CE (Maryland) QUESTIONS YOU NEED TO PREP
FOR YOUR EXAM FREQUENTLY TESTED 2025
GUIDE.
What entity enforces the Maryland Code of Ethics?
The Maryland Real Estate Commission
The Maryland Real Estate Commission enforces the Code of Ethics.
With local land use, the stress placed on the community's infrastructure
is an example of ______.
Development impacts
This is an example of development impact.
What's income received before any operating expenses are deducted?
Gross income
Income received before the deduction of operating expenses is called gross
income.
David is a new broker in Maryland. He's very proud of the new electronic
recordkeeping system that he's set up. All files are immediately
accessible through a secure server within the main brokerage office, and
his assistant has been trained to scan all of a transaction's documents
into the system within a week of closing. The system even automatically
and securely deletes old files after the mandated four-year retention
period. What's wrong with this scenario?
,David must maintain transaction files for at least five years, not four.
Transactional and trust fund records must be maintained or be accessible
from the broker's main office. These records (e.g., all listings and other
transaction-related documents, including electronic signatures) must be kept
for at least five years.
Which option best describes a delivery and acceptance of a deed as
required?
Grantor has acknowledged and voluntarily signed the deed in front of a public
notary and delivered it in person to the grantee or an agent of the grantee
In order for a deed to be considered transferred, the grantor must
acknowledge the deed, voluntarily sign it in front of a public notary and deliver
it to the grantee. Acceptance is presumed by the grantee once delivered.
What is a general lien?
A claim against a person and all of that person's property
Claims against a person and all of that person's property are called general
liens. They're involuntary liens.
What happens to a joint tenant's share of property when the joint tenant
dies?
The joint tenant's interest goes to the remaining joint tenants. If only one joint
tenant is left, that joint tenant owns the property in severalty.
Joint tenancy is co-ownership without inheritance rights. When one joint
tenant dies, the other joint tenant(s) receive the benefit of that share of the
estate.
What is one drawback of sub-agency from a seller's standpoint?
, The seller is liable for the sub-agent's actions.
The seller and listing agent are liable for the actions of the sub-agent.
Connie is a real estate investor who owns an apartment building. She
adds the rental income received from her tenants to other income from
the coin-operated laundry and parking garages. The sum is her ________.
Gross income
When you add all income received but haven't yet deducted any expenses,
you have gross income.
Properly pricing a property that is entering the market will ______.
Increase the chances of a buyer making an offer and potentially reduce the
amount of time the home is on the market
Pricing a property at fair market value is the best strategy for a home to sell
and is the best option for both the seller and the buyer. If the home is
overpriced, it can languish on the market, and buyers often will have moved on
by the time the property is adjusted.
If a licensee is convicted of a controlled substance offense, what can the
Real Estate Commission do?
Impose additional sanctions
The Commission can impose additional sanctions. It does not have the
authority to impose a prison sentence. This must be done by a court of
jurisdiction, but it can impose fines of up to $25,000 for each violation.
If Rina wants to pay off her mortgage early, what might she consider
before doing so?
FOR YOUR EXAM FREQUENTLY TESTED 2025
GUIDE.
What entity enforces the Maryland Code of Ethics?
The Maryland Real Estate Commission
The Maryland Real Estate Commission enforces the Code of Ethics.
With local land use, the stress placed on the community's infrastructure
is an example of ______.
Development impacts
This is an example of development impact.
What's income received before any operating expenses are deducted?
Gross income
Income received before the deduction of operating expenses is called gross
income.
David is a new broker in Maryland. He's very proud of the new electronic
recordkeeping system that he's set up. All files are immediately
accessible through a secure server within the main brokerage office, and
his assistant has been trained to scan all of a transaction's documents
into the system within a week of closing. The system even automatically
and securely deletes old files after the mandated four-year retention
period. What's wrong with this scenario?
,David must maintain transaction files for at least five years, not four.
Transactional and trust fund records must be maintained or be accessible
from the broker's main office. These records (e.g., all listings and other
transaction-related documents, including electronic signatures) must be kept
for at least five years.
Which option best describes a delivery and acceptance of a deed as
required?
Grantor has acknowledged and voluntarily signed the deed in front of a public
notary and delivered it in person to the grantee or an agent of the grantee
In order for a deed to be considered transferred, the grantor must
acknowledge the deed, voluntarily sign it in front of a public notary and deliver
it to the grantee. Acceptance is presumed by the grantee once delivered.
What is a general lien?
A claim against a person and all of that person's property
Claims against a person and all of that person's property are called general
liens. They're involuntary liens.
What happens to a joint tenant's share of property when the joint tenant
dies?
The joint tenant's interest goes to the remaining joint tenants. If only one joint
tenant is left, that joint tenant owns the property in severalty.
Joint tenancy is co-ownership without inheritance rights. When one joint
tenant dies, the other joint tenant(s) receive the benefit of that share of the
estate.
What is one drawback of sub-agency from a seller's standpoint?
, The seller is liable for the sub-agent's actions.
The seller and listing agent are liable for the actions of the sub-agent.
Connie is a real estate investor who owns an apartment building. She
adds the rental income received from her tenants to other income from
the coin-operated laundry and parking garages. The sum is her ________.
Gross income
When you add all income received but haven't yet deducted any expenses,
you have gross income.
Properly pricing a property that is entering the market will ______.
Increase the chances of a buyer making an offer and potentially reduce the
amount of time the home is on the market
Pricing a property at fair market value is the best strategy for a home to sell
and is the best option for both the seller and the buyer. If the home is
overpriced, it can languish on the market, and buyers often will have moved on
by the time the property is adjusted.
If a licensee is convicted of a controlled substance offense, what can the
Real Estate Commission do?
Impose additional sanctions
The Commission can impose additional sanctions. It does not have the
authority to impose a prison sentence. This must be done by a court of
jurisdiction, but it can impose fines of up to $25,000 for each violation.
If Rina wants to pay off her mortgage early, what might she consider
before doing so?
