
,Disclosure of Info
Confidentiality
Accountability
Reasonable care, skill, dilligence
This is given to a client, never a customer
Real estate agent is known as...
SPECIAL AGENT (one matter)
special agent with specific authority
Vicarious liability
the responsibility of one for the acts of another. In the real estate business, this would
be the case when a listing or buyer broker is an "agent" of the seller or buyer. The client
can be held responsible for the actions of the broker agent if they have knowledge of an
improper or negligent act.
Express Agency
Listing agreement, usually in writing (exclusive)
Implied Agency
open listing, handshake deal
All agency agreements whether express or implied are consensual.
Commission payout scenarios (2):
1. % of final price
2. Flat fee
NOTE: Next listing commission (aka: 'keep the change" is illegal in NY
Forms for Representation
Buyer, seller or both, but can't exchange vital info if representing both
Buyer agent
this is a CLIENT, not a customer
Exclusive Agency
The seller reserves the right to sell the property on her own, without paying a
commission to her agent. This is different from an "exclusive right" listing, in which the
seller's broker will receive a commission from the seller, regardless of who brings the
buyer into the purchase
Exclusive right to sell
What a salesperson strives for!
Full disclosure
Agents must inform the principal of all matters through full disclosure. They must
promptly communicate to the principal all information about the transaction relating to
the agency relationship. A broker must present every offer to the seller.
Designated sales associate or agent
With disclosure and informed consent, one sales agent in the firm is designated to
represent the buyer and another agent is designated to represent the seller.
Agency disclosure form
sellers and buyers may provide advance informed consent to dual agency with
designated sales agents by indicating consent on this form
, What does the MLS offer
offers compensation and cooperation to participating members. It does not create an
automatic subagency
cooperating agents
seller agents from another real estate firm acting as subagents of the listing broker and
seller. They can also be buyer agents from another firm. These agents work throug the
usual system of offerings published through the MLS
Dual Agent must have what from both parties in NYS
WRITTEN approval of both parties after the agent's informed disclosure. The buyer and
seller each agree to relinquish the individual, undivided loyalty in the fiduciary
relationship
Undisclosed dial agency
can result in a violation of property law!
NY real estate firms can provide consensual dual agency for in house sales
All agents must disclose what party they represent in a real estate transaction
1Agency Disclosure forms (2 types)
1. buyers and sellers
2. landlords and tenants
Salespersons and the IRS
Salespersons are independent contractors. To quality agent must be licensed and they
must enter into a written contract with the broker.
Real property
deed
Land and structure
Personal property
Bill of sale
objects
Land rights
1. surface rights (on ground, in house
2. subsurface rights (underground)
3. air rights (air) -dictated by government
Riparian water rights
moving water (river)
Littoral water rights
still water (pond, lake)
Trade Fixtures
Commercial tenant fixtures, belong to tenant (eg: pizza oven in a restaurant belongs to
tenant b/c she installs it)
Fee simple absolute
full ownership
Fee simple defeasible
mortgage or lien
Leasehold estates
temporary possession (rental)
Quality Materials
What are the other DOS Licenses? (5)
1. Notary public
2. Apartment Information Vendor
3. Apartment Sharing Agent
4. Appraiser
5 Home inspector
Office regulations
1. Must have appropriate office signage
2. Kickbacks are illegal!
3. Blind ads are illegal! (bait and switch)
Administrative discipline for misdeeds (3)
1. suspension of license
2. Revocation of license (must wait one year before applying for licensing privilege)
3. Article 78 proceeding - Appeal a decision
Stigmatized property disclosure
Article 443, sellers and seller agents do not have to disclose this info and may or may
not disclose upon written request of the buyer or buyer agent. A seller agent can
disclose only with permission of the seller. A buyer or buyer agent may provide written
request for disclosure to the seller or seller agent during negotiations for purchase.
Do Attorneys need a license to practice real estate brokerage?
No, except for when they employ licensee to work under their supervision
Revocation of a broker's license...
suspends the license of salespersons and associate brokers in the broker's employ
Property Condition Disclosure Statement
must be provided to the buyer's agent before the sellers accept the purchase offer
Uncapped natural gas wells
must be disclosed by seller to buyer before entering into a contract of sale.
Agent
usually works for seller, but can also work for a buyer, representation, looks for best
interest of party, for the buyer an agent usually services, goes through motions but no
fiduciary responsibilty
Customer
the party whom the agent brings to the pricipal as a seller or buyer of the property
Client
the person who selects the agent to acts on his behalf
dual agency
when agent acts for both buyer and seller (they only have fucidicary responsibilty to
whom hired them)
Fudiciary responsibilities
OLD CAR
Obedience
Loyalty
,Disclosure of Info
Confidentiality
Accountability
Reasonable care, skill, dilligence
This is given to a client, never a customer
Real estate agent is known as...
SPECIAL AGENT (one matter)
special agent with specific authority
Vicarious liability
the responsibility of one for the acts of another. In the real estate business, this would
be the case when a listing or buyer broker is an "agent" of the seller or buyer. The client
can be held responsible for the actions of the broker agent if they have knowledge of an
improper or negligent act.
Express Agency
Listing agreement, usually in writing (exclusive)
Implied Agency
open listing, handshake deal
All agency agreements whether express or implied are consensual.
Commission payout scenarios (2):
1. % of final price
2. Flat fee
NOTE: Next listing commission (aka: 'keep the change" is illegal in NY
Forms for Representation
Buyer, seller or both, but can't exchange vital info if representing both
Buyer agent
this is a CLIENT, not a customer
Exclusive Agency
The seller reserves the right to sell the property on her own, without paying a
commission to her agent. This is different from an "exclusive right" listing, in which the
seller's broker will receive a commission from the seller, regardless of who brings the
buyer into the purchase
Exclusive right to sell
What a salesperson strives for!
Full disclosure
Agents must inform the principal of all matters through full disclosure. They must
promptly communicate to the principal all information about the transaction relating to
the agency relationship. A broker must present every offer to the seller.
Designated sales associate or agent
With disclosure and informed consent, one sales agent in the firm is designated to
represent the buyer and another agent is designated to represent the seller.
Agency disclosure form
sellers and buyers may provide advance informed consent to dual agency with
designated sales agents by indicating consent on this form
, What does the MLS offer
offers compensation and cooperation to participating members. It does not create an
automatic subagency
cooperating agents
seller agents from another real estate firm acting as subagents of the listing broker and
seller. They can also be buyer agents from another firm. These agents work throug the
usual system of offerings published through the MLS
Dual Agent must have what from both parties in NYS
WRITTEN approval of both parties after the agent's informed disclosure. The buyer and
seller each agree to relinquish the individual, undivided loyalty in the fiduciary
relationship
Undisclosed dial agency
can result in a violation of property law!
NY real estate firms can provide consensual dual agency for in house sales
All agents must disclose what party they represent in a real estate transaction
1Agency Disclosure forms (2 types)
1. buyers and sellers
2. landlords and tenants
Salespersons and the IRS
Salespersons are independent contractors. To quality agent must be licensed and they
must enter into a written contract with the broker.
Real property
deed
Land and structure
Personal property
Bill of sale
objects
Land rights
1. surface rights (on ground, in house
2. subsurface rights (underground)
3. air rights (air) -dictated by government
Riparian water rights
moving water (river)
Littoral water rights
still water (pond, lake)
Trade Fixtures
Commercial tenant fixtures, belong to tenant (eg: pizza oven in a restaurant belongs to
tenant b/c she installs it)
Fee simple absolute
full ownership
Fee simple defeasible
mortgage or lien
Leasehold estates
temporary possession (rental)
