Maryland Law Questions and Answers Already Passed

Maryland Law Questions and Answers Already Passed MD LAW - 1 A real estate broker is any person, association, partnership or corporation who: a. buys, sells, or exchanges real estate for a fee b. hold in good faith a power of attorney c. offers real estate by verbal solicitation d. offers their primary residence for sale a. buys, sells, or exchanges real estate for a fee MD LAW - 2 The Real Estate Commission is part of the: a. Executive office of the state legislature b. Department of Housing and Urban Development c. Maryland Department of Licensing and Regulation d. Maryland State Department c. Maryland Department of Licensing and Regulation MD LAW - 3 If a person operated as a Real Estate Broker, collecting a fee for services, without having been issued a Real Estate broker's license: a. the courts could order a refund of the fees paid b. the Real Estate Commission could levy a fine c. the Attorney General's office could order an arrest d. All of the above d. All of the above MD LAW - 4 The Real Estate Commission consists of how many members? a. four b. five c. hundreds of people d. nine d. nine MD LAW - 5 Qualifications of all members of the Real Estate Commission include: a. age 65 or older b. being a resident of a particular area for at least 5 years c. at least 5 years experience in the industry d. a citizen of the State of Maryland d. a citizen of the State of Maryland MD LAW - 6 Real Estate Commissioners are appointed by: a. the Governor with the advice and consent of other commission members. b. the Governor with the advice of the Secretary of Licensing and consent of the Senate c. the Governor with the approval of the local board d. the Senate of Maryland with the advice and consent of the Governor b. the Governor with the advice of the Secretary of Licensing and consent of the Senate MD LAW - 7 The Chairman of the Real Estate Commission is elected by: a. licensed real estate brokers b. the other members of the commission c. the Governor d. the Secretary of the Department of Licensing and Regulation b. the other members of the commission MD LAW - 8 The Real Estate Commission must meet at least: a. monthly in public session b. weekly in public session c. quarterly in public and whenever a hearing is set d. on the third Wednesday of the month a. monthly in public session MD LAW - 9 Every licensed Real Estate agent or broker must be at least: a. a high school graduate b. 21 years old c. a United States citizen d. 18 years old d. 18 years old MD LAW - 10 A real estate broker applicant required to satisfactorily complete all of the following EXCEPT: a. to provide evidence of their trust worthiness b. three years of licensed experience in real estate c. passing the Maryland State Bar exam d. a 135 hours or 9 credit course in real estate c. passing the Maryland State Bar exam MD LAW - 11 IF a real estate broker changes business location and does not notify the Real Estate Commission within ten days, the commission: a. can fine the broker $1,000 b. can summarily suspend the broker's license without a hearing c. may not issue a new salesperson's license to the broker until the location is officially changed d. can reduce the commission rate the broker charges the general public b. can summarily suspend the broker's license without a hearing MD LAW - 12 A real estate broker's license can be suspended or revoked for all of the following EXCEPT: a. acting for more than one party in a transaction without the knowledge and consent of all parties b. soliciting any party to an existing agreement to break the agreement for the purpose of substituting another contract c. dividing fees with a non resident broker on a transaction occurring in this state d. guaranteeing future profits from the resale of a property c. dividing fees with a non resident broker on a transaction occurring in this state MD LAW - 13 An advertisement for the sale of real estate must: a. contain the listing price b. contain a general description of the property c. contain the address and location of the property d. contain the name of the brokerage company d. contain the name of the brokerage company MD LAW - 14 The purchaser of a resale time share unit buying directly from a private owner without the services of a real estate broker may: a. rescind the sale within 7 days of receipt of the required disclosure b. rescind the sale within 10 days c. not rescind the sale since the license law would not apply d. rescind the sale only if the seller agrees a. rescind the sale within 7 days of receipt of the required disclosure MD LAW - 15 To work as a branch manager one must be an Associate Real Estate Broker or: a. a certified real estate instructor b. a licensed real estate sales person with at least 5 years experience providing brokerage services c. a licensed real estate sales person with a record of at least 3 years of multi million dollar sales volume d. a licensed real estate salesperson with at least 3 years of experience providing brokerage services d. a licensed real estate salesperson with at least 3 years of experience providing brokerage services MD LAW - 16 A real estate listing contract must contain: a. a written description of the marketing plan b. a broker price opinion c. a definitive termination date d. all of the above c. a definitive termination date MD LAW - 17 The law requires a real estate broker to supervise sales associates in which of the following areas: a. financing b. advertising c. time management d. none of the above b. advertising MD LAW - 18 License renewal fees charged and collected by the Real Estate Commission are deposited in the a. Guaranty fund b. General Fund of the State Treasury c. bank chosen by the broker of record d. commission's petty cash fund for the fiscal year b. General Fund of the State Treasury MD LAW - 19 An owner of real property must be license when: a. selling more than seven lots during the year b. selling property owned at least 10 years c. selling property owned by an ancestor for at least 10 years d. selling homes they have built themselves as an investment intended for resale a. selling more than seven lots during the year MD LAW - 20 The Guaranty Fund will pay a maximum per valid claim of: a. $50,000 b. $15,000 c. $25,000 d. no limit a. $50,000 MD LAW - 21 A licensee with an active license may place the license with the Real Estate Commission on inactive status for a period of up to: a. 3 years b. the end of the current renewal period c. 4 years d. the time approved by the REC on a case by case basis a. 3 years MD LAW - 22 An licensed person collecting a real estate commission or referral fee is guilty of: a. duress b. a felony c. a midemeanor d. negligence c. a misdemeanor MD LAW - 23 The minimum level at which the Guaranty Fund must be maintained is: a. $25,000 b. $250,000 c. $50,000 d. $500,000 b. $250,000 MD LAW - 24 A licensee charged with a violation of the license law: a. is generally entitled to a hearing b. must be given 35 days notice of the hearing by the commission c. must post a $25,000 bond to continue in the business d. none of the above a. is generally entitled to a hearing MD LAW - 25 A developer selling a newly built condominium unit to an initial purchaser: a. must provide a five year warranty on the units b. is required to deliver a copy of the Public Offering Statement to each prospective buyer c. must use a broker's name in all advertising d. must register the property with the securities commissioner b. is required to deliver a copy of the Public Offering Statement to each prospective purchaser MD LAW - 26 A real estate conservation area may be created by the REC. a. to preserve endangered species b. to maintain an area's economic and racial stability c. to release government funds for low energy use d. to prevent the destruction of historic landmarks b. to maintain an area's economic and racial stability MD LAW - 27 The irrevocable consent required of non resident licensees: a. provides a way to file suit against a non resident that transacts business in Maryland b. gives a broker who has only a Maryland license the right to show property across state lines c. requires a broker to hire a non resident licensee d. provides assurance that buyers will perform on out of state contracts a. provides a way to file suit against a non resident that transacts business in Maryland MD LAW - 28 A right to use or occupy one or more units during five or more separated time periods for at least five years without having a fee simple interest is a: a. time share property instrument b. time share license c. cooperatie d. time share estate b. time share license MD LAW - 29 The developer of a time share must file a Public Offering Statement with Maryland's: a. Real Estate Commission b. Office of Government Affairs c. Securities Commissioner d. Secretary of State d. Secretary of State MD LAW - 30 Any person who provides false information in a Public Offering Statement for a time share is subject to: a. $10,000 fine and/or 6 months in prison b. $50,000 fine and/or 1 year imprisonment c. $5,000 fine d. A guaranty fund violation a. $10,000 fine and/or 6 months in person