MA Portion RE Exam Practice
Questions and Answers
Which is false about broker trust accounts?
Trust account records are subject to random Board inspection
Trust account records must be maintained for 3 years
Trust accounts must bear interest
Trust accounts must be held separately from other accounts - ANSWER-C
Johnny obtained his salesperson license last year and would like to be a member of
the Board of Registration of Real Estate Brokers and Salespersons. Can he become
a member?
A Yes, because he is a licensed real estate agent
B Yes, the Board requires at least one salesperson to be a member
C No, because he will need to become a broker first.
D No, because he will need to be a broker with at least 7 years of experience. -
ANSWER-D
Sally is a real estate licensee. She advertises her client's home, but does not put her
brokerage's name in the ad. Has she risked her license?
Yes - it is blind advertising
Yes - she is selling without a broker
No - this is permissible
No - so long as she has her client's permission - ANSWER-A
In the event of a legal claim, a broker's surety bond is used to:
Compensate the aggrieved party
Defray legal expenses
Fine the broker
Compensate the Board of Registration for their investigation - ANSWER-A
Ellen is a Massachusetts real estate broker who helps her clients sell their homes in
the suburbs and move into the city. One of her longtime clients, Leon, has truly
enjoyed his experience working with Ellen over the years. After too many freezing
winters, Leon decides to move to the much warmer state of California and asks Ellen
if she can help him locate a beach home there. If Ellen wants to be able to help Leon
with his California home purchase and receive a commission as his buyer's agent,
what must she do?
Use reciprocity to transfer her Massachusetts real estate license to a California real
estate license
Remain in Massachusetts and assist Leon from afar
Enter into a co-broke agreement with a California broker
She can't receive any commission as a buyer's agent, only a referral commission -
ANSWER-B
Who pays the transfer stamp fee?
The grantor
,The grantee
The mortgagor
The mortgagee - ANSWER-A
Mortgagee protection under a title insurance policy would cover which of the
following?
An unrecorded easement
A change in zoning laws
A deed error
An outstanding loan balance - ANSWER-D
The following is illegal in Massachusetts:
Failing to include handicapped-accessible design features on the second floor of a
building without an elevator
Denying a rental applicant who has a dog
Selling a property with asbestos
Denying Section 8 rental applicants due to their use of Section 8 vouchers -
ANSWER-D
After what date must homes in MA have carbon monoxide detectors if they have fuel
burning equipment?
January 1, 2009
June 1, 2011
March 31, 2006
January 1, 1978 - ANSWER-C
When listing an apartment for rent in a 1950's home, as the listing agent, you should:
Be sure to have the landlord sign a lead paint law notification form
Advertise the property as only for renters with children over 6 years old
Ask if there will be any children living in the home
Charge more rent to anyone with children - ANSWER-A
How does the seller of a condominium show they have paid all of their association
fees when selling?
A Title 111 certificate
B 6D closing certificate
C Title V certificate
D Security certificate - ANSWER-B
Under MA fair housing laws, which is permissible?
A Refusing to rent to Section 8 recipients
B Refusing to deal with people of Russian origin
C Refusing to rent to families with children under 6
D A church refusing to rent to people who are not a part of its congregation -
ANSWER-D
Homer and Ned are neighbors. Homer sells Ned his rake, which then breaks as soon
as Ned uses it to rake his leaves. Homer sees this from his window and laughs out
loud at Ned's misfortune. Ned sues Homer by bringing a 93A claim against him. Will
Ned be successful in his suit against Homer?
, Yes, because Homer's acts constitute an unfair and deceptive act or practice.
B Yes, because Homer did not provide Ned a receipt.
C No, because 93A is not for private party disputes.
D No, because Ned did not send Homer a settlement letter prior to bringing his suit. -
ANSWER-C
A home inspection brochure must be provided to all buyers in Massachusetts when:
A The offer is made
B The offer is accepted
C By the time the purchase and sale agreement is signed
D After the purchase and sale agreement is signed - ANSWER-C
In Massachusetts, which of the following is a protected class?
A Student status
B Public assistance status
C Pet ownership
D Car ownership - ANSWER-B
From whom may a licensed salesperson receive compensation or commission?
A Employing broker
B Managing broker
C Co-broker
D All of the above - ANSWER-A
Randy, a broker, is given a gift certificate to his favorite restaurant as thanks for
sending his client to his friend, a real estate attorney, to deal with the purchase and
sale agreement for the home his client was selling. Has he risked his license?
A No
B No, since it was not cash
C Yes, since his client was not an attorney
D Yes, it is a potential conflict of interest - ANSWER-D
Oscar is driving through his town on a Sunday afternoon and sees a sign for an open
house that is being handled by the seller's agent. Oscar takes a look around the
house and decides that the house would be perfect for him and his daughter to live
in. He decides to put in an offer without his own agent. Is Oscar allowed to do so?
A No, because he is not being represented by a real estate agent
B Yes, he is allowed to represent himself without an agent since he is buying the
property for himself
C No, because the listing agent is not allowed to act as a dual agent without
authorization, and accepting Oscar's offer without him being represented constitutes
a dual agency
D Yes, because Oscar is buying the house for his daughter and is allowed to act as
an agent for her as a close relative - ANSWER-B
Conan owns a home in Cambridge, MA which has an oil heating system. He decides
to replace the siding on his home, and the contractors mistakenly switch the fill pipe
and vent pipe to the oil tank. The oil truck comes, and the driver connects the hose
to the fill pipe, but all of the oil spills into Conan's basement. Which law will be
triggered to assist with the cleanup of the oil?
