Montana Real Estate Exam Questions with 100% Correct Answers | Latest Update | Verified

When a Salesperson quits - all listing and transactions remain with the old Supervising Broker they do not work for the new Broker until a new wall license and pocket card are issued A Property Manager's license - is not needed buy a close relative of a property owner a manager who works for only one owner a person who managers not more than four residential units a resident manager who is compensated with reduced rent Who is not Required to have a Real Estate License - An auctioneer employed by owner an executor of an estate (acting under court order) government employee owners or lessors of their own property Who is Required to have a Real Estate License - broker of salesperson to negotiate sale or lease (without or without the expectation of getting paid) anyone showing someone else's property The Board - Consists of seven people appointed by the governor does not involve itself with commission disputes does give advice regarding trust accounting rules The Boards rules - The Boards rules are laws; violations are misdemeanors The Board has the power to - subpoena documents issue and injunction against any licensee place a licensee on probationsuspend a license for one year permanently revoke a license If a broker's license is suspended - The board sends a stop order, cease and desist Property Manager is - a person who will only lease property but not represent sellers of buyers may obtain a restricted Property Manager license and operate without a Supervising Broker A licensed property manager cannot - represent sellers or buyers collect a referral fee for sending sellers or buyers to a broker Brokers and Salespeople - may manage property without a property manager license Brokers may - represent a seller or buyer by obtaining a written (listing or buyer agency) agreement represent the statutes of Montana Broker is statutory if - person has no listing from the seller and no buyer agency agreement from the buyer One is never a buyers agent until - buyer agent signing of the buyer agency agreement The fraud fund - used to pay fraud claims (not negligence) if buyer/seller/tenant has a deficiency judgement that is unsatisfied After payment of the Fund from the Board - the board seeks full reimbursement from the licensee Each Brokers Office - office muse maintain a physical address (PO box not allowed) may be used to conduct other business (if the salespeople are properly supervised)If a Brokers Office is Moving Location - The board must be notified, in writing, within 10 days after moving This is so that licensees pocket cards with current addresses can be issued Inactive licenses - must continue to play annual fees however; cannot handle real estate transactions Salesperson commission comes from - only the employing broker Any listing obtained by a Salesperson - must be reviewed, signed, and dated by the Supervising Broker Salespeople desiring to switch Brokers - must notify the Board within 10 days and obtain a new license If a broker fails to pay the annual license renewal fee - it cancels the Brokers license and all listing also suspends the Salesperson's license If a Salesperson fails to pay the annual renewal fee - the salesperson license will be "killed" This will not affect the Supervising Brokers license After the first licensed year - each licensee must complete BY OCTOBER 31st twelve hours of approved continuing education New Salespeople - must take a 12 hour rookie course within 120 days of their first licensureWhen so instructed by parties - rent, security deposits, and earnest money received by a Broker or Salesperson may be kept: by a third party such as a title company, lawyer or banker, or in a Brokers trust account The Broker can not use the trust account funds to - pay personal or office expenses such as reasonable office expenses salesperson commissions commission splits with other firms If an earnest money check bounces - the seller must be notified by the listing agent the buyer should be notified by the buyers agent The Salesperson must give earnest money - to supervising broker within 3 business days of receipt by the broker or salesperson (whichever is earlier) unless the buyers check is postdated the buy-sell agreement specifies otherwise The Broker will not be entitled to - any earnest money as part of the Brokers commission until the transaction is terminated Money held in the trust account which is payable to the broker at closing must be withdrawn - within 10 business days after closing The trust account records and copies of all transaction documents - must be kept for 8 years if the seller and buyer have a dispute over earnest money - the Broker should hold the funds until the dispute is resolved Even after termination of the agency relationship - the licensee must keep all confidential information received during the relationship disclosedA licensee cannot prefom - an appraisal but may do a CMA give legal advice use term realtor if not licensed guarantee future profits will result from a resale place a for sale sign on a property without listing sell property by conducting lotteries