What MUST a salesperson licensee convicted of a felony do?
Answer(s): C
According to 49 Pa. Code § 35.288 under "Reporting of Crimes and Disciplinary Actions", all licensees in Pennsylvania are required to notify the Pennsylvania Real Estate Commission in writing within 30 days of any felony or misdemeanor conviction.A licensee does not automatically lose their license upon conviction, but the Commission will review the case and may take disciplinary action such as suspension or revocation of the license.Failing to report the conviction within the required time may result in additional penalties.Immediate license surrender (Option A) is not required.Discussing with the broker (Option B) is not a sufficient step since the official duty is to inform the Commission.Terminating all activities (Option D) is not an automatic requirement unless the Commission suspends or revokes the license.
49 Pa. Code § 35.288 Reporting of Crimes and Disciplinary ActionsReal Estate Licensing and Registration Act (RELRA) 63 P.S. § 455.303 (Criminal Background)
If a salesperson representing a buyer gets information from the seller's agent as to the status of the real estate transaction, what is the buyer's agent REQUIRED to do?
Answer(s): B
Under 49 Pa. Code § 35.284 (Disclosures of Business Relationships), a buyer's agent has a fiduciary duty to their client. This means the agent must act in the buyer's best interest and communicate all material information regarding the transaction to the buyer.The buyer's agent's primary responsibility is to the buyer (Option B - Correct).The buyer's agent does not have any fiduciary duty to the seller (Option A - Incorrect).The buyer's agent is not required to inform the listing broker (Option C - Incorrect).The loan officer does not have the same level of involvement in fiduciary duties as the buyer (Option D - Incorrect).
49 Pa. Code § 35.284 Disclosure of Business Relationships
Why is the following advertisement placed by a salesperson employed by ABC Realty, in violation of Pennsylvania Rules?"Harrisburg $200,000 SUPER BUY Cozy 3br, 2 1/2 bath Cottage, near bus. For info call 555-9234 (home) or 675-6330 (office). Ask for JOHN DOE."
According to 49 Pa. Code § 35.305 (Business Name on Advertisements), all advertisements placed by a salesperson must include the broker's name.The broker's name is missing, which violates Pennsylvania advertising requirements (Option C - Correct).The property address does not need to be in the ad (Option A - Incorrect).Salesperson names are allowed but must be accompanied by the broker's name (Option B - Incorrect).MLS numbers are not a requirement in all advertisements (Option D - Incorrect).
49 Pa. Code § 35.305 Business Name on Advertisements
A real estate licensee may be disciplined by the Pennsylvania Real Estate Commission for which of the following reasons?
Under 49 Pa. Code § 35.291 (Reporting of Crimes and Disciplinary Actions), a real estate licensee may face disciplinary action for engaging in unethical conduct, fraud, or incompetence. One of the reasons listed is habitual intoxication or drug addiction, as this impairs the licensee's ability to properly conduct real estate activities.A felony conviction (Option D - Incorrect) does not automatically result in discipline but is reviewed by the Commission.Failure to pay taxes (Option C - Incorrect) is a federal issue, not a licensing violation.Car insurance (Option A - Incorrect) is unrelated to a real estate license.
49 Pa. Code § 35.291 Reporting of Crimes and Disciplinary Actions
An owner sells a house through a salesperson who works as an independent contractor for a broker. Before the closing, the owner fires the broker. However, the owner agrees to pay the salesperson a $1,000 fee for services. Which of the following is TRUE?
Answer(s): A
According to 49 Pa. Code § 35.283 (Compensation and Commission), a salesperson may not accept compensation from anyone other than their employing broker.A salesperson cannot accept direct payments from an owner or buyer (Option A - Correct).The owner cannot cancel the sales contract unilaterally (Option B - Incorrect).The salesperson may only be compensated through the broker, even if the owner agrees to direct payment (Option C & D - Incorrect).
49 Pa. Code § 35.283 Compensation and Commission
What MUST a licensee do before she can advertise, show, or offer a property?
Before advertising, showing, or offering any property, a real estate licensee must obtain written authorization from the property owner. This is a legal requirement to ensure that the licensee has the right to represent the property.49 Pa. Code § 35.331 (Written Agreements Generally) states that a real estate licensee must have a written agreement with the property owner before performing any real estate services, including advertising and showing the property.49 Pa. Code § 35.332 (Exclusive Listing Agreements) further clarifies that exclusive agreements must be in writing and signed by both the owner and broker.Without the owner's written consent, a licensee could be subject to penalties or disciplinary action from the Pennsylvania Real Estate Commission.Why the other answers are incorrect:Option A (Preliminary Appraisal): Licensees are not required to conduct appraisals unless they are certified appraisers.Option C (List of Clients): There is no requirement to provide a history of past transactions before listing or advertising a property.Option D (Comparative Market Analysis - CMA): A CMA is useful for pricing but is not required before advertising or showing a property.
49 Pa. Code § 35.331 Written Agreements Generally49 Pa. Code § 35.332 Exclusive Listing Agreements
According to the Pennsylvania Real Estate Commission, which one of the following actions by a licensee is prohibited conduct?
A real estate licensee in Pennsylvania is prohibited from failing to disclose any personal interest in a transaction. This includes using a third party to purchase property listed by the licensee's own office.49 Pa. Code § 35.283 (Disclosure of Interest) requires that a licensee must disclose any financial interest they have in a transaction.If a licensee arranges for a third party (such as a relative or business associate) to purchase a property without disclosure, this is considered a serious ethical violation.Why the other answers are incorrect:Option A (Short Listing Duration): Listings do not have a minimum required time period, so a 2- month duration is permissible.Option B (Undercutting Commission): Commission fees are negotiable, and the Real Estate Commission does not set a minimum fee.Option D (Legal Counsel Not Required): Licensees are not required to hire legal counsel to respond to Commission complaints, but they must respond honestly and fully.
49 Pa. Code § 35.283 Disclosure of Interest
In order to renew a real estate license in Pennsylvania, the licensee:
In Pennsylvania, a real estate licensee must complete 14 hours of continuing education (CE) courses during each renewal period. Additionally, if the Pennsylvania Real Estate Commission mandates a specific CE course during the licensing cycle, licensees are required to take that course.49 Pa. Code § 35.382 (Continuing Education Requirements) states that a licensee must complete the specific courses required by the Commission for each licensing cycle.Some renewal periods require specific courses, such as ethics or law updates, to ensure that licensees remain compliant with changing regulations.Why the other answers are incorrect:Option A (14 Hours Specifically Mandated): While some courses may be mandatory, licensees can choose others from an approved list.Option B (Any Combination of 14 Hours): Some specific courses are required, meaning licensees cannot just pick any course.Option D (Carrying Over CE Hours): Continuing education hours do not carry over from one licensing period to another.
49 Pa. Code § 35.382 Continuing Education Requirements
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