Questions and Answers
Which is false about broker trust accounts?
Trust account records are subject to random Board inspection
Trust account records must be maintained for 3 years
Trust accounts must bear interest
Trust accounts must be held separately from other accounts - ANSWER-C
Johnny obtained his salesperson license last year and would like to be a member of
the Board of Registration of Real Estate Brokers and Salespersons. Can he become
a member?
A Yes, because he is a licensed real estate agent
B Yes, the Board requires at least one salesperson to be a member
C No, because he will need to become a broker first.
D No, because he will need to be a broker with at least 7 years of experience. -
ANSWER-D
Sally is a real estate licensee. She advertises her client's home, but does not put her
brokerage's name in the ad. Has she risked her license?
Yes - it is blind advertising
Yes - she is selling without a broker
No - this is permissible
No - so long as she has her client's permission - ANSWER-A
In the event of a legal claim, a broker's surety bond is used to:
Compensate the aggrieved party
Defray legal expenses
Fine the broker
Compensate the Board of Registration for their investigation - ANSWER-A
Ellen is a Massachusetts real estate broker who helps her clients sell their homes in
the suburbs and move into the city. One of her longtime clients, Leon, has truly
enjoyed his experience working with Ellen over the years. After too many freezing
winters, Leon decides to move to the much warmer state of California and asks Ellen
if she can help him locate a beach home there. If Ellen wants to be able to help Leon
with his California home purchase and receive a commission as his buyer's agent,
what must she do?
Use reciprocity to transfer her Massachusetts real estate license to a California real
estate license
Remain in Massachusetts and assist Leon from afar
Enter into a co-broke agreement with a California broker
She can't receive any commission as a buyer's agent, only a referral commission -
ANSWER-B
Who pays the transfer stamp fee?
The grantor
,The grantee
The mortgagor
The mortgagee - ANSWER-A
Mortgagee protection under a title insurance policy would cover which of the
following?
An unrecorded easement
A change in zoning laws
A deed error
An outstanding loan balance - ANSWER-D
The following is illegal in Massachusetts:
Failing to include handicapped-accessible design features on the second floor of a
building without an elevator
Denying a rental applicant who has a dog
Selling a property with asbestos
Denying Section 8 rental applicants due to their use of Section 8 vouchers -
ANSWER-D
After what date must homes in MA have carbon monoxide detectors if they have fuel
burning equipment?
January 1, 2009
June 1, 2011
March 31, 2006
January 1, 1978 - ANSWER-C
When listing an apartment for rent in a 1950's home, as the listing agent, you should:
Be sure to have the landlord sign a lead paint law notification form
Advertise the property as only for renters with children over 6 years old
Ask if there will be any children living in the home
Charge more rent to anyone with children - ANSWER-A
How does the seller of a condominium show they have paid all of their association
fees when selling?
A Title 111 certificate
B 6D closing certificate
C Title V certificate
D Security certificate - ANSWER-B
Under MA fair housing laws, which is permissible?
A Refusing to rent to Section 8 recipients
B Refusing to deal with people of Russian origin
C Refusing to rent to families with children under 6
D A church refusing to rent to people who are not a part of its congregation -
ANSWER-D
Homer and Ned are neighbors. Homer sells Ned his rake, which then breaks as soon
as Ned uses it to rake his leaves. Homer sees this from his window and laughs out
loud at Ned's misfortune. Ned sues Homer by bringing a 93A claim against him. Will
Ned be successful in his suit against Homer?
, Yes, because Homer's acts constitute an unfair and deceptive act or practice.
B Yes, because Homer did not provide Ned a receipt.
C No, because 93A is not for private party disputes.
D No, because Ned did not send Homer a settlement letter prior to bringing his suit. -
ANSWER-C
A home inspection brochure must be provided to all buyers in Massachusetts when:
A The offer is made
B The offer is accepted
C By the time the purchase and sale agreement is signed
D After the purchase and sale agreement is signed - ANSWER-C
In Massachusetts, which of the following is a protected class?
A Student status
B Public assistance status
C Pet ownership
D Car ownership - ANSWER-B
From whom may a licensed salesperson receive compensation or commission?
A Employing broker
B Managing broker
C Co-broker
D All of the above - ANSWER-A
Randy, a broker, is given a gift certificate to his favorite restaurant as thanks for
sending his client to his friend, a real estate attorney, to deal with the purchase and
sale agreement for the home his client was selling. Has he risked his license?
A No
B No, since it was not cash
C Yes, since his client was not an attorney
D Yes, it is a potential conflict of interest - ANSWER-D
Oscar is driving through his town on a Sunday afternoon and sees a sign for an open
house that is being handled by the seller's agent. Oscar takes a look around the
house and decides that the house would be perfect for him and his daughter to live
in. He decides to put in an offer without his own agent. Is Oscar allowed to do so?
A No, because he is not being represented by a real estate agent
B Yes, he is allowed to represent himself without an agent since he is buying the
property for himself
C No, because the listing agent is not allowed to act as a dual agent without
authorization, and accepting Oscar's offer without him being represented constitutes
a dual agency
D Yes, because Oscar is buying the house for his daughter and is allowed to act as
an agent for her as a close relative - ANSWER-B
Conan owns a home in Cambridge, MA which has an oil heating system. He decides
to replace the siding on his home, and the contractors mistakenly switch the fill pipe
and vent pipe to the oil tank. The oil truck comes, and the driver connects the hose
to the fill pipe, but all of the oil spills into Conan's basement. Which law will be
triggered to assist with the cleanup of the oil?
