Delaware Real Estate Exam UPDATED
Exam Questions and CORRECT Answers
Purpose of licensing Law - CORRECT ANSWER - Real estate license law protects the
public by ensuring a standard of confidence and professionalism in the real estate industry the
main objective is to make sure that the rights of purchasers, Sellers, Tenants and owners are all
protected from unscrupulous or negligent practices.
Brokerage - CORRECT ANSWER - Is the business of bringing parties together.
Brokerage
Broker - CORRECT ANSWER - Is licensed to buy, sell, exchange, or lease real property
for others for a fee and they operate as a sole proprietorship, partnership, corporation, limited
liability, company broker
Broker must do the following - CORRECT ANSWER - Maintain space and equipment,
high relations, real estate professionals, as well as unlicensed support staff. Determine
compensation. Direct staff. Implement procedures for licenses to follow in carrying out activities
permitted by states real estate license laws and regulations.
Age requirement for associate broker - CORRECT ANSWER - 23
Salesperson - CORRECT ANSWER - Is licensed to perform real estate activities on behalf
of a licensed real estate broker. can only receive compensation from the employing broker.
Salesperson
Employing Broker - CORRECT ANSWER - A broker who hires real estate agents to work
under their license/brokerage. EMPLOYING BROKER
Tax ditch - CORRECT ANSWER - Is a governmental subdivision of the State formed by a
prescribed legal process in Superior Court to oversee drainage of a specific watershed area. Tax
Ditch
, Employment agreement - CORRECT ANSWER - A contract between a broker and a
client (buyer, seller, landlord, or tenant) that establishes the terms of the relationship.
Employment Agreement
Vicarious Liability - CORRECT ANSWER - Means that the broker can be held
responsible for the conduct while performing brokerage activities of every sales associate
employed by the broker. Vicarious Liability
Managing Broker - CORRECT ANSWER - Is responsible for supervision of the real estate
professionals who act on behalf of the brokerage. Managing Broker
Independent Contractor - CORRECT ANSWER - One who works for, and receives
payment from, an employer but whose working conditions and methods are not controlled by the
employer. An independent contractor is not an employee but may be an agent. Independent
Contractor
Employee - CORRECT ANSWER - Can be a salesperson that the broker pays a salary to
and taxes for. Employee
Unlicensed Assistant - CORRECT ANSWER - A non-licensee who fulfills a clerical role
for a real estate office. An unlicensed assistant may not discuss price and terms with potential
and current clients. Unlicensed Assistant
licensed assistant - CORRECT ANSWER - Can set up and host open houses and assist in
all aspects of real estate transaction. Licensed Assistant
Commission - CORRECT ANSWER - Yes, you can be a flat rate can be a percent of a
sale or hourly rate amount of a brokers commission is negotiable in every case. Commission
Multiple Listing Service (MLS) - CORRECT ANSWER - Provides that marketing
opportunities and rules on the MLS that out terms, under which brokers agree to cooperate in the
transaction, including the sharing of compensation earned. MLS
Exam Questions and CORRECT Answers
Purpose of licensing Law - CORRECT ANSWER - Real estate license law protects the
public by ensuring a standard of confidence and professionalism in the real estate industry the
main objective is to make sure that the rights of purchasers, Sellers, Tenants and owners are all
protected from unscrupulous or negligent practices.
Brokerage - CORRECT ANSWER - Is the business of bringing parties together.
Brokerage
Broker - CORRECT ANSWER - Is licensed to buy, sell, exchange, or lease real property
for others for a fee and they operate as a sole proprietorship, partnership, corporation, limited
liability, company broker
Broker must do the following - CORRECT ANSWER - Maintain space and equipment,
high relations, real estate professionals, as well as unlicensed support staff. Determine
compensation. Direct staff. Implement procedures for licenses to follow in carrying out activities
permitted by states real estate license laws and regulations.
Age requirement for associate broker - CORRECT ANSWER - 23
Salesperson - CORRECT ANSWER - Is licensed to perform real estate activities on behalf
of a licensed real estate broker. can only receive compensation from the employing broker.
Salesperson
Employing Broker - CORRECT ANSWER - A broker who hires real estate agents to work
under their license/brokerage. EMPLOYING BROKER
Tax ditch - CORRECT ANSWER - Is a governmental subdivision of the State formed by a
prescribed legal process in Superior Court to oversee drainage of a specific watershed area. Tax
Ditch
, Employment agreement - CORRECT ANSWER - A contract between a broker and a
client (buyer, seller, landlord, or tenant) that establishes the terms of the relationship.
Employment Agreement
Vicarious Liability - CORRECT ANSWER - Means that the broker can be held
responsible for the conduct while performing brokerage activities of every sales associate
employed by the broker. Vicarious Liability
Managing Broker - CORRECT ANSWER - Is responsible for supervision of the real estate
professionals who act on behalf of the brokerage. Managing Broker
Independent Contractor - CORRECT ANSWER - One who works for, and receives
payment from, an employer but whose working conditions and methods are not controlled by the
employer. An independent contractor is not an employee but may be an agent. Independent
Contractor
Employee - CORRECT ANSWER - Can be a salesperson that the broker pays a salary to
and taxes for. Employee
Unlicensed Assistant - CORRECT ANSWER - A non-licensee who fulfills a clerical role
for a real estate office. An unlicensed assistant may not discuss price and terms with potential
and current clients. Unlicensed Assistant
licensed assistant - CORRECT ANSWER - Can set up and host open houses and assist in
all aspects of real estate transaction. Licensed Assistant
Commission - CORRECT ANSWER - Yes, you can be a flat rate can be a percent of a
sale or hourly rate amount of a brokers commission is negotiable in every case. Commission
Multiple Listing Service (MLS) - CORRECT ANSWER - Provides that marketing
opportunities and rules on the MLS that out terms, under which brokers agree to cooperate in the
transaction, including the sharing of compensation earned. MLS
