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Pennsylvania Real Estate Commission RePA_Sales_S Exam Syllabus Topics:
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Pennsylvania Real Estate Commission PA Salesperson State Exam Sample Questions (Q13-Q18):
NEW QUESTION # 13
Which of the following is a REQUIRED general duty of a licensee?
- A. Conduct an independent inspection of the property.
- B. Independently verify the accuracy of any representation on a property condition disclosure statement.
- C. Provide assistance with document preparation.
- D. Accept liability and responsibility for acts of the consumer.
Answer: B
Explanation:
Under68 Pa. C.S. §§ 7301-7314 (Real Estate Seller Disclosure Law),a licensee has a duty to ensure that the property condition disclosure statement is complete and accurate as provided by the seller.
* While the licensee does not conduct a formal property inspection, they must not ignore material defects that are apparent or known to them.
* If a licensee knows of an issue that contradicts the seller's disclosure, they must disclose this to the buyer to prevent misrepresentation.
* This protects consumers from fraudulent or misleading property conditions.
Why the other answers are incorrect:
* Option A (Independent Inspection):A licensee is not a home inspectorand is not required to perform a physical inspection.
* Option C (Accept Consumer Liability):A licenseeis not responsible for actions taken by a buyer or seller.
* Option D (Document Preparation Assistance):A licenseecan help explain documents but cannot prepare legal contracts without an attorney.
Reference:
68 Pa. C.S. §§ 7301-7314- Real Estate Seller Disclosure Law
NEW QUESTION # 14
According to the Pennsylvania Landlord-Tenant Act, a tenant must be notified of the final disposition of their security deposit within what time period following the end of the lease?
- A. Immediately upon completion of the landlord's final inspection of the premises
- B. Within 5 days
- C. Within 60 days
- D. Within 30 days
Answer: D
Explanation:
UnderThe Pennsylvania Landlord and Tenant Act of 1951 (68 P.S. § 250.512), a landlord mustreturn the tenant's security deposit or provide a written explanation of any deductions within 30 days of lease termination.
* If the landlord withholds any portion of the deposit, they must provide an itemized list of damages and the amount deducted.
* If the landlord fails to return the deposit or provide an itemized list within 30 days, they forfeit their right to keep any portion of the deposit and may be subject to legal penalties.
* The tenant must provide a forwarding address to receive the deposit or notice.
Why the other answers are incorrect:
* Option A (5 Days):There is no 5-day requirement in Pennsylvania law.
* Option C (60 Days):The landlord is required to act within30 days, not 60 days.
* Option D (Immediately upon inspection):While an inspection may occur, thelaw grants the landlord up to 30 days to finalize deductions and return funds.
NEW QUESTION # 15
Interest earned on an escrow account is:
- A. Equally divided between the buyer and seller.
- B. Payable to the broker holding the deposit.
- C. Payable subject to an agreement between the parties.
- D. Equally divided between the listing and selling brokers.
Answer: C
Explanation:
Under49 Pa. Code § 35.326 (Escrow Accounts and Interest),interest earned on escrow accounts belongs to the party or parties as determined by the terms of the contract or agreement.
* A broker cannot personally benefit from interest earned on escrow funds unless the contract explicitly allows it.
* The purchase agreement must specify how the interest is handled, whether it is payable to the buyer, seller, or split between parties.
Why the other answers are incorrect:
* Option A (Payable to the Broker):A broker cannot keep interest from an escrow account unless agreed upon in writing.
* Option B (Equally Divided Between Buyer and Seller):Interest division is not automatic; it must be outlined in the contract.
* Option C (Equally Divided Between Brokers):Brokers do not have rights to escrow interest unless explicitly agreed upon.
NEW QUESTION # 16
Which of the following conditions MUST be met before a licensee participates in the sale of real property in which the licensee has an ownership interest?
- A. The listing agreement must identify the licensee's name and status as a licensee.
- B. The licensee must provide written disclosure of the ownership interest to all parties.
- C. The percentage of the licensee's ownership interest must be stated on the sales contract.
- D. The Pennsylvania Real Estate Commission must be notified of the transaction.
Answer: B
Explanation:
Under49 Pa. Code § 35.283 (Disclosure of Interest),a real estate licensee must disclose in writing if they have a direct or indirect ownership interest in a property they are selling or purchasing.
* This disclosure ensures transparency and prevents conflicts of interest.
* Failure to disclose ownership interest could be considered fraudulent and result in disciplinary action by the Pennsylvania Real Estate Commission.
Why the other answers are incorrect:
* Option A (Commission Notification Required):TheCommission does not need to be notifiedunless a violation occurs.
* Option B (Listing Agreement Disclosure):Disclosure isnot required in the listing agreementbut must be made to all parties.
* Option D (Percentage of Ownership on Contract):The specificpercentage of ownership is not required to be on the contract; general disclosure is sufficient.
Reference:
49 Pa. Code § 35.283- Disclosure of Interest
NEW QUESTION # 17
A "For Sale by Owner" property owner has offered a flat fee to any licensee who procures a buyer. The owner's terms specify that 50% of the fee is payable upon contract acceptance, with the other 50% payable upon transfer of title. A CORRECT statement about this arrangement is that it is:
- A. in violation of license law since all compensation must be paid at closing.
- B. in violation of license law since compensation for real estate sales can come only from listed properties.
- C. acceptable if the fee is paid to the employing broker.
- D. acceptable if the fee does not exceed the prevailing commission rate.
Answer: C
Explanation:
Under49 Pa. Code § 35.283 (Compensation and Commission),a salesperson can only receive payment through their employing broker. This means thatif the flat fee is paid to the broker (not directly to the salesperson), then the arrangement is legal.
* Commission does not have to be paid at closing; payment terms can be negotiated, including split payments.
* For Sale by Owner (FSBO) properties are not required to be listed with a brokerage, so compensation can still be earned if a licensee brings a buyer.
Why the other answers are incorrect:
* Option B (Commission Rate Limitations):There areno "prevailing" commission ratessince commissions are always negotiable.
* Option C (Compensation Must Be at Closing):Commission can bestructured differently(e.g., partial upfront payment).
* Option D (Only Listed Properties Qualify for Commission):Agents can earn commission on FSBOsas long as the broker is involved.
NEW QUESTION # 18
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